He said that the remaining 6.5 lakh tonnes of capacity will be invested in almost the same proportion. For this, investments will be made step-by-step over the next four to five years.
Hindustan Zinc Plans Nearly 5,000 Cr Expansion Investment: Anil Agarwal-owned Vedanta Group giant Hindustan Zinc Limited (HZL) has announced a major investment plan. The company said that it will invest around 50 to 60 million US dollars or around Rs 5,000 crore during the current financial year.
The company’s Chief Executive Officer (CEO) Arun Mishra told in an interview that around 80 per cent of this investment will be spent on existing projects, while 20 per cent has been earmarked for new projects. It will be announced soon, he said.
Billionaire Anil Agarwal, also known as the Metal King, informed that the total project capacity of the group is 10 lakh tonnes, of which 2.5 lakh tonnes or 25 per cent capacity has already been sanctioned with an investment of Rs 12,000 crore. These include mining and mineralization activities. According to Mishra, orders for mining equipment have been placed and construction of the smelter has begun, while orders for milling and concentrates are yet to be released.
He said that the remaining 6.5 lakh tonnes of capacity will be invested in almost the same proportion. For this, investments will be made step-by-step over the next four to five years. Under this, the average annual capital expenditure of the company is estimated to be Rs 7,000-8,000 crore. However, only 15-20 percent of this investment will be reflected as actual cash expenditure in the current financial year.
However, Anil Agarwal did not disclosed the deadlines of the new projects. Vedanta subsidiary Hindustan Zinc is one of the leading zinc producer companies in the country. It owns 60.71 per cent and the central government owns 27.92 per cent in BSE and NSE-listed Hindustan Zinc.
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