Karnataka State Pollution Control Board (KSPCB) has informed Graphite India
to shut down operations at its Whitefield, Bengaluru, plant. Shares of the company fell 2% on the bourses on Tuesday.
This order is pursuant to the order dated January 28 from the National Green Tribunal (NGT) New Delhi bench. The company operates graphite furnaces at the plant which it has been shutting down in a phased manner after the order.
The company also informed KSPCB that if the furnaces are stopped abruptly, there is a potential hazard of unforeseen accidental explosions due to the high temperature prevalent in the furnaces. It has given an undertaking to KSPCB to shut down the manufacturing operations completely by 23/02/2019.
The company does not expect any material impact on its operations as a result of this development.
Graphite India Ltd share price is currently at Rs403.80, down Rs8.3, or 2.01%, from its previous close of Rs412.10 on the BSE. The scrip opened at Rs414.90 and has touched a high and low of Rs421.95 and Rs398.35, respectively. So far, 11,54,487 (NSE+BSE) shares were traded on the counter.