Raipur, Oct 6 (Inditop.com) Bhilai Steel Plant, the flagship unit of the state-owned Steel Authority of India Ltd (SAIL), is facing a severe water crisis that could hit its production, an official said Tuesday.

“It’s a severe crisis. The Chhattisgarh government has released about 200 cusec water Monday evening from its Gangrel dam, but it’s not sufficient,” a plant official told Inditop.

The plant, situated in Bhilai, some 30 km west of Raipur, is the largest public sector steel unit in the country.

With the water stocks left just for two days, the plant management has started urgent talks with the state government for the release of more water.

“So far production is unaffected, but if the situation does not improve it will surely be hit,” he said.

The SAIL unit always keeps water stock for 14 days, but due to less rainfall this monsoon, the plant’s reservoirs at Maroda have almost dried up.

The plant had seen record production last fiscal. It produced 5.4 million tonnes of hot metal, 5.2 million tonnes of crude steel and 4.5 million tonnes of saleable steel in 2008-09.

It has set a target of 5.8 million tonnes of hot metal production for 2009-10.