U. P. Singh in Calcutta on Friday. A Telegraph picture

Calcutta, April 8: Bokaro Steel Plant has chalked out an investment of Rs 10,000 crore to expand its capacity, improve product mix and lower the energy bill.

The Steel Authority of India (SAIL) unit is looking to expand its hot metal production to 6.5 million tonnes (MT) from the present 4 MT by 2011-12.

During the same period, saleable steel production will go up from 3.5 MT in 2004-05 to 5.8 MT.

Bokaro Steel Plant managing director Uday Pratap Singh said the unit would roll out more value-added items. Apart from expanding capacity for cold-rolled sheet for the auto industry, it is looking at special coated sheet for the consumer goods sector.

?We have also identified the oil and gas industry as a potential area. We want to develop higher grades of steel for making pipes,? Singh said.

The unit is also looking at converting the steel-making process to make it more energy efficient. The move towards continuous casting process will make steel manufacturing cheaper by Rs 1,000-1,200 per tonne from the ingot method. At present, 68 per cent is produced through the continuous casting method.

While some of the facilities will be developed in-house, it would seek help of consultants for items like coated products.

For the higher API grade steel for the oil and gas industry, the unit has activated its own research and development team.

Approval for most of the projects that the unit will put in place by 2011-12 will be received this year.