Bhubaneswar : Sponge Iron & Ferroaloys producer, Shyam Metalics and Energy Limited (SMEL), has announced a capacity expansion as outlined in the capex plans for Financial Year 2021-22. The company has made significant progress in its endeavor to increase the existing integrated installed facility of 5.7 million tons to 11.6 million tons by 2025.
We are pleased to announce that the Company and its Material Wholly Owned Subsidiary i.e., M/s Shyam SEL & Power Ltd has received “Consent to Operate” from State Pollution Control Board, Odisha and West Bengal Pollution Control Board respectively.
Following the clearances, the total installed capacity for sponge iron products will increase by 20%, from 1.39 million tons per annum (MTPA) to 1.67 MTPA. The incremental capacity to commence operations in December 2021. Furthermore, the company is also expecting to receive similar clearances for commissioning an aluminum foil plant in West Bengal. The proposed installed capacity of 0.03 MTPA is also expected to start commercial operations in December 2021.
“The capacity expansion at our Sambalpur & Jamuria plants comes at an opportune time as the steel industry continues to expand and the demand for our product remains high. We are committed to our expansion plans and have already invested Rs 464 crores from the total budget of Rs 850 crores earmarked towards capital expenditure from internal accruals in Financial Year 2022. We also look forward to further expansions in our captive power projects. We are optimistic about achieving our goals and generate value for all our stakeholders” Mr. Brij Bhushan Agarwal, Vice Chairman & Managing Director said.