T K Chand, chairman-cum-managing director, NALCO. (File photo)
DAHEJ, INDIA: National Aluminium Company Ltd (NALCO) said that it has launched a joint venture with Gujarat Alkalies and Chemicals Limited (GACL) to set up a caustic soda plant at an investment
of Rs 1,800 crore, an official source said.
The two firms will come together to set up a caustic soda plant at Dahej in Gujarat.
The new JV company GACL-NALCO Alkalies & Chemicals Pvt Ltd, in which NALCO holds 40 per cent share capital, while GACL holds the rest, plans to produce 2.7 lakh tonnes of caustic soda per annum.
The land transfer and ordering of plant equipment are in the final stages, it said adding that the office of the new company was also inaugurated in Baroda.
“As a backward integration plan of NALCO, the project is expected to be a highly profitable venture for us. NALCO shall purchase at least 50,000 tonne of caustic soda per year to start with, at market price,” said T K Chand, chairman-cum-managing director, NALCO.
The availability of caustic soda in the country is very low and the major part of the domestic requirement is met at a high cost. The venture will bring in import substitution of caustic soda in domestic market, Chand said.
Besides, NALCO is also in the process of setting up a 0.5 million tonne per annum Alumina Refinery in Kutch district of Gujarat in joint venture with Gujarat Mineral Development Corporation (GMDC), a Gujarat government undertaking.
The Detailed Project Report (DPR) has been prepared, the official said.
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