Iron ore agreement between RINL and NMDC

The agreement aims to facilitate the procurement of iron ore from NMDC's Donimalai mines in the state of Karnataka. This co-operation strengthens RINL's raw material sourcing strategy and complements its existing agreement to source iron ore from Bailadila mines in Chhattisgarh.

RINL is preparing to restart its third blast furnace on 30 December 2023. This restart is a result of an agreement with Jindal Steel and Power Limited (JSPL). JSPL will provide working capital to RINL in return for monthly purchases of semi-finished products. With the restart of the third blast furnace, RINL's monthly iron ore requirements are expected to reach 600,000 metric tonnes.

NMDC Limited, India's largest iron ore mine, plays a key role in meeting RINL's raw material requirements. As the only state-run steel mill without its own iron ore mines, RINL has historically relied on local suppliers and imports for its raw material needs. The long-term supply agreement with NMDC is a strategic step in ensuring a consistent and reliable supply of iron ore for RINL's steel mill in Vishakhapatnam.