Tata Steel has requested the Orissa government to extend the Memorandum of Understanding (MoU) period for its Kalinganagar steel plant.
The company has applied to extend the MoU to 2014 after it expired in November 2011. The company has already acquired 3,000 acres of land for the project. Tata Steel had initially signed a MoU with the state government for setting up of a six million tonne steel plant in 2004.
The company has already invested Rs 11,000 crore for the first phase of the project, in which the company will have the capacity to produce three million tonnes of steel per year. The Kalinganagar plant of Tata Steel will produce only flat steel products and the first phase is expected to be completed by early 2014, said a company release.
