14 firms keen to set up slag grinding units in Vizag

Vizag Steel shortlists 8 cement companies

About 14 firms from across the country have evinced interest in setting up slag grinding units by using Visakhapatnam Steel Plant (VSP)'s slag.

VSP generates about 1.4 million tonnes of slag every year as by-product and its production is expected to be doubled after the capacity expansion of the steel plant.

Moreover, about 60 lakh tonnes of slag stocks have been lying at the VSP's stockyard for the past few years.

To clear the huge stocks, VSP recently invited an expression of interest (EOI) for setting up of grinding units by using slag. Grinded slag can be used in manufacture of cement.

In response to the invitation, about 14 cement companies have submitted their EOIs to VSP. "We have shortlisted eight major cement companies and slag allotment will be made depending on their price offer," H S Chhatwal, director (commercial), VSP, said.

VSP is considering allotting slag stock of 60 lakh tonnes among three-four grinding companies instead of only one company. There is a huge export potential for ground slag too. Currently, VSP is selling slag at Rs 200 per tonne and last fiscal, it exported more than 2 lakh tonnes of slag to other countries.

VSP also plans to set up a slag-based major cement plant in Visakhapatnam with private partnership.

Previously, some major cement companies, including ACC, showed interest to set up slag-based cement plant in collaboration with VSP. "We are very serious on this proposal and very shortly we will take a decision on the matter," he said.