ArcelorMittal may revive Karnataka steel project – Report
Published on Tue, 13 Feb 2018
DNA India reported that ArcelorMittal is reviving its plan to set up a steel project in India, almost eight years after it signed a pact with the government for a INR 30,000 crore project at Bellary in Karnataka The decision to revive the project, which almost got dumped and replaced by a solar power project, follows global revival in the steel industry. ArcelorMittal informed the government last week of its decision of manufacturing of iron and steel at integrated plant in a phased manner.
Sources said that the revival decision follows two recent trips of Mittal to India in December-January.
ArcelorMittal had inked a deal in 2010 to set up a 6 million tonne per year steel plant. For its INR 30,000 crore investment plans, about 4,865 acre was sought by the steel giant in Bellary district, of which 2,000 acre was allotted by 2013.
But a global recession in steel industry along with the failure of ArcelorMittal to secure iron ore mine in Karnataka mothballed the project and the decision to dump the project became evident when in January 2016 ArcelorMittal CEO Sanjay Sharma told Karnataka chief minister about a plan to create 600-megawatt solar power plant instead.
Since then, the fortunes of the global steel industry and that of ArcelorMittal have transformed for the better.
Source : DNA India