Hindustan Zinc to invest in up to 200 MW of renewable power generation

Indian zinc-lead and silver producer Hindustan Zinc Ltd (BOM:500188), a Vedanta Group Company, announced today it has approved the proposal for entering a long-term group captive renewable power development plan for up to 200 MW of capacity.

Specifically, the company plans to contribute up to INR 3.5 billion (USD 46m/EUR 41m) towards a 26% ownership stake in a special purpose vehicle (SPV) that will build the power generating capacity. This entity is expected to begin power deliveries within 24 months of the signing of the contract.

Hindustan Zinc did not disclose the names of the remaining shareholders in the SPV.

The mining firm said that the move aligns with its goal of reducing dependence on conventional sources of energy and shifting away from thermal power and to renewables. Its target is to achieve a 40% reduction in carbon footprint by the end of the decade and become carbon neutral by 2050.

(INR 10 = USD 0.132/EUR 0.118)

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