Mittal Steel Co. is planning to build an $8.7 billion plant in India to reduce iron-ore costs and gain access to rising Asian demand. The company will build a 12 million ton-a-year plant in Orissa, according to Chairman Lakshmi Mittal.Mittal is planning the major investment in India as a way to access rising demand and the world's fifth-largest iron-ore reserves. The company expects steel demand in India and China to grow three times faster than in Europe and North America over the next 10 years. In October, Mittal had announced a $9 billion, 10 million-ton-a year plant in Jharkhand, which neighbors Orissa. India's states Jharkhand, Orissa and Chattisgarh account for 70% of the nation's coal reserves and 55% of its iron ore. The project will be built in two stages of 6 million tons each. No start date for the project has been announced.