Shyam Metalics and Energy Limited Commences Commercial Production of Aluminium Foil Facility
Shyam Metalics and Energy Limited has announced that its stepdown subsidiary, SMEL Steel Structural Pvt. Ltd., has initiated commercial production at its state-of-the-art Aluminium Foil facility located in Sambalpur, Odisha. The production officially commenced on July 16, 2026.The facility is designed to produce premium-grade Aluminium Foil with a thickness range of 6 to 40 microns. This project falls under the downstream and value-added Aluminium Products category. The manufacturing unit at the Sambalpur plant features an installed capacity of 18,000 Tonnes Per Annum (TPA).
The company is investing approximately Rs. 800 Crores in aggregate for its Sambalpur Aluminium Downstream facilities. This investment covers both the newly commissioned Aluminium Foil facility and an upcoming Aluminium Flat Rolled Products (FRP) line at the same site.
Project Impact and Expansion Plans
The commencement of this facility is expected to drive significant product diversification by addressing domestic demand for high-quality packaging and industrial foils, thereby reducing dependence on imports. From a financial perspective, the project, including the upcoming FRP lines, is projected to enhance operating margins of the product by approximately 40% to 50%. Furthermore, it is expected to drive robust revenue growth, expanding the segment's topline by 2.0x to 2.5x.The project is also intended to generate socio-economic benefits by fostering localized employment and supporting downstream ecosystem growth in Odisha.
| Feature | Details |
|---|---|
| Product Name | Premium-grade Aluminium Foil (6 to 40 microns) |
| Production Start Date | July 16, 2026 |
| Manufacturing Entity | SMEL Steel Structural Pvt. Ltd. |
| Installed Capacity | 18,000 TPA |
| Capital Outlay | Rs. 800 Crores (Aggregate for Downstream facilities) |
The company is also preparing for further expansion at the Sambalpur site. The Aluminium Flat Rolled Products (FRP) facility, which will have an installed capacity of 60,000 TPA and a thickness range of 0.3 to 4.0 mm, is currently in its final readiness phase. This facility is on track for commercial launch by the end of September 2026.
SHYAMMETL Stock Price Movement
As of 1:51 PM, shares of Shyam Metalics and Energy Limited are slipping by 2.49% in live trading, currently at ₹1014.6. The stock is seeing active participation with a volume of 150,230 shares traded during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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