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Home arrow News arrow Power and Energy arrow L&T's Hazira forging plant to cater to Nuclear, Steel and Power sectors
L&T's Hazira forging plant to cater to Nuclear, Steel and Power sectors Print E-mail
Written by Vijay   
Saturday, 27 August 2011
Mumbai: Larsen & Toubro's (L&T) facility for manufacturing of heavy forgings and castings at Hazira is nearing completion. The company plans to use the facility to produce forgings for steel, power and hydrocarbon companies also. The facility is a joint venture with Nuclear Power Corporation of India (NPCIL) focusing on heavy metallurgical forgings. It is expected to be ready by November December of this year.

"The tsunami damage to the nuclear plants in Japan has triggered a worldwide relook at the need for nuclear power as an energy source. As far as India is concerned, the ambitious program of ramping up the installed base of nuclear energy is likely to be pushed back by couple of years because of more stringent safety measures," said AM Naik, chairman of L&T at the AGM.

"We expect government to come out with the code on nuclear forgings by the end 2012, however we will not sit idle but to implement forgings for the steel, power and the hydrocarbon sector in the meantime.” Naik said in a post AGM conference.

Speaking about the Machinery and Industrial Products Business, Naik said that this segment is seeing mixed fortunes in the current year with slowdown being witnessed in Construction / Mining and Industrial Machinery businesses but growth being seen in Industrial Products business.


The Company is gearing up to catch growth opportunities when the Government policy changes would allow private sector participation in India’s defence program in a significant manner. The Company is presently building a shipyard at Kattupalli near Chennai for catering to the requirements of Indian Navy when such prospects materialize.

Heavy Industrial Equipment.

"The Company’s heavy engineering facilities in Hazira is widely acclaimed for its world class design, manufacturing capabilities and on-time execution track record of technologically complex large sized equipment orders for process plants in India and abroad. This stands the Company in good stead when it scouts for business in domestic and international markets and is expected to facilitate growth in Power and Hydrocarbon sectors," he said.

International Business.
International business for the Company has come down since the global slowdown 2 years ago. Since then, the countries where the Company is focusing on have shown signs of recovery and the Company is seeing increased business from those countries, notably in Hydrocarbon and Power Transmission & Distribution projects in the Middle East. Till date, the Company has bagged around Rs 7,000 Crores of orders from international markets compared to Rs 2,100 Crores in the corresponding period in the previous year and expects to end the current year with a healthy Order Book position from international projects.

Business Integration.

The Company is today the largest vertically integrated EPC player in the domestic infrastructure space. This has been achieved over the years through successful efforts to encompass all value creating and critical activities in each core business that it operates in. In Hydrocarbon, the Company straddles the design-fabrication-installation value chain. In Power, the facilities for manufacture of supercritical boilers turbines, and critical piping which have been commissioned, have plugged a vital gap in our EPC Power offerings to customers. In addition, all the power auxiliaries like Electrostatic Precipitators, Axial Fans and Heaters are approaching completion. Along with other essential existing facilities, the Company is capable of offering comprehensive Balance of Plant solutions to Power Generation customers. In the infrastructure space, the Company is one of the largest developer-cum-EPC players with a diverse portfolio of strategic concessions in the areas of Roads, Ports, Power Generation, Metro Rail and Urban Infrastructure.

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