RINL to invest Rs 38,000 crore on expansion in Andhra Pradesh, India
12 January 2016
Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant today inked a pact with the Andhra Pradesh government for expanding its capacity with an investment outlay of Rs 38,500 crore.
The Memorandum of Understanding (MoU) was signed on the second day of the three-day-long Partnership Summit being held here.
The investment includes further expansion of RINL to 11.5-12 mtpa with an estimated investment of Rs 25,000 crore and establishing a 'Slurry Pipeline & Pellet Plant Project' (Joint Venture with NMDCBSE 1.70 % and others) at an investment of Rs 6,100 crore, as per a statement issued by the steel maker.
"PC Mohapatra, Director (Projects), RINL and Kartikeya Misra, Director of Industries, Government of Andhra Pradesh exchanged the MoU copies for establishing these projects.
The MoU envisages an investment of around Rs 38,500 crore to take up various projects at Visakhapatnam with an employment opportunity to around 3000 people, it said.
As per the deal, the state government will support the company's participation in significant projects in Andhra Pradesh, wherever feasible.
Such participation may include providing advisory services and setting up manufacturing facilities or infrastructure development or research and development or implementation support, it added.
In turn, RINL can support the development of infrastructure in Andhra Pradesh, considering government's focus on promoting manufacturing and industrialisation in the state and facilitating conducive investment environment, the statement said.