JSW Steel in expansion drive despite restrictions

India’s JSW Steel concluded the expansion of crude steel capacity at Dolvi works from 5 MTPA to 10 MTPA along with the Captive Power Plant and Coke Oven Phase 2 is likely to get delayed into the second half of FY2021. The 8 MTPA Pellet Plant and the Wire Rod Mill at Vijayanagar are expected to be commissioned in Q2FY21.

The CRM1 complex capacity expansion at Vijayanagar from 0.85 MTPA to 1.80 MTPA is expected to be commissioned progressively in Q2 and Q3 of FY21. The downstream modernisation cum-capacity enhancement projects at Vasind and Tarapur and the Colour coating line at Kalmeshwar are now expected to be commissioned in the second half of FY21.
The company said in a statement: “Due to the lockdown announced by the Government, and its subsequent extensions to contain the spread of Covid-19, project activity at various sites were severely constrained due to a slew of restrictions.

All sites are impacted due to non-availability of required manpower and material due to restrictions on movement. At Dolvi works, requisite permission to restart the project activities was received towards end of April 20 and resource mobilization started thereafter.

However, with a number of workers employed by our contractors beginning to go back to their homes, with low visibility of when this trend is likely to reverse, there is an imminent challenge. Further, the non-availability of foreign experts from technology and equipment suppliers due to international travel restrictions is also impacting the commissioning schedule. The Company is working on mitigation plans to overcome these challenges.”