Selection of an EPC Contractor Would Be Done Through a Global Tendering Process

Business Line reported that MSTC Ltd is setting up INR 120 crore automotive and white goods steel scrap shredding unit at Dahej in Gujarat.

For installing the unit, to be built on a 20 acre plot, selection of an EPC contractor would be done through a global tendering process.

Mr SK Tripathi CMD of MSTC told Business Line that the unit initially would have a 40 tonne an hour capacity and is expected to be operational in the first half of 2013-14.

He added "Hiring of the contractor should be through in the next quarter of this financial year."

CMD of MSTC explained "The country lacks organized auto grade scrap shredding. The country's innumerable un organized scrap handling units reclaim steel including auto grade steel in an unscientific manner, which is used for inferior steel making. In view of growing generation of scrapped automobiles and white goods, we have planned to derive economic value arbitrage through this pilot project."

The company also plans to set up junk car collection centres.