The Vedanta Aluminium ltd (VAl), now part of Sesa Sterlite, would scale up its refinery capacity at lanjigarh to its rated capacity from December despite the continuing raw material supply crisis.
In the month of October, the capacity utilisation had gone up to 65 per cent and the full capacity production would be effected from December, VAl Managing Director SK Roongta is reported to have said in Kolkata. The installed capacity of refinery at lanjigarh in Kalahandi district is one million tonnes. The plant was closed for about seven months from December 5 last due to lack of bauxite, the main raw material. With an increase in production, the bauxite requirement would increase to three million tonnes, Roongta said. The company now meets its bauxite requirement equally from its group company Balco, buying from merchant mines of other States and imports. VAl had earlier said it would increase its smelter production capacity at Jharsugda to 2.3 million tonnes over the next three years. Due to resistance from local tribals, the proposed bauxite sourcing is yet to commence from Niyamgiri mines, depending on which the group had invested in the aluminium sector in the State.The company was also trying to convince Nalco to supply alumina meant for export to its plant, to which the PSU has not agreed so far.