Lloyds Metals and Energy Ltd receives EC for Iron Ore Mining Capacity expansion

Lloyds Metals & Energy Limited ("LMEL") is pleased to announce that it has received the Environmental Clearance (EC) to expand its iron ore mining capacity to 55 million tonnes (Maximum) per annum (MTPA). This is a defining milestone in the Company's journey and a pivotal development for India's mineral and steel landscape.

A Landmark for the Industry

India's Largest Iron Ore Mine: With 55 MTPA production capacity, LMEL's mine stands as the largest iron ore operation in the nation. This development is set to significantly enhance the raw material security for domestic steel producers.

- The expansion is poised to play a strategic role in the emerging steel industry in Gadchiroli, as the region witnesses a growing presence of companies venturing into steel production, LMEL's mine will act as a foundational enabler for these downstream industries.

- Well-Calibrated Mining Roadmap:

- In the initial years, the company will mine 26 MTPA (Max) of Hematite (Direct Sales Ore).
- The subsequent ramp-up to 55 MTPA capacity will include 45 MT(Max) BHQ (Banded Hematite Quartzite).
- Gradually, as the beneficiation plants become operational, LMEL will replace Hematite DSO with beneficiated ore.
- The Mine is designed with sustainability at its core through the integration of battery operated HEMMS, electrically powered machinery, LNG vehicles and renewable energy. This model of sustainable mining will serve as a valuable case study for similar initiatives in the future.
- Beneficiation
- LMEL is establishing one of the world's largest Iron Ore Beneficiation facilities in Hedri.
- A Pilot Plant of 5 TPH (Tonnes Per Hour) has been operational and is achieving the desired results, with more than 66% Fe, and a yield of more than 35%. Based on these results, the company is progressing on detailed engineering of the Beneficiation Complex.
- Post beneficiation, the Concentrate produced will be world class pellet & Sinter-feed material. With one of the lowest gangue percentages, this will also ensure sustainable steel production in the future.

Benefits for LMEL:

- The mine will support cost-effective and sustainable steel production, ensuring long-term ore security for both captive use and potential external supply.

- This expansion firmly anchors LMEL's forward integration strategy, enhancing its plans for pellet and steel making.

- In-house iron ore availability will significantly improve cost structures and contribute meaningfully to the company's EBITDA margins.

- The company's integrated approach, cost leadership, and calibrated capex will position LMEL as one of the most efficient and cost-effective steel producers in the country.

The effective date of commencement of operations for enhanced capacity would be after receipt of Consent to Operate ("CTO"), from Maharashtra Pollution Control Board ("MPCB") which has been applied for and shall be received shortly.

Mr. Balasubramanian Prabhakaran, Managing Director expressed: "This milestone is a testament to the unwavering support of the local communities and the government's confidence in Lloyds Metals' capabilities. It reflects not only our commitment to responsible mining and community upliftment but also the tireless efforts of our dedicated team. This clearance paves the way for us to create long-term value for all our stakeholders while contributing meaningfully to regional development. The Government authorities have been aligned with the long term vision to Make India Atma- Nirbhar & to make Gadchiroli into the Steel City of India. We are extremely thankful for their support."

Mr. Rajesh Gupta, Managing Director expressed: "All our stakeholders - from government authorities to local communities, investors, and partners - have been aligned with our long-term vision. This expansion is not merely a growth initiative but a reflection of our ambition to redefine industry benchmarks. Our low-cost mining model, combined with planned capex, and our integrated approach with Thriveni, as our partner, will serve as a strong example of what integrated, efficient, and scalable operations can look like in the Indian steel industry. We are in a robust position and confident of an exciting journey ahead."

Shares of LLOYDS METALS AND ENERGY LTD. was last trading in BSE at Rs. 1522.85 as compared to the previous close of Rs. 1526.90. The total number of shares traded during the day was 30027 in over 1730 trades.

The stock hit an intraday high of Rs. 1546.40 and intraday low of 1500.00. The net turnover during the day was Rs. 45586089.00.