Mr Verma signs MoU with province of Central Kalimantan in Indonesia

Wednesday, 26 Jan 2011
Mr CS Verma chairman of Steel Authority of India Limited as well as chairman of Indian Coal Videsh Limited signed a MoU with Governor of Central Kalimantan, Indonesia, HE Mr Agustin Teras Narang for development of mineral deposits, setting up of mineral processing facility, steel plant and required infrastructure in the province of Central Kalimantan.
The MoU was signed in the presence of president of Indonesia, HE Susilo Bambang Yudhoyono minister of Commerce & Industry Government of India, Mr Anand Sharma minister of state for external affairs. Mr E Ahamed and senior officials of the government of Indonesia.
The MoU envisages setting up of steel plant and mineral processing facility by optimization of large natural resources of Province of Central Kalimantan, such as coking and thermal coal, iron ore and other minerals for economic development of the Province and meeting the requirement of coal of the promoter companies of ICVL through mutual partnership. While the province will provide ICVL with necessary maps and licenses, ICVL will undertake preliminary survey and exploration activities to find the location and suitability of the quality of minerals and the size of reserves both for domestic use in Indonesia and for exports. A techno economic feasibility study will be undertaken jointly by the two institutions to explore construction and development of mineral processing facility and steel plant of suitable capacity in the region.

Speaking on the occasion, Mr HE Susilo Bambang Yudhoyono said that “Indonesia is rich in coal and other minerals, we can see great cooperation between India and Indonesia to explore opportunities for processing of iron ore and other minerals.” Mr Anand Sharma hailed the MoU as a ‘significant and defining relationship’ between the two institutions. He invited close cooperation in multilateral forum between India and Indonesia, the latter being ‘a growing hub of economic activity’. Underlining the importance of the deal.

Mr CS Verma said that “The MoU marks the beginning of our mutual intent for long term engagement with each other in the area of economic cooperation between both the institutions”.
ICVL is a Joint Venture of SAIL, Coal India Limited, Rashtriya Ispat Nigam Limited, NMDC Limited and NTPC Limited. The MoU is a vital step forward in capitalizing on the synergies between the two institutions for mutual benefit and growth. It is hoped that this will be a beginning of a long term collaboration for efficient execution of sustainable projects