Vedanta Ltd has recently told the Madras High Court that the company has been losing 50 million rupees ($706,000) a day ever since May 2018 after police fired on protesters against one of their major plants and killed 13 people.
The Tamil Nadu government had ordered to shut it permanently on May 28 after protests at the plant in the city of Thoothukudi.
The “unit has been and is continuing to suffer a daily loss of about Rs 5 crores (50 million rupees),” Vedanta said in a petition to the Madras High Court reviewed by Reuters.
The company is seeking to reopen the case which is due to open in the Madras High Court on Friday.
Total loss till now
If we calculate the total loss, it comes down to about 13.8 billion rupees ($195 million). Vedanta Group Chairman Anil Agarwal had said in July the company could lose $100 million if the plant was shut for a year.
Due to this, investors have lost their trust in the company and Vedanta’s shares have lost about half their value in last 1 year. The company had its biggest one-day fall in over a decade in February. This was also due to concerns over investment in South African miner Anglo American Plc.