| The RINL top brass is expected to make a presentation to the Union steel minister Ram Vilas Paswan on the proposal next week. Following the nod of the steel ministry, the proposal will be sent to the Union commerce ministry for approval before being sent to the cabinet for endorsement. |
| NINL, promoted by MMTC in joint venture with the Orissa government in mid 90s at Kalinga Nagar in Jajpur district, went into production of pig iron in the first phase in 2002. |
| The company proposes to produce finished steel in the second phase. Its installed hot metal capacity is 1.10 million tonnes. |
| RINL's board decision comes at the time when the MMTC is planning to invite bids for a strategic partner for NINL to facilitate investment to implement the second phase. |
| The estimated cost of phase-II, for which different modules are being considered, varies from Rs 1000 crore to Rs 1500 crore. Sources said, with RINL bringing in Rs 500 crore, the rest Rs 1000 crore could be raised through debt to finance the project. |
| RINL has also bolstered its claim on NINL by advancing a Rs 40 crore loan to Konark Met Coke Ltd (KMCL), a sister concern of NINL. |
| KMCL which went into production in July last, has an installed capacity to produce 8 lakh tonne of metallurgical coke per annum and a part of the output is committed to RINL towards loan repayment. |
| However, apart from RINL, other steel majors such as Tatas, Essar and Murugappa group, have also shown interest to take over NINL. |
| While Tatas had initiated talks with term loan lenders IDBI in this regard, Essar and Murugappa group had shown interest to take over the unit during their talks with the Orissa government recently and made plant visits to inspect the facilities available at the site. |
| RINL CMD, BK Panda during his recent visit to the state, has met chief minister Naveen Patnaik and sought the state government's backing in acquisition of NINL. |
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