Rourkela Steel Plant to Double Production with Rs 30,000 Crore Expansion

A Historic Steel Plant Gears Up for the Future

The Rourkela Steel Plant (RSP), one of India’s oldest and most significant public-sector steel facilities, is set for a transformational expansion. Established in the 1950s, RSP was India’s first integrated steel plant under public ownership, inaugurated by then-President Dr. Rajendra Prasad on February 3, 1959. Over the decades, it has played a crucial role in strengthening India’s industrial and strategic sectors. Now, with a massive Rs 30,000 crore investment from the Steel Authority of India Ltd (SAIL), the plant is preparing to more than double its production capacity, making it a linchpin in India’s growing steel industry.

SAIL’s Expansion Plan: Doubling Capacity by 2030

SAIL’s ambitious expansion aims to increase RSP’s annual steel production from 4.4 million tonnes per annum (MTPA) to 9.4 MTPA by 2030. This upgrade aligns with the company’s broader target of achieving 35 MTPA total production nationwide by the end of the decade, with RSP set to contribute nearly 25% of this output.

Spread over 1,200 acres on the plant’s south eastern side, the expansion project includes state-of-the-art infrastructure and production units designed to meet the increasing demand for high-quality steel in critical sectors such as defence, automotive, energy, and oil and gas.

Strategic Upgrades for Advanced Production

The expansion will introduce a range of cutting-edge facilities to enhance production efficiency and quality. Some of the key upgrades include:

·       Raw Material Handling Plant – Ensuring a smooth and efficient supply chain for raw materials.

·       Coke Oven Stamp Charge Battery – Enabling better carbonisation of coal for steelmaking.

·       Sinter Plant – Enhancing raw material preparation to improve blast furnace efficiency.

·       Thin Slab Caster-Direct Rolling Unit – Reducing energy consumption while producing high-quality steel sheets.

·       Cold Rolling Mill and Silicon Steel Mill – Strengthening production capabilities for high-value steel products.

·       Blast Furnace and Steel Melting Shop – Increasing hot metal and crude steel output.

These upgrades will significantly enhance RSP’s ability to produce specialized steel products for shipbuilding, rail wagons, LPG cylinders, transformers, and defence equipment. The plant already boasts a dedicated mill for manufacturing high-strength naval-grade plates, armour-grade steel, and quenched and tempered plates essential for national security applications.

Enhancing Logistics for Greater Efficiency

One of the key components of the expansion is a comprehensive logistics upgrade. To streamline the transportation of raw materials and finished products, SAIL is developing a new railway line connecting Dumertra station to RSP. Executed in collaboration with South Eastern Railways under a cost-sharing model, this rail link will reduce congestion at Bondamunda Yard, facilitating smoother and faster deliveries.

Aligning with National Growth and Self-Reliance

RSP’s expansion aligns with India’s vision of becoming self-sufficient in steel production and strengthening its manufacturing base. As a Maharatna company under the Ministry of Steel, SAIL operates four other integrated steel plants in Durgapur, Burnpur, Bhilai, and Bokaro. The modernisation of RSP underscores SAIL’s commitment to meeting evolving infrastructure demands while maintaining environmental sustainability.

A Major Leap for Indian Steel Industry

The Rs 30,000 crore investment in RSP’s expansion is a testament to SAIL’s long-term strategy of reinforcing India’s steel-making capabilities. By doubling production capacity, implementing advanced infrastructure, and strengthening logistics, RSP is poised to play a pivotal role in India’s industrial and economic growth. As the plant gears up for its next phase, it is set to become a cornerstone of India’s steel industry, supporting both domestic and strategic needs while positioning itself as a leader in global steel production.

(With inputs from agencies)

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