RCF chairman and managing director DK Varma said: "The divestment can now only begin after a new government takes over. The process will largely depend upon the government's policy direction." The proposal is yet to be taken up for government approval.

The mini-ratna, in keeping with its status, has meanwhile decided to induct three new part-time directors. "The board presently consists of eight directors of whom four are part-time directors with expertise in administration and industrial management. In line with our mini-ratna status, three more professional part-time directors are likely to join the board shortly," Varma said.

The mini-ratna has received government clearance to go ahead with two joint ventures: a 50:50 venture with UCB of Belgium to produce 20,000 tonne per annum of methylamines and its derivatives in Thal, Maharashtra, and a 850 tonne per day DAP unit in Rajasthan along with Hindustan Zinc and Rajasthan State Mines & Minerals.

Varma said the detailed feasibility report for the DAP project will soon be prepared. The company has also received the go-ahead for the Rs 1,332 crore expansion at Thal. The debt-equity ratio for the project has been set at 2:1.

RCF has posted improved results in the second quarter of the current year as compared with the corresponding period last year. Fertiliser sales touched 12.20 lakh tonnes as on September 18 which is 1.15 lakh tonnes more than the total sales of the entire first half of last year.

In value terms, this was equal to Rs 774 crore against Rs 652 crore in the first six months of the previous fiscal. In industrial products, sales for the first five months were Rs 93 crore against Rs 105 crore in the first half last year.

RCF had achieved its highest ever turnover at Rs 2,061 crore in the last financial year registering an 18 per cent growth. The company had recorded a net profit of Rs 105.64 crore after making a provision of Rs 87.06 crore against outstanding inter-corporate loans.