Nalco to invest Rs 2,300 cr on expansion in FY13
State-owned aluminium firm Nalco plans to invest Rs 2,343 crore next fiscal, a 76% rise in capital expenditure over FY12, to increase capacity, according to 2012-13 Budget documents.
A disinvestment candidate for the government's Rs 30,000 crore mop up target, Nalco spent Rs 1,333 crore this fiscal.
The Budgeted outlay for the company in 2011-12 was 1,057 crore, but it was subsequently raised to 1,333 crore, the documents show.
The Odisha-based firm plans to invest Rs 57,903 crore by 2020 mainly for setting up two aluminium smelters, a report of the Parliamentary Standing Committee on Coal and Steel had stated earlier.
The proposed outlay includes Rs 16,500 crore for setting up a 5 million tonnes (MT) smelter in Indonesia, with 1,250 MW power plant. Another smelter of the same size would be built in Western Odisha in two phases, with 1,260 MW power plant at an estimated investment of Rs 16,345 crore.
Besides, Nalco plans to construct a new alumina refinery of 1.4 MT in Andhra Pradesh and 1,000-MW power project as independent power producer. Both the projects would require an investment of Rs 10,600 crore.
The government has identified Nalco as a potential disinvestment target for the next fiscal. During 2012-13, it plans to generate Rs 30,000 crore revenue through sale of shares in public sector units.
Nalco is a listed company but it is yet to meet the 10% free float target as required by the capital market regulator Sebi.