The board of directors of KIOCL Limited has approved the technoeconomic feasibility report (TEFR) for establishing a two million tonne iron ore pellet plant in Visakhapatnam with an investment of Rs 900 crore.
Formerly Kudremukh Iron Ore Company Ltd, KIOCL is a public sector organisation under the Ministry of Steel. It is the leading organisation in iron ore mining, filtration technology, and production of high-quality pellets.
The company entered into a joint venture with Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant (VSP), last year for the greenfield pellet plant.
According to a report in the Hindu, the supply of pellets, going by the present cost, will benefit RINL by at least Rs 2,000 per tonne towards freight cost. At present, RINL is meeting its pellet requirement with supply from Mangalore.
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