The Geological Survey of India has explored that the newly formed state Telangana could have its own steel plant as the Bayyaram mines in Khammam district have reserves of a high quality iron ore. The iron ore in the mines are enough to set up an integrated steel plant in the state.
The Mining Department of the state and the Geological Survey of India will submit a report to the Centre to come forward with a decision on the proposal soon.
To set up an integrated steel plant, a reserve should have 200 to 300 million tonnes of iron ore with a production capacity of 10 million tonnes a year.
Several such reports were released earlier too, but in the past, the steel plant was preferred to be located at Vizag.