Posco, Orissa Govt talks deadlocked/over mining rights

摘要

THE 10-billion dollars steel plant project in Orissa by the world's fifth largest steel-maker from South Korea's Posco Ltd, has apparently run into rough weather following the Korean firm's insistence on concessions in mining iron ore and buying back the same. A spokesman of the Korean steel giant said in Seoul only a few days ago, "We are still in talks with the Orissa Government and remain committed to the project". Subsequently reports surfaced that a crucial signing of the memorandum of understanding (MoU) between the project firm and the State Government is held up presumably on the issue of iron ore mining. The massive steel plant project, part of Posco's ongoing move to expand production globally to take advantage of the hardening of steel prices, includes building a 10-million-tonne steel plant, a 30-million-tonne iron ore mine, a hot strip mill for making hot rolled coil and a sea port in Orissa. Once commissioned, the plant will help one of India's backward States, to boast of a manufacturing hub for efficient steel production and associated infrastructure development.