JSW Steel, on 10 November 2005, signed a contract with Siemens VAI for setting up India's largest blast furnace with capacity of 2.8 million tpa at the company's Vijayanagar works in Karnataka.

The company is expanding its steel making capacity to 3.8 million tpa by March 2006 and 7millon tpa by 2008 from the existing 2.5 million tpa.

Siemens VAI was awarded the contract for setting up a new blast furnace of 4,019 cubic meter and capacity enhancement of the first blast furnace.

This expansion project involves producing slabs, which have a good demand in the International market. Several steel producers have already approached the company to have a long-term tie up to buy slabs.

The contract will be implemented by VAI's subsidiary company VAI Industries (UK) Ltd, Stockton-on-Tees, U.K., supported by VAI Engineering & Automation (P) Ltd., Kolkata, India.

Also see:

MoU signed for Rs.35,000 crore steel plant in Jharkhand (10-Nov-05)