Everest Kanto Cylinder Ltd will now be using steel billets, which is likely to source from the domestic market (India). This allows Everest Kanto to move beyond its traditional raw material of steel tubes for manufacturing cylinders.
P K Khurana, chairman and managing director, Everest Kanto said, “This would be the other raw material, which we would be using for our cylinders. Most of it will be used for manufacturing industrial cylinders and partly for CNG cylinders.”
A billet cylinder is best suited for industrial uses as it is heavier, however, it comes with major advantages such as higher life and cheaper price.
Kishore Thakkar, financial controller, Everest Kanto, said the company will start manufacturing steel billet-based cylinders from April 2008. “We are setting up another facility at Gandhidham for industrial cylinders from steel billets which will have a capacity of 200,000 cylinders,” he said
Everest Kanto has currently undertaken expansion of its Gandhidham facility, where it would also be manufacturing 5,000 ultra large (jumbo) cylinders. This is expected to be operational by mid-2008.
A third plant at Gandhidham will be complete by September 2008 and will manufacture CNG cylinders for original equipment manufacturers.
The company has recently completed the expansion of its facility at Dubai.