Bhubaneswar, Odisha, 11/09/2025 – Vedanta, India’s leading mining and metals conglomerate, has initiated the land acquisition process in Dhenkanal, Odisha, for its proposed 3 million tonnes per annum (MTPA) aluminium smelter. A senior company executive confirmed the development on Wednesday, marking the first step towards what is set to be one of the largest greenfield aluminium projects in the country.
The upcoming ‘green aluminium’ facility is expected to create over two lakh jobs, both directly and indirectly, significantly boosting industrial activity in Odisha and strengthening its position as India’s aluminium hub.
Speaking at ALUMEX India 2025 in New Delhi, Rajiv Kumar, CEO of Vedanta’s Aluminium Business, said, “We are moving ahead with plans to establish a new aluminium plant in Dhenkanal with a capacity of 3 MTPA.” He added that the land acquisition process is progressing well and expressed optimism about the project’s timely rollout.
Vedanta currently operates with an aluminium production capacity of 3 MTPA, making it the country’s largest producer. With the new smelter, its total capacity would double to 6 MTPA, further consolidating its market leadership and giving India a stronger foothold in the global aluminium market.
Kumar emphasised the scale of investment required, noting that aluminium smelting is highly capital-intensive and requires long-term planning, robust infrastructure, and steady raw material supply. The project is estimated to take three to four years for completion, after which it is expected to drive downstream opportunities in manufacturing, transport, construction, packaging, and renewable energy sectors that rely heavily on aluminium.
Alongside the smelter, Vedanta is also focused on expanding its billet manufacturing capacity from 580 kilo tonnes to nearly double that, catering to the surging demand from India’s aluminium extrusion industry. This expansion aligns with the government’s thrust on infrastructure, housing, and electric mobility, where aluminium plays a pivotal role due to its lightweight and sustainable properties.
To complement these plans, Vedanta has proposed an aluminium park at Jharsuguda, Odisha, aimed at attracting downstream industries and creating a complete ecosystem for value-added aluminium manufacturing. The park is expected to house small and medium enterprises (SMEs) and provide plug-and-play facilities for businesses in extrusion, rolled products, and advanced aluminium solutions.
The announcement was made at ALUMEX India 2025, the country’s first exhibition dedicated exclusively to aluminium extrusion. The event, which has brought together over 200 exhibitors and nearly 25,000 visitors, serves as a platform for manufacturers, suppliers, and policymakers to discuss innovations, sustainability, and opportunities in the sector.
The proposed Dhenkanal project is being closely watched by industry observers, as it could serve as a game-changer for both Odisha and India’s aluminium landscape. Beyond boosting production capacity, it is expected to enhance exports, reduce import dependence, and position India as a key global supplier of low-carbon, green aluminium.
If completed on schedule, Vedanta’s new aluminium smelter would not only double its production capacity but also act as a catalyst for regional development, employment generation, and downstream industrialisation in Odisha, reinforcing the state’s status as a strategic hub for the metals industry.
