The shares of this Navratna CPSE company jumped approximately close to 3 percent in Tuesday’s trading session after ‘KABIL’, a Joint Venture (JV) company between the CPSE entity and various other parties, signed a landmark agreement for the first-ever exploration & mining of Lithium.
With a market capitalization of Rs 25,446.53 crores, the stocks of National Aluminium Company Limited (NALCO) started their trading session on Tuesday at Rs 138.65 and currently trade at Rs 138.55, gaining approximately 3 percent compared to the previous closing levels of Rs 135.25 apiece.
In a recent regulatory filing with the Bombay Stock Exchange (BSE), the company intimated that ‘Khanij Bidesh India Limited (KABIL), a Joint Venture Company among NALCO, HCL & MECL, signed an agreement with the state-owned enterprise of Catamarca province of Argentina, viz, ‘CAMYEN SE’, at Catamarca, Argentina.
KABIL will start the exploration as well as the development of “five” lithium brine blocks including Cortadera-I, Cortadera-VII, Cortadera-VIII, Cateo-2022-01810132, and Cortadera-VI covering an area of about 15,703 hectares located in the Catamarca province of Argentina.
The above project is the first-ever lithium exploration and mining project by an India-based Government company. The JV company is also preparing to set up a branch office in Catamarca, Argentina. The total cost of the project is about Rs 200 crores.
The strategic move mentioned above not only strengthens the bilateral ties between India and Argentina but also contributes to the sustainable development of the mining sector as a whole, ensuring a diversified and resilient supply chain for critical minerals essential for a wide range of industries.
Coming onto the financial statement analysis, the company’s basic business indicators such as operating revenues and after-tax profits showed negative movements during the recent quarters
The former reduced from Rs 3,178 crores during Q1FY23-24 to Rs 3,043 crores during Q2FY23-24, and the latter, during the same time horizon, took a downshift from Rs 349 crores to Rs 206 crores.
National Aluminium Company Limited, a Navratna CPSE company, is engaged in the business of mining, producing, and selling aluminum and alumina-based products. With a majority of revenue coming from domestic operations within India, the firm owns and operates multiple power plants throughout the country.
Written by Amit Madnani
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