Madras Cements, the flagship enterprise of Chennai-based Ramco Group, is planning to invest around Rs 150 crore in various expansion and power projects. The proposed expansions will spread across three cements plants of the company in Tamil Nadu. According to company’s 2010-11 annual report, the company is installing a roll press for increasing the cement grinding capacity from the present level of 210 TPH to 260 TPH at a cost of Rs 60 crore.The project is expected to be commissioned in March 2012.
It is also in the process of establishing a second unit with a capacity of 2 MTPA at Ariyalur plant. The project is slated to be commissioned in the month of August 2011. Consequently, the cement production capacity of the company will go upto 12.49 MTPA from 10.49 MTPA.
Further, the company said at its Salem grinding unit, the cement grinding capacity is proposed to be increased from the present level of 90 TPH to 230 TPH by installation of a roll press. The project is expected to be commissioned in December 2011. On the power plants, at RR Nagar, it is in the process of installing a thermal power plant of 25 MW at a cost of Rs 110 crore.
The project is expected to be commissioned in the month of August 2011. Also at the Salem unit, the company is in the process of installing a heavy fuel oil based power generator of 5 mega watt at a cost of Rs 23 crore.
The project is expected to be commissioned any time now.
Madras Cements has invested Rs 22.11 crore in Andhra Pradesh Gas Power Corporation Ltd (APGPCL) by purchasing its 16.08 lakh equity shares.
The investment entitles the company to source 6 MW power from APGPCL at economical rates compared to the rates charged by Andhra Pradesh State Electricity Board. Considering the availability of captive power sources at Jayanthipuram plant 11,12,200 shares equivalent to 4.15 MW power is being held jointly with different parties.