Hind Copper set to enter exploration JVsAdd to Clippings
RAKHI MAZUMDAR
economictimes.indiatimes.com
TIMES NEWS NETWORK[ WEDNESDAY, APRIL 04, 2007 02:37:13 AM]
KOLKATA: In a clear break from the past, public sector Hindustan Copper has decided to enter into JVs for exploration and prospecting. The effort is aimed at minimising the gap between mine output and thrice-costlier imports of copper concentrates to achieve its smelter capacity.
The company has entered into an MoU with Monrach Gold and Zoom Developers, both Australian mining companies. It has also entered a tieup with two Canadian companies — Cornerstone Resources and Hunter Dickenson.
Each of these MoUs envisage Hindustan Copper entering into a dialogue with them on forming JVs or strategic alliances in the area of prospecting and exploration of minerals. “We have decided to actively seek global partners to accelerate our growth plans. These partnerships could either be equity tieups and/or strategic alliances based on some kind of profit sharing,” Hindustan Copper CMD S C Gupta said.
These ventures will be initiated in 2007-08. This forms part of a roadmap presented to the Board for Reconstruction of Public Enterprises, charting out its growth strategy till 2015. Compared to the previous year, the company produced 30,246 tonnes (22,984 tonnes) of metal in concentrate in 2006-07, while copper cathode production was at 39,669 tonnes (36,087 tonnes) with wire rods at 43,132 tonnes (34,749 tonnes).
“In addition to the four companies, we may seek out other leading global mining majors too to enter into similar prospective alliances,” Mr Sharma added. Hindustan Copper has a smelter capacity of 47,500 tonnes for which it requires around 50,000 tonnes of concentrate. “Imports of concentrates are much more costlier than own production. We are trying to bridge the gap by stepping up activity. We hope to achieve an additional 20,000 tonnes from Rajasthan and Jharkhand within the next three years,” Mr Gupta said. Metal production accounts for barely 1% of ore output.
In one of the first instances of outsourcing the company has appointed Monarch Resources to revamp the concentrate plant and Surda mines in Jharkhand. |
