Ports-to-energy conglomerate Adani Group has forayed into copper manufacturing with tying up of funds from public sector lenders for a 1 million tonnes a yr unit at Mundra in Gujarat.
“Kutch Copper Ltd (KCL), a subsidiary of Adani Enterprises Ltd (AEL), is setting up a greenfield copper refinery project for production of refined copper with 1 million tonnes per annum in two phases,” the corporate mentioned in a press release.
For the phase-1 capability of 0.5 million tonnes, KCL has achieved monetary closure by means of a syndicated membership mortgage for the greenfield copper refinery challenge at Mundra, Gujarat.
It has executed “financing documents with the consortium of banks led by State Bank of India (SBI). The other consortium members are Bank of Baroda, Canara Bank, EXIM Bank of India, Indian Bank, Punjab National Bank, and Bank of Maharashtra,” the assertion mentioned.
The consortium of banks has sanctioned and signed an settlement for the complete debt requirement of Rs 6,071 crore for the Phase-1 of the KCL Project.
Vinay Prakash, Director, Adani Enterprises Ltd, mentioned the challenge has requisite know-how tied up and the development works on the web site are progressing properly and is scheduled to start manufacturing in the course of the first half of CY 2024.
“It will be one of the largest copper refinery complexes in the world, with benchmark ESG performance standards, leveraging state-of-the-art technology and digitilization. This financial closure enables us to accelerate the project and signifies the commitment of the Adani Group to mobilise the required resources and complete the project within the set timelines,” he mentioned.
KCL shall be a part of the supplies, metals and mining vertical of the Adani group.
SBI Capital Markets Ltd acted because the monetary advisor and Desai & Diwanji Advocates acted because the lenders’ authorized counsel. Saraf and Partners Law Offices acted because the authorized advisor to KCL.
KCL was integrated on March 24, 2021, with the target to undertake copper enterprise – associated actions such because the manufacture of copper cathodes and copper rods and related merchandise.
Adani Enterprises Limited (AEL) is the incubation arm of Adani group. Adani Ports & SEZ Limited, Adani Transmission Limited, Adani Power Limited, Adani Green Energy Limited, Adani Total Gas Limited and Adani Wilmar Limited have been incubated in AEL.