Twitter
Advertisement

Rashtriya Ispat Nigam Limited bearing Rs 40-50 crore loss per day due to Hudhud: Chairman

Latest News
article-main
FacebookTwitterWhatsappLinkedin

Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Vizag Steel Ltd, on Wednesday said that it is incurring losses of Rs 40-50 crore per day following shutting down of its operations due to devastation caused by cyclone Hudhud in the last three days.

The plant is expected to return to production level in next 10-15 days. "We are impacted by the cyclone both in terms of operations and environment (damage caused to plant's green belt). Both power sources, internal and external, have been affected. Entire plant was shut on October 11 (a day before cyclone struck the Andhra coast)," RINL Chairman and Managing Director P Madhusudan told PTI.

He said the production loss following the shut-down could be up to one lakh tonnes. RINL has a capacity to produce nearly four million tonnes per annum, which was upgraded to six million tonnes recently.

Madhusudan said the ongoing loss would impact the overall annual production target. "Though we will put in our 100 per cent efforts, it may be difficult to make up for the losses. We are seeking support of retired employees who are experts in certain fields for restoring the plant and operations," he said.

At present, the plant has five lakh tonnes of coking coal, sufficient for the next one-and-a-half to two months even as Vizag Port Trust has stalled its operations for last few days due to the cyclone.

Port Trust's Chairman and Managing Director M T Krishna Babu said though the port has been cleared to receive vessels, it is facing difficulties in evacuating cargo. "As of now, even bigger ships can enter the port. However, evacuation has become difficult due to power problems and other logistical issues," Babu, told PTI.

The cyclone has also caused some damage to Gangavaram port assets. As a safety and precautionary measure, the port operations were suspended on October 11 itself. The operations at the port are still in the state of suspension and the exact extent of damage and time required to resume operations is being assessed, officials said.

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement