CS Verma, Chairman of SAIL informed that the company is conducting environment impact study for its Rs 1,500 crore iron ore nugget plant in Durgapur, which it plans to implement in a joint venture with Japanese steelmaker Kobe Steel.

Verma said this will be the second such project in the world after USA. The JV agreement has been finalised, he told reporters. He said it would take five to six months to complete the environment assessment.

He expects the proposed plant to havea capacity of 0.5 million tonne of iron ore nugget per annum. Speaking about the modernisation of Burnpur-based IISCO steel plant, Verma said post-modernisation the plant would have a capacity of 2.5 mn t.

The sinter plant at IISCO has gone into production, while the coke oven plant has become operational. Wire rod mill in the plant has gone on stream for which slabs were being sourced from SAIL's Durgapur Steel Plant.

The blast furnace and converter would now be commissioned and the modernisation would be completed in December this year, he said.  He also said that the firm has not taken any firm investment decision on the proposed joint venture with RITES to reopen Kulti works.