Kutch Copper Ltd (KCL), a branch of Adani Enterprises Ltd (AEL), will commence its initial phase of operations by the end of March, with plans to achieve a full-scale production capacity of 1 million tonnes by the fiscal year ending in March 2029.
Kutch Copper Ltd, one of the prominent players in the copper industry, is renowned for its commitment to excellence and innovation. Founded with a vision to harness India’s copper resources, the company operates state-of-the-art facilities in the Kutch district of Gujarat. Specializing in the production of high-quality copper products, Kutch Copper Ltd leverages advanced technology and sustainable practices to meet global demand.
A new $1.2 billion facility is set to reduce India’s reliance on imported copper, an industrial metal in high demand due to the rapid growth of renewable energy, telecommunications, and electric vehicle sectors. Kutch Copper, a greenfield copper refinery, is on track to complete its construction in two phases, boasting a capacity to produce 1 million tonnes of refined copper annually.
Adani Enterprises, the subsidiary overseeing the Kutch Copper Ltd project, secured financing for Phase 1, which aims to produce 0.5 million tonnes per annum, through a syndicated club loan in June 2022. Adani has plans to establish itself as a global leader in the copper industry by capitalizing on the Adani Group‘s expertise in resource trading, logistics, renewable energy, and infrastructure.
Kutch Copper Ltd’s goal is to develop the world’s largest copper smelting complex by 2030. Currently, India’s per capita copper consumption stands at approximately 0.6 kg, significantly lower than the global average of 3.2 kg. However, with India’s push towards clean energy systems and the widespread adoption of electric vehicles, domestic copper demand is expected to double by 2030.
In the fiscal year 2023, imports reached a record high of 181,000 tonnes, while exports plummeted to a historic low of 30,000 tonnes, even below levels seen during the Covid pandemic. With domestic consumption estimated at 750,000 tonnes in FY23 and projected to surge to 1.7 million tonnes by 2027, driven largely by demand from the green energy sector, the need for copper is poised to escalate.
Global demand for copper, particularly from solar photovoltaic installations, is anticipated to double to 2.25 million tonnes by the end of the decade. The forthcoming Kutch Copper project is expected to produce copper cathodes, rods, and valuable byproducts like gold, silver, selenium, and platinum. Furthermore, the integrated complex will yield essential materials such as sulphuric acid, crucial for various industries including fertilizers, detergents, and pharmaceuticals.
India’s reliance on sulphuric acid imports, totaling approximately two million tonnes, is set to decrease with the plant’s production capacity of 1.5 million tonnes. Phase I of the project aims to produce 500,000 tonnes of refined copper annually, along with significant quantities of gold, silver, and sulphuric acid. Subsequent expansion in Phase II will boost refined copper capacity to 1 million tonnes per annum.
