Jain Resource Recycling Resumes Operations at Chennai Unit-II

CHENNAI — Jain Resource Recycling Limited has received regulatory approval from safety authorities to resume manufacturing operations at its Unit-II facility in SIPCOT Industrial Complex, Gummidipoondi, near Chennai, Tamil Nadu. The authorization excludes the specific manufacturing shed affected by a fire incident on July 14, 2026. The company disclosed the official approval in a regulatory filing submitted to the BSE Limited and the National Stock Exchange of India Limited on July 28, 2026.

The decision allows Jain Resource Recycling to restart production across unaffected areas of Unit-II following a temporary prohibition order issued earlier in the month. The development comes as industrial units in the Tiruvallur manufacturing belt continue to upgrade fire safety protocols and regulatory compliance standards.

Regulatory Decision and Inspection Background

The clearance was issued via Order No. C3/18838/2026 on July 27, 2026, by the Director of Industrial Safety and Health, Chennai, acting as the Appellate Authority under Section 107 of the Factories Act, 1948. The order reviewed a Prohibition Order previously issued on July 15, 2026, under Section 40(2) of the Factories Act by the Joint Director-I, Industrial Safety and Health, Chennai, immediately following the July 14 industrial fire.

The appellate authority passed the resumption order after reviewing a formal review petition filed by the Occupier of the company and evaluating a re-inspection report submitted by the Additional Director, Industrial Safety and Health, Chennai. The physical re-inspection, conducted on July 25, 2026, verified that safety deficiencies highlighted in the initial prohibition order had been rectified and required safety protocols were put in place across the operational areas.

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|               JAIN RESOURCE RECYCLING UNIT-II REGULATORY TIMELINE         |
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| Date              | Regulatory Event / Development                                                       |
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| July 14, 2026     | Fire incident occurs at Unit-II shed in SIPCOT Gummidipoondi   |
| July 15, 2026     | Prohibition Order issued under Section 40(2) of Factories Act     |
| July 25, 2026     | Site re-inspection conducted by Additional Director of Safety      |
| July 27, 2026     | Appellate Order permits resumption, excluding fire shed             |
| July 28, 2026     | Disclosure filed with BSE and NSE stock exchanges                  |
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Restoration Status of Affected Manufacturing Shed

While key production sections at Unit-II are cleared to resume activities, the specific shed damaged in the July 14 incident remains shut for structural restoration and compliance checks. Jain Resource Recycling confirmed that renovation and rebuilding activities in the affected shed are ongoing.

Company management stated that all necessary steps are being taken to complete statutory, safety, and regulatory requirements before requesting a final inspection for full facility recommencement. Periodic progress updates will be submitted to market regulators and local safety authorities as restoration milestones are reached.

Operational Location and Industrial Context

The Unit-II plant is located at Plot Nos. R1, R2, and R3 in Pappankuppam Village within the SIPCOT Industrial Complex, Gummidipoondi Taluk, Tiruvallur District, Tamil Nadu. Jain Resource Recycling operates recycling and metal processing units within the hub, which houses several major manufacturing and industrial plants.

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|                        FACILITY LOCATION & REGULATORY DETAILS                                        |
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| Company Name                    | Jain Resource Recycling Limited                                            |
| NSE Symbol / BSE Code      | JAINREC / 544537                                                                  |
| Facility Location                    | Unit-II, SIPCOT Ind. Complex, Gummidipoondi, Tamil Nadu  |
| Appellate Authority                | Director of Industrial Safety and Health, Chennai                   |
| Governing Legislation           | Section 107 & Section 40(2), Factories Act, 1948                   |
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Official Sources Section

Details in this report are based on regulatory disclosures submitted by Jain Resource Recycling Limited to the National Stock Exchange of India Limited and BSE Limited on July 28, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Official Statements

In its statutory filing to the stock exchanges, Jain Resource Recycling Limited stated:

"The Director of Industrial Safety and Health, Chennai, acting as the Appellate Authority under Section 107 of the Factories Act, 1948, vide Order No. C3/18838/2026 dated July 27, 2026, has permitted the Company to recommence manufacturing operations at its Unit-II manufacturing facility, except for the shed affected by the fire incident on July 14, 2026.

The inspection report confirmed that the deficiencies identified in the Prohibition Order in respect of the manufacturing areas of Unit-II for which resumption of operations has been permitted under the said order have been satisfactorily rectified and the requisite safety measures have been implemented."

Why It Matters

• For Investors and Markets: The partial reopening of Unit-II mitigates prolonged production loss and reduces supply disruption concerns, stabilizing market expectations on the
  National Stock Exchange of India Limited
  and
  BSE Limited

• For Industrial Safety Compliance: Strict oversight by Tamil Nadu safety authorities reinforces adherence to fire mitigation standards across industrial zones.

• For Plant Workforce: Partial operational clearance allows employees in unaffected sheds to return to work while restoration continues in the damaged area.

Key Facts at a Glance

• Partial Restart Approved: Operations resume at Chennai Unit-II except for the fire-damaged shed.

• Regulatory Order: Issued on July 27, 2026, under Section 107 of the Factories Act, 1948.

• Inspection Clearance: Re-inspection on July 25 verified safety compliance and deficiency rectifications.

• Fire Incident Date: Original fire occurred at the Gummidipoondi facility on July 14, 2026.

• Restoration Status: Renovation of the affected shed remains ongoing under statutory supervision.

Frequently Asked Questions

Has Jain Resource Recycling fully reopened its Chennai facility?

No, the company has received permission to resume manufacturing operations at Unit-II except for the specific shed affected by the July 14 fire incident.

Who approved the resumption of operations at the plant?

The Director of Industrial Safety and Health, Chennai, acting as the Appellate Authority under Section 107 of the Factories Act, 1948, issued the approval order.

What was required before the plant could restart operations?

The company rectified safety deficiencies cited in an earlier prohibition order, followed by a physical re-inspection by safety authorities on July 25, 2026.

Source: Statutory disclosure filed by Jain Resource Recycling Limited to BSE Limited and National Stock Exchange of India Limited