As per the reports released, the State Government is contemplating to sign a Memorandum of Understanding with the South Korean Steel maker Hyundai Steel Company. Hyundai Steel Company will become a partner with the A.P. Mineral Development Corporation and A.P. High Grade Steels Limited to establish an integrated steel plant at Kadapa district.
For the initial phases, National Mineral Development Corporation (NMDC) has agreed to supply iron ore from within the Kadapa district. Hyundai is keen to import quality iron ore imported from Australia and Indonesia, a part of which will be used for the Kadapa Steel Plant(KSP).
The project is to be carried out in Public-Private Partnership mode, the talks for which are in advanced stages and MoU is likely to be signed soon.
The plant is to have a production capacity of 3 Mtpa which will be increased to 10 Mtpa in a phased manner.
KSP will initially produce rolled steel products that will have a diverse application, especially in the automobile sector.
