Japanese steelmaker Kobe Steel Group has announced that it has signed a memorandum of understanding (MOU) with Indian public sector steelmaking company, Steel Authority of India Limited (SAIL), for comprehensive strategic collaboration covering technologies, projects and other areas.
Accordingly, Kobe Steel and SAIL have already begun a feasibility study for a joint venture that utilizes Kobe Steel's ITmk3® iron-making process. With reference to finished products, specific projects/studies will be undertaken to explore the possibility of producing high value products, such as: products for automobile, products for nuclear power plants and conventional power plants such as forged material and tubing material, special alloy steel and bars, and stainless steel tube and/or any other product mutually agreed to between Kobe Steel and SAIL.
SAIL is India's largest steelmaker and has numerous iron ore and coal mines. Kobe Steel has world class technologies for producing high value-added steel products, but also raw material processing and iron unit production including pellets, direct reduced iron and the ITmk3® iron-making process.
"Both companies intend to build a cooperative relationship covering a wide range of fields, from upstream to downstream processes, which will enable them to mutually explore collaborative efforts and ventures in the Indian and global market," reads Kobe's statement.