A central public sector undertaking under the ownership of Ministry of Steel, Rashtriya Ispat Nigam (RINL), which is popularly known as Vizag steel plant, has come into a deal with JSPL (Jindal Steel and Power) to obtain a combination of working investments up to Rs 900 crore.
This well timed deal allows the steel plant to get hold of raw material and begin consistent Blast Furnace-3 (BF-3) operations with the considered blowing-in scheduled on 30th of December, 2023, at a capacity of two lakh tonne of hot metal per month.
With the partnership of Jindal Steel and Power (JSPL), the company will receive the investment capitals in the form of working capital advance and raw materials that required for operation consistent of BF-3, against which Rashtriya Ispat Nigam will be supplying about 90,000 tonne of cast blooms every month from Steel Melting Shop-2 (SMS-2) of RINL.
The partnership with JSPL will power the Vizag steel plant to generate additional revenue from increased sales of about one lakh tonne, even after supplying the committed quantity to the former. Further, the activation of BF-3 has been positioned as a strategic move to optimize production capabilities and contribute towards improving the financial position of steel plant.
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