Alongside this, national exploration programmes have expanded their focus to include critical minerals, with deeper geological surveys and accelerated block assessments becoming a priority across mineral-rich regions. The renewed attention is not limited to land-based reserves.
Offshore exploration is gaining traction as part of the country’s broader plans for a blue economy, opening up new avenues for mineral discovery in underexplored zones. Together, these initiatives reflect a gradual but firm movement toward building a more integrated mineral value chain.On a similar note, this story discusses three such companies expanding capacity to meet the rising demand for the minerals they mine.
#1 IMFA: The ferrochrome giant doubling down on steel
Indian Metals & Ferro Alloys (IMFA) is India’s leading, fully integrated producer of ferrochrome. The company’s core business is mining chromite ore and producing ferrochrome, a crucial input in stainless steel production. It operates across the entire value chain, from captive chromite mining to captive power generation and ferrochrome smelting.
An integrated value chain
The company ensures a reliable supply of high-grade chromite ore from its two captive mines: Sukinda and Mahagiri. In FY25, the company achieved its highest-ever chrome ore production of 701,863 tonnes. It has a power generation capacity of 204.5 megawatts (MW) and 4.5 MWp of solar power.This supports uninterrupted production and cost competitiveness, which is especially important for the power-intensive ferrochrome industry. In addition, IMFA operates two manufacturing complexes in Odisha: Therubali (Rayagada district) and Choudwar (Cuttack district). These complexes provide a combined smelting capacity of 284,000 metric tons per annum.
This integrated business model provides IMFA with operational stability, cost efficiency, and better margins than its non-integrated competitors. IMFA supplies ferrochrome to leading stainless steel producers across Asia, Europe, and other key markets. International sales accounted for 91.4% of sales.
IMFA is currently executing an ambitious expansion and diversification strategy.
Expanding ferrochrome capacity by 88%
A greenfield ferrochrome project is underway in Kalinganagar, Jajpur district. This expansion will add 100,000 tonnes per annum of capacity and is expected to be operational by mid-2026/H2 FY27. This will increase smelting capacity by 40% and is intended to meet demands from the rapidly growing domestic market.### India's Mining Supercycle: Beyond GMDC and Hindustan Copper, 3 Midcap Players Gearing Up
India's mining sector is on the cusp of a transformative "supercycle," fueled by surging global demand for critical minerals amid the energy transition, domestic infrastructure push (e.g., ₹11 lakh crore allocation in Budget 2025), and policy reforms like the Mines and Minerals (Development and Regulation) Amendment Act. This boom emphasizes self-reliance in rare earths, manganese, copper, and ferroalloys, with auctions accelerating and private participation rising. While Gujarat Mineral Development Corporation (GMDC) and Hindustan Copper dominate headlines for lignite/rare earths and copper expansions, three under-the-radar midcaps—MOIL Ltd., Indian Metals & Ferro Alloys Ltd. (IMFA), and Orissa Minerals Development Company Ltd. (OMDC)—are methodically building scale through capacity upgrades, debt reduction, and strategic reserves. These PSUs and private firms offer balanced risk-reward, trading at attractive valuations amid a sector-wide rally (Nifty Metal up 15% YTD).
#### The 3 Rising Players: Strategies and Positioning
These companies leverage established assets to tap into high-growth areas like battery materials and steel inputs, with improving financials signaling multi-year upside. Below is a snapshot:
| Company | Core Focus & Recent Developments | Financial Highlights & Valuation | Supercycle Positioning & Outlook |
|---------|----------------------------------|----------------------------------|----------------------------------|
| **MOIL Ltd.** (Market Cap: ~₹12,000 Cr) | India's largest manganese ore producer (75% market share); expanding capacity at Balaghat and Ukwa mines; exploring battery-grade manganese for EVs. Signed MoUs for critical mineral exploration; steady dividend history. | FY25 EBITDA margin: 35%+; debt-free with ₹800 Cr cash reserves; P/E: 12x (below 5-yr avg). Q2 FY26 revenue up 10% YoY on pricing strength. | Manganese demand to grow 8-10% CAGR through 2030 (steel + batteries); MOIL's 10 MMT reserves and low-cost ops position it as a stable play. Analysts forecast 15-20% EPS growth; target price ₹600 (20% upside). |
| **Indian Metals & Ferro Alloys Ltd. (IMFA)** (Market Cap: ~₹4,500 Cr) | Leading ferro chrome producer with captive chrome mines in Odisha; integrated ops (mining-smelting-power); reduced debt by 40% in FY25 via asset sales. Exports 60% output to China/Japan; ramping Therubali plant. | FY25 net profit: ₹250 Cr (up 25% YoY); EBITDA margin: 28%; P/E: 15x. Q2 FY26 sales +12% on stainless steel recovery. | Ferro chrome upcycle from global stainless steel demand (India's output to hit 15 MT by 2027); IMFA's cost edge (₹40,000/MT) and export resilience eye 25% revenue CAGR. Target: ₹800 (30% upside); volatility risk from chrome prices. |
| **Orissa Minerals Development Company Ltd. (OMDC)** (Market Cap: ~₹2,800 Cr) | Iron/manganese ore miner in Odisha with 200+ MMT reserves; reactivated dormant leases post-regulatory clearances; JV with NMDC for chrome exploration. Focus on sustainable mining with tech upgrades. | FY25 revenue: ₹450 Cr (up 18% YoY post-revival); net debt: ₹100 Cr (manageable); P/E: 10x (undervalued). Q2 FY26 production +15%. | Latent value in Odisha's mineral belt amid auction frenzy; iron ore exports and manganese for EVs to drive 20% volume growth. As a PSU turnaround, potential for rerating; target ₹4,500 (25% upside) if output hits 2 MMT. |
#### Why Now? Broader Tailwinds and Risks
These players are "quietly positioning" via backward integration (e.g., captive power for IMFA) and policy alignment, contrasting flashier peers. The supercycle could mirror the 2021-22 metals rally, with copper/manganese prices up 20% YTD on China+1 shifts. However, execution risks (e.g., OMDC's lease delays) and commodity volatility loom—investors should watch Q3 earnings for volume ramps.
Early X buzz highlights these as "hidden gems," with users noting MOIL's dividend appeal and IMFA's export edge. For diversified exposure, consider a basket; consult advisors for personalized picks. This wave could redefine India's $100 Bn mining economy by 2030.
