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Balco to improve metal quality in 2-3 months

Bharat Aluminium Company, which resumed operations in early May after a two-month strike, will take another two to three months to improve metal quality and normalise production, a company official said on Friday.

The recently privatised Bharat Aluminium or Balco, the country's third-largest aluminium firm, currently produces 6,500-6,600 tonnes of the metal a month against its capacity of 8,300 tonnes, he said.

"We will take another two to three months to normalise production and reduce metal impurities to the accepted level of 0.2-0.3 per cent against the current level of about one percent," said the official, who declined to be identified.

Over 6,000 workers of the firm went on strike in early March to protest against the government's sale of a 51 per cent stake in the company to private firm Sterlite Industries. It ended on May 9 after conciliatory talks between employees and the new management.

Balco's smelter at Korba in central Chhattisgarh state had to be shut down during the strike. As a result, the liquid aluminium had solidified and damaged some of the 408 electrolytic pots.

"All pots are now working," he said, adding that about 40 pots needed further repair to improve metal quality and output.

Balco produced 13,261 tonnes of aluminium in April-July against 31,465 tonnes in the same period a year ago.

Expansion on cards

Balco, which accounts for 15 per cent of India's aluminium output, has planned to expand annual production capacity of the aluminium smelter to 150,000 tonnes from 100,000 tonnes.

"Long-term plans include expansion of the smelter to 250,000 tonnes per year, but currently we are concentrating to raise it to 150,000 tonnes," the official said.

The company has also planned to raise the capacity of its alumina refinery to 300,000 tonnes per annum from 200,000 tonnes.

"These expansions would also need more power," he said.

Balco intends to raise the capacity of the power plant by about 90 MW to 360 MW.

The firm might take a final decision on the expansion projects in its board meeting scheduled next month, he said.

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