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Vedanta Resources has reported production figures across metal and power categories that the company is present in. The production of oil & gas, silver, aluminium and power have gone up, however, iron ore production is down to zero and copper (Zambia) and zinc production is in the negative.
The company said that its zinc production in India through its company Hindustan Zinc Ltd (HZL) stood at fell by 11%, at 6,77,000 tonne. The other two metals that HZL produces, namely; lead and silver, went up by 26% and 69%, respectively.
The Zinc production at its international operations bought over from Anglo American Zinc fell by 4%, at 4,26,000 tonne as against 4,44,000 tonne in the previous year.
Vedanta’s most recent acquisition, Cairn India, produced 19% more in FY13, at 2,05,323 boepd. The production increase came from its wells in Rajasthan which showed a production increase of 32%. Ravva and Cambay saw drops of 20% (29,161 boepd) and 18% (6,772 boepd), respectively. The company said, “Following clarification from the Government of India that exploration would be permitted in development areas, exploration drilling was commenced in the Rajasthan block in February. This is a step towards realising the basin potential of 300,000 bopd.”
The iron ore mining of the Group is housed in Sesa Goa and this company took a major hit in FY13 due to the mining bans in Karnataka and Goa -- the two areas with its operations. Iron ore sales fell 80% in the year ended March 31, 2013. Production in Goa and Karnataka fell by a massive 71% and 100%, respectively. Vedanta said, “Iron ore operations continue to be affected by suspension of mining in Goa and Karnataka.
The company said that it has filed an application to the Court seeking a stay on the suspension of mining and restrictions on ore transportation.
Copper mining and cathodes production saw an increase of 15% and 8%, respectively. Recently, the Supreme Court of India slapped a Rs 100 crore fine on Vedanta’s Tuticorin copper plant and the plant has been shut down after an order by the Tamil Nadu Pollution Control Board (TNPCB). Vedanta said, “This Supreme Court order does not affect the recent closure order issued by TNPCB. We are actively engaged with TNPCB and relevant authorities to obtain permission to restart the operations. We have also filed an appeal with the National Green Tribunal against the closure order by TNPCB and for interim relief to operate the plant, and the matter is being heard.”
Alumina production at the company’s Lanjigarh refinery fell by 43% in FY13, at 527,000 tonne. This was after the company decided to shut down the alumina refinery because of lack of bauxite. Because of this, in the fourth quarter of last year, the alumina production at this unit was zero.
Total aluminium production went up by 15% with Jharsuguda-I producing 23% and Korba-II producing 1% more aluminium.
Total power sales at Vedanta shot up by 36%, at 8,888 million units as against 6,554 million units in FY12. Sterlite Energy Ltd and Malco increased power production by 34% and 46%, respectively.
The wind power production which is housed under HZL saw a jump of 52%, at 511 million units.
