Millennium Post

Vedanta awaits Odisha’s bauxite supply report to restart Lanjigarh refinery

Vedanta Aluminium is awaiting Odisha government’s report on long-term raw material supply to its Lanjigarh alumina refinery in the state before resuming operations at its unit, that has been lying closed for the past seven months, say company sources.
The aluminium firm had closed its 1-million tonne Odisha refinery last December due to shortage of bauxite, the key raw material for aluminium production.

‘We are awaiting the ministerial group formed by Odisha government to come up with proposals for long-term supply of raw material to industrial units like ours. The report is slated to be out by anytime now. We plan to resume operations after the report comes,’ the company source said.
The company had, earlier, said it would resume operations by June-end or early July with alternate arrangements for bauxite supply from other sources.

When asked about the alternate arrangement, the source said the company had taken note of the cancellation of export orders of bauxite from Gujarat in the last few days, and hoped ore prices would come down, which would help it arrange for cheaper raw material from the state.
He, however, added the company will specify its detailed plans of procuring raw material from other states once Odisha government releases its report.

On mining in the Niyamgiri hills, for which the Supreme Court had asked it to get permission from the Gram Sabhas, the source said the state government is working on the same.
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