Rungta Mines plans Rs 600-cr cement unit in Orissa
Iron ore mining firm Rungta Mines (RML), the flagship company of SR Rungta group, plans to set up a one-million-tonne cement plant in Orissa with an investment of around Rs 600 crore, a top company executive said.
By Pramugdha Mamgain, ET Bureau |
NEW DELHI: Iron ore mining firm Rungta Mines (RML), the flagship company of SR Rungta group, plans to set up a one-million-tonne cement plant in Orissa with an investment of around Rs 600 crore, a top company executive said. The move, proposed to be funded through a mix of debt and internal accruals, would diversify the business of the group beyond mining and steel production.
���The cement project is currently in the evaluation stage and, if finalised, will be established in Orissa,��� said Siddharth Rungta, president of privately-held Rungta Mines. He added in the short term, the company would continue to focus on mining and steel business.
RML is in talks with the state government for allocation of limestone reserves to execute the cement project. Limestone is a key input in cement and every tonne of cement making requires 1.5 tonne of the raw material.
The company is also in the process of setting up two steel plants, one each in Orissa and Jharkhand. The annual steel producing capacity of plants in Orissa and Jharkhand will be 2-million tonne and 0.5-million tonne, respectively. Besides, both locations will have a 40-mw captive power plant.
���Production of sponge iron has partially begun at both locations, which will be used to make long steel products. We expect both plants to become fully operational in the next 3-4 years,��� Mr Rungta said. Long steel products are mainly used for construction.
���The cement project is currently in the evaluation stage and, if finalised, will be established in Orissa,��� said Siddharth Rungta, president of privately-held Rungta Mines. He added in the short term, the company would continue to focus on mining and steel business.
RML is in talks with the state government for allocation of limestone reserves to execute the cement project. Limestone is a key input in cement and every tonne of cement making requires 1.5 tonne of the raw material.
The company is also in the process of setting up two steel plants, one each in Orissa and Jharkhand. The annual steel producing capacity of plants in Orissa and Jharkhand will be 2-million tonne and 0.5-million tonne, respectively. Besides, both locations will have a 40-mw captive power plant.
���Production of sponge iron has partially begun at both locations, which will be used to make long steel products. We expect both plants to become fully operational in the next 3-4 years,��� Mr Rungta said. Long steel products are mainly used for construction.
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