Hindalco bags Meenakshi Coal Mine in Odisha

Metallurgical Industries Dec 31,2024

Aditya Birla Group's metal flagship Hindalco Industries said it has been allocated the Meenakshi coal mine in Odisha. The allocation was formalised through a vesting order issued by the Ministry of Coal.

This development follows the successful signing of the Coal Mine Development and Production Agreement (CMDPA) on November 22, 2024, marking a pivotal step in the company’s journey towards resource securitisation, energy efficiency and sustainable growth.

The Meenakshi coal mine, located in Odisha, is a fully explored block with a peak rated capacity (PRC) of 12 million tonnes per annum and 285.23 million tonnes of geological reserves.

With a favourable coal-to-waste stripping ratio of less than 1, the G12 grade mine is poised to be a cost-effective and sustainable energy source for the company’s operations, making the company self-reliant in coal production.

The allocation of the Meenakshi mine aligns with Hindalco’s strategy to reduce operating costs and boost energy self-sufficiency.

The mined coal will replace the company’s dependence on auction and linkage coal which is currently estimated at approximately 40% higher than the Meenakshi coal mine, thereby ensuring a stable supply for its smelters and solidifying its position as one of the lowest-cost producers of aluminium in the world.

 

Share: