Sri Subramanya Sponge Iron new Plans for a Sponge Iron Plant in Karnataka

Sri Subramanya Sponge Iron Private Limited intends to undertake a phased expansion of its current sponge iron facility located in Haraginadoni, Ballari, Karnataka. The initial stage of the expansion endeavour, concluded in 2022, resulted in a rise in the plant's capacity from 75 tons per day (TPD) to 300 TPD. The forthcoming step of the expansion initiative, presently in the process of strategic development, is anticipated to augment the facility's capability to 500 TPD. The total expenditure for the Project amounts to 175 Crores. 

The subsequent stage of the expansion endeavour will entail the establishment of a novel sponge iron kiln, with a capacity of 200 TPD. The upcoming kiln will be outfitted with cutting-edge technology in order to guarantee the manufacturing of sponge iron of superior quality. Additionally, the project is anticipated to encompass the establishment of a novel captive power plant in order to fulfill the augmented energy demands of the extended facility.

The total estimated budget for the second phase of the expansion project is 175 crores. The project is expected to be completed within 18 months of commencement of construction.

The following mitigation measures will be taken to address the project challenges:

• The company will appoint a reputed contractor with experience in the construction of sponge iron plants.
• The company will procure raw materials and machinery in bulk to negotiate better prices.
• The company will differentiate its products from those of its competitors by focusing on quality and customer service.
• The company will regularly monitor changes in government regulations and comply with all applicable requirements.

Overall, the second phase of the expansion project at Sri Subramanya Sponge Iron Private Limited is a viable one that is expected to generate significant benefits for the company and the local economy.

The project is currently in the stage of being approved. Currently awaiting approval from the government. There is currently no other information that has been decided. 

News By Rahul Yelligetti