In Friday’s trading session, the share price of one of the largest aluminium producers in Asia surged 4.6 percent on BSE to Rs. 195.1, after executing a Mining Lease agreement with the State Government of Odisha.
At 01:45 p.m., the shares of National Aluminium Company (NALCO) Limited were trading in the green at Rs. 192.8, up by 3.4 percent, as against its previous closing price of Rs. 186.5, having a market cap of Rs. 35,410.3 crore.
NALCO informed the stock exchanges about executing a Mining Lease agreement with the State Government of Odisha covering an area of 697.979 hectares for Bauxite Mines in Pottangi Tehsil, Koraput District.
With reserves estimated at 111 million tonnes, the mines have an annual production capacity of 3.5 MT, indicating a 32-year mine life. After the mine receives the remaining necessary regulatory permissions, it should shortly be operational.
The 18.5-kilometre Overland Conveyor would carry the mined Bauxite to the NALCO Refinery in Damanjodi.
The company’s move ensures a secure supply of raw materials for NALCO’s existing Refinery and supports future expansions.
“With this enhanced resource base, NALCO is poised to strengthen its position in the Aluminum Industry, optimise production efficiency and meet the growing demand for Aluminum domestically and internationally,” mentioned the company in the filings.
On a quarter-on-quarter basis, the company’s consolidated revenue from operations stood at Rs. 3,579.05 crore in Q4 FY23-24, increasing by nearly 7 percent from Rs. 3,347 crore in Q3 FY23-24.
The after-tax profit grew from Rs. 470.61 crore in Q3 FY23-24 to Rs. 996.74 crore in Q4 FY23-24, indicating a growth of 111.8 percent QoQ.
In FY23-24, the company achieved the highest-ever Bauxite excavation of 76,00,230 Metric Tonnes, Cast Metal production of 4,63,428 MT, Metal Sale of 4,70,108 MT and production of 2 MT of Coal in the very first year of operationalisation of its Coal Mines.
As per the latest shareholding pattern, the Promoters hold a 51.28 percent stake in the company, FIIs hold an 8.98 percent stake, while Retail Investors and DIIs hold a 20.92 percent and 18.82 percent stake in NALCO, respectively.
National Aluminium Company Limited is engaged in the business of manufacturing and selling of Alumina and Aluminium. It is a Navaratna Central Public Sector Enterprise (CPSE) under the Ministry of Mines, Government of India.
Written by Shivani Singh
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