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NMDC to invite EoIs for steel projects

Saturday, 05 Apr 2014

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NMDC is planning to invite EoIs for acquiring stake in four mega steel projects in the country in FY15.

The company has been appointed as a nodal agency to bid out public-private partnership (PPP) projects in the steel sector. It has identified lands in Jharkhand, Orissa, Chhattisgarh, and Karnataka and will start bidding process for at least two mega steel plants in FY15.

At present, NMDC is in discussion with the respective state governments for transfer of land and devising the model for the proposed initiative to be implemented under an SPV route. The company will obtain all approvals for the projects before putting it under the bidding route.

The size of the steel plants will depend on the linked iron ore resource provided by the state mineral corporations.

NMDC, which may also be a major merchant miner for these steel projects, is yet to decide whether it will hold anywhere between 10 per cent to 26 per cent stake in the project or just remain a supplier of the raw material.