NALCO targets 25k cr turnover by 2020

NALCO targets 25k cr turnover by 2020

Bhubaneswar: In order to become a major global player in metals and energy sectors, aluminium producer National Aluminuim Company Limited (NALCO) has targeted a turnover of 25,000 crore by 2020 that would require ambitious diversification and expansion, entailing investments of 40,000 crore.

“As per its vision 2020, NALCO envisages to achieve a turnover of 25,000 crore by year 2020. The company’s business plan envisages an investment of about 40,000 crore," NALCO chairman and managing director (CMD) B. L. Bagra told reporters here.

He said the Navaratna public sector undertaking (PSU) has put in place a well framed strategy that would help it secure the “position as a reputed global company in the metals and energy sectors".

Announcing a total dividend payout of 257.72 crore for 2010-11, Bagra said the sum was 60% higher than 161.08 crore paid for the previous fiscal.

Giving details about diversification, the CMD said Nalco is exploring business opportunity in other mineral sectors like copper, gold, uranium and tiranium. The company has already signed memorandum of understandings (MoU) with Hindustan Copper Ltd (HCL) and Indian Rare Earths Ltd (IREL) for various diversification projects, he said.

For the first time in the country, Nalco has developed a prototype aluminium wagon in partnership with Bharat Earth Movers Limited (BEML), he said.

Nalco has also taken steps to enter the energy sector as an Independent Power Producer (IPP).

It plans to develop Kakarpar 3 and 4 nuclear power project in Gujarat jointly with Nuclear Power Corporation of India Ltd (NPCIL) at an estimated project cost of 11,450 crore, Bagra said.

Nalco also plans to come up with power plants in the country either through participation in the bidding process for ultra mega power project (UMPP) or in joint venture with other companies having coal blocks, he said.

As part of green initiatives, Nalco is setting up a 50.4 MW wind power plant at Gandikota in Kadapa district of Andhra Pradesh with an investment of 274 crore, Bagra said, adding that tenders are being floated for another such plant. Besides, the company is also exploring opportunity to set up a solar power plant in the country, he said.

Bagra said Nalco earned net profit of 1,069 crore during 2010-11, compared to 814 crore in the previous fiscal, registering a jump of 31%. Sales revenue was 5,959 crore, up 904 crore - an increase of 18% over the previous year.