Home News Industry News JSW Steel to ramp up Dolvi plant capacity to 15 MTPA

    JSW Steel to ramp up Dolvi plant capacity to 15 MTPA

    2182
    JSW Steel Ltd.'Steel plant at Dolvi, Maharashtra
    JSW Steel Ltd. 'Steel plant at Dolvi, Maharashtra
    JSW Steel plans to expand Dolvi plant to 15 MTPA

    After the turnaround of the Dolvi plant, JSW Steel plans to focus on expansion of the unit. With an opportunity to expand capacity up to 15 million tonnes a year at a much lower cost, the company has decided to enhance capacity initially to 5 million tonnes from the current 3.3 million tones, for a Rs 3,300 Crore investment. Having acquired the Dolvi unit in Maharashtra from debt-laden Ispat Steel for Rs 2,157 Crore in 2010, JSW inherited a total liability of Rs 9,500 crore, the annual interest of which was Rs 1,200 Crore.

    Within a year of acquisition, JSW refinanced the entire debt to reduce borrowing cost by 2-3 per cent. Besides, it invested Rs 2,140 Crore to install a coke oven and pellet plants, and also a cold rolling mill to secure backward integration and reduce production cost. It commissioned a 55-MW plant, which would use waste gas generated by the blast furnace.

     

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here