SAIL, NMDC, RINL line up Rs.15,000 crore capex next fiscal

New Delhi: Metal and mining PSUs Steel Authority of India Ltd. (SAIL), NMDC Ltd. and Rashtriya Ispat Nigam Ltd. (RINL) plan to invest nearly Rs15,000 crore next fiscal towards modernisation and expansion, around Rs2,000 crore less than the projected outlay for the current fiscal.

According to the “broad plan” prepared by the respective firms, SAIL will spend Rs9,000 crore next fiscal, followed by iron ore miner NMDC Rs4,345 crore and RINL Rs1,600 crore.

The three firms, under the steel ministry, had budgeted Rs18,584 crore investment towards modernisation and expansions for current fiscal, but it was later revised at Rs15,820 crore. Till October, they have spent Rs8,032 crore, an official document revealed.

In 2014-15, SAIL plans to spend Rs3,300 crore on its Bhilai steel plant, as part of its ongoing Rs72,000 crore modernisation and expansion programme to take its capacity to 24 million tonnes per annum (mtpa) from 14 mtpa now. The company also plans to invest Rs2,234 crore in its Rourkela steel plant, Rs1,280 crore in IISCO plant, Rs800 crore in Durgapur plant and Rs860 crore in the Bokaro plant among others.

Meanwhile, close to achieving the 24 mtpa capacity, SAIL has recently unveiled plans to take it to 50 mtpa by 2025 entailing another Rs1.5 lakh crore investment. The proposed expansion to 50 mtpa is in line with Prime Minister Manmohan Singh’s vision of enhancing country’s steel-making capacity to 300 mtpa by 2025, from around 95 mtpa at present.

NMDC, the country’s largest iron ore producer, plans to spend Rs3,070 crore in the next fiscal on “continuing schemes” of expansion, Rs240 crore on “new schemes”, Rs400 crore on business development and Rs335 crore on “investment in other ventures” etc.

Of the Rs 1,600 crore investment that RINL is planning to spend in the next fiscal, Rs400 crore has been earmarked for the ongoing 6.3 mtpa expansion at its Vizag facility. It also plans to invest Rs400 crore on modernisation and upgradation of the blast furnaces, steel melting shop and sinter plant. PTI

 

 

 

md.aquil alam 

pgdm 1st semester   

source.mint