Vedanta unit Hindustan Zinc to invest ₹12,000 crore for integrated zinc complex

Hindustan Zinc informed the exchanges on Tuesday, June 17, that the Board has approved initial plans to double the capacity of zinc, lead, and silver production.

As part of this 2x growth plan, the company has approved expanding its integrated refined metal capacity by 250 ktpa, along with corresponding increases in mines and mills capacity.

The project is targeted for completion within 36 months, with an estimated overall cost of approximately ₹12,000 crore.

This expansion aligns with strong growth in demand both in India and globally over the next five years. The Board has approved the establishment of a new 250 ktpa integrated smelter at Debari, alongside expansions in mines and mills across its operations, the company said.

"We are excited to announce this 2x growth project towards doubling our capacity across zinc, lead and silver, which is strategically aligned with the country's expanding economic landscape, increasing demand opportunities and keeping country self-reliant for Zinc. By closely matching the pace of national growth, we are confident that this will create significant value for our stakeholders and drive long-term success," said HZL's Chief Executive Officer Arun Misra.

Vedanta approved the first interim dividend of ₹10 per equity share i.e. 500% on face value of ₹2 per equity share for the financial year 2025-26.

Record date for the said dividend has been fixed as June 17, 2025.

As per the March quarter shareholding pattern, Hindustan Zinc's promoter Vedanta had a 63.42% stake in the company. Vedanta will get ₹2,679 crore as dividend from Hindustan Zinc on the back of its 63.42% stake.

Shares of Hindustan Zinc Ltd. are currently trading 5.10% on Tuesday at ₹486.80. The stock has risen 9% in the past one month.