Larsen and Toubro (L&T) and Dubai Aluminium (Dubal) have jointly submitted a revised Rs 21,500 crore investment proposal in Orissa to set up a refinery, a smelter and a captive power plant (CPP), as well as an independent power plant (IPP) in the future. |
The refinery will be set up at Raygada and the company proposes to set up the smelter and the CPP either at Sambalpur or Jharsuguda. The IPP will be set up at Sambalpur. |
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The refinery will have a capacity of 3 million tonnes per annum (MTPA) and the smelter 0.22 MTPA. The CPP will produce 600 mw, primarily for the refinery and the smelter, and the IPP will generate 1200 mw. |
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L&T and Dubal first approached the Orissa government two years ago with a proposal for an alumina refinery. However, state officials insisted that the project should include scope for setting up a smelter and power facilities. |
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Now the partners have come up with a revised plan providing for a smelter, a CPP and a IPP. |
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The refinery will entail an investment of Rs 8,900 crore and the smelter and the CPP Rs 6,700 crore. The IPP will require an investment of about Rs 5,900 crore. |
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About 2,600 people will be directly employed by the refinery, smelter and CPP projects. The IPP will employ about 950. |
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Orissa Industries Minister Biswabhushan Harichandan confirmed that L&T and Dubal had submitted a mega investment plan. "Discussions with L&T and Dubal are going on at the highest level and we are hopeful of signing the deal soon," the minister said. |
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The state government has already set up a task force headed by Chief Secretary Ajit K Tripathy to carry forward negotiations on the projects. |
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It is learned that the government has asked the capacity of the smelter to be increased from the proposed 0.22 MTPA to 0.66 MTPA and the company is considering this request. |
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The state government is looking for higher revenue, enhanced downstream activity and generation of more direct employment. |
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"We want more value addition from the projects lined up by L&T and Dubal. We are hopeful of them accepting our proposals," a state official said. |
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