Ispat Industries set to start a Rs 8.9 billion investment

Ispat Industries set to start a Rs 8.9 billion investment

Market reports state that Indian steelmaker Ispat Industries Ltd. has set up a Rupees 8.9 billion ($196.6 million) investment plan for the purpose to expand production capacity and reduce costs. Investment which is scheduled to be completed in January 2005 at earliest or April 2005 latest, is forecasted to help the company to record an annual saving of Rupees 11.35 billion (around $251 million). According to the reports, the investment includes; expanding hot metal production capacity as well as jetty capacity, acquiring iron ore mines in Goa and Karnataka and constructing a power plant. The investment plan will be funded by internal accruals, except for power plant as a credit line of Rupees 500 million ($11.1 million) has already been allocated for the project.