Shyam Metalics and Energy expands rail infrastructure at Odisha steel plant

SMEL's rail infrastructure expansion in Odisha marks a significant step towards operational excellence and sustainable growth.

Shyam Metalics and Energy Ltd (SMEL) has announced the expansion of its rail infrastructure at its integrated steel plant in Pandloi, near Rengali, Sambalpur district, Odisha. This significant development aligns with the company’s long-term vision of continuous expansion and sustainable growth.

The integrated steel plant, which also encompasses a coal washery and a power plant, has seen remarkable growth over recent years. To accommodate the increased production capacity, SMEL recognized the need to enhance its rail infrastructure to ensure efficient handling of both incoming raw materials and outgoing finished goods.

Historically, the plant operated with two dedicated railway lines for managing the intake of raw materials and dispatch of finished goods. As part of the recent expansion, completed in 2023, SMEL has increased the number of lines to four. The upgraded infrastructure includes a lead line branching off from Rengali station, three branch lines, and an engine escape line. Approved by the Indian Railway through a Detailed Project Report (DPR) in 2015, this infrastructure is now fully operational with overhead electrification completed and commissioned. This expansion enables the plant to handle over 110 rakes per month.

Commenting on the development, Brij Bhushan Agarwal, Vice Chairman & Managing Director, Shyam Metalics and Energy Ltd says, “Shyam Metalics and Energy Ltd remains committed to continuous improvement and operational excellence. The expansion of the rail infrastructure is a testament to this commitment, and the planned addition of a wagon tippler by 2028 will further solidify SMEL’s position as a leading player in the steel industry.

The plant’s expansion has significantly boosted its capacity, necessitating more efficient rail operations. Previously, the infrastructure managed an average of two incoming rakes daily, which was sufficient for the earlier plant capacity. However, with the plant’s enhanced capacity, the current rail infrastructure can handle approximately 60 per cent of the increased volume of inward raw materials and outward rakes for finished goods. To fully realize the plant’s potential and improve operational efficiency, SMEL plans to introduce a wagon tippler by 2028. This critical addition will streamline rail operations, facilitating faster turnaround times and increasing rail handling capacity by 100 per cent.”

The expansion to four lines will enhance operational efficiency, but the current infrastructure can manage only around 60 per cent of the increased volume of raw materials and finished goods. To bridge this gap and unlock the plant’s full potential, SMEL’s planned introduction of a wagon tippler will considerably improve the speed and efficiency of rail operations. This crucial equipment will enable faster turnaround times for wagons, ensuring a smooth flow of raw materials and finished goods and further supporting the company’s growth trajectory.

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