State-run iron ore miner NMDC Ltd has shelved plan of inducting a partner for its Rs 15,525- crore maiden steel venture and is going ahead solo by employing people with expertise to run a steel mill.
"At the moment, there is nothing. My intention is to run the plant on our own. If require, we will employ people with knowledge," NMDC's newly-appointed Chairman and Managing Director (CMD) Narendra Kothari told PTI.
Incidentally, Kotahri was heading the Burnpur steel plant of Steel Authority of India (SAIL) before joining as the CMD of NMDC last month.
NMDC has already appointed former Rashtriya Ispat Nigam (RINL) Chairman AP Choudhary as a full-time advisor with full administrative powers on technical matters for implementation of projects in the 3 million tonnes per annum (mtpa) steel plant at Nagarnar in Bastar region of Chhattisgarh.
The plant is likely to go on stream by October, 2016.
NMDC had been without a regular boss following retirement of Rana Som in December, 2011. Company's Technical Director NK Nanda and Steel Authority of India (SAIL) Chairman CS Verma ran the country's largest iron ore producer during the period.
It was during this period, the company decided to rope in a partner at the behest of senior steel ministry officials who were of the view that NMDC had no experience in running steel business.
The tender inviting interests from both international and domestic firms was floated in February last year, but response was tepid with only SAIL and RINL evincing interests to become the joint venture partner. NMDC was initially willing to offer 49 per cent stake.
Later, it even thought of offering management control to the proposed partner in a fresh round of EoI, however, it did not take off.
The tepid response to the proposed project has surprised officials since the project is free from hazards of land acquisition and there are no issues on uninterrupted iron ore supply to feed the project. A good part of the work on the project has already been completed as well.
NMDC is already in possession of about 2,120 acres of land for steel plant, township and other facilities.
Kothari said the project is progressing well and it would be completed as per schedule in October, 2016 as things have started moving expeditiously overcoming initial delays.
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