Metals and mining conglomerate Vedanta is on a path to transformation, focusing on transitioning critical minerals, energy, and technology. The company’s new phase, dubbed "Vedanta 2.0," was outlined by Priya Agarwal Hebbar, Chairperson of Hindustan Zinc (HZL) and Non-Executive Director of Vedanta, at the World Economic Forum in Davos.
“It’s time for Vedanta 2.0. Our entire focus as a company is transformation. We're calling it transforming for good. Our portfolio is focused on transition-critical minerals, energy, and technology, and that’s really where we stand,” Agarwal said in an interaction with Moneycontrol’s Chandra R. Srikanth.
In June 2024, Vedanta announced a capital expenditure plan of $1.9 billion aimed at reducing its working capital requirements. Speaking to Moneycontrol at Davos, Agarwal revealed plans to significantly increase its production in key sectors, including zinc and aluminum.
“Zinc production will rise to 2 million tonnes, while aluminum output is set to reach 4 million tonnes. Additionally, Vedanta plans to expand its oil and gas production,” said Priya Agarwal Hebbar, Chairperson of Hindustan Zinc and Non-Executive Director of Vedanta.
In its latest annual report, Vedanta also stated that its UK-based parent, Vedanta Resources, aims to reduce debt by $3 billion over the next three years.
“We’re proud to have reduced our debt by $4.6 billion in the last few years. Additionally, we’ve raised $3.6 billion recently, one of the largest fundraising efforts by any Indian company globally,” Agarwal added.
Agarwal also emphasised that as part of the company’s transformation, Vedanta will focus on exploring more critical minerals.
“And I think it's about time that companies like us and many others come together and explore because the energy transition cannot happen without the critical minerals and even the base metals like copper and zinc,” Agarwal said.
Last year, Vedanta, under the leadership of billionaire Anil Agarwal, initiated a major restructuring plan to split the company into six distinct businesses, a strategy designed to strengthen the group's financial performance.
Speaking about the company’s succession plans, Priya Agarwal stated that each of Vedanta’s subsidiaries is capable of becoming a Vedanta of its own under ‘superhero CEOs.’
“Each company can become a Vedanta of its own with the right management, with the right CEOs. We're bringing in global Indian superhero CEOs to drive them. We want to trust them... It's a company for the people, for our communities, for our employees, for the government, for all our stakeholders, and our shareholders. It’s up to them how they would like the company to go forward,” she added.
Regarding AI innovation, Agarwal shared how the company has leveraged AI to enable women workers to actively participate in the mining business.
“Now our mines are being run by women, and a lot of it has to do with AI because the work is being done from your office desk. The vehicles are moving like from remote control; half the individuals are above ground, not underground. The safety improvements have been really remarkable,” she said.
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