Calcination Technology Pioneers Goa

Welcomes you to a
Presentation about
its activities ….
Promoters DEMPO GROUP

Reputed business house in India

Long established industrial presence since 1941

Core business – Iron ore mining,

Calcined Petroleum coke

Long term relationships with steel

manufacturers internationally – 50 years

Group turnover:
Rs. 1800 crores – 2007-08
Rs. 2200 crores – 2008-09 (Projected)
DEMPO GROUP
Corporate Social Responsibility
Educational institutes imparting university
level education in Arts, Science and Commerce

Instituted awards for Goa Environment

Protection

Premier football club in the National

Football League
DEMPO GROUP
Core Businesses Allied Businesses
Iron Ore Mining & Export Marketing of Industrial Vehicles
Calcined Petroleum Coke Foods & Beverages
Iron & Steel Real Estate Development
Newspaper Publication
Ship Building & Engineering
Industrial Paints & Varnishes
India’s Leading Calciner
Started production in 1976

First plant at Goa,

40 kms from Mormugao Port

Technical guidance from Great Lakes

Corporation.(USA)

Kiln designed by M/s Kennedy Van Saun

Procured from M/s McNally Bharat
First Indian producer exporter of Calcined Petroleum Coke

First ISO 9000 certified Calciner in India

Listed Company on the BSE & NSE

Three locations across India

300 Employees

Annual Projected Sales USD 116 Million

Green Coke / RPC sourced globally

Experience in calcination of more than 30 years.

First calciner in India to use green coke

blending to optimize customer requirements.

Experience in using and blending green cokes

from sources around the globe - Kuwait,
Indonesia, Malaysia, China, Argentina, Brazil.
Acquisitions
During the year 1999 acquired Bilaspur
Calcining unit.

Production capacity of 40,000 tons/year.

During 2001 acquired Paradeep Calcining unit .

Production capacity of 125,000 tons/year.

 Bilaspur Plant

Located in Central India

 

Strategically located near India’s

largest Aluminium smelters

Goa Plant
40 kms from Mormugao port
Paradeep Plant
Located on the east coast
Only Calciner on west coast of India
of India
8 kms from Paradeep port
Proximity to Middle East,
Second largest calciner in India
East Africa & South Africa
All the plants are ISO 9001

and ISO 14001 certified.

Green Coke
The Paradeep & Bilaspur Plant’s have access to
green Petroleum Coke producing Indian refineries

Indian green cokes comparable to the best

with Low Sulphur & High Real & Apparent
Densities

The Paradeep & Goa Plant’s use imported green

cokes in their Blends
Applications - CPC

Anode Manufacture for Aluminium Smelting

Carbon additive – sponge iron/steel making

Electrodes – EAF/steel industry

Titanium Dioxide

Speciality applications
 Sales Customers list - partial
Goa and Paradeep plants are export oriented
Aluminium Industry
The company exports 25 % of its production
Satisfied customers across the world. •Alcan France •Balco Korba
•Aluminium de Greece •Hindalco Renukoot
Shipments – BHP, DUBAL, Anglessey,
•Alucam Cameroon •Hindalco Belgaum
ALCAN, AUG, GREECE •Malco Metturdam
. •Nalco Angul
•Hindalco Hirakud

Electrode Manufacturers
•ESMA, RSA •Eveready Industries, Hyderabad
•Graphite India, Bangalore

 Titanium Dioxide
•Millenium Inorganic •Kerala Metals & Minerals,
Chemicals, Australia Chavara

Metalurgical Chemical & others

•Amsteel, Malaysia •Ennore Foundaries, Chennai
•Krakatau Steel, Indonesia •Ashok Leyland, Hyderabad
•Met & Const. Chem., Egypt •Bharat Heavy Electricals, Bhopal
•Saudi Iron & Steel, KSA •Carborundum Universal, Koratty
•Ghatge Patil, Kolhapur
•Kalyani Steel, Pune,
•Telco, Pune
The last three years: A position statement

Major increase in petroleum prices

Our Raw material costs increased by more than 100% over 3 years
(Petroleum, shipping)

Customer prices take their time to increase, the business is on

long term contracts
Goa Carbon Strategy: Domestic
Local players dependant on North East Raw material, proving
costly. Flexibility to import limited

Goa Carbon has plants closest to domestic customers – offers

significant freight advantage

GCL has port based plants, offers good Raw Material freight
advantage

Rain Calcining is on the East Coast, currently having an Export

focus

We foresee a shakeout among smaller domestic players

Goa Carbon Business Plan Medium Term
Customer feedback to GCL very positive for Volume increase
1. Export
2. Domestic

Long term Contract for the supply of CPC to overseas

Aluminium Smelter discontinued

Supply to overseas market on spot basis which will result in

passing on the increased raw material cost and exchange
fluctuation.

Paradeep will be a focus area for growth

Middle East an area of interest, proposals being studied

Power generation
Financial Performance Improvement - 1
Price increase on both Domestic and Export sales.
Reducing the credit period to customers to improve the
Cash Flow
Completion of old contracts at old prices by Dec 2007
New customers
Push volumes
Look domestic and also at steel
Lower cost imported raw material vs domestic raw
material
Lower cost blends
High capacity utilization
Financial Performance Improvement - 2

Repayment of higher cost term loans, ICD’s

Reduced interest burden by availing ECB’s instead of

normal working capital borrowing from Indian Banks

Focus on domestic market where margins higher

Possibility of trading in CPC to augment top line

Medium Term Customer Outlook

Aluminium industry bullish on growth , with capacity

relocation
Domestic
International

Domestically, steel industry on a growth mode

China a major competitor and consumer
Domestic CPC Competition

Current capacity split is :

GCL Group 240,000 tpy (3 plants)

Rain Calcining 600,000 tpy (1 plant)

Other competitors 566,000 (9-10 of them, all in the NE

East/East – Barauni, Gauhati, Haldia, Kolkata)
Future Plans
Demand drivers from Aluminium positive

Increase customers

Capacity expansion

Use of waste heat – Power generation

Our Strengths
Goa Carbon - Established calcined coke
suppliers in the global market.

The strong financial support of the Dempo

group of companies in world business.
Accessibility to both domestic and imported
sources of green petroleum coke.
Expertise in blending green cokes.
Highly qualified professional management
at all levels
Port based plants on both coasts of India
Process Expertise established over 30 years
High Sieving & Screening Capacity
Thank you