SAIL Joint Venture
Monday, January 7th, 2008
Steel and chemicals minister Ram Vilas Paswan said SAIL is looking for more joint ventures in India and abroad for coking coal mines.
“Considering the scarcity of coking coal in India, we must source it from all possible places,” Paswan said at the foundation stone-laying ceremony of Rourkela Steel Plant’s (RSP) modernization and expansion programme. Sail recently formed a special purpose vehicle with Coal India Ltd, NTPC, NMDC and RINL to scout for coal assets abroad.
Paswan said the Orissa government should renew Sail’s licences for iron ore mines in that state. “We have already sent the lease-extension file on Thakurani iron ore mine to the state government. It is up to Orissa chief minister Naveen Patnaik to give the nod as early as possible,” he said. Sail has also been pitching for lease extensions of Bersuah, Kalta and Taldih mines.
Following the expansion which SAIL’s board cleared on May 21 last year, RSP’s crude steel production capacity will rise from 2 million tonne to 4.5 million tonne by 2010. RSP, SAIL’s first unit to get an above-100% expansion nod, will get Rs 9,000 crore for the expansion which includes increase in production of hot metal and crude steel. The steel minister said SAIL will raise production to 26 million tonne from the current 14 million tonne. On the proposed Posco plant in Orissa, the minister said, “Posco is no threat for us.”