GMDC signs long-term suppply agreement with City Gold Pipes Pvt Ltd

Gujarat Mineral Development Corporation Ltd. (GMDC) has signed a Long-Term Supply Agreement (LSA) with City Gold Pipes Pvt. Ltd. (A consortium of Goldcrest Cement Private Limited and Kailash Darshan Housing Development (Gujarat) Private Limited) for the supply of 150 million tons of limestone over a period of 40 years from its upcoming Lakhpat Punrajpur Mine in Lakhpat Taluka of Kutch District in Gujarat.

On 06th May, 2025 (Tuesday) an agreement was officially formalized by Shri Roopwant Singh, IAS, Managing Director of GMDC Ltd., and Shri Sanjay Chimanlal Agrawal, Authorized Representative of City Gold Pipes Pvt. Ltd., representing their respective organizations. This agreement marks a strategic partnership towards monetizing the large limestone asset of GMDC Ltd. and benefiting both the partners. It will support City Gold Pipes Pvt. Ltd. in setting up a greenfield integrated mega-capacity cement plant, fostering industrial growth in the region. The collaboration will stimulate investment, enhance industrial development, and generate thousands of direct and indirect employment opportunities in Kutch, contributing significantly to the socio-economic progress of Gujarat. Kutch's coastal proximity, improved access to domestic and international markets, and cost-efficient logistics position it as an ideal hub for cement production. Furthermore, this initiative will contribute substantially to the State Exchequer through revenue generation in the form of Royalty, National Mineral Exploration Trust (NMET) contributions, District Mineral Foundation (DMF) funds, and Goods & ServicesTax (GST) on both limestone and cement production.

This agreement underscores GMDC Ltd.'s commitment to fostering industrial growth while ensuring the sustainable utilization of mineral resources, thereby strengthening Gujarat's position as a leading industrial and economic State.

Shares of Gujarat Mineral Development Corporation Limited was last trading in BSE at Rs. 308.80 as compared to the previous close of Rs. 305.65. The total number of shares traded during the day was 27183 in over 812 trades.

The stock hit an intraday high of Rs. 310.00 and intraday low of 305.25. The net turnover during the day was Rs. 8376379.00.

Source : Equity Bulls

Keywords

GujaratMineralDevelopmentCorporation INE131A01031 GMDC LongTerm SupplyAgreement CityGoldPipes