Visakhapatnam Steel Plant (VSP) is planning a slag-based steel plant with a plan outlay of about Rs 2,000 crore. VSP is generates over 800,000 tonnes of slag every year as a by-product, of which some 1,000 tonnes are being exported.
“To fully utilise the slag and fly-ash, the management is now seriously looking at starting a slag-based cement plant,” N S Rao, director (projects), VSP, told reporters here on Wednesday.
“We want to set up this cement plant with private participation. L&T, KCP Cements and a few other cement giants have already expressed their interest to join hands with VSP. Vizag Steel Plant will take a 50 per cent stake in the proposed plant,” he said.
VSP is spending another Rs 1,100 crore on a proposed slurry pipeline. NMDC and VSP are jointly laying the 436-km pipeline for transporting 10 million tonnes of iron ore for an investment of Rs 2,200 crore.
Of the total project cost, 50 per cent will be borne by VSP. The project would be completed in two years from the day of signing the agreement, he said, adding the present expansion of the plant, from 3 million tonne to 6.3 million tonne would fully be completed by the end of this financial year.
“VSP is also giving its technical expertise to revive a 3-million tonne sick steel unit in Saudi Arabia. After the revival, there is scope to increase its capacity by another 3 million tonnes. VSP is likely to take some stake in the plant,” he said.