KIOCL (Kudremukh Iron Ore Company Limited) – a state-owned company is to set up 1.2 MnT pellet plant in Vishakhapatnam, Andhra Pradesh. The iron ore fines to the plant will be supplied from the mines situated in Bellary district, Karnataka. Pellets manufactured by KIOCL will be used by Vizag Steel plant (RINL) which is currently sourcing iron ore from NMDC (Chhattisgarh) and Odisha mines.
The new pellet plant will supply pellets to RINL and the excess pellet will be diverted for exports. Hence, the new pellet plant is expected to increase its exports share and will enhance KIOCL pellet capacity from 3.5 MnT pellets to 4.7 MnT pellet p.a.
In Jan’18, KIOCL had signed MoU with Rashtriya Ispat Nigam Limited (RINL), for setting up pellet plant in Vishakhapatnam. As per reports, KIOCL will supply pellet to RINL from its new pellet plant in Vizag, as part of its raw material requirement for its blast furnace.
KIOCL is working to diversify its products range, to enter into coal mining and is working to enhance the capacity of its pellet plant in upcoming years.
KIOCL Pellet Production increased sharply in FY18
KIOCL recorded pellet production at 2.32 MnT in FY’18, rise of 59% Y-o-Y as against production in FY’17, at 1.46 MnT. The company’s pellet sales recorded a prominent increase to 2.30 MnT in FY’18, up 65% as against 1.39 MnT in FY’17. Out of 2.30 MnT pellets sold in FY18, 1.45 MnT was through exports and remaining quantity of 0.85 MnT was through domestic sales.
~ sourced
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