JSW Cement, part of the OP Jindal Group, plans to set up a cement ventures near the group’s steel plants at Kurnool, Andhra Pradesh, and Vijayanagar, Karnataka, reports Business Line.
The units will have a combined capacity of 5.5Mta.
Mr Seshagiri Rao, Joint Managing Director and Group Chief Financial Officer, said of the project cost of INR1900 crore, JSW Cement, closely held by the promoters, would invest INR400 crore.
“The company has already tied up debt for the remaining INR1500 crore and the project will be completed by March 2011,” he said.
Gayatri Cements, the partnership company of JSW Cement, has received environment clearance for setting up the cement plant at Gadivemula village, Kurnool. The company has also got the “consent order” from the Andhra Pradesh Pollution Control Board and environment clearance from the Ministry of Environment and Forest for limestone mining, Mr Rao said.
JSW Cement will use the flyash and slag produced by JSW Steel which, in turn, will produce more (flyash and slag) as it expands in the next two years. By 2010, JSW Steel plants will produce 3.5Mta of slag.
JSW Cement plans to set up cement plants adjacent to all upcoming steel plants of the group, thus making it a leading cement producer in the country, he said.