Paving way. Vedanta Group invites EOI for Sterlite Copper plant restart activities

T E Raja Simhan Updated - June 12, 2023 at 10:03 PM.

Contractors should have the potential to employ up to 4,000 individuals in and around Thoothukudi for deployment at the Sterlite Copper plant

The Sterlite Copper plant was shut down in 2018 following a prolonged protest by the locals, who had alleged that the plant was causing pollution and posing a health hazard. | Photo Credit: STRINGER

Vedanta Group has invited Expression of Interest (EOI) from companies to carry out plant restart activity at the Sterlite Copper plant in the port town of Thoothukudi. The copper smelting plant was shut down in 2018 following a prolonged protest by the locals, who had alleged that the plant was causing pollution and posing a health hazard.

The EOI mentions the scope of the work involves safety assessment/audit of structures and buildings and repair with the rectification of structures and buildings. Local vendors from Thoothukudi and other parts of Tamil Nadu will be given preference.

Also read: Hindustan Zinc’s bid to acquire Vedanta’s overseas mines falls through

The contractors should have the potential to employ up to 4,000 individuals in and around Thoothukudi for deployment at the plant in various categories, including skilled and unskilled, at the plant. To equip these individuals for care and maintenance, overhauling, restart activities and plant operations, the contractors will be required to ensure skilling/upskilling of these individuals, as per the EOI.

The plant was set up in 1996 with a capacity of 4 lakh tonnes per annum. The plant facility included a rod plant, 160 MW captive power plant, oxygen plant, sulphuric acid plant, and phosphoric acid plant.

Also read: Will Vedanta prove that it will not be the next Adani?

The EOI reports that the plant has been creating 40 per cent of India’s demand for refined copper. In addition, it was the single largest producer of sulphuric acid in South India. The plant provided direct employment to about 4,000 people and 25,000 indirect jobs and working with 400 downstream MSMEs.

The plant contributed to the exchequer to the tune of over ₹13,000 crore in the previous five years up to FY18, according to the EOI.

Vedanta in statement said it had initiated the upkeep and maintenance activities at the plant as allowed by the Supreme Court on May 4, 2023, in coordination with the district authorities. The final hearing of the matter is scheduled in August 2023.

“We also recognise that the Sterlite Copper plant following its closure for over 5 years requires significant restoration efforts. As an industry leader with global technology and standards, the procurement and deployment of materials and resources necessary for the restoration and restart of the plant can be a time-consuming process, spanning several months. In the context, while we await the final judgment, the EoI is floated to ensure the best partners are identified as part of our preparatory measures for resource planning.

Published on June 12, 2023 07:40

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