Ruias-run EPC firm Essar Projects is betting big on domestic steel capacity expansion and other related areas for achieving its targeted over Rs 50,000 crore revenue in five years.
“Essar Projects, as a whole, had clocked around Rs 11,000 crore turnover last year. The minerals and metals business unit contributed Rs 2,900 crore and this is likely to go past Rs 10,000 crore in five years when Essar Projects’ turnover will exceed Rs 50,000 crore,” Essar Projects’ CEO (Minerals and Metals) A V Amarnath told PTI.
Essar Projects, which provides turn-key solutions on an array of areas including ports, mining and oil and gas, power among others, has a $6.1 billion order-book that includes $1.4 billion from minerals and metal sector, he said.
Asked about the plans in the minerals and metal sector, Amarnath said Essar Projects has over the years built capacity to provide various solutions to the metal sector. It has built Essar Steel’s 10 million tonnes per annum steel plant at Hazira.
“In fact, we have bagged orders from Jindal Steel and Power and Steel Authority of India in recent times. Tata’s have also reposed faith on us and we are looking forward to work for their Odisha plant” he said, adding pelletisation and beneficiation plants for adding value to iron ore is also a good potential source of business generation.
In fertiliser sector, the company is working with IFFCO.
The current ratio of business generation between domestic and overseas orders is in the ratio of 65:35, which is likely to be just the reverse in the next five years, he said.
“We are in advanced stages of negotiating with a large mineral company in the world to enter into a partnership for doing its projects. People from that company came and visited the plants we have built recently and they are very keen to partner with us,” Amarnath said.
Asked how much investment the company will require to execute its current order book, he said the company has already a huge built up capacity.