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Nalco expansion seen delayed

January 08, 2003 15:03 IST

India's second-largest aluminium maker National Aluminium Company Ltd will take more time to complete an expansion of its smelter due to a delay in the arrival of some machines and equipments, a top industry source said on Wednesday.

State-run Nalco which is raising its aluminium capacity by 50 per cent to 345,000 tonnes a year, is now likely to finish the project only by November, or a year later than earlier planned, he said.

The company has nearly finished half of the planned capacity addition, which would go on stream next month, he said.

Nalco officials said they could

not talk because of a privatisation process that is underway.

Government officials were not immediately available for a comment.

"The delay is mainly due to the failure of an Indian firm in supplying equipments for its new power plant on time," the source said.

Another industry source said Nalco's aluminium output would rise to 243,000 tonnes in the current year to March, from 232,000 tonnes last year. He forecast the output to reach 300,000 tonnes next year.

Exports are expected to top 150,000 tonnes next year, up from an estimated 120,000 tonnes in 2002-03, he said.

Source: REUTERS
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