Shyam Group to invest Rs 10,000 cr in Bengal

Kolkata, Feb 4 (UNI) Shyam Sel Ltd (SSL), the flagship company of the Shyam Group of Industries, today signed a Memorandum of Agreement (MoA) with the WBIDC to produce 1.1 million ton of finished steel products and 1000 MW power with an investment of Rs 10,000 crore at Jamuria in West Bengal's Asansol from next year.

Announcing the signing of the MoA, Group Vice-Chairman and Managing Director B Bhusan said the West Bengal Industrial Development Corporation (WBIDC), an industrial arm of the state government, would provide about 1500 acre of barren land on payment for setting up industries in Bardhaman district.

Mr Bhusan said the production would start from mid-2009, once the land was allotted to the company, also in phase wise.

He said the ground work had been completed and there would be no hassle to get land as the project site fell under non-agricultural area.

The plant would produce various value added steel products like stainless steel, auto steel and special steel, ductile iron pipe, power transmission structural steel, medium and low carbon special alloys and other steel products of about 101 million ton per annum.

The SSL would also set a captive power plant to produce about 1000 MW power out of which about 800 MW would be used for its own and the rest to be sold to the power grid.

The most modern technology of palletizing process would be used in the project to ensure optimal use of mineral resources like iron ore for making steel.

The order for the sinter plant had already been finalised with a renowned Chinese company, while the blast furncae would be supplied by the TRF Ltd, a Tata subsidiary.

" We have also finalised a long term procurement contract for the fines with the mine owners of India, " said Mr Bhusan.

The coal for the production of steel and power in the intergrated plant would be sourced through the coal block captive, allotted for the project through the West Bengal Mineral Development and trading Corporation (WBMTDC).

Once the plant became operational, the SSL would generate employment opportunties of more than 4000 families, he said adding the company would float Initial Public Offering (IPO) in mid this year.

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