Hindustan Zinc Records 3% Year-on-Year Growth in Mined Metals Production to 2,55,000 Tons; stock market gains ~2%

Hindustan Zinc Limited on Monday announced its production figures for the second quarter and six months ending September 30, 2022.

The company reported the highest ever mined metal production in the second quarter of 2,55,000 tonnes, up 3% year-on-year, driven by higher grades and recoveries of factory. Top marks accounted for the majority of the 1% sequential gain.

Refined metal production was 2,46,000 tonnes, up 18% year-on-year, due to improved smelter performance, improved mined metal supply and the effect of basis of the extended shutdown for maintenance of the previous year.

However, refined metal was down 6% QoQ due to lower roaster availability due to the collapse of an acid storage tank at the Chanderiya facility in 2QFY23 and the weather required to increase production after the restoration, the company said.

Integrated zinc production was 1,89,000 tonnes, up 16% year-on-year and down 8% quarter-on-quarter. Refined lead production was 57,000 tonnes, up 21% year-on-year and 5% quarter-on-quarter. Marketable silver production was 6.2 million ounces, up 28% year-on-year and 10% quarter-on-quarter, in line with metallic lead production and the liquidation of WIPs.

For H1FY23, mined metal production was 5,07,000 tonnes, up 8% year-on-year. This was due to an increase in ore production, supported by better grades and improved operational efficiency.

H1FY23 integrated zinc production was 3.95,000 tonnes, up 13% year-on-year, while refined lead production was 110,000 tonnes, up 16% year-on-year. Consistent with lead metal production, marketable silver production was 11.9 million ounces, up 19% year-over-year.

The company said wind power generation for Q2FY23 was reported at 124MU, down 20% year-on-year and 17% sequentially, due to lower wind speeds and impact seasonality.

At around 2:20 p.m., Hindustan Zinc was trading at Rs 270.55, up 1.88% from its previous close of Rs 265.55 on BSE. The certificate touched the intraday high and low of Rs276.10 and Rs266.20 respectively.