The company has so far spent a total of Rs 64,562 crore on modernisation and expansion programmes.
New Delhi: State-run SAIL has so far spent a total of Rs 64,562 crore on modernisation and expansion programmes, which also includes Rs 2,324 crore investment in first nine months of the last fiscal.
"Cumulative expenditure (by SAIL) for various modernisation and expansion packages till December 2016 has been Rs 64,562 crore, including expenditure of Rs 2,324 crore during the financial year 2016-17 till December 2016," according to a latest government report.
Steel Authority of India Ltd (SAIL) has undertaken the modernisation and expansion of its integrated steel plants at Bhilai, Bokaro, Rourkela, Durgapur and Burnpur and special steel plant at Salem.
In the ongoing modernisation and expansion, the crude steel capacity is being enhanced from 12.8 million tonnes per annum (MTPA) to 21.4 MTPA. The expansion of its plants -- Salem Steel, Rourkela, IISCO, Durgapur and Bokaro -- has been completed, the report said adding the new facilities are under operation and production ramp-up.
At Bhilai steel plant, Universal Rail Mill for supply of world's longest single-piece 130-metre-long rail along with rail welding line for production of 260-metre-long rails has been completed.
"Other facilities like ore handling plant part-A, 2nd sinter machine in sinter plant-3 and coke oven battery – 11 are in regular operation and balance facilities viz bar and rod mill, blast furnace-8, steel melting shop-III etc are at advanced stages of execution," it said.
The country's largest steel maker had earlier said it reached the last leg of its Rs 70,000-crore modernization programme but expressed concerns that post modernisation there would be 60-70 per cent jump in production capacity, which is a challenge for the PSU as demand for domestic steel remained weak.