I AM glad To Share THAT even during our phase of Transitioning From
open CAST Mining To underground Mining AT Rampur Agatha, our Flagship
Mine, we were Able To Achieve Record production, Control Costs And
Better our Financial performance.
The year was not without its challenges and obstacles and some
disappointments. we had to scale back our production targets due to
slow ramp-up of our underground mines. whilst our mined metal
production in the second half of FY 2014 was down marginally from the
first half, this largely rejected our shift in focus towards primary
mine development to facilitate future growth.
The year 2013 saw global industrial production grow at its slowest rate
since 2009. However, domestic demand in China has improved through the
second half of the year. The developed world is also showing gradual
recovery of economic activity.
during the year, zinc witnessed a good global demand leading to a
drawdown of inventories after years of build up. A similar scenario is
anticipated for 2014 as well. Starting next year, we will see some
major mine closures, which along with rising demand will likely lead to
mine supply shortfall by 2017.
India''s zinc demand will leverage from the recent depreciation of the
rupee, which is expected to increase exports and industrial production.
The anticipated global economic recovery would also facilitate auto
exports from India. The pick-up in consumer sentiments will further
give a flip to industrial and construction sectors, boosting demand
for our products.
Hindustan Zinc achieved a number of strategic milestones during FY
2014. we progressed on our expansion projects and achieved 76% increase
in underground mine development, an investment for the future. we began
underground stopping operations at Rampura Agucha and Kayad mines and
ramped up production at Zawar mines. The commissioning of the new
roaster at dariba provided stability and reliability to our zinc
The health and safety of our employees, contractors and communities is
core to our values. The total recorded injuries this year has reduced
by 13% as compared to last year. However, I regret to report that we
had four fatalities during the year. In our quest to prevent all
injuries and achieve our objective of zero harm, we have started a
four-year programme for Safety Cultural Transformation with a leading
global safety consultant. ''Aarohan'', the name given for this journey,
appropriately means ''stepping up'' towards safety excellence.
Corporate Social Responsibility
we have a deep rooted commitment to corporate social responsibility and
our projects have been appreciated at all levels. our CSR activities
are largely focused in the vicinity of our operations.
we touch over 500,000 lives through our social programmes to help solve
societal challenges and create opportunities for the underprivileged.
during the year, vedanta Heart Hospital in udaipur was upgraded to
provide world-class cardiac treatment to the underprivileged. we also
commissioned the first sewage treatment plant in Udaipur, which will
address the problem of untreated sewage flowing into the city''s lakes.
Inclusive of this project and many of our ongoing activities, we spent
over Rs.90 Crores though we still have some way to go before we reach the
desired threshold of 2% of the profits.
The ongoing transformation to an underground mining company gives us a
sustained platform from which to deliver industry-leading performance.
I look forward to the future with renewed optimism.