JSW Steel to invest Rs 75 bn in Karnataka to expand Vijayanagar facility

Market: JSW Steel is investing around Rs 75 billion in Karnataka to expand the capacity of its manufacturing plant in Vijayanagar, Ballari, apart from setting up a new coke oven plant. The expansion would enable the company to increase the capacity of the plant to 13 million tonnes per annum (mtpa) from 12 mtpa by March 2020, the Sajjan Jindal-led company said.

JSW Vijayanagar Works is the largest single location steel manufacturing unit in India.

"The new capacity creation at JSW Vijayanagar Works steel manufacturing unit supports our company's growth plans while further improving the efficiency of our manufacturing operations," said Vinod Nowal, deputy managing director, JSW Steel. "With steel consumption in India expected to grow, these capacity enhancement initiatives will ensure our readiness to promptly service emerging customer demand."

The company said it would set up a 1.5 mtpa coke oven plant at Vijayanagar to bridge the current and expected gaps in coke availability. The coke oven unit which is likely to be commissioned by March 2020 is expected to provide cost savings for the company over the longer term.

The current project to revamp and upgrade capacity of the blast furnace at JSW Vijayanagar Works is on track and will be completed in two years, said the company. It will also modify and enhance capacity of its steel melting shop, the flat and long products mills, along with allied facilities to utilise this additional hot metal. Check JSW Steel Stock Price