The Vicat Sagar venture will be 51 per cent owned by Vicat and 49 per cent by Sagar, with Vicat acquiring a 6.6 per cent shareholding in Sagar Cements.
The Gulbarga plant, to be built on a greenfield site, will produce 5.5Mt of cement a year on two clinker production lines, each with a capacity of 6,000tpd. In addition, it will have its own 60MW thermal power plant.
Production is due to start in 2012 at the latest, Vicat said.
