Diamond Power Infrastructure announced the commencement of commercial production of first rod mill to manufacture Next Generation AL 59 Wire Rods at the facility of DICABS NextGen Special Alloys, wholly owned subsidiary company at Vadodara with a capacity of processing 80 Mt Per Day i.e. 2400 Mt per month.
DICABS NextGen Special Alloys, wholly owned subsidiary company is setting up a Green Field project comprising of 3 rods mills with daily capacity of 250 Mt per day i.e. 7500 Mt per month at an estimated cost of Rs. 55 crore, the mills will produce next generation Aluminum Based alloys which are high efficiency conductors for Transmission of Power.
At Present, the Company operates its own mill with a capacity of 1200 Mt per month, with addition of this mill the company's conductor top line will increase substantially. The current annual demand for AL 59 conductors in the country is approximately 1,000,000 MT. However, there are only five manufacturers with integrated rod mills, which are crucial for producing high-quality AL 59 conductors. These manufacturers have a combined capacity of 500,000 MT per year.
DICABS NextGen Special Alloys proposes to produce 75,000 MT per annum to help meet the demand.