JSW Steel launches mining work worth ₹7,500 cr

In a bid to add to its current steel-making capacity, JSW Steel has started iron ore mining works at Tunga and Nandi mines in Karnataka and plans to produce 0.71 mtpa this fiscal to increase production capacity by one million tons per annum (mtpa) to 13 mtpa at its Vijayanagar plant in Karnataka at an investment of ₹7,500 crore. The company expects statutory clearances for the remaining three mines in this fiscal for taking the overall ion-ore production to 4.66 mtpa. The mines, which are 35 km away from its plant, once become fully operational would full fill about 20% of the iron ore requirement in Karnataka. It is already in the process of ramping up capacity of Blast Furnace-3 at Vijayanagar to improve hot metal supply. Subsequently, it plans to enhance capacity of the steel melting shop and allied facilities to use the additional hot metal, said the company in a statement. It will also set up a 1.5 mtpa coke oven plant at Vijayanagar to bridge the shortfall in coke availability. The coke oven unit, which is expected to be completed by March 2020, will provide significant cost savings, it added.