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Steel

Bhushan Steel to increase capacity of WB steel project

10/20/2009 02:30:00 PM

New Delhi, Oct (EPC News): Delhi based Bhushan Steel has decided to scale up capacity of its proposed steel project in Bengal to 6 million tonnes, against the original plan of 2 million tones, in partnership with Japan’s Sumitomo Metal Industries.

Bhushan Steel sources said that discussions with Sumitomo are on but it is not yet confirmed.

The land requirement for the original project was 2,500 acres. Sources indicated that the company would squeeze in six million tonnes in the same land in the Bardhaman district. The change in plan had been communicated to the state government.

Sumitomo happens to be a technical partner in Bhushan Steel’s Orissa project. The investment in the original Bengal project was estimated to be Rs8,800 crore, which also included a 0.5 million tonne cold rolling and galvanizing plant for automobile grade steel. However the changed size of the project implied that investment would more than double.