The project, which will have a capacity of 2.85 lakh tonne and employ about 250 persons, has been cleared by the single window committee (SWC) of the Orissa government and.
Hindalco has a 1.43 lakh tonne aluminium plant and a 368mw captive plant at Hirakud in the Sambalpur district of Orissa.
SWC, which met here on Wednesday under the chairmanship of chief secretary Ajit Kumar Tripathy, has also cleared four other projects while recommending two power projects for approval from the high level clearance authority (HLCA) headed by chief minister Naveen Patnaik.
The companies whose projects were cleared are Bhubaneswar Power Ltd, Dhananjay Industries, Kaushal Ferro Alloys, and Rasmi Cement Ltd. The two projects that were recommended to HLCA are of BGR Energy Ltd and JR Power Ltd.
BGR is proposing to set up a 1320mw plant with an investment of Rs 6287 crore in the Nayagarh district, JR Power is planning a 1980mw plant at a capital cost of Rs 7988 crore at Kishore Nagar in the Angul district.
IPICO managing director Hemant Sharma said the two projects were referred to HLCA as the investments in each of the projects is more than Rs 1000 crore.