NALCO Plans ₹30,000-Crore Expansion of Aluminium Operations

National Aluminium Company Limited (NALCO) is planning an investment of approximately ₹30,000 crore over the next five years to expand its aluminium production capabilities.

The proposed investment includes a new aluminium smelter and a dedicated captive power plant in Odisha, with commissioning targeted around 2030 or early 2031.

The expansion is part of NALCO’s broader plan to increase its presence across the aluminium value chain, from mining and alumina refining to aluminium production.

The proposed smelter and power facilities will add significant capacity to NALCO’s existing operations.

Aluminium smelting is one of the most energy-intensive industrial processes, making reliable power supply a critical component of plant operations.

The planned captive power facility will therefore form an important part of the proposed expansion.

The project will require extensive supporting infrastructure covering power generation, raw-material handling, process equipment, cooling systems, water management, electrical systems and automation.

NALCO already operates an integrated aluminium production system in Odisha, including bauxite mining, alumina refining and aluminium smelting facilities.

The company’s expansion plans are aligned with expectations of increasing domestic aluminium demand from sectors including power transmission, renewable energy, transportation, construction and manufacturing.

India is seeking to increase domestic aluminium production to support these sectors and reduce dependence on imported metal and raw materials.

Large aluminium projects also generate demand across the engineering supply chain. Equipment required for such facilities includes pumps, valves, piping systems, electrical equipment, instrumentation, material-handling systems and process-control technologies.

The proposed investment will therefore create opportunities across both the construction phase and the long-term operating phase of the facilities.

With commissioning targeted towards the end of the decade, the project is expected to progress through feasibility, engineering, approvals, procurement and construction over the coming years.