Hindustan Zinc to set up second unit in Uttarakhand

Hindustan Zinc Ltd, a Vedanta group company, will set up a new unit at the Pantnagar industrial estate in Uttarakhand with an investment of Rs 100 crore.

The company will set up a silver refinery plant at Pantnagar, where it has been allotted 25 acres by the State Infrastructure and Industrial Development Corporation of Uttarkahand Ltd .

The capacity of the new plant is expected to be 300 tonnes per annum.

The production at the plant is likely to begin before March 2010, the deadline for getting benefits under the special industrial package offering a slew of tax incentives in Uttarakhand.

Top company officials are working out various plans to set up the new unit.

“Let us take the possession of the plot, then we will come out with detailed plans,” said a company official.

This will be the second plant of Hindustan Zinc in the state, where it has already set up a unit at the Haridwar integrated industrial area to produce zinc ingot.

A top government official said the company’s decision to set up the new plant was highly appreciable, especially at a time when the world is reeling under the impact of the recession.

Hindustan Zinc is a leading producer of zinc and lead in India. Its metal production capacity is currently 754,000 tonnes per annum.