Liberty Steel’s Adhunik Metaliks & Zion Steel Shut for Maintenance
Moneycontrol reported that the India units of Liberty Steel have been shut prompting speculation that the step was taken to conserve cash. However a Liberty spokesperson clarified that the shut down is not related to the challenges faced by Liberty Steel in other geographies. He said "It is a scheduled maintenance for which the plant has been shut.”
Liberty Steel had acquired Adhunik Metaliks and Zion Steel in October 2020, both of which had been submitted to the insolvency courts by their lenders. While Adhunik has a capacity to make half a million tonne of steel a year, Zion can churn out 400,000 tonnes a year. Both the units are located in Sundergarh in Odisha. Adhunik is an integrated steel plant located at Chadrihariharpur near Rourkela in Odisha. The plant has sponge iron facility, blast furnace and electric arc furnace steel making, ferro alloy plant and a 34MW captive power plant. The sites produce alloy steel products for the automotive, energy, engineering and oil & gas sectors besides participating in the commodity market of sponge iron and billets.