Shyam Group’s steel project in West Bengal on schedule

December 9th, 2008 - 6:21 pm ICT by IANS  

Kolkata, Dec 9 (IANS) The City-based Shyam Group of Industries Tuesday said its 1.1-million-tonne per annum integrated steel plant project in Jamuria near Asansol in West Bengal was on schedule, and the company had already acquired 400 acres for the project.”We will complete the first phase by 2009 with a capacity of 0.25 million (250,000) tonnes steel and 250 MW of power,” Bhushan Agarwal, vice-chairman and managing director of the company told reporters.

The total capacity of the captive power plant will be 1,000 MW after completion of the project.

The investment for the first phase will be in the tune of Rs.20 billion of which 35 percent will be raised through equity and 65 percent from debt.

“We have acquired 400 acres on our own and the state government will provide us with 180 acres over and above this,” Agarwal said.

The total land requirement for the project is 1,500 acres.

The company will require three million tonnes of coal for the first phase. It has got permission to use coal blocks from Jagannathpur and is expected to get permission for Kunur block soon, he said.

It will also require 0.9 million tonnes of iron ore for the first phase, Agarwal added.

The group is also setting up a port at Baliharchandi in Orissa with 30-40-million-tonne capacity in a joint venture with plywood maker Century Plyboards.

“It is a 50:50 joint venture and the first phase will be completed within 24 months from the day we start acquiring land,” Milan Agarwal, senior executive, project coordinator of Shyam DRI Power Ltd said.

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