Orissa Minerals Development Company Ltd (OMDC), now in the fold of Rashtriya Ispat Nigam Ltd (RINL), has decided to set up a 2 million tonnes per annum (mpta) pellet plant and a 2 mpta iron ore beneficiation unit at a cost of Rs 400 crore each.
Mr Dalip Singh, Joint Secretary in the Steel Ministry, told Business Line that the board of directors of OMDC has cleared both the proposals.
Mr Singh, who is on the board of Kolkata-registered, and the NSE, BSE and CSE-listed OMDC, said an action plan would be put in place soon for implementation of the two projects. OMDC's mines are located around Barbil in Keonjhar district of Orissa. It also has a 100 TPD sponge iron plant.
The company exports iron ore fines since 2005-06. The company's constraint lies in the pendency of renewal of three of mining leases. OMDC has 26 per cent stake in a joint venture — East India Minerals Limited (EIML) for production of sponge grade iron ore.
On Tuesday, the Rs-10 OMDC stock finished up 20 per cent at Rs 53,446 (BSE) and Rs 53,639 (NSE).