COST OF THE PROJECT FOR 600 PELLETIZATION PLANT

A. B. LAND BUILDING (I) Ground Clearance and necessary Civil work, Industrial shed etc. with Boudary Wall etc 10 acres (Rs. In Lakhs) 6 60

Total C. OTHER FIXED ASSETS QTY RATING (I) Air Conditioning 6 1.5 MT (II) Electrification (a) Industrial Including Main Step Down Transformer (b) Domestic (III) Fire Fighting Equipments (a) Equipments & installation (IV) Close Circuit Cameras (V) Boring and Water Tank, Tailing Ponds etc. TOTAL D. E. FURNITURE & FIXTURE PLANT AND MACHINERY (1) Pellet Plant with Erection & Commissing With All Automations and Plant Electricals (2) Civil Foundation (3) Spares TOTAL

150 150

2 100 35 5 2 10 154 15 (Rs in Lakhs) 1334 30 15 1379

600 TPD

TOTAL F. Machineray To be Purchased (1) Loader Hidustan Z-Bar (2) Lift machine (Crane) Escorts (3) Tippers (4) Other Lab & Welding etc Equipments

1 Nos 1 Nos 2 Nos TOTAL

25 12 26 15 78

G.

Total Fixed Investment (1) Land (2) Building (3) Other Fixed Assets (4) Furniture & Fixtures (5) Machinery and Plant (6) Machinery to be purchased Grand Total 60 150 154 15 1379 78 1836

H.

Installed Capacity per Day Plants

Tons per Day

1 Pellet Plant 2 Coal Required 3 Binder

@ 3500/mt @ Rs 8000/mt @ Rs 2000/MT

Actual Actual Cost Required Required Per year mt per year Rs in Lakhs MT 600 780 234000 8190 18 19 5700 456 36 38 11400 228 8874 8874 (Rs in Lakhs) 8190 456 228 75 Total Rs. Rs. Rs. Per Day 25000 5000 5000 2500 8949 8874

Total Grand Total I. Raw Material Required at Installed Capacity (P.A) (I) Iron Ore Fine (ii) Coal (iii) Binder (v) Water

@0.03T/ tons of pellets @ 6kg/T of Pellets 100000 @ 1Lakhs Lit per day @Rs 0.25/lit

Cost Of Raw Material per annum J. (I) (ii) (iii) (iv) Consumables Water Cleaning Reagents Lubricants Misc Items like Welding electrodes etc

Rs. Per Annum In Lakhs 75 15 15 7.5 Total Rs. 112.5

K.

Cost of Electricity & Diesel (P.A) 45 Units per Ton X 600 (Pellets) ton per day X 300 days= Cost @ Rs.5.00 per unit = units Total Rs. 8100000 405

L.

Salaries for the First Year Administrative Staff General Manager Accountant Ofiice Clerk Store Keeper Guards Sales Executives Purchase Officer Peon Total or Per Annum Qty 1 2 4 1 18 2 1 4 33 (Rs In lakhs) Salary/Month 75000 0.75 4000 0.08 3000 0.12 4000 0.04 3000 0.54 6000 0.12 5000 0.05 2400 0.096 1.8 22

Technical Staff Process Manager Astt Process Mgr (Elec,Met.& Mech) Process Technician Technician Helpers Lab Incharge Lab Techncians Helpers Maintenance Kiln Techinicain Astt Kiln Tech Helpers Welders Helper Welder Fitter Helper Fitter Electriacian Helper Electrician Total or Annual Total Annual Salaries M. N. O. Office Overheads Travel & Coveyance Repair & Maintenance

1 3 6 6 6 1 2 2 2 4 6 2 2 2 2 2 2 51

50000 30000 15000 10000 3000 20000 10000 3000 25000 15000 4000 5000 3000 5000 3000 6000 3500

0.5 0.9 0.9 0.6 0.18 0.2 0.2 0.06 0.5 0.6 0.24 0.1 0.06 0.1 0.06 0.06 0.07 5.33 64 86 3 24 60 87

25000 pm 200000 pm 500000 pm Rs.in Lakhs

P. (I) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix)

WORKING CAPITAL REQUIRED Raw Material Goods in Process Finished Goods Consumables Salaries Office Overheads Electricity & Deisel Travel & conveyance Repair & Maintenance 0.5 month 0.5 months 0.25 months 1 month 1 month 1 month 1 month 1 month 1 month TOTAL

(Rs In lakhs) 370 194 101 5 7 0.25 17 2 5 701 (Rs In lakhs) 1836 701 2537 (Rs In lakhs) 15 145.7 15.4 1.5 178

Q.

TOTAL COST OF PROJECT : (I) Fixed Investment (ii) Working Capital Total

R.

DEPRICIATIONS : (Straight Line Method) At Building @ 10% At Machinery @ 10% At Other Fixed Assets @ 10% At Furniture @ 10% Total

S.

Selling and Administrative Expenses Expenses under this head are taken @ 2% of sales Wastage It is calculated @ 2% of the sales. TOTAL Selling Rate @ Sales Realization 64%FeT Grade Iron Ore Pellet Rate Rs 6,500/QTY PER DAY 600 TPD Per Ton Per Annum TOTAL SALES

(Rs In lakhs) 585 585 1170 (Rs In lakhs) 0.065 11700 11700

U.

PROJECTED PROFIT & LOSS AT EVERY YEAR ENDING (4 YEARS)

PER QUARTER BASIS CAPACITY UTILIZATION A. SALES + RAW MATERIAL COST Cost of Production Raw Materials Consumables Salaries Office Overheads Electricity Travel & Conveyance Insurance @ 2% Repair & Maintenance Depriciations Selling & Adm. Expenses Wastage @ 5% B. TOTAL C. Operating Profit D. Interest on Invest. @ 15% Annual E. Net Profit before Tax F. Less Tax @ 35% G. Net Profit I 80% 9360 II 85% 9945 (Figures in Rs. Lakhs) III IV 90% 95% 10530 11115

296 4 7 0.25 14 5 51 12 178 468 468 1503 7857 381 1122 393 729

315 4 7 0.3 14 5 51 14 178 497 497 1582 8363 381 1201 420 781

333 5 7 0.36 15 6 51 17 178 527 527 1666 8864 381 1285 450 835

352 5 7 0.47 385 8 51 22 178 556 556 2120 8995 381 1739 609 1130