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Steel News November 29, 2018 03:30:49 PM

ArcelorMittal to Invest in New Steel Plant in Paradip, India

Paul Ploumis
ScrapMonster Author
In the first stage, it plans to raise the capacity to 6.5 mtpa by 2019-’20.
ArcelorMittal to Invest in New Steel Plant in Paradip, India

SEATTLE (Scrap Monster): Luxembourg-headquartered ArcelorMittal has announced plans to build a new steel plant in India. The proposed plant will be built at Paradip-a major seaport town in the state of Odisha. The plant is expected to have a production capacity of 3-6 million tonnes per annum (mtpa).

The decision to build the new plant is part of ArcelorMittal’s long-term plan to boost the steel making capacity of Essar Steel from 5.6mtpa to around 12-15 mtpa in two stages. The company is said to be in final stages of takeover of stressed assets of Essar Steel. The new steel manufacturing plant will be built adjacent to Essar Steel’s existing pellet plant at Paradip, said Aditya Mittal, President, ArcelorMittal.

In the first stage, it plans to raise the capacity to 6.5 mtpa by 2019-’20. This includes the ongoing capex projects that cover several plants including Paradip pellet plant. The program also focuses on comprehensive sustainable environment management plan and also provides innovative solutions in boosting raw material sourcing, improving sales and product mix and promoting health and safety of its workers. In the second phase, ArcelorMittal plans to expand the steelmaking capacity to 8.5 mtpa by 2024.

The construction of the new plant is in line with the government’s vision to boost steel capacity in the country to 300 million tonnes per annum by 2030, as outlined in the National Steel Policy (NSP).