Gujarat Ambuja Cements Ltd and D.S. Constructions are among those in the race to set up a cement plant in the state’s Saal Baag region.
Sources in the industries department said that a survey has already been carried out in the area, some 80km from the state capital.
According to the survey, there are an estimated 800Mt of limestone reserves in the Saal Baag region.
Ninety per cent of the reserves are said to be located on government land. The area is also well connected by road.
Interested parties have already begun to bid for the plant although the decision to award the project will be taken after the new government takes over at the end of next month.
Assembly elections are currently underway in the state.
The Saal Baag cement plant will be the second cement plant in Shimla district.
A cement plant is already being built by India Cements at Gumma in Chopal valley in the district.