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Balco to raise capacity; scouts for technology providers

India's third-largest aluminium maker Bharat Aluminium Company is scouting for global technology providers for its expansion projects, a senior company official said on Friday.

The firm, which was privatised in February, planned to raise annual capacity of its aluminium smelter by 60,000 tonnes to 160,000 tonnes and of its alumina refinery to 350,000 tonnes from 200,000 tonnes.

"The project work has started," the official, who declined to be identified, told Reuters. He added that some Balco teams were currently visiting countries such as Australia, China and Switzerland to source the right technology.

The selection process was likely to be over by January, he said. "It will take another 15 months to complete the project."

Balco, located at Korba in Chhattisgarh, has also planned to hike the capacity of its power plant to 370 MW from 270 MW, he said.

The Balco board approved the projects in October, he said.

PRODUCTION, QUALITY

Metal production at the smelter, which was lying shut for about two months, was yet to reach the full capacity level, the official said.

The smelter was shut down in the first half of 2001 when over 6,000 workers went on strike to protest against the government's sale of a 51 per cent stake in the firm to private firm Sterlite Industries.

As a result, the liquid aluminium had solidified and damaged some electrolytic pots.

The strike ended in early May after conciliatory talks between employees and the new management.

"Currently we are producing about 7,000 tonnes of aluminium every month against the rated capacity of 8,300 tonnes," he said.

The firm was also trying to reduce metal impurities to the accepted level of 0.2 to 0.3 per cent from 0.5-0.9 per cent at present, he said.

"Damage of pots were more than our earlier expectations," he said, adding about 25 pots still needed heavy repair.

"Production is unlikely to reach the normal level before January or February," he said.

Balco produced 26,172 tonnes of aluminium in April-September, down from 46,625 tonnes in the same period of the previous year.

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