Hindustan Copper Ltd (HCL) is focusing on Rs 5, 000 crore of expansion projects which will be executed over the next three to four years, a top company official said on Tuesday.
"We are focusing on expansions projects over the next 4-5 years and the investment would be around Rs 5,000 crore," company's Chairman K.D.Diwan told reporters here.
Of the total investments, around Rs 2,000 crore would be made in mining and rest for manufacturing of copper cathodes.
Its Malanjkhand underground mine with a capacity of 50 lakh tonnes has been making progress and it is expected that the ore production will commence from December 2018, he said.
"The investment for the project would be around Rs 1,856 crore," an official of the company said.
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During the current financial year, it expects to make progress in mine development activity with appointment of MDO for Banwas mine at Khetri. The company has obtained environment and forest clearances for its Kendadih and Rakha mine re-opening projects.
Diwan said it has re-commissioned the first phase of newly acquired Gujarat Copper Project and it has produced 8,906 tonnes of copper cathode. The company has plans to set up a plant with a capacity of one lakh tonne per annum to manufacture copper cathodes through cost effective hydro-metallurgy technology.
"The site of the project has been finalised and investment in the project is Rs 3,025 crore. The investment proposal after the recommendation of the Board has been sent to the Ministry to obtain CCEA (Cabinet Committee of Economic Affairs) approval," Diwan said.
The company has an installed capacity of copper production of 68,500 tonne per annum. After expansion, its mining capacity is expected to be around 12 million tonne per annum from the present capacity of 3.2 mtpa.
The copper producer has signed a MoU with Mishra Dhatu Nigam Ltd (Midhani), a Defence PSU, for a joint venture in production of copper-nickel tubes and associated products to be used extensively by the navy for naval vessels and submarine.
The PSUs are yet to decide on the structure of the joint venture, Diwan said.
--IANS
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