BL reported that Mr Gee Woong Sung MD of POSCO India in a letter to secretary (steel & mines) said that “We are glad that the state of Orissa has finally decided in favor of the renewal of the MoU. In the aforesaid context, we would like to inform you that we have reworked the schedule for implementation of the 12 million tonne per annum integrated mega steel plant. Now, we propose to implement the project in three phases as against the earlier proposal for implementation in four phases. We request you to take note of the above change for the renewal of the MoU.”

Each phase would now comprise of 4 million tonne of steel output. In Phase-I, POSCO intends to build two FINEX plants, one caster and one mini flat mill at a cost of INR 13,000 crore.

Phase-I is expected to be commissioned within 36 months from the date of starting of plant construction or grant of first mining lease, whichever is later. In this phase, the steel maker would produce slabs (1.5 million tonne) and hot rolled coils (2.5 million tonnes).

In the second phase, POSCO India aims to develop two FINEX plants, one mini flat mill and one plate mill entailing an investment of INR 13,500 crore. This phase is expected to be commissioned in 36 months from commissioning of Phase-I or grant of second mining lease, whichever is later. In the second phase, the company will roll out finished products like slabs (1 million tonne), hot rolled coils (5million tonnes) and plates (2 million tonnes).

In Phase-III, POSCO India would build two FINEX plants, one caster, one hot rolling mill and a cold rolling mill at a cost of INR 16,800 crore. The third phase is set to be commissioned within 36 months from the commissioning of Phase-II or grant of third mining lease, whichever is later. In the third phase, POSCO India will produce slabs (1 million tonne), hot rolled coils (7 million tonnes), plate (2 million tonnes) and cold rolled coil (2 million tonnes).

(Sourced from BS)