India’s ambition to become a global manufacturing and critical minerals powerhouse has received a major boost following the signing of a memorandum of understanding (MoU) between Abu Dhabi-based International Holding Company (IHC) and India’s Adani Group to jointly invest approximately US$11.5 billion in an integrated aluminium plant project in the eastern state of Odisha. The project will be developed through a 50/50 joint venture between the two companies.
The MoU represents the largest foreign investment ever made in India’s metals sector. It also comes as the country accelerates efforts to expand domestic production of industrial materials. These will be channeled to infrastructure, renewable energy, power transmission, electric mobility and transport manufacturing.
Construction schedules, financial close timelines and commissioning dates have yet to be announced.
The New Adani-IHC Aluminium Plant in Odisha
The proposed development will establish Odisha’s largest integrated aluminium manufacturing complex. It will bring together every major stage of aluminium production. This will be from refining locally mined bauxite into alumina to aluminium smelting and downstream manufacturing of value-added products.
According to officials present during the MoU signing, the project will include a 4 million-tonne-per-year alumina refinery. The new Adani plant in Odisha will also have a 2 million-tonne-per-year aluminium smelter and a captive power plant to ensure uninterrupted energy supply. It will also have downstream aluminium processing facilities capable of producing approximately one million tonnes annually.
Once completed, the complex is expected to significantly strengthen India’s aluminium supply chain. This is while reducing dependence on imported value-added aluminium products.
Odisha: A Strategic Location
Odisha was selected due to its abundant natural resources and well-established mining ecosystem. The state also has some of India’s richest bauxite reserves. It also contributes about 54% of the country’s aluminium output, making it one of the world’s premier aluminium production regions.
Existing industrial infrastructure, access to ports and availability of raw materials are also expected to provide significant operational advantages throughout the project’s lifespan.
The announcement further strengthens Odisha’s position as India’s leading destination for metals and mineral processing investments. In recent years the state has attracted significant investments across steel, aluminium, green hydrogen and renewable energy as the country seeks to build resilient domestic supply chains for critical industrial materials with projects such as the first-ever stainless steel industrial park in India.
India-UAE Partnership
The investment also reflects the strengthening strategic economic partnership between India and the United Arab Emirates. The partnership has also expanded considerably following the Comprehensive Economic Partnership Agreement (CEPA).
For IHC, one of Abu Dhabi’s largest investment companies, the project deepens its long-term exposure to India’s industrial growth story. For Adani Group, it marks another major expansion into metals after commissioning its large copper smelter in Gujarat.
Project Benefits
Beyond industrial output, the development is expected to deliver substantial socio-economic benefits. Government officials estimate that construction activities alone will generate approximately 35,000 jobs. Another 18,500 permanent positions will be created after commercial operations begin. The project is therefore expected to support more than 53,500 direct and indirect employment opportunities. This is while stimulating ancillary industries across mining, logistics, engineering, fabrication and manufacturing.
Odisha Integrated Aluminium Plant Project Factsheet
Project Value: US$11.5 billion
Status: Memorandum of Understanding signed (July 2026)
Ownership
- 50% Adani Group
- 50% International Holding Company (IHC)
Major Components
- Alumina refinery
- Aluminium smelter
- Captive power plant
- Downstream aluminium manufacturing park
Production Capacity
- Alumina refinery: 4 million tonnes per annum (MTPA)
- Aluminium smelter: 2 MTPA
- Downstream aluminium products: 1 MTPA
Employment
- Construction: 35,000 jobs
- Operations: 18,500 jobs
- Total employment impact: 53,500 jobs
Outlook on the US$11.5 Billion Aluminium Plant in Odisha
Industry observers also note that aluminium demand is expected to accelerate over the coming decade. This is driven by renewable energy infrastructure, electric vehicles, transmission networks, aviation, construction, packaging and defense manufacturing. India currently consumes more aluminium than it produces domestically. This also creates opportunities for large-scale integrated projects such as the Odisha development.
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