BL reported that Steel Authority of India Ltd is exploring Kobe Steel’s technology to modernize Visvesvaraya Iron and Steel Ltd plant in Bhadravati, Karnataka.

Mr CS Verma chairman of SAIL said that “The Japanese steel major is doing techno feasibility study of all our plants, once we get the report, it will help us devise a strategy for VISL plant modernization as well.”

He added that “VISL plant in Bhadravati is well suited for making alloy steel and speciality steel. Also, it is located close to the port and is well suited for exports.”

After the closure of mines at Kudremukh and now Bellary, VISL plant is starved of raw material. Mr Verma said that “We have approached the central government to allot a captive mine in Karnataka. The government is proactive, but we are waiting for environmental clearance.”

For VISL plant modernization, SAIL is planning both short term and long term strategies. As part of the short term plan, INR 80 crore to 90 crore is to be spent to upgrade the existing machinery to start steel production immediately. Under the long term plan, INR 600 crore to 700 crore will be spent to bring in modern steel making technology and machinery for exports.

Currently, SAIL is exploring a joint venture with Kobe Steel to increase its steel output in the country.

(Sourced from BL)