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Diamond Power Infrastructure Ltd (DPIL), manufacturer of conductors and medium voltage cables, has drawn up an expansion plan at an investment of about Rs 750 crore.
The project would be implemented over a 30-month period and would be met through a mix of debt and internal accruals.
The board of directors approved the expansion project that would be implemented in three phases beginning from April 2013.
The company is already executing a Rs 50-crore 6.3-MW wind energy project, which is part of the expansion scheme.
It is likely to be commissioned in March. DPIL plans to nearly treble its conductor manufacturing capacity from 50,500 tonnes a year p.a. now to 1,50,500 tonnes. Along with this project, it will also hike its rod manufacturing facility to 1.22 lakh tonnes from the current 32000 tonnes.
In respect of medium voltage cables, three additional lines, each with an installed capacity of 2500 km (total length 7500 km) that would take the capacity from 5600 km to 12,700 km, will be installed.
DPIL said the total project cost of Rs 753 crore would be met through a mix of rupee term loan/ECB loan and suppliers’ credit aggregating Rs 440 crore that has been tied up. The balance Rs 333 crore would be raised through internal accruals, now available and which would accrue progressively over the project implementation period, the company said in a communication to the stock exchanges.
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