Bhubaneswar: Shares of Vedanta Aluminium Metal were in the spotlight on Monday, trading higher after its subsidiary, Bharat Aluminium Company Limited (BALCO), secured the Karlapat bauxite block in Odisha’s Kalahandi district.
The news pushed the company’s shares up by 1.49% to an intraday high of ₹477.10 on the National Stock Exchange (NSE).
The Directorate of Geology, Odisha, had invited bids for the mining block on May 29. After qualifying in the initial stage, the Korba-headquartered subsidiary of Vedanta Ltd emerged as the preferred bidder for the block with a record 175% revenue-sharing premium during a competitive state e-auction on August 7.
Spread over 1,822.61 hectares on the Karlapat plateau, the block boasts estimated mineral reserves of around 248 million tonnes, including 165 million tonnes of high-quality metallurgical-grade bauxite suitable for aluminium production. Currently at a G2 level of exploration, the block’s concession area comprises 531.94 hectares of forest land and roughly 3.9% private land, with local seasonal streams feeding the nearby Sagoda and Bada Nala.
Vedanta Aluminium stated that the acquisition strengthens its raw material security and advances its strategy of deeper backward integration for its aluminium operations. With this block, the company will now have two bauxite mines in Odisha, the other being the Sijimali block in Rayagada district. Vedanta has already invested approximately ₹1 lakh crore in the state, encompassing its Jharsuguda aluminium smelter and Lanjigarh alumina refinery, and has committed a further ₹1 lakh crore for additional projects including expanded refining and smelting capacity, green aluminium initiatives, and downstream industries.
Meanwhile, Coal India Limited (CIL) has secured the Gadadharpur iron ore block in Keonjhar district’s Barbil region, emerging as the preferred bidder with a winning quote of 114% premium.
Situated within the mineral-rich Bonai–Keonjhar belt, the 200.18-hectare block holds an estimated 257.98 million tonnes of total resources above a 45% Fe cut-off. Though relatively compact, it is a high-grade deposit, with 219.33 million tonnes featuring iron content exceeding 55% Fe. Currently at the G3 preliminary exploration stage, the block will require CIL to obtain all mandatory statutory clearances before commencing mining operations.
