Steel Authority of India Ltd (SAIL) plans to set up a five million tonne steel plant at the closed Hindustan Fertiliser Corporation complex in Sindri in Jharkhand. The company has approached the Government for taking over the asset.

Mr C.S. Verma, Chairman, SAIL, told Business Line : “We are currently in the process of determining the value of the assets of the closed unit. We have already sent a proposal to the Fertiliser Ministry to take over the closed Sindri unit.” He however, didn't put a timeline for taking over the asset.

Mr Verma was speaking on the sidelines of “International Seminar on Achieving Sustainable Growth”, organised by SAIL in Ranchi on Friday.

Mr Verma added that SAIL was exploring coal mining opportunities in Indonesia. The Indonesian Government has allowed Indian geologists to conduct survey of three to four coal assets. Based on the geological findings, International Coal Ventures Private Ltd – a joint venture of five PSUs — SAIL, NTPC, CIL, RINL and NMDC — would identify a mine by the year-end.

Posco and Kobe JVs

On the proposed joint ventures with Korean steel-maker Posco and Japanese automotive grade steel maker Kobe, Mr Verma said detailed project reports were being prepared.

In 2010, SAIL had decided to enter into a venture with Kobe Steel to set up a new steel mill at Durgapur. The venture with Posco was proposed for setting up a new steel plant at Bokaro.

In Jagdishpur, where SAIL intends to set up make auto grade steel unit, Mr Verma said Rs 3,000 crore would be spent on setting up a Direct Reduced Iron (DRI) processing unit, an Electric Arch Furnace, Coal Dust Injection system and Continuous Casting system. KOBE is the joint venture partner in this project.

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