Abu Dhabi-based IHC Group and India’s Adani Group have entered into a joint venture to develop a greenfield aluminium project in the eastern Indian state of Odisha, valued at approximately $11.5 billion (Dh42.2 billion). The 50:50 partnership represents Odisha’s largest foreign direct investment (FDI) proposal to date and is set to become India’s largest FDI in the metallurgy sector.
The project encompasses a 4 million metric tonnes per annum (MMT-PA) alumina refinery, a 2 MMT-PA aluminium smelter, a 4,000-megawatt captive power plant, and a 1 MMT-PA downstream manufacturing park, along with the necessary supporting infrastructure. It will be developed in two phases and is expected to generate around 53,500 jobs. Approximately 35,000 jobs will be created during the construction period, while ongoing operations in mining, alumina refining, aluminium production, and downstream manufacturing are projected to sustain an additional 18,500 direct jobs. Indirect employment opportunities are also anticipated in sectors such as logistics, engineering, maintenance, and ancillary industries.
This collaboration builds on an existing partnership between IHC and Adani Group that covers areas including energy, transmission, and artificial intelligence. Earlier this year, IHC’s subsidiary ePointZero formed a joint venture with Adani Green Energy to advance renewable energy projects across India. The Odisha aluminium venture aligns with IHC’s broader multi-billion-dollar investment strategy in India.
The memorandum of understanding (MoU) for the project was signed in the presence of Odisha Chief Minister Mohan Charan Majhi, Minister for Industries and Skill Development & Technical Education Sampad Chandra Swain, and senior state officials. Chief Minister Majhi described the agreement as a significant milestone positioning Odisha within the global aluminium supply chain. He highlighted Odisha’s status as a leading hub for metals and mineral-based industries and expressed confidence that the project would enable the state to develop the complete aluminium value chain, from mining and refining to smelting and downstream manufacturing.
IHC Group Chief Executive Syed Basar Shueb emphasized the company’s focus on establishing long-term platforms in sectors crucial to the future global economy. The project is expected to enhance India’s aluminium manufacturing capabilities and solidify Odisha’s reputation as a prime destination for large-scale industrial investment in Asia.