It is reported that Jai Balaji Group is likely to begin work on its proposed 5 million tonne per annum steel plant in Purulia district in West Bengal in three to six months.

The project is expected to require 3,600 acre of which the group has already acquired 1,100 acre for Phase I from West Bengal Industrial Development Corporation.

As per report phase I is likely to have two million tonne per annum metallics a 400 MW captive power plant and a one million tonne per annum cement grinding unit. The group is yet to get the environment clearance for Phase I.

The group has planned an outlay of INR 2,700 crore for Phase I and it is likely to invest in a debt equity ratio of 1:1. Of the total investment, it is planning to raise INR 1,300 crore through debt for Phase I financial closure is expected by April 2010.

The group is expecting the project work to be completed in 26 months and the production can start after that.

(Sourced from Project Today)