India Inaugurates 84,000 m³ RCC Water Reservoir to Power Burnpur’s Historic IISCO Steel Plant Expansion

Union Minister for Steel and Heavy Industries H.D. Kumaraswamy inaugurated a new 84,000 m³ RCC Water Reservoir at the IISCO Steel Plant in Burnpur, West Bengal, marking a major step in strengthening India’s oldest integrated steel facility under SAIL.

For an uninitiated, Water reservoirs are critical in steel plants because steelmaking processes require massive volumes of water for cooling, cleaning, dust suppression, and sustaining closed‑loop circulation systems. Blast furnaces, coke ovens, and rolling mills generate extreme heat. Large volumes of water are needed to cool equipment and maintain safe operations.

At IISCO Burnpur, the newly inaugurated 84,000 m³ RCC reservoir ensures water security for expansion projects, supports coke oven batteries, and strengthens sustainability by conserving resources.

Key Highlights of the Inauguration

• Capacity: 84,000 cubic metres reinforced cement concrete (RCC) reservoir.
• Purpose: Meets water requirements of COB‑10 (Coke Oven Battery) and supports the upcoming 4.08 MTPA expansion project.
• Integrated System: Includes a Booster Pump House, a dedicated Pump House for COB‑10, and a Process Water Pump House under construction.
• Closed‑Loop Circulation: Designed to maximize water conservation, minimize losses, and improve operational efficiency.

Sustainability & Industrial Impact

The reservoir is part of IISCO’s modernization drive, aligning with India’s push for sustainable steel production.

• Supports resource efficiency by establishing a closed‑loop water system.
• Enhances environmental responsibility while boosting operational performance.
• Complements flagship projects like COB‑12 (Stamp Charge Coke Oven Battery) with advanced environmental protection systems.

Performance & Expansion

• Hot Metal Production: IISCO achieved 2.9 million tonnes in FY 2025‑26.
• Capital Expenditure: Rose to ₹1,860 crore in FY 2025‑26, up from ₹689 crore the previous year.
• Expansion Projects: Focused on capacity augmentation, modernization of blast furnaces, and adoption of AI‑enabled safety systems.

Minister’s Remarks

India’s journey towards becoming a global steel powerhouse depends not only on expanding capacity but also on building modern, sustainable and technologically advanced steel plants. Every strategic investment we make today strengthens the foundation of a self‑reliant India.
— H.D. Kumaraswamy, Union Minister for Steel and Heavy Industries

Resource efficiency and environmental responsibility must go hand in hand with industrial growth. Projects like these demonstrate how modern infrastructure can simultaneously improve operational performance and conserve precious natural resources.
— H.D. Kumaraswamy

Centre–State Cooperation

The Minister also met West Bengal’s Urban Development Minister Agnimitra Paul, discussing stronger Centre–State coordination to accelerate industrial development, attract investments, and generate employment.

Conclusion

The inauguration of the 84,000 m³ RCC Water Reservoir at IISCO Steel Plant is a landmark in India’s steel sector modernization. It strengthens water security, supports expansion, and reflects the Government’s dual focus on industrial growth and sustainability.

Tata Steel Deploys 300+ AI Agents with Google Cloud to Redefine Industrial Efficiency

Tata Steel, a global leader in industrial manufacturing, and Google Cloud today announced a major expansion of their strategic partnership to architect the future of steel and advance Tata Steel’s unified, enterprise-wide agentic AI strategy. Using Google Cloud’s unified technology stack, Tata Steel is rapidly scaling autonomous capabilities across its vast global organisation, successfully deploying a fleet of over 300 specialised AI agents in just nine months to drive efficiency and precision across its global operations.

"Working with Google Cloud has allowed us to turn AI from a technical experiment into a specialised partner for every employee. This isn't just about new tools; it’s about a continuous engine of execution that enables our people to act on insights instantly. From predicting asset maintenance to reducing customer response times, we are using agentic AI to simplify the most complex parts of our business and drive execution at an entirely new scale," said Jayanta Banerjee, Chief Information Officer, Tata Steel.

Sashi Sreedharan, Managing Director, Google Cloud India, said: "While many industrial players are still navigating the complexities of digital transformation, Tata Steel has moved at unprecedented speed to deploy AI at a scale few in the industry have achieved. Their success demonstrates what is possible when an organisation anchors its strategy in a unified AI and data ecosystem. By creating a new blueprint for autonomous business processes at scale, Tata Steel has demonstrated that the synergy between a unified data cloud and generative AI is the key to turning industrial complexity into a distinct, data-driven competitive edge."

Turning data into a competitive edge

Specialised AI is only as powerful as the decades of operational data that fuels it - and Tata Steel’s early investment in a consolidated data architecture on Google Cloud enabled the Company to move beyond fragmented tools to create a single, enterprise-wide engine for execution. This transformation is driven by two key platforms that bridge the gap between complex data and real-world action:

The first is Zen AI which is empowering a new generation of developers in Tata Steel. This internal low-code platform enables employees who are not data scientists - such as software developers and frontline managers – to build, test, and deploy their own specialised AI agents. Built using Google Cloud’s Agent Development Kit (ADK) and integrated with BigQuery and Google Cloud Storage, Zen AI unifies decades of structured operational data with unstructured sources like video and documents within a secure, governed framework. This in turn has transformed Tata Steel’s global workforce into a distributed engine of innovation, where small, agile teams can now deploy enterprise-grade AI solutions with speed and precision that rivals the most nimble technology disruptors.

The second is the Tata Steel Digital Assistant (TDA) - a sophisticated internal portal that synthesises once-siloed information into a single interface, acting as a command center for decision making. With the ability to query data across three distinct domains - global public data, internal enterprise systems (such as operational APIs, SOPs, and financial records), and proprietary user data (including call recordings, complex spreadsheets, and PDFs) - TDA allows employees to navigate volatility with unprecedented precision. For example, by layering real-time global news and geopolitical sentiment over traditional commodity price data, the AI agents can provide predictive market intelligence, helping the Company stay ahead of supply chain shifts and market fluctuations. By turning data like call recordings and PDFs into actionable insights, Tata Steel is also transforming its vast organisational knowledge into a distinct, data-driven competitive advantage.

Driving organisational efficiency and transforming employee experience with AI

Tata Steel is also using agentic AI to eliminate administrative bottlenecks and reshape how the Company manages internal operations. For example, TDA assists the internal HR helpdesk in resolving more than 70% of routine employee tickets autonomously, saving hours of time for individuals across teams.

This efficiency further extends into core business functions through a dedicated fleet of business process agents. These agents work in harmony to streamline complex back-office workflows, including intelligent invoice processing, goods and services tax (GST) creditable/non-creditable classifications, and specialised contract analysis. By automating these repetitive, manual tasks, Tata Steel is easing the strain on teams across the organisation and allowing them to focus on high-value strategic initiatives.

Tata Steel’s agentic deployments are underpinned and supported by a scalable infrastructure built on Google Cloud Run. This enables the system to handle demand spikes instantly while scaling to zero when idle. With access to over 200 models on Google Cloud’s AI Agent Platform, Tata Steel ensures the optimal AI model is matched to every task, while also maintaining strict lifecycle management and governance.

AI-driven safety and operational excellence on the shop floor

Beyond administrative tasks, this agentic ecosystem is driving immediate impact across the manufacturing floor, where safety remains the highest priority. By integrating AI directly into industrial workflows, the Company has shifted from traditional monitoring to proactive, real-time intervention.

Central to this is Safety EyeQ, a specialised agent that analyses live video feeds in high-risk zones to ensure strict adherence to Standard Operating Procedures (SOPs). By identifying hazards – such as moving large equipment in proximity to hot material or any SOP deviation – the agent provides complete situational intelligence & triggers real-time alerts for immediate corrective action. This intelligence extends across the value chain through Asset Sphere agents, which evaluate equipment health to provide proactive maintenance plans, preventing unplanned downtime.

This multimodal approach leverages Google’s Large Language and Vision–Language Models such as Gemini and Palli Gemma. The same engine is also enhancing customer service, where specialised agents now automatically analyse complaint artifacts to detect complaint intent and defects from images and route issues to resolver groups, successfully reducing average turnaround time by 50%.

Shyam Metalics Expands CRM Facility, Targets Solar, Auto & Consumer Durables Segments

Shyam Metalics and Energy Limited, one of India’s leading integrated metal producers, today announced the successful commissioning of Phase II of its Cold Rolling Mill (CRM) facility for colour coated sheets at its Jamuria plant in West Bengal. The facility, operated by its wholly owned subsidiary, Shyam Sel and Power Limited (SSPL), has commenced commercial production effective 16th April 2026.

Phase II comprises an advanced processing Dual Pot GI cum Galvalume (GL) line with a capacity of 0.15 million tonnes per annum (MTPA), significantly enhancing the Company’s product range and technical capabilities. This expansion marks a critical step towards catering to more demanding and precision-driven applications across industries. With this incremental capacity, the total installed capacity of the CRM facility reached to 0.40 MTPA. This includes the existing Phase I capacity of 0.25 MTPA and the newly commissioned Phase II capacity, further strengthening the Company’s footprint in the value-added steel segment.

With this development, Shyam Metalics is now strategically positioned to cater the solar energy sector, particularly in the manufacturing of mounting structures for solar panels, an area that was previously heavily dependent on imports. By addressing this gap, the Company is actively contributing to India’s vision of self-reliance and domestic manufacturing excellence.

The Phase II expansion also aligns with the Government of India’s Production Linked Incentive (PLI) Scheme – PLI 2, reinforcing Shyam Metalics’ commitment to national initiatives aimed at boosting advanced manufacturing and reducing import dependency.

In addition to renewable energy applications, the enhanced facility will cater to a broader spectrum of high-growth sectors, including automotive and consumer durables/appliances, where demand for high-quality, precision-engineered steel continues to rise and has been primarily import-dependent.

This strategic expansion not only deepens Shyam Metalics’ presence in downstream value-added products but also strengthens its integrated manufacturing ecosystem. With improved product diversification and market reach, the Company is well-positioned to unlock new revenue streams while supporting India’s industrial and infrastructure growth trajectory.

The expanded facility, strategically located in the eastern region of India, offers significant logistical advantages, enabling Shyam Metalics to efficiently serve key demand centres while addressing the region’s supply gap in value-added flat steel products. This Phase II expansion further strengthens the Company’s downstream capabilities and reinforces its position as a leading player in the steel value chain.

Commenting on the expansion, Mr. Brij Bhushan Aggarwal, Chairman and Managing Director, of Shyam Metalics and Energy Ltd., stated, “The commissioning of Phase II of our Flat Products project is a strategic step towards strengthening our value-added product portfolio and improving overall realizations. With this expansion, we are further strengthening our ability to cater to high-growth, high-margin segments such as solar, automotive and consumer durables.

This phase is expected to drive a better product mix, support margin expansion, and contribute meaningfully to incremental EBITDA over the medium term. Our inclusion under the Government’s PLI Scheme further enhances the overall return profile of the project.

We remain focused on disciplined capital allocation, with a strong pipeline of value-accretive expansions under evaluation and expect optimal ramp-up within the next 10–12 months.”

About Shyam Metalics and Energy Limited

Shyam Metalics is a leading and fastest-growing integrated metal-producing company based in India primarily in the steel Industry in West Bengal, Odisha, Jharkhand and Madhya Pradesh with a focus on Long Steel Products, Ferro Alloys, Aluminium and Stainless Steel. The company got listed itself on the exchanges in 2021 and as on date of this press release possesses a market capitalization of more than ₹ 24,500 Cr. Spearheaded by Mr. B. Bhushan Agarwal, Chairman and Managing Director, the company strives to deliver unparalleled quality through their customised value-added solutions to meet business requirements. Headquartered in Kolkata, West Bengal, the company is amongst the largest producers of ferro alloys in terms of installed capacity in India (Source: CRISIL Report).

The company has the ability to sell intermediate and final products across the steel value chain. Shyam Metalics is one of the leading players in terms of pellet capacity and the largest coal fired player in the sponge iron industry in terms of sponge iron capacity in India. As on date, the aggregate installed metal capacity of its manufacturing plants is 16.78 MTPA (comprising intermediate and final products) and having 467 MW aggregated installed capacity captive power plants.

Tata Steel & constructsteel Launches Climate-Resilient Zero Energy Building Using Advanced Steel Technology

ZEB Odisha

• 1,836 sq. ft. next-generation facility, completed in 3.5 months
• Showcases India's pathway to sustainable, climate-resilient construction

Tata Steel, in partnership with constructsteel, the steel construction market-development programme of the World Steel Association, inaugurated a pioneering steel-based Zero Energy Building (ZEB) constructed using advanced Light-Gauge Steel Frame (LGSF) technology.

T V Narendran, CEO & Managing Director of Tata Steel, inaugurated the 1,836 sq. ft. facility in the presence of Dr Edwin Basson, Director General of the World Steel Association (worldsteel). Built in just 3.5 months, the facility represents a significant step in India’s move towards net-zero, energy-efficient, and climate-resilient infrastructure.

The steel-based zero energy building reflects the future of construction,” commented T V Narendran. Our partnership with constructsteel showcases how modern, energy-efficient, and low-carbon solutions can be replicated at scale across India and integrated into mainstream infrastructure.

ZEB Inauguration

The LGSF technology, where precisely manufactured steel sections are assembled like a frame, allows the building to achieve a tight envelope with minimal air leakage, better insulation, and reduced energy loss. Steel makes the structure lighter, faster to build, and highly durable, while its recyclability ensures lower long-term environmental impact.

Designed to produce as much energy as it consumes, the steel-based ZEB combines ultra-low operational energy demand with on-site renewable energy generation, achieving annual net-zero energy use. The building uses high-performance glazing, well-insulated walls & roof panels, and natural ventilation wherever possible. To generate clean power on-site, it uses rooftop solar panels and Building-Integrated Photovoltaics (BIPV). The building also includes rainwater harvesting and low-flow fixtures to optimise water consumption.

JSW Steel, POSCO Forge Pact to Explore $6B Steel Plant in India

JSW Steel and South Korea’s POSCO Group have signed a non-binding Heads of Agreement (HoA) to explore setting up a 6 million tonnes per annum (MTPA) integrated steel plant in India.

Key Highlights of the Partnership

• Joint Venture Structure: Proposed as a 50:50 partnership between JSW Steel and POSCO.
• Location Under Consideration: Odisha is a prime candidate due to its rich natural resources and logistical advantages.
• Strategic Intent: The venture aligns with India’s Atmanirbhar Bharat vision and aims to create a globally competitive manufacturing hub for both domestic and export markets.
• Next Steps: A detailed feasibility study will be conducted to finalize the plant’s location, investment terms, and resource availability.

Why This Matters

• JSW Steel: India’s leading integrated steel producer with a capacity of 35.7 MTPA.
• POSCO Group: A global steelmaking leader from South Korea, known for its technological prowess.
• Industrial Impact: The collaboration is expected to boost India’s steel production capacity and support industrial growth, especially as global steel demand shifts toward emerging markets like India.

India is witnessing a surge in large-scale steel plant developments, with several mega projects slated for completion by 2026. These initiatives reflect the country’s strategic push toward self-reliance in steel production, infrastructure expansion, and industrial growth.

JSW Steel is spearheading a massive greenfield project in Paradip, Odisha, with an estimated investment of ₹65,000 crore. The plant will have a capacity of 13.2 million tonnes per annum (MTPA) and is designed as an integrated facility, including power generation, cement production, and port connectivity. This project is expected to significantly boost JSW’s footprint in eastern India and support downstream industries.

JSW Steel is also expanding its Dolvi plant in Maharashtra from 10.0 MTPA to 14.5 MTPA. The addition of a new blast furnace will contribute 4.5 MTPA, with commissioning expected by March 2026. This expansion complements JSW’s broader strategy to meet rising domestic demand and strengthen its coastal manufacturing base.

Besides, ArcelorMittal Nippon Steel (AM/NS India) is also expanding its Hazira plant in Gujarat from 9.0 MTPA to 15.0 MTPA. With an investment of ₹60,000 crore, the expansion includes the addition of two new blast furnaces and other critical infrastructure. The full commissioning is targeted for 2026, positioning AM/NS as one of the largest private steel producers in the country.

Jindal Steel & Power is ramping up its Angul facility in Odisha from 9.6 MTPA to 15.9 MTPA, backed by a ₹31,000 crore investment. This expansion is part of the company’s broader strategy to consolidate its presence in eastern India and enhance its export capabilities. Most of the new capacity is expected to be operational by March 2026.

In Maharashtra, Surjagad Ispat is developing a new steel plant in Gadchiroli district, a tribal region with significant mineral resources. The ₹10,000 crore project has cleared its environmental public hearing and aims to bring industrial development to a relatively underserved area. While specific capacity details are yet to be disclosed, the project is seen as a catalyst for regional growth.

Breakthrough at Kalinganagar: Tata Steel Rolls Out First Galvanised Coils from State-of-the-Art CGL-1

Tata Steel Kalinganagar has successfully rolled out its first batch of galvanised coils from the plant’s new state-of-the-art Continuous Galvanising Line (CGL-1) at the Cold Rolling Mill complex.

The batch was flagged off by Karamveer Singh, General Manager (Operations), Tata Steel Kalinganagar, in the presence of Rabindra Kumar Jamuda, President, Tata Steel Kalinganagar Worker’s Union, along with other senior officials.

Tata Steel Dispatches the First Batch of Galvanised Coils from its New Continuous Galvanising Line in Kalinganagar, Odisha

This milestone marks a significant step in Tata Steel’s capabilities, particularly for the automotive and appliances sector. The advanced Continuous Galvanising Line technology incorporates a third-generation air-knife with magnetic stabiliser, an oxidation chamber, and best-in-class secondary coatings. These features enable the production of high-quality automotive steel, including coated Advanced High Strength Steels (AHSS), ensuring exceptional consistency and reliability.

Prabhat Kumar, Vice President - Marketing & Sales (Flat Products), Tata Steel, said: “The new Continuous Galvanising Line (CGL-1) at Kalinganagar has been engineered to produce advanced coated products with superior surface finish, formability, and corrosion resistance - specifically outlined to meet the stringent quality requirements of the automotive and appliance sectors. This state-of-the-art line has been designed with a forward-looking approach, tailored specifically to meet the evolving needs of our discerning customers. With advanced technology and sustainable practices at its core, the facility reinforces Tata Steel’s position as a trusted partner for the future of mobility.”

Last year, Tata Steel had successfully commissioned India’s largest blast furnace at Kalinganagar, Odisha. With a total investment of Rs 27,000 crore, the Phase II expansion at Kalinganagar has augmented the total capacity at the site from 3 million tonnes per annum (MTPA) to 8 MTPA. The CGL-1, part of the Cold Rolling Mill, is an integral part of the Phase II expansion alongside other facilities including Pellet Plant and Coke Plant – each incorporating advanced technologies and sustainable practices.

Being one of India’s most modern and advanced integrated steel plants, Tata Steel Kalinganagar produces world-class steel for critical sectors such as defence, automotive, infrastructure, engineering, capital goods, oil & gas, renewable energy, and shipbuilding.

Tata Group Chairman N. Chandrasekaran marks groundbreaking of new Electric Arc Furnace at Port Talbot

Tata Steel UK today celebrates a historic milestone in its green transformation journey as Mr Natarajan Chandrasekaran, Chairman of Tata Steel and the Tata Group, joins government ministers at a groundbreaking event for the company’s state-of-the-art Electric Arc Furnace (EAF) facility in Port Talbot.

Mr Chandrasekaran will be joined by Tata Steel CEO and Managing Director T. V. Narendran and Tata Steel UK CEO Rajesh Nair, where they will officially break the ground with spades, marking the official start of construction for the UK’s largest low-carbon steelmaking facility. This is part of a £1.25 billion transformation to low CO2 steelmaking, supported by a £500 million investment from the UK Government.

The new EAF—set to be commissioned at the end of 2027—is expected to reduce Port Talbot’s carbon emissions by approximately 90%, equivalent to 5 million tonnes of CO₂ per year, while securing high-quality sustainable steel production and supporting 5,000 UK jobs directly.

Speaking ahead of the ceremony, Mr Chandrasekaran said: “This is an important day for Tata Group, Tata Steel and for the UK. Today’s groundbreaking marks not just the beginning of a new Electric Arc Furnace, but a new era for sustainable manufacturing in Britain. At Port Talbot, we are building the foundations of a cleaner, greener future, supporting jobs, driving innovation, and demonstrating our commitment to responsible industry leadership. This project is also part of Tata Group’s wider investment in the UK, across steel, automotive, and technology among others, which reflects our deep and enduring partnership with this country.”

Business Secretary Jonathan Reynolds said:, “This is our Industrial Strategy in action and is great news for Welsh steelmaking backing this crucial Welsh industry, which will give certainty to local communities and thousands of local jobs for years to come.

“This government is committed to a bright future for our steel industry, which is why we provided £500 million of funding to make this project possible. Our modern Industrial Strategy will set out how we’ll back the sector even further to drive growth and create well-paid jobs across the country, as part of our Plan for Change.”

Secretary of State for Wales Jo Stevens said, “The UK Government acted decisively to ensure that steelmaking in Port Talbot will continue for generations to come, backing Tata Steel with £500 million to secure its future in the town, along with £80 million to support workers and the wider community. Our Steel Strategy will also deliver £2.5 billion of investment to rebuild the UK industry, maintain jobs and drive growth.

“The construction of Tata’s new furnace realises the promise we made to the community, while the development of floating offshore wind, plans for a Celtic Freeport and millions more for local regeneration all mean that Port Talbot has a bright future.”

First Minister Eluned Morgan said, “This is a momentous day for heavy industry in Wales, as the electric arc furnace has secured the long-term future of steel making at Port Talbot. Seeing spades in the ground today provides a tangible sign of Tata’s intention to continue producing steel in the area, an industry which has provided quality jobs to local people for generations.

“The start of the construction phase is good news for Port Talbot and neighbouring communities, and I’m especially pleased that Tata has committed to employing local contractors and local workers where it can.”

The Port Talbot EAF will be one of the largest in the world, melting UK-sourced scrap steel to produce 3 million tonnes of steel per year. As part of Tata Steel UK’s broader decarbonisation strategy, the project also includes new ladle metallurgy facilities, infrastructure upgrades, and partnerships with leading technology providers such as Tenova, ABB, and Clecim.

Construction is being led by main contractor Sir Robert McAlpine, alongside a strong regional supply chain that includes Darlow Lloyd & Sons, Mii, Skelton Thomas, Wernick Buildings, Andrew Scott Ltd and Systems Group.

The groundbreaking reaffirms Tata Steel’s commitment to delivering long-term sustainability, strengthening UK industrial resilience, and ensuring Wales remains at the forefront of green steelmaking.

• The groundbreaking event is to be live-streamed on Tata Steel UK’s YouTube channel from around 14:15 BST (18:45 IST) on Monday, July 14
• The joint £1.25 billion investment by Tata Steel and the UK Government in green steelmaking at Port Talbot is the biggest in a generation and will not only secure 5000 jobs across Tata Steel UK, but will also reduce the site’s CO2 emissions by 50 million tonnes over the next ten years.

Tata Steel, Welspun Corp Become 1st Indian Co.s to Produce ERW Pipes for Pure Hydrogen Gas Transportation

Tata Steel and Welspun Corp have achieved a significant milestone by developing Hydrogen-compliant API X65 grade pipes. These pipes successfully surpassed critical sour service and fracture qualification tests for transporting 100% pure gaseous hydrogen under high pressure (100 bar) at RINA, Italy.

Tata Steel becomes the first Indian steel mill to produce hot-rolled steel for hydrogen transportation, while Welspun Corp is the first Indian pipe mill to produce Electric Resistance Welded (ERW) pipes for this purpose. This achievement aligns with India's green hydrogen policy and encourages the transition to a greener, more sustainable future.

ERW pipes are made by forming a flat strip of steel into a cylindrical shape and welding the edges together using electric resistance. The process involves passing an electric current through the edges, which generates heat and fuses them. This results in a seamless joint.

It was in 2022 when Tata Steel and Welspun Corp entered into a Memorandum of Understanding (MOU) to develop hydrogen-compliant API grade pipes through the ERW Pipe route. Tata Steel supplied hot-rolled coils for the project from its Kalinganagar plant in Odisha, while Welspun Corp manufactured ERW pipes. This strategic partnership aims to promote the usage of green hydrogen and contribute to a net-zero economy by 2070.

Last year in June, Tata Steel partnered with SMS group to implement the pioneering Paul Wurth Coke Oven Gas (COG) Injection Technology at their Blast Furnace in Meramandali, Odisha.

Last year Tata Steel initiated a trial, the first-of-its-kind globally, at its Jamshedpur Works, injecting a record-high quantity of hydrogen gas directly into one of its Blast Furnaces. Other initiatives include trials of continuous Coal Bed Methane (CBM) injection, operation of a 5-tonnes-per-day (TPD) industrial plant for carbon capture and utilisation since September 2021, increasing scrap charge in our blast furnaces and efforts to reduce freshwater consumption, develop sustainable supply chains and embrace circular economy principles.

Vedanta To Demerge Its Business Units Into Independent 'Pure Play' Companies

• Vedanta announces demerger of diversified businesses unlocking significant value
• To create world-class sector leading companies driving next phase of growth
• Capitalizes on India and the world’s growing demand for commodities, energy and technology

Vedanta Limited, India’s largest diversified natural resources company with a significant global footprint announces its plan to demerge its business units into independent “pure play” companies to unlock value and attract big ticket investment into the expansion and growth of each of the businesses. Vedanta is committed to best-in-class ESG practices and has a strong focus on metals critical for transition to green economy.

The announcement comes at a time when India is forecast to be the fastest growing major economy for the next several years. Indianweb2 reported about Vedanta Ltd considering to separately list all or some of its businesses, in late last month. More than ninety percent of Vedanta Ltd’s profits are derived in India. Demand for commodities is expected to rise exponentially as the country continues to build a world class infrastructure and strives to achieve aggressive targets for the energy transition which is highly mineral intensive. The Government of India’s emphasis on self-reliance will provide avenues for rapid growth for Indian companies in the commodities space.

Vedanta has a unique portfolio of assets among Indian and global companies with metals and minerals - zinc, silver, lead, aluminium, chromium, copper, nickel; oil and gas; a traditional ferrous vertical including iron ore and steel; and power, including coal and renewable energy; and is now foraying into manufacturing of semiconductors and display glass. Once demerged, each independent entity will have greater freedom to grow to its potential and true value via an independent management, capital allocation and niche strategies for growth. It will also give global and Indian investors potential to invest in their preferred vertical, broadening the investor base for Vedanta assets.

In pursuit of this goal, the Vedanta Limited Board approved a pure-play, asset-owner business model that will ultimately result in six separate listed companies, namely:

• Vedanta Aluminium
• Vedanta Oil & Gas
• Vedanta Power
• Vedanta Steel and Ferrous Materials
• Vedanta Base Metals
• Vedanta Limited

The de-merger is planned to be a simple vertical split, for every 1 share of Vedanta Limited, the shareholders will additionally receive 1 share of each of the 5 newly listed companies.

In addition to this, we note today’s announcement from Hindustan Zinc Limited (HZL, a subsidiary of Vedanta Limited), whereby their Board announced a comprehensive review of its corporate structure for unlocking potential value and intention to create separate legal entities for undertaking the Zinc & Lead, Silver and Recycling business of HZL.

The announcement is also available on the exchange website at www.bseindia.com and www.nseindia.com and HZL website at www.hzlindia.com.

Rationale for Demerger:

Simplifies Vedanta’s corporate structure with sector focussed independent businesses.

Provides opportunities to global investors, including sovereign wealth funds, retail investors and strategic investors, with direct investment opportunities in dedicated pure-play companies linked to India’s remarkable growth story through Vedanta’s world class assets.

With listed equity and self-driven management teams, these demergers provide a platform for individual units to pursue strategic agendas more freely and better align with customers, investment cycles and end markets.

Enables to better highlight, and for the market to more easily value, the remarkable technological advances, environmental stewardship and robust growth stories within Vedanta’s family of companies.

Anil Agarwal, Chairman of Vedanta, stated:

“This is an exciting announcement for Vedanta, and India. Our country is on an unprecedented growth trajectory which will make us the third largest economy in the world before the end of this decade. The demand for minerals, metals, oil and gas and power is going to grow very rapidly and Vedanta’s businesses are uniquely positioned to service this rising demand and reduce reliance on imports. Vedanta is also foraying into semiconductors and display glass which are of great strategic significance to India.

By demerging our business units, we believe that will unlock value and potential for faster growth in each vertical. While they all come under the larger umbrella of natural resources, each has its own market, demand and supply trends, and potential to deploy technology to raise productivity.

In line with Vedanta’s ethos, each company will continue to retain a strong commitment to the well-being of our workforce, our communities and our planet. Even as we move to new ways of running our businesses, we will remain steadfast to transform for good.”

Vedanta values remain embedded in the new entities

Vedanta Limited ranks 6th among 216 global metal and mining companies in the S&P Global Corporate Sustainability Assessment 2022. The Company aims to ensure that Vedanta DNA and focus on ESG transformation remain embedded post the unbundling exercise. These include:

The new companies will remain committed to achieving net-zero carbon emissions by 2050 and net water positivity by 2030 with the aims to spend $5 billion over the next 10 years to accelerate this transition. In the process of transitioning to net zero we already secured 1.8 GW of Renewable Energy through power delivery agreement across our group companies.

Vedanta’s digital-first approach and keen focus on advanced technologies has resulted in improved processes, strengthened cybersecurity, and easy access to information for effective decision making. Each of Vedanta's businesses has embarked on its own transformational journey towards digitalisation and innovation and these will continue.

Further information on the proposed new Entities:

Vedanta Aluminium

The Company’s Jharsuguda facility is the largest single-location aluminium smelting facility outside of China, and recently saw its capacity ramp up to 1.8 MTPA. It is accompanied by Bharat Aluminium Company Ltd. (BALCO, a 51% owned subsidiary of Vedanta Limited, taking total Group capacity to 2.4 MTPA).

In the most recent financial year ending – 31st March 2023, Vedanta Aluminium achieved its highest ever aluminium production of 2,291 kt, maintaining its place as the country’s largest supplier with c.41% market share in India among primary aluminium producers.

Vedanta Aluminium is on a path to grow production to 3 MTPA, whilst simultaneously improving its cost position to 1st quartile globally through full backward integration. Importantly, the business is growing production of green aluminium under the Restora and Restora Ultra brands and ranked 2nd in the Dow Jones sustainability index in 2022.

Vedanta Aluminium will be run by John Slaven, formerly of Alcoa and BHP.

Vedanta Oil & Gas

Vedanta’s Oil & Gas is the largest private oil, gas and sweet crude exploration and production company in India, accounting for more than a quarter of India’s domestic crude oil production. It is ideally suited to capitalise from India’s growing demand (c.50% growth anticipated by 2030). More broadly, the vision is to eventually contribute 50% to India’s total Oil and Gas production through diversifying its reserve and resources portfolio. The company’s footprint covers a total acreage of 65,000 square kilometres, with gross 2P and 2C resources in excess of 1.1 bn boe.

During FY 2023, the Company reported average gross operated production of 143 kboepd.

Vedanta Oil & Gas will be run by Steve Moore.

Vedanta Power

Vedanta Power will house the Independent Power Plants at Vedanta. Anchored by Talwandi Sabo Power Limited (TSPL, a wholly-owned subsidiary of Vedanta Limited), a 1980 MW plant based in Punjab, India, the business will also include the 600 MW Jharsugada power plant, the recently acquired 1200 MW Athena plant and the 1000 MW Meenakshi plant which is in the process of being acquired. Total capacity will therefore near 5GW post completion.

Vedanta Power is one of the largest private independent power players in India and backed by one of the world’s fastest growing power markets and a favourable political climate. 

Vedanta Power will be run by Vibhav Agarwal, currently CEO of TSPL.

Vedanta Steel and Ferrous Materials

Vedanta’s Iron Ore Business includes Iron Ore Goa, Iron Ore Karnataka, Liberia as well as VAB (Value Added Business). The company has aspirations to more than double annual iron ore production, from assets in India and Liberia to 13Mt by 2025.

This vertical will also include, ESL Steel Limited (ESL, a 95.49% owned subsidiary of Vedanta Limited), an Integrated Steel Producer, was incorporated in 2006 as a Public Limited Company with operations in Bokaro, Jharkhand, India. The company has set up a green field integrated manufacturing facility, which is currently commissioned at a capacity of 1.5 MT per annum, albeit with expansion to 3 MT per annum of hot metal capacity in progress (by mid 2024).

Vedanta Steel and Ferrous Materials will be run by Navin Jaju, currently CEO of Iron Ore.

Vedanta Base Metals

The proposed Vedanta Base Metals unit will contain a mix of strong international base metal production assets, growth projects and downstream businesses that feed directly into the supply chain for metals critical to global energy transition.

The Zinc International assets continued to ramp up production at Gamsberg mine in South Africa and achieved record production of 208kt in 2023. Black Mountain, also in South Africa, delivered significant production growth in FY23, generating 65kt on higher lead head grades and recoveries. Significant production growth is anticipated as Gamsberg Phase 2 ramps.

Vedanta’s copper business is capable of producing more than a third of India’s copper, Vedanta Copper’s assets in India consist of custom smelter, a refinery, a phosphoric acid plant, a sulphuric acid plant and a copper rod plant. The Company forecasts a resumption of production in 2024.

Vedanta Base Metals will be run by Chris Griffith, former CEO of Gold Fields and previously at Anglo American. 

Vedanta Limited 

Vedanta Limited will remain as an exciting incubator for new businesses including Vedanta’s technology verticals buttressed by the strong financial earnings of the Tier-one Hindustan Zinc assets.

The company will provide investors with the opportunity to invest in some of the world’s leading zinc production assets with a clear capital allocation policy, while benefiting from these nascent technology companies until they too are ready to be released as independent, globally significant businesses. These include Vedanta’s interests in Semiconductors and Display (offering exposure to India’s fast-growing $140bn electronics market) and Stainless Steel (Ferrochrome and Nickel). For Display manufacturing, Vedanta has finalized a technology partnership with Taiwanese firm Innolux and is also close to finalize partnership for Semiconductor manufacturing.

Hindustan Zinc Limited (HZL), a subsidiary of Vedanta Limited) is the world’s 2nd largest integrated zinc producer with a 1st quartile cost position and R&R of 460MT and mine life of 25+ years. It is also the 5th largest silver producer globally.

In HZL’s journey to achieving 1.25 mtpa MIC expansion, the final project of RD Beneficiation plant revamp is under execution at RD Mines and is on track. For further phase of expansion of Mines and Smelters, studies are under progress and results are expected in FY24.

There is a steadily growing demand for Zinc & Lead in industrial usage; Silver is a metal of the future with extensive use in emerging technologies like solar panels and electric vehicles. Recycling of metals is key to meet the future demand. In a world committed to combating climate change, the demand for recycled 'green' metal will grow exponentially.

Vedanta Limited will be run by Arun Misra, currently CEO of HZL.

Soon A Steel Factory by Saurav Ganguly

Former Indian cricket team skipper Sourav Ganguly has announced plans to turn into industrialist as he is starting a steel factory in Salboni, West Bengal. The steel factory would be completed in five to six months, reported several media outlets via news agency PTI.

Ganguly was part of a delegation accompanying West Bengal Chief Minister Mamata Banerjee on her trip to Spain and Dubai.

Ganguly said that he started a small steel plant in 2007, and in five to six months will start building our new steel plant in Medinipore.

The former Indian cricket team captain informed that in another year's time, he would be able to complete the state-of-the-art facility.

"We have just started building our third steel plant in the state of west bengal… A lot of us believe that I only played the sport, but we started a small steel plant in 2007…" said Ganguly while addressing the 'Bengal Global Business Summit (BGBS)' in Madrid.

Saurav Ganguly had invested in few Indian startups as well including Flickstree, ClassPlus and most recently acquired a minority stake in food delivery platform JustMyRoots.

According to Registrar of Companies, Saurav Ganguly also owns few private limited companies such as Sourav Ganguly Enterprises Pvt Ltd, Nilachal Barter Pvt Ltd and Balaji Realspace Pvt Ltd. 

In A World's 1st, Tata Steel Initiates Trial for Record-High Hydrogen Gas Injection in Blast Furnace at Its Jamshedpur Works

This is world’s first instance when such a large quantity of hydrogen gas is being continuously injected in a blast furnace

The trial marks a major milestone in the steel industry's journey towards green and sustainable steelmaking

Tata Steel has commenced the trial injection of hydrogen gas using 40% of the injection systems in ‘E’ Blast Furnace at its Jamshedpur Works. This is the first time in the world that such a large quantity of hydrogen gas is being continuously injected in a blast furnace.

The trial started on April 23, 2023 and is expected to continue for 4-5 days on a continuous basis. It will provide valuable insights into operating blast furnaces with greener fuel injectants, reducing fossil fuel consumption and subsequent CO2 emissions from the blast furnace. The endeavour is aligned with the Company’s vision of becoming Net Zero by 2045.

The trial has the potential to reduce the coke rate by 10%, translating into around 7-10% reduction in CO2 emissions per ton of crude steel produced.

The successful completion of this trial will demonstrate Tata Steel's capability to design, fabricate and commission the injection system, develop and establish necessary general and process safety protocols, and provide process control insight for pure hydrogen injection into the blast furnace.

“The trial of hydrogen gas injection in a blast furnace at Jamshedpur Works is an important milestone in our journey towards net zero emissions. As we explore the potential of greener fuel injectants, we are excited to see the impact it can have on reducing fossil fuel consumption and CO2 emissions. We are confident that this trial will provide valuable insights into operating blast furnaces with hydrogen and help us identify the next steps towards achieving our goal of a leaner carbon future," said Uttam Singh, Vice President, Iron Making, Tata Steel.

For a long time, hydrogen has been earmarked as an alternative to fossil fuels as an important reductant of iron ore in blast furnace. Given the imperative to make industrial processes greener, hydrogen fuel utilisation is gaining a lot of traction and is being embraced on a scale like never before.

"Our efforts towards decarbonisation are driven by our commitment to creating a sustainable tomorrow. The trial, a testament to our capabilities in design, fabrication, and commissioning of injection systems, will accelerate our foray into green steelmaking. Tata Steel remains dedicated to leveraging innovation and technology in its pursuit of becoming the industry leader in sustainability," said Dr Debashish Bhattacharjee, Vice President (Technology and R&D), Tata Steel. 

In its pursuit of decarbonisation, Tata Steel has adopted a two-pronged approach of Carbon Direct Avoidance (CDA) and CO2 Capture and Use. The trial injection of hydrogen gas is part of the CDA approach, focussing on the blast furnace, one of the heaviest known industrial contributors to CO2 emissions worldwide.

Tata Steel is committed to contributing to India's journey towards industrial decarbonisation and has already taken several steps in this regard including conducting a trial of continuous Coal Bed Methane (CBM) injection in early 2022, installation and continuous operation since September 2021 of 5 tonnes per day (TPD) industrial plant for carbon capture and utilisation from blast furnace off-gas, reducing freshwater consumption, developing sustainable supply chains, and imbibing circular economy.

Disclaimer

Statements in this press release describing the Company’s performance may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those directly or indirectly expressed, inferred or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand/ supply and price conditions in the domestic and overseas markets in which the Company operates, changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements and/ or other incidental factors.