BHUBANESWAR: Amid reports of National Aluminium Company Limited (NALCO) exploring the possibility of setting up an aluminium smelter in neighbouring Andhra Pradesh, the stateowned aluminium major on Friday said it was evaluating opportunities for additional greenfield projects beyond its existing facilities. NALCO chairman and managing director Brijendra Pratap Singh said the company was looking at expanding its footprint in alignment with national objectives of value addition, industrial self-reliance and manufacturing growth.
While the company is ramping up its existing smelting capacity through expansion projects, it is also preparing for higher alumina production, riding on the ongoing fifth stream refinery project at Damanjodi. With the operationalisation of the Pottangi bauxite mines within the next two to three months, NALCO’s bauxite production is expected to increase from around 7 million tonne to over 10 million tonne. The fifth stream of the alumina refinery will raise its production capacity from 2.1 million tonne to 3.1 million tonne, Singh said.
The increased output is expected to meet the requirements of the expanded smelter while generating surplus alumina for potential commercial sales. However, international alumina prices are currently sluggish, he added. Singh said the proposed 0.5 million tonne per annum (MTPA) brownfield smelter expansion at Angul, backed by a technology licensing arrangement with Emirates Global Aluminium (EGA), would more than double NALCO’s existing smelting capacity of 0.46 MTPA to around 1 MTPA. The project is targeted for commissioning by December 2030.
Land acquisition for the project is at an advanced stage, with 4,000 acres already acquired. The detailed project report (DPR) is likely to be approved by February 2027. A 1,080 MW captive thermal power plant is also being planned through a 50:50 joint venture with NLC India Ltd to ensure uninterrupted power supply to the smelter. On the possibility of supplying alumina to Vedanta Aluminium, the CMD said NALCO was open to selling the material if the company participated in its tender process and matched the quoted price.
On critical mineral security, Singh said NALCO had entered into a joint venture with Khanij Bidesh India Ltd (KABIL), which has secured five lithium exploration blocks in Argentina’s Catamarca province. Noninvasive exploration has indicated the presence of lithium, with drilling expected to begin shortly. Exploration is targeted for completion by the end of 2027.
