JSW Cement, a part of the JSW Group and a major Indian cement manufacturer, will be investing Rs. 3,200 crore to set up two units which will together comprise a 5 MTPA cement production facility.
JSW to Develop Integrated Cement Production Unit in MP, Split-Grinding Unit in UP
In its press release dated 11th October 2022, JSW Cement stated that the company’s Rs. 3,200 crore investment will be directed towards setting up a greenfield integrated cement manufacturing unit in Madhya Pradesh, and a 2.5 Million Metric Tonne Per Annum (MMTPA) split-grinding unit in Uttar Pradesh.
In Madhya Pradesh, the integrated cement plant will have 2.5 MMTPA clinker capacity, a 2.5 MMTPA grinding capacity, and a 15 MW waste heat recovery system. JSW’s investment in the state will also be directed towards building a residential colony near the upcoming cement facility.
JSW Cement’s Madhya Pradesh Plant will be near Recently Acquired Limestone Reserves
JSW Cement completed 100% acquisition of Springway Mining from India Cements Ltd. on 10th October 2022. The company stated that the upcoming greenfield cement facility in MP will come up near Springway Mining’s Limestone reserves.
Therefore, JSW’s greenfield cement plant will have a convenient supply of Limestone, a major raw material in the cement industry, for its operations.
India Cements sold its stakes in Springway Mining Pvt. Ltd., which was its wholly-owned subsidiary, to JSW Cement for Rs. 476.87 crore.
As per JSW Cement, this acquisition puts Limestone reserves of about 106 Million Tonne at its disposal. These reserves are situated in the Panna district of Madhya Pradesh over an area of 500 ha. This deal also provides JSW Cement with a mining lease valid till 2065 on these reserves.
Commenting on this acquisition, Mr Parth Jindal, Managing Director of JSW Cement, said, “The acquisition of Springway Mining from India Cements puts JSW Cement on its path to 50 MTPA capacity with a pan-India footprint”.
About JSW Cement: Mumbai-based JSW Cement is a part of the JSW Group. The company has integrated cement manufacturing facilities in Kurnool, Andhra Pradesh and Sundargarh, Odisha. Other than these, the company has 4 grinding units and 7 Ready-Mixed Concrete (RMC) plants across India. Currently, JSW has a cement production capacity of 17 MMTPA.