Essar resolves Minnesota impasse, says no refinery in Iran
Essar Group has resolved the uncertainty on its steel project in Minnesota by pledging not to make any investment in Iran without the United States' permission.
By PTI |
NEW DELHI: Essar Group has resolved the uncertainty on its steel project in Minnesota by pledging not to make any investment in Iran without the United States' permission.
According to a statement issued by Minnesota Governor Tim Pawlenty's office, Essar Global has committed to fully comply with all US and international law, including those prohibiting certain investments in Iran, and that Pawlenty will support continued state assistance for Essar's proposed steel project on the Iron Range.
"After discussions between Essar officials, the Governor's Office and the US State Department, Governor Pawlenty received a letter today from Essar's Americas chief executive Madhu Vuppuluri stating that Essar considers its investments in the State of Minnesota of strategic importance both to Essar and to the State and people of Minnesota", the statement said.
The letter says that "no investment or firm commitment will be made in Iran, unless and until permitted to do so under the applicable US or international laws."
Essar closed a deal to purchase Minnesota Steel and planned to construct a new 1.6 billion dollars steel mine and mill in Nashwauk. As part of the project, Itasca County has been seeking approximately 60 million dollars in state bonding for infrastructure and utility needs for projects in the area.
Pawlenty, on Saturday, said he might not support state bonding to support infrastructure development for the plant because Essar may next year begin building an oil refinery in Iran.
According to a statement issued by Minnesota Governor Tim Pawlenty's office, Essar Global has committed to fully comply with all US and international law, including those prohibiting certain investments in Iran, and that Pawlenty will support continued state assistance for Essar's proposed steel project on the Iron Range.
"After discussions between Essar officials, the Governor's Office and the US State Department, Governor Pawlenty received a letter today from Essar's Americas chief executive Madhu Vuppuluri stating that Essar considers its investments in the State of Minnesota of strategic importance both to Essar and to the State and people of Minnesota", the statement said.
The letter says that "no investment or firm commitment will be made in Iran, unless and until permitted to do so under the applicable US or international laws."
Essar closed a deal to purchase Minnesota Steel and planned to construct a new 1.6 billion dollars steel mine and mill in Nashwauk. As part of the project, Itasca County has been seeking approximately 60 million dollars in state bonding for infrastructure and utility needs for projects in the area.
Pawlenty, on Saturday, said he might not support state bonding to support infrastructure development for the plant because Essar may next year begin building an oil refinery in Iran.
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