JSW Cement Begins Production at New Rajasthan Plant, Expands Capacity
Filing Summary
JSW Cement has commenced production at its new integrated cement plant in Nagaur, Rajasthan. This development increases the company’s total cement grinding capacity to 24.1 million tonnes per annum (MTPA) and clinker manufacturing capacity to 9.74 MTPA. The Nagaur facility includes a 3.30 MTPA clinkerisation unit and a 2.50 MTPA cement grinding unit, with an additional 1.00 MTPA unit under construction. The project was funded through equity and long-term debt, with ₹800 crore allocated from the company’s IPO proceeds. The plant aims to serve high-growth markets in North India.
JSW Cement has commenced production at its new integrated cement manufacturing plant located in Nagaur, Rajasthan. This marks the company’s first facility in North India, expanding its footprint in the region. The new plant increases JSW Cement’s total cement grinding capacity to 24.1 MTPA and its clinker manufacturing capacity to 9.74 MTPA, including capacities from its joint venture, JSW Cement FZC.
The Nagaur plant is funded through a combination of equity and long-term debt. JSW Cement allocated ₹800 crore from the fresh issue proceeds of its Initial Public Offering (IPO) to partially finance this unit. This strategic financial decision supports the company’s expansion into the Northern Indian market, which is experiencing significant growth.
The Nagaur facility comprises a 3.30 MTPA clinkerisation unit and a 2.50 MTPA cement grinding unit. An additional 1.00 MTPA cement grinding unit is currently under construction at the site. The plant is strategically positioned to cater to the high-growth markets in Rajasthan, Haryana, Punjab, and the National Capital Region (NCR). The facility is designed to incorporate sustainable manufacturing practices, including the co-processing of alternative fuels and a 16 MW Waste Heat Recovery System (WHRS) to reduce its carbon footprint.
The Nagaur plant’s strategic location allows JSW Cement to effectively serve the growing demand in North India. The company’s expansion aligns with its mid-term capacity target of 41.85 MTPA in India and its long-term vision of achieving 60 MTPA capacity. The plant’s sustainable design includes a 7 km Overland Belt Conveyor for limestone transport, minimizing the environmental impact of road transport.
The construction of the Nagaur facility was completed within 21 months, showcasing JSW Cement’s project execution capabilities. The company aims to leverage this new capacity to meet the increasing demand for cement in the region and contribute to the economic growth of Rajasthan and surrounding areas.
JSW Cement is part of the diversified JSW Group, which has interests in sectors such as steel, energy, and infrastructure. The company is a leading producer of green cement in India, utilizing industrial by-products to manufacture eco-friendly building materials. JSW Cement operates eight plants across India and a clinker unit in the UAE through its joint venture, JSW Cement FZC. The company’s commitment to sustainability and innovation has been recognized with various industry awards.