Hindustan Zinc Aims to Double Production Capacity by 2030 Amid Potential Demerger Discussions
Hindustan Zinc plans to double output by 2030, may revive demerger plan
The Economic Times
Image: The Economic Times
Hindustan Zinc, the largest producer of zinc and silver in India, plans to double its production capacity to 1.59 million tonnes by 2030. CEO Arun Misra indicated that discussions for a potential demerger may resume following the completion of Vedanta's demerger. The company reported record earnings, with a profit of ₹5,033 crore in the last quarter.
- 01Hindustan Zinc aims to double its production capacity by 2030.
- 02The company reported record profits of ₹5,033 crore in Q1 2023.
- 03A potential demerger is under consideration after Vedanta's demerger.
- 04The refined metal capacity will reach 1.59 million tonnes for zinc by 2030.
- 05Capital expenditure for growth projects is projected at $500-600 million.
Advertisement
In-Article Ad
Hindustan Zinc, a subsidiary of Vedanta, plans to significantly increase its production capacity by 2030, aiming for 1.59 million tonnes of refined zinc and 410,000 tonnes of lead. Currently, the company has a production capacity of 1.13 million tonnes, with 919,000 tonnes allocated for zinc. CEO Arun Misra announced that the company will add 250,000 tonnes of capacity by 2025, followed by an additional 650,000 tonnes for a smelter and mills. The company is also considering a potential demerger, which may be revisited after Vedanta's own demerger is finalized. In the last quarter, Hindustan Zinc reported a record profit of ₹5,033 crore, a 68% increase from the previous year, with revenues rising 49% to ₹13,544 crore. The surge in silver prices, contributing to 45% of overall profitability, has driven these record earnings. For fiscal 2026, the company achieved a profit of ₹13,832 crore on revenues of ₹40,844 crore, with an EBITDA of ₹22,162 crore.
Advertisement
In-Article Ad
The expansion plans may lead to increased job opportunities and economic growth in the mining sector, benefiting local communities and stakeholders.
Advertisement
In-Article Ad
Reader Poll
Do you support the potential demerger of Hindustan Zinc from Vedanta?
Connecting to poll...
More about Hindustan Zinc
Hindustan Zinc Reports 68% Surge in Q4 Profit, Declares Dividend
The Economic Times • Apr 24, 2026
Key Stocks to Monitor on April 24: Reliance, Infosys, and More
Business Standard • Apr 24, 2026
Naveen Jindal Defends Vedanta's Anil Agarwal Amid Chhattisgarh Boiler Blast Investigation
The Economic Times • Apr 18, 2026
Read the original article
Visit the source for the complete story.