Industrial gas major Linde has doubled its on-site industrial gas supply capacity for manufacturing giant Tata Steel at the Kalinganagar Industrial Complex in Odisha, India, after its acquisition of two air separation units under a long-term supply agreement.
The acquisition was in 2024, with Linde set to take over the units as part of a long-term deal to supply industrial gases to Tata Steel.
The units are now supplying oxygen, nitrogen and argon for Tata Steel’s iron and steelmaking operations. This supports the expansion of the site’s annual crude steel capacity from three million to eight million tonnes.
Linde said its total oxygen production capacity in the Kalinganagar region now exceeds 7,000 tonnes per day, with the additional units also expected to serve growing demand in the merchant market.
In steelmaking, oxygen is used to burn off carbon and impurities in basic oxygen furnaces and electric arc furnaces, while nitrogen and argon act as inert shielding and purging gases to prevent unwanted oxidation and refine metal quality.
In 2024, Tata Steel commissioned India’s largest blast furnace at Kalinganagar, Odisha ©Tata Steel
“This expansion … highlights the critical role of industrial gases in steelmaking,” said Moloy Banerjee, President ASEAN & South Asia at Linde, who added that the project positions the company to capture further growth opportunities in India.
Tata Steel inaugurated the second phase of its Kalinganagar expansion in May 2025, following an investment of 27,000 crore ($2.8bn).
The project increased the site’s crude steel capacity to eight million tonnes per year and included a new blast furnace, pellet and coke plants, and a cold rolling mill targeting higher-strength steel products.
“Our recently completed capacity expansion in Phase 2 of Kalinganagar with five million tonnes … [is] ramping up well,” said Koushik Chatterjee, CFO and Executive Director of Tata Steel, during the third quarter earnings call in July.
