CCI set to sign MoU for cement plant

CCI set to sign MoU for cement plant
21 June 2004

Bokaro steel plant and the Cement Corporation of India (CCI) are all set to sign MoU paving way for a cement plant in Bokaro. Already two high level meetings have taken place. Further talks to finalise the pact are going on. The MoU is expected by the end of next month.

If the agreement is signed then this one million ton plant will be ready in a year. A joint venture between the two companies, both will have equal equity in the project.

Although the other CCI projects are running into massive losses, the chairman and managing director of Bokaro Steel plant, Mr UP Singh believes that this plant will strike gold.

’The capital investment will be low in this case as the waste products from our steel plant, like granulated slag and fly ash will be the raw material for the cement plant. Moreover there is no dearth of the land and the elementary equipment,’ he said. Other than easy availability of raw material, this plant will also have an ideal location for supplying the cement to the eastern region. Moreover the cement from this plant will be available at a lower rate as compared to the other plants.

The Bokaro Steel Plant has also received offers from other cement firms too including Mysore Cement, Grasim and Binani Cement, proposing a similar arrangement.

Published under Cement News