In the early trading hours on Friday, MOIL, the leading manganese ore producer in the country, witnessed a substantial increase of 4.60%, reaching ₹314.40 per share following the release of the company’s 2023 production update.
According to the Thursday filing submitted to the exchange, MOIL declared an impressive production figure of over 16 lakh tonnes in the current calendar year, marking a notable 26% increase compared to the previous record set in 2019.
Furthermore, the company disclosed that sales for the calendar year up to December 20, 2023, have exceeded 14 lakh tonnes, surpassing the multi-year record set in 2007.
MOIL’s commitment to exploration efforts is evident, with the company completing core drilling covering 7551 meters in November 2023 alone, a two-fold increase compared to November 2022.
For the period from April to November 2023, the company conducted effective core drilling of 9,389 meters, showcasing a remarkable 2.5-fold rise over the same period in the previous year, according to the company’s exchange filing on December 04.
As the largest producer of manganese ore in the country, MOIL holds a significant 46% market share and possesses extensive reserves. The company’s FY23 annual report indicates that out of the total 503 million tonnes of manganese ore resources in India, MOIL holds approximately 101 million tonnes, constituting 20% of the share.
To capitalize on emerging opportunities and meet the growing demand, MOIL has strategically increased investments both domestically and internationally. The company is actively developing existing mines, exploring prospects for new ones, and focusing on acquiring areas surrounding its current mines to establish diversified projects.
With an impressive year-to-date return of 84%, rising from ₹170 per share to ₹312.60, MOIL’s stocks are delivering their best annual performance since listing in 2010.
Looking ahead, as India aims for a crude steel capacity of 300 million tonnes by 2030–31, creating substantial demand for manganese ore, MOIL finds itself in an advantageous position. The country’s increasing demand for manganese ore (4.56% growth) surpasses the nearly flat production growth (1.32%), offering significant growth opportunities for the manganese ore industry.
As of 10:00 AM, the stock was trading with a gain of 3.97% at ₹312.60 per share.
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