State-owned iron ore miner National Mineral Development Corp (NMDC) is set to nearly double its production capacity to 100 million tonnes (MnT) by 2030, driven by the growing domestic and international demand for iron ore, a key raw material for steel making.
NMDC aims to increase production from 45 million tonne (MnT) in FY24 to 50 MnT in FY25, with the ultimate goal of reaching production capacity of 100 MnT by 2030-31, thereby raising its domestic iron ore market share annually from 20% to 25%.
"The company’s strategic investment plan focuses on boosting production capacity and improving evacuation infrastructure. Key initiatives include the development of advanced slurry pipelines, pellet and beneficiation plants, and a robust network of stockyards," NMDC, which is the country's largest iron ore producer, said in a statement.
NMDC has earmarked Rs 2,200 crore for this strategic expansion plan for FY25. . The investments will primarily focus on the slurry pipeline and new processing plants, which are crucial for enhancing efficiency, minimizing environmental impact, NMDC added.
A flagship project in this plan is the 135-kilometer slurry pipeline from Bacheli to Nagarnar. This eco-friendly, cost-effective pipeline will reduce reliance on traditional, carbon-intensive transportation methods. Additionally, the new Screening Plant II at Kirandul will enhance NMDC’s processing capabilities, enabling the company to handle increased production volumes while maintaining high quality standards, the company said.
Meanwhile, the miner is preparing to commence production at its 8 MnT coking coal block by December 2025. "This move aims to reduce India’s dependency on coking coal imports," the company said. It is also pursuing overseas mining opportunities for critical minerals like lithium, cobalt, and nickel through its subsidiary, Legacy India Iron Ore Limited.
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