RINL eyes capacity expansion to 16 mtpa by 2025

Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Vizag Steel, is chalking out plans to expand capacity to 16 million tonnes per annum (<g data-gr-id="32">mtpa</g>) by 2025 with an investment of Rs 35,000 crore, <g data-gr-id="41">a a</g> top official said. P Madhusudan, CMD, RINL, said the present capacity of 6.3 <g data-gr-id="34">mtpa</g> would be increased by 1 mt by 2018 through modernisation of the existing capacities.

"By 2025, RINL has <g data-gr-id="25">corporate</g> target to achieve 16 <g data-gr-id="19">mtpa</g>. The current 6.3 <g data-gr-id="20">mtpa</g> will become 7.3 <g data-gr-id="21">mtpa</g> through modernisation by 2018. After that, in two phases, we want to grow up to 16 <g data-gr-id="22">mtpa</g>," Madhusudan said.

"Each million tonne would cost about Rs 4,000 crore. Another 9 mt to be taken in two phases would cost about Rs 35,000 crore," he said. He said the <g data-gr-id="30">capex</g> for the current fiscal is Rs 1,402 crore and the PSU is confident of achieving that.

The steel maker had earlier said it had fixed the target of 5 mt of hot metal, 4.9 mt of liquid steel and 4.3 mt of saleable steel production and turnover of around Rs 18,000 crore.

On the tie-up with Power Grid for making Transmission Line towers, he said the proposed JV would be investing Rs 330 crore in the first phase and a similar amount in the second phase.