Vedanta Limited (VEDL) stock soared 10.39% in the current trading session at the price of $19.76 despite no fundamental reason. Vedanta is the leading Oil & Gas and Metals company with operations and services in Oil & Gas, Zinc, Lead, Silver, Copper, and Iron across Namibia, South Africa, India, and Australia.
VEDL Became Largest Purchaser of Green Energy
On 5th August 2021, VEDL announced that its Aluminum Business had become the largest buyer of green energy at the Indian Energy Exchange Limited in the first quarter of fiscal 2022. VEDL obtained 354 million renewable energy units from IEX’s Green Term-Ahead Market for its largest aluminum production plant at Jharsuguda, in Odisha. This purchase indicates that more than 35% of the green energy traded during the first quarter of fiscal 2022.
This acquisition of green power from GTAM has qualified Vedanta to fulfill its carbon-reduction goals while creating green products. The company has lessened its greenhouse emission intensity by 21% over the 2012 baseline and intends to decrease it by 24% in 2025. It has lowered approximately two million gigajoules in indirect power consumption between fiscal 2021 and fiscal 2022 at its captive assets.
Management Comments
Chief Executive Officer of VEDL, Mr. Rahul Sharma, remarked that their sustainability imperatives were devised to achieve their climate change mitigation objectives. These imperatives follow the Paris Agreement and Nationally Determined Contributions (NDC). Vedanta Aluminum’s power stewardship reveals itself through a two-pronged approach. It focuses on the unique energy management of assets and is a footprint towards carbon impartiality with increasing consumption of green energy. Their long-term policy centers on transferring to a low-carbon energy mix to produce green aluminum, he added.
VEDL First Quarter 2021 Consolidated Results
On 26th July 2021, VEDL published its consolidated financial results for the first quarter ended 30th June 2021. VEDL reported revenue of ₹ 28,105 crores for the first quarter of fiscal 2022, a Q-o-Q gain of 1% from the same quarter of fiscal 2021. Net debt was ₹ 20,261 crores for the first quarter 30th June 2021, a Y-o-Y drop of ₹ 6,989 crores. The cash and cash equivalents were ₹ 31,318 crores for the first quarter ended 30th June 2021. EBITDA was ₹ 10,032 crore for the first quarter of fiscal 2022, Q-o-Q gain of 10%. The finance cost was ₹ 1,182 crore for the quarter ended 30th June 2021.
