Shares of Godawari Power and Ispat Ltd surged over 8% in the early trade hours on February 7 after the iron ore mining company announced that it received environmental clearance for capacity expansion of its iron ore pelletisation plant.

Godawari Power’s shares hit a fresh 52-week high of Rs 836.60, 8.56% higher than its previous closing price on the National Stock Exchange (NSE). At 11:40 am, the stock was trading 5.38% higher at Rs 812.05.

According to the company’s exchange filing dated February 7, the Ministry of Environment, Forest and Climate Change has granted environment clearance to Godawari Power for the capacity expansion from 2.7 MTPA (million tonnes per annum) to 4.7 MTPA of its iron ore pelletisation plant at Siltara Industrial Area, Raipur, Chhattisgarh.

Godawari Power said in the statement that the commercial operation of the expansion program is expected to be commissioned in Q1 FY26. The company added that the entire project expansion cost would be met out of its internal accruals. 

Godawari Power & Ispat is a Chhattisgarh-based Hira Group of Industries subsidiary. It has two captive iron ore mines, a pellet plant and a vertically integrated steel plant in Raipur. 

At its latest meeting, the company board also approved the proposal to set up a greenfield-integrated steel plant with an enhanced capacity of 2 million tonnes at an estimated cost of Rs 6,000 crore.