The Odisha government has secured one of its biggest industrial investments by signing a memorandum of understanding (MoU) with UAE-based International
Holding Company (IHC) and the Adani Group for a massive integrated aluminium project worth Rs 1.10 lakh crore. Officials described the proposal as the largest foreign direct investment (FDI) ever received by Odisha and the biggest FDI proposal in India's metallurgy sector. The agreement was formalised between IHC and the Industrial Promotion and Investment Corporation of Odisha (IPICOL) in the presence of Chief Minister Mohan Charan Majhi and senior representatives of the participating companies. Under the agreement, Adani Enterprises Ltd and International Resources Holding (IRH), an IHC Group company, will establish a 50:50 joint venture to develop a greenfield integrated aluminium complex in Odisha. The project will be financed through a combination of debt and equity contributed by the partners. The proposed industrial complex will feature a 4-million tonne per annum (MTPA) alumina refinery, a 2-MTPA aluminium smelter, a 4,000-MW captive power plant, a 1-MTPA downstream manufacturing park, along with supporting infrastructure. The project is expected to generate approximately 53,500 direct and indirect employment opportunities across mining, refining, smelting and downstream manufacturing activities. Officials also indicated that logistics support is likely to be provided through Dhamra Port, a wholly owned subsidiary of Adani Ports and SEZ, located on the Bay of Bengal. Odisha Eyes Complete Aluminium Value Chain Highlighting the significance of the investment, Chief Minister Mohan Charan Majhi said the project would bring transformative benefits to the state. "This investment will enable Odisha to develop the complete aluminium value chain, from mining and refining to smelting and downstream manufacturing," the CM said. Majhi also stated that the initiative would create "unprecedented opportunities" for industrial expansion, employment generation and economic transformation across Odisha. According to officials, the mega investment will be executed in two phases. The first phase will involve an investment of Rs 66,000 crore, followed by a second phase worth Rs 44,000 crore. While the government has not officially disclosed the project location, industry sources indicated that the alumina refinery is expected to be established in Rayagada district, whereas the aluminium smelter is likely to come up in Sundargarh district. Company Executives Highlight Long-Term Vision Speaking after the signing ceremony, Syed Basar Shueb, CEO of IHC, outlined the company's broader strategy in the mining and minerals sector. “Through IRH, we are building an integrated mining and minerals business, investing across critical minerals to support industrial development, strengthen supply chain resilience and advance the energy transition.” “This partnership with Adani Enterprises reflects that strategy and our shared ambition to develop a world-class integrated aluminium project that creates lasting economic value,” Shueb added. Karan Adani, Managing Director, Adani Ports and Special Economic Zone (APSEZ) and Director, Adani Cement, also expressed confidence in Odisha's manufacturing potential. “The proposed JV between Adani Group and IHC Group will further strengthen our robust partnership. Along with Odisha government, we will build an integrated aluminium ecosystem that creates jobs, expands value-added manufacturing and strengthens India's industrial competitiveness,” he said. According to the Adani Group, the downstream manufacturing park is expected to attract companies producing components for transport, construction, power, packaging, renewable energy and advanced engineering. The project is also expected to encourage the growth of micro, small and medium enterprises (MSMEs) across Odisha by creating a stronger industrial supply chain.
