Vedanta Shares Surge On SC Approval To Run Oxygen Unit In Tamil Nadu

On Tuesday, the Supreme Court granted Vedanta Industries permission to operate its oxygen production unit at the Sterlite copper plant in Thoothukudi, Tamil Nadu, on a "standalone" basis, reports ANI. The permission was given in light of the severe Oxygen shortages that many states in the country are experiencing as a result of Covid-19's second wave.

Shares of The company were seen trading at Rs 241, up 2.05% on NSE at 01.13 on IST.

After taking into account the decision made by the Tamil Nadu government at an ad hoc meeting, a Supreme Court bench led by Justice DY Chandrachud issued the order. Due to pollution issues, the state ordered the 400,000-tonne-per-annum Sterlite copper smelter in Tuticorin to close in May 2018.

The decision was made in response to a request to reopen Vedanta-copper Sterlite's plant in Tamil Nadu for the purpose of producing oxygen for medical use.

In the face of rising covid cases, the Tamil Nadu government convened an all-party meeting on Monday and decided to allow Vedanta's Sterlite Industries in Tuticorin to generate oxygen for a four-month duration. The meeting was chaired by Chief Minister K Palaniswami, and it was attended by the key opposition party DMK, among others.

GoodReturns.in