Hindustan Copper’s Chairman and Managing Director Anupam Misra stated that the company’s cost discipline ensures financial stability despite fluctuations in global copper prices. Misra noted that benchmark copper prices are expected to remain above $14,000 per tonne due to a demand-supply gap, with global demand at 28 million tonnes against a supply of 23 million tonnes. At the time of writing, benchmark prices were trading at $14,508.85 per tonne.
Misra highlighted that Hindustan Copper’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) margin exceeds 50%, meaning costs are below 50% of revenue. This cost efficiency ensures profitability even if benchmark prices decline. The company plans a capital expenditure of over ₹7,000 crore in the next five to six years to expand mining capacity to 12.2 million tonnes per annum (MTPA).
Expansion efforts will focus on modernisation and capacity additions at existing mines, including Khetri, Kolihan, and Malanjkhand. The company has set intermediate milestones to ensure the 2030 targets are met without delays. Misra also mentioned that exploration efforts are primarily driven by public-sector entities due to the long gestation periods of mining projects, which deter private-sector participation.
Hindustan Copper is also exploring the acquisition of four copper blocks in Chile, the world’s largest copper-producing country. However, regulatory requirements may delay the process. Misra indicated that forming a joint venture in India and Chile could diversify risks and attract additional partners.