Essar Steel has commissioned
a 6-million tpa pellet
making facility at
Paradip in Odisha. This is
phase-I of the 12-million tpa
pellet plant to be commissioned
by 2013.
Phase-II of the pellet plant,
with a like capacity of 6 million
tpa, is currently underway.
Essar Steel is investing
4,200
crore to set up an integrated facility
as part of its ongoing investments
in Odisha. The integrated
facility includes a 12-million tpa
iron ore beneficiation plant at
Dabuna and a 253-km slurry
pipeline connecting Dabuna and
Paradip. It will reduce the operating
costs per tonne and improve
the cost competitiveness. The
slurry pipeline, apart from being a
cost reduction initiative, is also the
most environment friendly way of
transporting raw material for the
pellet plant.
Shashi Ruia, Chairman, Essar
Group, said, "Odisha is emerging
as a big destination for
investments in the country and
Essar is committed to be a part of
this growth story. For Essar, this
pellet plant is a crucial piece in
its quest to achieve complete
vertical integration."
Once the 12-million tpa
Paradip facility is completed,
along with pellet capacity of 8-
million tpa at Vizag, Essar Steel
will have a total pellet making
capacity of 20 million tpa, making
it the largest pellet producer
in the country. The entire concept
and design of the plant is
environment friendly. The company's
iron ore beneficiation
plant at Dabuna will upgrade
the quality of low grade iron ore
fines from 54 per cent fe content
to over 63 per cent fe content.
The iron ore fines will then be
supplied through the slurry
pipeline to Paradip. The facility
also has its dedicated port and
thermal power line of 120 MW.
The total area of the facility is
installed is 9 sq. km.
The beneficiation plant and
slurry pipeline are expected
to be completed during the
next quarter.
The Paradip pellet plant is the
second significant milestone for
Essar Steel this year after completion
of the expansion of steel
capacity of 10 million tpa at
Hazira in Gujarat.