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Sustainable mining is the buzzword for all industries depending on mined raw materials, especially the cement sector. It is, therefore, imperative that we take a closer look at its economic and environmental impact.

The focus on mining in the context of cement has more than one reason to be at the top of the agenda on sustainability. With the sheer growth of this sector as an extractive process that touches many aspects of the environment on the one hand, and leaves the livelihoods of the people associated in a state of quandary on the other, given that the life of the mine and that of the prosperity of the people get intertwined.
The narratives have changed from the mere lifecycle of the mineral deposit to the complete sustainability that includes an integrated and holistic approach to preclude economic, environmental and social value from mining and allied operations and supply chains for a large number of stakeholders.

Economic Repercussions
The prelude to this narrative is the understanding of stakeholder responsibilities at a time when some parts of the world, where the global extractive process for limestone, the key mineral for producing cement, has seen capacities being ramped up to serve the burgeoning rise of cement demand. As ballpark estimates suggest, for a 4 billion tonne cement output of the world, the limestone requirement stands at close to 2.8 billion tonnes, which is the highest mineral ore extracted every year from the deposits of the world, which happens to be the top cover of the earth’s surface.
Most of these deposits occur closer to forests, biodiversity and tribal populations, essentially places where economic progress has been slow. If one looks at the total extractive mineral output, one would be seeing a three-fold increase over the last four decades. From 1970 to 2017, the annual global extraction of materials tripled and the global use of materials is expected to more than double from 79 Gt in 2011 to 167 Gt in 2060. Minerals that are non-metallic, such as construction material, e.g., sand and gravel, represent more than half of the total use of materials by weight and their use is expected to grow rapidly in the coming years (from 35 Gt in 2011 to 82 Gt in 2060). Cement industry, coupled with the concrete that needs aggregates and sand, is a part of the extractive mining industry landscape, and thus the environmental and social impact of mining becomes a very important subject, if one adds these supply chains as well.
On the one hand, mining as an economic activity could be encouraging for the populace, it could end up with the ‘Resource Curse’ as well, as mines reach the end of cycle of the deposits. Thankfully at least for cement, we have a burgeoning downstream, mostly closer to the mining operations, where a vibrant downstream operation is established that employs larger sections of people and thus livelihoods are intertwined on a bigger scale through supply chains that crisscross. Apart from the building and construction industry, which requires 80 per cent of the extraction, we still have steel, agriculture and chemical Industries needing limestone mining for a number of reasons.

Keeping Track of Sustainability
Sustainability reporting, which is mostly voluntary reporting, is at the core of the sustainable initiatives, sometimes prompted by the Country Reporting guidelines and Environmental and Sustainability Goals (ESG) of 2015 or the Global Reporting Initiative (GRI). The investors also demand more disclosure on Sustainability Initiatives with clear mandates that can be verified through trends and data. However, the 2018 Responsible Investing Survey and the 2020 Responsible Mining Index cites lack of quantity and quality in the reporting so far. Stakeholders increasingly require information on the environmental and social impacts of mining at the mine-site level, and presented in the local context. Sometimes there is little use to look at headline numbers aggregated over many sites across countries. Focus on site level reporting that gives periodic data on a host of environmental and social impact of mining becomes the important indicator of progress.
Some of the sustainability indicators at the site level include:

  • Impact on biodiversity: Number/percentage of sites with biodiversity management plans
  • Description of significant impacts on biodiversity: Amount of land disturbed or rehabilitated and information on the use of biodiversity offsets
  • GHG emissions and energy use: Amount of CO2e GHG emissions and mitigation measures and energy consumption and reductions
  • Water management: Amount of water withdrawal by source and water sources significantly affected by withdrawal of water
  • Health and safety: Number of accidents/deaths, information on training on health and safety management security / human rights and rights of indigenous peoples
  • Number/percentage of reserves in or near areas of conflict: Number/percentage of reserves in or near indigenous lands and engagement processes in place
  • Processes in place to prevent child or forced labour and impact on local communities and local community engagement
  • Number of operating sites where resettlement took place, number of households resettled in each site and information on how their livelihoods were affected in the process
  • Number/percentage of operations with local community engagement (including minority groups such as women), and/ or environmental/social impact assessments
  • Number/percentage of operations with significant negative impacts on local communities – Proportion of spending on local suppliers

Apart from these, water and air quality and gender diversity in mining operations have become important pointers as well. For mining operations in cement, site remediation and rehabilitation become an area of focus as many mines have reached their end of life. One of the ways to enforce this has been to enforce some of these at the inception of the Environment Impact Assessment and Mining Permit stage itself. With the lack of site-specific reporting as evidenced in almost 90 per cent of the mining sustainability reporting, corporate level reporting is only a high-level aggregation of most of data, masking site level inadequacies, which has been pointed out in both the Responsible Investing Survey and Sustainable Mining Index 2020.
If one looks at the expansion of the scope for the building and construction industry, where only a smaller part is covered under the cement-limestone mining operations and the larger part falls under aggregates and sand mining operations, which remains uncovered by sustainability reporting as most of these fall under small scale industry structure,
absolving them of the detailed disclosure requirements. It is therefore to be concluded that for most developing nations, we still have a long way to progress as far as sustainable mining operations are concerned. The entire supply chain of mining operations for concrete / building and construction industry must be looked at where the suppliers of sand, gravel and aggregates must be brought under the same purview and this leaves a lot to be desired as these
supply chains have third party sourcing activities lacking the rigour of the bigger corporate entities like cement companies.

-Procyon Mukherjee

Concrete

Nuvoco Vistas Reports Record Q2 EBITDA, Expands Capacity to 35 MTPA

Cement Major Nuvoco Posts Rs 3.71 bn EBITDA in Q2 FY26

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Nuvoco Vistas Corp. Ltd., one of India’s leading building materials companies, has reported its highest-ever second-quarter consolidated EBITDA of Rs 3.71 billion for Q2 FY26, reflecting an 8% year-on-year revenue growth to Rs 24.58 billion. Cement sales volume stood at 4.3 MMT during the quarter, driven by robust demand and a rising share of premium products, which reached an all-time high of 44%.

The company continued its deleveraging journey, reducing like-to-like net debt by Rs 10.09 billion year-on-year to Rs 34.92 billion. Commenting on the performance, Jayakumar Krishnaswamy, Managing Director, said, “Despite macro headwinds, disciplined execution and focus on premiumisation helped us achieve record performance. We remain confident in our structural growth trajectory.”

Nuvoco’s capacity expansion plans remain on track, with refurbishment of the Vadraj Cement facility progressing towards operationalisation by Q3 FY27. In addition, the company’s 4 MTPA phased expansion in eastern India, expected between December 2025 and March 2027, will raise its total cement capacity to 35 MTPA by FY27.

Reinforcing its sustainability credentials, Nuvoco continues to lead the sector with one of the lowest carbon emission intensities at 453.8 kg CO? per tonne of cementitious material.

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Concrete

Jindal Stainless to Invest $150 Mn in Odisha Metal Recovery Plant

New Jajpur facility to double metal recovery capacity and cut emissions

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Jindal Stainless Limited has announced an investment of $150 million to build and operate a new wet milling plant in Jajpur, Odisha, aimed at doubling its capacity to recover metal from industrial waste. The project is being developed in partnership with Harsco Environmental under a 15-year agreement.

The facility will enable the recovery of valuable metals from slag and other waste materials, significantly improving resource efficiency and reducing environmental impact. The initiative aligns with Jindal Stainless’s sustainability roadmap, which focuses on circular economy practices and low-carbon operations.

In financial year 2025, the company reduced its carbon footprint by about 14 per cent through key decarbonisation initiatives, including commissioning India’s first green hydrogen plant for stainless steel production and setting up the country’s largest captive solar energy plant within a single industrial campus in Odisha.

Shares of Jindal Stainless rose 1.8 per cent to Rs 789.4 per share following the announcement, extending a 5 per cent gain over the past month.

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Vedanta gets CCI Approval for Rs 17,000 MnJaiprakash buyout

Acquisition marks Vedanta’s expansion into cement, real estate, and infra

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Vedanta Limited has received approval from the Competition Commission of India (CCI) to acquire Jaiprakash Associates Limited (JAL) for approximately Rs 17,000 million under the Insolvency and Bankruptcy Code (IBC) process. The move marks Vedanta’s strategic expansion beyond its core mining and metals portfolio into cement, real estate, and infrastructure sectors.

Once the flagship of the Jaypee Group, JAL has faced severe financial distress with creditors’ claims exceeding Rs 59,000 million. Vedanta emerged as the preferred bidder in a competitive auction, outbidding the Adani Group with an overall offer of Rs 17,000 million, equivalent to Rs 12,505 million in net present value terms. The payment structure involves an upfront settlement of around Rs 3,800 million, followed by annual instalments of Rs 2,500–3,000 million over five years.

The National Asset Reconstruction Company Limited (NARCL), which acquired the group’s stressed loans from a State Bank of India-led consortium, now leads the creditor committee. Lenders are expected to take a haircut of around 71 per cent based on Vedanta’s offer. Despite approvals for other bidders, Vedanta’s proposal stood out as the most viable resolution plan, paving the way for the company’s diversification into new business verticals.

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