Tata Steel's six million tpa project at Kalinganagar, Orissa has been postponed due to a delay in the allotment of iron ore lease by the Orissa Government.
According to an agreement with the State government, the company was to have got the lease after putting in place 25 per cent of the equipment required for the project. However, Tata is waiting for the State to allot the mines.
The company had lined up an investment of Rs 15,400 crore and acquired most of the 1,360 ha required for the project. It had also placed orders worth Rs 6,500 crore for equipment such as blast furnace, steel melting shop and other civilian structures.
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