Essar Steel has bagged a Rs 10,800 crore deal to supply water pipes for Sourashtra Narmada Avataran Irrigation Yojana (SAUNI yojana) promoted by Gujarat government, reported The Economic Times.
Under this program, water of Narmada will be distributed to 115 reservoirs across seven Sourashtra districts through four pipelines over 1,022,589 acres.
Essar Steel will supply 1.2 lakh tons of Helical Submerged Arc Welding (HSAW) pipes, out of the total requirement of 5.86 lakh tons for the project. Pipes will be 12-m long with a diameter of 120 inches.
Essar Steel has to execute the order in a period of one year. Annual production capacity of Essar Steel is 2.75 lakh tons of HSAW pipes.
Essar Steel has a track record of supplying water pipes to various projects in India..
Pipe mill of Essar Steel is located at Hazira in Gujarat and has an annual production capacity of 0.6 million tons. Pipe mill is supported by a steel plant ensuring supply of quality steel, added the report.