Vedanta Ltd, helmed by
Anil Agarwal, has requested expressions of interest (EoI) from potential buyers
for its Sterlite Copper facility in Thoothukudi, Tamil Nadu.
The deadline to send an EoI is July 4th.
In collaboration with
Axis Capital, Vedanta has issued a request for proposals. In May 2018, 13
people were murdered and 102 others were injured in a police shooting in
Thoothukudi during a demonstration against the plant’s development. The
smelting and refining plant was shut down as a result.
production standstill at Sterlite Copper’s Thoothukudi facility costs the
Indian government more than $1.2 billion in losses, according to the company.
Around 120,000 people
were affected due to the closure and nearly 400 MSMEs were affected as they
were dependent upon products like copper, sulphuric acid, and fluorosilicic
acid. According to an estimate, the area was suffering a loss of around Rs 700
crore per annum due to the shutdown.
The plant used to produce approximately 40 per
cent of India’s demand for copper and contributed around Rs 2,500 crore to the
exchequer, 12 per cent of Thoothukudi port’s revenue, and 95 per cent market
share of sulphuric acid in Tamil Nadu.
The copper smelter, with
a capacity of 400,000 metric tonnes per annum (MTPA), was contributing a larger
share of the country’s demand for refined copper and included a refinery and
copper rod plant, a sulphuric acid plant of more than 12,00,000 million tonnes
per annum (MTPA) and a phosphoric acid plant of 220,000 MTPA. It also had a 160
mega watt (MW) coal-based power plant to power the copper smelter.