Ramco Cements plans cement & power projects in FY24

Ramco Cements has strategically outlined a significant capital expenditure (capex) amounting to Rs 1,650 crore for the ongoing fiscal year. This substantial investment encompasses various ventures including capacity expansion initiatives and land acquisition ventures in Andhra Pradesh and Karnataka. Notably, the company has already allocated Rs 1,225 crore for capex in the initial half of the current fiscal year, with an additional Rs 350 crore reserved for deployment over the upcoming two quarters.

The planned capacity expansions encompass several pivotal projects including the Kolimigundla thermal power plant, the development of dry mix products in Andhra Pradesh and Odisha, and the establishment of a grinding plant in Odisha. The Kolimigundla 18 MW TPP and dry mix products are scheduled to commence operations by December 2023. Moreover, the expansion of the grinding plant from 0.9 million tonnes per annum (MTPA) to 1.8 MTPA is anticipated to be accomplished by January 2024.

For the fiscal year 2025, a projected capex ranging from Rs 200 crore to Rs 250 crore has been estimated, coupled with a standard maintenance expenditure of Rs 200 crore. However, this budget may experience an upward revision pending the approval of new projects, such as the implementation of a waste heat recovery system in the Tamil Nadu plant, signifying potential augmentation in the allocated financial plan.

News by Rahul Yelligetti