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Following is an excerpt from a report in Business Standard.

The State Level Single Window Clearance Authority (SLSWCA) of the Orissa government, headed by Chief Secretary, Ajit Kumar Tripathy, today approved projects worth Rs 42,911crore mainly pertaining to the aluminium sector. It includes the Rs 16,345 crore investment proposal of the National Aluminium Company Ltd (Nalco), Rs 19,668 crore proposal of L&T-Dubal, Rs 6800 crore proposal of RSB Metaltech and Rs 98 crore investment proposal of Kanpur based Bajaj Steels and Industries Ltd.

Following is an excerpt from a report in Times of India.

Venezuela’s national oil company PdVSA is in talks with IndianOil Corporation for taking up to 49% stake in a 15 million tonne refinery the flagship Indian refiner-marketer is building in Orissa’s Paradip at an investment of a little under Rs 30,000 crore.

“We have received interest from PdVSA. We are evaluating the offer,” a senior company executive, requsting anonymity, said on the sidelines of the 19th World Petroleum Congress here. “We want a partner not for money but for some value. In this case, PdVSA has said it can supply Venezuelan crude to the refinery. IndianOil would look at getting at least half, or 7.5 million tonnes, of Paradip refinery’s crude requirement from Venezuela.”
…

there are other factors that could work for the PdVSA deal. Venezuelan crude is one of the toughest to process and needs refineries with high complexity ratings. IndianOil has designed the Paradip unit to accept the toughest, heaviest and the dirtiest crudes. “Our refinery will have a Nelson Complexity Index of 15,” the IndianOil executive said. Reliance Petroleum’s upcoming export refinery at Jamnagar, which is billed the most advanced, is rated at 14. Besides, India offers strategic locational advantage from where exports can even happen to as far as the US.

Following is an excerpt from a report in Statesman.

National aluminium company limited (Nalco), which was recently conferred with the prestigious Navratna status, has drawn ambitious growth plans involving massive investment of around Rs 40,000 crore in next five years.

… Sources said the second phase expansion is under implementation at an investment of Rs 4092 crore, which is scheduled to be completed by 2008 end. Even the plans are afoot for the third phase of expansion, which is likely to entail expenditure to the tune of Rs 6000 crore. Under this expansion,

• the bauxite mining capacity shall be enhanced to around 90 lakh tons,
  
• alumina refining to 30 lakh tons,
  
• aluminium smelting to 6.3 lakh tons and
  
• power generation to 1,700 MW per annum, sources said.

Among the green field projects,

• a mines and refinery complex is being planned in Andhra Pradesh. The project will involve an investment of Rs 7000 crore.
• Similarly, in Orissa, a smelter and power complex has been planned in Ib valley in Jharsuguda district at an investment of Rs 8,500 crore. This project envisages a smelter of five lakh tons capacity and a coal-based power plant of 1260 MW capacity. Pre-feasibility report has been finalised by EIL. Nalco has submitted an application for allotment of water resources to state government last month.

The new projects abroad included

• the proposed five-lakh ton smelter and a 1250 mw captive power plant in Indonesia.
• Besides, Nalco is exploring the possibilities of setting up a smelter and power plant in South Africa at an investment of around Rs 16,000 crore.

Also the company plans to set up

• an aluminium park in Angul, as a joint venture with IDCO.
  

• Similarly, it has entered into an agreement with Bharat Earth Movers Limited for the production of aluminium rail wagons. (Where ?)
  
• This apart, cement plant being another new venture for the flagship PSU, expression of interest has been invited from competent parties to set up a cement plant based on fly ash of Nalco’s power plant at Angul

Following is from a report in Pioneer (Note: It may be in response to http://www.orissalinks.com/?p=1134.):

National Aluminium Company (Nalco) has so far spent more than Rs 100 crore towards various social sector development activities. Creation of infrastructure in the surrounding villages for communication, education, healthcare and drinking water gets priority in the periphery development plans of the company.

Nalco sources said community participation in innovative farming, pisciulture, social forestry and sanitation programmes apart, encouragement to sports, art, culture and literature are all a part of Nalco’s involvement with the life of the community. Successful operations of the company have led to employment and income generation for the local people in many significant ways.

These apart, during natural calamities, Nalco has been donating to the Chief Minister’s Relief Fund and Prime Minister’s National Relief Fund. Soon after Super Cyclone in Orissa in 1999, Nalco created 197 primary school-cum-cyclone shelters in the coastal districts. Besides, illuminating Lord Lingaraj Temple, Nalco has set up Mahatma Gandhi Park and Biju Patnaik Park in Bhubaneswar and Gandhi Ghat Park at Puri. The company has also committed Rs 2 crore for renovation of Ananda Bazar in the premises of the Jagannath Temple.

"In education, our focus is on primary education, for which we have been extending financial assistance in remote tribals-dominated places of Orissa. But, despite our best of intentions, it is not possible to fund all such projects. As a result, at times, some aggrieved persons do turn to media to tarnish the image of Nalco," a senior officer of the company remarked.

As for the rehabilitation of the 635 families displaced due to the Nalco project in the Damanjodi and Angul sectors, the company sources said employment has been provided to 629 nominees. The nomination status of balance six families has been taken up at appropriate level. Besides, 1,530 families were substantially affected (parting with one-third or more of their lands) in Angul. Even from these, jobs have been provided to 1,160 persons. Nalco has also been sponsoring ITI training to such persons, with 543 having been technically trained so far.

Nalco CMD CR Pradhan said, "As a corporate policy, Nalco has been allocating 1 per cent of its net profit of the year for social sector activities in the succeeding year. During the 2006-07 fiscal, Nalco made a net profit of Rs 2,381 crore and, accordingly, for the 2007-08, the company allotted Rs 23.81 crore for various developmental activities. "Today, in any investment plans in Orissa, the interested companies are cited Nalco’s role as a responsible corporate citizen."

Following is an excerpt from a report in Business Standard.

National Aluminium Company (Nalco) is exploring the possibility of setting up a greenfield aluminium smelter and captive power plant near Jharsuguda, western Orissa at an investment of more than Rs 14,000 crore.

The capacity of the proposed smelter is pegged at 5 lakh tonnes per annum with a captive generation facility of 1,250 mw. The alumina required for the project is likely to be sourced from Nalco’s existing refinery at Damanjodi.

Engineer’s India (EIL), which has been appointed the consultant, has found the project technically feasible.

Jharsuguda is being chosen as the possible site for the plant as it is in the vicinity of the IB valley coal reserves. While the company has the required technology, land acquisition is expected to be trouble-free as most part of the identified patch is government land and barren.

… "Yes, we have plans to set up a smelter and captive power plant in Jharsuguda to add about 9 lakh tonne alumina capacity which is exported annually now. The project’s fate does not hinge on the availability of water," B L Bagra, director (finance), Nalco, told Business Standard.

Meanwhile, the state-owned Industrial Promotion and Investment Corporation of Orissa (Ipicol) has forwarded the company’s application for water from IB river to the water resources department.

Following is an excerpt from a report in Kalinga Times.

National Aluminium Company Limited (NALCO), the flagship PSU of the Ministry of Mines and India ‘s largest manufacturer and exporter of alumina and aluminium, has been granted the Navratna status.

Navratna status is conferred on select Central Public Sector Enterprises (CPSE),on becoming significant players in the economic development of the country.

On achieving the status, certain powers are delegated to those CPSEs that had comparative advantages and capacity to become global giants.

As per the wikipedia entry on Navratna:

The ‘Navaratna’ status offers a company enhanced financial and operational autonomy and empowers it to invest up to Rs. 1000 cr or 15% of their net worth on a single project without seeking government approval. In a year, these companies can spend up to 30% of their net worth not exceeding Rs. 1000 cr. They will also have the freedom to enter joint ventures, form alliances and float subsidiaries abroad.

 

Following is an excerpt from a report in Pioneer.

Indian Oil Corporation (IOL)’s Chairman S. Beuria called on Chief Minister Naveen Patnaik on Saturday at Orissa Bhawan in New Delhi and appraised him about the progress on 15 MMTPA Paradip- refinery -cum- aromatic complex.

He indicated that approximately Rs 1,254 crore had already been spent on the project.

“Due to cost and time overruns, the project cost is likely to go up to Rs 46,000 crore and the project will take 42 months to get completed,” he said.

He further indicated that they have already received environmental clearance from the Union Ministry of Environment and Forest. Construction of water and power supply system has also been completed. The work of dredging and reclamation of land is under progress.

Beuria informed Patnaik that the seven year- holiday available under Section 51-B will be withdrawn effective from April 1, 2009 It would affect the viability of the project.

… Patnaik asked the Beuria to take up the peripheral development works for the benefit of the project affected people of Jagatsinghpur district.

Following is an excerpt from a report in Business Standard.

The NSC has transformed itself from the usual non-profit-earning PSU into a vibrant entity.

Private sector seed companies have, till now, had a virtual monopoly over the production and sale of seeds, mostly hybrid seeds, of high-value crops. This was chiefly because the public sector seed producers, besides being fewer in number, remained focused right from the beginning on the production of seeds of low-value but high-volume crops (basically cereals), where profits were low though the quantities to be handled were large. Besides, public sector units (PSUs) made little attempt to keep pace with time.

However, the much-needed change in the public seed sector is coming about now with the largest player, the National Seeds Corporation (NSC), adopting a corporate culture and deploying state-of-the-art technology to produce seeds even of high-value crops and hybrids.

Indeed, as could be expected, this change in the work culture has transformed the NSC from the usual non-profit-earning PSU into a vibrant entity striving to find a place among the mini-Ratnas, if not the Navratnas. The headquarters of the NSC and four of its regional units in Bhopal, Jaipur, Secunderabad and Bangalore, have already acquired the ISO 9001-2000 certificate and the remaining regional units are in the process of doing so.

… Indeed, the man behind this incredible transformation is the present chairman and managing director B B Pattanaik." I would be able to declare a much higher dividend for the current year, "asserts an enthusiastic Pattanaik. He has not only motivated the aging employees of this 45-year-old corporation for better performance but has also taken several new initiatives to be in a position to rub shoulders with the well-run private sector seed companies, many of which now have business tie-ups with the NSC.

… The NSC’s tissue culture unit with a capacity to churn out annually about two lakh test tube-raised plantlets for propagation of the banana is coming up in Bhubaneswar and may become operational by the next month. For research and development back-up, the NSC gets support from the vast agricultural research network of the Indian Council of Agricultural Research (ICAR) and the state agriculture universities. This helps the NSC to add, on an average, around 20 new varieties and hybrids to its product range every year.

Following is an excerpt from Livemint on this.

India’s largest manufacturer of power generation equipment Bharat Heavy Electricals Ltd (Bhel) has begun negotiations to set up joint ventures with state government institutions in Maharashtra, Orissa and Uttar Pradesh, which will not only generate steady orders for the firm but potentially block out emerging rivals.
The so-called ‘supercritical’ thermal power projects, with a capacity of 4,800MW, are expected to need Rs20,000 crore in investments.

“We are in talks with the SEBs (state electricity boards) and are exploring opportunities on the lines of our joint venture with Tamil Nadu Electricity Board in a 50:50 ratio. We are looking at setting up 1,600MW projects with each SEB,” said a senior Bhel executive who did not want to be named.

Each venture will require two units with a capacity of 800MW. Bhel is the only company in India that has the capability of manufacturing boilers and turbines of 800MW size and above. But, several companies, including Mitsubishi Heavy Industries Ltd, Toshiba Corp., Hitachi Ltd, Dosan, Dongfang Electric Corp., Siemens AG, Alstom SA, Russia’s LMZ and Technoprom have said they would be interested in setting up manufacturing facilities in India.

Government officials of Maharashtra, Orissa and Uttar Pradesh confirmed the conversations with Bhel.

One state government official, who did not wish to be identified, noted that “supercritical power projects burn less coal and their large economies of scale help in delivering cheaper power.”
Each of the 1,600MW will require an investment of Rs6,400 crore, with a maximum debt to equity ratio of 70:30. This would entail an equity of Rs1,920 crore with Bhel and the state board chipping in Rs960 crore each.

…
A government working group report, submitted as an input into the preparation of the 11th Plan for the power sector, noted that about 3,960MW could not be commissioned in the current plan period due to delays by Bhel. India currently has a power generation capacity of 135,000MW and aims to add 78,577MW of capacity by 2012.

The Bhel executive said that with capacity being raised by 10,000MW per year, the company will be able to manufacture equipment totalling 56,000MW by 2012. It has an order book position of 31,923MW and 9,775MW of extra equipment from unused stock.

“This leaves us with a lot of capacity to manufacture,” the executive added.
Bhel has technical collaboration with Alstom and Siemens, who are both pioneers in the field of supercritical technology for manufacturing boilers and turbines, respectively. The company posted a net profit of Rs2,385 crore on revenue of Rs18,702 crore in 2006-07 and ended the year with an order book position of Rs35,633 crore.

Bhel aims to become a $10 billion-plus (Rs39,500 crore) company by 2011-12 with a 15,000MW power equipment manufacturing capacity by the end of next year. The company has a current manufacturing capacity of 10,000MW.

Odisha.in reports that IOC will set up a Biodiesel refinery in Orissa. Following is an excerpt from an Odisha.in  news item on this.

The Indian Oil Corporation (IOC) Thursday announced to set up a Bio-Diesel Oil Refinery in Orissa.

This was announced by B.B.Choudhury, chief of IOC, Eastern Zone at the Banker’s Committee meeting on rising of energy plantation and Bio-Diesel production being organised jointly by OREDA and Science and Technology Department, Orissa.

Choudhury said that IOC had plans to support all necessary infrastructures for sustainable and qualitative production of Bio-Diesel.

He said that IOC would set up the proposed Bio-fuel processing unit in a centrally located area and urged the state government to help supply high yielding non-edible Jatropha or Karanja seeds of at least 2 lakh Metric tones annually to make the unit viable.

IOC has decided to blend Petrol and Diesel with ethanol content in rational level ,he said .presiding over the meeting Orissa Chief Secretary, Ajit Tripathy announced that a Bio-Diesel Park would be set up at Deras , in the outskirts of Bhubaneswar.

Following is an excerpt from a report in Pioneer.

Orissa Minerals Development Company (OMDC), operating under the direct administrative control of the Union Ministry of Steel, has announced that it was ready to supply iron ore to the companies which have signed MoUs with the Orissa Government for setting up of steel plants.

Chairman-cum-Managing Director of OMDC MS Barpanda said he had already conveyed his decision to the State’s Secretary Of Steel and Mines UP Singh.

… OMDC has six iron ore and manganese mines in Barabil area of Keonjhar. Barpanda had steadied the company which was reeling under allegations of embezzlement of funds under investigation of CBI.

He has now established contacts with the Orissa Government for renewal of mining leases and setting up of a palletisation plant in Orissa.

Barpanda, … added that OMDC under his dispensation had been finalising all contracts in a most transparent manner through open tender by advertisements in newspapers and e-auction process.

He further added that notwithstanding cancellation of the leases of two major mines by the Orissa Government production in OMDC had increased in volume, which only proves that all the remedial measures initiated by him had yielded results.

Following are excerpts from a report on this in Business Standard.

National Aluminium Company (Nalco), the largest producer and exporter of aluminium in the country, plans to set up an aluminium park at Angul to boost consumption of the metal within the state.

Most of the aluminium produced by the public sector blue chip company, at present, is either exported or sold outside the state for further value addition. Out of the average 30,000 tonnes of aluminium produced per month by Nalco’s smelter at Angul, 28,000 tonnes are dispatched outside the state, with only 2,000 tonnes being consumed in the state.

The proposed aluminium park is expected to increase the metal consumption within the state to at least 20,000 tonnes per month, says CR Pradhan, chairman and managing director of Nalco.

He said both national and international aluminium players would be invited to set up downstream units in the proposed park to facilitate more metal sales within the state. Nalco has approached the Industrial Infrastructure Development Corporation of Orissa (IIDCO) to acquire about 1,000 acres to be handed over to it for the purpose.

Meanwhile, Nalco’s plan to set up a second smelter plant along with a captive power plant in Orissa depends on the company being allotted additional bauxite mines and coal block for the project. …

Allaying all apprehensions regarding delay in the ongoing expansion project of Nalco, both at Angul and Damanjodi facilities, he said they would be completed within stipulated time.

Following is an excerpt on this from a report in Business Standard.

GAIL India, the country’s largest transporter and marketer of gas, will diversify from its core business to invest in a fertiliser and chemical plant at Talcher in Orissa. The gas utility will form a joint venture with government-owned Rashtriya Chemicals and Fertilisers (RCF) to set up the Rs 2,400 crore plant which will have a capacity to produce 2,940 tonne per year of urea, GAIL, CMD, UD Choubey said.

An agreement between GAIL and RCF will be signed soon, Choubey said.

“The equity structure is yet to be worked out. RCF will carry out a feasibility study on the integrated fertiliser and chemical plant,” Choubey said.

The plant will be fed with 7 million cubic metres a day (mcmd) of gas produced through the surface coal gasification process for which Coal India (CIL) will supply around 5,000 tonne of coal.

“We are in constant touch with CIL. They have in-principle agreed to supply the coal,” Choubey said.

Explaining the rationale behind diversifying into fertilisers, Choubey said that the trigger for the move was that the company wanted to increase its presence in the gas business in east India. “We have always been supplying gas to fertiliser plants. This is just a move forward,” Choubey explained.

Following is an excerpt from a report in Asian Age.

National Aluminium Company Ltd (Nalco) on Friday notched up the highest ever net profit of Rs 2,381 crores in 2006-07 compared to Rs 1,562 crores in the previous year, thus registering a growth of 52 per cent in the net profit.

The company at its 26th annual general meeting (AGM) held here to approve the accounts for 2006-07 said it also achieved the highest-ever sales turnover of Rs 6,515 crores as against the sales turnover of Rs 5,324 crores during the previous year registering a growth of 24 per cent in turnover. It also made an impressive record export earning of Rs 2,585 crores in the last fiscal.

The gross margin jumped by 40 per cent to Rs 3,942 crores in 2006-07 from Rs 2,811 crores in the previous year. Return on capital employed increased to 32 per cent against 25 per cent in the previous year. The earning per share increased to Rs 37 from Rs 24 in the previous year.

Update: The PIB http://pib.nic.in/release/release.asp?relid=33543 is a Rajya Sabha answer on this topic.

Following are excerpts from a Times of India report.

The Steel Authority of India (SAIL) on Wednesday unveiled plans to expand and modernise the Rourkela Steel Plant (RSP) with an investment of Rs 7,800 crore. RSP, which presently has a capacity of 2.2 million tonnes per annum, would be converted into a four MTPA facility by June, 2010. Its production would be further enhanced to eight MTPA by 2019-20, said company’s director (personnel and raw materials) G Ojha here. According to Ojha, RSP’s expansion is part of SAIL’s plan to invest Rs 49,000 crore in its different units and mines within the next three to three-and-half years. … Ojha said that post-expansion, SAIL’s production capacity would touch 26 MTPA of hot metal compared to its existing capacity of 14.6 MTPA. This would mean 23 MTPA of saleable steel," he informed. The company also intends to spend a substantial sum of money to improve its mining operations, including over Rs 1,100 crore in Orissa, he added. Regarding SAIL’s recent MoU with South Korean company Posco, the director said, "We want to indulge in exchange of technology and people. "We also plan collaboration in research and development activities and accordingly, an eight-member team, comprising four from each company, has been formed. This is just the beginning," he said. He allayed fears that the MoU could lead to SAIL’s privatisation and clarified that the pact was not legally enforceable and just an understanding for collaboration. … The SAIL director also reiterated the company’s interest to takeover the Neelachal Ispat Nigam Limited (NINL) in Orissa’s Jajpur district and said, IDBI, as an independent valuer, has already assessed the company’s worth. "In case the stakeholders (MMTC and Orissa government) have any reservations, then we are ready for further parleys. But, ideally, the valuers version should be honoured," he said.

Following are excerpts from a sify.com report.

State-owned Indian Oil Corporation (IOC) is setting up an oil refinery-cum-petrochemical complex at Paradip in Orissa, with an installed capacity of 15 million metric tonnes per annum (MMTPA) at an estimated cost of Rs 25,646 crore.

”The project is expected to be completed by October 2011,” Minister of State for Petroleum and Natural Gas Dinsha Patel said in a written reply to the Lok Sabha.

He said the land acquisition was carried out by Orissa Government by consent agreement under section 11(2) of the Land Acquisition Act, based on the compensation package for private land fixed by Orissa Government in October, 1999.

IOC has already acquired 3,347 acres of land for Paradip Refinery Project.

The progress made on the various phases of the project includes the construction of bridges over Santra Creek, approach road including railway over-bridge for the refinery connecting NH-5A to refinery site have been completed.

Tecnological selection for all major units has been completed.

Residential accommodation for construction phase, CISF colony, coastal approach road and green belt development are under various stages of construction.

Project Management Consultant (PMC) has been selected for Front End Engineering and Design (FEED) phase of the project on December 1, 2006.

Patel said the environmental clearance for the project has been received on July 6, 2007.

He added an amount of Rs 2281.87 crore has been sanctioned for Paradip Refinery project for carrying out pre-project activities, out of which, Rs 778.32 crore has been spent as on July 31, this year.

Following is from this PIB release.

The total number of land oustees for National Aluminium Company Limited(NALCO)’s Mines & Refinery Complex, Damanjodi is 600 and for its Smelter & Power Complex, Angul is 35. As a part of rehabilitation policy, NALCO at its initial stage, had formulated a policy for providing employment to one able bodied member of each oustee family subject to suitability of candidate and availability of vacancy. Out of 600 land oustees at Damanjodi, one member each from 591 land oustees has been provided employment and out of 35 at Angul, 34 have been given employment in the Company.

NALCO has intimated that the Company stands committed to provide employment to at least one member of each land oustee family. However, the Company has not been able to provide employment in respect of the remaining oustees as on date due to reasons like non-determination of bonafide nominees, lack of response from the families, etc.

Above information was given by the Minister of State for Mines Dr. T. Subbarami Reddy in a written reply in the Lok Sabha today.

Following is Samaja’s report on this plan and what Orissa is asking in return.

Following is an excerpt from Deepika Global’s report on this.

(UNI) The National Aluminium Company Ltd (NALCO), …, has achieved a net profit of Rs 446.66 crore for the first quarter ended June 2007.

According to the unaudited financial results for the 3-month period of the financial year 2007-08 taken on record in the Board of Directors meeting held in New Delhi today, the company achieved a net profit of Rs 446.66 crore, with a sales turnover of Rs.1287.12 crore.

However, during the first quarter of previous fiscal, the figures were up at Rs 622.30 crore and Rs 1620.82 crore respectively.

The company also achieved higher alumina production of 3,87,800 tonne compared to 3,58,100 tonne in the first quarter of the previous year.

Business Standard in a report mentions the following numbers in regards to IOC’s plan in Paradip.

IOC is also planning around Rs 6,000 crore petrochemical complex at its upcoming 15 mtpa refinery in Paradip, Orissa.