Vedanta's Third unit of Talwandi Sabo Power Plant achieved COD

Vedanta Limited announced that the third 660 MW unit of its Talwandi Sabo Power Plant in Punjab has been put to commercial production on 24th August 2016 and will be capitalized in September 2016.

Jharsuguda-II and BALCO-II smelter ramp-up update

The commissioning of pots at the first line of the 1.25mtpa Jharsuguda-II Aluminium smelter was completed in end July 2016.The first line was impacted by a pot failure incident due to a power shut down in early August, post which 168 pots were taken out of production. The impacted pots are currently being repaired and relined. The commissioning of the second line commenced in July 2016 with 65 pots commissioned till date, and this line will ramp up in the next 3-6 months. We plan to start commissioning of pots at the third line of the smelter in September 2016, well ahead of our earlier schedule of Q4 FY2017.

The 325kt BALCO-II smelter was successfully commissioned with all 336 pots operational in August, and are expected to be capitalized by October 2016.

The current run-rate of Aluminium production is c.1mtpa, and the overall FY2017 volume guidance remains unchanged at 1.2mn tonnes.

Coal linkage secured through auctions for captive power plants

The auction of coal linkages for captive power plants were conducted by Coal India Limited in August 2016 and we have secured 6.09 million tonnes per annum in this auction for our captive power plants, that supplies power to our Aluminium smelters at Jharsuguda and Balco. The tenor of the linkage is 5 years with an option to extend this further. The premium paid was INR 96 per tonne, which is c. 10% over the Coal India linkage price for captive power plants. This will contribute to the long-term security of coal requirement at a competitive price.

Shares of Vedanta Limited was last trading in BSE at Rs.173.2 as compared to the previous close of Rs. 169.3. The total number of shares traded during the day was 831837 in over 5181 trades.

The stock hit an intraday high of Rs. 174 and intraday low of 167.75. The net turnover during the day was Rs. 143063180.

Source : Equity Bulls

Keywords