The Paradeep Phosphates Board of Directors has approved the construction of a greenfield Aluminium Fluoride (AlF3) manufacturing plant at its Paradeep facility. The resolution was passed during a board meeting held on July 28, 2026, sanctioning an estimated investment of approximately ₹250 crore for the project. This strategic expansion aims to produce 15,000 metric tons per annum (MTPA) of AlF3, marking a significant move into the industrial chemicals sector.

The primary objective of the project is value addition within the company's existing operational framework. By converting Hydrofluorosilicic Acid (HFSA)—a low-value by-product generated during phosphoric acid production—into high-value industrial chemicals, Paradeep Phosphates intends to diversify its revenue streams and enhance operating margins. The initiative also supports circular economy goals by optimizing waste utilization and reducing dependency on external markets for by-product disposal.

Project Specifications

The proposed facility falls under the Industrial Chemicals sector, specifically focusing on Fluorine Chemicals. The core technology involves processing HFSA to manufacture Aluminium Fluoride, which is a critical input in aluminum smelting and other industrial applications. Key parameters of the approved project are detailed below:

Strategic Rationale

Management highlighted that the project will strengthen the company's fluorine management capabilities and lay the groundwork for future expansion into fluorine-based specialty chemicals. This vertical integration allows the company to capture more value from its raw materials, creating new revenue channels while improving overall profitability. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023. The board meeting commenced at 2:00 PM IST and concluded at 5:00 PM IST, with the resolution signed by Sachin Patil, Company Secretary.

The Board of Directors of Paradeep Phosphates Limited approved the introduction of the 'Paradeep Phosphates Limited Performance Stock Option Plan 2026' (PSOP 2026) during a meeting held on July 28, 2026. The proposal, recommended by the Nomination and Remuneration Committee, aims to align employee incentives with organizational growth by granting stock options to eligible personnel. The scheme is subject to final approval by the company's shareholders.

The approval was made pursuant to Regulation 30 read with Para B of Part A of Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 ('Listing Regulations'). The details were disclosed to the National Stock Exchange of India Limited and BSE Limited in accordance with Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023. The Board meeting commenced at 2:00 P.M. (IST) and concluded at 5:00 P.M. (IST).

Plan Structure and Eligibility

The PSOP 2026 covers a total of 20,00,000 (Twenty Lakhs) stock options, which are exercisable into not more than 20,00,000 Equity Shares. Each share has a face value of ₹10/- (Rupee Ten Only) and is fully paid-up. The scheme is administered by the Committee authorized by the Board, which will determine eligibility based on roles that have a high impact on the organization's growth phase.

Pricing and Vesting Terms

The exercise price for the options shall be the face value of the equity shares on the date of grant, or as decided by the Committee under the Companies Act and SEBI (SBEB and SE) Regulations. In no case will the exercise price be lower than the face value of the equity shares on the date of grant. Different exercise prices may apply to different sets of employees for options granted on the same or different dates.

Vesting terms stipulate a minimum period of one year between the grant and vesting of options. The maximum vesting period may extend up to three years, or such other period as decided by the Committee. Vesting may occur in one or more tranches. Once vested, the options must be exercised within a period not exceeding two years from the date of respective vesting.

Administrative Framework

The PSOP 2026 will be implemented by the Board of Directors or the Compensation/Nomination & Remuneration Committee in compliance with the Companies Act, 2013, and applicable laws. All questions regarding the interpretation of the plan will be determined by the Board or the Committee, and such determinations will be final and binding upon all interested parties. The diluted earnings per share will be determined upon the exercise of these options.