Tamil Nadu Newsprint and Papers Ltd (TNPL) on Wednesday said it would invest Rs 876 crore over the next three years. The amount would be used for meeting its capex, supporting ongoing projects and to repay loan.
Speaking at the company’s annual general meeting here, A Velliangiri, deputy managing director, TNPl, said the company would require Rs 30 crore every year for capex.
TNPL is currently implementing a Rs 1,000-crore expansion plan at its Kagithapuram factory in Karur district of Tamil Nadu.
Earlier in his address, MF Farooqui, chairman, TNPL, said under the expansion, a paper machine of a 155,000 tonne per annum capacity would be installed to increase the production capacity to 400,000 tonnes per annum from the current 200,000 tonnes. The pulp mill capacity will be increased to 880 tonnes per day.
The company’s cement plant will have a capacity of 500 tonnes per day and it will be located inside the factory. The Rs 50-60 crore plant is expected to go on stream by June 2011 and TNPL will be the first company to produce high grade cement using lime sludge and fly ash, he said.
Investment in the de-inking pulp line with a capacity of 320 tpd would be Rs 174 crore while the company would invest Rs 135 crore to revamp the steam and power system.
The expansion taken up during the current year will be completed by June 2010.