The Board of Directors of Balrampur Chini Mills has approved further capacity expansion of ethanol production from 840 KLPD to 1,050 KLPD considering the huge untapped demand for ethanol due to the robust policies of the government of India on ethanol blending.
The company has an existing capacity of 520 KLPD and capacity expansion up to 840 KLPD as approved on 4 November 2020 is under progress and accordingly, fifth distillery unit at Maizapur of 320 KLPD is expected to commence production by November 2022.
The existing capacity utilisation is around 97 percent. The proposed capacity is 210 KLPD (40 KLPD at Gularia and 170 KLPD at Balrampur).
The capacity for Gularia will be added by November 2021 and for Balrampur by November 2022.
The project will entail an investment of approximately Rs 205 crore -- Rs 15 crore for Gularia and Rs 190 crore for Balrampur. Of the total amount, Rs 140 crore will from bank loans for Balrampur and Rs 65 crore from internal accruals.