Hindalco Industries, the metals flagship of the Aditya Birla Group, has proposed a major expansion of its greenfield alumina refinery at Kansariguda in Odisha's Rayagada district, with an additional investment of ₹12,000 crore (approximately US$1.26 billion). The proposal will take the group's total planned investment in the project to around ₹20,000 crore (US$2.1 billion). 

The proposed expansion will triple the refinery's planned production capacity from 1 million tonnes per annum (MTPA) to 3 MTPA, making it one of the country's largest alumina refining facilities. Alumina, produced from bauxite ore, is the primary raw material used in aluminium smelting, making the investment strategically important for meeting growing domestic demand and reducing dependence on imports.

The investment proposal was announced following a meeting between Aditya Birla Group Chairman Kumar Mangalam Birla and Odisha Chief Minister Mohan Charan Majhi. The discussions reviewed the progress of the group's ongoing and planned investments in the state, with a focus on accelerating project implementation through policy and administrative support.

For Hindalco, the refinery expansion complements a broader growth strategy aimed at expanding its aluminium operations across Odisha. Earlier this year, the company announced a ₹21,000-crore investment in aluminium smelter expansion and downstream manufacturing facilities in the state, including flat-rolled products and battery-grade aluminium foil production.

The Kansariguda project is expected to strengthen the company's integrated aluminium business by ensuring a larger and more secure supply of alumina for its smelting operations. It also reinforces Odisha's position as India's leading aluminium-producing state, supported by abundant bauxite reserves and growing investments in downstream metal manufacturing. The expansion is likely to boost employment, infrastructure development and the regional mining and metals ecosystem while supporting India's ambitions to become a global aluminium manufacturing hub.