The memorandum of understanding for the project was signed between Jharkhand government and the US company recently. The project would be the first one funded through foreign direct investment (FDI) in Jharkhand since the state was constituted through bifurcation of Bihar in 2000.
The refinery project will have a captive power plant. It would produce one million tonnes of metallurgical grade aluminium. It would be set up in phases and the first phase would entail investment of Rs 3,500 crore.
In the second phase the US company would invest the balance Rs 2,500 crore on the plant. In addition, the cost of the captive power plant would be in the region of Rs 500 crore.
The project will come up on 1500 acres of land which the government would identify and hand over. The government will also grant a lease for mining bauxite to supply raw material to the proposed plant.
TechAI would export the the aluminium produced for a period of 20 years making the plant 100 per cent export-oriented unit. The project would employ 3,000 persons.
The state government had announced its new industrial policy in 2001. However, industry bodies and companies have complained that the state had not granted any of the benefits and concessions promised in the policy till now.
Industries forums have been agitating for implementation of policy. On its part, the state has promised some more incentives recently.
