Vedanta’s Lanjigarh alumina unit set for record performance

Vedanta’s Lanjigarh alumina refinery is set for a record performance in FY20, with total production expected to increase to 1.8 million tonne (mt) from 1.5 mt in the previous financial year.

The jump in production will be backed by a significant improvement in operating efficiencies, the company informed in a release on Thursday.

The improvement in operational parameters has been driven by 26 per cent reduction in caustic soda consumption and 19 per cent decline in conversion cost.

The unit has achieved 9 per cent reduction in bauxite cost per tonne through strategic bauxite sourcing.

Lanjigarh now ranks among the top five alumina refineries globally in terms of total energy consumption, said the Anil Agarwal-led firm. There has been reduced carbon intensity to 30 per cent below global average of $1,500 per tonne. Lanjigarh is on track to deliver aluminium cost of production exit rate in Q4 2020, it said.

Hindustan Zinc, on the other hand, has recorded metal-in-concentrate production of 90,000 tonne in February, while metal output jumped to 80,000 tonne for the month. The cost of production, excluding royalty, fell below $1,000 per tonne levels in Q4FY20.

Alongside, the steel business of Electrosteel Steels, which was acquired in 2018, has recorded an improvement in operational performance with Ebitda margins of over $100 per tonne in Q4FY20.

Electrosteel is set to achieve the best-ever production of 1.4 million tonnes in FY20, said the company.

Meanwhile, Cairn Oil & Gas has successfully ramped up its facilities to full production ahead of time.

Vedanta Limited, a subsidiary of Vedanta Resources Limited, is a diversified natural resource company with business operations in India, South Africa, Namibia, and Australia.