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Jindal Stainless Hisar Ltd commissions Phase I of brownfield expansion at Specialty Products Division



Posted On : 2021-10-21 16:42:21( TIMEZONE : IST )

Jindal Stainless Hisar Ltd commissions Phase I of brownfield expansion at Specialty Products Division

Jindal Stainless (Hisar) Limited (JSHL) has commissioned the 26,000 tonnes per annum (TPA) capacity Precision Strip Mill as part of the first phase of its latest brownfield expansion plan at its state-of-the-art Specialty Products Division (SPD). This capacity expansion takes the total precision strip production capacity to 48,000 TPA from the existing 22,000 TPA. The capacity expansion of precision strips will further strengthen the Company's presence in segments like auto, process industry, and oil and petrochemical, and will be augmenting supplies to aerospace and electric vehicles. The capacity expansion at SPD is part of the Company's plan to leverage its leadership position in specialty and value-added products. After this expansion, operational capability will expand and products up to 650 mm width would be manufactured. This expansion will further help the Company consolidate its leadership position in the international market.

Commenting on the commissioning of Phase I of expansion, Managing Director, JSHL, Mr Abhyuday Jindal said, "The latest capacity addition to JSHL's Specialty Products Division portfolio will strengthen our product mix in the value-added segment and double our share in the global production to 8%. The capacity enhancement is expected to boost JSHL's revenues by 8-10%. Over the next two years, the planned SPD expansion will also enable us to foray into new export markets with an expanded range of product offerings."

The total CapEx for brownfield expansion is estimated at INR 450 crore over next two years. As part of the expansion of SPD, JSHL will increase its total precision strip capacity to 60,000 tonnes per annum by the end of Q2FY23 with an estimated CapEx of INR 250 crore. To expand its market outreach, the Company will also augment its blade steel capacity to 24,000 TPA from the existing 14,000 TPA over a period of two years with an estimated total CapEx of INR 200 crore. JSHL is among the world's leading razor blade steel producers and supplies to global brands in this space. The plant is equipped to produce blade steel in thickness as low as 0.07mm; nearly 20 billion blades are made out of Company's blade steel every year.

JSHL is also renowned for its world-class coin blank production facility and supplies coin blanks to Indian mint and international mints, such as Monnaie de Paris (France), Royal Canadian Mint, Mincov┼ła Kremnica (Slovak Republic), Royal Dutch Mint (Netherlands), The Royal Mint (UK), and Mint of Finland Ltd. (Finland), among others.

Shares of Jindal Stainless (Hisar) Limited was last trading in BSE at Rs. 315.25 as compared to the previous close of Rs. 314.90. The total number of shares traded during the day was 41893 in over 1382 trades.

The stock hit an intraday high of Rs. 330.20 and intraday low of 305.35. The net turnover during the day was Rs. 13193133.00.

Source : Equity Bulls

Keywords

JindalStainlessHisar INE455T01018 JSLHISAR Phase1 Expansion