Adani Enterprises Ltd (AEL) and International Resources Holding (IRH), an IHC Group company, through 2PointZero, will form a 50:50 joint venture to develop an integrated greenfield aluminium project in Odisha.
The proposed investment of about ₹1.08 lakh crore is expected to be Odisha’s largest foreign direct investment (FDI) proposal and India’s largest FDI in the metallurgy sector.
Integrated project
The project will comprise a 4 million tonnes per annum (MTPA) alumina refinery, a 2 MTPA aluminium smelter, a 4,000-MW captive power plant and a 1 MMTPA downstream manufacturing park.
It will be developed in two phases, with investments of about ₹66,000 crore in Phase I and ₹44,000 crore in Phase II.
Strategic partnership
Earlier this year, IHC Group company ePointZero entered into a joint venture with Adani Green Energy to develop renewable energy projects across India.
The new venture with IRH reinforces its long-term commitment to the country’s industrial growth.
The Memorandum of Understanding (MoU) was signed in the presence of Odisha Chief Minister Mohan Charan Majhi, Industries Minister Sampad Chandra Swain and senior State government officials.
Management comments
Adani Ports and Special Economic Zone (APSEZ), Managing Director and Director Karan Adani said: “The proposed JV between Adani Group and IHC Group will further strengthen our robust partnership. Together with the Government of Odisha, we will build an integrated aluminium ecosystem that creates jobs, expands value-added manufacturing and strengthens India’s industrial competitiveness.”
IHC Chief Executive Officer Syed Basar Shueb said: “This partnership with Adani Enterprises reflects our shared ambition to develop a world-class integrated aluminium project that creates lasting economic value.”
Employment generation
Odisha Chief Minister Mohan Charan Majhi said the investment would help develop the complete aluminium value chain, from mining and refining to smelting and downstream manufacturing, while contributing to the State’s industrial growth.
The project is expected to create around 35,000 jobs during construction and support another 18,500 jobs across mining, alumina refining, aluminium production and downstream manufacturing,