Orissa may allow POSCO to export and import iron ore

Friday, 01 Apr 2011

Orissa government has agreed with POSCO India to allow swap of certain quantities of iron ore for production of better quality steel in its proposed 12 million tonne per annum steel project near Paradip.

This was stated by Orissa Steel and Mines Minister Mr Raghunath Mohanty while replying to a question in the state assembly.

Mr Mohanty said that “The company may swap certain quantities (not exceeding 30% of the requirement for the Paradip plant annually) of such iron ore which have high alumina content with equal quantity of low alumina content iron ore of equivalent or better Fe content imported for blending in order to produce better steel in the Paradip project and conserve energy.”

The minister said that state government is examining other factors associated with swapping of iron ore with the company.

Mr Mohanty said that the matters under state government’s examination are the amount of foreign exchange to be spent on importing better quality iron ore, the country from which the raw material would come and the veracity of pollution to be created due to processing of such imported ore.

(Sourced from PTI)

Orissa Government to renew MoU with Posco says Minister Raghu Nath Mohanty

Wed, March 09, 2011

Bhubaneswar: Odisha Government will renew the Memorandum of Understanding (MoU) with POSCO for setting the `52,000 crore Steel Mill near Paradeep in Jagatsinghpur district. It was announced by Steel and Mines Minster Raghu Nath Mohanty. And this time the process has been started to extend the deal period for a six years instead of five years.

He indicated that the renewal of the MoU was in advance stage of finalisation and would be put in place soon. With the Union Ministry of Environment and Forest on January 31 giving Clearance with conditions for the setting up of the controversial multicrore POSCO steel mill and the captive port, the biggest FDI in the country, the Odhisa Government had initiated steps to regularise the deal to help start the work. The conditions put-forth by the MoEF for the proposed integrated POSCO Project were also examined thoroughly and soon all the points would be Complied with soon, said that Minister of Steel and Mines.

He indicated that the compliance is likely to be made within next three days to the MoEF. Stating that the project would herald a new area of industrialisation and economic growth in Odisha and the country as well, Industry Minister said that the state government had already formulated a new recruitment policy for the ongoing and upcoming industries with the main thurst of more employment of locals.

He said that the same would be applicable to POSCO. As per the new Police, 90 per cent of the required semi-skilled and un-skilled worked would be provided employment in the POSCO.

Similarly, 60 per cent of the skilled jobs would be reserved for the locals and in Managerial posts 30 per cent of the local people would be provided jobs in the project, he said.

The MoU signed on 22nd June 2005 between the Government of Odisha and POSCO for a period of five years had already lost its validity since August 2010.