JSW Steel to invest Rs 75 bn in Karnataka to expand Vijayanagar facility

Stock Market - JSW Steel is investing around Rs 75 billion in Karnataka to expand the capacity of its manufacturing plant in Vijayanagar, Ballari, apart from setting up a new coke oven plant. The expansion would enable the company to increase the capacity of the plant to 13 million tonnes per annum (mtpa) from 12 mtpa by March 2020, the Sajjan Jindal-led company said.

JSW Vijayanagar Works is the largest single location steel manufacturing unit in India.

"The new capacity creation at JSW Vijayanagar Works steel manufacturing unit supports our company's growth plans while further improving the efficiency of our manufacturing operations," said Vinod Nowal, deputy managing director, JSW Steel. "With steel consumption in India expected to grow, these capacity enhancement initiatives will ensure our readiness to promptly service emerging customer demand."

The company said it would set up a 1.5 mtpa coke oven plant at Vijayanagar to bridge the current and expected gaps in coke availability. The coke oven unit which is likely to be commissioned by March 2020 is expected to provide cost savings for the company over the longer term.

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JSW Steel to invest up to $500 mn to acquire, upgrade Acero Junction Inc

JSW Steel today said it will invest up to USD 500 million (about Rs 3,390 crore) to acquire, upgrade and enhance US-based integrated steel manufacturing unit Acero Junction Inc in phases.

Acero Junction Inc, an integrated steel manufacturing unit with a potential capacity of 3 MTPA (million tonne per annum), is located in Ohio. The proposed investment will be made in two phases.

"This investment takes JSW's overall investment blueprint for the US market, to produce American melt and manufactured steel, to up to USD 1 billion," the company said in a regulatory filing.

In phase 1, JSW will revamp and restart the electric arc furnace and the slab caster, and modernise the hot strip mill.

The proposed investment, including the cost of acquisition, is expected to be approximately USD 250 million.

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