Adani setting up 1 mn tonne copper smelter at Mundra: report

Adani Enterprises is in the process of setting up a one million tonne copper smelter at an investment of Rs10,000 crore at the Adani Port Special Economic Zone (APSEZ) in Mundra, Gujarat.

Reports quoting sources at the Experts Appraisal Committee (EAC) of the environment ministry said the project will comprise of a copper smelter, sulphuric acid plant, copper refinery, continuous cast copper wire rod plant, precious metal recovery plant, phosphoric acid plant, aluminium fluoride plant among others.

"The estimated project cost is Rs10,000 crore and the estimated environment protection cost is Rs900 crore. Employment generation from proposed project will be direct employment of about 2,000 and indirect employment of about 5,000," The Economic Times quoted from the minutes of the EAC meeting held last month.

Adani plans to both import and domestically source the raw materials, including copper concentrate and rock phosphate required for the project, the EAC was quoted as saying.

The smelter project would require about 300 MW of electricity, of which Adani expects to generate 40 MW internally using waste heat. The remaining 260 MW will be sourced from Mundra Utility Pvt Ltd.

Raw materials copper concentrate and rock phosphate required for the project would be sourced by importing as well as from domestic market, the EAC said.

Adani was asked to conduct a public hearing before proceeding further.

"The public hearing for the project should be conducted by Gujarat Pollution Control Board. The issues raised during public hearing and commitment of the project proponent (Adani) on the same along with time-bound action plan to implement the commitment and financial allocation thereto should be clearly provided," it said.

Meanwhile, in another development related to the group, the EAC sought more details from Adani Power BSE 2.50 %(Jharkhand) Limited, a subsidiary of Adani Power Limited (APL), which is in the process of setting up a thermal power plant with capacity of 1,600 (2x800) MW, called Paraspani Thermal Power Project, in Jharkhand, for preparing the Terms of Reference (ToR) for the project.

The power plant is being developed under an MoU signed between governments of India and Bangladesh in 2010 with a view to enhance traditional ties of friendship, through economic cooperation.

Accordingly, APL in August last year signed an MoU with Bangladesh Power Development Board (BPDB), to develop a 2x800 MW thermal power plant on BOO (Build, Own and Operate) basis in India and supply the entire power generated to BPDB through a dedicated transmission line.

According to MoEF website, the EAC is expected to take up the issue of the power project for ToR in the meeting scheduled on 16 and 17 June.