Calcutta, Oct. 29: Usha Martin Ltd, the flagship company of Calcutta-based Jhawar group, will foray into the mining sector with an investment of around Rs 60 crore.
Managing director Rajeev Jhawar said the company has already obtained the licence for a coal block in Jharkhand and is expecting a similar licence for an iron ore mine shortly.
Jhawar said the mines will suffice the raw material requirements of the company. “It will also benefit us in terms of savings and profitability,” he added.
While the coal mine will be exclusively for captive use, the iron-ore mine will also supply to other companies. The reserves in coal block stand at 30 million tonnes, while those in the iron-ore block are 20 million tonnes.
Joint managing director P. Bhattacharjee said the company’s own iron-ore consumption will be around 8 lakh tonnes, while it will produce around two million tonnes every year.