Vedanta Q4 update: Aluminium, zinc output grow 8%; iron ore 18%

Vedanta Ltd on Monday said its aluminium and zinc production rose 8 per cent and iron ore output grew 18 per cent during the quarter ended March 31, 2022 as compared to its output during the same quarter a year ago.

In the fourth quarter of financial year 2021-22, the company's cast metal aluminium production at its smelters stood at 5,72,000 tonnes, up 8 per cent from 5,31,000 tonnes in the same quarter of the preceding fiscal.

Overall aluminium production in FY22 touched a record high of 22,68,000 tonnes, up 15 per cent from 19,69,000 tonnes in FY21, Vedanta said in a regulatory filing.

The company said its production of saleable iron ore in Karnataka rose by 18 per cent to 1.4 million tonnes (MT) in the fourth quarter of FY22 from 1.2 MT in the year-ago quarter. The total annual iron ore output from Karnataka mines increased by 8 per cent to 5.4 MT from 5 MT in FY21.

"There was no production in Goa as mining remains suspended pursuant to the Supreme Court judgement dated February 7, 2018. We continue to engage with the government for resumption of mining operations," the company said.

The miner's zinc production also increased 8 per cent to 2,11,000 tonnes from 1,95,000 tonnes in the year-ago quarter. Its integrated zinc output in FY22 rose by 8 per cent to 7,76,000 tonnes as compared to 7,15,000 tonnes in FY21.

In Q4 of FY22, integrated lead production decreased 19 per cent to 49,000 tonnes from 61,000 tonnes in the corresponding quarter of FY21. Overall integrated lead output in FY22 fell 11 per cent to 1,91,000 tonnes, it said.

About its zinc operations overseas, the company said its overall production increased 5 per cent during March quarter. However, the overall production was 10 per cent higher at 2,23,000 tonnes in FY22.

The company said its average gross operated production of oil and gas was at 1,53,840 barrels of oil equivalent per day (boepd) during January-March FY22 as compared to 1,65,000 boepd in the year-ago quarter, a rise of 7 per cent.

During entire FY22, average gross operated production was marginally lower by 1 per cent at 1,60,851 boepd.

The company's total production of saleable steel increased 3 per cent year-on-year to 3,27,581 tonnes in the last quarter. In the whole financial year ended March 31, 2022, total saleable production increased 6 per cent to 12,60,173 tonnes.

On its copper operations in Tamil Nadu, the company said, "Tuticorin smelting operations remain halted since April 2018."

"The Tamil Nadu Pollution Control Board, through an order dated 9th April 2018, rejected the Consent to Operate (CTO) for the plant and issued a direction for closure and disconnection of power supply at the plant. In May 2018, the government of Tamil Nadu issued orders with a direction to permanently seal the existing copper smelter plant at Tuticorin," it said.

The company's power sales declined 16 per cent to 2,802 million units in the last quarter. Annual power sales increased 5 per cent to 11,871 million units in FY22.

Shares of Anil Agarwal-led Vedanta Ltd closed 3.89 per cent higher from its previous close at Rs 421.50 apiece on the BSE.

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