Nalco to purchase 80% power for its greenfield aluminium smelter

<p>National Aluminium Company (Nalco), one of the major primary aluminium producers of India, has decided to acquire 80 per cent of the power from the coal-based power station proposed at Kamakhyanagar in Dhenkanal district, Odisha.</p> <p><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/PO23_steel_roll_jp_2864181g.jpg" alt="news" width="517" height="226" /></p> <p>The chairman and managing director of&nbsp;Nalco T K Chand stated, &ldquo;Nalco will be buying 80 per cent of the power which will be used for feeding our planned greenfield aluminium smelter at Kamakhyanagar close to the site chosen for the power station. Rest of the power will be sold by NTPC to other sources. We will shortly form the JV (joint venture) company for the power project&rdquo;.</p> <p>The 2,400-Mw coal-based power plant is a joint venture between Nalco and NTPC. The project is projected to be cost INR 14,000 crore. The aluminium smelter project and the power project will generate significant employment opportunities in the state. <br /> <br /> Presently, Nalco is spending INR 12,000 crore on the greenfield aluminium smelter with proposed capacity of 0.6 million tonne per year. The company requires 1,400 acres of land for this aluminium smelter and it will go on stream in four years using latest aluminium smelting technology.</p> <p>{googleAdsense}</p> <p>Nalco&nbsp;is planning a&nbsp;brownfield&nbsp;expansion at its existing aluminium&nbsp;smelter&nbsp;at Angul, having installed capacity of 0.46 mtpa. The navratna company has a Capex (capital expenditure) of INR 10,000 crore to increase capacity of the aluminium smelter by 0.5 mtpa.</p> <p>After the brownfield expansion, Nalco anticipates to cut down production cost and attain economy of scale. The company will utilize latest technology in order to minimize energy consumption and achieve high output.</p>