Eredene Capital Plc. said its unit will invest up to 2.6 million pounds in a new logistic park at Kalinganagar in Orissa, India, through its joint venture partner Apeejay Infra-Logistics Pvt. Ltd.

Both the partners have invested an initial 68,000 pounds each for an 80-year lease on the land near Khurnti village close to the Kalinganagare industrial complex, which is emerging as one of the largest steel clusters in India, the investor in Indian infrastructure and real estate said.

The park will service the Kalinganagar region and it will specifically target the in-bound and out-bound cargo centred around the steel industry, it added.

Steel companies such as Tata Steel, ArcelorMittal, South Korean Posco, Jindal Stainless Steel and Nilanchal Ispat Nigam Ltd. all have or are developing major plants in and around the Kalinganagar region, the company said.

Construction will start in the second half of 2008 with operations targeted to start in 2009, it added.

Eredene will announce its year ended Dec. 31, 2007 results on May 19.