The project will entail an investment of up to Rs 10,000 crore.
Spread over 415 acres, the facility will entail an investment of Rs 5000- 10,000 crore in phases, creating more than 5,000 direct and indirect jobs and will be operational by 2022, HZL said in a statement.
"HZL...signed a Memorandum of Understanding (MoU) with Government of Gujarat to set up 300 KTPA (kilo tonnes per annum) greenfield zinc smelter at Doswada, GIDC (Gujarat Industrial Development Corporation)," the statement said.
The new facility - the first for Hindustan Zinc in Gujarat - will be set up with zero discharge technology and will be among the lowest-cost smelters in the world.
This is one of the largest MoUs signed by the state under the States new industrial policy, which gives extra benefits to the companies investing in backward tribal districts, the Gujarat government said in a release.
Located in proximity to port and key markets of consumption, the new facility will produce zinc and other minor metals.
Doswada GIDC is located in Tapi district and offers proximity to the existing Hazira port (110 kms) and upcoming Magdalla port (90 kms).
"We will extend all support to ensure that the plant is commissioned in stipulated time. The plant will substantially increase employment and
thereby boost the economy in the region," Gujarat Chief Minister Vijay Rupani said.
The new facility will be a model plant - incorporating the latest technology, automation and highest standards of environment and health safety compliance.
"Given the reputation of Gujarat as an industrial hub of the country, it is our pleasure to build our dream project in zinc here. With this facility, we will together take India to the map of most efficient producers of zinc in the world.
"We have set out on a path towards Prime Minister Modi's vision of an Aatmanirbhar Bharat," Anil Agarwal, Non-Executive Chairman and Founder, Vedanta Group said.
The new facility will be in close proximity to the downstream user industries.
Besides, it will aid in the development of industrial clusters as well as ancillary industries in the future.
Hindustan Zinc is one of the world's largest and India's only integrated producer of Zinc-Lead and Silver.
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