Posco returns guest house land in Odisha

Bhubaneswar,November 3:South Korean steel major Posco has returned land to the state government 1.7 acres of land allotted for construction of the company's guest house.

"Posco has sent a letter to the general administration (GA) department expressing its desire to return the land allotted to it for construction of a company guest house in the state capital. 

Now, the land will go to the GA department," said Chief Secretary G.C. Pati.

The GA department had earlier issued show cause notice to Posco for not developing the land.

The state government had allotted 1.7 acres of land in Bharatpur area in the state capital for construction of its guest house in 2008. However, the land remained unused.

While the company has put its mega steel project proposed to be set up at Paradip in Jagatsinghpur district on hold as there is no possibility for the company to get long term raw material linkage, except participating in the bidding process as per the 
amended MMDR Act, Posco joined Uttam Galva group to set up an estimated $3 billion steel plant in Maharashtra.

However, Odisha Industry Minister Debi Prasad Mishra said he was still hopeful that Posco would set up the proposed project in the state.

He also said CM Naveen Patnaik has already taken up the matter with Union Finance Minister Arun Jaitley and urged him to hold a high-level meeting to resolve the deadlock. 

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