M/s. SAL STEEL LTD Survey no.245/p, Village:-Bharapar, Taluka:- Gandhidham, District:-Kutch, Gujarat.

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1 Pre-Feasibility Study Report For Proposed Fly Ash Co-processing clinker grinding cement Unit of 40,000 MT/month Production capacity within our Existing Premises for M/s. SAL STEEL LTD Survey no.245/p, Village:-Bharapar, Taluka:- Gandhidham, District:-Kutch, Gujarat.

2 INDEX Sr. No. 1. EXECUTIVE SUMMARY 2. INTRODUCTION OF PROJECT Description (i) Identification of project and project proponent (ii) Need for the project and its importance to country and or region (iii) Demand supply gap (iv) Imports Vs. Indigenous production (v) Export Possibility (vi) Employment Generation 3. PROJECT DESCRIPTION (i) Type of the project (ii) Location of project (iii) Details of alternative site considered (iv) Size of magnitude of project (v) Project description with process details (vi) Raw Material requirement (vii) Raw Material sources (viii) Market area of finished products (ix) Mode of transportation of raw material and products (x) Recycle/Reuse options (xi) Quantity of waste to be generated along with mode of disposal 4. SITE ANALYSIS (i) Connectivity (ii) Land use pattern (iii) Land ownership

3 (iv) Existing infrastructure (v) Soil classification (vi) Climatic data from secondary sources (vii) Social infrastructure available 5. PLANNING CONCEPT (i) Population projection (ii) Land use planning (iii) Assessment of infrastructure demand (Physical & Social) (iv) Amenities/ facilities 6 PROPOSED INFRASTRUCTURE (i) Industrial area (processing area) (ii) Residential area (non processing area) (iii) Green belt (iv) Social infrastructure (v) Connectivity (traffic & transportation road/rail metro/water ways) (vi) Drinking water management (source and supply of water) (vii) Sewerage system (viii) Industrial waste management (ix) Power requirement and supply/source 7 REHABILITATION AND RESETTLE (R&R) PLAN 8 PROJECT SCHEDULE & COST ESTIMATION 9 ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

4 1. EXECUTIVE SUMMARY: Name of the unit M/s SAL STEEL LTD Survey no.245/p, Village:- Bharapar, Location of the Taluka:-Gandhidham, factory Dist:-Kutch , Gujarat. Promoter of the M/s. SAL STEEL LTD unit Telephone number Fax number Contact Anilbhai Pandya (Director) information Mo: It may be noted that our project falls under the category 3 (b) of B as per the EIA Notification of Ministry of Environment & Forest (MOEF), dated 14/09/2006. Hence, Environmental Clearance is obligatory and required to be obtained from SEAC/SEIAA/EAC. However, the project intends to dispose off/use the Fly Ash generated from our power plant in an appropriate & environment friendly manner by co-processing the Fly ash & Readymade clinker, which will give cement as an end product. Category of industry *It will be a stand-alone clinker grinding unit for cement. *The water requirement will be only 6 Kl/day for domestic as well as cooling purposes. *No fuel will be required for the manufacturing process. *No hazardous waste will be generated due to the project. *Our existing steel plant Ball mill, Silos as well as storage ware houses will be used and no new equipment will be required to be purchased. Production details In fact, the project is to use Fly ash in an environmental friendly manner. Thus, we request consideration of the said project under B 2 category. M/s SAL Steel Ltd will be a Co-processing stand-alone clinker grinding unit for cement and is to be set up for the purpose of appropriately disposing off/using the Fly Ash generated by our power

5 Cost of the project Land area Source of water Source of power plant in an environmental friendly manner in its Existing Premises with the total production capacity of 40,000 MT/Month. Existing machineries/equipments will be utilized for the proposed Cement manufacturing unit. However, approximate cost of minor changes such as piping, conveyor etc will be to the tune of Rs. 50 Lac. Total plot/land area of the existing premises is 98,000 m 2 out of which 30,000 m 2 is allocated for proposed Co-processing of stand-alone clinker grinding unit for cement. Source of Water is Narmada Water Canal. Existing Source of Power is CPP/PGVCL. However, in case of power failure, emergency D.G. set will be used as a source of back-up power. 2. INTRODUCTION OF PROJECT (i) Identification of project and Project Proponent: M/s SAL Steel Ltd located at Survey no.245/p, Village:- Bharapar, Taluka:- Gandhidham, Dist: Kutch, Gujarat is engaged in manufacturing of Sponge iron, Ferro alloys and other steel products and having its own Captive Power plant of 40 MW capacity. M/s SAL Steel Ltd will be a Co-processing stand-alone clinker grinding unit for cement and is to be set up for the purpose of appropriately disposing off/using the Fly Ash generated by our power plant in an environmental friendly manner in its Existing unit with the use of existing machineries available of its steel plant. Brief description of nature of Project: SAL Steel proposes to set up a Co-processing stand-alone clinker grinding unit for cement for the purpose of appropriately disposing off/using the Fly Ash generated by our power plant in an environmental friendly manner in its existing unit with the use of existing machineries available. (i) Need for the project and its importance to country and or region: M/s SAL Steel Ltd is going to be a Co processing stand-alone clinker grinding unit which is to be set up for the purpose of appropriately disposing off/using the Fly Ash generated by our power plant in an environment friendly manner in the existing unit with the use of existing machineries available.

6 SAL Steel Ltd will give direct employment to local people based on qualification and requirement. In addition to the direct employment, indirect employment shall generate ancillary business to some extent for the local population. (ii) Demand supply gap: Sufficient demand Supply Gap. (iii) Imports Vs. Indigenous production: The cement which will be manufactured in said premises will meet with the applicable standards, which will have acceptability in the export as well as domestic markets. (iv) Export possibility: The cement will be of international standards and compete with the industrial majors across the globe as well as will be able to service the domestic market. (v) Employment generation The company is going to manufacture cement by grinding Readymade Clinker and Fly ash. The company will employ approximately more than 90 nos. of contractual as well as permanent employees from the local or surrounding people. 3. PROJECT DESCRIPTION: (i) Type of the project: M/s SAL Steel Ltd is engaged in manufacturing of Sponge iron, Ferro alloys and other steel products and has its own Captive Power Plant of 40 MW capacity. M/s SAL Steel Ltd now proposes to set up cement manufacturing unit for the purpose of appropriately disposing off/using the Fly Ash generated from the power plant in an environmental friendly manner in its existing Steel plant using its existing machineries. (ii) Location of project: The location of the project is at Survey no.245/p, Village:- Bharapar, Taluka:- Gandhidham, Dist:-Kutch , Gujarat. The geographical information of the project is as given below:- Latitude: 23 N and Longitude: E. It is 19 m above MSL.

7 Google image Showing Project Site (iii) Details of alternative site considered: No any alternative site has been examined because of the fact that we want to use our own Fly Ash for the manufacturing of cement and transportation of ash is desired to be avoided with respect to the environmental concerns. Salient features of selected site: The proposed cement manufacturing out of Clinker Grinding will be carried out in our existing premises where all resources, communication facilities, infrastructure i.e. road, sea-port, air port etc is available. (iv) Size or magnitude of project: The production capacity of the proposed cement manufacturing (clinker Grinding) unit will be 40,000 MT/month. (v) Project description with process details: The proposed cement manufacturing (Clinker Grinding) will be carried out within our existing premises. The manufacturing process is described as under:in the process, first of all the raw materials will be fed in to the chambers called silos. In one silo clinker will be filled and in another chamber fly ash & Gypsum will be filled. After loading raw materials in to the respected

8 chambers, the mixing of the same will take place. Then, the mixture will be passed through the grinding unit. Now, the properly grinded mixture will be passed through elevator and will be blended by blower. The final product will be packed and sold in the market. (vi) Raw material requirement: The details of raw materials required for the manufacturing of cement is given below:- [Table No. 1: Product wise raw material requirement] Sr. Product Raw Material MT/month no. 1 PPC Cement Readymade Clinker 24,000 Fly Ash 14,000 Gypsum 2,000 (vii) Raw material sources: The company will purchase raw materials from local market and /or import, depending on the availability and market value. (viii) Market area of finished products: The proposed production of the cement is to be done for the purpose of appropriately disposing off/using the Fly Ash generated by our power plant in an environmental friendly manner. The cement will be consumed at domestic level as well as exported to various countries as per market demand. (ix) Mode of transportation of raw material and products:- The required raw material for the manufacturing of cement would be transported by Sea, Railway or Road, depending on the availability/comfort ability. (x) Recycle/Reuse options: Fly ash from the power plant will be utilized for cement manufacturing. The solid waste collected in the different Air Pollution Control Measures and the other collection systems will be reutilized in the plant itself.

9 (xi) Quantity of waste to be generated along with its mode of disposal: There will be no generation of hazardous and /or solid waste from the proposed manufacturing activities. However, the solid waste collected in the different Air Pollution Control Measures and the other collection systems will be reutilized in the plant itself. 4. SITE ANALYSIS: Salient features of the site are as below: Connectivity Point Land use pattern Land ownership Description The proposed plant is in industrial area. Exiting roads and rails will be used for the proposed project. No new roads or rails are envisaged outside the boundary of the plant. The proposed cement manufacturing (Clinker Grinding) unit will be set up in existing steel plant with existing machineries available, so no change in land use pattern is envisaged. Owned by company. Land: Proposed project will be developed within the existing premises with existing machineries/equipments. Power :- Source of Power will be from CPP/PGVCL. However, in case of power failure, Emergency D.G. set will be used as back-up. Existing infrastructure Water:- Source of water is Narmada water canal. Fuel:- Fuel requirement for the proposed manufacturing process is Nil. Transport:- Rail:-The nearest Railway Station is Gandhidham, 8 km away from project site.

10 Soil classification Climatic data from secondary sources Social infrastructure available. Road:- The proposed plant is connected to State and National highway by 8 to 10 km. The distance from the plant to Gandhidham is about 20 km and Bhuj is 70 km. Kandla port is about 8 km away from the proposed site. Air:-The nearest domestic airport is available at Kanda port at 10 Km and other is at Bhuj at 75 Km. The nearest international airport is at Ahmedabad at 251 Km away from project site. Communication:- All facilities are available at the project site i.e. Telephone, Fax, Internet, courier, post services, transportation etc. The characteristic of soil of the proposed location is hard soil with slight erosion and strong salinity. Temperature: Maximum: 39 deg. (March to May) Minimum: 21 deg. (March to May) Rainfall: Average (Annual): 120 (July-August) Maximum rainfall:160 mm Minimum rainfall: 80 mm Relative Humidity (%): Maximum: 76% (March to May) Minimum: 39% (March to May) Wind Speed:- Avg. wind speed :- 15 kmph Corrosive intensity of the area: Very high. For structural steel, special treatment is required. Piling to be done for heavily loaded structures. Education: Bhuj has a literacy rate of %. There are 12 primary and secondary and schools, The university has 41 colleges affiliated, nineteen of which are in Bhuj. The university gives degrees in Arts, Science, Commerce, Law Education, Management, Pharmacy, Social Welfare, Medicine and Engineering. As well ITIS offer several industrial training programs in

11 cutting and sewing, Fitting, Diesel Engine Mechanic, Information Technology and electronic system management. There is engineering as well as other education center for learning in various disciplines. There are 40 approved primary health centers (PHC), 11 approved community health centers (CHC) and one civil hospital present in Bhuj. The district has a presence of private specialized hospitals to provide a comprehensive range of tertiary and secondary care services backed by state-of the-art technology and trained medical practitioners. Health:- The company is having separate OHC and providing first aid facility and appointed a qualified part time Doctor of medical inspection. Also company is conducting the six month medical checkup of all employees and the records are maintaining. The company has also providing antidote kits. In case of emergency or major accidents the company is having its own transport facility to shift the injured employees to outside Hospital for further treatment. There are 40 primary health centers (PHC), 8 community health centers (CHC) and 1 civil hospital present in Bhuj. The district has a presence of private specialized hospitals to provide a comprehensive range of tertiary and secondary care services backed by state-of-the-art technology and trained medicos. 5. PLANNING CONCEPT: Point Planning Concept Population projection Land use planning Description Not applicable since proposed project is to be set up within the premises of existing unit.

12 Assessment of infrastructure demand (Physical & social) Amenities/facilities 6. PROPOSED INFRASTRUCTURE: Point Description Land area Total Land area is 90,000 m 2 out of which 30,000 m 2 area is allocated for the stand alone Clinker Grinding Unit. Residential area Green belt area Social infrastructure Connectivity (traffic & transportation road/rail metro/water ways) Drinking water management Sewerage system Not applicable Green belt area is developed in accordance with earlier Environmental Clearance. More ever further green belt will be developed in and around the premises. The proposed project will be set up within existing premises. No new road, rail, air/waterborne or other transport infrastructure including new or altered routes and stations are envisaged for the proposed plant. Existing transportation facilities available within the industrial area are enough to take care of the increasing traffic. Source of water supply is Narmada water canal. Domestic wastewater will be discharged in to soak pit through septic tank.

13 Industrial management waste Water Pollution: The only source of wastewater generation from the proposed project will be domestic activities and it will be discharged in soak pit through septic tank. There will be no effluent generation from the manufacturing of cement. The water required for cooling activity will be recycled. Air Pollution: Flue gas emission:- No flue gas emissions will take place from the proposed activity. Process gas emission:- There will be process emission from the proposed cement manufacturing project. Unit will install required pollution control equipments as shown in under Table. Sr. No Section/Source 1 Clinker Crushing and Raw Materials Proportioning 2 Feed Hopper/ Ground Hopper 3 Cement Mill and discharge tube 4 Cement Blending Silos 5 Packing House Hazardous and /or Solid Waste: Type of APCM Proposed Bag Filter (with proper metallic casing, adequate stack height and stack monitoring requirement facility) There will be no generation of hazardous and /or solid waste from the proposed manufacturing activities. However, the solid waste collected in the different Air Pollution Control Measures and the other collection systems will be utilized in the plant itself.

14 Power requirement & supply/source Source of power supply is own CPP/PGVCL. However, in case of power failure, D.G. set will be used for backup power. 7. REHABILITATION AND RESETTLE (R&R) PLAN: Not applicable, since proposed project is to be established within existing plant premises. 8. PROJECT SCHEDULE & COST ESTIMATION: Proposed date of start production: After getting the statutory required Consent & Authorization from the GPCB. Estimated project cost along with analysis in terms of economic viability of the project. Estimated project cost:- Existing steel production plant with existing available machineries/equipments will be utilized for the proposed Cement manufacturing out of Clinker Grinding. The cost estimation is as under: Sr. No. Particulars 1. Factory Building & Other Civil Construction 2. Plant & Machinery 3. Pre-Operative Expenses Total Total Project Cost already incurred in steel production plant to be used for cement manufacturing (In Cr.) Existing machineries/equipments will be utilized for the proposed Cement manufacturing unit. However, approximate cost of minor changes such as piping, conveyor etc will be to the tune of Rs. 50 Lac. Rs. 50 Lac.

15 Economic viability/payback period calculation: Expected payback period/turnover is 5 years, details are as summarized under:- Year Expected turnover (Rupees in Crore) ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS): Financial and social benefits with special emphasis on the benefits to the local people including tribal population (if any, in the area) are summarized under: The proposed budget for activities under Enterprise Social Commitment (ESC)/Corporate Social Responsibility (CSR) is about 2.5 % of the total proposed project cost. Proposed budget for activities under Enterprise Social commitment (ESC)/Corporate Social Responsibility (CSR) are as under:- Activities* Budgetary cost (Rs.) Implementation schedule Road repairing work 9,50, Vocational and skill 4,50, development training for youth, promotion of sports activities in the area. Education of economical 6,00, weaker children, scholarships to meritorious students & distribution of education materials to the needy children etc. Tree plantation/rainwater 7,00, harvesting Medical camps for local villages 3,50,

16 Drinking water facility, 5,00, sanitation etc. Total 35,50, *It may be noted that the above stated may also include other activities which is required for social development within the study area.

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