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Cement maker starts negotiations with RIL, Essar for pet coke

24 Oct 2013

October 24: A leading Kokata-headquartered cement manufacturer has started negotiations with Reliance Industries Ltd (RIL) to procure fuel grade pet coke during the first quarter of 2014 (January-March) and with Essar Oil for the period November 2013 to March 2014, industry sources said.

The cement maker's existing contract to procure pet coke from RIL will expire in December, while that with Essar will expire in November, sources added.

"The cement maker plans to procure up to 400,000 tons of pet coke from RIL in Q1, but the price is yet to be settled. For the quarter between June and December, it had contracted to procure the material from RIL at a nominal premium over the card rate," sources said.

"The initial discussions have begun with RIL and the deal is likely to be finalised by November, but the discussions with Essar are yet to start," the sources said, adding, the quantity of material to be procured from Essar is estimated at 180,000 tons.