Hindalco slips 2.5% due to spillage incident at Muri alumina refinery

A spillage incident at its alumina refinery at Muri caused Hindalco to temporarily suspend operations there even as the stock slipped by 2.5 per cent in the opening trade on Wednesday.

However, after initial jitters the stock improved by a margin, standing at Rs 214.30 apiece as against the previous day's closing price of Rs 217.15.

The aluminium major informed the stock exchanges late on Tuesday that its alumina facility at Muri, Jharkhand suffered from "an incident in the red mud (bauxite residue) storage area connected to the alumina plant."

"As a precautionary measure, operations have been temporarily suspended to assess the situation," the notification read.

The company added that four persons with minor injuries had been treated while one contract workman was missing.

"This incident is not expected to have any material impact on the company's performance," the notification read even as the company said that efforts are ongoing to clear the spillage.

The aluminina refinery at Muri has a capacity of 450 kilo tonnes and was the first alumina refinery to get commissioned in 1948 by the erstwhile Indian Aluminium Company (INDAL).

The 334 acres plant is situated at the banks of the Swarnarekha river.