Sandur Manganese & Iron Ores saw its stock climb by 2.80%, reaching Rs.431, following the company’s announcement of securing approval to increase its Permissible Annual Production (PAP) limit for iron ore, as reported by Business Standard. With this approval in place, Sandur Manganese plans to raise its iron ore production capacity from the current 3.81 million tonnes per annum (MTPA) to 4.36 MTPA.

The company stated that it would now proceed to obtain the necessary operational consent for this expansion from the Karnataka State Pollution Control Board (KSPCB) and acquire other regulatory clearances. These steps are essential for the company to begin operating at the newly approved production levels.

Sandur Manganese & Iron Ores is the flagship enterprise of the Karnataka-based Sandur Group, a well-established player in India’s mining sector. The company is actively engaged in mining low-phosphorous manganese and iron ore in the Hosapete-Ballari region of Karnataka, an area known for its rich mineral resources. Beyond mining, Sandur Manganese adds value to its operations by manufacturing ferro-alloys, particularly silico-manganese, at its plant located in Vyasankare, near Hospet.

The company has also delivered strong financial results in recent months. In the second quarter of FY25, Sandur Manganese reported a consolidated net profit of Rs.32.14 crore, reflecting a robust 19.13% increase compared to the same period in the previous fiscal year. This growth in profitability was underpinned by a 40.82% rise in sales, which surged to Rs.260.25 crore in Q2 FY25 from Rs.184.80 crore in Q2 FY24. These figures highlight the company’s ability to effectively leverage market opportunities and optimize its operations.

The approval to enhance its production limit is a significant milestone for Sandur Manganese, as it aligns with the company’s broader strategy to scale up operations and meet the growing demand for iron ore. This move is expected to boost the company’s revenue generation capabilities and strengthen its competitive position in the market.

In addition to its operational achievements, Sandur Manganese remains committed to sustainable practices and environmental stewardship. Its integrated operations, which combine mining and ferro-alloy production, enable the company to maintain a strong focus on efficiency and value addition. By expanding its production capacity, the company is well-positioned to cater to the increasing needs of its domestic and international customers while contributing to the economic development of Karnataka’s mining sector.

The positive market response to this announcement reflects investor confidence in Sandur Manganese’s growth potential and operational capabilities. With its proven track record of financial performance, strategic initiatives, and commitment to sustainability, the company continues to solidify its reputation as a leader in the mining industry.