Hindustan Zinc Limited has announced significant changes to its Board of Directors following directives from the Ministry of Mines. The company informed stock exchanges on January 19, 2026, about the appointment of a new government nominee director and the cessation of the previous appointee.

New Director Appointment

The Ministry of Mines has appointed Mr. Sandeep Vasant Kadam as Part-time Official Director on Hindustan Zinc's board. The appointment details are outlined below:

Mr. Kadam's appointment was formalized through letter no. 31/3/2020-Met. 1 dated January 19, 2026, from the Ministry of Mines, with the appointment taking immediate effect.

Director Cessation

Simultaneously, Mr. Dinesh Mahur ceased to be a director of the company. The cessation details are as follows:

Mr. Mahur's cessation was also communicated through the same Ministry of Mines letter, effective immediately.

Regulatory Compliance

The company has disclosed these changes under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Hindustan Zinc stated that it is taking necessary action to complete the requisite formalities related to these board changes.

The disclosure was signed by Aashhima V Khanna, Company Secretary & Compliance Officer, and communicated to both BSE Limited and National Stock Exchange of India Limited on January 19, 2026. The company indicated that further disclosures regarding the completion of formalities will be submitted in due course.

Hindustan Zinc shares extended their winning run for the second consecutive session, surging 4.5% as silver prices scaled fresh record highs amid renewed geopolitical tensions and a sharp retreat in the US dollar. The metal stock opened higher at ₹624.80 and maintained momentum throughout the session.

Stock Performance and Silver Contribution

The company's shares reached a day's high of ₹632.55, marking significant gains from recent lows. The stock has demonstrated strong performance, gaining 57% from August lows based on the current high levels.

Silver's importance to Hindustan Zinc's financial performance has grown substantially. The metal now contributes 41% to the company's earnings before interest and taxes (EBIT) in H1FY26, representing a significant increase from approximately 28% in FY23. This enhanced contribution makes the current silver price rally particularly beneficial for the company's operating performance.

Silver Prices Reach Record Highs

Silver prices achieved multiple record highs, crossing the ₹2.65 lakh mark during the trading session. The March delivery silver futures contract on MCX opened the week with a substantial jump of ₹12,665 per kilogram, reaching a fresh record high of ₹2,65,390.

In international markets, spot silver prices strengthened by 6% to reach a fresh peak of $84.58 per ounce. This contributed to an 18% surge in January, following a 148% increase in 2025.

Market Outlook and Price Targets

Motilal Oswal expects the silver price rally to continue in 2026, setting ambitious targets for both domestic and international markets. The brokerage maintains a "Buy on Dips" stance for silver throughout 2026.

The brokerage indicates that silver's strength is likely to be front-loaded in the first half of 2026 amid policy uncertainty and currency volatility. The continuation of the rally in the second half will depend on global growth cues, bond market stability, and monetary policy credibility.

Geopolitical Factors and Dollar Weakness

The safe-haven appeal of precious metals has been reinforced by multiple geopolitical developments. Tensions around China-Japan trade relations, US capture of Venezuela's leader, fresh tariff-related tensions, and a criminal probe into Federal Reserve Chair Jerome Powell have supported the rally.

Middle East tensions have also intensified, with anti-government protests in Iran's capital Tehran amid an internet shutdown and government crackdown. The US dollar fell significantly, with prosecutors opening a criminal investigation into Federal Reserve Chair Jerome Powell, adding to tensions with the administration.

The weakening dollar makes dollar-priced commodities cheaper for holders of other currencies, providing additional support to precious metal prices. Recent US jobs data delivered mixed signals on economic health, providing little clarity on the future path of Federal Reserve rate cuts.