NINL Resumes Billet Production, on Course Towards Scripting Turnaround
With an objective to make a presence of its footprint amongst the country’s steel producers, Odisha based Neelachal Ispat Nigam Limited (NINL) started the state-of-the-art Steel Melting Shop (SMS) on 7th December, 2018 and resumed billet production. This is part of the string of activities the country’s largest producer and exporter of Pig Iron has planned to accomplish for its turnaround. NINL has further plans to convert sizeable amount of billets into TMT Bar and Wire Rods.
Speaking on the occasion, S.S. Mohanty, Vice Chairman & Managing Director, NINL, said, “NINL is in last lap towards achieving the turnaround of the plant. The steel market is improving and we expect to earn maximum net margin on Billet by reducing the cost of production. Shortly the first export consignment of Billet will be sent. There is also plan for TMT and Wire Rod soon. The next target would be operation of the captive mines at Koira which is expected towards the end of the current fiscal. This will be a game changer for the company.”
NINL had got a new lease of life when the foundation stone for turnaround of plant was laid with the completion of the much-awaited capital repair of its 1.1 million ton Blast Furnace in April this year.
Riding on the escalated production after the Capital Repair, the company generated Ebitda of nearly Rs 4,000 per tonne of Pig Iron during the April-August period of the current fiscal. In the comparable period of last FY, the company’s performance was Ebitda-negative.
NINL, promoted by MMTC Ltd., IPICOL & OMC, has set up an 1.1 million ton integrated Iron and Steel plant at Kalinga Nagar, Odisha. Presently the products are Steel Billets, Pig Iron and LAM Coke along with Nut Coke, Coke Breeze, Crude Tar, Ammonium Sulphate, Granulated Slag, etc.