Bangalore, May 13 (UNI) Public Sector BEML Ltd has entered into an MoU with Steel Authority of India Limited (SAIL) to sell mining equipment worth Rs 477 crore over the next three years.
The MOU was signed today by Mr V K Gulhati, Director (Technical), SAIL and Mr M Poongavanam, Director (M and C), in presence of BEML CMD V R S Natarajan here yesterday.
The equipment envisaged under the agreement included dumpers, dozers, motor graders, high end hydraulic excavators and tyre handlers.
In addition, the agreement also provides for maintenance contract of the equipment worth Rs 300 crore, a BEML release said.
Both the PSUs have mutually agreed to work on a 11-year term during which BEML shall supply equipment up to 2011 as well as undertake maintenance and repair.
BEML had also signed a 12-year agreement with Coal India Ltd for joint production of Off the Road (OTR) tyres to meet the requirement for production by BEML and after sale requirement by Coal India Ltd.
The OTR Tyres would be produced by Apollo Tyres and JK Tyres in an exclusive facility being created with the funding from CIL.
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