Indian iron ore pellet producer KIOCL is looking to tap into the thriving seaborne market for the steelmaking raw material with plans underway to add a 2-million-tonnes-per-year plant in Visakhapatnam over the next 2-3 years.
"We expect to get the approvals for this plant over the next six months and it should be completed in 18-24 months after approvals have been obtained," its chairman and managing director MV Subba Rao told Fastmarkets MB.That means the company is aiming for a completion of the plant around 2021, subject to the approvals being obtained within the estimated period. Iron ore pellets from the plant will be used to meet overseas demand, and the bulk of the ore used to produce the product will be sourced domestically with any shortage made up using imports from South Africa or Brazil, he said.The product will contain around 64% Fe and 2% alumina, he added.Indian-origin iron ore pellets have driven liquidity in the spot seaborne market this year amid strong demand from China and few sources of alternative supply.The Metal Bulletin 65% Fe Blast Furnace Pellet Index, published weekly by Fastmarkets...