SBQ Steels has chalked out an investment plan of Rs 6,000 crore for expansion of the steel plant capacity and to set up a power plant in Andhra Pradesh.

Of the total capex, the company is planning to invest Rs 4,500 crore to raise the steel plant capacity from 0.5 to 2 million tpa and Rs 1,500 crore to set up a 300-MW plant.

The company is setting up an integrated steel plant in Chillakur mandal in Nellore district of the state which was commissioned in August 2009. The company is likely to complete the Rs 1,500-crore project with a capacity of 0.5 million tpa of finished steel by end-December 2010.

The company has sought assistance from the Andhra Pradesh Government for the proposed expansion project. The company has also requested for additional land for expansion project and mentioned that necessary survey for laying a private railway line and a corridor from the port to lay a conveyor has been completed.

Also See:

Phase I of SBQ Steels' plant to be inaugurated (02-Sep-09)