Lloyds Metals and Energy has released its operational update for 9MFY26 under Regulation 30, demonstrating exceptional performance across all key production segments. The integrated metal and mining company, which operates one of the country's largest single-location iron ore mines at Surjagarh, has achieved significant milestones that underscore its operational excellence and strategic execution.

Outstanding Iron Ore Production Performance

The company's iron ore segment delivered remarkable results during 9MFY26, with production volumes significantly exceeding previous year performance. The operational achievements are highlighted in the following table:

The iron ore production of 12.9 million tonnes for 9MFY26 has already surpassed the entire annual production of the previous financial year. Notably, Q3 FY26 volumes alone reached 5.5 million tonnes, representing a substantial 110% year-on-year increase, supported by robust on-site mining activities and the commissioning of the slurry pipeline for more efficient evacuation.

Value-Added Products Drive Growth

The company's Direct Reduced Iron production reached 291,099 tonnes during 9MFY26, compared to 238,433 tonnes in the corresponding previous period, marking a 22% growth. This performance was significantly enhanced by the commissioning of the new 360 KTPA DRI facility at Ghugus during Q2 FY26, which contributed to Q3 FY26 DRI production being 61% higher year-on-year.

The 4 MTPA pellet plant has demonstrated exceptional operational efficiency, producing 1.95 million tonnes in 9MFY26. This translates to an annualised capacity utilisation of more than 95%, indicating optimal facility performance and strong market demand for pelletized products.

Infrastructure and Operational Excellence

Lloyds Metals and Energy operates from its expanded Environmental Clearance capacity of 55 million tonnes per annum at Surjagarh, Gadchiroli district. The company has successfully commissioned an 85 km slurry pipeline from Hedri to Konsari, significantly strengthening its logistics integration and supporting the improved evacuation capabilities that contributed to the strong Q3 performance.

The company's DRI manufacturing capacity now stands at 700,000 TPA spread across two locations in Maharashtra. The mined ore excludes 4.5 million tonnes of BHQ, which the company plans to process once the beneficiation plants are commissioned, representing additional future production potential.

Strategic Market Position

As the largest merchant iron ore miner in Maharashtra and a leading integrated metal and mining company incorporated in 1977, Lloyds Metals and Energy continues to leverage its strategic mine location advantages. The company caters to key steel and industrial markets across India, reinforcing its position as a vital contributor to the country's steel value chain through its focus on sustainability, innovation, and cost leadership.

Lloyds Metals & Energy Limited announced significant board decisions from its December 31, 2025 meeting, including major equity share allotments under employee stock option plans and conversion of preferentially issued convertible warrants worth ₹734.44 crores.

ESOP Allotment Under 2017 Plan

The board approved the allotment of 5,87,818 equity shares to Lloyds Employees Welfare Trust under the Lloyds Metals and Energy Limited Employee Stock Option Plan – 2017. The shares were allotted at ₹4.00 per equity share, including a premium of ₹3.00 per share.

Following this allotment, the company's issued and paid-up equity share capital increased to ₹52,90,90,088, divided into 52,90,90,088 equity shares of face value ₹1.00 each.

Convertible Warrant Conversion

The board approved the conversion of 1,52,68,950 convertible warrants into equity shares, generating proceeds of ₹734.44 crores. The warrants were originally allotted on preferential basis following the Extraordinary General Meeting held on July 29, 2024.

The conversion was executed at ₹481.00 per warrant (65% of the issue price), with each warrant convertible into one equity share at an issue price of ₹740.00 per share.

New ESOP Grant Under 2024 Scheme

The board granted 1,60,000 employee stock options under the Lloyds Metals and Energy Employee Stock Option Scheme – 2024, expanding the company's employee benefit programs.

Capital Structure Impact

Post these allotments, the company's capital structure shows significant expansion. The issued, subscribed and paid-up capital increased to ₹54,43,59,038, divided into 54,43,59,038 equity shares of face value ₹1.00 each.

Regulatory Compliance and Meeting Details

The board meeting was conducted from 12:02 PM to 12:42 PM IST on December 31, 2025. All allotments comply with Securities and Exchange Board of India regulations, including the Share Based Employee Benefits and Sweat Equity Regulations, 2021, and Listing Obligations and Disclosure Requirements Regulations, 2015. The company has received in-principle approval from both BSE Limited and National Stock Exchange of India Limited for the equity shares allotted under the ESOP plan.