India: HZL lifts mined metal output in Q1FY’26, bets big on doubling zinc, lead capacity

• HZL posts highest-ever Q1 mined metal output
• Wind power generation shoots up by 113% q-o-q

Vedanta’s Hindustan Zinc Limited (HZL), the world’s largest integrated zinc producer, reported its highest-ever mined metal production for the first quarter of any financial year. In Q1FY’26, mined metal output stood at 265,000 tonnes (t), marking a 1% y-o-y increase, driven by consistent mine preparation and operational efficiency.

Refined metal production was at 250,000 t, down 5% y-o-y and 7% q-o-q, due to planned maintenance activities and plant availability constraints. This includes 202,000 t of refined zinc and 48,000 t of refined lead. Hindustan Zinc Alloys, a wholly owned subsidiary, delivered its highest-ever quarterly output of 5,100 t, contributing significantly to overall volumes.

Silver production came in at 149 t (4.8 million ounces), reflecting an 11% decline y-o-y, primarily due to lower feed from the Sindesar Khurd (SK) mine. Q-o-q, it fell 16% due to reduced lead production and base quarter WIP liquidation.

A notable highlight was wind power generation, which reached 134 million units in Q1FY’26, up 24% y-o-y and an impressive 113% q-o-q, attributed to improved wind velocity and seasonal factors.

In a significant strategic move, Hindustan Zinc has approved an INR 12,000 crore ($1.45 billion) investment to establish an integrated zinc complex, aligned with its ambition to double zinc, lead, and silver production capacity. The project aims to expand refined metal capacity by 250,000 t per annum, along with corresponding increases in mining and milling operations. Scheduled for completion in 36 months, the initiative is a cornerstone of the company’s broader 2x growth strategy.

HZL continues to advance its ESG credentials, with multiple plants operating under sustainable and circular practices. It is also ramping up green product offerings such as EcoZen, its low-carbon zinc brand, as it targets net-zero emissions by 2050 or earlier.

The company remains focused on operational excellence, sustainable production, and strengthening its position as a critical metals provider for the energy transition.