Project Overview

Chandni Machines Limited has commenced implementation of its new aluminium ingot manufacturing project at Kuvada GIDC, Rajkot, Gujarat. This represents a strategic expansion and diversification initiative for the company.

Key Project Developments

Manufacturing Facility: The company has leased an industrial factory building of approximately 22,000 sq. ft. at Kuvada GIDC, Rajkot, with an existing electricity connection of approximately 37 KW.

Capital Investment: Orders for various machinery and equipment aggregating approximately ₹150 lakh have been placed, with requisite payments already made by the company.

Machinery Installation Schedule: Machinery is scheduled to be received in phases commencing from September 2, 2026, with installation and deployment targeted for completion by approximately September 20, 2026.

Workers' Facilities: Construction of workers' quarters and washroom facilities has commenced to provide accommodation and essential facilities for approximately 50 workers.

Manpower Deployment: The company has engaged approximately 30 workers on contractual basis for production-related activities, with further manpower deployment planned in line with production requirements.

Regulatory Approvals: The company has applied for Consent to Operate from relevant Pollution Control authorities and expects to receive approval by approximately September 10, 2026, subject to regulatory processing.

Production Timeline

  • Trial Production Target: September 20, 2026
  • Commercial Production Target: October 1, 2026

Both dates are subject to successful commissioning, regulatory approvals, and other applicable conditions.

Production Capacity and Financial Projections

Production Capacity: Upon stabilization, the facility is expected to produce approximately 300 tonnes of aluminium ingots per month.

Revenue Projection: Based on current internal estimates, the project is expected to generate approximately ₹9.45 crore of monthly revenue, using an indicative average realization/cost assumption of approximately ₹315 per kg.

Profitability Estimate: The company currently estimates potential net profit of approximately ₹50 lakh per month once operations reach targeted levels and stabilize.

Note: These estimates are based on current management assumptions and may vary depending on aluminium prices, raw-material costs, product realizations, production levels, operating expenses, market conditions, and other factors.

Expansion Plans

The company intends to evaluate a two-fold expansion of the proposed capacity by March 2027, subject to business performance, market conditions, availability of resources, regulatory approvals, and necessary investment requirements.

Management Commentary

Mr. Jayesh R. Mehta, Chairman & Managing Director (DIN: 00193029), stated that this project marks an important step in the company's growth and diversification strategy. He confirmed substantial progress including securing manufacturing premises, placing machinery orders, initiating infrastructure development, and mobilizing manpower. The immediate focus is on establishing stable production, achieving targeted capacity utilization, and building a strong customer base.

Forward-Looking Statements

The disclosure contains forward-looking statements subject to various risks and uncertainties including regulatory approvals, commissioning and operational risks, raw material availability and costs, aluminium prices, market demand, customer orders, financing requirements, and changes in economic conditions. Actual results may differ materially from expressed or implied statements.