{"id":1671,"date":"2022-11-22T09:53:09","date_gmt":"2022-11-22T09:53:09","guid":{"rendered":"https:\/\/theeveningpost.in\/index.php\/2022\/11\/22\/am-ns-india-completes-rs-16500-crore-port-and-power-assets-acquisition-from-essar-group\/"},"modified":"2022-11-22T09:53:09","modified_gmt":"2022-11-22T09:53:09","slug":"am-ns-india-completes-rs-16500-crore-port-and-power-assets-acquisition-from-essar-group","status":"publish","type":"post","link":"https:\/\/theeveningpost.in\/index.php\/2022\/11\/22\/am-ns-india-completes-rs-16500-crore-port-and-power-assets-acquisition-from-essar-group\/","title":{"rendered":"AM\/NS India completes Rs 16,500 crore port and power assets acquisition from Essar Group"},"content":{"rendered":"

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\nHazira-Surat : ArcelorMittal Nippon Steel India (AM\/NS India) \u2013 a joint venture between ArcelorMittal and Nippon Steel, two of the world\u2019s leading steelmakers \u2013 has concluded a transaction to acquire two port assets and a power plant from the Essar Group for a net value of approximately Rs 16,500 crore having received requisite corporate and regulatory approvals.<\/span> <\/p>\n

This transaction, fully funded by AM\/NS India, follows an August 2022 agreement with Essar to acquire several power and infrastructure assets that are either captive or allied to AM\/NS India\u2019s operations and will strengthen the strategic integration of the company\u2019s manufacturing and logistics chain.<\/span><\/span><\/span><\/span><\/p>\n

The following cash generating assets are now wholly owned and operated by AM\/NS India and are expected to generate operational synergies for the company immediately:<\/span><\/span><\/span><\/span><\/p>\n

A 25 MTPA jetty at the all-weather, deep draft bulk port terminal at Hazira, Gujarat, captive and adjacent to AM\/NS India\u2019s flagship steel plant.<\/span><\/span><\/span><\/span><\/p>\n

A 12 MTPA deep-water jetty at Paradip, Odisha along with a dedicated conveyor that handles 100% of pellet shipments from AM\/NS India\u2019s Paradip pellet plant.\u00a0 <\/span><\/span><\/span><\/span><\/p>\n

A 270 MW multi-fuel power plant at Hazira, which has a long-term power purchase agreement with AM\/NS India\u2019s adjacent steel plant.<\/span><\/span><\/span><\/span><\/p>\n

Dilip Oommen, Chief Executive Officer, ArcelorMittal Nippon Steel India (AM\/NS India), said, \u201cThis transaction marks a major milestone in our ongoing efforts to strengthen AM\/NS India\u2019s energy and logistics supply chain. Owning these strategically located assets also supports our recently announced decision to proceed with a Rs. 60,000 crore capacity expansion plan at Hazira, including the ability for AM\/NS India to realise additional synergies from rising throughput at the port assets in both Gujarat and Odisha\u201d.<\/span><\/span><\/span><\/span><\/p>\n

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Acquisitions of the remaining assets included in the August 2022 agreement \u2013 a 515 MW gas based power plant at Hazira, 16 MTPA all-weather, deep draft terminal at Visakhapatnam and the 100 KM Gandhar – Hazira transmission line \u2013 are expected to be completed in due course once necessary regulatory approvals are received.<\/span><\/span><\/span><\/span><\/p>\n<\/div>\n<\/div>\n<\/div>\n