Saturday, October 13, 2012

Vedanta closes temporarily its Lanjigarh refinery



BHUBANESWAR: The Vedanta Aluminium Ltd closed its refinery at Lanjigarh temporarily on Saturday as it does not have any stock of bauxite to run the plant. They closed the refinery as they didn’t get any alternative to continue the plant, said Chief Operating Officer of the company Mukesh Kumar said.

The COO also said the refinery will be closed till they get bauxite. The top officials has informed about the closing of the Rs 4,500 crore company three days back as the production rate of the Aluminum company has gone down to 30 per cent to 35 per cent within last ten days, sources said.

The company on Wednesday, in a letter to the authorities of the Wesco, requested supply of 8-10 MW of electricity to the refinery as its captive power plant would be closed temporarily for a few days on the sidelines of the closing of the refinery due to shortage of bauxite.
To continue alumina production, the refinery needs 10,000 tonnes of bauxite. The company served a notice to the State’s Labour Department about the problem on September 6 and informed that it would shut down the plant temporarily from December 5.

The company officials had met Chief Minister and demanded alternate mines to run their refinery. On the other hand, Minister of Mines said the State Government is discussing on the demands of the company.

The company would bring 90,000 tonne bauxite from the Gujarat Mineral Development Corporation to run the plant, but that would probably reach here in the plant in October last week; so they would close the plant for some days till the bauxite is received, company sources said.

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