Synopsis: Vedanta Chairman Anil Agarwal outlined an ambitious growth strategy for the group’s demerged businesses, targeting significant capacity expansion across aluminium, zinc, copper, oil & gas, steel and power. The company also plans to invest $5 billion in its oil and gas business while aiming to make each of its five listed entities a $100 billion company.
Shares of Vedanta Group companies are likely to remain in focus after Chairman Anil Agarwal unveiled an aggressive expansion roadmap at the company’s 61st Annual General Meeting, outlining large-scale capacity additions across metals, mining and energy businesses following the group’s recent demerger.
Shares of Vedanta Limited were trading at Rs 257.85, down by 1.04 percent from the previous close of Rs 260.55. The stock opened at an intraday high of Rs 262.40, and the lowest so far is Rs 256.10. The company currently commands a market capitalisation of Rs. 1,00,829 crore.
According to the company’s AGM update, Vedanta has completed its demerger into five listed businesses—Vedanta Limited, Vedanta Aluminium, Vedanta Oil & Gas, Vedanta Iron & Steel and Vedanta Power. Agarwal said each of these businesses has the potential to become a $100 billion company, with future growth centred around higher production, stronger partnerships and sustainable development.
The group has announced ambitious production targets across its portfolio. It plans to nearly triple zinc and lead production to 3 million tonnes by 2031, double silver production to 1,500 tonnes, expand copper production to 1 million tonnes by the end of the decade, increase ferrochrome capacity to 5 lakh tonnes by FY28, and raise nickel production to 60,000 tonnes. The company is also exploring 10 critical mineral blocks, including lithium, cobalt, nickel, rare earth elements, gold and copper, to strengthen its long-term resource base.
In the aluminium business, Vedanta aims to double production capacity from around 3 million tonnes to 6 million tonnes over the next three years while maintaining its position among the world’s lowest-cost producers through integrated operations. The company also plans to significantly expand its oil and gas business, targeting 5 lakh barrels of production per day with an investment of $5 billion over the next three to five years.
The group’s iron and steel business is expected to increase annual production capacity from 4 million tonnes to 15 million tonnes, with a focus on green steel and specialty steel. Meanwhile, Vedanta Power plans to expand its generation capacity to 20,000 MW and diversify into nuclear power, reflecting the group’s broader ambitions in India’s evolving energy landscape.
The expansion plans come after a record FY26, during which Vedanta reported its highest-ever revenue of Rs. 1.74 lakh crore and record net profit of Rs. 25,096 crore. The company also highlighted the increasing use of artificial intelligence and digital technologies to improve operational efficiency and optimise mining and manufacturing processes across its businesses.
India’s growing demand for metals, critical minerals and energy is being driven by rapid infrastructure development, electric vehicles, renewable energy, defence manufacturing and urbanisation. The government’s emphasis on domestic resource security and manufacturing is creating long-term opportunities for diversified natural resources companies such as Vedanta to expand production and reduce dependence on imports.
For investors, the AGM announcements provide a clearer picture of Vedanta’s post-demerger growth strategy. The planned capacity additions across aluminium, zinc, oil & gas, steel and power could support long-term earnings growth if executed successfully. However, these expansion plans will require substantial capital expenditure, timely project execution and favourable commodity prices to deliver the anticipated returns.
Vedanta Limited is one of India’s leading diversified natural resources companies with operations spanning zinc, aluminium, oil & gas, iron ore, steel, copper and power. Following its demerger, the group now operates through five focused listed entities, each targeting independent growth while capitalising on India’s increasing demand for metals, minerals and energy.
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