The Hindu Business Line : Nalco suffers production loss of over 1 LT of bauxite

NEW DELHI: State-run aluminium major Nalco has suffered a production loss of over one lakh tonnes of a key raw material as mining operations have been suspended since a Naxalite attack on its mines earlier this month.

The mining activities are yet to resume at Nalco's Panchpatmali bauxite mines in Orissa ever since the Naxalite attack on April 12 night, the company's Chairman and Managing Director Mr C R Pradhan said.

Bauxite is a vital raw material used for making alumina, which is refined to produce aluminium. During normal course of mining, Nalco workers dig out 12,000 to 15,000 tonnes of bauxite from the Panchpatmali mines a day, which is used to produce nearly 4 ,000 tonnes of alumina and 1,000 tonnes of aluminium.

As nearly 100 workers have not been going to the mines for the last nine days due to a sense of insecurity following the Naxalite attack, bauxite production has stopped completely. Mr Pradhan, however, said suspension of mining activities would not have any impact on production of alumina and aluminium, as the company has sufficient stocks of bauxite.

The CMD refused divulging the available stocks off-hand, but sources said it is for a month. For 2009-10 fiscal, Nalco has set a production target of 1.8 million tonnes of alumina and 4 lakh tonnes of aluminium. Both the targets are over 14 per cent more than what was in the last fiscal. - PTI

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