SAIL to set up greenfield steel plant in Jharkhand

Kolkata, Mar 14 (UNI) Steel Authority of India (SAIL) Limited has decided to set up a greenfield steel plant in Jharkhand in lieu of renewal of iron ore lease agreement for the Chiria mines.

" We have told the Jharkhand government that we are open to setting up of greenfield steel plant in the state if the lease agreement for the Chiria iron ore mines is renewed, " Chairman S.K.

Rungta told reporters here tonight.

He said SAIL had asked mecon to suggest a suitable site for the proposed project with an initial capacity of six million ton involving a thumb rule investment of Rs 18,000 crore.

He said the capacity of the proposed plant would be expanded later on.

The company decided to go for the greenfield project following a request of the Jharkhand government for value addition in steel production, but the execution of the project depended on lease agreement for the Chiria mines which had already expired.

UNI