Hindustan Copper Ltd Likely to Exceed Capex Target for Fiscal Year

State-owned Hindustan Copper Ltd announced it will likely exceed its capex target of Rs 350 crore for the ongoing fiscal year. The company is continuing its investment in mine expansion and expects increased domestic copper demand driven by growth in renewable, transport, and construction sectors.

State-owned Hindustan Copper Ltd announced on Friday that it is likely to exceed its capital expenditure (capex) target of Rs 350 crore for the ongoing fiscal year.

In a filing to the BSE, the company revealed that despite a capex target of Rs 350 crore for this year, it anticipates surpassing the goal, as it did the previous year. Hindustan Copper Ltd has been actively investing in its ongoing mine expansion plans.

The PSU has also floated a tender for the appointment of a developer for the Rakha mine project. Once finalized, this will facilitate new investments.

According to Hindustan Copper Ltd, the demand for domestic copper is set to grow in tandem with the renewable energy, transportation, and construction sectors, all expected to achieve double-digit growth. Currently, the per capita consumption of refined copper in India is about 0.5 kg, significantly lower than the global average of 3.2 kg per capita, presenting a substantial growth opportunity. Given India's aggressive development trajectory, the copper demand is projected to outpace global demand.

Hindustan Copper Ltd operates under the administrative control of the Ministry of Mines and produces and markets copper concentrate, copper cathodes, continuous cast copper rods, and associated byproducts.