Orissa Sponge Iron & Steel

What Orissa Sponge Iron & Steel does

Orissa Sponge Iron & Steel Limited (OSISL) is an Indian public limited company incorporated in 1979 and headquartered in Odisha. It was promoted jointly by Tata Rexon Industrial Finance (TRFI) and IPICOL, the investment arm of the Government of Odisha, and operates India's first commercial coal-based sponge iron plant, which commenced commercial production in 1995.

The company's core products are sponge iron / Direct Reduced Iron (DRI) at 250,000 TPY installed capacity and steel billets at 100,000 TPY, supported by 36 MW of captive waste-heat-based power generation. Its proprietary OSISL Process, patented in 1988, is a modified version of the ACCAR process and forms the technological backbone of its operations. In addition to manufacturing, the company offers engineering and technical services for DRI and steel plants in international markets and exports surplus power to the Odisha state grid.

The business model is an integrated commodity producer with three revenue streams: merchant sale of sponge iron and steel billets to secondary steel manufacturers, sale of surplus captive power to a state power utility, and fee-based engineering services for global steel plant projects. The company also monetizes carbon credits through a Clean Development Mechanism (CDM) project registered with the UNFCCC in 2006, which adopted a UNFCCC-approved methodology in 2005. The integrated plant is currently under revamping and upgradation, indicating an operational restructuring phase.

Name

Orissa Sponge Iron & Steel

Legal name

Orissa Sponge Iron & Steel Limited

Website

https://orissasponge.com

Company type

Public

Founded year

1979

Operating status

Operating

Headcount range

51–100 employees

Short description

Orissa Sponge Iron & Steel Limited is an Indian public company operating India's first commercial coal-based sponge iron plant, producing DRI (250,000 TPY), steel billets (100,000 TPY), and captive waste-heat power (36 MW), with engineering services for global DRI/steel plants.

Ownership category

akta.pro rank

Product category

Sponge Iron & Steel Manufacturing

NAICS

Iron and Steel Mills and Ferroalloy Manufacturing (331110), Iron and Steel Mills and Ferroalloy Manufacturing (33111)

SIC

Industrial Process Furnaces & Ovens (3567), Cogeneration Services & Small Power Producers (4991)

akta.pro primary industry

Direct Reduced Iron (DRI) & Hot Briquetted Iron (HBI) Production (IMAKABAC)

akta.pro secondary industries

Integrated Steelmaking (BF-BOF) (IMAKABAA), Industrial Furnaces, Kilns & Thermal Processing Equipment (IMAHAEAE), Coal Plant Operations, Maintenance & Life Extension (Boiler/Turbine/Balance-of-Plant) (EUACAAAJ)

Keywords

• Sponge iron manufacturing
• Steel billet production
• Waste heat power generation
• DRI process technology
• Industrial engineering services

Headquarters

HQ city

Calcutta

HQ country

India

HQ region

Asia

Offices3 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Operations, Infrastructure, Technology or R&D, Personnel

Revenue model

1. Sponge Iron (DRI) Sales: Production and sale of Direct Reduced Iron (DRI/Sponge Iron) in lump and fines forms with specified metallic iron content of 79±1% and total iron of 88% minimum. Total DRI capacity of 250,000 TPY.
2. Steel Billet Sales: Production and sale of steel billets conforming to IS 2831 and IS 2830 standards. Capacity of 100,000 TPY.
3. Surplus Power Sales: Captive power generation of 36MW from waste heat recovery. Surplus power after captive consumption in Sponge Iron and Steel Billet units is sold to the State utility Company.
4. Engineering & Technology Services: Provides preliminary engineering services, know-how and basic engineering services, plant engineering, designer's supervision services for erection, testing and commissioning, and supply of proprietary equipment for coal-based DRI plants, sinter plants, mini blast furnaces, and power generation facilities.

Distribution channels3 records

Marketing channels1 record

Core offering

Manufactures coal-based sponge iron (Direct Reduced Iron / DRI) and steel billets at its integrated facility in Keonjhar, Odisha. Operates a 36 MW captive power plant using waste heat recovery from the DRI kilns. Also provides engineering services and licenses its proprietary OSISL Process technology for setting up turnkey DRI projects, sinter plants, and mini blast furnaces.

Product overview

Orissa Sponge Iron & Steel Ltd (OSISL) operates as an integrated steel manufacturing company with a diversified portfolio of core products and engineering services. The company produces coal-based Direct Reduced Iron (Sponge Iron) in two grades—Lumps and Fines—using its proprietary OSISL Process technology, along with Steel Billets conforming to IS 2831 and IS 2830 standards. The integrated facility includes a 36 MW captive power plant that generates electricity from waste heat recovered from the DRI process, with surplus power sold to the State utility. Beyond manufacturing, OSISL provides comprehensive engineering services including preliminary engineering, know-how licensing (patented OSISL Process), plant engineering, and turnkey project execution for DRI plants. In partnership with a Chinese research institute, the company also offers engineering services and equipment for Sinter Plants and mini Blast Furnaces. The company holds patents for its OSISL Process technology for continuous manufacture of sponge iron.

Differentiator

Problem solved

Functional benefit

Products and services

• Sponge Iron (DRI)

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Four partnerships are on record, tiered core and supporting.

• Torsteel Research Foundation in India (TRFI)coreStrategic or Co-development PartnerTRFI is the original promoter of OSISL alongside IPICOL. Developed the OSISL Process technology which was patented in 1988. TRFI and OSISL jointly established the Project & Engineering Division at Bhubaneswar in 1992. Together with TRFI and Orissa Agro Industries Corporation, promoted Bilati Orissa Ltd. for food processing.
• Chinese Research InstitutesupportingTechnology or IntegrationAssociation with a Chinese research institute to provide complete engineering services and supply core equipment for Sinter Plant and mini Blast Furnaces.
• SRIRAM EPCsupportingImplementation/ SI/ Consulting PartnerAssociation with SRIRAM EPC to undertake DRI projects on turnkey basis from concept to commissioning.
• Allis Chalmers Corporation, USAsupportingTechnology or IntegrationOriginal process technology provider for ACCAR process used initially. The process technology was developed by Allis Chalmers Corporation based on pilot plant studies and used 80% coal and 20% oil, which was subsequently modified by OSISL to develop the proprietary OSISL Process.

Scale indicators5 records

Recent moves7 records

Expansion highlights3 records

Broad incumbents

• Steel Authority of India Limited (SAIL): India's largest state-owned steel producer with diversified DRI and finished steel output; relevant comparable as a public sector incumbent shaping Indian steel market dynamics that affect OSISL's pricing and offtake environment.
• Tata Steel Limited: India's largest integrated steel producer with extensive DRI operations and downstream steelmaking; provides the broad-incumbent benchmark for steel/DRI economics, customer relationships, and ESG positioning versus smaller players like OSISL.
• Midrex Technologies: Global leader in shaft-furnace gas-based DRI technology licensing; competes indirectly with OSISL's rotary-kiln coal-based DRI technology, especially as global steel decarbonization shifts toward gas/hydrogen DRI.
• JSW Steel Limited: One of India's largest integrated steel producers with significant DRI capacity (gas and coal-based) and captive power; competes with OSISL for the same secondary steel-maker customer base but at vastly greater scale and broader product range.
• Jindal Steel and Power Limited (JSPL): Major Indian integrated steel and DRI producer with significant coal-based DRI capacity and captive power generation; broad-incumbent peer providing scale benchmarks and technology comparisons to OSISL's coal-DRI know-how.

Direct peers

• Visa Steel Limited: Indian integrated producer of DRI/sponge iron, pig iron, and steel billets with captive power, serving secondary steel manufacturers via EAF/IF route — closely aligned with OSISL's product portfolio and customer segments.
• Kirloskar Ferrous Industries Limited: Indian manufacturer of pig iron and DRI/sponge iron with integrated captive power; directly comparable to OSISL in product mix, customer base (EAF/IF steelmakers), and Indian coal-based DRI production economics.
• Sponge Iron India Limited (SIIL): Government of India undertaking producing coal-based sponge iron/DRI; same product (DRI lumps/fines) and similar technology profile, making it a direct state-owned comparable to OSISL.

Others

• SRIRAM EPC: Indian EPC contractor specifically named as OSISL's turnkey DRI project implementation partner; relevant ecosystem peer in delivering coal-based DRI plants using OSISL's licensed technology.

Regional players

• Bharat Engineering and Construction Company: Indian engineering, procurement, and construction contractor active in sponge iron and steel plant construction; relevant as a regional turnkey peer for OSISL's engineering services and DRI plant execution business.

Market position

Strengths4 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

Compliance4 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Orissa Sponge Iron & Steel