RINL plans steel JV with Kiocl

It will utilise the existing facilities of Kiocl to set up the plant. The investment proposed would be about Rs 15,000 crore, RINL Chairman & Managing Director Pradip Kumar Bishnoi told reporters after launching its Rural Dealership Scheme in Karnataka here in a bid to encourage better availablity of steel products in rural areas.

Bishnoi said, “The scheme began two months ago and is already enabled in Orissa and Uttar Pradesh. For Karnataka, company’s Bangalore branch sales office will register more than 200 of them under the scheme.”

Kiocl has some fine dumps of iron ore which it has not used and RINL is planning to utilise it. Kiocl also has own pellet plant at Mangalore, which Vizag steels is keen on running.

RINL-VSP also announced plans to double its capacity to 6.3 million tonne at a cost of Rs 12,500 crore, which will be operational by 2011-12. Presently, the company has an annual capacity of 3 million tonne of liquid steel, with a turnover of Rs 11,500 crore. It produces various grades of long products like TMT rebars, wire rods, rounds, structurals, squares, etc widely used in infrastructure projects and daily use.

RINL-VSP Director (Commercial) Tapan Kumar Chand said the company produces 2.3 million tonne of saleable steel and it aims to take the figure to 5.7 million tonne.