Tuesday, September 21,
MSP Steel and Power, an integrated steel producer, will complete the first phase of Rs 800-crore capex to add 1 lakh tonne of Sponge iron and 18-MW power capacity by next month at its plant in Chhattisgarh.
In phase-II, which is expected to complete by July next year, the Kolkata-based company will add 1 lakh tonne of sponge iron, 6lakh tonnes of pellet capacity and 34 MW of power production.
Currently, the company has capacity to produce 3 lakh tonnes an annum of pellet, 1.92 lakh tpa of Sponge iron, 1,44,109 tonnes of steel melting, 80,000 tpa of roiling mill, 1.28 lakh tonnes of structural rolling and 24 MW of power plant. It also has coal washery and railway siding.
Mr Saket Agrawal, Director, MSP Group, said the company is focused on strengthening its backward integration by increasing the production capacity for sponge iron, pellets and power.
“The iron ore beneficiation plant has helped us to bring down cost of steel production by Rs 4,000 a tonne. The company’s raw material cost will be down further when we start sourcing Iron ore from mine allotted to us in Chhattisgarh. The mine has reserves of 35 million tonnes and will be operational by FY’14,” he added.
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