Adani Enterprises has signed a Memorandum of Understanding (MoU) with the Odisha government to develop a greenfield aluminium project worth Rs 1.08 lakh crore in the state. The company will develop the project in partnership with Abu Dhabi-based IHC. The agreement marks one of the biggest investments in India's metals sector and strengthens Odisha's position as a major industrial destination.

Earlier, reports stated that the Adani Group and IHC plan to invest around $11.5 billion over the next few years to set up the large aluminium project. The investment could increase India's total aluminium production capacity by nearly 50 per cent. This will also become Adani Group's second major venture in the metals business after its copper smelter in Gujarat, which started operations last year.

The company plans to build a fully integrated aluminium manufacturing ecosystem in Odisha. The project will include an alumina refinery with a production capacity of nearly 4 million tonnes per annum. It will also have an aluminium smelter with a capacity of nearly 2 million tonnes per annum. In addition, the project will feature a downstream aluminium park with a production capacity of nearly 1 million tonnes per annum.

The aluminium project will receive support from a power plant with a capacity of about 4,000 megawatts. It will also include a green energy component of about 400 megawatts. This combination will help meet the project's large energy requirements while also adding a renewable energy element to the overall plan.

The proposed investment will become the largest foreign direct investment in India's metal sector. It will also be India's biggest integrated aluminium investment. The project reflects the company's plans to strengthen its supply of key commodities for its growing infrastructure business across different sectors.

Speaking about the project, Adani Enterprises Managing Director Karan Adani highlighted Odisha's importance for industrial growth. He said, "Citing Odisha's rich mineral reserves, Adani Enterprises Managing Director Karan Adani said the state provides a strong foundation for integrated manufacturing ecosystems, including metals, energy, cement, and downstream industries."

He further said, "This project brings together the full aluminium value chain into one integrated ecosystem."

The project is also expected to create significant employment opportunities. During the construction phase, it will generate nearly 35,000 jobs. Once operations begin, it will provide employment to around 18,500 people. The large-scale investment is expected to support industrial development in Odisha while expanding India's aluminium manufacturing capacity.