The Indian Government is planning to restart the privatization process of state iron ore company NMDC's Nagarnar steel mill. According to sources close to the government, the privatization process may take place after the blast furnace is commissioned.
Currently, 60.79% of the steel mill is owned by NSL (NMDC Steel Limited), a subsidiary of NMDC. The remaining 39.21% is freely traded on the stock market. The new owner will have a controlling interest of 50.79% in NSL and therefore control over the company.
NMDC had tried to privatize the steel mill before but could not find a buyer. The plant has a small production capacity of 3 million tons per year, and the start of production has been delayed for the past eight years due to numerous problems such as technical difficulties, the coronavirus pandemic, disputes with equipment suppliers.
In May 2023, NMDC announced that it was making preparations to heat the plant's blast furnace. At the end of April, the coke oven battery No. 2 was launched here, and the No. 1 battery was put into operation in October 2022, supplying products to the domestic market.
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