Vedanta Adds $2.5B in Yearly EBITDA with ₹50,000 crore Investment

Vedanta Adds $2.5B in Yearly EBITDA with ₹50,000 crore Investment
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Vedanta, a prominent mining conglomerate, has announced plans to infuse $6 billion (₹50,000 crore) across various sectors including aluminium, zinc, iron ore, steel, and oil and gas. The aim is to boost annual EBITDA by at least $2.5 billion (₹20,750 crore), as per statements made by executives during an investor meeting.

They unveiled a pipeline of over 50 active projects and expansions geared towards driving growth. These initiatives are expected to generate incremental revenue exceeding $6 billion. Furthermore, they anticipate an increase in EBITDA from an estimated $5 billion in the current fiscal year ending March 31 to $6 billion in the subsequent fiscal year, potentially reaching up to $7.5 billion by FY27.

Anil Agarwal, Chairman of Vedanta, expressed confidence during the meeting about the company’s trajectory over the next 25 years. Naveen Agarwal, Vice Chairman and Anil’s brother, provided insights into the company’s strategic initiatives during the presentation.

“We have projects underway to achieve a yearly EBITDA of USD 7.5 billion,” he remarked, highlighting that USD 6 billion is being invested across business verticals, which could yield incremental revenues of USD 6 billion and “incremental yearly EBITDA potential of USD 2.5-3 billion”.

He further stated, “We are continuously exploring avenues to enhance value across all our sites. Presently, we are executing several high-impact projects across all our businesses. These endeavors will bolster our cost leadership and significantly augment our operational capacities. These initiatives will drive our EBITDA towards the targeted $7.5 billion annually.”

According to sources, several noteworthy projects slated for immediate commissioning include expanding the Lanjigarh Aluminium facility’s refinery from 2 million tonnes per annum to 5 million tonnes, increasing BALCO’s capacity to 1 million tonnes, launching the Athena and Meenakshi power plants to nearly double the commercial power portfolio to 5 GW, boosting the capacity at the Gamsberg Zinc facility to elevate Zinc International’s capacity to 500,000 tonnes from the current 273,000 tonnes, scaling up iron ore production from 5.3 million tonnes to 13 million tonnes, and achieving the status of India’s largest ferro-alloys producer with an annual capacity of 500,000 tonnes.


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