CALCULATE YOUR SIP RETURNS

GHCL Share Price Rises After Gujarat Mining Lease Renewal and Project Expansion

Written by: Team Angel OneUpdated on: 21 Jul 2025, 4:21 pm IST
GHCL receives 20-year lease renewal for 171-hectare lignite mine in Gujarat; plans ₹850 crore expansion into secondary mineral operations.
GHCL Share Price Rises After Gujarat Mining Lease Renewal and Project Expansion
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

GHCL Ltd. is making headlines after securing a 20-year lease renewal for its Khadsaliya Lignite Mines in Gujarat. This key development, coupled with an ambitious ₹850 crore mineral expansion plan, could mark a pivotal shift for the company as it aims to boost regional productivity and sustainability.

Lease Extension Boosts GHCL's Mining Outlook

GHCL confirmed that the Gujarat Industries and Mines Department has renewed the mining lease for its Khadsaliya Lignite Mines, covering 171 hectares in Bhavnagar district. The renewed lease is valid until December 8, 2043. This approval ensures long-term operational stability for GHCL’s primary lignite mining activities and sets the foundation for future expansion.

Strategic Expansion Into Secondary Mineral Projects

In December 2023, GHCL signed a memorandum of understanding worth ₹850 crore with the Government of Gujarat. The agreement includes plans to diversify the Khadsaliya site's utility by venturing into secondary mineral mining, including Bentonite and Sand. This shift will transform the site into a composite mining hub, integrating both lignite and secondary mineral extraction.

Read More: India Turns to Saudi Arabia for Fertiliser as China Pulls Back Supply!

Turning Towards a Sustainable and Circular Model

GHCL’s initiative supports its broader sustainability agenda by aiming for circular economic practices and resource optimisation. By broadening the mine’s output to include marketable secondary minerals, the project could contribute meaningfully to local resource efficiency and industrial growth in Gujarat.

GHCL Share Price Performance

On July 21, 2025, GHCL share price opened at ₹613.20 on NSE, above the previous close of ₹605.25. During the day, it surged to ₹614.25 and dipped to ₹611.65. The stock is trading at ₹612.35 as of 9:16 AM. The stock registered a moderate gain of 1.17%.

Over the past week, it has moved up by 0.07%, over the past month, it has moved up by 7.51%, and over the past 3 months, it has moved up by 0.14%.

Conclusion

GHCL’s mining lease renewal and expansion into secondary minerals represent a vital milestone for the company. With a ₹850 crore plan aligned with sustainability and resource optimisation, GHCL is positioning itself for long-term growth in Gujarat’s industrial sector.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.

Published on: Jul 21, 2025, 10:51 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3 Cr+ happy customers