Dubai Aluminium has planned to set up a 1 million tpa greenfield alumina plant in Orissa in association with Larsen & Toubro. The board of Dubal has already approved the decision.

Dubal has reportedly held initial discussions with Orissa Mining Corporation and Industrial Promotion & Investment Corporation.

L&T, it may be recalled, has already been allotted a bauxite mine in Rayagada district of Orissa. The Kuturmali-Sijimali mine has estimated reserves of 200 million tonnes of bauxite. The mining lease, it may be mentioned, is sub judice following L&T's inability to set up a 100 per cent EOU within the stipulated time when the mines were allotted in 1992. L&T's attempts in roping in international partners like Aluminium Corporation of US and Al Pechiney of France had failed.

Following the proposed joint venture with Dubal, the mining lease issue might go in L&T's favour.