Aditya Birla to triple Odisha alumina capacity

Aditya Birla Group has proposed a substantial scale-up of its Kansariguda alumina refinery project in Rayagada district of Odisha. The group has offered an additional investment of Rs 12,000 crore, equivalent to about $1.26 billion, to enlarge the size and scope of the greenfield facility.

The refinery was originally planned with a capacity of 1 million tonnes per annum and an estimated investment of about Rs 8,000 crore. Under the new proposal, installed capacity would rise by 2 million tonnes per annum, taking total planned capacity to 3 million tonnes per annum.

With the extra capital commitment, the overall project cost is expected to increase to roughly Rs 20,000 crore, or about $2.1 billion. This positions Kansariguda as a significantly larger alumina asset within the group’s portfolio than initially envisaged.

Hindalco Industries, the metals flagship of the Aditya Birla Group, is slated to execute the expanded Kansariguda project. The refinery is structured as a greenfield development, and the capacity increase will be incorporated into this ongoing build-out.

The enlarged investment plan underscores Hindalco’s role in driving the group’s metals and alumina strategy within India. The higher capacity target at Kansariguda is intended to be achieved within the framework of the existing project, rather than through a separate facility.

The proposal for the expansion was discussed at a meeting between Odisha Chief Minister Mohan Charan Majhi and Aditya Birla Group Chairman Kumar Mangalam Birla. The meeting focused on the revised project scale and the support required from the state to enable timely implementation.

State authorities have stated that the Odisha government will facilitate land, infrastructure, utilities and statutory approvals for the Kansariguda project. This support is aimed at ensuring the enlarged refinery can move forward within the regulatory and logistical framework of the state.

Officials have positioned the project as a deepening of investment in Odisha’s alumina and aluminium value chain. The larger refinery is expected to reinforce the state’s role in India’s broader metals industry and support development of related downstream activities.

The Kansariguda refinery, located in Rayagada district, has been planned as a key greenfield alumina project. Tripling the planned capacity marks a notable shift in the project’s scale for the region.

The increased investment and capacity plan reflect a strengthened commitment to the Rayagada site within Aditya Birla Group’s industrial footprint. With the state’s pledged support on land, infrastructure and approvals, the project is positioned for an expanded implementation phase at the higher 3 mtpa capacity level.