Haldia refinery project gets HLCA nod

BHUBANESWAR: The investment scene in Odisha received a major boost on Tuesday with the High Level Clearance Authority (HLCA), headed by Chief Minister Naveen Patnaik, approving a proposal for integrated refinery with aromatics complex. Haldia Petrochemicals Limited, which submitted the proposal, will produce paraxylene and purified terepthalic acid (PTA). The project, with an investment of `28,700 crore, will be located in Balasore district.

The investment intent was received at Make in Odisha conclave held in November, last year and the Bengal-based company submitted the proposal on March 1, 2019. The land requirement for the project, 2000 acres, will be recommended for allotment after assessment by Industrial Promotion and Investment Corporation of Odisha Limited (IPICOL).

Land for the project has been identified in the vicinity of upcoming Subarnarekha port project, for which the Chief Minister had laid the foundation stone and is being built by Tata Steel in association with the State Government. The port is expected to be built at an investment of `5,000 crore and will create employment opportunities for 12,000 people.

The first phase of Haldia Petrochemicals project approved on Tuesday is expected to be operationalised within five years of allotment of land.Paraxylene and purified terepthalic acid, one of the products of the refinery project, can be used to set up downstream units in polyester fibres and polyethyl terepthalate (PET), which are used by several medium and small scale enterprises to make garments and food packaging applications. Official sources said since the total polyester chain - from spinning to garment stage - is a labour intensive process, it is estimated that direct and indirect employment generation potential of the project will about one lakh people.

The HLCA also approved the proposal of Indian Oil Corporation Limited (IOCL) to set up a polyester products manufacturing unit of 300 kilo tonnes per annum at the textiles park coming up at Bhadrak district with an investment of `1970.52 crore. The project will create employment opportunities for 209 people and is expected to be implemented within four years of land allotment.

The HLCA also approved two proposals of Rungta Mines Limited. The first proposal was for expansion of its 5x100 tonne per day sponge iron plant to 0.53 million tonne per annum integrated steel plant at Karakolha in Keonjhar district. The expansion entails investment of `1,677.98 crore and will create employment opportunities for 1,100 people.

The second proposal by the company was for setting up an integrated steel plant of 0.53 million tonne per annum capacity at Karakhendra in Keonjhar district with an investment of 1848.69 crore. The employment potential of the project will be around 943.