Birla Corporaton plans Rs1,200 crore cement plant in MP
30 Jul 2008
Mumbai: M P Birla Group (now controlled by R S Lodha) flagship company Birla Corporation will invest Rs1,200 crore to set up a 3-million tonne cement plant in Madhya Pradesh.
The commissioning of the new plant would augment the company's total cement capacity to over 10 million tonnes by 2011.
''We have decided to install a three million tonnes cement plant in Madhya Pradesh for which we have already signed a MoU with the state government. With commencement of this greenfield plant the cement capacity will cross 10 million tonnes per annum,'' R S Lodha, chairman of Birla Corporation, said on the sidelines of the company's AGM.
He said the investment in the MP project would be funded through debt and equity which would come mostly from internal accruals.
''We are waiting for the limestone mining block and the state is in the process of allotting it to us canceling the right given wrongfully to someone else,'' Lodha said.
Birla Corporation has asked for 2,000 acres, he said, adding the company would go for land acquisition only after the limestone block has been offered.
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