Vedanta updates on Q3 production

Vedanta said it has made substantial operational progress during Q3 with the enhancement of production from Zinc India and the ramp up of its Aluminium capacities.

“The 1,980 MW TSPL power plant continues to operate at a high availability of 77%,” said CEO Tom Albanese in a statement.

“In our Oil and Gas business, the EOR program at the Mangala oil field in Rajasthan continued to yield positive results. We are very excited about our Gamsberg Zinc project in South Africa where pre-stripping is well underway and first ore is expected in mid CY2018.

“We will continue our sustained focus on costs alongside rising capacity utilizations thus driving free cash flow growth.”

Q3 HIGHLIGHTS:

Zinc India:

– Mined metal production up 44% q-o-q in line with mine plan

– Integrated metal production increased q-o-q: zinc 38%, lead 26% and silver 10%

– Environment clearances received for expansion of Zawar and Sindesar Khurd mines

Aluminium:

– Continued ramp up of Jharsuguda-II and BALCO-II smelters; third line of the 1.25 mtpa Jharsuguda-II smelter commenced ramp up in December 2016

– Supply of coal has commenced from the 6mtpa coal linkages secured earlier this year

Power:

– 1,980MW TSPL plant fully operational with 77% plant availability

Oil & Gas:

– Rajasthan production impacted by planned shutdown; strong performance from Mangala EOR with production level of 55,000 barrels per day despite shutdown

Iron Ore:

– Expected to achieve annual mining cap at Karnataka and Goa in the current month; received additional mining allocation in Goa for FY 2017.

At 10:03am: (LON:VED) Vedanta Resources PLC share price was +4p at 1020p

Story provided by StockMarketWire.com