POSCO in Odisha: Govt begins land acquisition process in Keonjhar for mega 6 MTPA steel plant

The Odisha government has initiated the land acquisition process for a proposed 5–6 million tonnes per annum (MTPA) greenfield steel plant under the JSW-POSCO joint venture in Keonjhar district.

The move aims to prevent delays commonly associated with land issues, drawing lessons from POSCO’s earlier $12 billion steel project in Jagatsinghpur, which was shelved due to acquisition hurdles.

Land acquisition and project planning

According to The New Indian Express, a total of 2,466 acres across eight villages in Patna tehsil of Keonjhar have been earmarked for the plant, including 976 acres of government land and 1,490 acres of private land.

The parcel also contains 794 acres of forest land, with 60 acres privately held. Only agricultural land will be acquired, and authorities have carefully planned to avoid inhabited areas, ensuring minimal displacement.

The Industrial Infrastructure Development Corporation (IDCO) has filed the acquisition proposal for private land, while government land is expected to be acquired within two months. Notifications for private land acquisition are slated for issuance by November, and the state plans to submit the environment clearance application by December this year, the reports added.

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Strategic collaboration and investment

The JSW-POSCO partnership follows a non-binding Heads of Agreement (HoA) signed in August to jointly explore the steel plant, battery materials, and renewable energy projects.

The collaboration is structured as a 50:50 joint venture, combining JSW’s domestic execution capabilities with POSCO’s global steelmaking technology. The project is aligned with India’s Atmanirbhar Bharat initiative and aims to establish Odisha as a globally competitive steelmaking hub.