Lloyds Metals Gets Green Nod to Expand Iron Ore Mining to 55 MTPA

26 Jun 2025 , 12:06 PM

Lloyds Metals & Energy has received environmental clearance to expand its Gadchiroli iron-ore mine to 55 million tonnes per annum, a move that could make it India’s largest iron-ore producer. Shares rose about 2% following the announcement.

The expansion aims to supply raw material to the growing cluster of steel plants in Gadchiroli. Lloyds officials say having internal ore supplies will cut costs and boost profit margins, especially as the company prepares its pellet and steel projects.

The company is now waiting for the Maharashtra Pollution Control Board to grant its final consent, after which it will set a date to begin operations at the new capacity. In phase one, Lloyds will initially mine 26 MTPA of hematite. Over time, the target is to ramp up to 55 MTPA by adding banded hematite quartzite to the mix.

A pilot beneficiation plant in Hedri is already testing output, producing ore with 66% iron and a recovery rate above 35%. Based on promising results, a full-scale plant is in the engineering stage. The goal: high-quality concentrate ideal for making pellets and feedstock, with lower waste rock and cleaner steel output.

Lloyds Metals and Energy have gained 13% in the previous month, 21% year-to-date, and 110% in the last year. At 11:58 AM, on June 26, 2025, Lloyds Metals & Energy shares are trading at 1534 which is a 0.78% gain in the National Stock Exchange.

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