GPlL will enhance its steel melting capacity by 50,000 MT and the proposed capacity of its solar power plant by 30 MWp. The additional solar power capacity will be used for operating the expanded steel melting shop.

May 21, 2025

Godawari Power and lspat Limited (GPIL) has announced an investment plan of INR 408 crore to enhance its steel melting capacity from existing 5,25,000 MTPA to 5,75,000 MTPA and the proposed capacity of its solar power plant from 95 MWp to 125 MWp. 

The company said in an exchange filing that it will invest INR 13 crore to increase its steel billets capacity by 50,000 MT at Aari Dongri Iron Ore Mines in Chhattisgarh and INR 395 crore to enhance the proposed capacity of its solar power plant by 30 MWp. 

The mode of financing of the two projects, expected to be completed by March, 2026, is through internal accruals and debt financing.

GIPL currently has 112 MW of solar power capacity on a standalone basis, along with 52 MW in a subsidiary company. All its solar projects are operating at full capacity.

The existing steel melting capacity of GPIL is 5,25,000 MTPA with capacity utilization of 91.04 percent. The additional solar power capacity will be used for operating the expanded steel melting shop.

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The capacity enhancement will help GPIL to meet the power requirement of pellet plant expansion and in debottle-necking the gap between the sponge iron capacity & steel billet capacity. The additional power requirement in the SMS plant will be met from the proposed 125 MWp solar power plant.