India’s Adani Group and Abu Dhabi’s International Holding Company (IHC) have entered into a preliminary agreement to jointly invest $11.5 billion in a substantial aluminium project situated in Odisha, eastern India. This initiative will be executed through a 50:50 joint venture between Adani Enterprises Limited (AEL) and International Resources Holding (IRH), part of IHC operating via 2PointZero. Upon completion, the project is anticipated to become the largest aluminium complex in Odisha and one of the most significant foreign direct investment ventures in India’s metallurgy sector.
The comprehensive greenfield project will feature a variety of components, including a four-million-metric-tonnes-per-year alumina refinery, a two-million-metric-tonnes-per-year aluminium smelter, a 4,000-megawatt captive power plant, and a downstream manufacturing park with an annual production capacity of one million metric tonnes. The development will occur in two phases, with an estimated $6.9 billion allocated for the first phase and $4.6 billion for the second. Adani and IHC are set to collaborate closely with the Odisha government to facilitate land acquisition, secure regulatory approvals, and develop necessary infrastructure.
This substantial investment is projected to create approximately 53,500 jobs during both the construction and operational phases, while also providing a considerable boost to indirect employment in sectors such as logistics, engineering, maintenance, and other related industries. The downstream manufacturing park aims to attract businesses manufacturing components for various sectors, including transportation, construction, power, packaging, renewable energy, and advanced engineering. The companies involved believe this initiative will not only bolster India’s aluminium manufacturing ecosystem but also support sustained industrial growth in the region.
IHC has stated that this investment aligns with its strategic vision of expanding globally across industries poised to influence the future economy. The company has been progressively increasing its footprint in the mining, energy, infrastructure, and technology sectors. Meanwhile, IRH continues to focus on building an integrated minerals business pivotal for the global energy transition. Earlier in the year, another IHC group entity, ePointZero, collaborated with Adani Green Energy to foster renewable energy projects across India, further strengthening the ties between the two business conglomerates.
This project also aligns with India’s national aim to enhance domestic aluminium production as demand is forecasted to reach 8.5 million tonnes by the 2030 financial year. Odisha, renowned for its vast bauxite reserves and accounting for over half of India’s aluminium output, has emerged as a strategic hub for significant investments in the sector. The proposed facility is expected to expand India’s manufacturing capabilities, reinforce supply chains, and solidify the country’s role as a key player in the global aluminium industry.