1. HCL to seek Centre’s nod for Rs 2,200 crore concentrate project

HCL to seek Centre’s nod for Rs 2,200 crore concentrate project

Hindustan Copper Limited today said it has finalised the location for its Rs 2,200 crore copper concentrate project in Chattisgarh and will seek the Centre's approval for the same.

By: | Kolkata | Updated: September 27, 2016 2:17 PM
Copper, Copper prices,Copper News, Metal, Metal prices

HCL has lined up Rs 6,000 crore total capex for the next five years and it would be mobilised in combination of debt and equity. This year, its investment was at Rs 400 crore. (Reuters)

Hindustan Copper Limited today said it has finalised the location for its Rs 2,200 crore copper concentrate project in Chattisgarh and will seek the Centre’s approval for the same.

“We have approved the hydrometallurgy plant in Chattisgarh, which is near Malanjkhand. The project cost will be Rs 2,000-2,200 crore and we will have to take the Cabinet’s approval for the project,” HCL Chairman and MD K D Dewan said here today.

Two companies, from Israel and Finland, have been shortlisted for the new greener technology, which would be used for the first time to extract metal through chemical process, instead of heat.

HCL has lined up Rs 6,000 crore total capex for the next five years and it would be mobilised in combination of debt and equity. This year, its investment was at Rs 400 crore.

The PSU has skipped dividend this year as it was not in a position to pay at the rate of 30 per cent, as wished by the Centre.

HCL would also set up a Nickle project with an estimated cost of Rs 1,700 crore, which was expected to generate Rs 1,200 crore in revenue.

Dewan said the company has ability to commence commercial production at the sick Gujarat copper plant at 50 per cent capacity, which by next fiscal could be scaled up to full installed capacity, helping the copper producer to generate additional revenue of Rs 1,500 crore at current copper prices.

Dewan expected improvement in prices of copper, but domestic market could come under pressure with increase in imports.

“Imports have increased by 30 per cent and with FTA agreements by India, we apprehend more imports. But, as an industry along with the downstream players, we have jointly sent a petition to the Centre to impose safeguard duty to stop rampant copper imports,” he said.

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