When the plant runs at full capacity Rs. 200 crores per annum revenue is expected.
The total investment for the Wada project is around Rs. 65 crore is estimated; The company is eligible for 60% subsidy from the state government for this project.
Bigbloc is the only company in the AAC segment that generates carbon credits. 2.5 – 3 lakh units of carbon credits are expected to be generated annually after completion of all expansions
SURAT, BigBloc Construction Limited, one of India’s largest manufacturers of aerated autoclaved concrete (AAC) blocks, bricks and panels, has announced that its wholly-owned subsidiary – BigBloc Building Elements Pvt Ltd (BigBloc Construction has commenced trial run at its 5- at Wada in Palghar, Maharashtra). lakh cubic meter per annum AAC Blocks plant at Wada Palghar Maharashtra.) has started trial run of machinery for greenfield project of AAC Blocks. Commercial production from the plant is expected to start by the end of March 2023. When the plant runs at full capacity Rs. 200 crores per annum revenue is expected.
The company has set up a 5 lakh cubic meters per annum plant at Wada, Maharashtra for the production of AAC blocks with a total investment of around Rs. 65 crore has been estimated. The company has so far invested Rs. 48 crore has been invested.
The company is eligible for 60% subsidy from the state government for the project and expects to generate 1 lakh units of carbon credits annually from the Wada project. (i.e. one carbon credit represents 1 ton of CO2e that an organization is allowed to emit).
Established in 2015, BigBlock Construction Limited is the largest and only listed company in the AAC block space with a capacity of 5.75 lakh cubic meters (cbm) per annum. A green and non-toxic building construction material AAC blocks are economical, light, soundproof, fire resistant with superior build quality and save energy compared to conventional bricks,
Environmentally friendly and affordable too. It is the only company in this segment that generates carbon credits from its operations.
Commenting on this, Mr. Narayan Sabu, Chairman and Managing Director, BigBlock Construction Limited, said, “We are pleased to announce the commencement of trial runs at the Wada facility and are confident of commencing commercial production from the facility very soon. The company is going from strength to strength
and has delivered strong operational and financial performance over the years with healthy growth in revenue and profitability. The company’s strategic growth initiatives, operational efficiencies and commitment to launch eco-friendly and sustainable building products will contribute to healthy growth and enhance value for all stakeholders in the near-medium term.”
In a joint venture with Thailand’s SCG Group, the company is also setting up a 3 lakh cubic meter per annum plant for ALC panels and AAC blocks at Kapdvanj Ahmedabad (Gujarat). Joint Venture Company – Siam Cement Big Block Construction Technologies Pvt. Ltd. has already acquired 60,000 square meters of land at Kapdvanj in Kheda district near Ahmedabad, Gujarat.
SCG is one of the largest cement and building materials company in South East Asia and holds 48% stake in the joint venture and 52% stake is held by Bigblock Construction Limited. The plant is expected to start commercial production in calendar year 2023.