Website www.vizagsteel.com | Services Steel production Founded 18 February 1982 Type of business Public company | |
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Key people P Madhusudan, Chairman & MD Products Wire rods,TMT Re-bars,rounds, squares,flats,angles,channels Number of employees 17000 plus(excluding out-source) Revenue 125.7 billion INR (US$1.9 billion, 2013) Total assets 24.65 billion INR (2013, US$370 million) Net income 3.53 billion INR (2013, US$53 million) Total equity 12.48 billion INR (2013, US$190 million) | ||
Rashtriya Ispat Nigam Ltd, (abbreviated as RINL), also known as Vizag Steel, is a Public steel producer, Based in Visakhapatnam,
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Location
The Steel plant is located 26 km south of Visakhapatnam city, Andhra Pradesh state of India.The company also has blast furnace grade Limestone captive mine at Jaggayyapeta(Krishna District),a captive mine for Dolomite at Madharam(Khammam),a manganese ore captive mine at Cheepurupalli(Vizianagaram).It also has mining lease for river sand of river Champavathi.
History
Making the Impossible possible lies in man's determination and Sri Tenneti Viswanadham was one such personality.Struggle of thousands of such personalities has paved a way for establishing such a big steel plant.The activities kicked off by appointing site selection committee in june 1970 and subsequently committee report was approved for site.On Jan 1971, then PM of India has laid the foundation stone.Consultants were appointed in Feb 1971 and feasibility reports were submitted in 1972.The first block of land was taken over in April 1974. M/s M.N Dastur&Co was appointed as the consultant for preparing the detailed project report in Apr 1975 and in Oct 1977 they have submitted the report for 3.4 MTPA of liquid steel.With the govt. of erstwhile USSR's offer for assistance, a revised project concept was evolved. DPR fro a plant capacity of 3.4 MTPA was prepared by M.s M.N.Dastur&Co in Nov.1980. In Feb 1981 contract was signed with Soviet-Union for preperation of working drawings for coke ovens,Blast furnace and Sinter Plant.The blast furnace foundation was laid with first mass concreting in the project in Jan 1982.The construction of town ship also started.
RINL has wholly owned by the Government of India previously but due to huge loss government sold its share so it is now Public. In November 2010, the company was granted the Navratna status by the Government of India. In September 2011, the government announced plans to divest 10% of its stake in RINL via an initial public offering.
Operations
RINL operates a 6.3 million tonne per annum capacity steel plant in Visakhapatnam. During the initial periods, the company suffered huge losses. Later the profits have gone up by 200% making it the only steel industry to achieve such target.
The firm is investing ₹125 billion (US$1.9 billion) in the first phase of expanding its capacity, to target production of 6.3 million tonnes of steel a year by 2014.
In the next phase of its expansion, it plans to invest ₹70 billion (US$1.0 billion) to add another 4 million tonnes to its annual capacity. In addition, it plans to invest ₹250 billion (US$3.7 billion) to add capacity for the production of 4 million tonnes of specialised steel. Its annual capacity is expected to reach almost 7.5 million tonnes by 2015.
RINL plans to invest Rs 60 crores to increase the capacity to 20 million tonnes by 2027.
RINL has successfully commissioned its next phase despite some major setbacks with blasts in its new blast furnance. The plant would be operational in July-September 2016. The company has made some major MOU's with some of the distributors in northern India, majorly with Subhash Abhishek Steels Pvt. Ltd. The firms have jointly signed MOU's for sale of Iron & Steel finished products.