Hindustan Zinc’s investments in capacity expansion, operational efficiency and technology are delivering higher production and lower costs, said Priya Agarwal Hebbar, Chairperson, in her letter to shareholders for the second quarter of FY27.
The company’s initiatives, including the Debari roaster and debottlenecking projects at Chanderiya and Dariba, have contributed to higher refined metal output and improved operating efficiencies, she said.
“Looking back at the first half of FY27, I am encouraged to see many of our long-term investments translating into tangible outcomes,” Hebbar said, noting that progress in mining depends on sustained investment, innovation and disciplined execution.
Hindustan Zinc’s mined metal production rose 5 per cent year-on-year to 271,000 tonnes in the September quarter, while refined metal production increased 7 per cent to 264,000 tonnes. Silver production grew 20 per cent to 173 tonnes.
Net profit more than tripled to ₹6,412 crore. The cost of production of zinc, excluding royalty, declined 29 per cent to $703 per tonne.
Hebbar said the company’s strategy goes beyond increasing output to extracting greater value from its resources and building a metals business aligned with India’s industrial and technological ambitions.
As demand for strategic minerals grows, reliable domestic supply chains will be important for industrial expansion, clean energy and advanced manufacturing, she said.
During the quarter, Hindustan Zinc secured a letter of intent for the Gundlupet Rare Earth Elements and Yttrium Block in Karnataka. The development, which remains at an early stage, marks an expansion of the company’s presence in critical minerals.
The company is also deploying tele-remote mining, automation, artificial intelligence-led process optimisation and predictive maintenance across its operations.
With more than 62 per cent of its workforce under the age of 35, Hebbar said technology, young talent and safety would remain central to the future of mining.
Going forward, the company will focus on sustaining operational momentum, executing growth projects, improving productivity and expanding its presence in critical minerals.
Published on October 27, 2026
