HZL in 60 secHindustan Zinc Limited is a fully integrated player, focussed on driving sustainable future growth.
At Hindustan Zinc, amidst heartening optimism, there is, a strong sense of buoyancy that drives us towards new horizons of greater growth and inclusive value creation. The journey of the past one year, which saw us successfully negotiate a multitude of challenges, has left us enthused about the future. It has encouraged us to surge proactively ahead towards realising our vision and delivering on our promises and goals.
At Hindustan Zinc, we have set our Big, Hairy, Audacious Goals (BHAGs) for the future by looking beyond the myopic lens of business profitability. We have mapped our BHAG journey from a holistic perspective, guided by our ambition to deliver inclusive growth for all our stakeholders. We have strategised an all-encompassing, sustainability-led approach, centred on volume expansion with zero injury and 100% renewable energy (RE) utilisation in our operations. We shall continue to leverage the most advanced technologies to create a better environment for an enhanced quality of life, with more diversity and inclusion. We remain committed to bringing a meaningful change in the lives we touch.
At Hindustan Zinc, we remain committed to sustainable mining backed by focussed investments to enhance safety, productivity, and efficiency at our mines.
Total Mine Development
Total Mined Metal
Mined Metal - Zinc
Mined Metal - Lead
Hindustan Zinc Smelter business successfully delivered historically high refined metal production of 967 kt.
Refined Metal Production
Integrated Zinc Production
Integrated Lead Production
Integrated Silver Production
Given the importance of mine life to our strategic growth agenda, our exploration teams remain consistently focussed on upgradation of our resources to reserves.
Reserves & Resources
Reserves
Resources
Mine life (R&R) at current rate of metal production
Hindustan Zinc’s power business is geared towards achievement of carbon neutrality and reduction in Greenhouse Gas (GHG) emissions, while being focussed on boosting theoperational excellence of our thermal plants.
Total Power Capacity
Captive Thermal Power Capacity
Renewable Power Capacity (Wind + WHRB + Solar)
Hindustan Zinc, with a primary zinc market share of 80% (including alloys) in FY 2021-22, remained India’s largest primary zinc producers.
Hindustan Zinc is one of the leading lead producers in India with a market share of 76% in the primary market in FY 2021-22.
In CY 2021, global mine production increased by 5.3% year-on-year (y-o-y). This was the biggest annual rise in silver output since CY 2013.
(₹crore) (including other operating income)
(₹crore)
A sustainable business is one that serves an enduring purpose in society, and considers, in all its decision-making, the varied forms of value it can deliver to all stakeholders, including the natural environment.
Celebrating ESG 2.03 MIN
At Hindustan Zinc, FY 2021-22 was a year of celebrating many exceptional accolades that recognised the Company’s strong focus on delivering excellence across every facet of its business value chain.
Mrs. Kiran Agarwal was appointed on the Board with effect from March 2, 2019. She has completed a course in Journalism, from London School of Journalism. She is an avid reader, prolific writer and a woman of many facets. Her love for reading inspired her to write a series of books with short stories on Indian ethos.
She has been actively involved with her family business and sharing her acumen on various business developments in the family, and in setting up Nand Ghar, an educational institution for the underprivileged, where children get their wings to fly high, under right guidance and value based education.
She is focussed on implementation of various CSR initiatives of the Company towards women empowerment, children’s education and selfsufficiency of nearby communities. She is passionate about inclusive growth of communities and promotion of culture and sports at all levels.
She is also Trustee of Vedanta Foundation and Member of Anil Agarwal Foundation.
Mr. Navin Agarwal was appointed on the Board on April 11, 2002. He is also the Executive Vice Chairman of Vedanta Limited and Vedanta Resources Limited.
A graduate in commerce from Sydenham College, Mumbai, Mr. Agarwal has completed the President Management Programme from Harvard University.
He has been associated with the Vedanta Group since inception and has four decades of strategic executive experience. Under his stewardship, the Company has achieved leadership position in non-ferrous metal.
Over the years, he has been instrumental in building a highly successful meritocratic organisation. He has spearheaded the Company’s strategy through a mix of organic growth and valueaccretive investments.
He is passionate about developing leadership talent and has been responsible for creating a culture of excellence through the application of advanced technologies, digitalisation, global best practices and highest standards of corporate governance. His vision is to gradually unlock the enormous potential of the natural resources sector and make it an engine of growth for India.
In recognition of his exceptional distinction in the fields of business, entrepreneurship and contribution to the natural resources sector, he was conferred the ‘Industrialist of the Year’ award by the Bombay Management Association in 2018. He is a fervent advocate of sustainable development and remains committed to inclusive growth of communities and promotion of culture and sports at all levels.
Mr. Arun Misra was appointed CEO & Whole-time Director on August 1, 2020.
He has done his Bachelors in Electrical Engineering from IIT, Kharagpur, Diploma in Mining and Beneficiation from University of New South Wales, Sydney and Diploma in General Management from CEDEP, France. He possesses knowledge of TQM, Six Sigma, TPM and Malcolm Baldridge Model.
He has 33 years of rich and diverse experience in leading various strategic positions in heavy metals industries. He has been instrumental in successfully leading projects, plant and mining operations, safety and project management. He is passionate about digitalisation of underground mining. He is the first Indian Chairperson of International Zinc Association and Vice President of Indian Institute of Mineral Engineers. He has also published several papers in journals of national repute.
He was presented the ‘CEO of the Year’ award by World Leadership Congress and Awards.
He is also on the Board of Ferro Alloys Corporation Limited and Federation of Indian Mineral Industries.
Mr. Anjani K Agrawal was appointed on the Board with effect from August 1, 2020. He has done CA, CIA and is an INSEAD alumni. He has more than 41 years of professional experience in leading global consulting firms, which includes 35 years with Ernst & Young (EY) where he was a partner for 26 years. He set up the Risk Advisory practice of the firm and led it for several years.
His area of expertise includes internal audits, process reviews, enterprise risk management, policy framework and SOP development, internal control, corporate governance, board effectiveness, business transformation, BPR and IT implementation, strategic risk management, supply chain optimisation, GRC and IT risk transformation, data analytics and digital and sustainability reporting.
He has been a sector leader for energy and utilities and metals and mining for several years in India, with few years as the firm’s global metals sector leader. He has also worked with the Union Government and NITI Aayog on several policy matters. He has produced more than 20 thought leadership reports on metals and mining sector in India and globally.
He is also on the Board of Uttam Galva Metallics Limited, Uttam Value Steels Limited and Firstsource Solutions Limited.
Mr. Akhilesh Joshi was appointed on the Board with effect from August 1, 2020. He completed his Bachelor’s in Mining and possesses first class Mining Manager Certificate of Competency under MMR – 1961 (unrestricted), Diploma from Paris School of Mines in Economic Evaluation of Mining Projects. He has over 45 years of professional experience in mining with an exemplary track record of nurturing one of the world’s largest integrated zinc, lead and silver producing organisation with a high-performance culture that brings out the best in its employees and propels strategic and meticulous execution to deliver extraordinary results.
He was the CEO of Hindustan Zinc Limited from 2012 to 2015 and also appointed President of global zinc business. He provided guidance to gold mining companies in Armenia, engaged and worked closely with companies like SRK/ AMC etc., for benchmarking and mining methodology evaluations.
In his long global career, he has been recognised with numerous awards including Business Today CEO Award, HZL Gold Medal award by Indian Institute of Metals. In 2012, he was facilitated by then Honourable Finance Minister for his excellent contribution to the mining sector. He is also a member of The Institution of Engineers (India), Mining Engineers Association of India (MEAI), Mining Geological and Metallurgical Institute of India (MGMI) and Indian Institute of Mineral Engineers (IIME).
He has also co-authored a book titled ‘Blast Design Theory and Practice’ and written various technical papers in relation to exploration and mining since 1995.
He is also on the Board of Vedanta Limited, Rajasthan State Mines and Minerals Limited, Ferro Alloys Corporation Limited, Facor Power Limited, Wolkem Industries Limited and Wolkem India Limited.
Ms. Farida M Naik was appointed on the Board on March 14, 2017. She is an alumnus of Sophia College, Mumbai from where she graduated in Psychology. She is currently Joint Secretary in Ministry of Mines, Government of India. She has held various positions in different ministries and departments of Central Government, which includes her last stint as Joint Director of National Book Trust and Director in Ministry of Mines.
Ms. Nirupama Kotru was appointed on the Board with effect from July 26, 2021. She is from Indian Revenue Services (IRS). She has a bachelor’s degree in economics and a master’s degree in politics and International Relations. Currently, she is Joint Secretary and Financial Advisor with Ministry of Coal and Ministry of Mines. She is also on the Board of Coal India Limited and Bharat Aluminium Company Limited.
Dr. Veena Kumari Dermal was appointed on the Board with effect from July 29, 2021. She has completed PhD in Horticulture and PGP in public policy management. She is a specialist in mineral policy and legislation and currently Joint Secretary in Ministry of Mines. She is also on the Board of Bharat Gold Mines Limited, Khanij Bidesh India Limited, and National Aluminium Company Limited.
"At Hindustan Zinc, our journey towards sustainable outcomes is marked by iconic milestones. FY 2021-22 was a year of celebrating many such landmark moments, each of which inspired us to become even more courageous in our approach. Events encouraged us to become more ambitious about our plans and optimistic about our prospects. We were motivated to embark on the next phase of our journey to achieve every big, hairy, audacious goal that we set for ourselves to scale higher and more sustainable growth, balanced with greater value creation. We drive ahead into FY 2022-23 with both pride and humility at the enormous achievements we made during the year, which have given us the confidence to find more reasons to celebrate our excellence-driven voyage at Hindustan Zinc."
“Stringent cost and cash conversion discipline powered a historic performance for Hindustan Zinc during FY 2021-22. Our efforts to deliver sustainable growth were further aided by our operational excellence and targeted investments, which contributed to the generation of industry-leading returns for our shareholders. We remain committed to protecting our margins, while generating robust free cash flow and investing towards the realisation of our ESG goals. We believe that our sustained focus on cost leadership and profitability, while building a sustainable business, will ensure long-lasting value for all our stakeholders.”
"With the pandemic proving to be a watershed moment that triggered a permanent shift in attitudes and work norms, we are strategically focussed on ensuring workforce effectiveness, backed by dynamic management of employee skills. Our efforts, moving forward, will be more sharply centred on preparing the workforce to take greater accountability towards driving innovation and executing business transformations in a hybrid work model. We are committed to fostering long-term workforce resilience, while accelerating progress on our DEI goals. We have identified the creation of a ‘fit-for-future’ organisation, backed by functional effectiveness, as the overarching agenda of our future strategy."
"Hindustan Zinc has consistently focussed on replenishing every tonne of ore mined, while ensuring zero harm. Digital intervention and deployment of state-of-the-art technology have emerged as the key propellers of our exploration journey. The success of our efforts is endorsed by the sustained 25+ years of mine life we have achieved, and we shall continue to move aggressively forward on our exploration programme to upgrade the Reserves and Resources (R&R) in our licence areas."
"Hindustan Zinc has always believed in walking the talk with respect to its corporate governance principles. As a socially responsible corporate, it remains committed to boosting the local economy and uplifting the lives in the earmarked communities around its operations. Our focus is on creating self-sustaining on-ground community institutions and promoting ownership within the communities. Our thrust areas encompass targeted interventions in healthcare, nutrition, education, water sufficiency, livelihoods, skills etc., through innovation and introduction of technology. While being all-encompassing, our programmes are designed, in particular, to support rural women. In FY 2021-22, 0.2 million of the 1.4 million lives we touched were women. We aim to further scale up our efforts to nurture rural women as entrepreneurs or agriculturists to empower them to contribute better to the local economy and the development of our targeted villages."
“The formation of a Board-level ESG and Sustainability Committee accentuates Hindustan Zinc’s aspiration to be a leader in ESG across the key metrics of business operations, community care and employee safety & wellbeing. Coupled with other ESG-centric initiatives undertaken during the year, this underscores our unwavering commitment towards creating a positive environment through a vision of Zero harm, Zero waste and Zero discharge. Our initiatives towards ensuring safe functioning across our operations and facilities are crafted to strengthen the organisation-wide safety framework for critical risk management and improving industrial hygiene. The various ESG-related awards and accolades we received during the year encourage us to move aggressively forward towards achieving our Sustainability Goals 2025 and creating long-term value for our stakeholders. We are pledged to conducting our business in a socially responsible and ethical manner, respecting our employees, our communities, our business partners, and all stakeholders.”
"The operational excellence we delivered during the year was the successful manifestation of our diligent and innovative approach. Confronted by various setbacks and hurdles, we gained from our learning experiences to emerge stronger and better through the highs and lows of the year. This translated into improved performance and new highs in MIC delivery, ore hoisting, Zn & Pb recoveries, and other areas. We are well and truly on course to usher in a new era of growth and set global benchmarks through our breakthrough innovations, centre of excellence and digitalisation drive. Our renewed focus on steering safety (zero harm), innovation, quality, automation and optimal operational metrics will help us raise the bar of excellence. It will enable us to push the momentum of growth further as we surge towards enhanced capacities and capabilities.”
"Being the flagship mine of Hindustan Zinc, Rampura Agucha Mine is at the forefront of operational excellence. The mine is one of the most mechanised and digitally-driven underground mining locations. We are continuously endeavouring to scale the mine’s operations and remain focussed on sweating the assets effectively. We are focussed on upgrading the maintenance infrastructure and practices at the mine, concertedly implementing best-in-class operating practices and focussing on improving the skill level of our workforce with the aim of developing the RA location as a Model AO location.”
"The historic high 1 Mtpa production milestone notched by Hindustan Zinc during FY 2021-22 underscored the success of our efforts towards building a culture of robust mine planning, aligned to global standards. We have designed our planning processes to the organisation’s long, medium and short-term goals and vision. Our efforts are now steered towards progressing further on the roadmap for achieving 1.2 Mtpa mine capacity in the near term, at the back of our sustained focus on more seamless mine planning and safety augmentation. We are optimistic about achieving our targets with the help of the best-inclass professionals hired from across the global at our locations and the nurturance of a sustainable culture across the organisation. For long-term mine planning and design, we have prioritised in-house capacity building as a key thrust area, which we shall make strategic investments in strengthening in the months ahead.”
"Having set in motion a well-articulated plan to create a unique digital-enabled mine, we are now focussed on proactively leveraging digital capabilities, including Artificial Intelligence (AI), through targeted initiatives. The focus, going forward, will be not just on improving the operational efficiencies at the mine through acceleration in its digital and technology transformation but also on creating a 100% safe working environment for our workforce and business partners. Building capabilities to detect deviation from our safety standards, using wi-fi to track movement of personnel and equipment in the underground mine, enabling tech-enabled remote operations and powering smoke hour drilling have emerged as some of the key areas of focussed intervention. While improving the safety environment and reducing the operational cost of extraction, these initiatives will also help lower our carbon footprint in line with our strong ESG commitment.”
"Our smelters delivered historic-high metal production, overcoming operational setbacks in the form of extended maintenance shutdowns. With operational challenges behind us, we have reset the system for a robust delivery. Going forward, we are also committed to making step changes in our ESG journey and driving operational efficiencies and productivity with enhanced use of technology.”
“As a market leader in the zinc and lead industry, we have adopted responsible and sustainable practices to become meaningful partners in India’s journey of metal-related ‘atmanirbharta’ (selfsufficiency). The growth opportunity for the global zinc industry is immense & considering the changing landscape of the domestic market, India is expected to contribute a large portion of this. We will look to capture a share of this market growth through product innovation and development of new technologies. Moreover, our sharp focus on increasing the share of our VAP portfolio to 24% will help us to further capitalise on this opportunity.”
"At Hindustan Zinc, we are fully cognisant of the importance of strengthening our commercial function to unlock greater value for our business. To this end, we remain dedicatedly focussed on augmenting the pillars of our growth, through process automation and quality assurance in our sourcing. We are also advancing towards further consolidation of ordering and business partner rationalisation, which can act as key drivers of business growth. We aim to enhance our end-to-end delivery linked service contracts in mining, milling, smelting and power O&M areas to unleash enhanced value. At the same time, we shall sharpen our focus on ESG and digitalisation to monitor the performance of our business partners, to integrate it completely with our futuristic vision.”
“We share an open and transparent relationship with our investors, analysts and other stakeholders. It is our constant endeavour to strengthen our communication channels to secure their feedback and steadily deliver on their evolving expectations. In line with this strategy, we are focussed on progressively and proactively aligning our reporting and disclosures with global standards. Investment in sustainability and ESG is another priority area for us, where we commit ourselves to increasingly engage with investors and enable an inclusive, long-term growth for all our stakeholders.”
Financial Capital
Financial capital is defined by financial resources such as cash, credit lines etc. We deploy this capital optimally in our business and make the right investments to provide the Company a higher internal rate of return (IRR).
Return on net funds for business operations*
Manufactured Capital
The major physical infrastructure available to us includes our mines and manufacturing assets like smelters, refinery, and power plants, which enable us to create and deliver value.
Mined metal capacity (per annum)#
Intellectual Capital
Our intellectual capital includes the knowhow available to us for running successful mining operations, particularly underground mining.
Value-Added Products
Human Capital
People are the drivers of our progressive strategy as we continually work towards creating a congenial environment for nurturing their talent and expertise.
Diversity Ratio for Executives#
Social & Relationship Capital
We consider stakeholder relationships integral to our business plans and work closely with customers, communities, people, suppliers/vendors, government, and regulators, to drive sustainable value accretion for all.
Villages Benefited
Natural Capital
Natural resources being critical to the success of our business and the economic progress of the nation, we have committed ourselves to their judicious utilisation, recycling, and conservation of the same.
Water Positive#
Business Model
Our business model is structured for value creation across the stakeholder fabric. It is aligned with the production of excellent outcomes at every step of the business value chain – from extraction of the raw material to delivery of quality finished products to customers.
