Aditya Birla Group’s Hindalco Invests INR 800 Crores in Battery Foil Production Facility in Odisha


Three points you will get to know in this article:

  • Hindalco wants to take advantage of the expanding markets for energy storage devices and electric cars.
  • The production facility will generate 25,000 tonnes of high-grade aluminum foil, which serves as the foundation for both sodium- and lithium-ion batteries.
  • By July 2025, the battery foil facility will be put into operation.

Hindalco Industries, the leading metals company under the Aditya Birla Group, has revealed a substantial investment of INR 800 Crores for establishing a cutting-edge battery foil production facility in the vibrant Sambalpur district of Odisha.

This strategic financial commitment by Hindalco is driven by its foresight to capitalize on the burgeoning demand for electric vehicles and energy storage solutions across India. According to an official statement released on Tuesday, December 12, the upcoming facility is slated to craft premium-quality aluminum foil tailored for use in rechargeable batteries.

In a move that aligns seamlessly with the evolving landscape of sustainable technology, Hindalco’s forward-thinking approach positions them to play a pivotal role in shaping the future of electric mobility and energy storage in the country. The endeavor signifies not only an investment in infrastructure but also a commitment to advancing the accessibility and efficiency of rechargeable battery technology in India. Hindalco Industries, the metals flagship of the Aditya Birla Group, is all set to make a significant investment of INR 800 Crores in establishing a cutting-edge battery foil manufacturing facility in Odisha’s enchanting Sambalpur district.

Focus on Producing Fine-quality Aluminium Foil for Rechargeable Batteries

This forward-thinking move by Hindalco is in direct alignment with their strategic vision to tap into the burgeoning market for electric vehicles and energy storage systems across India. Revealing their commitment to this venture, the company shared on a pleasant Tuesday (December 12) that the facility will specialize in crafting high-quality aluminum foil essential for rechargeable batteries.

Integration with Renewable Energy Sources

Moreover, the Odisha unit will be strategically situated alongside a 25 MW solar power plant, benefiting from an additional solar energy influx through a robust 400 KV National Grid connection. With a scheduled commissioning date set for July 2025, this unit is poised to complement Hindalco’s existing facility in Mouda, Maharashtra.

Anticipated to be a game-changer, the manufacturing unit aims to churn out an impressive 25,000 tonnes of superior-quality aluminum foil. This specialized foil is the backbone of lithium-ion and Sodium-ion cells, pivotal components in the battery manufacturing process for electric vehicles, as highlighted in the company’s official statement.

In discussing the significant development, Satish Pai, the Managing Director of Hindalco Industries, emphasized the escalating demand for battery materials, underlined by a promising outlook for the electric vehicle and grid storage sectors. He further stressed the critical importance of localizing raw materials in these strategic sectors. The Odisha venture is not merely a financial investment for Hindalco; it’s a stride towards a greener and more sustainable future, embracing the energy evolution with both innovation and responsibility.

Hindalco has successfully pioneered the production of high-quality battery foils at its Mouda facility in Maharashtra, marking a significant technological breakthrough. Currently underway is the qualification process with lithium-ion cell manufacturers in India, Europe, and the United States.

Strategic Implications and Collaborations

In a strategic move, Hindalco is establishing a new facility in Odisha, aimed at enhancing its capacity to provide materials to Gigafactories worldwide. This expansion aligns with the company’s commitment to meeting the demands of the global electric vehicle and energy storage markets.

Co-development with OEMs and Green Energy Initiatives

Furthermore, Hindalco is collaborating closely with original equipment manufacturers (OEMs) to co-create essential components, including battery enclosures, motor housings, busbars, structural and safety elements, as well as lightweight load bodies. Many of these components are pioneering designs set to be developed for the first time in India.

Highlighting its dedication to sustainability, Hindalco entered a commercial arrangement with Greenko Energies Pvt Ltd in August 2022. The collaboration involves setting up a renewable energy project, ensuring a 100 MW supply of round-the-clock carbon-free power to its smelter in Odisha. This initiative underscores Hindalco’s commitment to environmentally responsible practices in its operations.

SA Team

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