Ispat Industries gets rights for Latua iron ore mines
14 Jul 2008
Mumbai: Ispat Industries has been allocated the Latua iron ore mines in Jharkhand for its proposed 2.8 million tonnes steel plant in the state.
The ministry of mines has given necessary approval for allocating the Latua iron ore mine to Vinod Mittal-led Ispat, official sources said.
The Jharkhand government had, in February this year, sought the centre's permission for allocating 520 hectares of Latua mines on lease to Ispat Industries.
The Latua mine has an estimated reserve of over 100 million tonnes ore, with an iron content of 64 to 65 per cent.
Ispat Industries had signed a memorandum of understanding with Jharkhand government in 2007 to invest Rs7,000 crore for setting up a 2.8 million tonnes greenfield steel plant in West Singhbhum district.
The company plans to scale up the production capacity to 5 million tonnes. The plant would require a total of 250 million tonnes of iron ore over a period of 30 years when its plant reaches optimum production capacity of 5 million tonnes.
Ispat Industries is sharing the Behrabandh coking coal block in Madhya Pradesh with Essar, Mukund Steel and Ind Synergy. Of the total 170 million tonnes of the total reserves in the captive block, Ispat got 70 million tonnes.
