Neelachal Ispat Nigam Limited after almost five months of shut down has finally fired up its furnace which had been under capital repair works since December last year. Fine tuning and heating of the furnace would take a week before regular production starts. On the other hand Commercial sale would commence from May 15. According to NINL officials the repair works is likely to almost double Hot Metal capacity of the plant in days to come. The 1 MnT capacity blast furnace would be now capable of producing hot metal at about 90% capacity as opposed to 55% achieved before repairs, NINL Officials informed.
According to official information, NINL has offered Pig Iron N1 grade at INR 31,000 and N2 grade at INR 32,000. Initially the company has decided to produce Pig Iron only and later startup the Steel Melting Shop for production of high strength long products.
The Pig Iron industry which saw prices of the steel making raw material rise to some extent, owing to the temporary closure of State owned NINL plant, is bracing up for the impact of increased supply in the market. However, market observers are of the view that the reintroduction of material from NINL and its increased capacity utilization would put pressure on domestic prices to some extent. NINL may likely be looking to target the domestic market in the short term owing to better realization as opposed to overseas.
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