Mercedes to invest Rs. 1,000 cr in Maharashtra.

Mercedes Benz will invest Rs. 1,000 crore on production of luxury cars in Maharashtra. The announcement was made in a meeting between state Chief Minister Devendra Fadnavis, MD & CEO of Mercedes Benz India Eberhard Kern, and future MD and CEO of the company, Roland Folger, recent evening, an official said today. Fadnavis also assured complete support of the government to the project. Mercedes Benz has also appreciated government's Jalyukt Shivar Scheme and has expressed desire to contribute towards it, he said. Earlier this month, Mercedes-Benz India had announced it has decided to produce the Mercedes-Maybach S500 from its Chakan plant in Maharashtra. The Mercedes-Maybach S500 will be the most luxurious Mercedes Benz ever to be locally produced for the Indian market. India will be the second country after Germany where the Mercedes-Maybach S500 will be manufactured.

Carnival Group to buy L&T�s real estate projects in Chandigarh for Rs. 1,785 cr.

Carnival Group has agreed to buy the commercial real estate projects of Larsen and Toubro Ltd (L&T) in Chandigarh for Rs. 1,785 crore. The acquisition includes commercial real estate project Elante Mall, Hyatt luxury hotel, and an office premises with central courtyard. �This acquisition is a part of asset creation for the group as an investment portfolio. This acquisition will help us further expand our capabilities and allow us to make inroads into newer markets. This project will be operated as a separate unit and will be led by our India-based management team,� said Srikanth Bhasi, Chairman, Carnival Group. The acquisition of the said property is significant as it will enable Carnival Group to widen its portfolio and help the company achieve leadership position in the retail sector. This project will be operated as a separate unit. �This project has got good rental yield,� said A C Dinesh, Director of Finance, Carnival Group.

Odisha clears Rs. 41,900-cr worth investments.

The High Level Clearance Authority (HLCA), the highest body to approve investment proposals, recently approved seven projects with investments totaling to Rs. 41,900 crore . The projects that got the HLCA's nod include a mix of new as well as existing projects that proposed to ramp up their capacities. Among the projects cleared was an FDI (foreign direct investment) proposal by Japan based J Green Power Ltd. The proponent has proposed to set up 423 Mw gas based power plant at Dhamra at a cost of Rs 3,106 crore. The project is tipped to generate direct employment for 90 people. "The gas based power plant by J Green would make use of combined cycle gas turbine technology. It would need only 36 acres of land. The gas would be drawn from the upcoming LNG terminal at Dhamra", industries minister Debi Prasad Mishra said after the HLCA meeting. Mahanadi Coalfields Ltd (MCL), a subsidiary of Coal India Ltd (CIL), has decided to foray into power generation through 1,600 Mw (2x800) pit-head power plant. The plant would be put up by Mahanadi Basin Power Ltd, a fully owned MCL subsidiary at an investment of Rs 8,000 crore. The power project that got HLCA's nod, is coming up at a site close to MCL's Basundhara coal mines in Sundargarh district. The HLCA approved the change in site for Tata Power's 1,320 Mw coal based plant from Naraj-Marthapur to Begunia in Khurda district. The establishment of the plant would cost Rs 7,500 crore and create direct employment for 400 people. "The change in location for Tata Power's project was approved since the previous site selected was an eco-sensitive zone situated close to the Chandaka-Dampada wildlife sanctuary", Mishra said. Similarly, Kolkata-based CESC Ltd's plan for 1320 Mw coal-fired plant based on super critical technology, also got the go-ahead of HLCA. CESC is investing Rs 6861 crore on this project to come up at Neulapoi in Dhenkanal district. The power plant is set to generate direct employment opportunity for over 400 people. Among the expansion projects, the HLCA cleared proposals by Aditya Birla Group owned Utkal Alumina Ltd and Bhushan Power & Steel Ltd (BPSL). Utkal Alumina has proposed to ramp up its alumina refinery capacity at Rayagada in south Odisha from one million tonne per annum (mtpa) to 1.5 mtpa and that of its captive power plant (CPP) from 50 Mw to 90 Mw. The total cost of the refinery is estimated at Rs 7,563 crore. BPSL has proposed to expand steel making capacity from 2.8 mtpa to 5.6 mtpa at its plant near Rengali in Sambalpur district. The expansion would cost Rs 4,837 crore. Ardent Steel has also proposed to raise pellet making capacity at its Phuljhar unit in Keonjhar district, to 1.8 mtpa from 0.6 mtpa. It would also set up an iron ore beneficiation plant with three mtpa capacity, DRI plant of 0.6 mtpa and CPP of 125 Mw at a cost of Rs 4031 crore. Together, these projects would create employment for 1,560 people.

L&T bags orders worth Rs. 1,509 cr this month.

Engineering major Larsen & Toubro (L&T) said its arm L&T Construction has bagged orders worth Rs. 1,509 crore so far this month. �The water and effluent treatment strategic business group of L&T Construction has won new water and waste water infrastructure orders worth Rs. 1,509 crore in September 2015,� L&T said in a BSE filing. �The water supply and distribution business has secured a water supply order from Telangana Drinking Water Supply, Government of Telangana,� it said. �The project scope includes construction of water treatment plant, 2,835 km of pipeline network, 25 major water storage reservoirs and other associated works to meet the water needs of various habitations of Adilabad district in the state,� it added. L&T has also bagged a turnkey order from Rajasthan Urban Infrastructure Development Project for waste water infrastructure works at Pali, Rajasthan. �Funded by Asian Development Bank, the project scope includes construction of waste water treatment plant, waste water network and allied works in addition to works for the reduction of non-revenue water,� it added.

Reliance signs pact with UAE firm to manufacture defence equipments.

Anil Ambani-led Reliance Defence Ltd. has signed a strategic pact with UAE�s Emirates Defence Industries Company (EDIC) to collaborate in the sector, especially in maintenance, repair and overhaul category. The two companies have agreed to jointly explore the opportunity for manufacturing and building capabilities in defence vehicles, aviation and associated areas, defence equipment and armament manufacturing, defence electronics, commercial and naval ships besides Maintenance, Repair and Overhaul (MRO) of military equipment and platforms. �The partnership will explore the opportunity in the UAE defence industry which has many capital expenditures but the costs for setting up facilities, recruiting and developing scientists and engineers are high,� Reliance Group said in a statement. �The partnership will aim at creating synergy to bring down operational costs and leverage each others� capabilities,� it added. Reliance Defence Limited (RDL), established as a wholly-owned subsidiary of Reliance Infrastructure Limited (RIL), has 11 subsidiaries in niche segments of the sector. In Defence and Aerospace segment, RDL is pursuing partnerships with leading international original equipment manufacturers and equity stake in existing companies within the country as also globally to meet homegrown solutions for the defence sector. EDIC is the premier integrated national defence services and manufacturing platform from the UAE. It is in process of finalising the acquisition of Tawazun-owned pistol and rifle maker Caracal, light munitions maker Caracal Light Ammunition, and ammunition systems company Burkan, Mubadala�s unmanned systems developer Abu Dhabi Autonomous Systems Investment (ADASI) and AMMROC, the advanced military maintenance, repair and overhaul centre. This centre is a joint venture between Lockheed Martin, Sikorsky and Mubadala with EDIC taking over Mubadala�s share, the statement said. These five firms are in addition to the 11 companies that EDIC is integrating under the first phase, it added. Industry sources said commonality in terms of platforms used by Armed forces in India and the UAE � Mirage 2000, Hawk trainers, Pilatus PC7, Lockheed Martin C130J and C-17 � present an opportunity for co-operation between the two countries. They further informed that India spends close to Rs 8,000 crore every year on maintenance of aircraft alone. �The Maintenance, Repair and Overhaul (MRO) expenditures for aircraft and weapon platform systems by parametric estimations exceed 50 per cent of the initial acquisition cost across the spectrum,� the sources said. AMMROC provides MRO services for a wide range of fixed and rotary wing aircraft, which through this partnership with Reliance Defence, can establish domestic services to tap the defence market in India, they said. For RDL, this partnership is in line with the proposed facilities at the Dhirubhai Ambani Aerospace Park at Mihan in Maharashtra, spread over 400 acres and adjacent to the International Airport at Nagpur.

SAIL invests Rs. 2,600 crore in Rourkela plant for HR coils.

Domestic steel giant SAIL is investing over Rs. 2,600 crore for installing a three million tonnes per annum facility for hot rolled (HR) coils at its Rourkela plant to make auto-grade and special steel products. The Maharatna firm has awarded the contract for setting up this hot strip mill to a consortium led by Mitsubishi and Larsen & Toubro, a source said. The facility will produce high quality HR coils, including high strength API grades, auto body grades and other special steels, the source added Last week, Steel Secretary Rakesh Singh said that under SAIL's modernisation and expansion programme (MEP), various projects have been initiated, including this unit. Singh holds additional charge as SAIL's chairman. In a bid to fast-track its MEP, the public sector undertaking commissioned projects worth Rs. 10,200 crore in the financial year ended March 2015. SAIL is also finalising its Vision 2025 document, through which it aims to increase its hot metal production capacity to 50 million tonnes, along with related business activities. In a bid to keep pace with growing competition and optimise production as well as costs, the steel maker is investing in research and development (R&D) initiatives. In 2014-15, SAIL spent Rs. 284 crore on R&D, the highest by any steel maker in India. Its R&D centre developed 24 new products during the last fiscal and the expenditure was 0.56 per cent of sales. It had clocked a sales turnover of Rs. 50,627 crore during 2014-15 and its net profit stood at Rs. 2,093 crore. During last fiscal, its capital expenditure stood at Rs. 6,840 crore, which is expected to rise to Rs. 7,500 in 2015-16.

Nalco set to invest over Rs. 65K cr in new projects.

Buoyed by 106 per cent jump in profit, aluminium giant Nalco is all set to invest over Rs. 65,000 crore to launch ambitious projects in the country and abroad, besides undertaking expansion and diversification into power and mining sectors in a big way. "Investment to the tune of Rs. 65,000 crore is proposed to be made for a number of projects, including a greenfield aluminium smelter abroad," Chairman-cum-MD of the Navaratna PSU, T K Chand, said. The company is exploring countries like Oman, Iran and Indonesia to set up the proposed smelter plant with an estimated investment of Rs. 20,000 crore, he told reporters adding that the location would be finalised after examining factors like availability of low-cost power and infrastructure. The smelter unit is sought to be of 5 mtpa capacity together with 150-MW captive power plant, Chand said, adding that though Nalco is ready to go for the project alone, it is open to a joint venture if a suitable partner comes forward. While power is cheap in Oman and Iran, abundant coal is available at low cost in Indonesia. Port facilities would also be a major factor, the CMD said, adding that the project is likely to take off this year itself as Nalco aims to emerge as a major global player in mining, metal and energy sectors. Turning to domestic turf, Chand said after getting the much-awaited and much-needed allocation of Utkal D and E coal Blocks, Nalco is now hopeful of Odisha Government�s consent for allocation of Pottangi bauxite Mines in Koraput district. If the company gets Pottangi mines, alumina refinery project of Rs 5,500 crore can immediately be started, the CMD said, adding: �We have held detailed discussion with the State Government in this regard and the response is very positive.� Nalco proposes to set up the 5th Stream of one mtpa capacity at the existing alumina refinery in Damanjodi. The project is envisaged with medium pressure digestion technology, Chand said. As part of its action plan to increase the volume of production, the company has proposed to set up a smelter and power complex at a cost of Rs 22,000 crore in Sundargarh district of Odisha, he said. Maintaining that Odisha would remain the company�s first choice of investment and expansion, Chand said some preliminary clearances have been obtained for the proposed Sundargarh project and Nalco has applied for single window clearance from Odisha Government. A number of ventures have been taken up in Gujarat where the aluminium major is pursuing to set up an alumina refinery with 0.5 mtpa capacity for which a detailed project report (DPR) has been prepared and talks are on with GMDC for availability of bauxite.

Mumbai coastal road project stalled.

The Rs. 12,000 crore coastal road project of connecting South Mumbai with the Western Suburbs could get stalled due to litigations. Environmentalists are planning to approach courts and National Green Tribunal over perceived threats of flooding due to mangroves destruction. In an effort to resolve the traffic congestion, the Maharashtra Government is planning to connect Nariman Point to Kandivali with a 35.6 km coastal highway comprising of roads built on reclaimed land, bridges and tunnels, on western coast of Mumbai. A similar project of the State Government, the Bandra-Worli Sea Link (BWSL), which connects Bandra in the Western Suburbs of Mumbai with Worli in the Island city ran into major court cases due to environmental concerns. The project was delayed by five years. The environmentalist fear that large-scale culling of mangroves and reclamation for the coastal road project will adversely affect the stormwater outflow. The chances of flooding of roads and rail lines during the monsoon season could increase significantly. Environmentalist Girish Raut, who is also trained as a lawyer, said that a public interest litigation asking the courts to cancel the project could be soon filed. Another environmental action group is in the process of filing court papers. Secretary of the group requesting anonymity said that sector experts assisting the group have carried out a detail hydrological study of Mumbai. It is their studied opinion that any kind of further land reclamation around the coast will prevent proper discharge of rainwater into the sea. Raut said that the coastal road is meant for the motorist, who are a not a significant percentage of Mumbai�s commuters. The city needs a mass transport system and not a road based solution. When the BWSL was constructed it leads to massive destruction of coastal habitat. One of the factors, which lead to July 26, 2005, Mumbai Flood was the reclamation at the mouth of Mahim bay for BWSL project. The floodwaters, which were carried by the Mithi river towards the bay, simply could not empty itself into the sea, he said. "I fear a similar problem will repeat all over the Western coast of Mumbai, whose impact would be catastrophic," Raut said.

Karnataka sitting on permits to reopen 93 iron ore mines.

Two and a half years after the Supreme Court allowed 117 iron ore mines in Karnataka to reopen, only two dozen have become operational. The state government has been sitting on lease renewals and clearances for the remainder, leaving mining companies in a tizzy and forcing steel makers to import an unprecedented 15 million tonnes (mt) of iron ore from countries as far as South Africa in 2014-15. The BJP-led central government, which imposed a 20 per cent safeguard duty to protect domestic steel industry last week, has urged Karnataka chief minister Siddaramaiah to expedite the mining permits to shore up domestic iron ore output, which shrank in five of the first seven months of 2015. Iron ore is a key ingredient in making steel. Officials and industry players blame the lack of clearances on a combination of bureaucratic paralysis, political factors (the BJP is considered close to sections of the state's mining lobby) and onerous conditions that made the mines unviable. "Last year, India imported 15 mt iron ore, out of which we imported 10 mt," said Seshagiri Rao, joint managing director and group CFO of JSW SteelBSE 0.67 %. He said many steel plants had come up in Karnataka due to its rich iron ore reserves and are finding it difficult to procure the raw material from outside the state or abroad.

UltraTech commissions 1.6 MTPA grinding unit in Haryana.

Aditya Birla Group flagship firm UltraTech Cement recently said it has commissioned its grinding unit with a capacity of 1.6 million tonnes per annum (MTPA) in Jhajjar, Haryana. The move is aimed at increasing the firm's slice in the north region -- that accounts for a lion's share of India's cement market -particularly the National Capital Region (NCR) and Haryana. With commissioning of the firm's 13th unit, UltraTech's total cement capacity has reached 63.1 MTPA, it said in a regulatory filing. The third line at Aditya Cement, Rajasthan, commissioned in March 2015, will cater to the clinker requirement of this plant, it added. North region accounts for 35 per cent of the cement demand in the country and is expected to grow at around 8 per cent, it said. "With this commissioning, the company will further increase its capacity in north region. The plant's location at a distance of less than 100 kms from the markets of NCR and Haryana will assist in capturing the growing demand for cement in this region with timely and effective supplies to the customer," it added.