ArcelorMittal may finally start its first Indian greenfield project at Bellary in Karnataka
Sharad Matade 14 February 2011

Karnataka has acquired around 800 acres of land near Bellary, out of the required 4,000 acres for ArcelorMittal’s project—for which the steelmaker has already deposited Rs300 crore. The State government expects to procure the rest of the land over the next four to five months

Finally, the world's largest steelmaker, ArcelorMittal's dream plan of setting up a greenfield project in India, has started materialising, as Karnataka has begun acquiring land for the project.
"The State government has acquired around 800 acres for the project so far, and the rest of the land will be acquired over the next four to five months," a highly-placed source in the Karnataka government, who is familiar with the development, told Moneylife, preferring anonymity.
This information (of the State acquiring land) was confirmed by Mr Satish (who goes by only one name), who is joint director, Karnataka Udyog Mitra, the Government of Karnataka organisation which promotes and facilitate investments, and assists investors. He told Moneylife, "The land acquisition is in progress."

The company requires around 4,000 acres for its proposed six-million-tonnes-a-year integrated steel plant and a 750-MW captive power plant. ArcelorMittal plans to invest around Rs30,000 crore for the project.
Last month, BS Yeddyurappa, chief minister, Karnataka, offered two sites for ArcelorMittal's proposed project. Now Bellary has been selected, according to information received by Moneylife.
"We have started acquiring land at Bellary. Notifications and other initial processes have been completed and compensations are being paid to farmers and landowners," said Mr Satish.
"The company has deposited around Rs300 crore for the land acquisition," he added.

After several failed attempts to set up integrated projects in Orissa and Jharkhand, the LN Mittal-controlled company choose Karnataka, which possesses rich iron ore deposits, to set up its plant.
"The construction work will start once the land-acquisition process is completed," added the government source.
The company had plans to set up two 6 million tonnes per annum steel plants in both Orissa and Jharkhand-with an investment of Rs1,000 billion-to tap surging demand, mainly from the auto and construction sectors, for steel in India, one of the fastest growing economies in the world. However, ArcelorMittal's plans could not be executed as landowners refused to surrender their lands for the projects in both Orissa and Jharkhand.
In fact, most steelmakers' plans to set up greenfield projects in Orissa and Jharkhand have remained unfulfilled, due to stiff opposition from locals and environment clearances.
Korean major POSCO will also set up its second integrated steel plant in Karnataka and it has already identified the location.
"POSCO has chosen Halligudi in Gadag district and till today (it has) deposited Rs60 crore," Mr Satish told Moneylife.
The South Korean steel major will acquire 3,000 acres of land and will invest around Rs30,000 crore for the six-million-tonnes-a-year plant.
Recently, the Korean major had received a green signal from the MoEF to build a 12-million-tonne-a-year steel plant in Orissa.
Industry experts feel that the participation of the global steel companies is actively needed to achieve the country's target of producing 120 million tonnes of steel per annum by the end of 2012. According to the World Steel Association, whose members produce around 85% of the world's steel, India produced 66.8 million tonnes in the last year. Indian steelmakers expect that the country's steel demand will rise by 9% to 10% in the coming years.

7 years ago

dayanand pandit
1 decade ago
I want contact number and mail id for mittal steel and POSCO steel in karnataka.
Ramachandra t
1 decade ago
can i get contact numbers of mittal steel & Posco steels
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