Hindustan Zinc Limited: India’s Dominant Force in Lead, Zinc, and Silver Production

By Metals Minerals Publication On May 30, 2025 0

Hindustan Zinc Limited (HZL), headquartered in Udaipur, Rajasthan, is India’s largest and the world’s second-largest integrated producer of zinc and lead. It is a subsidiary of Vedanta Limited, which holds a 64.9% stake, while the Government of India retains a 35.1% minority share. HZL’s operations encompass mining, smelting, and refining of zinc, lead, and silver, making it a pivotal player in India’s mining sector.

Zinc and Lead Production

HZL commands a dominant position in India’s zinc market, holding approximately 75% market share. The company’s flagship Rampura Agucha mine in Rajasthan is one of the world’s largest zinc-lead mines, contributing significantly to its production capacity. In the fiscal year 2024-25, HZL achieved a record mined metal production level of 310 kilotonnes, driven by increased ore production and enhanced grades.

Silver Production

HZL has emerged as a global leader in silver production. As of 2024, it became the world’s third-largest silver producer, with an annual production of approximately 714 tonnes. The company’s Sindesar Khurd mine has ascended to become the world’s second-largest silver-producing mine, reflecting HZL’s strategic focus on scaling its silver output.

Operational Facilities

HZL operates several mines and smelting facilities across Rajasthan, including:

Rampura Agucha Mine: A combination of open-pit and underground mining operations, contributing significantly to zinc and lead production.
Sindesar Khurd Mine: Notable for its substantial silver output, making it a key asset in HZL’s portfolio.
Chanderiya Smelter Complex: The world’s largest lead-zinc smelter complex, refining ore from Rampura Agucha and other mines.

These facilities are integral to HZL’s integrated operations, enabling efficient extraction and processing of minerals.

Financial Performance

In the quarter ending March 31, 2025, HZL reported a consolidated net profit of ₹30.03 billion, marking a 47.4% increase year-on-year. This growth was attributed to higher metal production and a 17.5% rise in domestic zinc prices, fueled by demand from India’s construction and manufacturing sectors. The company’s revenue from operations rose by 21.2% to ₹88.29 billion, with the silver segment registering a 24.1% revenue boost.

HZL is committed to sustainable mining practices and has implemented various initiatives to reduce its environmental footprint. The company recycles significant volumes of water annually and is investing in renewable energy to power its operations. Looking ahead, HZL aims to double its production capacity to 2 million tonnes per annum by 2030, focusing on expanding into critical minerals and enhancing its role in the global energy transition.

Hindustan Zinc Limited’s strategic initiatives and robust operational capabilities position it as a cornerstone of India’s mining industry and a significant player on the global stage.