Vedanta Limited, a prominent force in India's aluminium sector, is on the verge of announcing the location for its groundbreaking, fully green aluminium production facility, as revealed by Chairman Anil Agarwal. This ambitious project aligns with the company's demerger, which will create five independent entities.

Agarwal's recent statements emphasize Vedanta's commitment to expanding its aluminium production capacity while seamlessly integrating renewable energy sources. "This will be the first aluminium production facility with completely green metal," he asserted, highlighting the company's dedication to sustainability. The planned facility aims to revolutionize the industry by producing aluminium with a minimal environmental footprint.

This development coincides with Vedanta's ongoing demerger, a complex restructuring process that will result in the formation of distinct entities focusing on aluminium, oil and gas, power, iron and steel, and base metals. The demerger, which has already secured necessary approvals, is expected to be finalized in the first quarter of the next fiscal year, paving the way for each entity to operate independently and pursue specialized growth strategies.

Vedanta Aluminium is simultaneously boosting its production capacity by three million tons annually. To support this expansion, the company has acquired one of Odisha's largest high-grade bauxite mines, ensuring a reliable supply of essential raw materials. This strategic acquisition underscores Vedanta's commitment to vertical integration and securing its supply chain.

The significance of aluminium in industrial and infrastructure development cannot be overstated. With applications spanning transportation, defense, and power transmission, aluminium is a critical material for a sustainable future. Vedanta's expansion efforts reinforce its role as a key player in providing this essential resource.

Agarwal also outlined the company's strategy to reduce production costs by $400 per tonne, focusing on optimizing raw materials, power, and processing expenditures. This cost-efficiency initiative aims to position Vedanta as one of the lowest-cost aluminium producers globally, enhancing its competitiveness in the market.

Furthermore, Agarwal clarified that the demerger will not alter the overall shareholding structure. Shareholders will receive one share in each of the new companies, ensuring a seamless transition. Vedanta Limited will retain substantial stakes in Hindustan Zinc and Zinc International, as well as its technology businesses, maintaining its position as a major conglomerate.

The imminent announcement of the green aluminium plant's location is eagerly anticipated by industry stakeholders. This project, coupled with the strategic demerger and production capacity expansion, positions Vedanta for significant growth and reinforces its commitment to sustainable and efficient operations. The company's vision for a greener future, supported by its strategic initiatives, highlights its leadership in the evolving industrial landscape.