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HomeChhattisgarhNMDC commissions iron ore processing plant, slurry pipeline and pellet plant in Bastar, Chhattisgarh at a cost of Rs 5,427 crore
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NMDC commissions iron ore processing plant, slurry pipeline and pellet plant in Bastar, Chhattisgarh at a cost of Rs 5,427 crore

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News Analysis IndiaReporter
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September 27, 2026
05:12 PM
NMDC commissions iron ore processing plant, slurry pipeline and pellet plant in Bastar, Chhattisgarh at a cost of Rs 5,427 crore

Hyderabad, NMDC Limited has commissioned its 2 million tonnes per annum (MTPA) pellet plant at Nagarnar in Chhattisgarh, which is part of an integrated project of iron ore processing, pipeline and pellet making costing Rs 5,427 crore. This integrated project connects its iron ore operations in Bacheli with the company's steel plant located in Nagarnar. This project includes a new iron ore processing plant in Bacheli, a 15 MTPA slurry pipeline, and a 2 MTPA pellet plant in Nagarnar. The 135 km slurry pipeline carries processed iron ore concentrate from Bacheli to Nagarnar, an alternative to transporting this material by road.

The first production run from the pellet plant was monitored remotely by Shri Amitabh Mukherjee, Chairman-cum-Managing Director, and senior leadership of the company from NMDC headquarters, as they could not reach the project site due to inclement weather. These facilities will enable NMDC to process fines and slimes from its Bailadila mines into concentrate and subsequently convert the concentrate into pellets. This pellet plant uses Straight Grade Induration technology to make pellets for use in steel making.

On this occasion, Shri Amitabh Mukherjee, Chairman-cum-Managing Director, NMDC Limited said, “Today is a day of immense pride for everyone at NMDC. Completing this project was not easy. It includes processing facilities, the actual slurry pipeline and the pellet plant. But today is a very special day – a day we have been waiting for a long time. This is the day when the dream we all saw is coming true.” This commissioning strengthens NMDC's presence across the iron ore value chain, from mining and beneficiation to slurry transportation and pellet production. It also adds a new value-added product to the company's portfolio and enables optimal utilization of iron ore fines and slimes generated from its Bailadila operations.

This project is part of NMDC's broader expansion and diversification strategy, as the company is working towards increasing its iron ore production capacity to 100 million tonnes in the long term.

This slurry pipeline passes through 61 villages in Bastar and Dantewada districts and is designed to provide an alternative means of movement and evacuation of processed ore by road, reducing dependency on railways. The project has ensured a dedicated link between NMDC's Bacheli operations and Nagarnar.

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NMDC commissions iron ore processing plant, slurry pipeline and pellet plant in Bastar, Chhattisgarh at a cost of Rs 5,427 crore | News Analysis India