Adani, IHC plan $11.5 billion aluminium unit
The proposed Odisha plant would add more than 2 million tonnes of annual aluminium capacity and could lift India’s output sharply.
Mateo Fernandez ·
Adani Group and Abu Dhabi’s International Holding Company are planning an $11.5 billion aluminium project in Odisha, officials said, marking one of the largest proposed industrial investments tied to India’s metals sector. Reaction pending.
The planned unit is expected to have annual capacity of more than 2 million tonnes, officials said. If completed at that scale, the project could raise India’s aluminium production by nearly 50%, adding a major new source of supply to a market shaped by power costs, bauxite access and long construction timelines.
Odisha smelter reshapes aluminium supply
The proposal would deepen Adani Group’s push into metals and industrial infrastructure while giving International Holding Company a larger role in India’s commodity supply chain. Aluminium projects require large capital outlays because smelters depend on steady electricity, alumina feedstock, port access and rail logistics.
For global commodity markets, the effect would be gradual rather than immediate. New capacity of more than 2 million tonnes a year would not hit supply until permits, financing, construction and commissioning are completed, but it could alter future expectations for Asian aluminium balances if the project advances on schedule.
The industry risk is execution. Delays in environmental approvals, power supply agreements or raw material sourcing could push out the supply impact, while faster progress would pressure competitors to lock in energy and ore contracts earlier.
Through July 31, 2026, investors will be watching for formal company announcements, state approvals and financing details that confirm whether the $11.5 billion plan is moving from proposal to construction.