Adani Enterprises Lid (AEL), the flagship company of the Adani Group, and International Resources Holding (IRH), the Abu Dhabi-based natural resources investment platform of International Holding Company (IHC) Group on Thursday (July 2, 2026) signed a Memorandum of Understanding (MoU) with the Government of Odisha to develop an integrated greenfield aluminium project in Odisha with an investment of $11.5 billion (₹1.08 lakh crore).
AEL and IHC will form a 50:50 joint venture for the proposed project. This will mark the entry of the Adani Group into the aluminium sector.
The proposed investment is expected to be Odisha’s largest Foreign Direct Investment (FDI) proposal and India’s largest foreign direct investment in the metallurgy sector, government of Odisha officials said.
The project comprises a 4 million metric tonnes per annum (MMTPA) alumina refinery to come up in Rayagada district on 3,200 acres land, a 2 MMTPA aluminium smelter, a 4,000-megawatt (MW) captive power plant and a 1 MMTPA downstream manufacturing park, supported by enabling infrastructure in the Sundargarh district on 4,100 acres land.
Buxite will be sourced from Odisha Mining Corporation’s Sasubahumali mines and Adani’s two mines of Kutrumali and Bahalda.
It is expected to generate around 53,500 jobs across the construction and operations of the project. The MoU was signed in the presence of Mohan Charan Majhi and other dignitaries.
The project will be developed in two phases, with investments of approximately ₹66,000 crore in Phase I and ₹44,000 crore in Phase II.
The Adani portion of the investment will be funded through internal accruals and debt.
While it will take about 12 to 18 months for meeting milestones and getting clearance, it would take about another 3.5 years to establish the project, said Karan Adani, MD Adani Ports & SEZ.
“The proposed project reflects our confidence in Odisha as a long-term manufacturing destination. The proposed JV between Adani Group and IHC Group will further strengthen our robust partnership,” he said.
“Together with the Government of Odisha, we will build an integrated aluminium ecosystem that creates jobs, expands value-added manufacturing and strengthens India’s industrial competitiveness,” he added.
Odisha Chief Minister Mohan Charan Majhi said, “Today marks Odisha’s entry into the global aluminium supply chain. Already India’s leading hub for metals and mineral-based industries, the State is now poised to become a global centre for aluminium and value-added manufacturing.”
“This investment will enable Odisha to develop the complete aluminium value chain, from mining and refining to smelting and downstream manufacturing, creating greater value within the State,” he added.
Syed Basar Shueb, CEO, IHC, said, “We are building long-term platforms in industries that will define the future of the global economy. Through IRH, we are building an integrated mining and minerals business, investing across critical minerals to support industrial development, strengthen supply chain resilience and advance the energy transition.”
“This partnership with Adani Enterprises reflects that strategy and our shared ambition to develop a world-class integrated aluminium project that creates lasting economic value,” he said.
Odisha Industries Minister Sampad Chandra Swain said, “This investment reflects growing confidence in Odisha’s industrial ecosystem. The Government will work with all stakeholders to provide timely approvals and facilitate the project’s implementation.”
The investment will deepen value-added aluminium manufacturing in Odisha while strengthening India’s position in global aluminium supply chains, officials said.
The downstream manufacturing park is expected to attract manufacturers producing components for transport, construction, power, packaging, renewable energy and advanced engineering, supporting the growth of micro, small and medium enterprises (MSMEs) across the state.
Once operational, the project is expected to strengthen India’s aluminium manufacturing base while reinforcing Odisha’s position as one of Asia’s leading destinations for large-scale industrial investment.
Following the signing of the MoU, the proposed joint venture partners, AEL and IRH, together with the Government of Odisha, will advance the next phase of the project, including land acquisition, statutory approvals and infrastructure planning.
IHC is one of the world’s largest investment firms, with a market capitalization of $233 billion and a portfolio of more than 1,300 subsidiaries spanning technology, infrastructure, financial services and consumer.
Home to some of India’s largest bauxite reserves, Odisha is already a major producer of alumina and aluminium.
(This writer was in Bhubaneswar at the invitation of Adani Group.)
Published – July 02, 2026 01:31 pm IST
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