National Aluminium Company Limited (NALCO): India’s Integrated Aluminium Giant Driving Industrial Growth and Sustainability

National Aluminium Company Limited (NALCO) is a Navratna Central Public Sector Enterprise (CPSE) under the Ministry of Mines, Government of India, and is among the largest integrated aluminium producers in Asia. Founded in 1981, NALCO’s operations span the entire value chain of aluminium production—from bauxite mining to alumina refining, aluminium smelting, power generation, and downstream fabrication.

Headquartered in Bhubaneswar, Odisha, NALCO is a flagship company in the non-ferrous metal sector and a vital contributor to India’s self-reliance in critical raw materials. It is also a significant foreign exchange earner through its substantial exports of alumina and aluminium.

Integrated Operations: From Mine to Metal

NALCO is unique in its fully integrated operations, enabling cost efficiencies, quality control, and long-term sustainability. Its value chain includes:

1. Bauxite Mining

• Operated through the Panchpatmali Bauxite Mines in Koraput district, Odisha

• One of the largest captive bauxite deposits in India

• Current capacity: Over 6.8 million tonnes per annum (MTPA)

• Supplies 100% of the raw material requirement for its alumina refinery

2. Alumina Refining

• Located at Damanjodi, Odisha

• Capacity: 2.1 MTPA

• Converts bauxite into alumina (aluminium oxide) using the Bayer process

• Exports significant quantities of alumina to international markets

3. Aluminium Smelting

• Located at Angul, Odisha

• Capacity: Over 4.6 lakh tonnes per annum (LTPA) of aluminium metal

• Uses state-of-the-art reduction technology

• Produces aluminium ingots, billets, wire rods, and other products

4. Captive Power Generation

• 1200 MW Captive Power Plant (CPP) at Angul to supply electricity to the smelter

• NALCO is one of the lowest-cost producers of aluminium in the world due to its captive energy infrastructure

Downstream Products and Exports

NALCO produces a wide range of high-purity aluminium products for sectors including:

• Electrical transmission

• Automotive and transport

• Aerospace

• Construction and infrastructure

• Consumer electronics

The company is also a leading exporter of alumina, with markets across Asia, Europe, and the Middle East, helping India earn valuable foreign exchange.

Sustainability and Innovation

NALCO has made significant progress in environmental conservation and sustainability, including:

• Adoption of zero-discharge systems in refining

• Waste-to-wealth initiatives, such as red mud utilization

• Solar power installations to support India’s green energy transition

• Ongoing efforts to reduce its carbon footprint and shift towards green aluminium

Additionally, the company invests in R&D and has collaborated with CSIR, IITs, and other institutions for process improvement and technology development.

Strategic Importance in India’s Growth

NALCO plays a critical role in India’s ambitions in infrastructure, clean energy, and manufacturing:

• Aluminium is a strategic metal used in solar panels, EVs, power grids, and construction

• NALCO supports India’s Make in India and Atmanirbhar Bharat initiatives by providing raw materials to key sectors

• The company aids in developing tribal and remote areas, especially in Odisha, through employment and CSR

Expansion Plans and Future Outlook

To meet the growing domestic and global demand, NALCO is implementing an ambitious expansion and diversification strategy, including:

• Increasing alumina refinery capacity to 5 MTPA

• Expanding bauxite mining operations

• Setting up a new smelter in Odisha

• Exploring entry into lithium and rare earth elements (REEs) as part of critical mineral security

Recognition and Achievements

• Navratna status awarded by Government of India

• Among the lowest cost producers of alumina and aluminium globally

• Winner of several national awards in environment protection, CSR, and energy efficiency