KIOCL Limited (formerly Kudremukh Iron Ore Company Limited), an 100% EOU, ISO 9001-2008, ISO 14001-2004 and ISI 18001-2002 Company was established in April, 1976 to meet the long term requirements of Iran. An Iron Ore Concentrate Plant of 7.5 million tonne capacity was set up at Kudremukh. This project was to be financed in full by Iran. However, as Iran stopped further loan disbursements after paying US $ 255 million, the project was completed as per schedule with the funds provided by Government of India.
While the project was commissioned on schedule, consequent upon the political developments in Iran, they did not lift any quantity of Concentrate. As a diversification measure, the Government approved the construction of a 3 million tonne per year capacity Pellet Plant in Mangalore in May, 1981. The capacity of the Pellet Plant was increased to 3.5 million tonne with additions/modifications. The plant went into commercial production in 1987 and is now exporting Iron Ore Pellets to China and also to domestic units such as Ispat Industries Limited and SAL Steel Limited. Consequent upon the Hon’ble Supreme Court’s verdict, Mining was stopped at Kudremukh with effect from 31.12.2005 and Pellet Plant is operated with Hematite Iron Ore purchased from NMDC.