The first module of six million tonne greenfield steel plant of Tata Steel at Kalinganagar in Jajpur district is set to go on stream by September, 2014.
The Kalinganagar project, the first integrated steel plant of Tata Steel outside Jamshedpur in its over century old history, is being set up in two modules of three million tonne each.
“Kalinganagar plant will start production in the second half of 2014,” said Anand Sen, vice president, Tata Steel, on the sidelines of launch of a skill training programme of the company here.
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However, the cost of the project, which was estimated at Rs 15,400 crore at the time of signing of MoU in 2004, has escalated to about Rs 40,000 due to delay in taking it off the ground.
A police firing at the plant site in 2006, which killed 13 tribals protesting land acquisition, had pegged back the start of work. The company is currently constructing the first module of the project on 1,700 acres of land it has in its possession with plans to scale up the capacity to six million tonne as and when it takes possession of the rest of the 3,500 acres it has been allotted.
The first phase work, which includes three million tonne steel capacity and the common facilities for the full project, will cost about Rs 30,000 crore.
The plant, which will employ indigenous as well global technologies to convert iron ore and fines into steel, will produce only flat steel products meant for use in automobile sector.
Launching the skill development programme, Tata Steel vice president, Anand Sen, who has recently been put in charge of the Kalinganagar project, said, “The programme will encapsulate skill development on steel fabrication, enrollment of rural entrepreneurs into Pradhan Mantri Employment Generation Programme (PMEGP), hand-holding support to the rural youths from concept development to sustenance of the business.”
The programme is being implemented in association with Kolkata-based Institute of Steel Development and Growth (INSDAG).
The company has selected 50 persons from different parts of the state to impart the skill development and entrepreneurship training.
The duration of the course is 13 months. INSDAG will collaborate with local ITI centers such as Konark Institute of Science and Technology to provide practical training.
“The initiative will also support the entrepreneurs to register their units in PMEGP and help in setting up the fabrication units,” said the company in a statement.