Hindustan Copper inks deal with SWML for ₹2,700-crore Rakha Mine revival

The project has an estimated capital expenditure of ₹2,700 crore, Hindustan Copper said in a regulatory filing.

The letter of award (LOA) was issued to SWML on November 25, 2024, and the Mining Services Agreement between the two companies was signed in Rachi on January 9, 2025.

The contract between Hindustan Copper and SWML is viable for 20 years and extendable by 10 years, and is expected to generate around 10,000 direct and indirect jobs, the company said.

The mine was closed for over 20 years since 2001 as it was deemed unviable for operations.

Stock performance

Shares of Hindustan Copper tumbled to their 52-week low of ₹230 during the day, falling 2.45% on the National Stock Exchange (NSE) on January 10.

The scrip closed in the red at ₹232.31, down 1.47% on the NSE.

The company had hit its all-time high of ₹415.80 on May 22, 2024.

The stock fell 5.21% over the past five days and 20.40% during the last month.

The share lost 30.44% over the last six months and 6.01% on a year-to-date basis.

Q2 result

Hindustan Copper witnessed a 67.1% rise in its year-on-year net profit, which jumped to ₹102 crore in Q2 FY25 from ₹60.7 crore in the year-ago period. Additionally, the company’s revenue grew 36% from ₹381 crore in the second quarter of FY24 to ₹518 crore in FY25.