Debasish Acharya
Post News Network
Bhubaneswar, July 31: State owned mining major, Orissa Mining Corporation (OMC) plans to ramp up its iron ore production to 90 lakh tonne and that of chrome ore to 10 lakh tonne during this fiscal, an official of OMC said. “OMC is planning to produce 90 lakh tonne of iron ore this fiscal. As far as chrome ore output is concerned, production target is pegged at 10 lakh tonne,” the official Orissa Post on condition of anonymity .
On production during last fiscal, the official said iron ore output was about 32.06 lakh tonne and chrome ore was at 7.01 lakh tonne during this period. “OMC has received approval to hike ore output from some of its existing mines. It is also hopeful of receiving some more approvals to enhance output from other mines, which will help in raising production,” the official said. On opening of new mines, the official said, OMC has not received any intimation from government regarding opening of new mines.
Steel and ferrochrome industries in the state have faced severe raw material crunch in recent years on the back of closure of many mines in the state. However, resumption of mines in key producing zones is likely to ease the situation to an extent going ahead.
On this backdrop, any hike of iron ore by OMC is a welcome step as state-based industries will have assured supply from the state mining major. Earlier, the state run corporation said that it has a capital expenditure plan of close to Rs 550 crore in the current financial year with majority of the investment being earmarked towards new projects.
As the corporation embarks upon an ambitious plan to ramp up its output and focus more on value addition, Rs 503.60 crore will be invested on new projects. Similarly, Rs 27.20 crore is earmarked for non-civil expenditure that includes purchase of equipment and machinery. Around Rs 31 crore will be spent on civil expenditure as per the capex plans of the state-owned corporation.