Hindalco Industries Ltd, the aluminium and copper major, is eyeing copper mines in developing countries, to increase the share of its own ore from 40% currently to 60%.
D Bhattacharya, Hindalco?s managing director, said, ?We are looking primarily at developing countries like South America, Columbia, Peru, and Argentina.?
The company is also interested in acquiring a copper mine in Zambia. ?We are evaluating it, but it has its own quota of reward and risk,? he said.
Hindalco owns the country’s largest copper smelting and refining plant at Dahej in Gujarat, with two copper mines in Australia. The company is trying to improve the availability of copper concentrate.
?Only 40% comes from our own mines and our objective is to enhance that from 40% to 60%,” said Bhattacharya.
The stronger rupee has affected Hindalco, Bhattacharya said, and if the rupee continues to strengthen against the dollar, it would impact profitability.
Bhattacharya, who was here for a conference of the National HRD Network, said consumption is growing sharply, so prices are less likely to come down. ?I have seen some bouncing back last month and hopefully that will continue,? he said.
?Whether it will stay at $2,500 or not, it is difficult to say, but I believe that the long range numbers will be better than the last cycle?s.
It (aluminium prices) may come down but the band will not come down,? he said.
Hindalco is also eyeing reserves of good-quality bauxite ore. ?We will look at any good deposit. If something is available in Orissa, we will certainly evaluate it,? Bhattacharya said.