Essar Steel has tied up with Stemcor
of UK to set up a steel plate mill at Hazira in Gujarat. A new joint venture --
Hazira Plate Mill -- will be formed to implement the Rs.1,969 crore project.
While the Essar Group would hold 76 per cent stake in the JV, Stemcor would be a
minority partner with 24 per cent.
The plate mill with a capacity of 1.5
million tpa will receive technology from VAI Celcim of France. The mill will
manufacture wide plates of width 5m and would be the first such in India.
According to reports, 5m plates are produced only by six international
companies. These plates find application in wide-diameter pipelines, ship
building, boiler making and general construction.
The project has received financial
closure with SBI Capital Markets and IDBI Capital Market Services arranging the
entire debt component of Rs.1,150 crore.
The project is scheduled for
commissioning by December 2007.
For more stories on Essar and Stemcor,
click here.
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