KIOCL inks pact with Karnataka govt; to invest Rs 2,000 cr

State-run iron ore pellets maker KIOCL has inked a pact with the Karnataka government to set up a beneficiation plant and a pelletisation unit in Bellary district in the state. The iron ore beneficiation plant will have a capacity of four million tonnes per annum (MTPA) and the pelletisation unit will have a capacity of two MTPA, Kudremukh Iron Ore Company Ltd (KIOCL) said in a statement. The schedule 'A' Mini Ratna company signed the MoU at the 'Invest Karnataka - 2016' summit in the state capital Bengaluru.

KIOCL Chairman-cum-Managing Director Malay Chatterjee said the company has internal strength for development of mines and setting up of plants and the proposed project will generate employment opportunity for locals. He informed that Karnataka government will provide all the requisite support for implementation of the project in the state and incentives as well as concessions are extended as per the prevailing policy. The total investment for development of mine, setting up of beneficiation plant and pelletisation plant will be around Rs 2,000 crore, the firm said.

"Further investment for setting up of iron & steel based plants is also envisaged on assessing the feasibility. The project will be financed through internal resources," it added. This project will generate employment opportunity for locals during construction period as well as during the period of operation to around 2,000 persons directly and indirectly, including ancillary industries.