Adani to invest ₹57,575 cr to set up alumina, iron ore projects in Odisha

Gautam Adani-led Adani Group will invest ₹57,575 crore to set up an alumina refinery and an iron ore project in mineral-rich Odisha. A high-level clearance authority of the Odisha government, headed by chief minister Naveen Patnaik, has approved the group’s proposal to set up two projects – a 4 MMTPA integrated alumina refinery and a 30 MMTPA iron ore project. The company says these projects will generate 9,300 direct jobs and open up tens of thousands of indirect employment opportunities in Odisha.

As per Adani group chairman Gautam Adani, Odisha is one of the most strategic states for the diversified company. “Metals are critical commodities in which our nation must be self-reliant, and these projects are aligned with our vision of Atmanirbharta. In addition, being a power-intensive business, it is a great adjacency to the renewable energy that we are able to generate and help to produce the greenest alumina anywhere.”

The 4 MMTPA integrated alumina refinery will be set up in the vicinity of potential bauxite reserves or operational mines. It will produce smelter grade (metallurgical grade) alumina.

The 30 MMTPA iron ore (value addition) project will comprise an iron ore beneficiation plant producing iron ore concentrate, a slurry pipeline for iron ore concentrate slurry and dewatering or filtration and a pellet plant to produce filter cake and pellet.

The company plans to set up an iron ore beneficiation plant in Deojhar, in northern Odisha’s Keonjhar district, while the pellet plant will be set up in Dhamra, in the adjoining Bhadrak district. The slurry pipeline will run along the utility corridor of the roads between Deojhar and Dhamra.

Odisha holds over half of the nation’s bauxite and iron ore reserves. For this, the Odisha government has envisaged ‘Vision 2030: Development of Downstream Units in Metal Sector’ to boost its development and overall socio-economic status.

Reacting to the development, all Adani group company stocks are trading in the green today. The Adani Entertainment stock has surged 0.94% to ₹2,860 today. Adani Ports stock is up 0.56%; Adani Power stock is 1.15%; Adani Transmission stock is 0.01%; Adani Green Energy stock is 0.66%; Adani Total Gas stock is 1.91%, and Adani Wilmar stock is trading 0.12% up.

Besides, the Adani group has mega plans to tap into the green energy industry. The group is already one of the world's largest developers of solar power. In his shareholder address during the annual meeting last month, Adani said the group is investing around $70 billion in facilitating India’s green transition. Apart from the global renewable energies portfolio, the group is also the largest airport operator in India. The group has interests in ports, power and transmission, gas and FMCG. The combined market capitalisation of the group stands at over $200 billion, says Adani.

Recently, the digital connectivity solutions arm of the Adani Group secured 5G spectrum for 20 years in the Centre’s first ever 5G spectrum auction. Adani Data Networks Ltd (ADNL) acquired the right to use 400 megahertz (MHz) of spectrum in the 26 gigahertz (GHz) millimetre wave band.