State-run aluminium producer Nalco is executing a massive ₹45,000 crore expansion plan involving projects spanning bauxite mining, alumina refining, aluminium smelting and captive power generation across Odisha. According to reports from Business Standard, the company has lined up a ₹30,000 crore expansion plan including a 0.5 million tonne per annum (mtpa) smelter at its existing Anugul complex, a 1,080 megawatt (MW) coal-based captive power plant (CPP) and bauxite and coal mine development. The proposed investments include around ₹18,000 crore for the smelter project and ₹12,000 crore for the power plant, with commissioning of the additional smelter capacity targeted by 2030.
Nalco's upstream capacity will increase to 3.1 mtpa as the fifth stream of its Damanjodi alumina refinery adds one million tonnes per annum (mtpa) to the existing 2.1 mtpa capacity. As reported by Business Standard, the ₹5,677.4 crore project has entered the commissioning phase, with phase-wise trials and testing beginning in June and production expected to stabilise in the fourth quarter of FY27. The refinery expansion is being backed by the operationalisation of Nalco's 3.5 mtpa Pottangi bauxite mine in Koraput, which has estimated reserves of 111 million tonnes and a projected mine life of 32 years, slated for operationalisation during FY27.
To secure bauxite supplies, Nalco has awarded a 25-year mine developer and operator (MDO) contract valued at about ₹5,000 crore for the development and operation of the Pottangi mine and associated infrastructure. According to Business Standard, until Pottangi reaches full operation, the company is relying on an alternative bauxite sourcing arrangement from the Panchpatmali South Block, with a 3.15 mtpa crushing and conveying system being developed to transport ore to the Damanjodi refinery. The project achieved about 93 per cent physical progress by July and is scheduled for commissioning in October.
Nalco achieved its highest-ever revenue from operations of ₹17,843 crore (6% YoY growth), Ebitda of ₹8,613 crore (9% YoY growth) and profit after tax of ₹5,816 crore (9% YoY growth) during FY26. As reported by Business Standard, the company also achieved its highest-ever bauxite excavation of 7.7 million tonnes, alumina hydrate production of 2.3 million tonnes, calcined alumina production of 2.27 million tonnes, aluminium cast metal production of 472,000 tonnes, coal production of 4 million tonnes and net power generation of 6,953 million units in FY26.
Citing projections by the Commodities Research Unit (CRU), Nalco CMD Brijendra Pratap Singh said the global aluminium market is expected to remain in a deficit of around 0.35 million tonnes in 2026, with average LME aluminium price expected to stay in the range of $3,200-3,300 per tonne. According to Business Standard, the company posted strong growth while maintaining a healthy balance sheet and robust cash position, with total dividend payment for FY26 of ₹2,112.12 crore (230% of paid-up share capital) and total dividend payout of ₹2,020.29 crore on a cash basis, representing 10% YoY growth.
