New Delhi: National Aluminium Company Limited (NALCO) is moving ahead with its proposed brownfield aluminium smelter expansion project at Anugola in Odisha, with a planned investment of approximately ₹30,000 crore. The project aims to add 0.5 million tonnes per annum (MTPA) of smelting capacity, taking the company’s total capacity from the existing 0.46 MTPA to around 1.0 MTPA.
The expansion is a major step in NALCO’s capacity enhancement strategy and is expected to strengthen India’s domestic aluminium production capabilities. The project is targeted for commissioning during 2030-31.
NALCO Secures Key Approvals and Technology Partnership for Smelter Expansion
NALCO has secured key statutory approvals and established strategic partnerships to facilitate the implementation of the proposed aluminium smelter expansion.
Recently, the Rehabilitation and Peripheral Development Advisory Committee (RPDAC) held a meeting to expedite land acquisition and address rehabilitation-related issues associated with the project site.
In another important development, NALCO entered into an agreement with Emirates Global Aluminium (EGA) for licensing its proprietary aluminium smelting technology. The partnership will support the adoption of energy-efficient production processes and help facilitate the expansion project.
Read also: NALCO Signs MoU with SDI Bhubaneswar to Provide Skill Training to 60 Youths in Odisha
NALCO Partners with NLC India for 1,080 MW Captive Power Plant
The proposed smelter expansion will require an additional 1,100 MW of power to support increased production capacity.
To meet this requirement, NALCO has partnered with NLC India Limited to establish a 50:50 Joint Venture Company (JVC). The joint venture will set up a 4 × 270 MW captive thermal power plant with a total planned capacity of 1,080 MW.
Alongside conventional power generation, the project also envisages integrating 200-250 MW of renewable energy into the power ecosystem. This initiative is aimed at supporting the expansion’s energy requirements while advancing NALCO’s sustainability objectives.
Anugola Aluminium Smelter Project Targeted for Commissioning in 2030-31
NALCO is targeting commissioning of the 0.5 MTPA aluminium smelter expansion project during 2030-31. The timeline is aligned with the company’s other major capacity enhancement initiative, the 5th Stream Alumina Refinery Project at Damanjodi in Odisha.
Both projects are being supported by the Government of Odisha and the Ministry of Mines. They are expected to contribute to regional economic development, generate employment opportunities and strengthen the aluminium production ecosystem in the state.
The key details of the proposed Anugola smelter expansion are as follows:
- Total Investment: Approximately ₹30,000 crore
- Project Location: Anugola, Odisha
- Capacity Addition: 0.5 MTPA
- Existing Smelting Capacity: 0.46 MTPA
- Proposed Total Capacity: Approximately 1.0 MTPA
- Target Commissioning: 2030-31
- Additional Power Requirement: 1,100 MW
- Captive Power Plant: 4 × 270 MW (1,080 MW)
- Renewable Energy Integration: 200-250 MW
NALCO Evaluates New 0.5 MTPA Greenfield Aluminium Smelter in India
The integration of the 5th Stream Alumina Refinery Project with the proposed Anugola smelter expansion is expected to create a strategic surplus in alumina production.
After meeting the expanded smelter’s internal alumina requirements, the surplus production will initially be directed towards export markets. However, NALCO is also evaluating the possibility of establishing a new 0.5 MTPA greenfield aluminium smelter within India.
The proposed greenfield project would enable the company to convert surplus alumina into finished aluminium domestically. This would support the objectives of the government’s ‘Make in India’ and ‘Atmanirbhar Bharat’ initiatives while reducing dependence on exports for monetising surplus raw material.
The move could further strengthen India’s domestic aluminium value chain by increasing the conversion of alumina into finished aluminium within the country.
About National Aluminium Company Limited (NALCO)
National Aluminium Company Limited (NALCO) is a Navratna Central Public Sector Enterprise under the Ministry of Mines, Government of India. The company operates in the aluminium and alumina sectors and is involved in activities across the aluminium value chain, including bauxite mining, alumina refining, aluminium smelting and power generation. Its operations include major facilities at Damanjodi and Angul in Odisha.
Read also: NALCO Q2 FY27 Results: Net Profit Rises 28% to Rs 1,835 Crore, H1 Profit Hits Record Rs 3,837 Crore
