Tata Steel starts Jamshedpur plant expansion

With enhanced capacity of 10 mt, it will become world's single-largest unit.

Tata Steel on Monday began work towards enhancing the capacity at its Jamshedpur plant to 10 million tonnes by 2010, with a groundbreaking ceremony.

The expansion plan involves additional steel capacity worth 2.4 million tonnes and a 6 million tonnes iron ore pellet plant. It would also entail augmentation of the pellet plant to six million tonnes.

Besides, the capacity at Hooghly Met Coke and Power Company, the company's joint venture with West Bengal Industrial Development Corporation, would be increased to 1.4 million tonnes.

B Muthuraman, managing director, Tata Steel, said, "Though there are many challenges, I am confident that the project will be managed efficiently. With the project to be completed in December 2010, Jamshedpur will become the single largest unit and one of the most modern plants in the world. With the completion of this project, we will be able to fulfill the promises made to customers."

The groundbreaking ceremony was performed inside the work premises by Muthuraman. Also present were H M Nerurarkar, chief operating officer (steel), Raghunath Pandey, president, Tata Workers Union and R P Singh, vice-president (engineering services and projects).

The Jamshedpur facility currently has a capacity of five million tonnes. With the acquisition of Corus, the combined enterprise has an aggregate crude steel production capacity of around 28.1 million tonnes.

Apart from expansion at Jamshedpur, Tata Steel has undertaken three greenfield projects in Jharkhand, Orissa and Chhattisgarh for a combined capacity addition of 23 million tonnes.

The company also plans to build steel plants at Vietnam, Iran and Bangladesh.