Adani Enterprises Ltd (AEL), the flagship company of the Adani Group, and International Resources Holding (IRH), the Abu Dhabi-based natural resources investment platform of International Holding Company (IHC) Group, have signed a Memorandum of Understanding (MoU) with the Government of Odisha to develop an integrated greenfield aluminium project in Odisha. The project, which is expected to be Odisha’s largest Foreign Direct Investment (FDI) proposal and India’s largest foreign direct investment in the metallurgy sector, will involve an investment of $11.5 billion (₹1.08 lakh crore). AEL and IHC will form a 50:50 joint venture for the proposed project, marking the entry of the Adani Group into the aluminium sector. The project will comprise a 4 million metric tonnes per annum (MMTPA) alumina refinery, a 2 MMTPA aluminium smelter, a 4,000-megawatt (MW) captive power plant, and a 1 MMTPA downstream manufacturing park, supported by enabling infrastructure. Bauxite will be sourced from Odisha Mining Corporation’s Sasubahumali mines and Adani’s two mines of Kutrumali and Bahalda. The project is expected to generate around 53,500 jobs across the construction and operations of the project. The MoU was signed in the presence of Mohan Charan Majhi and other dignitaries.
The project will be developed in two phases, with investments of approximately ₹66,000 crore in Phase I and ₹44,000 crore in Phase II. The Adani portion of the investment will be funded through internal accruals and debt. According to Karan Adani, MD Adani Ports & SEZ, it will take about 12 to 18 months for meeting milestones and getting clearance, and another 3.5 years to establish the project. Odisha Chief Minister Mohan Charan Majhi said that the investment will enable Odisha to develop the complete aluminium value chain, from mining and refining to smelting and downstream manufacturing, creating greater value within the State. Syed Basar Shueb, CEO, IHC, stated that the partnership with Adani Enterprises reflects their shared ambition to develop a world-class integrated aluminium project that creates lasting economic value. The investment is expected to deepen value-added aluminium manufacturing in Odisha while strengthening India’s position in global aluminium supply chains. Once operational, the project is expected to strengthen India’s aluminium manufacturing base while reinforcing Odisha’s position as one of Asia’s leading destinations for large-scale industrial investment.
