Ambuja Cements embarking on INR 3,500 crore CAPEX plan

Tuesday, 19 Feb 2008

PTI reported that Ambuja Cements is embarking on an INR 3,500 crore capacity expansion drives, which will take its total production to 25 million tonnes in 2 years. It is expecting a 50% jump in revenues to up to INR 9,000 crore one the back of the capacity expansion by 2010.

Mr AL Kapur MD of Ambuja Cements said that "Our plan is to expand the capacity by about 7 million tonnes. We will invest INR 3,500 crore in 2 years to take our production to 25 million tonnes from the current 18 million tonnes."

Mr Kapur said that "We will expand our capacity in 2 integrated plants and set up 4 new grinding units. We will expand capacity in Rauri in Himachal Pradesh and Bhatapara in Chhattisgarh by setting up new lines of 7,000 tonnes per day clinker production in each. We will also set up a 33 MW captive power generation plant in Bhatapara."

Ambuja Cement currently has 5 integrated plants, besides 6 grinding units at different locations across India. Its income was about INR 6,000 crore in 2007 and is expecting to grow up by INR 8,500 to INR 9,000 crore in 3 years.