JSPL to secure funds for 2nd phase of Odisha unit next fiscal

Mumbai, Mar 6 (PTI) Weeks ahead of commissioning of the 2-million tonne Odisha unit in the first phase, Jindal Steel and Power (JSPL) has said it will start the process of financial closure for the remaining 4 mt second phase shortly. "We are going to commission the 2-mt steel capacity (in first phase) soon (at Angul in coastal Odisha), and we will add another 4 mt (in second phase) for which we will work on the financial closure next fiscal," JSPL Director and Group Chief Financial Officer Sushil Maroo said on the sidelines of an event organised by Yes Bank here late last evening. He, however, didn't specify the amount of capital expenditure that the company needs for this expansion. As per reports, Naveen Jindal-run JSPL is likely to commission the 2 mt first phase next month. The Jindals signed a memorandum of understanding with Orissa way back in 2005 for the Rs 22,500-crore, 6 mt steel plant. The company is looking at 60:40 debt debt-equity ratio for the 4 mt expansion, Maroo said. JSPL also said unlike other steel producers facing iron ore shortage, the company does not have any such issue. "We are not facing any iron ore related issues." JSPL reported around 13 per cent rise in its consolidated net profit at Rs 867 crore in the December quarter on a 7.55 per cent growth in net sales at Rs 4,684 crore. PTI DM BEN DK MR SDM