India: Shyam Metalics plans INR 450 Cr investment to set up aluminium project in Odisha

Shyam Metalics, a leading and rapidly growing integrated metal-producing group, has unveiled its ambitious plans to venture into a greenfield expansion project focused on aluminium flat-rolled products. With an impressive investment of INR 450 crores, the group aims to significantly enhance its production capacity while simultaneously generating employment opportunities for around 1000 individuals, both directly and indirectly.

The investment is poised to revolutionize the manufacturing side, particularly in the aluminium sector, as it addresses the growing demand for flat-rolled products. By increasing the manufacturing capacity of aluminium flat rolled products, Shyam Metalics is poised to bridge the demand-supply gap in the market, thereby achieving self-reliance in raw materials for its aluminium foil business.

The new plant, slated to be established in Odisha's Sambalpur, Pandloi Village, near the existing steel plant, is expected to have an annual capacity of 60,000 tons per annum of flat-rolled products along with a state-of-the-art battery foil rolling mill. This expansion represents a significant stride towards sustainable manufacturing practices and aligns with the company's commitment to supporting the electric vehicle (EV) sector in India.

In an exclusive interview with Shyam Metalics with BigMint, the company's spokesperson expressed enthusiasm about the upcoming expansion project. They highlighted the strategic location of the plant in Odisha, emphasizing its proximity to the steel plant, which facilitates streamlined operations and logistical efficiency.

The expansion project is estimated to span a duration of two years, with the existing capacity standing at 24,000 tons per annum with a 5-micron gauge. The new expansion is projected to add roughly 60,000 tons of Flat Rolled Products and 25,000 tons of battery grade aluminium foil bringing the total capacity of aluminium foils to 50,000 tons per annum. Additionally, the company revealed its current scrap generation rate of 9% out of the existing 24,000 t, underscoring its commitment to sustainability and efficient resource utilization.

Shyam Metalics currently procures Aluminium Sheets for its operations, with plans to introduce another foil rolling mill dedicated to supporting the electric vehicle sector.

In conclusion, Shyam Metalics' foray into the greenfield expansion project signifies a step towards strengthening its position in the metal-producing industry. With a focus on sustainable manufacturing practices and a commitment to supporting key sectors like electric vehicles, the company continues to pave the way for innovation and growth in India's industrial outlook.