Sarawagi mulls joint venture with China
S. K. Sarawagi and Co. Pvt. Ltd, the flagship company of the vizag based multinational Sarawagi group invited a delegation from China to visit their manganese ore mining operations in Vizianagaram district to enter into a joint venture. Sarawagi group has interests in mining, steel and power manufacturing, international trading and dry bulk shipping with offices all over India and also in Singapore, Hong Kong and China. The group is the oldest and largest mine owner – exporter of manganese ore which is a important steel input raw material. Sarawagi group operates 10 mining concessions in the Andhra Pradesh and has the world class state-of-the-art equipment and machinery and highly trained man power for sustainable and eco friendly and cost effective mining.
The delegation from China comprised of Mr. Bob qiu, senior engineer, Tianjin Hoperay Minerals Co Ltd., one of the largest Chinese state owned enterprise and a fortune 500 global company, Mr.Vi bai of Xinghe County Shanhe Steel Co,Ltd a leading ferro alloys manufacturer in China, Ms. Zoe Zhou and Mr.Kyle Liu of C&D Logistics (Tianjin) Industry Co Ltd,, a global Fortune 500 company and Ms.Xu Aibo of Ask Resources Hong Kong a leading Hong Kong based Mineral Trading Group.
The Chinese delegation attended the manganese ore and alloys conference in Kolkata organised by the Federation of Indian Mineral Industries in association with the Sarawagi Group and then visited Vizag to inspect the mining operations of the Sarawagi Group. Last week the Sarawagis organised a mine visit to their Maheshwari Manganese Mine in Bobbili village which is about 120 km from Vizag. The senior management of the local ferro alloy plants such as Anjaneya alloys, Berry Alloys, MDA Minerals, Abhijeet Ferro Tech, Facor group, etc were also invited to attend along with senior officers from MMTC Ltd., which is the canalizing body for manganese ore exports from India under the ministry of commerce government of India.
The mine visit was extremely well organised and the senior management team of the Sarawagi Group comprising Mr. M.L.Sarawagi, chairman, Mr. Rahul Sarawagi, MD, Mr. Asok Konda, Director and CEO, and other executives and staff of the group were present and took the visitors all around the mine and inside the pit. The visitors were very impressed with the mine working and the deposits and the 900 meter long and 40 meter depth and 10 meter wide seam of manganese ore deposit of the mine. the visitors asked a lot of questions with regard to the production, quality, buyers, supply capacity etc.
On December 22 the visitors had a day-long meeting at the Sarawagi Group Corporate office in Vizag and a MoU was entered into between the Sarawagi Group and the visiting companies to set up a beneficiation plant in the vicinity of the company mines in Vizianagaram district with an investment of up to US $ 5 million to beneficiate the low grade manganese ore available with the company which in turn will be purchased by the Chinese steel mills or even by the Indian Steel and Alloy plants. Sanhe Steel Mr Vi Bai have expressed their interest to source 0.1 million tonnes of manganese ore from Sarawagi Group every year and the value at today’s price levels would be over US $ 10 million .
It was a very successful visit and it endorses Sarawagi Groups dominant position as a leading player in the manganese ore mining industry and the group is now focusing on a rapid expansion of its mining activities in the Andhra Pradesh to double its production in two years time to 0.4 million tonnes making it the largest private sector manganese ore miner in the country.