Vedanta Limited , a leading diversified natural resources company, has obtained interim protection from the Bombay High Court against the recovery of penalty amounts related to an appeal filed against an order from the Appellate Tribunal under SAFEMA (Smugglers and Foreign Exchange Manipulators Act), New Delhi.

Court Order Details

The Bombay High Court, in its order dated July 30, 2025, granted interim protection and injunction against penalty recovery from Vedanta Limited and other appellants, subject to certain conditions. This development follows a previous order from the SAFEMA Appellate Tribunal that was disclosed by Vedanta in November 2024.

Legal Proceedings

The company, along with certain individuals, had filed the appeal before the Bombay High Court. The court noted that the appeals have already been admitted, indicating that the legal process is ongoing.

Financial Implications

While the specific amount of the penalty has not been disclosed, this interim protection provides Vedanta with temporary relief from immediate financial obligations related to the SAFEMA case. This allows the company to continue its operations without the immediate pressure of penalty payments while the legal proceedings are underway.

Company's Performance

Despite the ongoing legal challenges, Vedanta Limited has reported strong financial results for the first quarter:

Operational Highlights

Vedanta also reported several operational achievements across its various business segments:

• Record alumina production of 587 kt, up 9% year-on-year
• Highest-ever first quarter mined metal production in Zinc India at 265 kt
• Mined metal production at Zinc International increased by 50% year-on-year to 57 kt
• Saleable iron ore production rose by 42% year-on-year to 1.8 million tonnes

Management Commentary

Anil Agarwal, Chairman of Vedanta, commented on the company's performance: "Our 1Q performance has set a strong foundation for the year ahead. Amidst global market volatility, we delivered the highest-ever first quarter EBITDA."

The interim protection granted by the Bombay High Court provides Vedanta with some breathing room as it navigates the legal challenges related to the SAFEMA case. Meanwhile, the company's strong financial and operational performance in the first quarter demonstrates its resilience in the face of these challenges.

Investors and stakeholders will likely continue to monitor both the progress of the legal proceedings and Vedanta's ongoing business performance in the coming months.

Vedanta Limited , a global diversified metals and mining company, has announced significant enhancements to its Gamsberg Phase II Expansion Project and reported robust financial results for the first quarter of fiscal year 2026.

Gamsberg Expansion Enhancement

The Board of Directors of Vedanta Limited has approved an additional investment of $84.00 million for the Gamsberg Phase II Expansion Project. This enhancement will increase the plant's throughput by 10% and metal recovery by 3%. The project also includes a new tailings storage facility aligned with the company's Environmental, Social, and Governance (ESG) goals.

With these improvements, Gamsberg's plant capacity will increase from 4 million tonnes per annum (Mtpa) to 8.4 Mtpa of ore. This expansion is expected to produce an additional 220,000 tonnes per annum of metal in concentrate, positioning Vedanta Zinc International as the largest zinc producer in South Africa.

Strong Q1 FY2026 Performance

Vedanta Limited reported impressive financial results for the quarter ended June 30, 2025:

The company's performance was driven by lower costs, higher premiums, and favorable forex benefits, which offset lower output commodity prices and volumes.

Operational Highlights

Vedanta reported several operational achievements across its business segments:

• Aluminium: Record quarterly alumina production of 587,000 tonnes, up 9% year-over-year
• Zinc India: Highest-ever first quarter mined metal production of 265,000 tonnes
• Zinc International: Mined metal production increased by 50% year-over-year to 57,000 tonnes
• Iron Ore: Saleable production rose 42% year-over-year to 1.8 million tonnes
• Power: Total power sales increased by 33% quarter-on-quarter

Financial Position

The company maintained a strong financial position with a Net Debt to EBITDA ratio of 1.3x, improved from 1.5x in the previous year. Cash and cash equivalents stood at ₹22,137.00 crore, up 33% year-over-year, reflecting strong liquidity.

Strategic Developments

Vedanta also announced that it would not pursue the previously approved Scheme of Arrangement for transferring General Reserve funds to Retained Earnings. This decision, which is subject to approval from the National Company Law Tribunal, reflects the company's evolving strategic priorities.

Arun Misra, Executive Director of Vedanta Limited, commented on the results: "Our Q1 performance has set a strong foundation for the year ahead. Amidst global market volatility, we delivered the highest-ever first quarter EBITDA. The ramp-up of the Lanjigarh refinery to 587,000 tonnes demonstrates our progress towards delivering over 3 million tonnes of Alumina in FY26."

As Vedanta Limited continues to focus on operational excellence and strategic growth initiatives, the company remains well-positioned to capitalize on the growing demand for metals and minerals in the global market.