Lloyds Metals Commissions Second Pellet Plant; Shares Edge Higher

Mumbai, May 4: Lloyds Metals and Energy Limited said it has commissioned its second pellet plant with a capacity of 4 million tonnes per annum (MTPA) at Konsari, Maharashtra, according to an exchange filing on Monday.

The company said the plant was completed in 16 months from the start of construction, underscoring the pace of execution. With this addition, total pellet production capacity at Konsari has doubled to 8 MTPA.

The first plant is already operating at full utilisation, which should support a smoother ramp up of the new unit.

Integrated Setup Supports Efficiency

The Konsari facility is closely linked to the company’s captive iron ore mines at Surjagarh. Raw material is transported through an 85 kilometre slurry pipeline commissioned in June 2025, allowing for a steady and cost efficient supply chain.

This setup also enables the production of low alumina pellets, which typically command better pricing in both domestic and export markets.

Stock Market Snapshot

Lloyds Metals and Energy Limited shares moved higher in early trade on May 4, 2026. As of 10:24 IST, the stock was trading at ₹1,789.40, up ₹25.00 or 1.42% from the previous close of ₹1,764.40, according to exchange data.

The stock opened at ₹1,780.00 and traded between ₹1,771.80 and ₹1,795.00 during the session so far. The move reflects a positive, though measured, response from investors.

Why This Matters

For a company in the steel value chain, capacity expansion is only part of the story. Integration linking mining, logistics and processing plays a big role in controlling costs and improving margins.

By doubling pellet capacity at a fully integrated site, Lloyds Metals is positioning itself to benefit from both rising domestic steel demand and export opportunities.

The Bottom Line

The commissioning marks a key operational milestone for Lloyds Metals and Energy Limited. The market reaction suggests confidence in the direction, but sustained performance will depend on how quickly the new capacity ramps up and how market conditions evolve in the steel sector.

Source:

https://www.nseindia.com/getquote/equity/LLOYDSME/LloydsMetalsAndEnergyLimited

https://nsearchives.nseindia.com/corporate/LLOYDSME_04052026085957_20260504_Intimation_Pellet_Plant_2__1_.pdf