Kesoram Industries to invest Rs.1,125 crore

July 1st, 2010 - 5:36 pm ICT by IANS  

Kolkata, July 1 (IANS) Kesoram Industries, the flagship company of B.K. Birla Group, would invest Rs.1,125 crore to raise its cement production capacity and set up a captive power plant, Chairman B.K. Birla said here Thursday.
The board of the company approved proposals to increase its Karnataka cement plant’s clinker capacity by 1.7 million tonne per annum and set up a 18 MW captive power plant at the Vasavadatta Cement section in the state and a 2.50 million tonne cement grinding plant in Sholapur, Maharashtra, at a cost of Rs.925 crore.

To save on energy cost, the board also approved waste heat recovery plant to generate power at a cost of Rs.200 crore at all the units of Vasavadatta Cement.

“The commercial production of clinker, cement and generation of power by waste heat recovery are expected to commence by September 2012,” Birla said, addressing shareholders at the annual general meeting.

The company, which is also present in tyre and chemicals sectors, has an installed cement capacity of 7.25 million tonne taking together its Karnataka and Andhra Pradesh plants.

The board has also approved further expansion of capacity to produce truck/bus radial tyres by 85 tonne a day at Haridwar and passenger car radial tyres by 80 tonne per day at Balasore, Orissa, involving capital outlay of Rs.350 crore and Rs.450 crore respectively.

The commercial productions in both the projects are likely to commence by March 2011.

“Total capacity would reach 988 tonnes a day after the completion of the projects following which we will be able to cater to all segments of the tyre industry,” Birla said.

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