- HCL targets 12.2 MTPA ore production capacity by FY30
- Engineers India partnership and Codelco talks support growth strategy
State-run Hindustan Copper Ltd (HCL) is advancing its INR 7,188.90 crore mine expansion programme. The company aims to raise ore production capacity to 12.20 mnt/year by 2029-30, from around 4.21 mnt.
HCL has reported higher output as it progresses towards the 12.2 mnt target. In FY2025-26, ore production rose 6% to 3.67 mnt, while metal-in-concentrate production increased 9% to 27,421 t. HCL said the gains support its long-term mining capacity target.
The programme focuses on expanding existing mines, removing bottlenecks and increasing processing capacity. The company also aims to scale up its concentrator and milling capacity alongside mining operations.
Malanjkhand project moves towards execution
A key project under HCL’s expansion strategy is the new 3 mnt copper concentrator plant at Malanjkhand in Madhya Pradesh.
HCL’s board approved a work order for the plant in March 2026. The order, awarded to Ardee Engineering Ltd, carries a financial implication of INR 469.55 crore plus GST. The project has a 27-month execution period.
HCL has also been working on the resumption and improvement of operations at mines including Kendadih, Kolihan and Surda. These initiatives form part of the broader effort to increase output from existing assets.
The expansion forms part of HCL’s broader Vision 2030 strategy. The company aims to expand its copper and critical-mineral operations while improving efficiency through digital technologies such as AI, machine learning and private 5G.
HCL strengthens project execution capabilities
HCL has also brought Engineers India Ltd (EIL) into its expansion strategy.
The two companies signed a Memorandum of Agreement on June 22, 2026. Under the agreement, EIL will provide consultancy, engineering and project-management services to HCL.
The scope also includes safety and integrity studies, sustainability solutions and advanced technical services. It covers HCL’s operations across mineral exploration, mining, processing, smelting, refining and downstream extraction.
The partnership extends beyond copper to critical minerals and rare earth elements. It could support HCL as the company executes its large-scale capacity expansion programme.
Chile initiative adds an external supply dimension
Alongside its domestic expansion, HCL is also exploring access to overseas copper resources.
The company is in discussions to source copper concentrate from Chilean state-owned producer Codelco and supply it to Indian companies including Hindalco Industries and the Adani Group.
HCL is also exploring a possible joint venture with Codelco for copper mining and marketing.
However, the proposed JV has not been publicly confirmed by Codelco or the other parties. The talks therefore remain at an exploratory stage.
The Chile initiative could complement HCL’s domestic mine expansion. While the INR 7,188.90 crore programme aims to increase India’s domestic copper production, overseas sourcing could help address the country’s wider concentrate supply gap.
Outlook
HCL’s expansion programme is now moving across several fronts. The company is increasing mining capacity, adding processing infrastructure and strengthening project execution.
The Engineers India partnership adds technical and project-management support. Meanwhile, discussions with Codelco could give HCL access to additional copper resources outside India.
Despite the expansion, India’s copper ecosystem remains import dependent. HCL currently accounts for around 4% of India’s MIC requirement, while imports meet most of the remaining demand. HCL’s capacity will rise from 4.21 MTPA to 12.2 MTPA by FY30, but bridging the supply gap will take time.
With demand rising from infrastructure, EVs and manufacturing, imports are likely to remain important in the near to medium term. However, successful execution of HCL’s Vision 2030 plan could gradually improve domestic copper availability and reduce import dependence.
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