Mint reported that JSW Steel Limited has formed a team to acquire iron ore and coal mines as it looks to increase self sufficiency in feeding group’s steel and power plants.
The 7 member acquisition team, headed by Mr Murari Rajan executive director, mergers and acquisitions will identify targets after which a 9 member technical team will assess their suitability.
Mr Seshagiri Rao joint MD of JSW Steel and CFO of the JSW group said that “As we expand aggressively, we need to own mines to bring down costs. JSW Steel, which announced the purchase of debt laded steel maker Ispat Industries Limited last year for INR 2,157 crore, sources 40% iron ore from its own mines to feed its 14 million tonnes steel plants in Karnataka and Maharashtra. Iron ore mines in Chile will be expanded to 5 tonnes from 3 tonnes now. We have a target to achieve 100% self sufficiency in 5 years.”
Mr Rao said that in July the company will begin mining coal from West Virginia in the US and expand it to 3 tonnes in three years.
He told “We are looking at least 50% self sufficiency in coking coal.”
The group’s power arm, JSW Energy Limited has a current operational capacity of 1,730 MW. The company plans to build 1,100 MW lignite fired power plants and an additional 2,000 MW using coal as feedstock. (sourced from Livemint)
The 7 member acquisition team, headed by Mr Murari Rajan executive director, mergers and acquisitions will identify targets after which a 9 member technical team will assess their suitability.
Mr Seshagiri Rao joint MD of JSW Steel and CFO of the JSW group said that “As we expand aggressively, we need to own mines to bring down costs. JSW Steel, which announced the purchase of debt laded steel maker Ispat Industries Limited last year for INR 2,157 crore, sources 40% iron ore from its own mines to feed its 14 million tonnes steel plants in Karnataka and Maharashtra. Iron ore mines in Chile will be expanded to 5 tonnes from 3 tonnes now. We have a target to achieve 100% self sufficiency in 5 years.”
Mr Rao said that in July the company will begin mining coal from West Virginia in the US and expand it to 3 tonnes in three years.
He told “We are looking at least 50% self sufficiency in coking coal.”
The group’s power arm, JSW Energy Limited has a current operational capacity of 1,730 MW. The company plans to build 1,100 MW lignite fired power plants and an additional 2,000 MW using coal as feedstock. (sourced from Livemint)
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