Stock Report

Lloyds Metals and Energy Achieves Record Q1 Performance; Iron Ore Production Surges 53%

Posted On : 2026-07-01 20:57:18( TIMEZONE : IST )

Integrated metal and mining major Lloyds Metals and Energy Limited (LMEL) has released its provisional operational update for the first quarter of the financial year 2026-27 (Q1 FY27). The company delivered its best-ever opening quarter performance, marked by substantial year-on-year production expansions across its core iron ore and Direct Reduced Iron (DRI) portfolios, alongside a strategic expansion in its newly commissioned pellet and copper business units.

Iron Ore Segment Hits New Milestones

Continuing the strong operational momentum built during the previous financial year, the company's iron ore output for Q1 FY27 reached an all-time high of 6.05 million tonnes. This achievement represents a robust 53% growth compared to the corresponding first quarter of the previous fiscal year. The landmark quarterly output aligns with the company's full-year target to produce 26 million tonnes of iron ore in FY27.

The primary mined ore figure excludes an additional 5.89 million tonnes of Banded Hematite Quartzite (BHQ) extracted during the quarter. The company plans to process this substantial volume of BHQ once its upcoming beneficiation plants are fully commissioned.

Ramping Up Downstream Value Addition

Lloyds Metals and Energy has successfully accelerated its downstream manufacturing capacities, driving high double-digit and triple-digit output growth across its refined product segments:

Direct Reduced Iron (DRI): Powered by two newly commissioned kilns that are now running at full capacity, quarterly DRI production climbed to 1,82,460 tonnes. This marks a massive 131% surge over the 79,000 tonnes produced in Q1 FY26.

Pellet Production: The company recently scaled up its pellet operations by launching a new 4 million tonnes per annum (MTPA) plant, effectively doubling its aggregate capacity to 8 MTPA at Konsari. Driven by this expansion, pellet production for Q1 FY27 stood at 1.69 million tonnes. Market entry with both plants running simultaneously has received exceptionally strong reception in both domestic and international markets. Notably, Plant 1 is operating at full capacity, having delivered 4 million tonnes across its first 12 months of operations.

Copper Footprint: Following its initial copper output from the Surya mines in March 2026, the company logged a Q1 FY27 copper production of 2,754 tonnes. This includes residual production from the Chemaf plant. The milestone officially establishes the company as India's first player with end-to-end "mine to market" capabilities in the copper segment.

Deepening Industrial and Logistics Integration

The record-breaking quarter highlights the benefits of the company's long-term integration strategy. As Maharashtra's largest merchant iron ore miner, Lloyds Metals and Energy operates an expansive single-location mining facility at Surjagarh in the Gadchiroli district. The site holds an expanded Environmental Clearance capacity of 55 MTPA.

The company's domestic mining and manufacturing base-which includes a total DRI capacity of 700,000 TPA across two locations-is supported by an 85 km slurry pipeline stretching from Hedri to Konsari. This infrastructure provides significant logistics cost advantages and cost leadership. Furthermore, the company has successfully expanded into international base metals through strategic mining asset investments in the Democratic Republic of Congo (DRC), securing long-term resource diversity and fueling its global growth ambitions.

Shares of LLOYDS METALS AND ENERGY LTD. was last trading in BSE at Rs. 1807.15 as compared to the previous close of Rs. 1810.80. The total number of shares traded during the day was 35536 in over 1766 trades.

The stock hit an intraday high of Rs. 1834.65 and intraday low of 1783.20. The net turnover during the day was Rs. 64460751.00.