Shyam Metalics Commissions Aluminium Foil Facility in Odisha, Targets September Launch for FRP Plant
SMEL Steel Structural Pvt. Ltd., a step-down subsidiary of Shyam Metalics and Energy Limited, has commenced commercial production at its Aluminium Foil facility located in Sambalpur, Odisha. The facility is designed with an installed operational capacity of 18,000 tonnes per annum (TPA) to manufacture premium-grade foils within a thickness range of 6 to 40 microns.The company further confirmed that its Aluminium Flat Rolled Products (FRP) facility is currently in the final readiness phase. This plant is on track for a commercial launch by September 2026 and will feature an installed capacity of 60,000 TPA with a thickness range spanning 0.3 to 4.0 mm.
The company has invested approximately Rs 800 crore into the combined Aluminium facilities in Sambalpur. This strategic expansion into value-added downstream products is intended to diversify the product portfolio, address domestic demand for precision-engineered materials, and reduce import dependence. The initiative aligns with the Atmanirbhar Bharat vision under the Make in India framework.
The integration of these plants is expected to significantly impact the company's financial performance. Management anticipates that operating margins could increase by approximately 40 to 50 percent due to an optimized product mix and higher product realizations. Furthermore, the company projects a robust revenue growth, with the topline potentially expanding by 2x to 2.5x through expanded market reach and distribution across domestic and international markets.
| Product Category | Installed Capacity (TPA) | Thickness Range | Production Status |
|---|---|---|---|
| Aluminium Foils | 18,000 | 6 to 40 microns | Active Commercial Production |
| Aluminium Flat Rolled Products (FRP) | 60,000 | 0.3 to 4.0 mm | Scheduled by September 2026 |
Brij Bhushan Agarwal, Chairman and Managing Director of Shyam Metalics and Energy Ltd., stated that the start of commercial foil production marks a pivotal operational milestone in establishing a world-class downstream aluminium ecosystem. He noted that by providing high-quality specialized products, the company is positioned to serve high-growth economic segments and unlock new revenue streams while fostering socio-economic growth in Odisha.
Shyam Metalics and Energy Limited is an integrated metal-producing company with a significant presence in the steel industry across West Bengal, Odisha, Jharkhand, and Madhya Pradesh. The company focuses on Long and Flat Steel Products, Ferro Alloys, Aluminium, and Stainless Steel. Currently, it holds a market capitalization of more than Rs 29,000 Cr and maintains an aggregate installed metal capacity of 16.78 MTPA across the steel value chain, supported by a 467 MW captive power plant capacity.
SHYAMMETL Stock Price Movement
Shares of Shyam Metalics and Energy Limited are rallying to ₹1047 as of 10:47 AM today, up 1.28% in live trading. The stock hits its 52-week high of ₹1049.8 during the session on a volume of 176,493 shares.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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