JSW Cement to invest Rs 3,200 crore for setting up 5MTPA capacity in MP, UP

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JSW Cement said on October 11 it will invest more than Rs 3,200 crore to establish a five million tonne per annum (MTPA) green cement capacity in Madhya Pradesh and Uttar Pradesh regions.

The unit of the JSW Group will set up an integrated greenfield cement manufacturing facility in Madhya Pradesh and a split grinding unit in Uttar Pradesh. The proposed investment includes an integrated cement plant with a 2.5 MTPA clinker capacity, 2.5 MTPA grinding capacity, a 15 MW waste heat recovery system, a modern residential colony in Madhya Pradesh, and a 2.5 MTPA grinding unit in Uttar Pradesh.

Development Before:

This development comes right after JSW Cement recently acquired a 100 percent stake in Springway Mining from India Cements Limited. This acquisition provides JSW Cement access to substantial limestone reserves of approximately 106 million tonnes, including a mining lease valid until 2065. The limestone mine is spread over approximately 500 hectares of land located in the Panna District of Madhya Pradesh. The company has secured most of the regulatory approvals for mining operations and is pursuing requisite approvals for setting up integrated cement manufacturing facilities.

What Does It Mean For The Company?

The acquisition of Springway Mining from India Cements puts JSW Cement on its path to 50 MTPA capacity with a pan-India footprint. It marks companies’ entry into the fast-growing and attractive cement markets in Uttar Pradesh and Madhya Pradesh.

Parth Jindal, the managing director of JSW Cement in its press release, stated: “This strategic investment marks our entry into the highly attractive Central Indian market with a specific focus on servicing the prolific needs of customers in Madhya Pradesh and Uttar Pradesh”.