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MEI Online: Plant Operation News: Middle East & Asia: July 5th 2005


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:: India's Jindal Plans $2.1 Billion Aluminium Project

India's Jindal South West Holdings Ltd. plans to invest 90 billion rupees ($2.1 billion) in new aluminium and alumina plants in the southern state of Andhra Pradesh, company officials said.

The company, part of the $4 billion O.P. Jindal group, has signed an agreement with the state government to build plants to refine 1.5 million tonnes of alumina a year and a smelter to process 250,000 tonnes aluminium a year near the port city of Visakhapatnam, the officials said.

"Certain clearances are needed from the central government," a company official said on Sunday, adding the state government and Jindal South West would seek early approvals related to environment clearances and mining permits.

A senior official of the Jindal group, which also has interests in steel production, said construction of the plants would take three years.

Andhra Pradesh Mines Minister P. Sabita Indra Reddy told reporters in the state capital, Hyderabad, the government-run Andhra Pradesh Mineral Development Corporation would handle bauxite mining for the project.

Alumina, an intermediate product extracted from bauxite, is smelted to produce aluminium.

India has the world's fifth-largest bauxite reserves of about 3 billion tonnes, behind Australia, Guinea, Brazil and Jamaica.




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