BIL mulls acquiring 12 % stake in KRCL

Kadapa, Andhra Pradesh, June 10 (UNI) The Bramhani Industries Limited (BIL) is planning to pick up 12 per cent stake in Krishnapatnam Railway Company Limited (KRCL), floated by Union Railway Ministry, BIL Chairman and Managing Director G Janardhan Reddy said today.

Pointing out that the new 114-Km-long rail line to Krishnapatnam would cost Rs 588 crore, Mr Reddy, talking to newspersons here, said "the company is willing to pick up 12 per cent equity in KRCL shortly." The National Mineral Development Limited had already acquired 15 per cent equity stake in KRCL, the Krishnapatnam Port Company Limited (30 per cent), Andhra Pradesh Government (13 per cent) and Rail Vikas Nigam Limited (30 per cent).

He said the company would rope in Chinese technical expertise for the steel plant, which was coming up at Ambapuram at the cost of Rs 20,000 crore.

The company was holding negotiations with China Metallurgical Group Corporation, a Government Department of the Republic of China, for bringing in the technology.

Simultaneously talks were on with HIQ Power Associates, a globally reputed consultants for power and metallurgical plants for preparation of Techno-Economic Feasibility Report as well as for preparation of specifications for Sinter Plant and blast furnace, he said.

In the first phase, products like wire rods, structures, bars and other construction and infrastructural steel would be produced.

During the second phase, the plant would manufacture hard roll coins, cold roll coils and plates, he said.

Mr Reddy said the state government had alloted 10,761 acres of assessed waste land and two tmcft of Krishna water for the project.

UNI