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NALCO’s Rs 30,000-crore Anugol smelter expansion gathers momentum

Key approvals and strategic partnerships in place; project targets commissioning by 2030-31

By Sukant Mohanty

Anugola /Bhubaneswar, Nov. 4: National Aluminium Company Limited (NALCO), a Navratna Central Public Sector Enterprise under the Ministry of Mines, Government of India, is making steady progress on its proposed brownfield aluminium smelter expansion project at Anugol in Odisha, with key statutory approvals, strategic partnerships and preparatory initiatives in place.

The project, involving an investment of approximately Rs30,000 crore, aims to add 0.5 million tonnes per annum (MTPA) to NALCO’s existing smelting capacity of 0.46 MTPA, taking the total capacity to nearly 1 MTPA.

As part of the preparatory process, a meeting of the Rehabilitation and Peripheral Development Advisory Committee (RPDAC) was recently held to facilitate land acquisition and expedite compensation and rehabilitation-related matters.

In a significant technological development, NALCO has entered into an agreement with Emirates Global Aluminium (EGA) for licensing its proprietary smelting technology for the proposed plant. The collaboration will facilitate the adoption of globally proven and energy-efficient aluminium production processes.

Power availability is another critical component of the expansion. The proposed smelter will require an additional 1,100 MW of electricity. To meet this demand, NALCO has partnered with NLC India Limited to establish a 50:50 joint venture company for setting up a 1,080 MW captive thermal power plant comprising four units of 270 MW each. The company is also exploring the integration of 200-250 MW of renewable energy into the project.

The expansion project is targeted for commissioning during 2030-31 and is expected to significantly strengthen NALCO’s aluminium production capabilities.

Meanwhile, the ongoing 5th Stream Alumina Refinery Project at Damanjodi is expected to generate surplus alumina even after meeting the requirements of the expanded Anugul smelter.

NALCO is exploring opportunities to establish another 0.5 MTPA Greenfield aluminium smelter in the country to convert surplus alumina into finished aluminium. These expansion initiatives are expected to boost domestic production, generate employment, promote downstream industries and strengthen India’s self-reliance in aluminium manufacturing under the ‘Make in India’ and ‘Atmanirbhar Bharat’ initiatives.

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