Gopal Sponge & Power Plans Sponge Iron Plant in Chhattisgarh

Gopal Sponge And Power Private Limited is coming up with a new Sponge Iron Manufacturing Unit Project at Chapka, Bastar, Chhattisgarh. Cost of the project is 490 Crores. The project is expected to have a production capacity of 260,000 MTPA of sponge iron, which is a key intermediate product in the production of steel. 

Sponge iron is produced by reducing iron ore into a porous, metallic form using coal or other reducing agents. It is a more environmentally friendly and energy-efficient alternative to traditional steelmaking methods, such as the blast furnace process. Sponge iron is used as a feedstock for electric arc furnaces (EAFs), which are becoming increasingly popular in the steel industry due to their lower emissions and higher energy efficiency.

The production of sponge iron has been increased.  Increased value addition to iron ore and less dependency on sponge iron supplied from other countries Economic boost for the surrounding region Infrastructure that has been improved.

As on November 2023, The project is now in the stage of receiving approvals. The project has received all necessary clearances. By the end of the year 2023, development on the project will have begun.

News by Rahul Yelligetti