SEATTLE (Scrap Monster): Hindalco Industries Ltd. announced major expansion of its aluminium business over the next five years. The company plans to spend approximately $7.2 billion. It expects aluminium prices to scale new heights, mainly driven by global supply shortages and strong demand.
The investment will be mainly in the Indian and North American businesses. It set aside $2.4 billion towards investment in its Indian aluminium operations over the next five-year period, as it expects consumption in the country to double during this period. The balance of $4.8 billion will be invested in the U.S., Brazil, Asia and Germany operations.
The company has been keeping its primary aluminium capacity in India steady over the past several years. Now, it plans to expand the operations, as it expects prices to touch unprecedented levels, mainly due to rising demand and tightened supplies. The Aditya Mahan smelter will be expanded by 50,000 tons by March 2024. Furthermore, it plans to add additional 180,000 tons a year at the smelter, apart from setting up a 1 million ton per year alumina refinery in Odisha.
Hindalco set aside around $286 million for its copper business and $459 million towards coal mine development.
YOU MAY ALSO BE INTERESTED IN: