RINL's Phase I expansion of its Visakhapatnam steel plant in Andhra Pradesh, is likely to be completed by September 2010.
Phase I expansion includes construction of the sinter plant, the third blast furnace, steel-making shop and the wire rod mill. The commissioning and stabilisation of these is slated for 2010. The company is likely to take one more year to complete Phase II consisting of the structural mill and the special bar mill.
RINL may require 10 million tonne of iron ore after the expansion and the National Mineral Development Corporation had reportedly agreed to provide the iron ore linkage from its Bailadilla mine. Besides, RINL is expected to sign up pacts with the SAIL and the Orissa Mineral Development Corporation for additional small quantities, in case there is a disruption of supply from NMDC.
Apart from this, cost of the expansion project has risen from the originally estimated Rs 8,600 crore to Rs 12,200 crore.
Source : ProjectsToday
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