Sajjan Jindal plans deep seaport in India's Orissa

The Jindal South West (JSW) group is planning to invest Rs.15-20 billion to set up a deep seaport in Orissa, a top company official said here Friday. We plan to invest Rs.15-20 billion to set up a deep seaport in Orissa, which will cater to our upcoming steel plant at Salboni [in West Bengal, JSW Steel vice chairman and managing director Sajjan Jindal told reporters on the sidelines of a meet organised by Associated Chambers of Commerce and Industry of India (Assocham).

The port, to be constructed by JSW group company JSW Infrastructure and Logistics Ltd, will be located at the mouth of river Subernarekha in Orissa’s Bhadrak district.

JSW Steel would start construction of its Salboni project this November, Jindal said.

The plant, expected to be completed by 2011-12, would have an initial capacity of three million tonnes a year. This would be later enhanced to 10 million tonnes.

The plant would also have a 300 megawatt power unit.

In the first phase we are investing Rs.98 billion with a debt equity ratio of 2:1, Jindal said.

JSW Steel has expressed interest in acquiring United Coal Company of the US, a privately held mining firm with a reserve of 500 million tonnes of coal, he said.

We are confident of acquiring the company and we have already submitted our bids, Jindal said.

JSW Steel is also eyeing coal and iron ore assets in South America, Australia and South Africa.