### **Overview** Shiva Cement Limited, established in 1985 and commencing commercial operations in 1986, is a strategically positioned clinker manufacturing company and a key affiliate of the **JSW Group**. Since becoming a subsidiary of **JSW Cement Limited in 2017**, the company has undergone significant transformation, modernization, and capacity expansion. Located in **Odisha**, near the tri-junction of Chhattisgarh, Jharkhand, and Odisha, Shiva Cement plays a pivotal role as a dedicated **clinker feeder** to JSW Cement’s eastern grinding units in Salboni (West Bengal) and Jajpur (Odisha). This integration strengthens the JSW Group’s vertical alignment and reduces dependency on imported or long-distance transported clinker. --- ### **Core Operations & Capacity** - **Clinker Production**: - Current clinker production capacity stands at **1.36 million tonnes per annum (MTPA)**, equivalent to **4,000 tonnes per day (TPD)**. - The new integrated clinker plant was commissioned by end-FY2022–23, marking FY2023–24 as its first full year of operation, achieving **73% of rated capacity** (~9.65 lakh tonnes output). - **Raw Material Security**: - Owns **captive limestone quarries at Khatkurbahal, Odisha**, with over **40 years of mining life**, ensuring long-term, high-quality raw material supply. - Acquired additional limestone mines via government auctions, enhancing reserves and creating new revenue streams from the sale of limestone and dolomite. - **Fuel & By-Product Utilization**: - Employs industrial by-products such as **fly ash, red mud, and spent pot liner** in production processes, supporting circular economy principles. - Achieved a **Thermal Substitution Rate (TSR) of 15–16% in FY2024–25**, up sharply from 4–5% previously, significantly reducing fossil fuel dependence. --- ### **Strategic Location & Logistics** - **Geographic Advantage**: - Situated at the intersection of Odisha, Chhattisgarh, and Jharkhand, providing proximity to abundant **limestone, coal, clay, slag, fly ash, and gypsum**. - Proximity to **Bhushan Power & Steel Limited** (acquired by JSW Group) enables access to low-cost, high-quality slag and fly ash for blended cement production. - **Transport Infrastructure**: - Only **2 km from a state highway**; railway stations at **Sonakhan (19 km)** and **Sagra (24 km)**. - **New captive railway siding at Sagra** commissioned, reducing logistics costs and improving supply chain efficiency for clinker dispatch to Salboni. - Dedicated rail infrastructure supports import of coal/pet coke and export of clinker. --- ### **Expansion & Forward Integration** Shiva Cement is undergoing a strategic shift from **clinker producer to integrated cement manufacturer**, enhancing value capture and cost efficiency: - **1 MTPA Cement Grinding Unit in Sambalpur, Odisha**: - Under construction and **on track for commissioning in H1 of FY26 (Apr–Sept 2025)**. - Expected to **internally consume 45–50% of clinker**, reducing external sales reliance and enabling production of **blended cement** (including PSC, PPC, and composite cements). - Projected to **reach break-even within 3–4 years**. - **Future Expansion Plans**: - Aims to scale clinker capacity to **3 MTPA** and cement capacity to **2 MTPA**, with environmental clearances already secured. - Plans include installation of an **18 MW Waste Heat Recovery Power System (WHRS)** to improve energy self-sufficiency and sustainability. --- ### **Technology & Sustainability** - **Advanced Operational Infrastructure**: - Features **robotic lab for automated quality control**, energy-efficient kiln systems, and European-standard **Best Available Technology (BAT)**. - Commissioned an **8.9 MW WHRS** and a dedicated **132kV power line**, ensuring stable, efficient, and sustainable power supply. - **Sustainability Commitment**: - Active **co-processing of waste materials** reduces carbon footprint and supports sustainable manufacturing. - Focus on **resource efficiency, circular economy principles**, and **reducing greenhouse gas emissions** through TSR improvements and clean energy integration. --- ### **Financial & Strategic Highlights** - **Integration with JSW Cement**: - Benefits from **shared resources, demand security, and supply chain synergies**. - Strategic supply agreement ensures **revenue visibility**, with **74% of FY2023–24 clinker sold to JSW Cement** under a 3-year contract. - **Financial Strengthening**: - Utilized proceeds from a **rights issue** to repay and prepay debt, improving financial health. - Investments in **IT and supply chain digitization** have enhanced real-time monitoring, inventory management, and decision-making. - **Upward Value Chain Movement**: - Moving beyond clinker into **higher-margin cement production**. - Monetizing excess capacity and raw material availability through **merchant sales of limestone, dolomite, and surplus clinker**. --- ### **Key Dates & Milestones** | Year | Milestone | |------|----------| | 1985 | Incorporated | | 1986 | Began commercial production (300 TPD) | | 2017 | Acquired by JSW Cement Limited | | 2020 | Inaugurated 4,000 TPD clinker plant (Oct 22, 2020) | | 2021–2022 | Commissioned WHRS, power line, crushing plant; acquired new mines | | 2022–2023 | Full ramp-up of new clinker line; FY2023–24: first full year of operations | | 2025 (H1) | Commissioning of 1 MTPA grinding unit in Sambalpur (targeted) | ---