"We expect alumina exports to attain a peak of 2.7MTPA by 2014-15 and will soon revamp the existing facility
Expecting a three-fold increase in alumina exports to about 3 million tonne per annum (MTPA) in the next three years, state-run Nalco (National Aluminium Company) is set to revamp its port handling facility at Visakhapatnam.
"We expect alumina exports to attain a peak of 2.7MTPA by 2014-15 and will soon revamp the existing facility. For this, we have already invited expression of interest (EoI) from reputed global players by January 15, 2012, for replacement of ship loader," a Nalco official said.
The existing alumina handling capacity at Nalco's Port facility at Visakhapatnam is 1 MTPA, the official said. "The port authorities have now deepened the inner harbour so as to handle higher capacity Panamax Class of Vessels," he said.
Also, the new system after installation is likely to improve the dust mitigation measures for meeting the emission norms provided by Andhra Pradesh Pollution Control Board. Nalco has engaged Howe (India) Pvt Ltd, New Delhi as consultant for the replacement of ship loader. The design, engineering, supply and installation of ship loader shall be carried out on a lumpsum turnkey basis and tenders would soon be invited for it.
In the late afternoon, Nalco was trading at around Rs53.15 per share on the Bombay Stock Exchange, 2.71% up from the previous close.
Jindal Aluminium would spend Rs300 crore from internal accruals and the remaining from a foreign bank to fund the project
Jindal Aluminium will invest Rs800 crore to set up two plants to make aluminium sheets and foils, and produce powder coated and anodised materials.
"We are setting both the plants in Karnataka. Work on the first plant, near Bangalore, for manufacturing of aluminium sheet and foils has already started. We are investing Rs500 crore outlay," Jindal Aluminium CMD Sitaram Jindal said.
The second plant would also come up near Bangalore for production of powder coated and anodised materials with an investment of Rs300 crore. However, the ground work on the plant would start only after the first plant gets operational in April next year. Jindal Aluminium claims to be the largest manufacturer of aluminium extrusion profiles in India commanding around 25% market share. It has 70,000 tonnes per annum installed capacity at its lone plant in Bangalore.
However, due to poor demand, the company could only produce 55,000 tonnes aluminium extrusion profiles last fiscal. Jindal said that the aluminium sheet and foil plant would have the capacity to produce 50,000 tonnes a year and provide direct jobs to 700 people. Jindal Aluminium would spend Rs300 crore from internal accruals and the remaining from a foreign bank to fund the project.
It would not require any funding requirement from outside for the plant to produce powder coated and anodised materials, he said, adding that cash generated from its existing business would take care of that. "We have land in possession for the second plant. It will likely to go on stream by June-July, 2013," he said, adding that there was a huge demand for such products overseas.
Jindal said the company had clocked Rs800 crore turnover last fiscal and after the operationalisation of these plants, its topline would likely to go past Rs2,000 crore by the end of 2013-14 fiscal.
DLF has been selling its non-core assets such as hotels and plots in the last few years to cut debt. So far, the company had raised Rs3,480 crore from sale of non-core assets
The country's largest realty firm DLF expects to pare its debt burden of over Rs22,500 crore to less than half in the next two years. As part of the strategy to bring down its total debt to about Rs10,000 crore by 2013, the firm is closing in on a few deals of to sell non-core assets, including Amanresorts.
"The plans are in place to reduce the debt by Rs6,000 crore-Rs7,000 crore in the next 18 months by selling non-core assets," a source said. Along with sale of non-core assets, the company is also banking on increased revenues to help cut the debt.
"If the cash flows remain good and sales continue at a comfortable rate, the debt of the company will come down to around Rs10,000 crore level in the next two years," the source said.
DLF is likely to generate Rs1,800 crore-Rs2,000 crore revenue in 2011-12 from rentals business that is growing 15% every year. The company's net debt rose by nearly Rs1,000 crore in the quarter ended 30 September 2011 to Rs22,519 crore from Rs21,524 crore as on 30 June 2011. It went up mainly due to delay in receipt of payments from non-core asset sales. The company expects to raise about Rs3,000 crore by March 2012 through sale of non-core assets such as IT Park in Noida, IT SEZ at Pune and hospitality business Amanresorts.
On selling its hospitality venture Amanresorts, DLF Vice Chairman Rajiv Singh had said: "We are likely to close the deal by next quarter. We have got bids from many players and all of them are international firms." He did not comment on the valuation of the deal that would include 29 properties of the hospitality chain that DLF had acquired in 2007 for $400 million. Sources, however, had said the company is expecting about Rs2,000 crore-Rs2,500 crore from the deal. It is also understood that DLF will retain the Delhi property of the Amanresorts.
DLF has been selling its non-core assets such as hotels and plots in the last few years to cut debt. So far, the company had raised Rs3,480 crore from sale of non-core assets. Earlier this year, DLF had announced plans to raise Rs7,000 crore in the next 2-3 years.
In the late afternoon, DLF was trading at around Rs208.50 per share on the Bombay Stock Exchange, 2.23% up from the previous close.