State-owned Hindustan Copper Ltd (HCL) announced today that it is ramping up its copper ore production capacity to 12.2mn t/yr by the fiscal year ending March 2031.
The company plans to raise capacity over the next five years by expanding existing mines and reopening closed ones. HCL lifted ore production by 13pc on the year to 3.78mn t in the fiscal year ending March 2024 from 3.35mn t in the previous year. It expects output to reach 4.35mn t in the 2025-26 fiscal year, and will add about 2mn t/yr until it hits the 12.2mn t target.
HCL has already resumed production at its Rakha mine in the Jharkhand region. And it plans to expand production at its Kendadih mine, also located in Jharkhand, by 250,000t before December.
The company will invest about 20bn rupees ($234mn) over the next 5-6 years to meet its expansion target.
The expansion is part of HCL's strategy to boost domestic copper output and reduce reliance on imports. Investment in infrastructure, renewable energy, electric vehicles production, rural electrification and urban housing projects is expected to drive copper demand in India in the coming years, HCL said.
HCL — under the administrative control of India's ministry of mines — is the country's only fully integrated copper producer, involved in mining, ore processing, smelting and refining.
