RMG Alloy Steel has decided to incur capital expenditure of Rs 150 crore for various plans to exploit business opportunities that have emerged in the extant industry scenario. The Board of Directors of the company at its meeting held on May 23, 2018, decided the same.
The plans include installation of Argon Oxygen Decarburization (AOD) and induction furnace in the existing steel melting shop to produce stainless steel cast products and rolled bars (by way of part substitution of carbon alloy steel production) to supply for manufacturing of engineering products, modernizing existing Steel Melting Shop (SMS) to enhance its efficiency to produce quality special and alloy steel, small diameter rolling mill to produce smaller size rolled bars (in addition to existing large diameter rolled bars) and machinery for hot/cold finish pipes of stainless steel.
The capex is meant for providing wider product range to cater to the lucrative demand profile. The commissioning of the aforesaid facilities is expected to be completed by March, 2019.
