Anand Sen, Vice President, Tata Steel informed reporters that the Kalinganagar integrated greenfield steel plant would begin production in the second half of 2014.
The 6 million tonne plant is being constructed in two phases of 3 mn t each, The first phase includes a 3 million tonne steel capacity unit and the common facilities for the full project and this would cost about Rs 30,000 crore.
The plant, which will employ indigenous as well global technologies to convert iron ore and fines into steel, will produce only flat steel products meant for use in automobile sector.
The total cost of the entire project, which was estimated at Rs 15,400 crore at the time of signing of MoU in 2004, has escalated to about Rs 40,000 due to delay in taking it off the ground.
The construction of the plant is now going on in full swing with engagement of about 27,000 workers. The company already procured most of the equipments and nearly 40 percent of the project work has been completed with major structural work packages being implemented by L&T.
The Kalinganagar project, which is being set up in Jajpur district, is the first integrated steel plant of Tata Steel outside Jamshedpur.
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