Comments
Vedanta Group companies Hindustan Zinc, Sesa Goa and Sterlite Industries have recorded a mixed trend in production during the second quarter this fiscal.
Hit by the iron ore mining ban in Karnataka, Sesa Goa reported its production had more than halved in the September quarter to 1.12 million tonnes (mt) against 2.88 mt in the same period last year. Sales dropped 15 per cent to 1.55 mt (1.82 mt).
On August 26, the Supreme Court banned iron ore mining and allowed sale of inventory by an appointed agency through e-auction. The company's iron ore sales in Karnataka were higher at 0.71 mt (0.45 mt) in the September quarter, while in Goa it was down 10 per cent at 0.83 mt (0.92 mt). Sales outpaced production due to the planned cut in inventories, Sesa Goa said in a press release on Friday.
HIND ZINC produces more
Refined zinc output was five per cent higher at Hindustan Zinc in the September quarter, at 185,000 tonnes (176,000 tonnes), on the back of improved operations at its hydro smelters.
Mined metal production was higher by two per cent at 210,000 tonnes, as normal production commenced at Rampura Agucha in Rajasthan after it was shut down for maintenance in Q1.
Refined lead production improved six per cent to 17,000 tonnes (16,000 tonnes) after the new 100,000 tonnes per annum Dariba lead smelter went on stream during the quarter. The company's annual lead production capacity stands revised at 185,000 tonnes.
Silver production rose 12 per cent to 49,000 tonnes (44,000 tonnes) mainly due to improved silver content in the mined ore, said the company. The output is expected to touch 500 tonnes by the end of this year with the commissioning of a silver refinery and production ramp-up to 2 mtpa at its Sindesar Khurd (SK) mine in Rajasthan.
COPPER OUTPUT UP 28%
Copper cathode production at Sterlite Industries' Tuticorin plant was 28 per cent higher at 87,000 tonnes, largely due to a drop in production the previous year during a bi-annual maintenance shutdown.
Mined metal production at the company's Australian subsidiary was down 29 per cent at 5,000 tonnes in Q2. The company expects to commission the first unit of a 160-MW captive power plant at Tuticorin in the March quarter this fiscal.
ALUMINIUM DOWN 8%
Balco's aluminium production was down 8 per cent at 60,000 tonnes in Q2. The cost of aluminium production has risen substantially due to higher coal prices, the company said. The first of four 300-MW captive units is expected to be synchronised in the third quarter of this fiscal.
Power sale IMPROVES
The company has sold 1,748 million units (463 million units) of power in Q2 mainly due to the new 2,400-MW power plant at Jharsuguda in Orissa. However, coal supplies to Jharsuguda were adversely affected due to heavy rainfall in the coal belt, affecting the rated capacity, the company said. The third unit of 600 MW at Jharsuguda is expected to be commissioned in the December quarter this fiscal.
Shares of Sterlite Industries jumped nine per cent to Rs 113, Sesa Goa up six per cent at Rs 204, and Hindustan Zinc rose four per cent to Rs 118 on Friday.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.