SAIL Kobe JV plans Rs 15,000 Cr iron nugget plant in WB

Kolkata: Steel Authority of India (SAIL) is likely to set up an iron nugget plant with Japan's Kobe Steel at its unit in Durgapur, the Alloy Steel Plant.

The iron nugget plant, a patented technology from Kobe Steel, will cost around Rs 5,000 crore for a module of 500,000 tonnes.

The plant will use low grade iron ore to produce highly pure iron nuggets, which is used as feedstock in electric arc furnaces.

The joint venture with Kobe will be finalised over the next two months.

The detailed project report will be ready by mid-November for the three million tonne plant, following which the joint venture agreement would be signed. The investment would be Rs 12,000-15,000 crore.