New Delhi : The state-run Minerals and Metals Trading Corp (MMTC) has tied up with Swiss company Produits Artistiques Métaux Précieux (PAMP) to make gold and silver medallions and coins, a top executive said Friday.
“A precious metal refinery requires huge working capital. We will invest Rs.1.5 billion ($37.5 million) in the first phase to set up a facility at Sohna in Haryana,” said Sanjiv Batra, chairman and managing director of the MMTC.
“We hope to start construction in three months’ time and start production by September 2009 so that our products hit the markets well before Diwali,” Batra told IANS.
“Sona in Sohna,” the chairman quipped.
Spread over a 22-acre area, the facility would have 10 acres dedicated to the plant and the rest 12 acres for the residential and administrative complex.
The Indian company will hold a 26 percent in the new venture, while the Swiss firm, whose name translates into “artistic, precious metals products”, will hold a 72-percent stake.
The rest of the equity will be with employees.
The MMTC executive said they have also applied to the government to set up a commodities exchange in the country.
“We are waiting for Forward Markets Commission (FMC) approval and are in talks with several international partners,” Batra said without divulging the names.