The Board of Manorama Industries has approved new investment in setting up new capacity of fractionation and refinery process by 25,000 tpa each along with supporting infrastructure with total estimated capex of Rs 65 crore.
The existing capacity of fractionation is 15,000 tpa and refinery is 15,000 tpa. The existing capacity utilisation for fractionation is 71.07 percent and refinery is 67.65 percent.
The Board has also approved acquisition of land around its factory at Birkoni, Chhattisgarh for expansion and utilisation of business purposes.
The total capacity after new investments in fractionation and refinery will be 40,000 tpa each. It is proposed to complete the new capacity within a period of one year from commencement.
The capex will be met out of internal accruals and by raising the required funds through debt/equity, as and when required.
The Board has deliberated the requirement and expansion of raw material supply chain in West African countries of Burkina Faso and Benin and accorded permission to set up entities/offices there, as and when required.