NMDC to Invest Rs 70,000 Crore in Capital Expenditure Over Next 5 Years.

State-owned iron ore miner NMDC has unveiled plans to invest Rs. 70,000 crore in capital expenditure over the next five years, aiming to increase its production capacity to 100 million tonnes, develop evacuation infrastructure, and enhance its digital ecosystem.

Managing Director Amitava Mukherjee emphasized the strategic significance of the expansion, describing the 100 million tonne target by 2030 as a “once in a lifetime opportunity” to build a global mining powerhouse. Speaking at a meeting with vendors in Hyderabad on Tuesday, he noted that this goal aligns with the National Steel Policy 2017, which sets a target of 300 million tonnes of domestic steel production capacity for India.

In the 2023-24 fiscal year, NMDC produced 45.02 million tonnes of iron ore and sold 44.48 million tonnes. The company also reported its highest-ever capital expenditure of Rs 2,066 crore, 17% above the targeted Rs 1,769 crore.

Mukherjee urged vendors to prepare financially and resourcefully to support the company's ambitious expansion plans, promising timely deliveries and high-quality inputs. NMDC operates mines in Chhattisgarh and Karnataka and plays a key role in supplying iron ore, a critical raw material for steel production.

ET