Indian Steel Corp Ltd (ISCL), part of steel and oil major Ruchi Group, said Wednesday it has started the trial run of its cold rolling mill.

The mill, in Gujarat, has been set up with an investment of Rs.5.80 billion ($131.8), said a company statement here.

"We are planning to ride on the auto and construction sectors boom in India," said Arjun Zalani, executive director of Indian Steel Corp Ltd, adding the plant is likely to benefit from cheaper imports of the raw material.

"In the unlikely event of a slump in the domestic market, we are positioned well, being close to port, to export our products competitively across the globe," he added.

With this commissioning, Ruchi Group will add a fresh capacity of half a million tonnes to its processing capacity. The plant will produce cold rolled and galvanised products.

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Gujarat NRE to invest in Australian firm

Gujarat NRE Coke Ltd said Wednesday that the company has decided to invest in fresh equity up to 30 percent in Australian exploration Company Zinico Resources.

Zinico Resources has secured a significant portfolio of prospective iron ore and base metals projects in Tasmania and is considering a listing on the Australian Stock Exchange, said a statement issued here.

The Australian company has secured its projects in close proximity to existing world-class mining projects.

Under the acquisition agreement, Arun Kumar Jagatramka, vice chairman and managing director of Gujarat NRE Coke, will join the board of Zinico Resources upon its listing.

"The portfolio of assets compiled by the board and management of Zinico Resources is exceptional," said Jagatramka.

"It presents an ideal opportunity for our company to gain a further strategic exposure to the broader minerals industry in Australia," he added.

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Praj buys ethanol fuel production licence

Praj Industries said Wednesday that the company has entered into an agreement with a US-based firm to purchase the licence of ethanol production.

Under the agreement, Praj Industries has got the worldwide licence rights from Delta T. Corp for molecular sieve (molsieve) dehydration technology for fuel ethanol production, said a statement issued here.

Praj Industries had entered into an agreement with Delta T. in 2001 for technology transfer licence of molsieve based dehydration process in select territories.

The latest transaction extends company's rights to molsieve based dehydration technology for its use worldwide.

"This is a move to consolidate Praj global aspirations and enable Praj to penetrate growing developed markets, currently under exploration," said Pramod Chaudhari, chairman of Praj Industries.

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Beckons Industries plans biotech project

Beckons Industries Ltd said Wednesday the company has announced it is exploring the possibilities of entering into the production and marketing of value-added agriculture products.

Under the new project, the company is exploring the possibility of producing of products like cherry tomato and capsicum in controlled temperature of green houses, said a statement issued here.

The proposed project may yield around 4,000 tonnes of capsicum and 4,500 tonnes of cherry tomatoes per annum using "hybrid vigour" technology.

The yield will progressively increase 6 percent each year over preceding year for three years.

Beckons Industries said negotiations were on with a company of international repute for providing performance guarantee of around Rs.200 million per annum in addition to responsibility of marketing.

"Substantial dividends are expected from the operations of the project because of the high tech nature of this project and access to high price export markets through collaboration from a highly successful European company," it added.

The company has recently entered into a tripartite agreement with Canada-based Biorigional and the Punjab government for set up of a research and development-based technological park in Mohali.