Hindustan Zinc Limited · NSE:HINDZINC
Hindustan Zinc — Investor Presentation (September 2023)
38 slides from Hindustan Zinc's investor presentation, Sep 20, 2023
Slide 1: Exchange filing cover letter
HZL/2023-SECY/ September 20, 2023 BSE Limited National Stock Exchange of India Ltd. P.J. Towers, Dalal Street, “Exchange Plaza” Mumbai - 400001 Bandra - Kurla Complex Mumbai - 400051 Kind Attn: - General Manager, Kind Attn: - Head - Listing & Corporate Dept. of Corporate Services Communications Scri
Slide 2: Hindustan Zinc Limited Investor Presentation FY 2022-23
Hindustan Zinc Limited Investor Presentation FY 2022-23 1 Confidential
Slide 3: Cautionary Statement and Disclaimer
Cautionary Statement and Disclaimer The views expressed here may contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness, reasonableness, or reliability of this information. Any forw
Slide 4: Corporate Overview
Corporate Hindustan Zinc Limited: Powered by Integration, Rooted in Strengths 4 Overview From Goals to Glory: Reflecting a Journey of Accomplishments 5 Milestones Galore: Reflecting on FY 2022-23 Achievements 7 Excellence and Long-term Success with Operations Spanning Critical Areas 8 Extensive Oper
Slide 5: Hindustan Zinc: Powered by Integration, Rooted in Strengths
Hindustan Zinc: Powered by Integration, Rooted in Strengths A Vedanta Limited Headquartered in Mining facilities Listed on the subsidiary Udaipur, Rajasthan across Rajasthan NSE and BSE Five Decades of Excellence at Hindustan Zinc The Six Pillars of Our Strong Foundation India’s Largest ~75% Integra
Slide 6: From Goals to Glory: Reflecting a Journey of Accomplishments
From Goals to Glory: Reflecting a Journey of Accomplishments CSR Spend Refined Metal Production 90X+ 4X+ Dividend Yield Profit After Tax 5X+ Since the disinvestment by GoI two 74X+ decades ago, Hindustan Zinc, as a subsidiary of Vedanta Limited, has built a strong legacy of progressive growth, under
Slide 7: From Goals to Glory: Reflecting a Journey of Accomplishments
From Goals to Glory: Reflecting a Journey of Accomplishments 2023 • Record metal & silver Milestone Celebrations through 55+ years production, metal crossing 1 million tonne 2018 mark • Record high revenue, Secured the EBITDA, PAT 2012 London Good • 5th largest producer of Delivery (LGD) 2009 • Ne
Slide 8: Milestones Galore: Reflecting on FY 2022-23 Achievements
Milestones Galore: Reflecting on FY 2022-23 Achievements S&P Global Corporate Sustainability 3rd CII Climate Action Programme 2.0 CII EXIM Business Excellence Award 2022 Assessment* ‘Oriented Award’ category Excellence across the value chain #3 Globally and #1 in Asia-Pacific Sword of Honour Award T
Slide 9: Excellence and Long-term Success with Operations Spanning Critical Areas
Excellence and Long-term Success with Operations Spanning Critical Areas Exploration Mines (Ore Reserves & Mineral Resources) (Lead & Zinc) Technology and innovation-driven mines with 25+ Location: Rajasthan (Rampura Agucha, years of mine life Sindesar Khurd, Rajpura Dariba, Zawar and \ deline
Slide 10: Extensive Operational Asset Base: Cornerstones of Our Long-term Success
Extensive Operational Asset Base: Cornerstones of Our Long-term Success Mines Smelters Mines Reserve Resource Reserve Reserve Smelters Pyrometallur Pyrometallur Hydrometallur Lead Grade Grade gical gical gical Smelter (Mt) (Mt) Zinc (%) Lead (%) Zinc Smelter Lead Smelter Zinc Smelter Rampura Agucha
Slide 11: Strategic Review
Strategic Investment Case: Excellence Powering Our Journey of Milestones 11 Review Advancing Priorities to Reach New Horizons of Success 12 Centre of Excellence: Elevating Operational Excellence with Technology, Automation and Innovation 14 10 Confidential
Slide 12: Investment Case: Excellence Powering Our Journey of Milestones
Investment Case: Excellence Powering Our Journey of Milestones Portfolio of Mines with Long Life Investments Boosting Production Global Cost Leadership through Fiscal Capacities Prudence, Agility & Resilience • Enhance Ore Reserves and Mineral • Use of advanced tools and operational • Integrated bus
Slide 13: Advancing Priorities to Reach New Horizons of Success
Advancing Priorities to Reach New Horizons of Success S1 S2 S3 Maintaining a Portfolio Expansion of Capacities Strengthening Cost Leadership of Mines with Long Life STRATEGIC FOCUS • Mines longevity by converting resources to • Continued organic and inorganic • Leadership position in the first quart
Slide 14: Advancing Priorities to Reach New Horizons of Success
Advancing Priorities to Reach New Horizons of Success S4 S5 Expansion of Product Portfolio through Progressing Towards a Sustainable Future Customer Centricity STRATEGIC FOCUS • Expanding VAP aligned to evolving customer needs, backed by • Reduce carbon footprint and enhance sustainability via effic
Slide 15: Centre of Excellence: Elevating Operational Excellence with Technology, Automation and Innovation
Centre of Excellence: Elevating Operational Excellence with Technology, Automation and Innovation Smoke Hours Drilling via Automation Advanced Process Control at Mills Silver (Ag) Promoter at Zawar: enriching silver for additional drilling (at SKM and RAM) for stable plant operations, consistent gra
Slide 16: Performance Review
Performance Strong Financials, Profitability and Operating Metrics 16 Review Performance Excellence Across Portfolio with a Market-leading Position 18 Top-Class Operational Performance at Mines through Innovation and Efficiency 19 Reserve Enhancement and Sustainable Growth with Technology-driven Exp
Slide 17: Strong Financials, Profitability and Operating Metrics
Strong Financials, Profitability and Operating Metrics Revenue from Operations Revenue Mix (%) EBITDA & EBITDA Margin (` crore) (including other operating income) 2022-23 34,098 2022-23 2022-23 52% 17,590 2021-22 29,440 2021-22 2021-22 55% 16,289 2020-21 22,629 2020-21 2020-21 52% 11,739 2019-20 18,
Slide 18: Strong Financials, Profitability and Operating Metrics
Strong Financials, Profitability and Operating Metrics Total Refined Metal* (tonnes) Mined Metal (tonnes) Return on Net Worth (%) 2022-23 1,031,588 2022-23 1,062,089 2022-23 45 2021-22 966,993 2021-22 1,017,058 2021-22 29 2020-21 929,844 2020-21 971,976 2020-21 22 2019-20 869,656 2019-20 917,101 201
Slide 19: Performance Excellence Across Portfolio with a Market-leading Position
Performance Excellence Across Portfolio with a Market-leading Position ZINC LEAD SILVER Production Volume Production Volume Production Volume 821 kt 211 kt 714 MT Revenue Revenue Revenue ` 24,180 crore ` 3,913 crore ` 4,388 crore Portfolio: Special high grade, high Portfolio: Lead ingots (99.99% Por
Slide 20: Top-Class Operational Performance at Mines: Rampura Agucha
Top-Class Operational Performance at Mines through Innovation and Efficiency Key Operational Key Developments Rampura Agucha Mine Milestones, FY 2022-23 Expansion, Upgradation & Infrastructure Development • 3rd silo at production shaft, storage increased to 7,500 MT for Ore Production improved hoist
Slide 21: Top-Class Operational Performance at Mines: Sindesar Khurd
Top-Class Operational Performance at Mines through Innovation and Efficiency Key Operational Key Developments Sindesar Khurd Mine Milestones, FY 2022-23 Expansion, Upgradation & Infrastructure Development • Debottlenecked paste-fill plant-2 with installation of positive Ore Production development pu
Slide 22: Top-Class Operational Performance at Mines: Rajpura Dariba
Top-Class Operational Performance at Mines through Innovation and Efficiency Key Operational Key Developments Rajpura Dariba Mine Milestones, FY 2022-23 Expansion, Upgradation & Infrastructure Development • Commissioning: 1.8 Mtpa paste-fill plant with UG reticulation, 2 MVA Ore Production compact d
Slide 23: Top-Class Operational Performance at Mines: Zawar
Top-Class Operational Performance at Mines through Innovation and Efficiency Key Operational Key Developments Zawar Mines Milestones, FY 2022-23 Expansion, Upgradation & Infrastructure Development • Mochia Mine: First secondary stope mined, Central and West Ore Production Mochia connected for enhanc
Slide 24: Top-Class Operational Performance at Mines: Kayad
Top-Class Operational Performance at Mines through Innovation and Efficiency Key Operational Key Developments Kayad Mine Milestones, FY 2022-23 Expansion, Upgradation & Infrastructure Development • New dewatering facility at north 95 mRL established Ore Production • Mining initiated in new productio
Slide 25: Reserve Enhancement and Sustainable Growth with Technology-driven Exploration
Reserve Enhancement and Sustainable Growth with Technology-driven Exploration Geophysical Surveys Gravity and ground magnetic survey at Zawar, Rajpura Dariba, and Kayad mines for new target generation Diamec Smart 6M Next-gen Drilling Rig Added to underground (UG) exploratory drilling fleet to retri
Slide 26: Ore Reserves and Mineral Resources as on March 31, 2023
Reserve Enhancement and Sustainable Growth with Technology-driven Exploration Ore Reserves and Mineral Resources (R&R), as on March 31, 2023 (based on Annual R&R audit by SRK (UK)) Total Reserves Measured & Indicated Inferred Mt Zn% Pb% Ag g/t Metal Mt Zn% Pb% Ag g/t Metal Mt Zn% Pb% Ag g/t Metal Ra
Slide 27: New Milestones and Vistas of Growth at Smelters
New Milestones and Vistas of Growth at Smelters and CPP Smelters New Milestones 1,032 kt refined metal production crossing the 1 million tonne mark Journey to New Vistas • Promoting Wealth from Waste: Process modifications for copper sulphate quality enhancement and cost- effectiveness, improved ore
Slide 28: New Milestones and Vistas of Growth at Captive Power Plant
New Milestones and Vistas of Growth at Smelters and CPP Captive Power Plant (CPP) New Milestones 314.07 MW 40.67 MW 505.50 MW 860.24 MW 8.66 lakh tonnes Renewable power capacity WHRB capacity Captive thermal capacity Total power capacity CO2 emissions avoided Journey to New Vistas • Towards Net Zero
Slide 29: Sustainability Review
Sustainability Charting New Horizons in Sustainability FY 2022-23 Sustainability Performance at a Glance 29 31 Review Pioneering Efforts Towards Net-zero Journey 32 Sustainability in Action 33 Progressive Culture with Diversity and Inclusion 34 Contributing to the Holistic Growth of Communities 35 2
Slide 30: Charting New Horizons in Sustainability
Charting New Horizons in Sustainability Consistently Setting New milestones in Sustainability Performance External Assessment Indices and Best Possible 2022 2021 2020 Ratings Rating/Score Sustainalytics Negligible 29.6 47.0 44.0 Risk (0-10) DJSI 100 80.0 77.0 74.0 CDP Climate A A B A CDP Water A A(-
Slide 31: Charting New Horizons in Sustainability: Sustainability Goals 2025
Charting New Horizons in Sustainability Focussed Approach to Reach Newer Milestones in Environment Performance Climate Change Water Stewardship Circular Economy Biodiversity 0.5 mn tCO2e GHG 5x water positive 3x increase in gainful Conservation emission savings company and 25% utilisation of smeltin
Slide 32: FY 2022-23 Sustainability Performance at a Glance
FY 2022-23 Sustainability Performance at a Glance Climate 581,915 GJ 4.58 mn tCO2e 4.44 MT 41.53 GJ Change cumulative energy savings absolute emission (Scope 1 + 2) GHG intensity (Scope 1 + 2) specific energy consumption per tonne of metal (4.81 mn tCO2e ) (4.97 MT) (48.46 GJ) Water 18.40 mn m3 18.0
Slide 33: Pioneering Efforts Towards Net-zero Journey
Sustainability in Action Pioneering Efforts Towards Net-zero Journey Towards 1.5°C - focussed on renewable energy • Revised emission targets (SBTi verification awaited); short-term goal to reduce Scope 1 & 2 by 50% and Scope 3 by 25% by 2030 • TCFD alignment for climate change risk assessment • 100%
Slide 34: Sustainability in Action
Sustainability in Action Water Stewardship Circular Economy Models Biodiversity Conservation • Water risk assessment across sites; • Piloted using mine waste to produce • Best practices in tailings dam management actions initiated cement-like materials and sustainable site closure planning • ZLD add
Slide 35: Progressive Culture with Diversity and Inclusion
Sustainability in Action Progressive Culture with Diversity and Inclusion Focus on Diversity, Equity & Inclusion At the Forefront of Driving Gender Diversity (DEI) for Superior Performance Accelerated Career Path Coaching • Gender parity and equal opportunities across all CEO's guidance, Talent Revi
Slide 36: Contributing to the Holistic Growth of Communities
Sustainability in Action Contributing to the Holistic Growth of Communities Social Interventions in FY 2022-23 Sustainable Livelihood for Educating Underprivileged Nurturing Sports and Culture Farmers and Youth • 227,000+ children covered under • 28,000+ youths benefitted from diverse • Supported 29
Slide 37: Comprehensive Reporting Suite
Comprehensive Reporting Suite Integrated Annual Report TCFD Report Tax Transparency Report Digital Report Sustainability Review Report Digital Report 36 Confidential
Slide 38: Thank You
THANK YOU HINDUSTAN ZINC LIMITED Yashad Bhawan, Udaipur-313 004, Rajasthan T: +91 294 6604000-02 www.hzlindia.com 37 Confidential
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