Amaravati, June 15: Kadapa Steel Plant will have Rs 500 equity, and negotiations are on with big ticket companies for a joint venture with the State owned AP High Grade Steels Limited.
This was revealed during a review meeting on Kadapa Steel Plant (KSP) here on Monday where the Chief Minister YS Jagan Mohan Reddy was briefed about the developments and the big companies showing interest to be part of the Steel Plant.
The Chief Minister said that there would be a Rs 500 crore equity and the negotiations are on with big Companies who are showing interest in the venture which will be coming up in YSR Kadapa district.
The officials have briefed about the discussions they held on behalf of High Grade Steels Limited with Hyundai Motors, Tata Steels, Essar Steels, among others, have shown interest in joining the KSP venture which has a capacity of about 3 million tonne annually.
The meeting discussed about the proposals of the Companies for joining the venture. Further negotiations with the companies should be completed soon and after finalising the partner, other formalities with the selected company should be completed within two months, the Chief Minister told the officials.
Within two years, developing the township and allied infrastructure should be completed, he said. By this month end soil testing and geo technical survey would be completed, the officials told the Chief Minister. Roads, power supply, main compound wall and other infrastructure should be developed expeditiously, the Chief Minister told the officials. .
The Chief Minister said that there will be Rs 500 crore equity in the KSP.
Industries minister M Goutham Reddy, Industries Department Special Chief Secretary, K Valvan and other officials were present during the review meeting.