Operational Review
Our continued focus on operational excellence, enhanced asset reliability across sites, and greater efficiency in procurement enabled us to achieve our highest-ever annual cast metal production of 2.42 million tonnes, marking a 2% Y-o-Y increase. We also recorded a 9% Y-o-Y growth in calcined alumina production, reaching 1,975 kt for the year.
Calcined alumina production at Lanjigarh reached 1.98 million tonnes in FY 2024-25, reflecting a 9% Y-o-Y increase.
Our Jharsuguda smelter achieved its highest-ever cast metal production of 1.83 million tonnes, operating at 105% of design capacity, up 3% Y-o-Y. This milestone underscores our continued emphasis on operational excellence and efficiency.
BALCO also delivered record cast metal production of 592 kt in FY 2024-25, a 1% Y-o-Y increase, driven by improved operational efficiency.
We remain focussed on securing long-term coal supply for our thermal power plants at competitive prices.
LME aluminium prices saw notable volatility in FY 2024‑25. Prices rose from US$ 2,250 per tonne in March 2024 to US$ 2,700/tonne in May following sanctions on Russia, before falling to US$ 2,200/tonne in July. A cut in China’s export rebates in November pushed prices to US$ 2,600/tonne, stabilising around US$ 2,500/tonne by December. Fuelled by US tariff announcements and the EU's ban on Russian primary imports prices rose by 3.3% MoM in February. On 12 March, the US imposed a 25% tariff on all aluminium imports, causing the LME to spike to US$ 2,737/tonne. By 13 March, the price was US$ 2,518/tonne.
Global aluminium demand is expected to grow at a CAGR of ~3% from 2024 to 2030, driven by decarbonisation and the shift away from fossil fuels. Electric vehicle production is projected to reach 31.7 million tonnes by 2030, increasing aluminium usage. Demand will also rise from renewable energy sectors, particularly solar panel manufacturing and the replacement of copper with aluminium in power distribution.
Urbanisation, especially in Asia (excluding China), will drive growth in the construction sector. Meanwhile, aluminium packaging demand is expected to reach 10.5 million tonnes by 2030, fuelled by rising consumption of canned beverages in North America, Europe, and China, alongside a broader shift toward sustainable packaging solutions.
The project has progressed smoothly in FY 2024‑25. The first 1.5 MTPA train was commissioned in March 2024 and is fully operational. Additionally, five systems were commissioned, including a Calciner unit, Power Plant second unit, Red Mud Filtration Unit (five filters), MOL Phase 1, and Alumina Handling Phase 1. The remaining systems of Train 2 are mechanically completed and under commissioning, with first alumina production expected in the first quarter of FY 2025-26.
On the railway and bauxite handling front, the MVAA station has been inaugurated. Stacking, reclaiming machines, and bauxite feeding conveyors are under commissioning, with full operations anticipated in first quarter of FY 2025-26. Wagon Tipplers, along with other critical systems, are on track for completion by the second quarter of FY 2025-26.
A new Cast House-4 is being established to enhance the VAP mix, with additional 1x180 KTPA PFA Line and 2x125 KTPA Billet Lines. The Cast House workshop is complete, and the Pre foundry alloy (PFA) line was commissioned in February 2025. Billet line construction is ongoing, with commissioning targeted for June 2025.
A new Green Anode Plant-5 (35 TPH) and Anode Rodding Shop-3 (40 RPH) are being set up for carbon adequacy to support 2 MTPA of aluminium production. The Anode rodding shop (ARS) was commissioned in February 2025, while the Green Anode Plant is expected to commission in July 2025.
Strategically located coal mines provide a competitive advantage.
BALCO is establishing the first ever 525 kA Smelter of the Nation abetting the Plant expansion from 0.58 MTPA to 1 MTPA Club. With VAP of >100% and added facilities of Integrated Alumina Handling System, CP Coke Handling systems aiming for reducing carbon footprint. Our target is to produce first metal in H1’26 with full ramp up in FY 2026.
For the first time, Balco is setting up a 420 KTPA Billet Plant to cater to 1 MTPA of hot metal. The plant is set to be commissioned in the second quarter of FY 2025-26, with full ramp-up in the third quarter of FY 2025-26.
The existing rolled product capacity is being debottlenecked from 51 KTPA to 180 KTPA. The first slab was cast in the fourth quarter of FY 2024-25, with the facility expected to be fully completed and ramped up by the first quarter of FY 2025-26.
Revenue for the year stood at ₹ 58,522 crore, up 21% Y-o-Y, driven by higher LME prices, improved net effective premiums, and increased volumes. EBITDA rose 84% Y-o-Y to ₹ 17,798 crore, supported by higher realisations, partially offset by a marginal rise in costs.
Lanjigarh recycled 52.52% of its water consumption, while Jharsuguda and BALCO achieved 12.17% and 12.48% respectively. Freshwater consumption stood at 57.41 million m³ at Jharsuguda, 30.96 million m³ at BALCO, and 3.70 million m³ at Lanjigarh.
In line with Vedanta’s decarbonisation roadmap, BALCO began biomass co-firing in its power boilers, while Jharsuguda has deployed 59 Electric forklifts while BALCO deployed 6 forklifts, we have planned to shift to 75 % EV light motor vehicles by FY 2029-30.
Under our Green product initiative, this year, we generated a revenue of approx. US$ 190 million from sale of low carbon Aluminium under the Restora brand name. Our Restora Ultra brand, derived from aluminium dross, features one of the industry’s lowest carbon footprints.
GHG intensity at Jharsuguda reduced by 13.26% over FY 2020-21 baseline, with 152 MW of green power procured and 109% fly ash utilisation achieved. BALCO achieved 15.93 tCO₂/t against 16.43 tCO₂/t in FY 2020-21, procured 25 MW green power, and co-fired 2,365 tonnes of biomass. At Lanjigarh, GHG intensity stood at 1.12 tCO₂/T of alumina compared to 1.09 in FY 2020-21.
We are pleased to report zero fatalities in our Aluminium operations in FY 2024-25. A total of 29 Lost Time Injuries (LTIs) were recorded, with an LTIFR of 0.27 and TRIFR of 0.70.
In pursuit of our Zero Harm goal, we undertook comprehensive safety improvements across units, focussing on site infrastructure, systems, and safety culture. Significant progress includes safer pedestrian pathways, a Driver Management Centre, speed detectors, vehicle simulators, and upgraded rest areas for drivers. An Integrated Traffic Management System has also been implemented at critical sites such as Jharsuguda.
We continued advancing digital safety measures, including interlock systems for electrical panels and conveyors, AI-enabled fatigue monitoring cameras, GPS vehicle tracking, remote operations for electrical systems, and digital dashboards. Safety parameters are tracked through the Enablon platform.
Monthly “Sankalp Day” themes, leadership-led safety stand-downs, and a systematic Critical Risk Management framework continue to embed safety ownership. Visible felt leadership and third-party safety trainings remain key enablers. BALCO earned a Four-Star rating from the British Safety Council. Vedanta Aluminium secured 2nd position globally in the S&P Global Corporate Sustainability Assessment (CSA) for FY 2023-24, reaffirming our industry leadership in sustainability.
On the occupational health front, numerous awareness initiatives were conducted including seasonal health campaigns, screening camps (BP, hepatitis, diabetes, thyroid, cardiac), and wellness activities like yoga, voluntary blood donations, and fitness challenges. Monthly training sessions cover Occupational Health, Ergonomics, CPR, and First Aid (certified by NSC). We also launched Mo Sarathi, a comprehensive mental and emotional wellbeing programme in partnership with YourDost.
BALCO is set to add 0.435 MTPA smelter capacity, taking total capacity to 1 MTPA, with first metal expected by end of second quarter of FY 2025-26. We continue to drive performance through debottlenecking and planning future capacity additions.
Lanjigarh’s expansion is progressing well, with Train-2 expected to deliver first alumina in the first quarter of FY 2025-26. At Sijimali Bauxite Mines, land acquisition, approvals, and infrastructure development are underway, targeting first production by the second quarter of FY 2025-26. This ramp-up will support our 5 MTPA refinery operations with domestic bauxite.
Both Jharsuguda and BALCO are enhancing VAP capacity to improve margins through higher realisation.
We are focussed on stakeholder safety, carbon footprint reduction, scaling up production of low-carbon aluminium (Restora, Restora Ultra), enhancing workforce diversity, and promoting a circular economy.
We aim to maximise operational efficiency and >100% asset utilisation through structured reliability and asset management programmes.
Our goal is zero product defects and enhanced customer satisfaction, while strengthening our VAP portfolio to meet evolving customer needs.
