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JSW Steel aims to set up 10 million tonnes integrated steel plant in West Bengal

18 Aug 2011 Evaluate

JSW Steel is planning to set up a 10 million tonnes integrated steel plant in West Bengal, to be constructed at an estimated cost of Rs 35,000 crore, within the time frame the company is discussing with the state government. In the first phase, the company plans to invest Rs 20,000 crore in the project, including investments in power station and coal mines.

The firm entered into a development agreement with the state government in 2007, and has plans to construct a 3 million tonnes per annum (MTPA) steel-making capacity, along with a captive power plant of 300 MW in the first phase. West Bengal government last week decided to vest 270 acres of land from JSW, which has so far acquired 294 acres of land in West Midnapore district for the project.

The decision was taken on the grounds that the land acquired by the company was done without the approval of the land reforms department, while the Bengal's Land Reforms Act places a ceiling of 24 acres on land acquisition. Accordingly, the state government would vest 270 acres of land and the JSW Steel's Bengal unit will have to make fresh application for getting it regularize.

JSW Steel Share Price

1265.35 -14.25 (-1.11%)
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