Our Bureau

Kolkata, May 13

THE Raw Materials Division (RMD) of Steel Authority of India Ltd (SAIL) has plans to increase its production from the existing level of 12.94 million tonnes (mt) to 20 mt by 2011-12.

The move will help RMD meet the increased raw material requirements of SAIL, which has already decided to increase its hot metal production to 20 mt by 2011-12. However, the iron ore demand of Bhilai Steel Plant will be met by its own mines.

Meanwhile, to ensure smooth availability of iron ore during the next few years, the RMD has undertaken the expansion of the Bolani mine to five million tonnes per annum (mtpa).

"Keeping this in view, a 600-tonnes-per-hour-crushing-and-screening plant is being commissioned by May 2005. The job of augmenting loading capacity has also been taken up at Bolani, which is likely to be completed by June 2007. Bolani has a proven reserve of about 154 mt," a press release from RMD stated.

The division is also increasing the production capacity of the central block at Meghahatuburu to 4.3 mtpa by 2007-08 and the south block at Kiriburu to 4.25 mtpa by 2008-09.

The division has decided to develop the Taldih mine in the Barsua-Taldih-Kalta area through SAIL's recently formed joint venture with Kudremukh Iron Ore Company Ltd.

SAIL has already got a mining lease of 2,486.39 hectares in this area. Two mines in the region, Barsua and Kalta, are already operational.

"The middle portion of the lease area, which is called the Taldih block, will be developed. It has got approximately 238 mt of mineable reserve. This mine will smoothen the supply of iron ore with low alumina content, thus meeting the quality specifications," the release said. Mecon has been hired for preparing a feasibility report on Taldih mine.

(This article was published in the Business Line print edition dated May 14, 2005)
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