The Hindu : Business : Surana buys 49 p.c. in P.T. Agate

Online edition of India's National Newspaper
Friday, Jan 11, 2008
ePaper | Mobile/PDA Version

Business

Business

Surana buys 49 p.c. in P.T. Agate

Corporate Reporter

CHENNAI: Surana Industries will be buying 49 per cent stake in a joint venture company, PT Agate Resources, part of the Agate group of Malaysia promoted by Sultan Abdul Kadir, a non-resident Indian. Addressing presspersons, G. R. Surana, chairman, Surana Industries, has said that the company’s integrated steel complex coming up at Raichur, Karnataka would require 45 MW of power. The complex would get 10 MW of power from waste heat recovery. Thermal power would account for the balance of 35MW.

Agate group will acquire or lease out mining rights in Indonesia after obtaining the necessary approvals from the Government of Indonesia and other statutory authorities.

To meet coal requirements for the thermal plant and making available the remaining coal to other producers, the company has entered into a joint venture agreement with Agate group to acquire 49 per cent stake. Surana Industries will be allotting about eight lakh shares at the rate of Rs. 500 per share, totalling Rs. 40 crores towards the acquisition of 49 per cent stake in the Indonesian company.

Agate group was in the process of acquiring a mine lease in India which has 50 million tonnes of reserves, V. M. Swami, Director, Finance said.

The company will save around Rs. 1,200 a tonne in acquiring coal and gain about Rs. 60 crore annually.

Printer friendly page
Send this article to Friends by E-Mail

Business

News Update

Stories in this Section