HeidelbergCement India Ltd is seeking to form joint ventures to secure coal supplies for a planned INR12bn (US$265m) expansion.
The local unit of Germany’s Heidelberg AG plans to double capacity to 6Mt by 2012 to tap demand that is expected to grow as much as 10 per cent annually over the next five years, Managing Director Ashish Guha said. The company used coal worth INR740m (US$16m) in 2009, according to its annual report.
“We will have to link our coal supply to someone for long- term supply or get into a joint venture to look into mining,” Guha said in an interview. “Given our current capacity, coal mine sizes are too large for us to mine on our own.”