RNRL to start its shipping venture

Anil Dhirubhai Ambani Group (ADAG) led Reliance Natural Resources (RNRL) is planning to start its shipping venture by buying around six ships in the next three to four months. The company is planning to shell out around Rs 2,000 crore for the venture.

The ships will be used for transportation of coal for its 4,000 mw ultra mega power project in Krishnapatnam from the international locations mainly from Indonesia, where company has bught three mines in the last calender year for around Rs 2,400 crore.

The move will help the company to reduce the cost of coal transportation which is a significant constituent of the fuel cost.

Tata Steel had also made the similar moves recently by entering into shipping joint venture with Nippon Yasen Kabushiki Kaisha (NYK) of Japan.