Adani group begins operations of its copper unit plant at Mundra, Gujarat

Billionaire Gautam Adani-led group on Thursday announced the start of the first phase of the world's largest single-location copper manufacturing plant at Mundra in Gujarat, which will help cut India's dependence on imports and aid energy transition.

Kutch Copper, a subsidiary of group's flagship firm Adani Enterprises Ltd, "commissioned the first phase" of USD 1.2 billion "greenfield copper refinery by dispatching the maiden batch of cathodes to customers", the company said in a statement.

The first phase of the facility that will produce 0.5 million tonnes a year of refined copper has started operations and full-scale 1 million tonnes capacity is expected by FY29 (March 2029).

India joins China and other nations that are rapidly expanding production of copper, a metal crucial for transition away from fossil fuels. 

Technologies critical to the energy transition like electric vehicles (EVs), charging infrastructure, solar photovoltaics (PV), wind and batteries, all require copper.

It will create 2,000 direct and 5,000 indirect employment opportunities.

India's per capita copper consumption is estimated around 0.6 kg compared to the global average of 3.2 kg. 

India's drive towards clean energy systems, increasing penetration of electric vehicles and a host of associated applications are expected to double the domestic copper demand by 2030.

The Adani Group is investing heavily in energy transition, in which copper will play a vital role.

It is expanding into adjacent areas of its current capabilities, which makes the copper business a strategic fit.