Adani Group Achieves Financial Closure Of KCL Project, Raises Entire Debt Of Rs 6,071 Cr
Kutch Copper Limited (KCL), a subsidiary of Adani Enterprises Ltd. (AEL), is constructing a greenfield copper refinery with a capacity of 1 MTPA (million tonnes per annum) in two phases. Through the completion of finance contracts with the consortium of banks led by State Bank of India, KCL has achieved financial closure for the phase 1 capacity of 0.5 MTPA for the greenfield copper refinery project at Mundra, Gujarat (SBI).
The other consortium members are Bank of Baroda, Canara Bank, EXIM Bank of India, Indian Bank, Punjab National Bank, and Bank of Maharashtra. The consortium of banks has approved and signed an agreement for the whole debt amount of Rs 6071 Cr for Phase 1 of the KCL Project.
“Aligned with ‘Atmanirbhar Bharat’, KCL aims to create the capacity for production of refined copper, which plays a vital role in strengthening the nation’s shift towards EV and renewables. The project has requisite technology tied up and the construction works at the site are progressing well and is scheduled to commence production during first half of CY 2024. It will be one of the largest copper refinery complexes in the world, with benchmark ESG performance standards, leveraging state of the art technology and digitilization. This financial closure enables us to accelerate the project and signifies the commitment of the Adani Group to mobilise the required resources and complete the project within the set timelines,”said Mr Vinay Prakash, Director Adani Enterprises Ltd.
The Materials, Metals & Mining sector of the Adani Portfolio will include Kutch Copper Limited.
With a distinct focus on SDG 7 (Affordable and Clean Energy), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 13, KCL is firmly dedicated to all UN SDGs (Climate Action). Based on the entire AEL ESG framework, KCL has a strong ESG mindset that is focused on benchmark production and manufacturing processes.
The lenders’ legal assistance was provided by Desai & Diwanji Advocates, while their financial advisor was SBI Capital Markets Ltd. KCL received legal advice from Saraf and Partners Law Offices.
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