NMDC has drawn a major investment plan of Rs 24,000 crore to fund its iron ore and steel expansion plans in the coming five years.

NMDC is likely to spend the funds in two integrated steel plants, two pellet plants and two iron ore mines. The three-million tonne integrated steel plant in Jagdalpur, Chhattisgarh, is to cost around Rs 16,000 crore. Two proposed pellet plants - one in Bacheli (Chhattisgarh) with two million tonne capacity and the other in Donimalai (Karnataka) with 1.2 million tonne capacity - is expected to cost Rs 800 crore and Rs 600 crore, respectively.

The development of two iron ore mines - Deposit 11B (with reserves of 114.3 million tonne) and Kumarswamy (130.4 million tonne) will entail an outlay of Rs 700 crore each. The cost of the proposed two-million tonne steel plant in Karnataka will be known after a DPR is prepared; however, expenses will have to be incurred in the coming five years to begin the project.

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NMDC plans second steel plant in Karnataka (06-Mar-10)