New Delhi, May 22 (UNI) The Union Cabinet today gave its approval for the merger of Sponge Iron India Limited (SIIL), Hyderabad, with the National Mineral Development Corporation (NMDC), Hyderabad, through acquisition of share of the former by the latter in the public interest.
Both the Public Sector Enterprises are under the Union Ministry of Steel.
Finance Minister P Chidambaram told mediapersons that the merger would ensure in-house supply of desired quality and quantity of iron ore (raw material) of SIL's sponge iron plant at Paloncha in Khammam district of Andhra pradesh.
It would also help to implement the proposed Sponge Iron Plant Expansion Project at Paloncha by utilising surplus land and manpower of SIIL and financial resources available with the NMDC.
He said the merger would be carried out within a period of six months.
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