JSW Steel Limited has announced the incorporation of a new joint venture company, APJSW Private Limited, in partnership with the Andhra Pradesh Mineral Development Corporation Limited (APMDC). The JV, officially incorporated on August 25, 2025, will spearhead the development of the Konijedu Marlapadu Integrated Iron Ore Project in Andhra Pradesh.
Under the agreement, JSW Steel will hold 89% equity, while APMDC will retain 11% as free ride equity. The project will focus on mining and beneficiating low-grade iron ore, a move that is expected to significantly reduce dependence on imported raw materials.
Project Details
The Konijedu Marlapadu project involves a planned investment of ₹1,075 crore and will establish a beneficiation plant with a production capacity of 1.3 million tonnes per annum (MTPA) of iron ore concentrate.
JSW Steel’s initial subscription to the JV’s equity share capital stands at ₹89,000, an amount that does not fall within the ambit of Related Party Transactions, the company clarified in its filing.
Strategic Importance
The formation of APJSW Private Limited aligns with JSW Steel’s strategy of strengthening raw material security by sourcing iron ore domestically. By utilizing beneficiated iron ore from Andhra Pradesh, the company expects to achieve substantial cost savings and improve supply chain resilience.
The joint venture reflects growing collaboration between private players and state-owned entities in India’s steel and mining sector, with an emphasis on resource optimization and import substitution.
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