Vedanta to invest INR 15,000 crore in Odisha to raise alumina refinery capacity

Vedanta Resources Chairman Anil Agarwal announced on Monday, November 12, about its plan to invest INR 15,000 crore for ramping up the alumina refinery capacity at Lanjigarh to 6 million tonnes per annum and firming up the downstream sector in Odisha in next three years.

“The expansion of the Lanjigarh plant in phases would increase the capacity of the refinery from the existing two million tonnes per annum (mtpa) to four mtpa and then to six mtpa in the next three years,” said Mr. Agarwal while addressing the Make in Odisha Conclave.

He also said while addressing the conclave and interacting with journalists, “Vedanta has already invested over Rs 50,000 crore in Odisha projects. Fresh investment of Rs 15,000 crore will be made in the next three years for the expansion of Lanjigarh refinery and strengthening of downstream sector.”

Agarwal noted Vedanta’s aluminium park at Jharsuguda is progressing well. About 25 downstream industries have started and over 100 such units are likely to come online over an area of 250 acres.

However, the dearth of raw materials like coal and bauxite in the state is what bothers Mr. Agarwal. He said private entities received 25 per cent of coal compared to 100 per cent supplied to government companies. “It is the responsibility of all to ensure that coal produced in the state is made available to local industries,” he said adding it would go a long way in boosting investment in Odisha.

About bauxite, Agarwal said only about one per cent of the mineral’s reserves in Odisha is explored until now. More bauxite blocks should be opened to ensure the expansion of the aluminium capacity in the state.

He pointed out Odisha’s huge potential to become the bauxite capital of the world and at the same time announced that Vedanta would participate in auctions of new bauxite mines to feed to its expansion programme. This would reduce the country’s import bill by INR 1 lakh crore and create over 10 million jobs as well, claimed Agarwal further.

“Odisha’s strategic location gives it excellent connectivity by air, land, and water, while its skilled human resources, abundant water, and power make the state an ideal place for investment,” he said while adding it is a matter of pride for Odisha to be crowned the ‘Aluminium Capital of India’ with Vedanta’s share at 60 per cent among the three players based in the State.”