Godawari Power & Ispat has temporarily suspended operations at its 2.0 MTPA iron ore pellet plant effective July 14, 2026, due to a curtailment of contracted gas supplies by GAIL and increased gas pricing. The shutdown, driven by the withdrawal of the Natural Gas (Supply Regulation) Order, 2026, and lower iron ore production from Ari Dongri Mines during the rainy season, is expected to impact the company's profitability in Q2FY27.

Operational Disruption and Causes

The company halted production at its plant located in Phase-II, Siltara Industrial Area, Raipur, Chhattisgarh, citing economic unviability caused by higher natural gas prices and the need to source iron ore from the market at elevated costs. The curtailment of gas supplies follows a force majeure situation communicated by upstream suppliers and a gazette notification dated July 4, 2026.

Financial Impact and Contribution

The closure of the unit will result in lower production and sales volumes of iron ore pellets, adversely affecting profitability in the current quarter. The plant contributed a turnover of ₹259 Crores, accounting for 5.50% of the company's total turnover during the last financial year.

Outlook

Despite the near-term financial impact on Q2FY27, the company anticipates no long-term effect on profitability. Management expects iron ore production volumes to increase post-monsoon and gas supplies to normalize, allowing operations to resume.

Godawari Power & Ispat Ltd disclosed that its promoters and Persons Acting in Concert (PACs) have not encumbered any shares during the financial year 2025-26. The confirmation was provided by Bajrang Lal Agrawal, a promoter of the company, on behalf of the entire promoter group. The disclosure ensures that the shareholding remains free from pledges or charges, which is a key indicator of financial stability for investors.

The filing was submitted to the National Stock Exchange of India Limited and BSE Limited on April 7, 2026, in compliance with Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This regulation requires promoters to disclose any encumbrance of shares to ensure transparency in ownership structures. The company confirmed that no new encumbrances were created beyond those previously disclosed.

As per the annexure provided, the total promoter and promoter group shareholding stood at 425,255,795 equity shares as on March 31, 2026. This represents 63.34% of the company's total share capital, calculated on a base of 671,364,910 equity shares. On a diluted basis, considering outstanding warrants, the holding stands at 62.67% of the total diluted share capital of 694,143,996 equity shares.

The detailed shareholding data reveals that the promoter group includes individuals and corporate entities such as Hira Infra-Tek Ltd, Hira Cement Limited, and Hira Ferro Alloys Limited. Notably, the data indicates zero pledged shares across all promoter categories. The total outstanding warrants held by the group amount to 9,796,200, while shares under lock-in total 54,448,715.

Promoter Group Shareholding Details