BHEL Tiruchi to manufacture components for oil refinery
State-owned BHEL's Tiruchirappalli unit is preparing to foray into non-power sector by manufacturing components for oil refineries and defence applications, a top company official said Tuesday.
Tiruchirapalli (TN): State-owned BHEL's Tiruchirappalli unit is preparing to foray into non-power sector by manufacturing components for oil refineries and defence applications, a top company official said Tuesday.
The company is readying itself for diversification of product range serviceable to refineries and other defence segments, A V Krishnan, Executive Director-Tiruchirapalli complex, BHEL, told reporters here.
The 50-year-old plant is engaged in the manufacture of high pressure boilers and other thermal power plant equipment.
He said the power sector business is witnessing a slowdown. Issues like coal linkage, land acquisition and fund constraints have resulted in non-finalisation of power projects especially in private sector. Some ongoing projects are also on a slow growth path.
Hence, BHEL is in negotiation with major refineries, DRDO establishments and a few ordnance factories offering their services as business proposal, he said but did not elaborate.
He said the Tiruchirapalli complex has achieved turnover of Rs 15,003 crore in 2012-13 with PBT increasing to Rs 3,193 crore against Rs 3,172 crore clocked in the previous year.
Order booked during the year registered a 34 percent increase over previous fiscal with the value at Rs 7,585 crore. The accrued outstanding order as of March 2013 stood at Rs 24,902 crore.
Krishnan said about 16,000-17,000 mw capacity orders were in the pipeline. However, as they were only in the enquiry stage, the crystallisation of the order will be carried over into the next fiscal only, he said.
In 2012-13, the complex had mobilised about 5.5 lakh tonnes of components in various power projects. The quantum will remain the same this year as well, he added.