Hindustan Copper's $2,400 Crore Revival: A Winning Bid for Jharkhand Mines

Hindustan Copper plans to generate Rs 2,400 crore in revenue over 20 years from a new contract with JSW Group's South West Mining Ltd. This contract involves developing the Rakha and Chapri copper blocks in Jharkhand, pegged to revive state operations and reduce copper import dependency.

State-owned Hindustan Copper is set to generate Rs 2,400 crore in revenue over the next two decades through a lucrative contract with a JSW Group company, a senior official disclosed Sunday. Assigned as the mine developer and operator, JSW Group's South West Mining Ltd secured this contract following competitive bidding in January.

This strategic deal, pivotal for reviving Jharkhand operations, involves the Rakha and Chapri copper blocks, enhancing the firm's revenue-sharing model. Chairman Sanjiv Kumar Singh, who recently assumed this role, emphasized that the project aligns with growing domestic copper demand across multiple industrial sectors, aiming to curb India's import reliance.

Poised for a full-scale ramp-up, the Rakha mine will achieve an annual ore capacity of three million tonnes by late 2026-27. The project's execution relies on the asset-light approach of revenue sharing, where Hindustan Copper will offer technical support, ensuring India's industrial growth navigates confidently forward.

(With inputs from agencies.)