SAIL eyes majority stake in Neelachal Ispat.

State-owned steel maker SAIL has evinced interest in acquiring majority stake in Neelachal Ispat Nigam Ltd. with plans to raise NINL's capacity 5-fold from nearly a million tonnes per annum.

NINL, a company jointly promoted by MMTC and Industrial Promotion and Investment Corporation of Orissa Ltd, has a pig iron manufacturing facility in Odisha. MMTC is under the administrative control of the Commerce Ministry.

'SAIL has taken up with Ministry of Commerce/Government of India for possibility of acquiring majority stake in NINL in Jeypore, Odisha,' Steel Ministry said in its Outcome Budget for the current fiscal.

NINL also produces LAM coke used by the steel industry. It has a 62.5 MW captive power plant to meet captive needs. The company has been allotted an iron ore mine at Koira having an estimated 110 million tonnes reserves.

The Steel Ministry said the acquisition will facilitate realisation of the full potential of NINL as a profitable integrated steel plant


BS