Hindustan Zinc trades 4% higher on record refined metal production

Shares of Hindustan Zinc Limited surged 4.6 percent in the afternoon trade on April 3 after it reported highest-ever quarterly refined metal production at 273 kilo tonne (KT) in March on account of better plant availability.

Mined metal production in the March quarter stood at 299 KT, up 11 percent from the previous quarter, led by a mix of improved mined metal grades and higher ore production across mines.

Follow our live blog for all the market action

For FY24, mined metal production at 1,079 KT was up 2 percent from the previous year, a record  driven by improved mined metal grades.

At 12.15 pm, the Hindustan Zinc stock was trading at Rs 328 on the NSE, up 4.1 percent from the previous close. Volumes were also robust as 46 lakh shares changed hands, significantly higher than the monthly and weekly average of 6 lakh shares each.

Last week, news agency Reuters reported that the government rejected the miner’s proposal to split the company into different units.

Also read: Indian government rejects Hindustan Zinc’s plan to split company: Report

The government is the largest minority shareholder in Hindustan Zinc, owning a 29.54 percent stake, but was not consulted by the company when it decided to split the firm to create separate entities for its zinc, lead, silver and recycling business, the reported said.

In March, the government had opposed another proposal by Hindustan Zinc to buy two Vedanta entities. It had written to the market regulator underscoring its opposition, and the company eventually decided to dissolve the plan. Vedanta has a 64.9 percent stake in Hindustan Zinc.

Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.