ArcelorMittal scraps $12 bn steel project in Odisha

Posted July 21, 2013 11:00 pm

Swati

EPC World News: 22 July,2013: India,Bhubaneshwar: The Indian FDI prospects met another blow when the country saw two major foreign investment pullouts in a row first by a Korean steel giant Posco and now world's largest steel maker ArcelorMittal scrapped its $12 billion (Rs 50,000 crore) steel plant in Odisha.

Steel baron Lakshmi Mittal-headed ArcelorMittal's proposed plant in Odisha was among the biggest foreign direct investments India has attracted but the company decided to scrap the project due to inordinate delays, problems in acquiring land and securing iron ore linkages.

The company said in a statement that ArcelorMittal has met today with the Government of Odisha's Chief Secretary to inform him that the company has decided not to progress with its planned construction of an integrated steel plant and a captive power plant in the district of Keonjhar.

The development comes just a day after South Korean steel major Posco pulled out of its Rs 30,000-crore steel mill in Karnataka and the government widened its doors to foreign direct investment for a dozen sectors.

EPC World News Bureau

Article Comments

Article Categories
Communities Indian Creek Submitted Content

Article Comments

Guidelines: Keep it civil and on topic; no profanity, vulgarity, slurs or personal attacks. People who harass others or joke about tragedies will be blocked. If a comment violates these standards or our terms of service, click the "flag" link in the lower-right corner of the comment box. To find our more, read our FAQ.