Indian Metal and Ferro Alloys Limited (IMFA) has firmed up an estimated capital expenditure of around INR 19,000 million ($216 million) to expand its mining and ferrochrome production facilities, a company statement said on Tuesday, July 5.
IMFA will invest around INR 9,000 million ($102 million) to expand its Kalinganagar facility in Odisha. The company will install two new furnaces with a combined capacity of 100,000 mt , scheduled to be operational by 2026.
Additionally, it will incorporate a waste heat recovery power plant at the facility to enhance energy efficiency, the company said.
The company will invest another INR 10,000 million ($114.00 million) to ramp up mining capacities. The aim is to boost chrome ore output to 900,000 mt per year by the end of 2026-227 and to boost this to 1.2 million mt in the second phase, the deadline for which has not been disclosed.
In the current year, IMFA targets chrome ore production of 800,000 mt from its Sukinda mines in Odisha.
IMFA plans to fund the capex largely through internal accruals, keeping external borrowings minimal, it said.