ArcelorMittal to invest Rs 2,000 crore in Odisha

BHUBANESWAR: ArcelorMittal - the world's largest steel-maker - will soon invest around Rs 2,000 crore in Odisha, Lakshmi N Mittal, chairman and chief executive officer of the company, said in a video call with CM Naveen Patnaik on Saturday.
The Rs 2,000 crore will form part of the first tranche of the company's overall investment in Odisha, and will be used mainly for augmenting the capacity of the erstwhile Essar Steel's pellet plant at Paradip and beneficiation plant at Dabuna in Keonjhar, besides development of mines.The state government is hopeful that this portion of the investment will materialise this financial year, said a senior official. ArcelorMittal along with Nippon Steel had taken over the pellet and beneficiation plants from Essar Steel in December last year.
Focus on creating job opportunities
We already have an investment plan of around Rs 2,000 crore in Odisha, which is under way. We have a lot of ideas to continue our expansion in Odisha. We are working on the development of the two mines of Sagasahi and Thakurani, one of which we have got through the auction process," Mittal said during the call, a clip of which was shared by the chief minister's office.
ArcelorMittal along with Nippon Steel had taken over the pellet and beneficiation plants from Essar Steel in December last year following bankruptcy proceedings. It was part of the Rs 42,000-crore acquisition of Essar Steel India Limited.
While the capacity of the pellet plant in Paradip would be enhanced to 12 million tonne per annum (mtpa) from the existing 6 mtpa, that of the beneficiation plant would be increased to 16 mtpa from the existing 5 mtpa, said an official statement.
The ArcelorMittal chairman, who sought the support and guidance of the chief minister, his administration and the people of the state, was assured of all help by Naveen. The chief minister in turn requested the company to add value to the mineral produced within Odisha so that jobs could be created.
"We are here to support you in every way. The chief minister's office will interact with the officials of ArcelorMittal so that the projects make headway soon," said Naveen.
ArcelorMittal bagged the Thakurani iron ore mines during the recent auction process. It has also been developing the Sagasahi iron ore block, which was won by the Essar Group in 2016.
Mittal lauded the mining auction process in the state. "The auction process was well organized. I see that this auction process, which you have designed, is one of the best processes. As an international company, this transparency is very important for us."
While appreciating the state government's handling of the Covid crisis, Mittal thanked the chief minister for his efforts to revive industries when the entire global economy has been badly hit by the pandemic.