Vedanta’s subsidiary, Hindustan Zinc, has been identified as one of the ‘technically qualified bidders’ for gold and associated mineral blocks put up for auction by the Government of Rajasthan. According to a notice dated May 13, 2024, issued by the Directorate of Mines & Geology, Government of Rajasthan, Hindustan Zinc is among the qualified bidders for the blocks – Bhukia-Jagpura and Kankriya Gara Block.
Apart from Hindustan Zinc, other technically qualified bidders for the Bhukia-Jagpura gold block include Ramgad Minerals and Mining Ltd, Hirakund Natural Resources Ltd, Jindal Power, and Saiyyed Owais Ali. Meanwhile, for the Kankriya Gara gold block, the qualified bidders are Hirakund Natural Resources, Poddar Diamond, Owais Metal and Minerals Processing, Hindustan Zinc, and JK Cement, as per the Department of Mines and Geology (DMG) website of the Rajasthan government.
The auction process commenced in March this year, and as per the website, the auction of both gold blocks is scheduled to take place this week.
In other developments, the full-scale production of the country’s first large private gold mine in Andhra Pradesh is set to begin by the end of 2024. According to Hanuma Prasad, Managing Director of Deccan Gold Mines, the Jonnagiri gold project, which has already commenced pilot-scale operation, is projected to produce about 750 kilograms of gold annually once it reaches full-scale production. Currently, the mine produces approximately one kilogram of gold per month.
On the financial front, Hindustan Zinc reported a 21% decline in consolidated net profit to Rs 2,038 crore for Q4 FY24 compared to a profit after tax (PAT) of Rs 2,583 crore in the corresponding quarter of the previous financial year. Meanwhile, Vedanta Ltd registered a 27% decrease in fiscal fourth-quarter profit, attributed to rising finance costs and subdued metal prices. The net profit for the quarter ended March 31 stood at Rs 1,369 crore, down from Rs 1,881 crore in the same period last year.
