Buoyed by the Navaratna status conferred on it, National Aluminium Company (Nalco) has drawn up ambitious growth plans worth Rs 40,000 crore involving projects abroad and within the country in a bid to emerge as a global giant.
"In order to emerge as a company of global repute, we have drawn up ambitious growth plans worth Rs 40,000 crore for the next five years. These include smelter and power projects in Indonesia and Iran," Nalco chairman R C Pradhan told reporters here.
In addition, the company is planning brownfield and greenfield projects within the country, he said. Nalco achieved 104.48 per cent capacity utilisation in its smelter at Angul in 2007-08 with a production of 360,457 tonnes of aluminium cast metal against 358,734 tonnes in previous year.
Similarly, alumina refinery at Damanjodi recorded 100.04 per cent capacity utilisation with a production of 15,75,500 tonnes against 14,75,200 tonnes in previous year, he said.
However, its 960 mw captive power plant near the smelter unit recorded a lower power generation of 5609 million units mainly due to coal shortage, the company chairman said.
On foreign projects, Pradhan said Nalco has signed an MoU with Indonesia to set up a 5,00,000-tonne smelter and a 1,250 mw captive power plant and the company plans to invest around Rs 14,000 crore in the greenfield project.
Similarly, a 3.30 lakh-tonne smelter has been planned in two phases in Iran as a joint venture at a cost of about Rs 8,000, he said, adding that both the projects are likely to take off soon.
Nalco has also plans to start new projects within the country that include a mines and refinery complex in Andhra Pradesh at an investment of Rs 7000 crore, Pradhan said.
The bauxite mines capacity would be 42,00,000 tonnes, while the refinery would have a capacity of 14,00,000 tonnes.
In Orissa, a smelter and power complex has been planned in Jharsuguda district at an investment of Rs 8,500 crore. The project envisages a smelter of five lakh tonne capacity and a power plant of 1260 mw, he said.
On brownfield expansions, he said as part of company's self-propelled growth, the second phase expansion is under implementation at an investment of more than Rs 5,000 crore, which is scheduled to be completed by the end of this year.
Plans are also afoot for third phase expansion at an estimated cost of Rs 6,000 crore to raise aluminium capacity up to 5,80,000 tonnes from the existing plant and power generation to 1,400 MW per annum, Pradhan said.
Seeking to further widen its horizon, Nalco plans to set up an aluminium park at Angul as a joint venture with Orissa Industrial Infrastructure Development Corporation (IDCO) for which 500 acres is required, he said.
While Nalco and Idco would take care of basics like infrastructure, communication and power supply, the proposed downstream industries would go for products like caustic soda, aluminium fluoride, CT pitch and CP coke.
Despite decline in sales turnover and net profit during 2007-08 due to lower sales realisation from export of alumina and substantial appreciation of rupee against us dollar, the company is upbeat.
Armed with elevated Navaratna status given to select PSUs having capacities to become global giants, Nalco has invited expression of interest from competent parties to set up a cement plant based on fly ash, he added.
