Tuticorin operations closure to cause monthly loss of USD 210 mn: Sterlite Copper CEO

Mining giant Vedanta faces a potential revenue loss to the tune of USD 210 million per month due to closing of operations at its smelter unit at Tuticorin, a top company official said today.

Last month, the Tamil Nadu government had directed the State Pollution Control Board to seal Vedanta group's copper plant and shut it down "permanently" following violent protests during which 13 people were killed in police firing.

Every month the company sells about 30,000 tonnes of refined copper and multiplied by an average price of USD 7,000 per tonne it comes to USD 210 million, Sterlite Copper CEO P Ramnath said here addressing the media.

"That's a potential revenue loss...but again revenue loss does not translate to bottomline loss," he said in reply to a query.

He emphasised, "It is not just loss to the company, it is loss for both the society and the consumers...There were around 3,500 people who were dependent on us. How will they be taking care of their families now? Their savings, if they have any, will last how long."
"If you compare the amount of sulphur dioxide we emit, of the total sulphur dioxide being emitted from rest of the plants in Tuticorin, our contribution is just 1 per cent, the 99 per cent emission of sulphur dioxide is being done by power plants there."
To support his point, he said India is a huge market after China and lots of players are eying India and added "It could be possible that they don't want India to be self-sufficient."