Jindal Steel and Power has threatened to call off the $2.1bn steel project in Bolivia as the country’s government had failed to meet contract requirements which included supply of natural gas and availability of part of the land, reports said.
Jindal Steel said that as per the contract, Bolivia was to sign an agreement to supply 10mn cubic metres per day of natural gas. However, the pact had not yet been signed.
Also, the Bolivian government has so far not provided all the land required for the project, a statement by the company said.
The company said it had served its "intent to terminate the contract" and the Bolivian government had 30 days to resolve the issues.
Jindal Steel had signed a pact with the Bolivia in 2007 to invest $2.1 billion in iron ore mining and steelmaking.