Bihar Sponge Iron Limited (BSIL) is the first merchant sponge iron plant in India. The plant is located at Umesh Nagar Chandil in district Saraikela Kharsawan 30 kms from Jamshedpur Jharkhand. It produces Direct Reduce Iron (or sponge iron as popularly known) from indigenous iron ore and non-coking coal available abundantly in the area. Sponge iron is used as a raw material for making steel in electric arc furnaces and induction furnaces substituting and supplementing indigenous and imported scrap.
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