Global refractory major RHI Magnesita has firmed up capital expenditure to an estimated INR 36 billion ($439 million) over the next three years to ramp up capacities and modernize its Indian affiliates, a company official said on Monday, February 20.
“Capacity expansion in India will follow both organic and inorganic routes. Part of the capital expenditure has already been completed through acquisition of the refractory businesses of OCL Dalmia Limited and Hi-tech Chemicals Limited,” RHI Magnesita global CEO Stefan Borgas said in a statement.
He said that Indian refractory capacity was currently 500,000 mt per year of which 150,000 mt per year capacity was idled and could be brought into production immediately to bridge any demand gap in the market.
The company investments will also be riding on bringing in artificial intelligence (AI) and digital technologies into its Indian operations to improve the refractory production process and offer complete solutions to the domestic steel industry, he said.