Seeking to dispel confusion over the shifting of Posco plant in Orissa, the state government on Thursday asserted that the Rs 51,000 crore (Rs 510 billion) project of the South Korean steel giant would come up at its proposed site only, near Paradip.
The assertion came days after Union Mines Minister B K Handique had said Posco was facing problem in land acquisition and had decided to move to a different place.
Terming as an "error" the speculations about shifting of the project, Orissa Chief Minister said the plant would come up its proposed site only.
"I think it is an error...Posco, as far as I know, is going to be on the site where it is at the moment near Paradip," Patnaik said.
After Handique's statement, Posco-India's cice-president Vikas Sharan had also clarified that the company was committed to the project and there was no plan to shift the proposed 12 MTPA steel plant elsewhere.
The chief minister had maintained that there was no move by Posco-India to either pull out from Orissa or move out of the proposed project site near the port town of Paradip.
State Mining minister Raghunath Mohanty said the state government verified the facts from the company's CMD Choon K Kwon after Handique's statement and there was no plan to relocate the proposed project.
Orissa signed an MoU with Posco in June 2005 for the setting up of the plant. However, there has been little progress in view of resistance from villagers.
