Miniratna steel PSU, KIOCL Limited is entering into a contract agreement and tripartite agreement for setting up of 1,80,000 TPA Heat Recovery Coke Oven Plant at its Blast Furnance Unit (BFU) at Mangalore. In a regulatory filing to the stock exchanges, the Steel PSU informed that it has entered into a contract agreement with Tauman Engineering for setting up of 1,80,000 tonnes per annum (TPA) Heat Recovery Coke Oven Plant at its Blast Furnance Unit (BFU), at a contract price of Rs 185 crore.
Further, the applicable GST or such other sums will be determined following the terms and conditions of the contract along with a tripartite agreement among Tauman Engineering Limited, CSIR-CIMFR, and KIOCL for providing the technology and know-how, the company added.
Earlier, in November 2019, the Central Government had given its approval to KIOCL for setting up forward and backward integration projects to the blast furnace unit (BFU) of KIOCL at Mangalore, with a total outlay of Rs 836.90 crore. Of the total outlay, Rs 276.17 crore was to be met through reserves of the company and reminders through debt.