A special purpose vehicle called Angul Aluminium Park Pvt Ltd (AAPPL) has been formed to set up the aluminium park. In the SPV, Idco has 50.5 per cent equity while the balance 49.5 per cent is held by Nalco. So far, 132 out of 200 acres of land needed for the park has been acquired. The park located close to the smelter of Nalco, will promote ancillary and downstream industries in the aluminium sector.
The aluminium park has attracted investments worth Rs 631 crore even before taking a physical shape. Two industries — Midal Cables and Metal Powder Company Ltd — have filed combined application forms with the Industrial Promotion & Investment Corporation of Odisha Ltd (Ipicol) for setting up their units in the proposed park.
Bahrain-based Midal Cables Ltd has submitted a proposal to set up an aluminium conductor and rod manufacturing unit at an investment of Rs 300 crore. The company has sought 30-40 acres of land. The aluminium conductor unit is expected to cater to domestic as well as international market. The company expects to commission the facility within 12-15 months of getting land and other approvals.
Midal Cables had submitted the proposal in response to the expression of interest (EoI) of AAPPL. As many as 53 proposals were received.
The company intends to use molten aluminium from Nalco to manufacture its products. Molten aluminium requirement of Midal Cables is pegged at 60,000 tonne per annum and the company wants to enter into a 25-year contract with Nalco at variable pricing mechanism.
Nalco, however, had denied any possible contract with the overseas investor.
Apart from Midal Cables, Metal Powder Company Ltd, a leading manufacturer of non-ferrous metal powders, based in Madurai (Tamil Nadu) is keen to set up an aluminium powder manufacturing unit there at an investment of Rs 330.90 crore.
The ancillary and downstream industries identified to come up in the park include caustic soda, calcined petroleum coke, coal tar pitch, aluminium fluoride, aluminium conductors, alumunium extrusions, aluminium castings and slugs among others.