Steel manufacturer ArcelorMittal Nippon Steel (AM/NS) India plans a 6mn t/yr capacity expansion of its upstream and hot-rolling facilities at Hazira plant in Gujarat.
The company aims to build two blast furnaces, two sintering facilities and three coke furnaces for the ironmaking process at Hazira, and plans to make three basic oxygen furnaces, two continuous casting machines for steelmaking and one hot strip mill by utilising the unused land at the plant.
It is expected to be completed in two phases, with phase 1 covering blast furnace 2 and related facilities and new steelmaking and hot-rolling facilities by the second half of 2025. Under phase 2, blast furnace 3 and related facilities will be completed by the first half of 2026.
The expansion will take the total crude steel production capacity at Hazira to 15mn t/yr and cost 410bn rupees [$5bn], of which $1bn will be focused on downstream capacity.
AM/NS' acquisition of the 1.2mn t/yr Uttam Galva plant that specialises in cold-rolled, colour-coated and galvanised steel processing is awaiting final approval from National Company Law Tribunal, according to the company.
The steelmaker acquired port, power and logistics assets from Indian conglomerate Essar last month, which will support the firm's long-term steel capacity expansion plans.
AM/NS' 2021 crude steel production rose 12pc from a year earlier to 7.4mn t. It plans to ramp up production to increase capacity to 8.6mn t by the end of 2024.
