Bhubaneswar:
South Korean Steel maker POSCO is planning to lay foundation stone for its 8 MnTPA integrated steel plant in Odisha in the beginning of 2014. The President of South Korea is expected to come to Odisha to lay the foundation stone of the project.
“We are hopeful that POSCO will be able to start work by the beginning of next year. Odisha government has assured that the renewal of MoU will be done very soon” said South Korea Ambassador to India Mr.Lee Zung yu after his meeting with Odisha Chief Minister Naveen Pattnaik the state secretariat.
Odisha CM Mr Pattnaik has also said that the work of the project will begin shortly.
POSCO India had signed MoU with the state government on June 22, 2005 for its 12 million tonne greenfield steel plant to be set up near Paradeep (Odisha). The MoU valid for five years expired on June 21, 2010. The extension of the MoU was delayed ostensibly due to differences between the state government and POSCO India over ore swapping and employment clause.
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The project has been delayed due to problems in land acquisition and getting statutory clearances. Later the company had agreed to decrease the plant capacity to 8 million tonnes per annum and had also agreed to drop the controversial iron ore swapping condition placed in the original MoU.
Recently, a UN panel of experts urged South Korean steel giant Posco on Tuesday to suspend plans for a $12 billion steel plant over concerns the project threatened the rights and livelihoods of tens of thousands in eastern India.
Reported by Tapan Moharana
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