Vedanta Group Invests ₹21,000 Crore on Capacity Expansion in FY26

Vedanta Group Invests ₹21,000 Crore in Capacity Expansion in FY26
Vedanta Group Invests ₹21,000 Crore in Capacity Expansion in FY26

Vedanta Group, a leading global producer of metals, oil and gas, critical minerals, power and technology, has invested more than ₹21,000 crore through FY26 in ongoing projects for metal production and capacity expansion across aluminium, zinc, value-added alloys, copper, steel, nickel and ferrochrome.

The investments are aimed at strengthening India’s metals ecosystem and supporting the country’s growing electric mobility and automotive industry. The group is expanding its capabilities across materials that are increasingly important for electric vehicles, batteries and related applications.

As part of its critical minerals strategy, Vedanta has secured 10 critical mineral blocks covering copper, nickel-chromium-PGE, tungsten, graphite, vanadium, rare earth elements and potash. Exploration has already commenced across five of these blocks.

India currently imports more than 80 per cent of its critical mineral requirements, while demand for critical minerals and rare earth elements is expected to increase four to ten times by 2047. The group is therefore focusing on strengthening domestic availability of resources required for emerging industrial and clean-energy applications.

Aluminium is one of the key areas of the group’s expansion. Vedanta Aluminium Metal Limited produced a record 24.5 lakh tonnes of aluminium in FY2025-26. The company is also expanding smelting and value-added capacity at its BALCO operations in Chhattisgarh and Jharsuguda operations in Odisha for automotive, electrical and advanced applications.

The company has developed low-carbon aluminium products, Restora and Restora Ultra, for automotive manufacturers seeking to reduce the carbon footprint associated with their material sourcing. It has also introduced Copper-Doped Alloy for high-performance automotive applications and Vedanta Foundry Alloy, developed in collaboration with IIT Delhi.

Nickel is another important part of Vedanta’s EV materials portfolio. The Vedanta Group investment strategy also focuses on strengthening India’s domestic battery-materials supply chain. The group is India’s sole primary nickel producer, supporting the domestic battery-materials supply chain.

Through Hindustan Zinc, Vedanta is also strengthening its presence in zinc and silver. Hindustan Zinc produced 851 kt of refined zinc and 627 tonnes of saleable silver during FY2025-26. Its portfolio includes specialised automotive zinc alloys as well as EcoZen, a low-carbon zinc offering.

Copper is gaining importance alongside the expansion of vehicle electrification, with EVs requiring significantly higher quantities of copper than conventional vehicles. Vedanta recorded its highest-ever copper cathode production of 170 kt in FY2025-26. The company is also investing in a Copper Rod Plant in Saudi Arabia to expand its downstream copper production capacity.

Beyond its metals businesses, Vedanta is working on next-generation battery technologies through partnerships with IIT Madras and JNCASR. These collaborations are focused on developing sustainable zinc-based battery solutions for the evolving electric mobility and energy storage ecosystem.

“As EV adoption accelerates, the strength of India’s journey will increasingly depend on its ability to secure reliable access to the metals and critical minerals that underpin vehicles, batteries and charging infrastructure. Building these capabilities domestically will be essential to creating supply chains capable of supporting India’s long-term mobility ambitions,” said Arun Misra, CEO, Vedanta Group.

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