Hindustan Zinc anticipates a surge in production under chairman Priya Agarwal Hebbar

29 Aug 2023 , 02:55 PM

Under the leadership of Chairwoman Priya Agarwal Hebbar, Hindustan Zinc Ltd. is aiming for a significant increase in output and advancing steps to decarbonize its operations.

Agarwal Hebbar, the company’s CEO and the daughter of billionaire Anil Agarwal, who founded Hindustan’s parent company Vedanta Resources Ltd., will lead the organization through a period of expansion in which it will capitalize on a surge in infrastructure development in India and Prime Minister Narendra Modi’s goal of greening the economy.

Last Monday, the manufacturer of zinc, which is used to galvanize steel to prevent rust, announced plans to increase its annual output of mined metal to 1.5 million tons from the current 1 million tons.

According to Priya Agarwal Hebbar, who took over as chair at the beginning of the year, the company intends to do this by March 2025.

‘We are looking at the growth of steel when we look at infrastructure development,’ she said. ‘And it needs to be made of galvanized steel to create sustainable infrastructure.’

India is beginning a phase of nation-building, which is boosting demand for metals like steel. The third-largest emitter in the world is working to transition away from coal, which provides roughly 70% of its power, and has plans to invest more in clean energy technologies.

According to Priya Agarwal Hebbar, who also serves on the board of Vedanta and is in charge of the group’s ESG vertical, Hindustan Zinc would spend $1 billion over the next ten years to reduce its present reliance on coal. According to her, the majority of that money would be used to switch its smelters’ primary energy source from coal to solar and wind.

According to Priya Agarwal Hebbar, a partnership with Serentica Renewables, which will provide Hindustan Zinc with 450 megawatts of solar and wind power annually, will help cut the amount of coal used at its smelters in half by the end of 2025. Additionally, she stated that the company plans to electrify 100% of its fleet of mining vehicles by 2035.

It’s also possible that the zinc producer will expand into mining or refining of metals that are crucial to the energy transition.

In June, New Delhi released a list of minerals — including copper, lithium and nickel — that it considers critical for its economic growth and where it sees supply risks. It also amended mining laws last month to make it easier for private miners to search for some minerals including lithium.

Hindustan Zinc is open to buying critical metals assets, Agarwal Hebbar said. It’s a “very exciting time,” she said. “Whatever seems relevant for us, we will definitely consider it.”

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