Gujarat Alkalies will funded the project from internal accruals / surplus generated from internal operations.
Gujarat Alkalies and Chemicals shares gained 1.6 percent in morning on Friday after the board approved expansion at Dahej unit.
The company informed exchanges that the board of directors approved expansion of existing caustic soda plant of Dahej Complex from 785 MTPD to 1200 MTPD and also installation of 65 MW of Coal based power plant at same plant.
The estimated aggregate cost for both project stood at Rs 825 crore, it said.
The project is planned to go on stream in 36 months from zero date.
The company said the projects when implemented, will contribute approximately Rs 480 crore in sales at the prevailing market prices.
Gujarat Alkalies will funded the project from internal accruals / surplus generated from internal operations. “Need based gap, if any, will be met from external commercial borrowings (ECB) or rupee term loans.”At 10:57 hours IST, the stock was quoting at Rs 547.75, up Rs 7.20, or 1.33 percent on the BSE.