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Tata Steel (TATASTEEL) investor relations material
Tata Steel Status Update summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Expansion strategy and project updates
Board approved major expansion projects, including a 4.8 MTPA Neelachal (NINL) capacity boost focused on long products, with final investment details expected by March.
Neelachal expansion targets 6 million tons, with future plans for 10 million tons, and will source iron ore from Koira mines.
Meramandali expansion includes a 2.5 MTPA thin slab caster and hot strip mill, aligned with blast furnace relining in 2028-2029.
Downstream and value-added projects include a 0.7 MTPA HR galvanizing line in Tarapur, BlueScope acquisition, and HIsarna technology deployment.
Signed MoU with Lloyd Metals & Energy for mining, logistics, and greenfield steel capacity development in Maharashtra.
Collaboration, joint ventures, and acquisitions
BRPL pellet plant JV (50.1% stake) and acquisition of 50.01% in Thriveni Pellets provide cost advantages and strategic access to slurry pipelines.
LMEL retains 49.99% stake in TPPL, supporting joint ventures in pellet and steel making.
Multiple partnership models are under consideration, including assistance to Lloyds' projects and joint mining infrastructure.
The proposed 6 million ton Maharashtra plant will be a phased Tata Steel venture, with iron ore supply as a key determinant.
Technology, sustainability, and operational considerations
Board approved engineering and regulatory process for a 1 MTPA HIsarna demonstration plant in Jamshedpur, advancing low-carbon steelmaking.
HIsarna technology offers lower capital and operating costs, with a potential INR 3,000 per ton hot metal cost advantage, 20% lower CO2 emissions, and eliminates coke use.
Tata Steel holds global intellectual property rights for HIsarna, making it a key focus for future technology.
Profitability for new expansions is expected to be similar to existing operations due to captive iron ore and efficient processes.
Value-added and downstream expansion aims to mitigate cyclicality and legacy cost impacts, especially as the share of European operations declines.
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