Posco, SAIL to set up R18K-cr integrated plant in Jharkhand.

South Korean steel major Posco and state-run SAIL would jointly set up a 3-million-tonne integrated plant in Jharkhand with an estimated investment of about Rs. 18,000 crore.

Posco's global CEO Kwon Oh-Joon, India CMD Gee Woong Sung and South Korea's Ambassador to India Joon-gyu Lee met Prime Minister Narendra Modi recently and is learnt to have briefed him about the company's investment plans in Jharkhand.

Although the PMO described the meet as a courtesy call, a government source said Posco's top brass sought his approval in setting up the greenfield project adjacent to SAIL's existing plant in Bokaro.

A steel ministry official told The Indian Express that both SAIL and Posco have resolved their earlier differences on ownership of the proposed project. After fresh rounds of talks spanning over the last two months, it has been decided that SAIL and Posco would hold 49 per cent stake each and the remaining 2 per cent would be held by a financial institution. Since the PSU has adequate surplus land at its Bokaro unit, the proposed project would not need to acquire any additional land, the official said.

On recent evening, Posco officials met steel minister Narendra Singh Tomar and briefed him about the progress made in the proposed Jharkhand project so far. When contacted, SAIL chairman CS Verma said he was present at the meeting, but refused to divulge further details. They told both Modi and Tomar that the company is exploring further opportunities in Maharashtra and Gujarat.


THE INDIAN EXPRESS