Iron and Steel Company Ltd has initiated talks with three
US-based infrastructure developers Hoeill, Bechtel and
Parsons BrinkShroff to offload its majority stake in
the Rs 3,000-crore Gopalpur Special Economic Zone (SEZ),
in which the Tatas are co-developers with the Orissa state
The talks are in an advanced stage and we will be finalising
our partners by the end of the year, Tata officials working
closely with the project say. They, however, add that
the percentage of the stake to be offloaded to the foreign
partner has not been finalised yet.
Tata Steel is also in talks with the Russian conglomerate
Techno Mech and a leading US-based aluminium company to
set up titanium and aluminium industries in the Gopalpur
The Tatas had appointed
Tata Economic Consultancy Services to carry out a study
on the types of industries for which the SEZ has been
designed. The feasibility study showed that mineral-based
industries like aluminium, chromium and titanium will
do well in the Gopalpur region. TEC had estimated that
setting up an industrial unit based on any particular
mineral will entail an investment of around $3 billion.
The Tatas had acquired
3,000 acres of land in the SEZ to set up a mega steel
plant. But the officials say the company has now adopted
a go-slow approach on the project as the demand for steel
is not picking up as expected and currently India has
an excess capacity.
Tata Steel had
earlier decided against teaming up with the Adani group
for its proposed SEZ at Gopalpur, and has instead floated
a special purpose vehicle with the Orissa government to
develop the SEZ in the Gopalpur region.
of the 15 upcoming SEZs in India, Maharashtra is to house
five at Dronagiri in Navi Mumbai, Aurangabad, Nagpur,
Kolhapur and Ratnagiri. The other SEZs will be located
at Nangangeri (Tamil Nadu), Paradeep and Gopalpur (Orissa),
Badohi, Kanpur and Greater Noida (Uttar Pradesh), Indore
(Madhya Pradesh), Kakinada (Andhra Pradesh), Hassan (Karnataka)
and Positra (Gujarat).