Posted on 24 Aug 2021
ArcelorMittal Nippon Steel (AMNS) India plans to invest INR 100,000 crore ($13.46 billion) in steel capacity expansion and new project setups in the nation.
The company intends to invest INR 50,000 crore ($6.73 billion) out of the total investment for the expansion of its Hazira-based steel plant, Kallanish notes. Funds will also go to solar energy, wind energy and hydrogen gas production in Gujarat.
"During the meeting with the Chief Minister, ArcelorMittal chairman LN Mittal expressed his commitment to invest a total of INR 100,000 crore in Gujarat in the coming days," the state government says. "Responding positively, Chief Minister assured the necessary help from the state government and welcomed him for this investment."
The company intends to double the Hazira-based steel plant capacity to 18 million tonnes/year over the long term after the current debottlenecking to enable 8.4m t/y of capacity (see Kallanish passim).
AMNS India signed a memorandum of understanding with the Odisha government in March, for setting up a 12m t/y capacity greenfield integrated steel plant in the state. The company is eyeing an investment of INR 50,000 crore for the development of the project.
The company’s crude steel production remained stable on-quarter in the second quarter at 1.8mt. The company recorded sales of 1.72mt in the June quarter remaining stable against 1.7mt in the March quarter. Ebitda grew 50% on-quarter from $403 million in Q1 to $607m in Q2.
Source:Kallanish
