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Birla Corp. to invest Rs.2400 crore to expand cement capacity

World Cement,

Birla Corporation, India, has announced that it will invest Rs.2400 crore over the coming years in a bid to expand its cement operations. Harsh Lodha, Chairman, revealed the plans to shareholders at the company’s 90th Annual General Meeting.

Rs.500 crore of the funds will be allocated to facilities at Satna in Madhya Pradesh, Rae Bareli in Uttar Pradesh and Durgapur in West Bengal. Lodha commented, 'at Satna, the first phase of the programme to enhance the clinker capacity has already been completed. Once the second and final phase is completed the total clinker production will go up to 3.4 million tpa from 2.4 million t now.'

Further investment includes Rs.605 crore for a 1.2 million t brownfield plant in Chanderia, Rajasthan, as well as constructing a new plant at Satna that will demand around Rs.1300 crore. These projects should be completed by July 2011, increasing Birla Corp.’s production capacity to 9 million t.

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