This action might not be possible to undo. Are you sure you want to continue?
in Nation’s Growth
MISSION AND OBJECTIVES
To emerge as a global environment friendly mining organisation with International Standards of excellence, rendering optimum satisfaction to all its stake holders.
Macro Objectives To expand the operations in the areas of mining and mineral processing to meet the growing demands from domestic and international Markets. Achieve international standards in per capita productivity, value addition and cost effectiveness. To increase the production of iron ore from the present level of around 24 Million Tonnes to 40 Million Tonnes by 2014-2015. Micro Objectives Achieve growth by: Expansion of existing mines. Operating new mines fully owned by NMDC or in Joint Venture. Give thrust to exploration and exploitation of coal and gold. To maintain environment protection. To conserve mineral resources through scientific mining. To maintain high level of customer satisfaction. To improve the quality of life of people in general and socio economic environment in and around the mines in particular.
ANNUAL REPORT OF NMDC LIMITED
Directors’ Report ............................................................................ 5 Auditors’ Report ........................................................................... 82 Comments of C&AG ................................................................... 87 Balance Sheet ............................................................................. 92 Profit & Loss Account ................................................................ 93 Schedules ..................................................................................... 94 Cash Flow Statement ............................................................... 131
ANNUAL REPORT OF SUBSIDIARY COMPANIES
J&K Mineral Development Corporation Limited .............................................................. 133 NMDC-CMDC Limited ........................................................... 157 NMDC SARL ......................................................................... 183
NOTICE FOR AGM OF NMDC LIMITED
53rd AGM Notice ....................................................................... 187
M/s. Ramamoorthy (N) & Co. Hyderabad, Andhra Pradesh
State Bank of India Canara Bank UCO Bank State Bank of Mysore State Bank of Hyderabad
M/s. Sriramamurthy & Co. Visakhapatnam, Andhra Pradesh M/s. D.V. Sarovar & Co. Bellary, Karnataka M/s. Hari Gupta & Co. Allahabad, Uttar Pradesh
REGD. OFFICE: NMDC Limited
“Khanij Bhavan”, 10-3-311/A, Castle Hills Masab Tank, Hyderabad - 500 173
Annual Report 2010-11
Turnover Profit before Tax Cash Profit Net Profit Total Assets Net Worth Book Value per Share Earnings per Share Return on Capital Employed Return on Net Worth Dividend : Interim Final – – – – Rs. 115% 215% 159.04 Lakh – – – – – – – – – – Rs. 11,368.94 Rs. 9,727.17 Rs. 9,763.98 Rs. 6,499.22 Rs. 21,083.67 Rs. 19,200.07 Rs. Rs. 48.43 16.39 35% 34% Crore Crore Crore Crore Crore Crore
Value added per Employee Output per Manshift (Iron Ore)
12.07.2011) S.S. Teresa Bhattacharya Director (Upto 23. Nanda Director (Finance) S.B.2011 3 .P. Venkatesan Director (Commercial) (Upto 30.NMDC Limited Board of Directors Chairman-cum-Managing Director Rana Som S.K.08. Singh Director Y.K. Machendranathan Director U.03.2011) V. Aga Director Parminder Hira Mathur Director Dronadeb Rath Director Director (Technical) N.2010) Director (Production) (Upto 31. Raju Director Arvind Mahajan Director R. Sharma Director Abdul Kalam Director K. Thiagarajan Director (Personnel) G.K. Sharma As on 08.N. Joshi Director (Production) Subimal Bose Company Secretary & ED (CC) Kumar Raghavan Ms.
Rathore General Manager Regional Office. Venkata Swamy General Manager Kirandul Complex V.K. New Delhi R.Annual Report 2010-11 Senior Management Executive Director (BD) Head Office Atul Bhatt Chief Vigilance Officer (CVO) Head Office Pradeep Gupta Executive Director (Steel) Head Office Ganesh Vishwakarma General Manager Donimalai L.N.2011 4 . Jagannath General Manager (Proj) Head Office Y. Mathur General Manager Arki A.S. Choubey As on 08.B.P. Ahluwalia General Manager (Engg) Head Office N.N.S.08.
000 crores mark. improved rake supply by railways and increase in iron ore price. turnover has breached the Rs.03. 35% higher than Rs. G G As an MoU signing PSE with the Government of India.9727 crores compared to Rs.000 crores mark and Profit after Tax has crossed Rs.5207 crores in the previous financial year 2009-10 recording an increase of 87%. G Profit before tax was Rs.2011.14256 crores in the previous financial year 2009-10. The acquisition of SIIL through the inorganic route of merger makes the Company's first foray into manufacturing area.455.6239 crores in the previous financial year 2009-10 recording an increase of 82%.6. Profit after tax was Rs.63 lakh tonnes against 34. 5 G Statue of Corporate Governance at Bailadila Complex. Kirandul .94 crores was paid by the Company. For the first time in the history of the Company.52 lakh tonnes as against the previous year supply of 206.0 PERFORMANCE HIGHLIGHTS The year under review has been a historic year in which the Company has established new landmarks in its performance in all parameters. Government of India. Pursuant to the Order of Ministry of Corporate Affairs.10. G G Interim Dividend @ 115% on the paid up equity share capital of the Company aggregating Rs. together with the Audit Report and Audited Accounts. The sterling performance of the Company can primarily be attributed to increased offtake by domestic customers. Net worth increased to Rs. Total exports of Iron Ore during the year was 25. 1. for the year ended 31 March 2011 and the Report thereon by the Comptroller and Auditor General of India.53 lakhs tonnes.3447 crores in the previous financial year 2009-10 recording an increase of 89%. Your Directors are pleased to present the 53rd Annual Report on the performance of your Company.10. The major performance highlights are summarized as under: G Turnover for the year under review was Rs.000 crores turnover mark.11369 crores compared to Rs. The Company has for the first time in its history crossed the Rs.19200 crores as on 31.32 lakh tonnes in the previous financial year 2009-10 recording a decrease of 25%.NMDC Limited Directors’ Report for the year 2010-11 Dear Members. Sponge Iron India Limited got merged with NMDC Limited.6499 crores compared to Rs. the highest ever in its history. your Company's performance during the year qualifies for "Excellent" rating Supply of Iron Ore to domestic industries recorded 237. recording an increase of 15%.
21 251.56 2010-11 Domestic Export 2009-10 Domestic Export through MMTC Total Sales 206. on 01.01. Accordingly. application has been submitted for Forest Clearance.2011 and final / stage-II approval is awaited.76 3.Annual Report 2010-11 G G Sponge Iron production during the year under review was 38962 tonnes.1 238.26 0 2006-07 2007-08 2008-09 2009-10 24. PHYSICAL PERFORMANCE Production Product 2009-10 Iron Ore (lakh tonnes) Diamond (Carats) Sponge Iron (Tonnes) Achievement 2010-11 Percentage change 2. b) Silica sand mining operations are suspended since November.43 2.52 25.87 3. Stage-I approval was cleared on 04. However. 2007 due to commercial reasons and the Lalapur Silica sand mines are kept under care and maintenance.3% 9.93 6.00 Notes: a) The Hon'ble Supreme Court of India has granted permission for operation of Diamond Mining Project upto 13.07.2010.03 16529.55 10865.05 lakh Kwh of power in the previous financial year 2009-10. During the year 137.0% (-) 34% I year of operation – 38962.11 lakh Kwh Power has been generated by wind electricity generators as compared to 194.53 34.40 22.0 2.85 6 . 2.12.33 22.15 15% (-) 25.26% Sale of Iron Ore (Million WMT) 30 25 20 15 10 5 3.2020.32 240. supplementary lease has expired.65 23.78 3.63 263.2 Sales of Iron Ore (in lakh tonnes) Product Achievement Percentage change 2010-11 237.60 20.
in crore) Book value per share (Rs. your Company has earned profit before tax of Rs.0 3.11 4.57 – – 137.43 16.00 62.48 39775. 7 . 2.6239 crores. Production and Sales were also affected during the year 2010-11 due to breakdown of Essar's slurry pipeline for the most part of the year.94 18421.69 9727 19200 48.34 6.2 Profit & Dividend During the year under review. in crore Achievement 2010-11 b) 7335.74 3.11369 crores in comparison with those of previous year's achievement of Rs.9727 crores on a turnover of Rs.) Achievement 2010-11 Percentage change 5207 14256 35.96 8.) Earnings per Share (Rs. in crore) Net Worth (Rs.3 Other Sales Products 2009-10 a) Diamond Sales (carats) Value (Rs.05 6.NMDC Limited Notes: a) Production and Sales of Iron Ore were partially affected in the year 2010-11 due to frequent bandhs called by Maoist in Bailadila sector and restricted night movements of rakes due to Maoist activities. in crore) b) Wind Power Sales (lakh KWh) Value (Rs in crore) c) Sponge Iron (tonnes) Value Rs.39 87% 35% 35% 89% 3.1 FINANCIAL PERFORMANCE Operating Results Parameter 2009-10 Profit Before Tax (Rs.88 194.22 12.5207 crores and Rs.
320 crores is for Plant and Rs.20 651. Expenditure incurred till 31st Mar'11 for the plant is Rs. The project is likely to be commissioned by December 2011.Annual Report 2010-11 The Company has paid interim dividend @ 115% on the equity shares of Re.1 NEW PROJECTS & BUSINESS DIVERSIFICATIONS Projects under construction Bailadila deposit-11/B As part of plan to enhance production. This has since been revised by Railway due to adverse ground condition of the area.0 DEPOSITS 1400 1200 1000 800 600 400 200 0 465.86.852. Project progress till 31st Mar'11 is 67%. 5. S&T and OHE submitted by East Cost Railways. Line of East Coast Railways of Waltair Division for Civil.has been deposited with East Coast Railways on 02. The total dividend payout for the year under review aggregates Rs.1308.455. ballast supply.60.41 crores.53 693.2006 towards the estimated cost of the work based on the detailed estimate for Civil. drains.188 crores is for mining machineries. 5. The estimated capital expenditure towards this is Rs. Naxal activities have seriously hindered the progress of the project work. the construction of Deposit 11B mine at expanded capacity of 7. minor bridges. Visakhapatnam. About 60% of the work is completed and the balance is likely to be completed by October 2011. in Crore) 1308.3 Slurry Beneficiation and Transportation system from Bailadila to Vizag The Slurry Transportation system is intended for transportation of Pellet Feed Concentrate from Bailadila to Vizag via Jagdalpur along State / National Highways with a provision for partial take-off at Nagarnar for feeding to NMDC's proposed Steel Plant at Nagarnar. OHE and S&T works" as a Deposit Work for which an amount of Rs.1.82 Dividend (Rs. works.0 5. RCC retailing walls. 5.0 million tonnes of ROM per annum has been taken up. out of which Rs.15.1. 8 .35 2006-07 2007-08 2008-09 2009-10 2010-11 The Company has not accepted any Fixed Deposits during the year under review. payment of final dividend @ 215% on the paid up equity share capital of the Company aggregating Rs.1/each aggregating Rs.94 crores in February 2011.607 crores. protection works.1. The Board has recommended subject to shareholder's approval.262 crores.19 876. New Delhi and IFCI is appointed as the agency for carrying out Due Diligence of the TEFR. East Cost Railways have invited the Tender for execution of balance works such as earth work in formation.K. transportation of P-way-materials.038/.35 crores.1 5.01. The work is awarded on PDV-KVMR. Techno-Economic Feasibility Report (TEFR) for the scheme prepared by MECON.2 Uniflow System at Bacheli East Coast Railways is assigned the work of execution of the "Construction of Uniflow Dispatch Line at Bacheli on K. 4. P-way linking and other misc.
An application has already been filed at State Govt. The erstwhile Sponge Iron India Limited is now functioning as Sponge Iron Unit of NMDC Limited.18 Lakh tonnes per annum of BF grade Pellet Feed Concentrate. 9 .1.32 2000 0 2006-07 2007-08 2008-09 2009-10 2010-11 To compensate the depleting reserve of Donimalai Iron Ore Mine and augmenting NMDC's production capacity towards achieving the target of 50 MTPA. Chief Secretary (Industries).P.0 MW Wind Power Project has been commissioned on 30th September 2008 and connected to KPTCL grid. Shimla. 5. Banded Hematite Quartzite (BHQ). Profit Before Tax Consequent upon filing of the order of merger with (Rs.6 Merger of Sponge Iron India Limited Pursuant to the order of Ministry of Corporate Affairs.9 Low Silica Limestone Project.2009 and the same is under consideration of Addl. in Crore) the Registrar of Companies. 2010. Work orders are placed for all critical packages 126.96.36.199. Government of India.17 6000 4000 3498.8 Windmill in Karnataka 9. 2 & 3 (Crushing Plant Package.23 9727.2010. Arki (HP) Mining Lease of the Arki Lime Stone Deposit is valid upto 7th August 2011.2010 subject to transportation of material by road for 1st five years and then by conveyor. 5.04. a Beneficiation Plant is proposed to be set up at Donimalai Iron Ore Mine to treat 3.1. The appointed date of the Scheme is 30th June 2008 and the effective date is 1st July 2010 being the date on which the Order of Merger was filed with Registrar of Companies. of H. Downhill Conveyor Package and Electrics & Substation Package). MECON is appointed as EPCM consultant. the Company has filed certified copies of order of merger with the Registrar of Companies. 5.47 5207. The project is scheduled to be commissioned by 2012-2013. Andhra Pradesh on 1st July. Orders for the minor packages will be placed in 2011.898.5 Slime-based Pig Iron Plant at Jagdalpur Matter related to setting of slime based Pig Iron Plant has been closed because of construction of ISP. 5. on 3rd March 2011 for reconsideration as earlier State Govt.31 4947. Andhra Pradesh. of H. New Delhi has accorded Environmental Clearance on 22. Mining lease renewal application was submitted on 23. Sponge Iron India Ltd stands merged with NMDC without being wound up. Andhra Pradesh.7 Kumaraswamy Iron Ore Project 12000 10000 8000 6648. has not agreed for transportation of limestone by road.NMDC Limited 5.P. the construction of Kumaraswamy mine with capacity of 7. 5. The Board has approved the revised capital outlay of Rs.55 crores for the project in its 427th meeting held on 26.1.0 MTPA was envisaged. The project is expected to be completed by June 2013. MOEF. The entire project has been planned to be executed in six packages.1.6 Lakh tonnes per annum of BHQ to produce 1.1. Techno-Economic Feasibility Report (TEFR) for the scheme was prepared by MECON. Bangalore and Due Diligence Report of the TEFR was prepared by SBI Capital Markets Ltd.4 BHQ Beneficiation Plant at Donimalai For treating low grade ore.
Shimla on 4th March 2011. Dehradun as a pre-submission for the purpose of Mining Lease renewal.01.36 Ha of Forest Land. The entire project has been planned to be executed in seven packages. The estimated capital expenditure is Rs. Expert Appraisal Committee (EAC) meeting for environmental clearance was held on 23rd September 2010 and 23rd February 2011. J&KMDC Board in its 157th meeting held on 30.13 To augment the production capacity of Kirandul Complex the construction of 12. 1972.10 Panthal Magnesite Project NMDC has formed a joint venture Company with J&K Minerals Limited in the year 1989 to explore and exploit Panthal magnesite mine to produce dead burnt magnesite. has issued the notification for exemption in the 1851. Environmental and Forest Clearances are awaited. ML has been transferred to J&KMDC on 10. It has been registered on 07.Annual Report 2010-11 As Forest Clearance of Arki lease is co-terminus with expiry of mining lease. The Joint Venture is named as J&K Mineral Development Corporation Ltd. Tender activity is in progress.11.11 Screening Plant III at Kirandul Complex 20000 18000 16000 14000 12000 10000 8000 6000 4000 2000 0 2006-07 2007-08 2008-09 2009-10 2010-11 Net Worth (Rs. A draft Mining Plan for 3MTPA mine has been prepared and submitted to IBM.03 Bigha Pvt.f.1. The Project is planned to be executed in four packages. TATA Consulting Engineers (TCE) is appointed as EPCM Consultant.0 MTPA screening plant with loading facilities is envisaged.e. and is a subsidiary of NMDC.2009 decided to revive the project.14 of Kirandul Complex. M/s Dasturco is appointed as EPCM Consultant. Public hearing for Environmental Clearance (EC) was held successfully. Subsequently Board of NMDC endorsed to revive the project by setting up a 30. Application has been submitted accordingly and a NOC from NBWL and EC from MoEF are awaited. For land acquisition.000 TPA Dead Burnt Magnesite plant. Simultaneously.10 5774. On scrutiny of the proposal.02. Matter is being pursued for issuing the notification under section-4 of Land Acquisition Act.07 14255. the forest clearance proposal of NMDC has been forwarded to CCF. 5. Land under sub-section (h) of section-5 of the Himachal Pradesh Ceiling on Land holding Act. After an initial phase of uncertainty regarding future of the Panthal Magnesite Plant due to inadequate demand in the market. ML renewed for 10 years w. MoEF asked NMDC to submit NOC from National Board of Wild Life (NBWL) with reference to Tricuta wild life sanctuary which is close to the mine area. of Govt.2011. 11th January 2009 and registered on 21st May 2010. 11-B & Dep. 5. The plant would cater to both Dep.71 8265. Tender activity is in progress.65 11614.2011.P.951 crores. on 23. of H.1. in Crore) 19200.2011 at Hon'ble Court of Katra in favour of J&KMDC. has been awarded the work of preparing the same. 10 . action has been initiated for preparing the Feasibility Report and M/s Tata Consulting Engineers Ltd. the case will be considered by MOEF for diversion of 84.04. Revenue Dept.
To know the techno-economic viability of the project.34 Sale of Iron Ore Sale of Sponge Iron Interest & Dividend Income Sale of Power Other Income Sale of Diamonds Income from Services 4.00 11285.50 11 . as a partner for supplying raw material to the steel plant at Nagarnar. Jagdalpur Railway Line Project The work is under progress between Dalli-Rajhara .74 1095. in Crore) 62.2. 1956 on 19th June 2008 to develop Deposit-13 as standalone project of 10 MTPA.2010 has recommended the ML application of NMDC to Ministry of Mines. Tree felling beyond Bhanupratappur is held up due to security concerns. The JVC was incorporated under the Companies Act. Coal India and RINL. with 49% partnership of CMDC Limited.09.Raoghat (Phase-1). Nagpur in April 2010.70 12. Due to change in Project Execution Philosophy of developing Deposit-13. Govt. Indonesia.2 5.3 Rail Link between Dalli-Rajhara .2.48 110. 5.NMDC Limited 5.1 Other initiatives Bailadila Iron Ore Deposit-13 NMDC formed a Subsidiary Company NMDC-CMDC Ltd.4 International Coal ventures (P) Limited (ICVL) The Joint Venture Company International Coal Ventures (P) Limited (ICVL) has been incorporated between SAIL.Raoghat. Canada and USA. 5. Break-up of Income (2010-11) (Rs. Prior approval is expected shortly. Levelling is under progress upto Bhanupratappur. NTPC.2 Bailadila Deposit-4 It is envisaged to develop Deposit 4 with CMDC Ltd. Modified Mining Plan was prepared and got it approved by IBM. NMDC. of Chhattisgarh on 30. The opportunities for acquisition of coal properties abroad are being pursued in Australia. The subsidiary Company is seeking various statutory clearances of the project.2. an in-house Techno-Economic Feasibility Report (TEFR) was prepared in June 2009 and found to be highly profitable. GOI for prior approval for grant of ML in favour of NMDC.88 3. 5.2.
12 b) .52) 5. 5.69% (212.62) (154..39) 27.35) 7.18% (23. Govt. of A. and NMDC Limited for Mineral Exploration in the State of A.87% (863. NMDC was not considered in view of net higher tariffs.36% (3440.40% (1308.59% (4978.5 Memorandum of Understanding with Department of Mines & Geology (DMG).e.6 NMDC Global Your Company has formed its international global investment division .Annual Report 2010-11 Distribution of Income (2010-11) (Rs.2. 2010 for joint exploration work for Iron ore in Kadapa. Depreciation Freight & Selling Royalty and Cess Dividend Taxation Retained in Business 10. Strategic Alliances a) Your Company has signed a Memorandum of Understanding with OJSC Severstal.P. The joint venture agreement was signed and a JV Company is being incorporated with M/s Kopano Ke Matla Investment Company (Pty) in the Republic of South Africa for exploring and exploiting the mineral resources in South Africa. Electricity & Water Payment to Employees Repairs & Other Exp. your Company had submitted bids to develop solar power plant at Paloncha. Preliminary exploration for iron ore was carried out in Kadapa and Karimnagar districts. The vision of NMDC Global is to secure future supplies of critical raw materials for the country's steel and fertilizer production and energy security by acquisition of overseas mineral assets of iron ore.39) (47.19) (121.95) 3. Russia.97% (492.2.86) 0.23% 0. rock phosphate and potash.18) 1. in Crore) 39.P. Govt. Solar Power Plant To develop solar power development projects under the Jawaharlal Nehru National Solar Mission (JNNSM). coking coal.P.P. Andhra Pradesh Mineral Development Corporation (APMDC).41% (931.92% 0. to jointly set up an Integrated steel plant with an initial capacity of 2 million TPA in Karnataka. A model of complete vertical integration of the steel making resources to product generation is being pursued. Your Company has signed an MoU on 29th January. Chittoor and Karimnagar Districts and for Gold in Chittoor and Anantapur districts of A.76) 6. Manganese ore and fertilizer raw materials i. Further exploration work will continue. Kurnool.43) Raw Material Stores & Spares Power. of A.38% 1.NMDC Global in order to focus expanding its geographical footprint around the world and augmenting its resource base.
2 Iron Ore Being the largest iron ore producer of the country.3.1 Foreign venture Gold in Tanzania In Tanzania. one in Western Australia (early exploration) and the other in South Australia (scoping study completed with preliminary reserve estimates) and has entered into exclusive negotiations with the license holders of these exploration tenements for possible acquisition. your Company is currently evaluating the possibility of setting-up a 5 MW bio-mass based power plant at one of its mine locations.NMDC Limited Renewable Energy Bio-Mass Plant As part of its ongoing initiatives to contribute to the conservation of environment.39 13 .3 5. Met Coke from Indian Thermal Coal Your Company has initiated discussions with the technology supplier and potential JV partner in the USA for setting-up a plant in India to produce Coke equivalent from Indian thermal coals. 5. commissioning and operating iron ore mines.27 Township Education Healthcare Recreation Transport 3.54 28.3. ITMK3 Based Nugget Plant Your Company is currently engaged in conducting feasibility studies in partnership with Kobe Steel to set-up a 500. in Crore) 13. NMDC is also in the process of identifying a Joint Venture partner for developing a gold mine in Bulyang'Ombe.000 tpa iron nugget plant based on iron ore fines and low rank coals. EC expected shortly. which shall enable grant of Mining Lease. Break-up of Expenditure in Social Amenities (2010-11) (Rs. NMDC has been granted Retention Licence at Bulyang'Ombe and Siga Hill areas. 79 26.93 1. NMDC has in-house expertise in exploring. your Company is pursuing the gold exploration works in Bulyang'Ombe and Siga Hill area. Australia Your Company has identified two exploration tenements. developing. Your Company plans to leverage these core competencies to acquire early stage exploration projects across the world. 5. EIA / EMP report for Bulyang'Ombe area submitted to National Environmental Management Committee (NEMC) for its approval.
a surface mine as well as a preparation plant. The strategy involves developing this mineral asset in collaboration with the current owners with a targeted production of 6 million tonnes per annum of magnetite concentrate. The independent technical duediligence of the target asset has been completed and the appointment of financial consultant cum transaction advisor is being considered.1 Leases for minerals Iron Ore In respect of Bailadila-1 & 3 Your Company has filed Writ Petition before the Hon'ble High Court of Delhi against allotment of PL of Deposit-1 in favour of Tata Steel & PL of Deposit-3 in favour of ESSAR Steels. Russia Your Company is considering acquisition of an operating coking coal mine in Far East Russia.1 5. The Writ Petitions are being heard before the Hon'ble High Court of New Delhi. 5.4. 5.providing a number of transportation alternatives to serve both domestic and international customers.4.3 Coking Coal Acquisition of operating coking coal assets overseas is a national priority as India is dependent on imports for most of its requirement.Dumper operation underground mine. 14 . USA Your Company is also actively pursuing the acquisition of a metallurgical coal producer located in Alabama operating an Shovel .4 5.3. in order to reduce risk and dependence on mining and marketing of iron ore and also to secure against increasing need of the country. The Company's mines are accessible by several truck routes and rail as well as direct barge to the port of export . The target regions for rock phosphate are in North Africa and Australia while for potash are in Canada and East Africa. 5. your Company proposes to diversify into production of coking coal. Investment at exploration stage although not a priority is being considered in addition to acquisition of operating mines. The independent due diligence for financial and technical aspects have been initiated. one of the largest importers of these commodities in the world.Annual Report 2010-11 Brazil Your Company is also considering acquisition of a magnetite iron ore resource in Brazil which has completed its pre-feasibility stage.1. Hence.4 Phosphate and Potash Your Company is also reviewing opportunities for acquisition of rock phosphate and potash mineral assets to meet the fertilizer requirement of India.3. The strategy for coking coal is to participate in the operating mines which is already producing or near production.
of Mines & Geology (DMG). Exploration work is in progress.2 The PLs being pursued in Chhattisgarh Your Company has applied 12 PL's in Dantewada District (2006-2008). The case is being heard in the Hon'ble Supreme Court of India.09. Jharkhand for exploration of Iron ore and other minerals in the State of Jharkhand.4. Your Company is pursuing all the applied PLs with Chhattisgarh Govt. Bacheli Complex.1.2006 which reserves exploitation of Ghatkuri deposit by PSU's. Under the MoU signed.NMDC Limited Crushing Plant and Silos of Deposit-10/11A. (NMDC & JSMDC). Chhattisgarh 5. 5.3 In Jharkhand Sasangada: Your Company applied for PL / ML in the west Singhbhum district. recommended to Central Govt. Your Company has signed MOU with Dept.4.1. Ghatkuri (Notified Forest): Your Company is pursuing ML application for Ghatkuri Iron Ore Deposit for exploitation in JV with State Government.10. your Company has also applied 3 PLs in Kanker District in Sept . State Govt. your Company is executing exploration for iron ore in Silpunji . for prior approval for grant of PL in favour of JV Co. In addition to that. Your Company has filed Impleadment Petition requesting the Apex Court to direct maintaining status-quo of the State Government Notification of 27. 15 .Kantoria area in West Singhbhum Dist.
. Tumkur and Bagalkote Districts.Rungikocha (West Singhbhum District) and Parasi-Kutachauli-Khotadih (Ranchi District).4. pending in the Hon'ble Supreme Court of India and in Hon'ble High Court of Karnataka respectively.1.4. Carbon-Sulphur and Oxygen-Nitrogen Analyzer at R&D Centre. your Company has also applied for another 7 PL applications (Jul 2010 and Sep 2010) in Tumkur.1.1111).4.3.09. Bellary and Chitradurga Districts and in Donimalai Range 3 ML applications (Dec 2010).3 5.2009 in the Tikamgarh District of M. Dangli and Dangli RF. Anantapur Dist.P.4. Hyderabad 16 .4. Forest permission is expected shortly. Paloncha.2 5. Bellary. Exploration work is in progress. Your Company is also pursuing for other 3 PLs viz.2.4. 5. Both the MLs are subjudice.4. Karmatia and Lakshmipur for early grant in favour of NMDC.5 In Orissa Your Company is pursuing for ML for Mankadnacha iron ore. 5.4.Annual Report 2010-11 5.1 Diamond In Andhra Pradesh Sponge Iron Unit.4 5. 5. Andhra Pradesh Your Company has carried out exploration work in 5 PLs (Revenue area) of Kalyandurg area.2 In Madhya Pradesh Your Company has been granted 2 PLs (Baghain & Sarang) and exploration work for diamond is in progress. Your Company has applied for 7 ML application (Aug 2007) in Chitradurga. Your Company is pursuing forest permission for exploration in the other 3 granted PLs falling in the Forest area (Renewal application submitted in March 2010).1 Platinum Group of elements In Uttar Pradesh Your Company is pursuing for PLs for Tsganan area. Rampura. In addition. 5.1 Gold In Jharkahand Your Company is pursuing for ML / PL for Pahardia . 5. and all these areas have proved non-prospective and surrendered to the State Govt.4 In Karnataka Your Company is pursuing for ML for Ramandurg and Kumaraswamy deposit (contiguous to ML No.4. Tikamgarh RP Your Company has been granted Reconnaissance Permit (RP) on 30.3.4.
0 MTPA Steel Plant at Nagarnar near Jagdalpur.4. diversion of about 63. Govt.5.2009. Action is on hand for obtaining all statutory clearances.4.2007 for commercial mining under Govt. Utani. Preparation of feasibility report.1 Dolomite: In Chhattisgarh Your Company is pursuing ML application for Sadartera Dolomite Block in Bastar District.01.525 crores was approved by Board on 07. dispensation route. Your Company has carried out detailed geological exploration of both the coal blocks and submitted ML applications on 14. Mine plan for both the blocks were prepared and submitted to MoC on 07.62 acres of land which is in possession of the Company at present. Kotih village.6.7. New Delhi for allocation.64 acres of Government Land is under process in the Government of Chhattisgarh.5. 5. As such in total your Company will be in possession of about 1949 acres of land at Nagarnar for the Steel Plant.1 Bauxite In Jharkahand Your Company is pursuing for PL / ML for Mahaudih village. Shahapur East and Shahpur West coal in the Sahdol District by Ministry of Coal.7 5.15.4. Formal allotment of additional 102. GoI for prior approval. Approval is expected in June / July 2011.P. Environmental Clearance from MoEF was received on 15.6 5. one each in Maharashtra and Andhra Pradesh to MoC. 3 coal blocks in West Bengal.06.2 In Chhattisgarh Your Company is in the process of signing a Draft Memorandum of Agreement with Goa Industrial Development Corporation (GIDC) for development of Gare Palma Sector-III coal blocks in Chhattisgarh allotted to GIDC. Techno Economic Feasibility Report and Investment of Rs.52 acres of forest land for utilization for setting up of the Steel Plant is also under process in the government.4.5. of M.NMDC Limited 5.12.07. 5.4.5 Business Diversification Sponge Iron Powder Plant at R&D Centre.2009 subject to the condition of obtaining prior approval from the Central / State Government for diversion of the 25. 5. Kujam village. Chhattisgarh where 995 acres of land was acquired in the 1st phase and 787. Hyderabad Your Company has undertaken various business diversification initiatives as under: 5.5 Coal Your Company has applied for 10 coal blocks in Jharkhand. is in the process of forwarding the ML applications to MoC. 17 . GoI on 25.4. Kujam and Chirodih villages in Gumla District.62 acres of private land was acquired in the 2nd Phase totaling to 1782.72 Hectares of Forest land under the Forest (Conservation) Act 1980 and subsequent amendments for utilization for setting up of the steel plant.0 MTPA Integrated Steel Plant in Chhattisgarh Your Company is setting up a 3. Besides.2010.4. land acquisition survey are all under progress. 5. Akasi and Putrang villages. 5.1 3.1 In Madhya Pradesh Your Company was allotted 2 underground coal blocks viz.2010 for approval.09.
and Construction power were awarded and works are in progress at site. under "Water (prevention and control of pollution) Act 1974 and Air (prevention and control of pollution) Act 1981". Construction water. has been received from Chhattisgarh Environment Conservation Board on 28.2010. 5.2011 for approval of the site for the Steel Plant for commencing construction works as required under Rule-3 of Chhattisgarh Factories Rules. Steel Melting Shop and 5.02. Out of the 9 Major Technological packages.2010. Civil Mine at Bacheli Complex. The estimated capital expenditure is Rs.12.2009 and detailed site survey for the rail line connectivity was completed on 16. appointed as EPCM consultant. 1. package for Sinter Plant and Blast Furnace Complex have been awarded.572 crores. Engineering Consultancy contract with MECON was signed on 17/01/11. This line and sub-station will be constructed by CSPTCL on a 50% cost sharing basis with NMDC. Accordingly. Further power from Jagdalpur to Nagarnar will be drawn at 220KV level for which the entire cost will be borne by NMDC.08. Permission to establish. It is planned to relocate the project from Bacheli. 2. Remaining two Major Technological packages (Oxygen plant and Lime & Dolo plant) and auxiliary packages which are of less lead time are being processed for tendering shortly.2009. By Product Plant 4.5. the DPR was submitted to East Coast Railway on 20. Chhattisgarh 18 .08. Bhubaneswar cleared the feasibility report on 04.12.Thin Slab Caster and Hot Strip Mill are under various stages of evaluation for order placement. Rail Transport Clearance was received on 17.2009. Offers received for another 5 packages E.g. Dantewada to Nagarnar. Enabling works packages like site levelling.08.72 Hectares Forest Land was received on 04. East Coast Railway. M N Dastur & Co. Jagdalpur.0 MTPA Pellet Plant at Bacheli Project is kept on hold considering the proposed slurry pipeline from Bacheli to Vizag.5.2010 for preparation of DPR. Action for obtaining 2nd stage approval has been initiated and the approval is expected shortly. Execution of Project divided into Six Packages. State Govt. 5.05.2 MTPA Pellet Plant at Donimalai One of the main objectives of this project is to prolong the life of Tailing Dam at Donimalai by using slimes for making pellets.2010 for their approval. Chhattisgarh State Power Transmission Company Limited has approved and agreed to construct power line from Jagdalpur to Nagarnar to make construction power line available for which necessary charges already paid.Annual Report 2010-11 1st stage approval of the MoEF for the 25. EHT Power for operation is required to be drawn from Raipur to Nagarnar over a distance of about 300 kilometers at 400 KV level and 400/220 KV substation will be established at Jagdalpur. of Chhattisgarh has sanctioned water for construction and operation on 06.3 1. Raw Material Handling System. Application in prescribed form has been submitted before the Chief Inspector of Factories on 27.01. Coke Oven Plant 3. Commitment charges and security deposit for the power were paid in this regard.2 2.10 by the Consultant. Plant Entrance Road. Railway consultant was appointed on 29.08.
0 R&D ACTIVITIES Particulars required under the Companies (Disclosure of particulars in the Report of the Board of Directors) Rules. The minutes of the meeting of the Board of Directors of Subsidiary Companies are reviewed by the Board of NMDC. In terms of Listing Agreement/DPE Guidelines. Neelachal Ispat Nigam Ltd. Associate Company 15% Joint Ventures Krishnapatnam Railway Co. the existing subsidiary Companies of NMDC are non-material. The subsidiaries of NMDC are Board managed with the primary interest to manage such Companies in the best interest of the shareholders. The Company nominates its representatives on the Board of these Companies. 1956 relating to the Subsidiary Companies is at Annexure-II. Project is scheduled to be completed by March 2013. Madagascar The annual report of the subsidiary Company is annexed. The names of these Companies and percentage of NMDC stake in these companies are as follows: NMDC Limited Subsidiaries 74% J&KMDC Ltd.* * Under closure. 7. 6. The wholly owned subsidiary Company is under closure.3 NMDC SARL. Orders placed for Site Leveling. MRSS and Pelletization Packages.4 Statement pursuant to section 212 of the Companies Act. 1956 Statement pursuant to section 212 of the Companies Act. 1988 are at Annexure-I.Ltd. Misc.2 NMDC-CMDC Ltd (NCL) The annual report of the subsidiary Company is annexed. 7. The framework for Subsidiary / Joint Venture are as under: i) ii) iii) All investments in these Companies are approved by the Board of Directors. non-listed Companies. 7. 51% NMDC-CMDC Ltd. 100% NMDC SARL* 14. Building. Beneficiation Package order is being finalized. 19 . 14.1 J&K Mineral Development Corporation Ltd (JKMDC) The annual report of the subsidiary Company is annexed.86% 25% Romelt-SAIL India Ltd.29% International Coal Ventures Pvt Ltd. 7.0 SUBSIDIARY / JOINT VENTURE COMPANIES MONITORING FRAMEWORK NMDC has three subsidiaries and stake in four Joint Venture / Associate Companies.NMDC Limited works are in progress at site. 7.
Kirandul for Conveyor System.763 ha forest land for railway siding for NISP and 1st stage forest clearance for Panna supplementary ML on 23.12.Annual Report 2010-11 8. In each mining project of NMDC sufficient number of workmen inspectors are nominated / appointed for mining operations. Your Company has also received final forest clearance for 10.0 ENVIRONMENT MANAGEMENT: Your Company has been accredited with ISO 14001-2004 EMS by M/s DNV.2011. The EMS certification is valid upto 13.2010 and for change in land use pattern of Bailadila Deposit-14ML on 23.2010.Activities NMDC has its training centers in all its projects. This meeting is conducted once in a year at project level with senior officials. They are equipped with infrastructure as required under Mines Vocational Training Rules. Mine Level Tripartite Safety Committee Meetings have been conducted in each of the operating mines.09. Your Company has also obtained consent for establishment from State Pollution Control Boards for capacity expansion of Donimalai iron ore mine and Pellet plant on 15.11. Hyderabad in respect of four major production projects i. These centers cater to the needs of basic training. mechanical and electrical installations as per statutory requirements. Donimalai and Diamond Project.11.2010 and successfully completed EAC meetings at MoEF in respect of Panthal Magnesite cum DBM Plant and Bailadila Deposit-13 project. GoI. Bacheli Complex. The Environmental clearances are awaited from MoEF.06.08.2010 and for Integrated Steel Plant at Nagarnar on 29. Your Company is organizing environmental monitoring studies at all production projects by engaging CPCB / MoEF approved laboratories and the results shows that all the environmental parameters are meeting the applicable standards prescribed by CPCB / MoEF. Bailadila Deposit-14 / 11C. refresher training and training for skilled workers and also for those injured on duty.2010 from MoEF. 9. 20 Corporate Level Tripartite Safety Committee Meeting .0 SAFETY Mine Safety . Chhattisgarh obtaining Environment clearance. Union Representatives and DGMS Officials in which Safety Performance and its appraisal are made and the recommendations are implemented.e. Your Company has obtained Environmental Clearance from MoEF for Arki Limestone Project on 20. Deposit-5.
Eligible employees were imparted training in Hindi Computer.2011.2010 and Bailadila Iron Ore Mines / Diamond Mining Project was conducted on 07. 10. OHS Activities: Occupational Health Services have been provided with adequate manpower and infrastructure and are functioning in full-fledged manner at all the projects.BIOM. Man days lost per 1000 man days worked for the year 2010-11 is 5. Bacheli Complex in the month of January 2011. To bring awareness about the official language among the employees and their family members as well as the employees of other offices situated in the vicinity of its offices is various programmes such as Hindi Divas. All the results are computerized and individual files are being maintained. Hindi Saptaha. Kirandul Complex and BIOM. Mumbai. Kirandul Complex. Hindi workshops were conducted for officers and employees to make them efficient to use Hindi in day-to-day official work.87 and 3. Re-certification Audits were conducted successfully at Donimalai Iron Ore Mine and at R&D Center in the month of October 2010.11.0 ISO CERTIFICATION ISO 9001:2008 Certification: NMDC Projects . Chhattisgarh NMDC Limited made all efforts for implementation of the Official Language Policy and for use of Official Language in all its Units and Head Office during the year. Nagarnar.0 IMPLEMENTATION OF OFFICIAL LANGUAGE POLICY Signing of contract for Sinter Plant of NMDC’s 3. headed by Qualified Doctors trained in OHS at Central Labour Institute. 22nd Corporate Level Tripartite Safety Committee Meeting of Donimalai Iron Ore Mine was conducted on 19. Bacheli Complex.BIOM. OHSAS 18001:2007 Certification: NMDC Projects .0 MTPA Steel Plant. Bacheli Complex and Donimalai Iron Ore Mine are accredited with OHSAS 18001:2007 Certification in the month of December 2009. Kirandul Complex and BIOM. Safety Committees have been constituted in every operating mine and pit safety meetings are held every month discussing the safety matters and corrective actions related to work atmosphere. Periodical Medical Examination under statute is carried out regularly in all the projects. with a planned programme. Bacheli Complex in the month of January 2011 and Donimalai Iron Ore Mine in the month of November 2010.NMDC Limited Corporate Level Tripartite Safety Committee Meetings are being held regularly once in a year at Head Office.01 for the year 2009-10. Donimalai Iron Ore Mine and R & D Center are accredited with ISO 9001:2008 Certification. One Surveillance Audit was conducted at BIOM. One Surveillance Audit was conducted successfully at BIOM. Kirandul Complex.02. 11. BIOM. 21 . BIOM.
There was no strike / lockout affecting the Production and Productivity. 2010. 01. 'NMDC Patrika' and Shield (TOLIC) for the year 2009-10 for NMDC 'SHE Samachar' . Incentive schemes were implemented for more and more usages of Hindi in the Offices of the Company and suitable prizes were awarded to the employees. The award was presented by the Honorable Minister of Steel on 29th November. Shri G. Monthly Hindi bulletins were published.e.2 Scheduled Castes & Scheduled Tribes 24 persons belonging to Scheduled Castes and 115 persons belonging to Scheduled Tribes were appointed in the year 2010 against 312 posts filled in by direct recruitment. Various Hindi Competitions were also conducted and Winners were suitably awarded prizes.B. 12. Technical Seminar books and Rajbhasha souvenirs were also published.0 12. 4. 2.3 Strength of SCs & STs as on 31st March 2011 1. The wages / salaries of employees have been revised w. Joshi. for excellent implementation of the Official Language policy. To encourage use of official language in technical fields also Rajbhasha technical seminars in Hindi were organized by the production units of the Company.bilingual quarterly magazines.1 Manpower Employee-Employer relations The overall industrial relations situation was peaceful and cordial during the year. NMDC was also selected for Rajbhasha Shield 1st Prize for the year 2009-10 by Town Official Language implementation committee (undertakings) Hyderabad-Secunderabad. 12. 12. Rajbhasha Maah were conducted during the year. Director (Personnel) received Rajbhasha Hindi House Journal viz.2007. NMDC Limited was awarded Steel Ministry's Rajbhasha Shield for 'C' Region for the excellent implementation of the official language policy and progressive use of Hindi during 2008-09. Bacheli Samachar and Hira Samachar.f. 5.01. Total number of employees Scheduled Castes amongst them Scheduled Tribes amongst them Total SCs and STs Physically challenged employees = = = = = 22 6128 1102 1359 2461 38 . Baila Samachar. Doni Samachar-a trilingual monthly bulletin was also published during the year. 3.Annual Report 2010-11 Hindi Pakhwara.
1. Various bipartite fora have been functioning satisfactorily. Government of India vide its Circular No. This included about 375 Executives.2011. 23 . The Ministry of Corporate Affairs. 13.2 Foreign Training Programmes Shri Rana Som. 80% of participants filed feed back reports on return from training and 88% gave excellent rating.60 lakhs per annum under Section 217 (2A) of the Companies Act. 1956 as amended in terms of Companies (Particulars of Employees) Amendment Rules.04.2011 has raised the limit of employee's salary to be disclosed in the Directors' Report from the existing limit of Rs. 12.3 Executive Trainees 48 Executive Trainees joined the training.27 against a target of 1.9 and HRD index of all employees in training mandays as percentage of working mandays was 1.0 HUMAN RESOURCES DEVELOPMENT Employee development services are delivered through In-Company. The Ministry of Corporate Affairs. health.1 External Training Programmes & In-Company Training Programmes 130 Programmes were attended by 500 NMDC participants.24 lakhs per annum) to Rs. 2011.60 lakhs per annum). Training index of JOs and Executives as average training mandays per employee per year was 3. accommodation and recreation were in place. 1956 read with Companies (Particulars of Employees) Amendment Rules. CMD with the Members of NMDC QCs.V (General Circular No. 1956 approved by the Board of Directors on or after 01. Training Coverage of all employees was 80%. 2011. 13. NMDC received the best organization award of QCFI for consistently supporting QCs 6 Foreign Programmes were attended by 9 NMDC employees. 13.289 (E) dated 31.2/29/1998-CL. 87 Workmen and 38 Junior Officers.NMDC Limited 12. being approved by the Board.4 Particulars of employees drawing Rs.5 Staff Welfare activities Adequate facilities for education. Accordingly. 13. there was no employee of the Company who received remuneration in excess of the limits prescribed under Section 217(2A) of the Companies Act.23/2011) dated 3rd May 2011 has subsequently clarified that the said notification shall be applicable to all Directors' Report under Section 217 of the Companies Act. irrespective of the accounting year of the Annual Account.5 lakhs per month (Rs.5 lakhs per month or Rs. External and Foreign Training modes.2 lakhs per month (Rs. Government of India vide GSR No.03.
and Civil Works" and system improvements were suggested wherever needed.10. The Directors judgments and state of affairs the year under have selected such accounting policies and applied them consistently and made estimates that were reasonable and prudent so as to give a true and fair view of the of the Company at the end of the financial year and of the profit of the Company for report. with respect to Directors' Responsibility Statement. the deviations from the existing procedures have been identified and appropriate remedial / preventive measures have been suggested. Procurement of major items (Plant.7% during 2008-09 to 1. 39 contracts valuing Rs. it is hereby confirmed that: i) In the preparation of the annual accounts for the financial year ended 31st March 2011. Surveillance Audit was conducted on 18. 1956.00 crores have been covered under Integrity Pact. Mining..2010 by M/s Integrated Quality Certification (P) Ltd. This has ensured continual improvement in Quality Management Systems. Based on the Vigilance Awareness Week at NMDC studies and inspections. 9270. Similarly."Study of Purchase. Electrical) etc. the applicable accounting standards have been followed along with proper explanation relating to material departures. Further. Special emphasis was made on thrust areas . Various programmes were conducted including talks by eminent personalities on the topic . Till date. new IEMs have been appointed as the tenure of the previous IEMs was completed.0 VIGILANCE Activities of the Vigilance Department in the Company have been revitalized during the year giving special focus on "Preventive & Proactive Vigilance". Corporate Vigilance Department at Head Office is certified for compliance to ISO Certification 9001:2008 standards. The percentage of tenders during 2008-09 was 65% and it has gone up to 87. the contracts concluded on Single Tender and Nomination basis have come down from 7. The Company is moving towards Open Tender in more and more cases.0 DIRECTORS' RESPONSIBILITY STATEMENT Pursuant to the requirement under section 217(2AA) of the Companies Act.5% during 2010-11."Generation of Awareness and Publicity against Corruption". Vigilance Awareness Period 2010 was observed from 25th October to 1st November. Integrity Pact has been implemented in the Company in December 2007. Periodic Review Meetings with Vigilance Officers were held and during the meetings discussed about vigilance activities carried out during the year and also to draw-up future action plans in conformity with the directives of the Central Vigilance Commission and the Government from time to time. 24 ii) .5% and 1% respectively during 2010-11. During the period. Vigilance Department coordinated with the departments in the Company in improving upon the existing procedures to achieve the overall objectives of the Company.3% and 1. 15.Annual Report 2010-11 14.
(Mrs.05. Aga Mrs. Units covered Head Office and R&D Centre. 17. Bailadila Dep-14/11C. the following were appointed as Directors of the Company pursuant to orders of Ministry of Steel.2010 24. 1956. Central Workshop.06.N.N.) Indira Misra Ms.10 & 11A. Rath w. Vishakapatnam 3 Donimalai Iron Ore Mine .f 01.12. Bellary-583 101 4 M/s Hari Gupta & Co. DIRECTORS During the year under review. Boggulakunta Abids. RO. Visakhapatnam-530 016 M/s. Gulshan Manzil. 1 Name & address of Auditors M/s Ramamoorthy (N) & Co.) Indira Misra and Ms.12.2010 03. iv) 16.2010 The following Directors ceased to be Directors on the Board of the Company for the year under review: Name of the Director i) ii) iii) Shri R. (Mrs.2010 03. Parminder Hira Mathur Shri D. Lalapur. Sarovar & Co. Bailadila Dep-5. Government of India: Name of the Director i) ii) iii) iv) v) vi) Lt. Purvasha 5A/7A. First Floor. Aga Dr.2010 03. Teresa Bhattacharya during their tenure on the Board of the Company. Hyderabad-500 001.e. your Company appointed the following firms of Chartered Accountants as Statutory Auditors of your Company for the year 2010-11: Sl. D. NISP.f 03.2010 13. Consolidation. No.2010 (reappointed) 03. Dr. 45/3 Ward No. Panna Lal Road. 4-1-1229.V.12. Joshi Shri R. Car Street.e. Allahabad-211 002 25 Diamond Mining Project Panna.2010 24. Sai Sadan Apartments Dwarakanagar. 47-9-39/173C. 2 M/s Sriramamurthy & Co.0 The Directors have prepared the annual accounts on a going concern basis.2010 The Board places on record its deep appreciation for the valuable contribution made by Dr. D No. Gen. Machendranathan Shri G.0 AUDIT On the advice of the Comptroller and Auditor General of India. for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.04.06. D. (Retd.) Arvind Mahajan Shri S. Paloncha Silica Sand Project. Sponge Iron Unit.12.NMDC Limited iii) The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act.08.V.No. Teresa Bhattacharya w. New Delhi.B.
0 Report on Management Discussions and Analysis A Report on Management discussions and Analysis as required in terms of Clause 49(F) of the Listing Agreement is enclosed at Annexure-IV.4 crores. scholarships to 10000 tribal and poor students in 330 schools in 5 districts of Bastar at an annual expenditure of Rs. Bastar. approach to CSR. South Bastar Education Improvement Program in 84 Schools in Dantewada block of Bastar region in Chhattisgarh with a view to 26 NMDC supports sports activities . construction of schools and hostels for students including girl children. NMDC views its business as maximization of value for all stakeholders and CSR is considered to be a vital Competitive advantage. A Quick Retrospective-Major Education related initiatives of 2010-11 Dantewada. A separate section on Corporate Governance is enclosed at Annexure-III.Annual Report 2010-11 18. mid-day meal to 10000 rural children. source of With 'People' at heart of its philosophy and Class in progress at NMDC residential school. supporting the establishment of medical college & reservation of seats in management institute(IPE) for tribal & poor children. Chhattisgarh carryout meaningful work in the fields of Education. disease & injustice by setting up free residential schools of high quality for tribal children. Scheduled Caste and Poor children to make it their instrument to fight against poverty. 19. 20.0 Global Compact . sustainable income generation and Agricultural development thus contributing to the Nation building.0 (CSR) Corporate Social Responsibility Being a responsible corporate citizen.0 CORPORATE GOVERNANCE The Board of Directors at their 427th meeting have approved the Policy on Corporate Governance. 21. NMDC has been contributing to empower Tribal. NMDC is striving to Nagarnar.Communication on Progress Report on compliance with principles of Global Compact is enclosed at Annexure-V. Health care. setting up ITI's & Polytechnic for technical education. Education Recognizing that education is an integral path of human development.
improve the quality of education through special coaching before/after school hours, reducing the drop-out rate and mainstreaming dropped out children back to the schools has been initiated. A Polytechnic College with two trades (Mechanical & Electrical) has been established at Dantewada in South Bastar, Chhattisgarh. 112 students are pursuing their studies. Nagarnar, Bastar A residential school for tribal children of Bastar region has been established at
NMDC is associated with Mid-day meal scheme for schools around its Donimalai Project, Karnataka
Nagarnar, Bastar in Chhattisgarh. 194 children from remote villages have been brought into the school in classes I to III through visit of NMDC volunteers to naxal affected areas. The school will be expanded in up to class XII in a phased manner. Established an ITI with two trades at Nagarnar, Bastar, Chhattisgarh. Further 'Trades' will be added gradually as part of its expansion programme. Infrastructure Development Infrastructure Development viz., Roads Bridges and Buildings is the most effective indicator of development process, particularly relevant in the Indian context where infrastructure alleviates poverty providing access to opportunities. NMDC prioritizes its interventions to bridge the critical gap of poor connectivity by laying several kilometers of metalled & tarred roads and by building bridges and culverts to improve connectivity. A Quick Retrospective - Major infrastructure related initiatives of 2010-11. Construction of High-level bridge on Sankini river at Dantewada, South Bastar. Establishment of 5 schools / Hostels in Bastar & South Bastar. Establishment of Special Schools 'Prayas' at Bhilai & Raipur. Construction of by-pass road for Jagdalpur. Healthcare Access to healthcare is a pre-requisite for societal prosperity. NMDC runs three hospitals at Project sites, in collaboration with M/s Apollo and M/s Yashoda Hospitals offering free medical treatment not only to staff but to the local communities as well
Free medical treatment for local people at NMDC Project Hospital
Annual Report 2010-11
addressing the needs of an average 80000 out-patients & 8000 in-patients from local tribals every year. NMDC operates 'Hospital on Wheels' (HoW) service in Bailadila benefitting about 20000 tribal villagers in 37 Villages by providing free medi-care facilities at their doorsteps. NMDC has released the balance
Rs.10 crores against the committed total financial assistance of Rs.50 crores to State Govt. Of Chhattisgarh for establishment of Medical College at Jagdalpur. Integrated Development
Students at Polytechnic established by NMDC at Dantewada, Chhattisgarh
Initiated Integrated development work in 5 villages in South Bastar, Dantewada, Chhattisgarh in addition to the 8 villages where similar works are already in progress focusing on Literacy, Health & Hygiene, Agriculture, Infrastructure development & Income generation activities. Promotion of Sports Inter Project tournaments, both indoor and outdoor, for the employees and games and sports for the wards were held in different projects during the year apart from promoting sport events under CSR.
1st batch of students at NMDC Residential School, Nagarnar
22.0 IMPLEMENTATION OF RIGHT TO INFORMATION ACT, 2005
Your Company is proactively complying with the provisions of the Right to Information Act, 2005. All information sought under the Act have been furnished within the stipulated time period. 23.0 PACT 1. IMPLEMENTATION OF INTEGRITY
With a view to maintain transparency in all dealings with contractors and vendors and keeping with international practices, NMDC & Transparency International India (TII) developed an Integrity Pact Programme.
Skill development programme for tribal women
All the tenders for the contracts and civil works above threshold value of Rs.20.00 crores and procurements above threshold value of Rs.10.00 crores are the subject matters of Integrity Pact.
A park at Bacheli Complex, Chhattisgarh
Annual Report 2010-11
3. After the implementation of said programme, Head of Safety Department was appointed as Nodal Officer and a Review Committee comprising of Functional Directors of NMDC was constituted. This Committee was also vested with the powers to modify the Integrity Pact procedure and systems. 4. Shri S. Anwar, IAS (Retd.) and Dr. J.S. Juneja, Former Chairman, NSIC have been appointed as Independent External Monitors (IEMs) for overseeing the Integrity Pact programme. 5. Till date a total of 41 cases of tenders with a value of Rs.9810.55 crores were covered under the Integrity Pact.
A park at Kirandul Complex, Chhattisgarh
NMDC scholarship recepients from Bastar performing at Head Office during their study tour to Hyderabad
Director (Per) received PSU Excellence Award for Corporate Social Responsibility and Responsiveness from Hon'ble Minister for Heavy Industries.06. 5. Management. NMDC received Steel Ministry's Rajbhasha Shield for Region 'C' for best implementation and use of Official Language for the year 2008-09 from Hon'ble Minister for Steel.2010. 10 / 11A from Hon'ble Minister for Power. NMDC received MineTech10 Life Time Achievement Award Shri G.0 1. CMD.2010. Director (Personnel) received "NIPM Ratna" Award from received PSU Excellence Award for CSR and National Institute of Personnel Responsiveness for NMDC from Shri Vilas Rao Deshmukh. NMDC was awarded Fe .B.NMDC Limited 24. New Delhi Chapter. CMD. 3. On 1st December 2010. NMDC was awarded Mine Tech 10 Life Time Achievement Award for his contribution for the overall development of Indian non coal mining industry by Indian Mining and Engineering Journal on 07. Joshi. NMDC received Greentech Safety Award 2010 (Silver Award) in Metal & Mining Sector for outstanding achievement in Safety Management for Bailadila Iron Ore Project Deposit-5. Director (Personnel) received SCOPE Meritorious Award for Corporate Social Responsibility and Responsiveness for NMDC from Her Excellency Smt.B. CMD. 4. President of India Shri Rana Som. Government of India. 2. On 15th February 2011. 6. On 26th April 2010.EVI Green Business Leadership Award under Metals & Mining category for excellence in the area of environment and green business on 05. Pratibha Patil. Hon’ble Minister for Heavy Industries 31 . LIST OF AWARDS RECEIVED BY THE COMPANY NMDC received Dun & Bradstreet Rolta Corporate Award 2009 under Mining category. 7. Government of India. Government of India. Joshi. NMDC Shri G. On 29th November 2010.05.
We believe that our long-term success is dependant on our domestic customer relationship and responsiveness. timely and value added services. Your Directors acknowledge the support extended by the valued and esteemed international and domestic customers.2011 32 . On 14th March 2011. Karnataka. Railways and other Departments of the Central and State Governments. Madhya Pradesh and Jharkhand. Your Directors place on record their appreciation and also acknowledge the support and co-operation of All India NMDC Workers' Federation and their members for the smooth functioning of the Company's operations. MMTC. Shareholders stakeholders. The success of your Company is due to the commitment and dedicated efforts of the managers and employees at all levels. 25.05. (Rana Som) Chairman-cum-Managing Director Place : NEW DELHI Date : 27. We will do everything possible to provide our customers better. NMDC received the best Supply Chain Management award in the mineral sector as per the survey conducted by the Centre for Monitoring of Indian Economy. Visakhapatnam Port Trust.Annual Report 2010-11 8. cooperation and guidance received from the Ministry of Steel.0 ACKNOWLEDGEMENT Your Directors gratefully acknowledge the support. Chennai Port Trust. Ministry of Mines and Ministry of Forests & Environment and other Departments of Government of India and the State Governments of Andhra Pradesh. Chhattisgarh.
NMDC Limited Annexure - I
Particulars required under the Companies (Disclosure of particulars in the Report of the Board of Directors) Rules, 1988
TECHNOLOGY: EFFORTS MADE IN TECHNOLOGY ABSORPTION R&D Centre is committed to maintain its excellence in undertaking product and Technology Development Missions related to ore and Minerals through continual improvement in process performance for enhanced customer satisfaction. The R&D Centre functions in the following Thrust Areas:
i) ii) iii) iv) v)
Soft magnetic component (Micro-motors, magnetic relay, etc). Friction material (brake pads for automobile, aircraft, heavy earth moving equipments). Food fortification (iron is used as food supplements). Melt addition (for production of special alloy and steel). Complex and special P/M parts. Ordinance items (explosively projectile (EFP) liners). formed
Upgradation of processing Technology of existing process plants for better productivity and meet the customer requirement. Development of Technology for utilization of mine wastes. Development of Value Added products.
NMDC, being one of the MOU signing Companies, has set yearly targets for all units including R&D. In this direction R&D Centre has achieved rating of "Excellent" in the MOU performance indicator. Achievements and improvements carried out in the development of new process, products, cost reduction, and quality improvement etc., of NMDC, R&D Centre during 1st April 2010 to 31st March 2011 are listed below. 1.0 1.1 TECHNOLOGY DEVELOPMENT PROJECTS: UTILIZATION OF BLUE DUST
Erection of all equipments has been completed and integrated trial operation is under progress. 20 MT of Carbon Free Sponge Iron Powder was produced. Samples are being sent to the prospective identified customers for evaluation. 1.1.2 Nano-Iron Powder from Concentrate (Blue Dust): Grade-I
NMDC entered in to agreement with MISA for joint research on production of Nano-Iron Powder from Grade-I Concentrate of Blue Dust. As per project report submitted by MISA, R&D centre of NMDC, had setup facilities for production of Nano- Iron Powder from Grade-I Concentrate. The procurement of equipments has been completed, installed and commissioned. Nano Iron powder has been prepared at Lab scale in the newly set up Nano lab and first batch product has been characterized Spectrum of Nano Iron Powder and XRD data had confirmed the presence of magnetic metallic iron crystalline structure and Scanning Electronic Microscope analysis indicates that the shape of the particles is spherical and Average particle size is 80.4 nanometers. 1.2 Utilization of Kimberlite Waste
1.1.1 300 TPA Carbon Free Sponge Iron Powder Plant: NMDC is having huge reserves of Blue Dust in its Iron ore Mines. This is soft powdery iron ore having a bluish tinge. Due to its fine granules, blue dust is conventionally not used in iron making. In view of the above, R&D efforts were initiated to utilize the blue dust concentrate and hence create a value chain. Exhaustive R&D work done in the lab and Pilot scale. A 300 TPA sponge iron powder plant has been setup at R&D Centre for production of carbon free sponge iron powder from blue dust. Hydrogen Reduced Iron powder finds its application in the related fields: 33
1.2.1 Setting up of Pilot Plant for Commercialization of Precipitated Silica Sodium Silicate and Zeolite-A:
A Memorandum of Understanding (MOU) has been signed between Central Salt & Marine Chemicals Research Institute (CSMCRI), NMDC Ltd and Kanoria Chemicals &
Annual Report 2010-11
Industries Ltd., to set up Pilot Plant for Scaling up the process for production of value added Silica based products from Kimberlite tailings.
NMDC & CSMCRI had approached funding agencies & submitted proposals for the funds. NMDC has submitted proposal to New Millennium Indian Technology Leadership Initiative (NMITLI) for funding the project. This scheme has been selected for presentation. Letter has been received from CSIR, New Delhi for first meeting with Domain experts to discuss the proposal on 8th March2011. In this connection project presentation has been prepared. Project presentation has been prepared and presented at CSIR, New Delhi and discussed with Domain experts' on 8th March 2011.
During the production of iron ore, Banded Hematite Jasper (BHJ) and Banded Hematite Quartzite (BHQ) are discarded as waste, which are low grade in nature. With a view to add value to the BHJ/BHQ hitherto mined as waste and also for mineral conservation, NMDC is contemplating to set up a Beneficiation plant for processing this low grade material to obtain BF grade concentrate suitable for pelletization. By taking into consideration of mineral conservation and fast depletion of high grade ores, NMDC's R&D Centre had carried out the beneficiation tests on lean grade BHJ/BHQ iron ore. The optimum process flow sheet and metallurgical balance flow sheet have been developed for BHQ ore of Donimalai Iron ore Mines (Karnataka) for commercial production setup. NMDC has started production of iron ore from the Donimalai Iron Ore Project from the year 1977. The mine is operating with a capacity of 7 million tons per annum. The mine has vast reserves of BHQ estimated at 18 million tons. Based on the R&D Centre process flow sheet, NMDC Ltd is setting up a 0.36 MTPA beneficiation plant to produce of 0.118 MTPA BF grade concentrate at Donimalai M/s MECON has submitted TEFR. Due Diligence Report by SBI Capital Markets is submitted. As the results obtained from the lean grade ores beneficiation of Donimalai Iron Ore mines are encouraging, R&D Centre has taken up the developmental studies on utilization of lean grade Iron ores (BHQ) from Bacheli complex and Kirandul complex. Preliminary beneficiation tests are yielding good results and confirmatory tests are under progress for developing the process flow sheets. ISO - 9000 Certification Regular internal quality audits and management review meetings were carried out for effective implementation of Quality management system. R&D Centre had acquired ISO certification in compliance to the new version of ISO 90012008 Quality management system.
1.2.2 Utilization of Kimberlite in Agglomeration of Iron ore: Project undertaken on utilization of kimberlite in iron ore Agglomeration:
The study on use of kimberlite in iron ore pelletization has been completed. It is found that kimberlite can be used as binder in place of Bentonite. The pellets produced by using kimberlite as a binder have exhibited better physical and metallurgical properties than pellets produced using bentonite as binder. A series of tests have been conducted using Kimberlite as a partial replacement for dolomite in making Sinter. Encouraging results have been achieved in the form of better physical and metallurgical properties. Further confirmation tests are planned before submitting the report. FLOWSHEET DEVELOPMENTAL WORKS ON BHJ&BHQ MINE WASTE: NMDC is India's single largest iron ore producer and exporter, presently producing about 30 million tons of iron ore from 3 fully mechanized mines viz., Bailadila Deposit-14/11C, Bailadila Deposit-5, 10/11A (Chhattisgarh State) and Donimalai Iron Ore Mines (Karnataka State) which are awarded ISO 9001-2000 certification. 34
R&D centre is first in NMDC to be certified as per the new version without hiring any external consultancy. Development Support Recovery of iron values from the iron based residue / Chromite Overburden from Sukinda Mines, Orissa through Hydrometallurgy. Studies have been completed. During iron ore mining about 10-12% waste is being generated in the form of low iron value slime, which is lying in tailing dam and creating space and environment problems. Studies of possible utilization of Slime after beneficiation in sintering are under progress. Production / Projects Support 39 no. of In-house project works were taken for testing of different iron samples. Sponsored Projects 19 number of various sponsored Projects were taken up for variety of iron Ores, slimes and tailings for evaluation including beneficiation studies, Flowability studies, Magnetic separation testing, physical and Chemical Analysis etc. COLLABORATIONS Utilization of Kimberlite Tailings: MOU was signed 13th December, 2005 between Central Salt & Marine Chemicals Research Institute, NMDC Ltd., and Kanoria Chemicals & Industries Ltd., to set up a Pilot Plant for up- Scaling the process for production of value added Silica based Products from Kimberlite Tailings. Future Plans Upgradation of technology for beneficiation of low-grade iron ore. Creation of facility for reduction under load testing: To determine Softening characteristic of iron ore & pellets and optimizing operational parameters in Blast furnace. Automated Mineralogy Solution through IEM SCAN. Modernization and upgradation with advance following Equipments to R&D Centre. Ì Ì Ì Ì Ì Ì Ì Ì Ì Under bed air pulsated Jig (APIC JIG) High Gradient Magnetic Separator HGMS Automated RDI/RI Equipment Reduction under load (RUL) Facilities Scanning Electron Microscope Coke making and testing facility Translational Shear Tester Atomic absorption spectrophotometer XRF
G G G G
TOTAL R&D EXPENDITURE AND TURNOVER YEAR WISE Rs in Crores Year Revenue (1) 2008-2009 2009-2010 2010-2011 (2) 6.98 11.04 12.06 Expenditure on R&D Capital (3) 13.63 2.78 2.41 Total (4) (2+3) 20.61 13.82 14.47 35 (5) 7564.80 6239.09 11368.94 (6) (4/5) 0.27 0.22 0.13 Annual Turnover Percentage (%)
Annual Report 2010-11 Annexure - II
Statement pursuant to Section 212 of the Companies Act, 1956 relating to Subsidiary Companies
Particulars J&K Mineral Development Corporation Limited, Jammu 31st March, 2011 Rs.4.74 Crore 3,96,002 Equity shares of the face value of Rs.100/each fully paid up. Rs.3.96 Crore (83.54%) NMDC-CMDC Limited Raipur 31st March, 2011 Rs.1.50 Crore 7,65,000 Equity shares of the face value of Rs.10/each full paid up. (51%) NMDC SARL Madagascar
1. The Financial year of the Subsidiary Companies ended on 2. a. Paid-up Capital of the Subsidiary Company b. Number of shares held by NMDC with its nominees in the Subsidiaries. c. Extent of interest of holding Company at the end of financial year 3. The net aggregate amount of the Subsidiary Companies profit/(loss) so far as it concerns the members of the holding Company. a. Not dealt with in the holding Company's accounts. i) For the financial year of Subsidiary Companies ii) For the previous financial years of the Subsidiary Companies since they became the holding Company's Subsidiaries. b. Dealt with in the holding Company's accounts i) For the financial year of Subsidiary Companies ii) For the previous financial years of the Subsidiary Companies since they became the holding Company's Subsidiaries.
30th June, 2010 MGA 209.28 Crore 41,85,590 equity shares of the face value of MGA 500 each fully paid up. MGA 209.28 Crore (100%)
Rs.(-) 0.02 Crore
(Retd. believes in financial prudence.e. Venkatesan. Joshi.f.) Arvind Mahajan (w. Ministry of Steel (w.2010) Ms.2010) 37 viii) Mrs.05. two Government Nominee Director and seven Non-Executive (Independent) Directors.e.2010) Shri Abdul Kalam Shri Y.08.2010) Government of India nominee Directors i) ii) Shri S. Sharma Shri K.f. transparency. 03. Rath (w.12. State Governments. 24.K. suppliers. 2.e. 2011 the Board of NMDC comprises of a full time Chairman-Cum-Managing Director and five Functional Directors. Ministry of Steel Independent Directors i) ii) iii) iv) v) vi) vii) Dr. Director (Personnel) (w.III Report on Corporate Governance 1. creditors. 03. Sharma. The Board of Directors at their 427th meeting have approved the Policy on Corporate Governance. 03.2010) ix) . Raju Lt. Machendranathan.06.12. a Navaratna Company. The good governance it practices is based on its stated belief and the guidelines of the Government of India issued from time to time should go a long way in enhancing value for all those who are associated with the Company: shareholders.e. A brief statement on Company's philosophy NMDC. Aga (upto 03.K.B. Gen.f. Teresa Bhattacharya (upto 23. Parminder Hira Mathur (w.2010) Shri D. Board of Directors As on 31st March. Additional Secretary & Financial Adviser (AS&FA). Government of India.f.2010) Shri UP Singh.06.) Indira Misra (upto 03. 01. Nanda. Governmental agencies / departments and the society at large. 13. Director (Technical) Shri S. a.04.2010) (Reappointed w.f. Thiagarajan.12.e. Joint Secretary.f.2010) Shri R. Director (Production) Shri N.e. Director (Finance) Shri G. (Mrs.NMDC Limited Annexure .N.S.K. Chairman-cum-Managing Director Shri V. customers. Composition and category of Directors: Whole-time Directors i) ii) iii) iv) v) vi) Shri Rana Som. customer satisfaction.12. accountability and commitment to values. Director (Commercial) Shri S.
The information inter alia regularly supplied to the Board includes: Ì Ì Ì Ì Ì Ì Ì Ì Ì Annual Operating Plans and Budgets and any updates. Major Investments in Subsidiaries. however. informed and focused decision at the meeting. b. be terminated by either side on three months notice or on payment of three months salary in lieu thereof. Government Nominee Directors representing Ministry of Steel. In order to address specific urgent needs. the composition of the Board of NMDC is in conformity with Clause 49 of the Listing Agreement and DPE guidelines on Corporate Governance. BOARD MEETINGS Board Meeting Procedure: The Board Meetings are convened by giving appropriate advance notice after seeking approval of the Chairman of the Board / Committee as the case may be. Minutes of the Meeting of Board of Directors of Subsidiary Companies. Minutes of Meeting of Audit Committee and other Committees of the Board. Any significant development in Human Resources / Industrial Relation.Annual Report 2010-11 The Chairman-Cum-Managing Director and Functional Directors are appointed by Government of India for a period of five years or till the age of superannuation or until further orders whichever is earlier. Government of India. Capital Budget. Non Executive Directors (Independent) are normally appointed for a tenure of 3 years. 1956 and thereafter by the shareholders in the Annual General Meeting. Detailed agenda note are circulated in advance to the Board Members for facilitating meaningful. 38 . meetings are also convened at a shorter notice. additional / supplemental agenda item(s) are also permitted. Revenue Budget and any updates. Major expansion plans of the Company. Resolutions are also passed by way of circulation in the eventuality of exigencies or urgency. As on the date of the Report. The Directors are initially appointed by the Board as Additional Director in terms of the provisions of Section 260 of the Companies Act. Information placed before the Board of Directors The Board of Directors has complete access to information within the Company. Joint Ventures and Strategic Alliances. The appointment may. In case of special and exceptional circumstances. Quarterly / Annual Results of the Company. Disclosure of Interest by Directors and other statutory items. retire from the Board on ceasing to be official of Ministry of Steel.
Sharma Shri Abdul Kalam Shri K.) Indira Misra (upto 03.f. Teresa Bhattacharya (upto 23. 03.N.06.f.05.04.f.2010) Ms. Raju Lt.2010) Shri Y.P. Joshi Director (Personnel) (w.12.2010) Shri U.12.2010) Mrs. 1 Name of the Director No.e. 03. Aga (upto 03.S. of Board Meetings held No. Singh Dr.) Arvind Mahajan (w.f.f.2010) Shri Machendranathan (w. Venkatesan Director (Production) Shri N.e.e.12. 13.e.K.2010) 11 11 YES 2 11 11 YES 3 11 10 YES 4 11 11 YES 5 11 11 YES 6 07 07 NO 7 09 11 09 11 NO NO 8 9 02 02 NO 10 07 11 11 11 04 07 10 11 NO YES NO NO 11 12 13 14 11 11 NO 15 06 05 NO 16 04 04 NO 17 04 03 NO 39 .K.06. (Mrs. Parminder Hira Mathur (w. of Board Meetings attended Last AGM Attended Shri Rana Som Chairman-cum-Managing Director Shri V. Nanda Director (Technical) Shri S. Thiagarajan Director (Finance) Shri G.(Retd.K. Gen. 24. Sharma Director (Commercial) Shri S.f.NMDC Limited Attendance of each Director at the Board Meeting and the last AGM Sl.B.08.2010) (reappointed w.12. No. 01.e.2010) Shri D.e. 03. Rath (w.2010) Shri R.
Aga (upto 03.) Indira Misra (upto 03. Committee Membership of NMDC is also included.) Arvind Mahajan (w. 01.f.e. Raju Lt. Venkatesan Director (Production) Shri N. Rath (w. Sl. Nanda Director (Technical) Shri S.f.12. Singh Dr. Sharma Director (Commercial) Shri S.(Retd. Parminder Hira Mathur (w. 13.S.N. Thiagarajan Director (Finance) Shri G. Teresa Bhattacharya (upto 23.2010) Shri D. 03.f. of Directorship and Committee Membership / Chairmanship Other Directorship 1 2 3 4 5 6 Shri Rana Som Chairman-cum-Managing Director Shri V. Directors are not inter se related to each other.2010) Shri Y.Annual Report 2010-11 c.P.f.f.2010) Shri Machendranathan Shri U. Sharma Shri Abdul Kalam Shri K.04.06.K. Number of other Boards or Board Committees in which he / she is a Member or Chairperson Name of the Director No.K. 03. No.e.B.12. Joshi Director (Personnel) (w.06.K.e.12.e. (Mrs.2010) Ms. Shareholders' Committee.2010) Mrs.e. Investor Grievance Committee of all Public Limited Companies (Explanation to clause 49(C) of the Listing Agreement). 03.2010) (reappointed w.12. Gen.2010) Shri R. 40 3 .08.2010) Committee Membership Committee Chairmanship 3 1 1 5 1 1 1 3 2 2 1 – – – – 1 4 3 – – 1 1 – 3 – – – 1 1 3 1 – 3 – – – – – 2 – – – 7 8 9 10 11 12 13 14 15 1 – 1 2 – – 1 – – 16 17 Notes: 1 2 Excluding Private Limited Companies. Membership / Chairmanship of only the Audit Committee. Foreign Companies and Section 25 Companies.
Significant adjustments made in the financial statements arising out of audit findings.01.2010 02.11. Reviewing.2010 30. Brief description of terms of reference The role of the Audit Committee shall include the following: G Oversight of the Company's financial reporting process and the disclosure of its financial information to ensure that the financial statement is correct. with the management. with particular reference to: Ì Ì Ì Ì Ì Ì Ì Matters required to be included in the Directors' Responsibility Statement to be included in the Board's report in terms of clause (2AA) of Sec 217 of the Companies Act.08. Audit Committee i. dates on which held.06. 3. During the year 2010-2011.2011 16.2011 01.2010 12.2010 23.2010 28.2011 Board Strength 13 13 12 12 13 13 13 15 15 15 15 No.2010 22.05. eleven (11) Board meetings were held.03.02. Recommending to the Board the fixation of audit fees. Changes.2010 26. Major accounting entries involving estimates based on the exercise of judgment by management. if any. 41 G G G . Qualifications in the draft audit report.04.NMDC Limited d.No.12. of Board Meetings held. Disclosure of any related party transactions. the details of which are given below: S. Approval of payment to statutory auditors for any other services rendered by the statutory auditors.09. in accounting policies and practices and reasons for the same. No. 1 2 3 4 5 6 7 8 9 10 11 Date 16. 1956. sufficient and credible.10. Compliance with listing and other legal requirements relating to financial statements.2010 30. of Directors Present 11 13 10 11 13 13 11 13 15 15 13 Brief Resume/Profile of the Directors and expertise in specific functional areas forms part of the Annual Report. the annual financial statements before submission to the Board for approval.
the Audit Committee may designate a member who shall be responsible for pre-approving related party transactions. Reviewing. To review the follow up action on the audit observations of the C&AG audit. together with the management responses. about the nature and scope of audit as well as post-audit discussion to ascertain any area of concern. To review the functioning of the Whistle Blower mechanism. including the structure of the internal audit department. the quarterly financial statements before submission to the Board for approval. For this purpose. Provide an open avenue of communication between the independent auditor. if any. with the management. in case the same is existing. Consider and review the following with the independent auditor and the management: Ì The adequacy of internal controls including computerized information system controls and security. reporting structure coverage and frequency of internal audit. with the management. staffing and seniority of the official heading the department. Reviewing the adequacy of internal audit function. performance of statutory and internal auditors and adequacy of the internal control systems. debenture holders. internal auditor and the Board of Directors. shareholders (in case of non-payment of declared dividends) and creditors. Discussion with internal auditors and/or auditors any significant findings and follow up thereon. 42 G G G G G G G G G G G G G G Ì . To review the follow up action taken on the recommendations of Committee on Public Undertakings of the Parliament. Reviewing the findings of any internal investigations by the internal auditors/auditors/agencies into matters where there is suspected fraud or irregularity or a failure of internal control systems of a material nature and reporting the matter to the Board. Related findings and recommendations of the independent auditor and internal auditor. Review with the independent auditor the co-ordination of audit efforts to assure completeness of coverage. To look into the reasons for substantial defaults in the payment to the depositors. rights issue etc) the statement of funds utilized for the purposes other than those stated in the offer document/prospectus/notice and the report submitted by the monitoring agency the utilization of proceeds of a public or right issue. and the effective use of all audit resources. the statement of uses/application of funds raised through an issue (public issue. and making appropriate recommendation to the Board to take up the steps in the matter. Review and pre-approve all related party transactions in the Company.Annual Report 2010-11 G Reviewing. Discussion with statutory auditors before the audit commences. Reviewing with the management. reduction of redundant efforts.
06.No. Chairman (upto 03. Representatives of Statutory and Internal Auditors. Thiagarajan.2010) Ms Teresa Bhattacharya.2010 01. of Members Present 3 4 3 4 4 3 43 . Gen.05. Head of Audit and Executives of other Departments are invited on need basis.f.2010) Shri S.2010 22.07. Ì G Carrying out any other function as is mentioned in the terms of reference of the Audit Committee. 14.e.2010 23. ii.2010 27. Composition.12.02.f. Venkatesan. Independent Director and Member (w. internal auditor and the independent auditor: Ì Significant findings during the year.) Arvind Mahajan.2010) The Company Secretary acted as the Secretary to the Audit Committee as was laid down under the provisions of clause 49. Independent Director and Chairman (w. Director (Finance). The details of attendance of the Members are indicated below: Sl. Any difficulties encountered during audit work including any restrictions on the scope of activities or access to required information. Shri S. besides. Aga.2010) Shri R.) Indira Misra.10. Sharma. Director (Production) Lt.K.e. Functional Directors.07. Member (upto 03.2010 02. (Retd.2011 Strength of Audit Committee 4 4 4 4 4 3 No.09.06.08. 1 2 3 4 5 6 Date 16. 14. Meetings and attendance during the year During the year under report. Member (upto 23. including the status of previous audit recommendations.04. name of Members and Chairperson The Audit Committee consists of the following Directors: G G G G G G G Shri Y. G iii.NMDC Limited G Consider and review the following with the management.N.2010) Dr (Mrs. six meetings of the Audit Committee were held.
the terms and conditions of appointment and remuneration of Functional Directors are determined by Government through its administrative Ministry. All the Directors attended the meeting of the Remuneration Committee. 1 2 3 4 Name Shri R. Secretary. Listing Agreement.05. NMDC. 2010.18(8)/2005-GM dated 14.No. 44 . Remuneration Committee The Board of Directors at its 411th meeting held on 24.2010) Shri S. Independent Director & Member Shri Y. 1 2 3 Attendance of each Director at the Audit Committee meetings Name of the Director Shri R. The scope. Subsequently. 1956 and as per the guidelines issued by the Government of India.04.11. The non-executive Directors are paid sitting fee as approved by the Board within the ceiling fixed under the Companies Act.K. Gen. Independent Director & Member Director (Personnel). Independent Director & Member Shri K.06.Annual Report 2010-11 iv.12.) Arvind Mahajan (w. keeping in view OM No. Aga. to attend as Special Invitee. Ministry of Steel.No.2009 had constituted a Remuneration Committee of Directors in line with the DPE OM dated 26. Sharma Dr. the Companies Act. the Board of Directors at its 430th meeting held on 01.S.07.N. Teresa Bhattacharya (upto 23. (Retd.2010) No. NMDC being a Government Company. Venkatesan Lt.K.06.02. of meetings Held 2 4 No.N.e. Raju. of meetings attended 2 4 2 2 4 5 5 4 4 5 6 4 4 4.2010) Shri Y.2011 re-constituted the Remuneration Committee as under: Sl. Sl. 1 meeting of the Remuneration Committee was held on 28th April. 1956 etc.2010) Ms.) Indira Misra (upto 03. Non-executive Part-time Official Directors (Independent) do not draw any remuneration. Aga (upto 03. (Mrs. 14.f. Sharma. During the year under review. powers and terms of reference of the Remuneration Committee shall be as per the directives issued by DPE.2010 issued by DPE.2008.
719 26. 2. The Company has not introduced any stock option scheme.83. Director (Finance) Shri G. Joshi.04. the part-time non-official Directors (Independent Director) received sitting fees for attending the meetings of the Board/Committees as follows: S.699 1.08.40.32.60.2010) (reappointed w.2010) Shri R.000 1.e. Director (Personnel) (w. Name of the Director Pay & Benefits Contribution to PF & other funds Other benefits Total 1 2 3 4 5 6 Shri Rana Som Chairman-cum-Managing Director Shri V. Raju Lt.K.2010) Dr. 01.40.per meeting or a Committee meeting thereof.000 2.80. As per existing pay scales Notice period of 3 months or salary in lieu thereof is required for severance of service. During the year.43.f.91.176 22. Directors and Functional Directors are not paid sitting fees for attending the meeting of the Board or any Committee meeting thereof.) Sl.539 14.f.NMDC Limited The details of remuneration paid to Functional Directors during the financial year 2010-11 are as follows: (In Rs. Sharma Shri Abdul Kalam Shri K.B.52.81. Director (Production) Shri N.79.12. Director (Commercial) Shri S.69. the part-time Directors (Independent Directors) were paid sitting fees of Rs.817 50.06.16.f.e.189 1.49.548 21.K. Venkatesan Total: * Sitting Fees is not payable to Shri.797 # ## 1.420 13.177 22.24.12.06.000 1. Parminder Hira Mathur (w.000 40. Sharma.427 38. 03.2010) 26. Venkatesan.16.532 15.49.80. 03.543 88.K.e.000 80. Gen. No.S.89.) Arvind Mahajan (w. (Mrs.726 21.320 14.10. 13.e.000 2.000 – 10.12.f. Nanda.82.504 10.2010) Mrs.08.f.865 1.) 1.N.40.68.296 38.683 1. Director (Technical) Shri S.188.8.131.52.76.No. Aga (upto 03. Director (Production) 45 Sitting Fees (in Rs.000 40.148 1.e.578 10. S. Govt. Venkatesan.85. The remuneration does not include the provision made on actuarial valuation of retirement benefit schemes and provision made for post retirement medical benefits as the same is not separately identifiable for individual directors.000 40.00.) Indira Misra (upto 03.2010) Shri S.31.2010) Shri Dronadeb Rath (w.04.18. 03.39.491 23. 1 2 3 4 5 6 7 8 9 10 Name of the Director Shri Y. Teresa Bhattacharya (upto 23.000 .000/.071 2. During the year under review.813 38.42.2010) Ms.12.000 38.712 1.(Retd.400 14.000 2.00. Thiagarajan.
B. The Members of the Committee are as under: 1. Nominee Director Shri U. Govt.04. of Shares of the Company NIL 60 120 320 NIL 100 NIL NIL NIL NIL NIL NIL NIL NIL NIL 7 8 9 10 11 12 13 14 15 5. Chairman-cum-Managing Director Director (Commercial) Director (Production) Director (Technical) Director (Finance) Company Secretary Dy.No.e. S. Singh.f.2010) Shri S.e. Director (Commercial) Shri S. Govt. of Equity Shares of the Company held by Directors as on 31st March. Director (Personnel) (w. Shareholders Committee i.K.K. Aga (re-appointed w.K. 01.N.S. Nanda. Venkatesan. Gen. 2011. 03.08. 1 2 3 4 5 6 Name of the Director Shri Rana Som. 13. 3.f.e.2010) Mrs. 6.f. Director (Production) Shri N.Annual Report 2010-11 No.e.) Arvind Mahajan (w.e. 5. Machendranathan.12. Share Transfer Committee The Board has constituted the Share Transfer Committee to consider and approve all related issues of Shares and Share transfers. Secretary 46 . Parminder Hira Mathur (w. 03.2010) No. Director (Finance) Shri G. 2. Sharma.2010) Shri Dronadeb Rath (w. 7. Nominee Director Shri R. Director (Technical) Shri S.(Retd. Joshi. Thiagarajan.f. Sharma Shri Abdul Kalam Shri K. Raju Lt.P. Chairman-Cum-Managing Director Shri V. 4.2010) Shri Y.f.12. 03.12.
of meetings attended 7 7 6 7 7 7 7 Name and designation of the Compliance Officer: Shri Mohammad Imam.08. of shareholders complaints received so far .No. of Members present Transfer Committee 7 7 6 7 7 7 7 7 7 7 1 2 3 4 5 6 7 8 9 10 19.02.10.3.280 (3.01.2010 21.2011 7 7 7 7 7 7 7 7 7 7 Attendance of each Member at the Share Transfer Committee meetings Sl. Date Strength of Share No.2010 21. Name of the Member Chairman-cum-managing Director Director (Commercial) Director (Production) Director (Technical) Director (Finance) Company Secretary Dy.2010 15. of meetings held 7 7 7 7 7 7 7 No.NMDC Limited During the year under report. iii.07. Secretary Details in respect of shareholders' complaints: G G G No.02. Secretary No.2010 26.239 related to FPO).05.04. The details of attendance of the Members are indicated below: Sl. Dy. 1 2 3 4 5 6 7 ii.2011 24.2010 19.11.2010 25.2011 05. No. not solved to the satisfaction of the shareholders-Nil Number of pending complaints-Nil 47 . ten meetings of the Committee were held.09.2010 28.No.
Attendance of each Member at the Shareholders' / Investors' Grievance Committee Sl. Office. Ltd. Whether any special resolution passed in the previous 3 AGMs. There was no case of non-compliance of statutory provisions of the Companies Act.2010.38% of its holding in the Company aggregating 33.08. Location and time where last three AGMs held. M/s Karvy Computershare Pvt. The details of the General Meetings held for the past three years are as under: AGM No. 8. or any other statutory authority. Accordingly. 1956 or SEBI Regulations or provisions of Listing Agreement. Audit Committee Director (Production) Director (Finance) 3 3 3 3 3 3 Pursuant to an offer for sale. No. the Company has not received any proceeds of the offer and all the proceeds were received by Government of India. During the year 3 meetings were held on 02. 27. were appointed as Registrar to the offer for sale by Government of India. Saifabad Hyderabad Date & time 08. Disclosures i.08.08.01. 1 2 3 Name of the Member No. Shareholders'/Investors' Grievance Committee Composition: The Board has constituted the Shareholders'/Investors' Grievance Committee comprising Chairman of Audit Committee (Chairman of the Committee) and Director (Production) and Director (Finance) as Members.200 equity shares of Re. of meetings held No.10 at 1430 hrs Special Resolutions passed Five Seven One iii. 7. there was no occasion to resort to Postal Ballot for consideration of the shareholders of the Company. There are no 'materially significant related party transactions' that may have a potential conflict with the interests of Company at large. of meetings attended Chairman.08. 48 ii.09 at 1530 hrs 05.43.Annual Report 2010-11 6. These authorities have not passed any strictures or imposed any penalty on the Company on any matter related to capital markets during last three years. During the year 2010-11. there are no projected utilization of funds and / or projected profitability statement in this regard. Office. Ltd. Hyderabad Ravindra Bharati. .08 at 1530 hrs 29. Government of India had disinvested 8. This being an Offer for Sale.2010 and 12. ii. General Body Meeting i.10. All grievances / complaints relating to offer for sale made by Government of India are exclusively dealt by M/s Karvy Computershare Pvt.22.1/. 50th AGM 51st AGM 52nd AGM Venue Regd.each in the financial year 2009-10.2011. Hyderabad Regd.
01. v. The said results are also hosted on the website of the Company. the extent of compliance is as under: G iv. No person has been denied access to the Audit Committee. the guidelines of Central Vigilance Commission (CVC) are applicable which provides adequate safeguard against victimization of the employees. Other than the sitting fees paid (Rs. The Board: The Chairman cum Managing Director of the Company who is in whole time employment. details has been outlined in Sl. G Remuneration Committee: In respect of Remuneration Committee. the Company has complied with the requirement of Clause 49 and DPE Guidelines on Corporate Governance.NMDC Limited iii.10. part-time Directors have no pecuniary relationship or transactions with the Company during the year under report. STs and OBCs. there is no need for maintenance of a separate Chairman's office.01. As per the 'Presidential Directives' received from the Ministry of Steel vide letter No. no personnel of the Company has been denied access to the Audit Committee. As on the date of Report. the revised pay scales and allowances of the Board level and below Board level have been implemented w. G Shareholder Rights: The Quarterly Financial Results of the Company are published widely in leading newspapers. 49 vi. G Mechanism for evaluating Non Executive Board Members: Being a PSU.05. the Non Executive Directors are appointed by Government of India. is the Chairman of the Board. Govt. The Company has not adopted any mechanism for evaluating individual performance of Non Executive Board Members. Independent Directors are appointed by Ministry of Steel. of India for a tenure not exceeding three years.4.f.e. In respect of non-mandatory requirements as prescribed in Annexure-I D to Clause 49 of the Listing Agreement. G Whistle Blower Policy: NMDC being a PSU. Therefore. In respect of Whistle Blower Policy.000/. G Training of Board Members: The Directors of the Company are nominated for suitable training / programmes / seminars from time to time.12(65)/2008-RMI dated 01. G Audit Qualification: The Company always aims to present unqualified financial statements.per sitting as determined by the Government of India). .2009. No independent Directors has served in aggregate for a period of nine years. Details of Presidential Directives issued by Central Government and their compliances during the year and also in the last 3 years: The Company is following the Presidential Directives and guidelines issued by the Government of India from time to time regarding reservation for SCs.2007.
08. The Companies website also contains a dedicated section on 'Investors' where shareholders information is available viz. (b) Website As per the provisions of the Listing Agreement. Expenses incurred which are personal in nature and incurred for the Boards of Directors and Top Management. www. 1956. Date of Book Closure : From 17.2011 to 20. Kolkata. These results are also posted on Company's website: www.2012 on or before 30.in contains a separate section "Investors". Hotel Taj Krishna.nmdc.2012 iii. General Shareholders Information i.43%. Listing Fees for the year 2011-12 has been paid to all the Stock Exchanges.nmdc. the Company's website i. Nil.500 034 ii.09.09. Financial Calendar for 2011-12 1st quarter results 2nd quarter results 3rd quarter results 4th quarter results (Unaudited) (Unaudited) (Unaudited) (Audited) on or before 14. Annual Reports. Road No. viii.3.02.2011 (both days inclusive) Dividend Payment date Dividend to be paid within 30 days of declaration as per the provisions of the Companies Act. 9. Financial Details. time and venue Date 20.1 Banjara Hills. Mumbai.2011 on or before 14. Chennai.e. v. 50 . Electronic Media and also on its Website. iv.05.09.in. AGM date.2011 Time 1500 hrs Venue Grand Ball Room.11. 10.Annual Report 2010-11 vii. Items of expenditure debited in books of accounts. Listing on Stock Exchanges NMDC shares are listed on Stock Exchanges at Bangalore. Nil ix. Details of Administrative and Office expenses as a percentage of total expenses . etc. Means of communication (a) Quarterly Results: The Company publishes quarterly Un-audited / Audited financial results through leading National Daily Commercial / Economic newspapers and also Local language Daily newspapers including Hindi Daily newspaper.co. Hyderabad . Mumbai.co. In addition. which are not for the purposes of the business. where shareholders information is available. New Delhi and National Stock Exchange.2011 on or before 14. the Company communicates major achievements and important events taking place in the Company through Press.
00 257.80 287.35 Year 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 51 .00 298.00 301.80 277.10 256.40 280.50 274. Stock Code : Name of the Stock Exchange where Company's equity shares are listed Bombay Stock Exchange.40 264.00 277.00 241.95 227.00 272.No.55 260.NMDC Limited vi. New Delhi Calcutta Stock Exchange. Chennai Bangalore Stock Exchange. Kolkata Madras Stock Exchange. Bangalore Scrip Code / Company Code 526371 NMDC 14090 24131 NATMINER NMN i) ii) iii) iv) v) vi) vii (a) Market price data: High.40 Lowest 298.80 298. Low during each month in last financial year Market prices at Bombay Stock Exchange Month April May June July August September October November December January February March Highest 313.90 283. Mumbai Delhi Stock Exchange.55 255. Mumbai National Stock Exchange.50 240.90 286.00 263.00 254. Sl.00 241.
Performance in comparison to broad based indices such as BSE Sensex.1 per share from Rs.00 277.45 262.58 9556. viii.95 200 260.00 298.20 263. CRISIL Index etc.90 Lowest 288.48 10675.00 255.02 700 10000 BSE 100 9041.05 234.00 283.05 241. The Company issued Bonus Shares @ two equity shares for every one share held on 22nd May 2008.10 257.81 600 9379.74 NMDC SHARE PRICE 900 800 10627.00 264.30 254.90 257.40 287.50 286.80 274.75 227. 2008.25 266.67 9627.Annual Report 2010-11 (b) Market prices at National Stock Exchange Month April May June July August September October November December January February March Highest 312.35 10639.00 278.15 242.04 9442.50 283.00 240.01 9259.00 240.96 10280. Share Prices / BSE 100 Monthly Close Quotations 1000 14000 13000 12000 11000 10095.23 500 9000 8000 400 7000 300 298.72 9569.50 248.85 277.10 Year 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 Note : The Company split the face value of the share to Re.40 280.60 263.75 302.45 6000 5000 4000 3000 Apr’ 2010 May’ 2010 Jun’ 2010 Jul’ 2010 Aug’ 2010 Sept’ 2010 Oct’ 2010 Nov’ 2010 Dec’ 2010 Jan’ 2011 Feb’ 2011 Mar’ 2011 100 0 NMDC BSE 100 52 .70 262.10 per share on 21st April.55 277.30 273.50 299.45 280.
Transfers in physical form are registered after ascertaining objections. x.75 5457.. Director (Technical). Director (Production).78 5359.53 260.24 5971. Director (Commercial).48 5294. if any..62 262. The share transfer committee considers request for issue of share certificates. NSDL and CDSL within 15 days. Director (Finance).42 5400.33 5782. Share Transfer System The Company has a Share Transfer Committee comprising of Chairman-cum-Managing Director. 53 S&P CNX NIFTY .84 275. Company Secretary and Deputy Secretary which considers the request for Transfer / Transmission of shares. Hyderabad as Share Transfer Agent of NMDC for looking after the works relating to share transfer/transmission etc. Requests for dematerialization of shares are processed and confirmation is given to the respective depositories viz.52 266. Ltd.75 3000 200 2000 100 Apr’ 2010 May’ 2010 Jun’ 2010 Jul’ 2010 Aug’ 2010 Sept’ 2010 Oct’ 2010 Nov’ 2010 Dec’ 2010 Jan’ 2011 Feb’ 2011 Mar’ 2011 1000 NMDC S&P CNX NIFTY ix.11 600 NMDC SHARE PRICE 5811. and no valid transfer application are kept pending beyond the stipulated period of thirty days.78 262.NMDC Limited Share Price / S&P NIFTY Monthly Close Quotations (Average Closing Rate) 800 8000 700 7000 6096.32 6055.78 268.08 282. and dematerialization of shares of NMDC with CDSL and NSDL.92 6000 500 5052.71 267.76 284.47 257.07 264.97 5000 400 4000 300 298. Registrar & Transfer Agent The Company has appointed Aarthi Consultants Pvt. from the transferors. dematerialization of shares etc.71 5538.76 5187.
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 b. b. Overseas Corporate Bodies Sub Total (A)(2) Total Shareholding of Promoter and Promoter Group (A)=(A)(1)+(A)(2) (B) 1 a. c. d. b. Shareholding Pattern as on 31st March. f.43 2.43 2. c. 2011 pursuant to Clause 35 of the Listing Agreement (Consolidated) Category of Shareholder Number Total Number of Number of shares Share of shares held in holders dematerialised form Total shareholding as a percentage of total number of shares Shares pledged or otherwise encumbered Category code As a As a Number Percen.Percenof tage of tage Shares (A+B)1 of (A+B+C) (I) (A) (II) Shareholding of Promoter and Promoter Group Indian Individuals/Hindu Undivided Family Central Government/ State Government(s) Bodies Corporate Financial Institutions/Banks Others e. Mutual Funds Trusts Sub Total (A)(1) 2 a.Annual Report 2010-11 xi. Foreign Individuals (Non Resident Individuals/Foreign Individuals) Bodies Corporate Institutions Others d.52 0 0 0. Public Shareholding Institutions Mutual Funds/UTI Financial Institutions/Banks Central Government/ State Government(s) Venture Capital Funds 23 38 0 0 16988928 100004993 0 0 16988928 100004993 0 0 0. c. d. Distribution of Shareholding: a. 0 1 0 3568418180 0 0 0 90 0 90 0 0 0 0 0 0 0 0 54 .52 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 3568418180 0 0 0 0 0 3568418180 0 0 0 0 0 0 0 0 0 90 0 0 0 0 0 90 0 90 0 0 0 0 0 90 0 0 0 0 0 0 0 0 (III) (IV) (V) (VI) (VII) (VIII) As a Percentage (IX)=(VIII)/ (IV)x100 1 a.
68 0 0 0 0 9. i) ii) iii) iv) v) vi) Any Others Non Resident Individuals Overseas Corporate Bodies Trusts Employees Clearing Members Foreign Nationals Sub Total (B)(2) 1507 0 9807045 0 9786045 0 0.51 0. i.85 10 100 0 0. f.25 0 0 0 (III) 7 62 0 0 0 1 131 (IV) 218553515 27024956 0 0 0 4640 362577032 (V) 218549515 27024956 0 0 0 4640 362573032 (VI) 5. b.85 10 100 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Total Public Shareholding (B)=(B)(1)+(B)(2) 172659 Total (A)+(B) (C) Shares held by Custodians and against Depository Receipts have been issued Sharesholding of Promoter and Promoter Group Public Shareholding Grand Total (A)+(B)+(C) 172660 3964716000 396049391 0 0 0 0 0 0 0 0 0 0 0 0 100 0 0 0 100 0 0 0 0 0 0 0 0 1 2 172660 3964716000 396049391 55 .1 lakh ii) Individual shareholders holding nominal share capital in excess of Rs. g.57 0 0.01 0 0 0 0 0 0. i) Non-Institutions Bodies Corporate Individuals Individual shareholders holding nominal share capital upto Rs.51 0.01 0 0.57 0 0 0 0 0 3 0 1684 0 22 68 167 0 172528 0 427473 0 569439 0 28956 82329 84391 0 33720788 396297820 0 427473 0 569439 0 28956 31479 84391 0 33476359 396049391 0 0.Percenof tage of tage Shares (A+B)1 of (A+B+C) (I) e.68 0 0 0 0 9.15 (VIII) 0 0 0 0 0 0 0 As a Percentage (IX)=(VIII)/ (IV)x100 0 0 0 0 0 0 0 0 0 0 169077 0 22721155 0 22548576 0 0.NMDC Limited Category code Category of Shareholder Number Total Number of Number of shares Share of shares held in holders dematerialised form Total shareholding as a percentage of total number of shares Shares pledged or otherwise encumbered As a As a Number Percen.25 0 0. Foreign Companies FPO Unclaimed Shares A/c Sub Total (B)(1) 2 a.1 lakh c.01 0 0 0 0 0 0.15 (VII) 5. (II) Insurance Companies Foreign Institutional Investors Foreign Venture Capital Investors Others h.01 0 0.
26 0.2011 Name of the Shareholder President of India LIC of India State Bank of India LIC of India Money Plus LIC of India Market Plus .02 0.Annual Report 2010-11 (b) Distribution of Shareholding by size as on 31.26 0. of Shareholders % of Shareholders Total No.100000 100001 & above Total No.66 0.03 0.97 0. 4.03.27 100. 1 2 3 4 5 6 7 8 9 10 56 .No. 6.51 0.40000 40001 . 1.18 0.20000 20001 .00 21936239 1511225 1414291 1476491 669466 608293 1964185 3935135810 3964716000 0.2011 Category 1 .57 Sl. 8. of Shares 3568418180 196858195 26293685 20214500 11788057 10808905 10293508 10173693 7120749 6213915 3868183387 % of Total Shareholding 90.30 0.Profitplus The New India Assurance Company Limited Morgan Stanley Mauritius Company Limited Total: No.10000 10001 .05 99. 2.27 0. 5. of Shares % of Shares 172191 184 93 38 20 11 30 93 172660 100 0 0 0 0 0 0 0 100. 7.03.50000 50001 .03 0. (c) Top ten shareholders as on 31. 3.5000 5001 .00 Sl.00 4.30000 30001 .1 Canara Bank Bank of Baroda LIC of India .01 0.16 97.02 0.56 0. No.
2011 are as under: Particulars Held in dematerialized form in CDSL Held in dematerialized form in NSDL Physical Total: No.2014 28.86.2017 04.19.01. Lower Parel.400 013 Central Depository Services (India) Limited Phiroze Jeejeebhoy Towers 28th Floor.08.2008 08.02.2010 01.09.2007 25.81 90. Particulars of Dividend Date of declaration of Dividend 31.2017 01. The addresses of the Depositories are as under: (1) National Securities Depository Limited Trade World.130 356.2016 12.30.03.2011 Proposed date of transfer to IEPF* 30.18 9.08. Mumbai .16. Outstanding GDRs/ADRs/Warrants or any Convertible instruments.01. Dematerialization of shares and liquidity The shares of the Company are dematerialized with Central Depository Services (India) Ltd and National Securities Depository Limited.09.No.2018 1 2 3 4 5 6 7 8 9 Final Dividend for the year 2006-07 Interim Dividend for the year 2007-08 2nd Interim Dividend for the year 2007-08 Final Dividend for the year 2007-08 Interim Dividend for the year 2008-09 Final Dividend for the year 2008-09 Interim Dividend for the year 2009-10 Final Dividend for the year 2009-10 Interim Dividend for the year 2010-11 * Investor Education and Protection Fund (IEPF) 57 .02.2014 24.09.000 % of total capital issue 0. of Shares 70.2009 23. conversion date and likely impact on equity : NIL xiv. 1956.90.00 xiii.2008 28.2009 29.NMDC Limited xii.2016 28.01 100.02.2015 07.609 396.400 023 (2) No. Dalal Street Mumbai .2015 27.11. which remained unpaid or unclaimed are given below: Sl.66.01.2010 05.2007 184.108.40.2061 38.02.08. particulars of the dividends declared by the company. of Shares held in dematerialized and physical mode as on 31st March. 4th Floor Kamala Mills Compound Senapati Bapat Marg.09.08. Unclaimed Dividend Pursuant to the provisions of Section 205A(5) of the Companies Act.
22.38% of its holding in the Company aggregating 33. During this period.03.2010 Requests received during the year Requests resolved during the year Closing balance as on 31.460 Nil The voting rights on these equity shares mentioned in the closing balance shall remain frozen till the rightful owner of such shares claims the shares. Bacheli Dist: Dantewada (Chattisgarh) Donimalai Iron Ore Mine Donimalai Township Dist: Bellary . Bailadila Iron Ore Mine Kirandul Complex P.04. Unclaimed Shares Suspense Account Pursuant to an offer for sale. xvi.O.2011 403 361 361 42 46.) 58 b.each in the financial year 2009-10. Government of India has disinvested 8.760 4.O. Particulars NSDL CSDL Shareholders Equity Shares Shareholders Equity Shares 1 2 3 4 Opening balance as on 01. As per the provisions of Clause 5A of the Listing Agreement. Kirandul Distt: Dantewada (Chhattisgarh) Bailadila Iron Ore Mine Bacheli Complex P. . c. Plant / Mine Locations: The mines of the Company are located in the following locations: a. two demat accounts were opened with NSDL & CDSL for crediting unclaimed / suspense equity shares.460 24.488 001 (MP) Sponge Iron Unit NMDC Limited SIIL Campus Paloncha .P.460 24. d. No.Annual Report 2010-11 xv.1/. the details of unclaimed equity shares lying in the unclaimed suspense account are given below: Sl.760 41.200 equity shares of Re.43. e.583 118 Karnataka Diamond Mining Project Majhgawan Panna .640 174 174 174 Nil 24.507 154 Dist.400 41. Khammam(A.
certificate from the Company Secretary in whole-time practice regarding compliance of conditions of Corporate Governance is annexed at Annexure III (C).500 173 E-mail: ims@nmdc. the company has appointed M/s Ernst & Young as Consultant for preparation of Risk Management Policy. Ltd. M. Vittal Rao Nagar Madhapur Hyderabad . 17-24. The 1st Annual Report on the working of its Audit Committee was also approved by the Board of Directors at its 433rd meeting held on 27. Address for correspondence: Company Secretary NMDC Limited Regd. Compliance Certificate In Compliance with Clause 49 (VII) of the Listing Agreement. Accordingly.2011. Masab Tank Hyderabad . at the under mentioned address: Karvy Computershare Pvt. the Company has prepared its 1st Annual Report on the working of its Audit Committee for the financial year ended 2010-11. Murali Krishna 1st Annual Report on the Working of the Audit Comittee for the financial year ended 2010-11 In keeping with the recommendations of the Report of the Comptroller & Auditor General of India (C&AG) and as a matter of good corporate governance practice. Ltd. 59 .05. 2006 has approved the Code of Conduct for Directors and Senior Management Personnel of the Company. CEO / CFO certification CEO / CFO certification as required in terms of Clause 49 (V) of the Listing Agreement is annexed at Annexure III (B). Office: 10-3-311/A Castle Hills. Risk Management The Board of Directors has approved the broad approach / procedure on the policy on Risk Management and had desired that assistance of external experts may be sought for upgrading the document. A copy of the Code of Conduct is posted at the website of the Company. Plot No.co. Tel: 040-23420815 Fax: 040-23431551 Email: nmdc. Declaration as required under Clause 49I (D) of the Listing Agreement is annexed at Annexure-III (A). Code of Conduct The Board of Directors at their meeting held on 6th January.500 081.in xvii.NMDC Limited xvi. Investors having any grievance relating to Offer for Sale by Government of India may register the complaint with M/s Karvy Computershare Pvt.com Contact Person: Mr.ipo@karvy.
all the Members of the Board and senior management personnel have affirmed compliance with the Code of Conduct for the year ended 31st March.2011 60 .III(A) DECLARATION AS REQUIRED UNDER CLAUSE 49I(D) OF THE LISTING AGREEMENT WITH THE STOCK EXCHANGES In compliance with Clause 49(D) of the Listing Agreement.05. 2011.Annual Report 2010-11 Annexure . (Rana Som) Chairman cum Managing Director Place : New Delhi Date : 27.
deficiencies in the design or operation of such internal controls. Thiagarajan. 2011 and that to the best of our knowledge and belief : i. Chief Executive Officer (CEO) and Chairman cum Managing Director (CMD) and S. no transactions entered into by the company during the year which are fraudulent. these statements do not contain any materially untrue statement or omit any material fact or contain statements that might be misleading.Thiagarajan Chief Financial Officer (CFO) & Director (Finance) . To the best of our knowledge and belief. significant changes in accounting policies during the year and that the same have been disclosed in the notes to the financial statements.NMDC Limited Annexure . ii. We have indicated to the Company's auditors and the Audit Committee: i. ii. b. We have reviewed financial statements and the cash flow statement for the year ended 31st March. if any. of the management or an employee having a significant role in the company's internal control system over financial reporting. instances of significant fraud of which we have become aware and the involvement therein. significant changes in internal control over financial reporting during the year.III(B) Chief Executive Officer (CEO) and Chief Financial Officer (CFO) Certification pursuant to Clause 49(V) of the Listing Agreement We Rana Som. and iii. applicable laws and regulations. these statements together present a true and fair view of the company's affairs and are in compliance with existing accounting standards. We accept responsibility for establishing and maintaining internal controls for financial reporting and that they have evaluated the effectiveness of internal control systems of the company pertaining to financial reporting and we have disclosed to the auditors and the Audit Committee. c. illegal or violative of the company's code of conduct.2011 61 S. d. to the best of our knowledge and belief certify that: a.05. if any. of which we are aware and the steps we have taken or propose to take to rectify these deficiencies. Chief Financial Officer (CFO) and Director (Finance) of NMDC Limited . Rana Som Chief Executive Officer (CEO) & Chairman cum Managing Director Place : New Delhi Date : 27.
Annual Report 2010-11 Annexure .III(C) 62 .
over the years. experienced and dedicated workforce. Good work culture . good credit rating. NMDC has been paying dividends for the last 21 years. Adopting modern technologies and commitment to quality of its products. Historically. Strength and weakness Strength G Larger reserves of high grade of iron ore consisting principally of hematite ore with Fe content of predominantly > 64%. Resources making the Company a low cost producer . the related cyclicality in industries the Company directly serves and a variety of other factors. Developing expertise in international acquisition space. Financial strength characterized by high net worth. recycling practices. speculative trades. NMDC is determined to be a world-class eco-friendly mining organization. the development of products substitutes or replacements.NMDC Limited Annexure . Industry structure and developments Established in 1958. the overall performances of the global or regional economics.skilled. NMDC is exposed to sharp fluctuation in demand for its products. The demand for Iron ore is related to growth of Indian economy and also that of the global economy reflected primarily in the growth of the infrastructure sector. Premises also may be affected by government actions. Largest producer of iron ore by volume. market uncertainties.the Company's cost of production are competitive with those of the leading iron ore producers in the world.Research and Development Centre and an In-house exploration capability at Hyderabad which is capable of taking up assignments in the field of ore beneficiation and mineral processing. including the imposition of tariffs and import duties. The iron ore industry being cyclic in nature. an increase in capacity or an oversupply of the Company's products in its main markets. Prices and the market for iron ore may continue to be volatile and subject to wide fluctuations in the future. the international commodity prices for iron ore and the prevailing market for iron have been volatile and subject to wide fluctuations in response to relatively minor changes in supply and demand. operating its mines in Chhattisgarh and Karnataka. Highly mechanized iron ore mines. 63 G G G G G G G G G G .IV Management Discussion & Analysis Report 1. In-house R&D capability . zero debt. These externals factors and the volatility of the commodity markets make it difficult to estimate future prices. Availability of technology and infrastructure of existing projects in Bailadila to add new projects in the area with comparatively less investment. 2. The Company is seeking to further cover its cost across all of its operations. NMDC has grown to be India's largest single iron ore producer. Core competence in iron ore mining. Good Brand image of NMDC's iron ore in domestic/international market.
Annual Report 2010-11
Geographically remote location of the projects acting as deterrent in attracting and retaining talent and also for reaching supplies and services. Delay in forest and environmental and other clearances affecting time schedules for opening and commissioning new mines and affecting our investment plans. Extreme foggy weather conditions causing stoppage of mining operations at Bailadila complex during monsoon months. The Company has not diversified into other sector. As such, any adverse impact on the mining sector hits the profitability of the Company. As a mining Company, NMDC is subject to extensive regulations surrounding health, safety of the people and environment. However, regulatory standards and community expectations are constantly evolving and as a result the Company is exposed to increased litigation compliance cost and unforeseen environmental remediation expenses apart from constraints in operations.
Opportunities and Threats Opportunities 1) Continue diversifying and expanding its mining activities and products: The company believes diversification and expansion of its mining activities and products fits well with its strategy of becoming an integrated producer of iron and steel and will enable it to better balance cyclical change in mineral prices and economic change as well as to grow its business. The company has applied for and has been granted mining leases for diamonds, limestone and magnesite. The Company also has acquired two coal blocks and is looking to diversify into other minerals including minerals used in fertilizer. 2) Expand and establish its presence as an integrated producer of iron and steel: The Company plans to expand and establish its presence as an integrated producer of iron and steel through selective value addition projects. The Company has signed an MOU with the state government of Chhattisgarh to develop a steel plant with a capacity of 3 mtpa at Jagdalpur, and also has plans to develop a steel plant in Karnataka. Furthermore, the Company completed the acquisition of Sponge Iron India Limited, a Company involved in the production of Sponge Iron. Through this acquisition the Company has ventured for the first time into the manufacturing area. In addition, the Company plans to develop two pellet plants at Donimalai and at Bacheli. 3) 4) Continue to be a low cost, efficient and environmentally friendly mining Company. Augment resources, improve infrastructure and enhance technology through joint ventures and commercial tie-ups - the company seeks to augment its resources and reserves, improve its infrastructure and enhance its technology through joint ventures and commercial tie-ups. Financial powers for investment in new projects as a Navaratna Company.
Disturbances due to Maoists activities in Bailadila area. 64
Intense competition from private sector in securing fresh mining leases, resulting in denial of leases in many cases and litigation delaying actions. Inability to secure additional reserves of iron ore that can be mined at competitive costs or cannot mine existing reserves at competitive costs, profitability and operating margins may be affected. Entry of MNCs and other Indian private companies into iron ore mining. The industry being cyclic in nature, NMDC is exposed to sharp fluctuations in demand for its products. The Company faces risks in respect of high inventory of stocks and its disposal.
Product-wise performance Financial Performance of NMDC (Rs. in Cr.) Details Sale of Iron Ore Sale of Diamonds Sale of Wind Power Sale of Sponge Iron * Sales others Income from Services Turnover PBT PAT Dividend Physical Performance of NMDC Details Production: Production of Iron Ore WMT (In million tonnes) Production of Sponge Iron (tonnes)* Production of Diamonds (carats) Sales: Sale of Iron Ore (mt) Sale of Diamonds (carats) Sale of Sponge Iron (tonnes)* 25.59 14588 – 28.18 2632 – 26.47 – – 24.09 7335.34 – 26.31 18421.22 39775.00 26.23 29.82 28.52 23.80 25.16 2006-07 2007-08 2008-09 2009-10 2010-11 2006-07 4170.92 10.60 – – 1.34 2.98 4185.84 3498.31 2320.21 465.19 2007-08 5705.32 3.75 – – 0.09 2.15 5711.31 4947.47 3250.98 651.53 2008-09 7559.11 – 2.22 – 0.08 2.62 7564.03 6648.23 4372.38 876.20 2009-10 6222.60 6.94 6.57 – – 2.98 6239.09 5207.32 3447.26 693.82 2010-11 11285.34 12.88 4.48 62.74 – 3.50 11368.94 9727.17 6499.22 1308.35
* Due to merger of SIIL w.e.f. 1st July 2010. 65
Annual Report 2010-11
4. Outlook NMDC proposes to augment tonnes by 2015. It also has Chhattisgarh and Karnataka is also planning to venture its production of iron ore from the present level of 30 million to 50 million chalked out plans for value addition by setting up pelletization plants in utilizing the slimes and an integrated steel plant in Chhattisgarh. NMDC into coal mining and other minerals.
The world economy is recovering from the recession and the Company anticipates strong growth in all parameters. 5. Risks and concerns The major risk NMDC is facing is the Maoists' attacks on and around its project at Bailadila on and off. Such attacks have made some impact on production which has affected the movement of ore from the Bailadila sector. The Company is in contact with the Government agencies for support and protection of its people and installations. The initiatives taken by the Government of Chhattisgarh and the Central Government are expected to find a solution to the risk at the earliest. The serious concern for NMDC in expanding its activities is the hurdle the Company is encountering in getting mining leases. All out efforts are being made to see that the Company gets the required mining leases for its expansion. The industry being cyclic in nature, NMDC is exposed to sharp fluctuations in demand for its products. The Company also faces risks in respect of high inventory of stocks and its disposal. 6. Internal control systems and their adequacy NMDC has put in place all the necessary internal controls and they are found quite adequate. 7. Discussion on financial performance with respect to operational performance. Details on financial performance with respect to operational performance are given in detail in the Directors' Report. However, for the year under review, the Company has achieved production of 25.16 MT of Iron Ore. In respect of diamond, the Company achieved production of 10865.93 carats. The Company has also recorded sale of wind power of Rs.4.48 crores for the year under review. On the financial performance, the turnover of the Company for the year under review was Rs.11368.94 crores. PBT for the year under review was Rs.9727.17 crores. PAT for the year under review was Rs.6499.22 crores. Net worth of the Company was Rs.19200 crores. The Company achieved excellent rating by MOU for the financial year 2010-11. 8. Material developments in Human Resources/ Industrial Relations front, including number of people employed. The employees of the Company have been dedicated and loyal to the Company. Though there has been attrition in certain disciplines, the employees in general have remained with the Company through thick and thin. On the part of the Management, it is ensuring all-round comfort levels to its employees, including the required training at all levels based on the need. It is worth highlighting that industrial relations have been cordial all along during the year. Any difference is sorted out through bipartite discussions at appropriate fora. The co-operation and support of workmen represented by AINMDCWF in this regard is praiseworthy. 66
The Company is planning various diversification projects viz. Steel Plant, Pellet Plant, coal mining etc. Since inception, the employees of the Company are exposed only to Iron Ore industry. The Company's diversification project needs people with specific skill and knowledge in other industries viz. up gradation of skills for operating equipment with latest technology. In order to get people with requisite knowledge and skills, the Company has to train /retrain its existing manpower and also to go for fresh induction. During the last five years, the number of people employed are as follows: 2006-07 2007-08 2008-09 2009-10 2010-11 9. : : : : : 5,582 5,560 5,652 5,895 6,128
Environmental Protection and Conservation, Technological Conservation, Renewable Energy Developments, Foreign Exchange Conservation. Relevant Information in this regard is disclosed in the Directors' Report.
Corporate Social Responsibility The Company is actively involved in various CSR initiatives. Detailed information is disclosed in the Directors' Report.
Cautionary Statement The Statements in the Directors' Report and Management Discussion and Analysis Report are forwardlooking statements and progressive within the meaning of applicable laws and regulations. Actual results may vary from those expressed or implied, depending upon economic conditions, Government Policies and other incidental factors that may arise. Shareholders / Readers are cautioned not to place undue reliance on the forward looking statements.
the UN Global Compact is a strategic policy initiative for businesses that are committed to aligning their operations and strategies with ten universally accepted principles in the areas of human rights. NMDC has been one of the earliest signatories and has also played an active role in the formation and growth of the Global Compact Network in India. Yours sincerely Rana Som Chairman-cum-Managing Director 68 .Annual Report 2010-11 Annexure . environment and anti-corruption .Communication on Progress ED/EPS/GC/03 23rd May 2011 Dear Stakeholders As you are aware. environment and anti-corruption. operations and culture. I take this opportunity to renew this commitment.into our strategies. In India alone about 250 companies/ organisations are signatories to this initiative. In the 6th National Convention held on 4th February 2011 at Hyderabad. With warm regards.V Global Compact . The UN Global Compact Initiative is today the largest voluntary CSR initiative in the world with more than 8000 companies and other organizations from more than 130 countries committing themselves to internalize its 10 principles. labour. labour. I reiterated NMDC's commitment to the cause of UN Global Compact and imbibe the ten universal principles in the areas of human rights.
Comprehensively covering all these aspects. NMDC has appropriate systems in place. goggles. Commitment Being a Government of India Company. the sub-stratum of the Manual ensures that its employees enjoy the fundamental human rights. equality and fraternity and which also encompasses the fundamental human rights as envisioned in the Universal Declaration of Human Rights. Occupational Health Centres have been provided in the projects. G G Education Safety G G Being basically a mining organization.NMDC Limited Principle 1: Business should support and respect the protection of internationally proclaimed human rights. G Sufficient number of workmen inspectors are nominated/appointed for mining operations. NMDC encourages its employees to better their educational and professional qualification by giving suitable incentives. NMDC owes allegiance to the Constitution of India. the retired employees and their spouses get medical care for a nominal life-time membership. managerially and technically. NMDC provides accommodation for the employees and the members of their families on nominal rents. are provided to employees periodically. and training for skilled trades and also for those injured on duty. liberty. etc. mechanical installations and electrical installations in terms of the statutory requirement. NMDC attaches greater importance for safety of the employees. NMDC has its own Training Centres equipped with the infrastructure as required under the Mines Vocational Training Rules. In its mining projects. Periodical medical examinations of employees are done in accordance with the prescribed schedule. safety. rain suits. NMDC has in its management system provisions for health. Systems Though there is no specific provision as such for human rights in the Manual on Personnel Management of the Company. NMDC stands committed to support and respect the protection of internationally proclaimed human rights. These centres cater to the needs of basic training. refresher 69 NMDC trains its employees regularly to update themselves. housing and education. helmets. etc. Safety appliances such as safety shoes. which resolves to secure to all its citizens justice. Doctors have been given specialized training in occupational health. Under the NMDC Contributory Scheme for post-retirement medical facilities. NMDC provides house building advances for its employees to build their own houses at such locations in India as suitable to them. G G G G G Housing G NMDC gives full and free medical care to its employees and the eligible members of their families. G . professionally. Actions Health G training. study leave. Every month safety committee meetings are conducted and accident analysis is discussed and remedial measures implemented.
house building advances were given to 14 employees (cumulatively to 2207 employees). (b) 133 employees (cumulatively 5707) who have rendered 25 years' service.27.27. ie. has come to inherit the Government regulations and. . liberty. (c) 38 employees (cumulatively 4862) who have rendered 30 years' service (d) 89 employees (cumulatively 1013) who have rendered 35 years' service by organizing suitable function. Recognizing the meritorious service rendered by the employees on the occasion of this year's Corporation Day. service certificates and suitable mementos during farewell parties. A Grievance Redressal procedure is in vogue. Housing has been extended to all its employees. 15 November 2010. G Basic education has been extended to 100% of the employees' children. 249 employees (cumulatively 841) who retired after putting in 30 years service in NMDC were awarded special mementos. protecting human rights and ensuring that it is not complicit in human rights abuses. The injury frequency rate was 1. A separate Committee for redressal of grievances of women employees in particular has been constituted. 277 employees (cumulatively 3564) who retired from service. 70 Actions & Performance during the year 2010-11 No case of human rights violation has been reported during the year. is a natural extension to all its policies and programmes. Training mandays as % of working mandays is 1. which resolves to secure to all its citizens justice. being a Government company. The schooling facilities available at the project are extended to the children of the surrounding villages as well. As its projects are located in remote areas. G G Performance during the year 2010-11 G NMDC is providing complete health care to its employees and the members of their families. Training coverage is 80% of employees. in appreciation of their service to NMDC. Systems G G The security arrangement in the mines of the company is given to the Central Industrial Security Force (a Government arm). specially arranged in their honour.Annual Report 2010-11 G NMDC takes care of the school education of the employees' children in its projects and gives incentives and scholarships for their higher education. equality and fraternity and which also supports the fundamental human rights as envisioned in the Universal Declaration of Human Rights. therefore. NMDC owes allegiance to the Constitution of India. NMDC has recognized Scheduled Caste/ Scheduled Tribe Associations in each of its units and corporate office. Mandays lost on account of accidents were 6967. NMDC has arranged for quality schooling facilities at the projects itself. In addition. G G G G Principle 2: Business should ensure that they are not complicit in human rights abuses Commitment Being a Government of India company. NMDC has awarded suitable mementos to (a) 99 employees (cumulatively 6624) who have rendered 20 years' service. NMDC stands committed to protecting human rights in its workplaces. who owes equal allegiance to the Constitution of India and is duty bound to protect human rights. G G G NMDC.
Bailadila Iron Ore Mine. In pursuit of such commitment. Donimalai Iron Ore Mine i. Executives have their own association (NMDC Officers' Association) at unit level and at the corporate office. 4. Workmen. Actions Decisions affecting each of the Union/Association are taken in consultation with them both at the unit level and at the corporate level giving the status of sole collective bargaining agent to the AINMDCWF. are given below: a. 3. unit-wise. 71 G ii. welfare measures. c. Besides their affiliations to national bodies. incentives. bonus. Metal Mine Workers Union (MMWU) affiliated to INTUC. Samyuktha Khadan Mazdoor Sangh (SKMS) affiliated to AITUC. All these Unions have been given assistance by the Management as considered necessary for their functioning. who are mostly location specific. project level and at corporate level with equal number of representatives of the management and the Unions. The unanimous decisions taken at the Joint Committees are implemented and monitored. Bailadila Iron Ore Mine. ii. have their own Unions. Diamond Mining Project i. Bacheli Complex i. line of promotions. G . Systems NMDC has three layers of employees: workmen. b. d. cutting across such affiliations to central organizations. both statutory and non-statutory. Decisions include wage settlement. 1. Kirandul Complex i. Samyuktha Khadan Mazdoor Sangh (SKMS) affiliated to All India Trade Union Congress (AITUC). working conditions. are functioning at the shop level. Panna Hira Khadan Mazdoor Sangh (PHKMS) affiliated to BMS. supervisors and executives. majority of the Unions at project level have formed an independent apex body called All-India NMDC Workers' Federation (AINMDCWF) positioned at the corporate office at Hyderabad. Madhya Pradesh Rashtriya Heera Khani Mazdoor Sangh (MPRHKMS) affiliated to INTUC. All the workmen are subject to collective bargaining agreements and the supervisors and executives are governed by understanding/consultations. Supervisors have their own association (NMDC Supervisors' Association) at unit level and at the corporate office. 2. More than one Union are functioning in each of the main units. Metal Mine Works Union (MMWU) affiliated to Indian National Trade Union Congress (INTUC). Donimalai Iron Ore Project Employees Association (DIOPEA) affiliated to AITUC. The collective bargaining has been so useful to the company that no mandays were lost during the year because of rift or strike by employees. Performance during the year 2010-11 G ii. Committees/Councils. NMDC is totally committed to workers' participation in the management. The details of such affiliated Unions. Metal Mine Workers Union (MMWU) affiliated to INTUC. etc. ii.NMDC Limited Principle 3: Business should uphold the freedom of association and the effective recognition of the right to collective bargaining Commitment NMDC stands committed to the protection of freedom of association among its employees and business partners.
Employees are given incentives for achieving higher levels of output. Systems G Free and complete health care is given to all the employees and the members of their families. . Scholarships and hostel accommodation allowance. The workmen in particular are given a copy of the certified Standing Orders precisely containing their general terms and conditions governing service conditions. All employees are paid much above the minimum wages prescribed from time to time.15.000/. The bond period is for three years or a nominal amount of Rs. A service bond is insisted upon from only such of those employees who have been specifically trained at the cost of the company for managerial positions. Systems G G G Printed copies of Service Regulations and other rules are distributed to all Units for reference and use by every employee. the minimum age prescribed and scrupulously followed is 18 years. Age verification is done with reference to approved documents in accordance with the practices prescribed by the Government of India. Workmen have the additional facility of overtime payment for working beyond the prescribed working hours. Performance during the year 2010-11 No form of forced or compulsory labour was resorted to.Annual Report 2010-11 Principle 4: Business should support the elimination of all forms of forced and compulsory labour Commitment NMDC stands committed not to resort to any form of forced and compulsory labour. G G G G G Actions G Appointment orders issued by the company very specifically state the various important conditions of appointment. Free schooling facilities are provided at projects. No employee is required to deposit any sum of money for employment in NMDC.(about US $ 350/-). Any employee joining the company should declare that he or she is not an insolvent. Principle 5: Business should support the effective abolition of child labour Commitment NMDC stands committed not to engage any child labour and do all that it can to abolish it from its surroundings. An Executive Handbook containing the rules and regulations of the company has been prepared and distributed widely. Actions G G All contractors are forbidden to engage child labour. etc. 72 G Skill development programme has been launched for training and increasing the employability of local qualified youth of adjoining villages of Bailadila projects by providing monetary and other assistance. are given for children's higher education. G For appointment in the company.
employment opportunity. both in recruitment and promotion. G Performance during 2010-11 G G G G G Total number of employees Scheduled Caste employees Scheduled Tribe employees Backward Class employees Men : Women ratio 6128 1102 1359 793 19:1 G 73 . promotion. race. caste. Unions and Associations representing the various levels of employees have easy access to the management to discuss and resolve discriminations. Actions G G The Industrial Engineering Department of the company periodically assesses and evaluates job contents and job requirements. quickly and effectively. under Article 15. if any. to be resolved quickly.NMDC Limited G Government enforcement agencies like Inspectors from Labour Department inspect the sites of construction to check for employment of child labour. Scheduled Tribe and Backward class. NMDC does not promote trade organisations engaging child labour. skill and experience required for candidates for recruitment and promotion at various levels. Systems G G The grievance procedure in the company is designed in a very simple and easy to handle way for the employees to get grievances. with G G Principle 6: Business should support the elimination of discrimination in respect of employment and occupation Commitment NMDC. NMDC is bound to follow the Government directives. As a Government company. etc. special provisions have been made in terms of the Government directives in respect of candidates belonging to Scheduled Caste. As a measure of protecting and improving the conditions of the downtrodden. Those found guilty are liable for punitive action by the Government. which are abundantly clear against any discrimination in any matters.recruitment. if any. G The Constitution of India. Performance during the year 2010-11 G G No child labour was employed by NMDC. No child labour was allowed to be employed by the contractors working for NMDC. by itself and as a Government company. stands committed to follow the policy of nondiscrimination in all matters . sex or place of birth. NMDC Recruitment and Promotion Rules provide for qualifications. unambiguously prohibits discrimination on grounds of religion. Records of the labourers engaged by the contractors are kept at worksites.
NMDC's four major production units at Bailadila Dep-5. and monitor facilities for prevention & control of air. headed by a General Manager has been positioned to extensively monitor and effectively implement environment management programmes. G G G . Promote environmental awareness amongst employees. Ecological studies duly supported by satellite data. explosives' G G Adopt safe. Corporate Environmental Policy states. This standard enables NMDC to manage its environmental impacts while adhering to the requirements not only of the standard itself but also to those of national and international norms. Separate Cells for production projects have been set up with qualified and experienced Environment Scientists/Engineers. NMDC has built the following programmes into the day-to-day working of the mines: G Environmental norms as laid down by the Ministry of Environment and Forests. The Research & Development Centre of NMDC is actively engaged in adding value to the waste generated in mining. lubricant oil. and interested parties through pro-active communication and training. Systems In order to ensure pollution-free environment. Panna are certified with 1S0 14001:2004 Environmental Management Systems. operate. legislation. work zone and ambient noise levels and soil quality. such as the 1S0 14001 standard. fuel oil. water. like micrometeorology. Donimalai Iron Ore Project and Diamond Mining Project. ambient air quality. Install. We shall therefore endeavour to: G G Remain prepared and respond effectively to all foreseeable emergency situations. Bailadila Dep14/ 11C. Conserve the natural resources by ensuring minimum wastage of our product "iron ore and diamond". and paper. and regulations. and the State and the Central Pollution Control Boards are meticulously followed. Majhagawan. NMDC Ltd believes in maintaining ecological balance and NMDC is committed to ensure that its environmental systems and practices are aligned with international best practices. Detailed Bio diversity and Socio-Economic studies. 74 G G G G Actions G G G A separate department for environment management. scientific and environment friendly methods of mining and allied activities and firmly committing ourselves for total compliance of all applicable environmental laws. and land pollution. reclamation of waste rock dumps and mined out areas. Protection measures for magazines at the projects. Maintain the machineries in excellent condition to ensure minimum impact of their operation on environment. Disaster Management Plans for the tailing dams at the projects. Regular physical monitoring for all environmental parameters. water. local community.Annual Report 2010-11 Principle 7: Business should support a pre-cautionary approach to environmental challenges Commitment As a responsible corporate citizen. It also forms the foundation for continuous improvement in environmental performance. optimum consumption of electricity. Environment up gradation works like massive afforestation. surface and ground water quality and ground water levels.
Environmental Appraisal Committee for Mining for issuance of Environmental Clearance meeting was held on 23rd March 2011 and members sought additional information which has been submitted on 30th April 2011 to Ministry of environment and Forest for re-consideration in May 2011 for issue of Environment Clearance. Stabilization of all the passive waste rock dumps and mined out areas. CO. etc to avoid water pollution.NMDC Limited G Expert organizations in the area have been engaged to measure and report periodically the various parameters.5. NOx. on regular basis following the statutory acts and their amendments of the GOl viz. Undertake peripheral village community development works like improving roads.. extending schooling and medical facilities available in the project townships to the local people including adivasis as well. Restricting use of forestlands to the barest minimum level. densify open scrublands. 75 Creating environment awareness amongst all the employees and their children and the local population through celebration of Mines Environment & Mineral Conservation (MEMC) week under the aegis of Indian Bureau of Mines & World Environment Day celebrations. and follow avenue plantation practices for improving the overall environment as well as aesthetic value. Create green belts. constructing school buildings. Obtaining forestland clearances for renewal / fresh grant of mining leases. GOI Regional offices and annual environmental audit reports to respective state pollution control boards. to minimize land erosion. Obtaining environmental clearances for new / expansion projects from central Govt. community halls. Monitor all environmental parameters such as PM2. dust fall rate in ambient air. biological reclamation of mined out areas and waste rock dumps.. Construction of check dams. Basic and refresher Training of employees for environmental consciousness by conducting regular classes under mines Vocational Training Rules. Regular water sprinkling and grading of haul roads. Preparation and timely submission of sixmonthly reports to MOEF. Constructing ameliorative measures like buttress walls. tailing dam discharge water etc. Importance of value index of the region is envisaged and also to eradicate effects of visual intrusion by proper land scaping. Auto shops. Massive afforestation drive through social forestry division of the local forest department. G G G G G G G G G G G G G G G Performance during the year 2010-11 G G Environmental clearance for Capacity Augmentation of Screening Plant at BIOP Dep14/11c Project Kirandul complex is pending due to Forest clearance. Obtaining consents for establishment and operation of mines / plants from the respective state pollution control boards. etc. G Pollution control measures cover G Judicious and scientific planning of direct excavation. G G . discharge water from auto shops and service centers. distributing books and stationery. waste rock dumping and sitting infrastructure areas. Effluent Treatment Plant. scientific and massive afforestation for abating air pollution. Regular maintenance of Heavy Earth Moving Machineries and OCSL Plant equipments and adopting good house keeping practices thereby reducing noise pollution. good arboriculture. Sewage Treatment Plant for treating effluents from service centers. Providing safe drinking water to the township dwellers and extending drinking water supply to population of neighbouring villages. water quality as per IS standards in respect of oxidation pond. SO2. digging contour trenches.
Environmental clearance for 3 MTPA of Arki Limestone Project was received on 20th December 2010.124 MTPA Magnesite and 0.796 Ha for mining (Area to be mined from waste dump 3. Water used for washing of ore is reclaimed for re-use.03MTPA DBM Plant at G Panthal was held on 23rd February 2011 at Ministry of Environment and Forest New Delhi. Distributed/displayed printed copies of the Environmental Policy of the Company among its employees and local communities. 76 . Environmental appraisal Committee meeting in respect of Bailadila Dep-13 project was held on 24th February 2011 and members recommended for grant of Environment Clearance which is awaited.018Ha) Lease valid upto 30th June 2010. Ministry of Environment and Forest. Jagdalpur. and 'Diamond'.30 Ha. 'We shall therefore endeavour to: G G Training programmes are arranged for employees on environmental awareness. Actions G NMDC is implementing ISO 14001:2004 environment systems management standard in its major production mines. local communities and interested parties through pro-active communication and training. NMDC's Environmental Policy states. Bhopal vide letter dated 17th May 2010 accorded final Forest Clearance for setting up of 3 MTPA Integrated Steel plant at Nagarnar.018Ha for 2nd renewal of Supplementary ML over an area of 162. Remain prepared and respond effectively to all foreseeable emergency situations. The mines of NMDC participate in competitions on environment management. Received 1st stage Forest clearance from Ministry of Environment and Forest on 23rd November 2010 for change in land use of Dep14 ML for an area of 25.631 Ha (Govt. from infrastructure facilities 7. Conserve the natural resources by ensuring minimum wastage of our product 'Iron Ore'. Promote environmental awareness amongst employees. thereby reducing the draw of electricity from the main grid at its projects in Bailadila and Donimalai. Environmental Appraisal Committee meeting in respect of Chipprian Magnesite Mine.' G G G G G Systems G G Environmental aspects are carefully considered and appropriately incorporated at the planning stage of a project itself. Private Land: 88.265`Ha).231Ha & from afforested area 15. optimum consumption of electricity. G G G G Principle 8: Business should undertake initiatives to promote greater environmental responsibility Commitment NMDC stands committed to promoting greater environmental responsibility in mining and processing of minerals in its mines for sustained development.988Ha. Panthal for production of 0.613 Ha & Forest land: 74. fuel oil. Chhattisgarh. lubricant oil and water. EAC recommended for Environmental Clearance subject to submission of permission copy from National Board for Wild Life. The electricity generated in the downhill conveyors is fed back into the grid.Annual Report 2010-11 G Obtaining forest clearance for 74. Land: 15.
G G G Performance during the year 2010-11 G Systems/Actions G Dust collectors are provided to the drills to control fugitive emissions at source. Jet sprinklers are provided at all strategic and transverse points to control dust during crushing and transportation of ore at the plant. Rubber screens and rubber linings are provided at transfer points and along conveyor system to control noise and dust generation.m and carbon monoxide was observed to be below the detectable limit of the approved instruments. G The adoption of environment-friendly technologies is making NMDC more efficient in controlling various types of pollution well within the prescribed limits and improving the health of employees and the members of their families. scientific and environment-friendly methods of mining and allied activities and timely committing ourselves for total compliance of all applicable environmental laws. G Adopt safe. Maintain the machineries in excellent condition to ensure minimum impact of their operation on environment. NMDC's Environmental Policy states. fair and transparent decision making and gives priority to preventive vigilance. 'We shall therefore endeavor to: G G Main mine haul roads air regularly graded and water mixed with additives is sprinkled to suppress dust. the values actually encountered at NMDC's mines were less than 30 microns per cu. About 25% of the annual consumption of different lubricants in NMDC mines was disposed of to agencies duly authorized for recycling as per HWM Rules and its amendments issued by the Ministry of Environment and Forests.NMDC Limited Performance during the year 2010-11 G G As against the permissible limit of 120 microns per cu m of SO2 and Nox in ambient air. with proactive attitude. including extortion and bribery Commitment Vigilance Department guides and facilitates for impartial. Closed conveyor belt system is provided to control dust generation and spreading during ore transportation. 77 Systems G A full-fledged Vigilance Department is at the Corporate Office headed by Chief Vigilance Officer and assisted by Vigilance Officers at the projects. Principle 9: Business should encourage the development and diffusion of environmentally friendly technologies Commitment NMDC stands committed to encouraging the development and diffusion of environment-friendly technologies. Government of India. Wet drilling is adopted to mitigate the effect of dust on the work force. Principle 10: Business should work against corruption in all its forms. .
As part of this. Various competitions. implementation of epayment etc.000/. G G Pending disciplinary/CTE/CBI cases were reviewed in the quarterly meetings of CVOs held at Head Office. Performance during the year 2010-11 G G Vigilance Department in NMDC has laid lot of emphasis during the year 2010-11 on preventive vigilance. Foreign travels by employees are also monitored. Accordingly. Vigilance Department is playing productive role of continuous improvement and simplification of systems and procedures to facilitate faster and effective decision making in a transparent manner. But in the case of Immovable property irrespective of its value.Annual Report 2010-11 G The Chief Vigilance Officer has the equal status of Functional Director of the Company. prior permission to be obtained before acquisition.50. Employees are required to furnish the information regarding acquisition / disposal of movable and immovable property.in case of executive and Rs. The progress on vigilance activities and disciplinary cases were appraised through a Note to Board of Directors for review on half yearly basis. Various Manuals like Personnel. Vigilance cases are monitored by the Vigilance Officers under the guidance of CVO. The reports received were discussed in detail and improvements in systems/procedures were suggested. On-line system has been provided in the Company's website for lodging of complaints and submission of Annual Property Returns by all the executives. Vigilance Awareness Period was observed in the Corporate Office and all units of NMDC. were taken for timely completion of inquiries and awarding penalties. seminars and lecture programmes were arranged to create awareness of Vigilance amongst the employees and their families. The Vigilance Department ensures the rotation of staff posted in sensitive posts in order to see that vested interests are developed. The Chief Vigilance Officer has been nominated as the 'Nodal Authority' to receive complaints.in case of workmen to be intimated to Vigilance Department within 30 days from the date of its acquisition.35. Works and Contracts Manuals are under finalisation and Materials Manual is updated at regular intervals. The executives have to submit Annual Property Returns every year as on 1st January.000/. the Vigilance Department took initiative to take up the following works. regular checks CTE type inspections and other major vigilance investigations are carried out based on the strength of complaint/ source information. As per CDA Rules of the Company acquisition of movable property exceeding Rs. G G G G G G G G G Actions G Action Plan for the year 2010-11 was finalized wherein various vigilance activities were carried out by the Vigilance Officers. Surprise. are taken up as part of preventive vigilance. banning of negotiations with L1 party. Surprise and regular checks were carried out every quarter in the year 2010-11 and the deficiencies and deviations from the procedures wherever noticed brought to the notice of Management for corrective action. He is appointed by the Government of India on deputation. and follow-up actions 78 . Various Training Programmes were conducted for employees/Executives Trainees as preventive Vigilance. procurement and awarding of contracts on single tender / nomination basis. G G G Many system improvements such as modification of proprietary certificate.
In more than 90% of the G G G G G G G The Vigilance Department also renders advice on various issues whenever it is approached. NMDC has implemented Integrity Pact since November. NMDC Limited is leveraging technology to bring in transparency in all its transactions. In addition.270 crores. The award of works on nomination basis has also been drastically reduced.NMDC Limited G The vendors list is updated by inviting applications on a continuous basis. Provision for on line application for registration of vendors / contractors. the Integrity Pact has been adopted in 39 contracts with a value of Rs. The process of awarding rate contracts has been regularised. During the year 2010-11. The details of bill payments to contractors. The following information is provided in the Company's website on continuous basis: All the NITs and limited tender enquiries above Rs.10 lakhs. NMDC has already taken steps for e-procurement. the payments are made through epayments and all the auctions for sale of diamonds and scrap are done through electronic mode. Surprise Checks Regular Inspections CTE type Inspections File Studies 176 102 16 102 G G G G G G G Details of all the single tenders awarded where the value is more than Rs. 93% of the contracts have been brought under the ambit of Integrity Pact.0 lakhs. Details of the Contracts concluded above Rs. the Vigilance Department conducted the following studies and inspections. The Vigilance Department studies various tenders on a continuous basis and has improved the tender procedures. G G G G cases. During the year. Bangalore. 2007 in order to maintain transparency in all its dealings with contractors and vendors. NMDC Recruitment and Promotion Rules have been revised in line with CVC circulars. Vigilance Department in NMDC is certified under ISO 9001:2008 conforming to the Quality Management System. Details of all works awarded on nomination basis. It has been certified as per ISO standards since October. 79 . 2006 by Integrated Quality Certification Private Limited.30 lakhs.1.9. Till date.
17 5207.14 1669.17 45.97 15.27 2331.per share and 80 39.20 1176.71 8265.42 -3.47 396.78 1923.07 14255.13 0.55 PROFIT 1 Profit before depreciation.45 16.63 568.80 10865.58 1411.16 272.33 62. Equity share splitted from Rs.14 1399.15 2.39 13.75 774.90 127.32 -18.57 2.56 @ Production figures as per Balance Sheet.74 Bonus shares issued in the ratio of 1:2.37 148.44 4.46 3872.09 1.85 48825 23.70 1293.66 1164.16 132.49 1178.48 0.751245.39 8.44 432.31 5 Taxes 3227.22 20.22 2.20 24.1/.75 12.88 -84.00 462.10 866.84 8 Current Liabilities 1780.00 22.06 504.16 4742.33 468.13 1223. 9848.16 1512.84 53.75 1.84 4.49 5668.34 340.88 4.96 29.75 58.17 12687.32 132.34 28.78 22.20 651.49 4.10 11352.32 1259.69 11. .Annual Report 2010-11 Ten Years Performance Operating Statistics: Production @ 1 Iron Ore (WMT) (in million tonnes) 2 Diamonds (Carats) 3 Sponge Iron (in tonnes) Sales 1 Iron Ore (WMT) (in million tonnes) 2 Diamonds (Carats) 3 Sponge Iron (in tonnes) Financial Statistics: Income 1 Sales Iron Ore 2 Sales Sponge Iron 3 Sales Diamonds 4 Sale of Power 5 Sales Others 6 Income from services 7 Other Income 8 Stock Adjustments (Rs.43 1268.31 111.01 -26.53 465.15 99.46 388.79 5007.93 16529.94 0 3.92 43878 20.17 1421.60 7559.64 9.96 11240.16 73.39 1177.28 77.83 112.27 1.24 2804.76 417.06 2275.94 87.22 39775 24.10 5774.69 199.97 861.63 312.32 6648.15 537.95 56.91 1170.02 8282.51 14588.04 670.11 2883.23 0 1703.70 5525.63 84348 81251 26.27 34.03 245.33 Interest & Taxes 2 Depreciation 121.96 78217 71163 16.77 3 Gross Fixed Assets 2272.61 11771.16 2471.98 42.65 616.59 0 2631.70 113.77 1966.44 100.90 8076.66 86257 84097 19.49 670.95 1760.16 132.60 10 Captial Employed * 18490.94 -17.98 1827.22 3447. * Excludes Investments.78 6.80 6 Capital Work-in-Progress 677.00 4 Profit before tax 9727.32 18421.00 24.47 66.90 8575.30 625.92 3669.36 1893.50 138.51 17.15 1.18 25.48 6721.16 120.32 2.10 6 Profit/Loss after depreciation 6499.19 FINANCIAL POSITION 1 Equity (^) 396.87 194. in Crore) 2010-11 2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 25.90 5 Other Assets (intangible) $ 14.53 301.54 3.78 1148.82 1771.) (^) 16.10/.46 6412.93 105.47 132.47 3498.56 60 80.99 175.53 354.25 39.11 5705.07 97.85 1457.15 4 Net Fixed Assets 1099.75 10.20 365.39 30.82 36.23 4947.) (^) 48.93 113.10 13703.60 35.18 942.08 285.92 5.52 73.71 884.98 2.82 26.44 574.39 256.47 396.26 787.39 107.00 0 2770.69 63.69 2568.27 374.19 7098.80 23.19 31.17 -6.47 2180.74 17.52 1532.47 28.21 Interest & Taxes 7 Dividend 1308.38 3250.40 436.93 966.00 0.98 3.65 33.17 33.85 1696.13 6.55 26.21 183.87 2475.29 248.40 1304.19 454.69 43.43 35.17 561.16 23.97 7 Current Assets 19171.741332.80 755.64 53.30 46.16 2 Reserves & Surplus 18818.49 31.52 0 29.82 876.44 8157.98 3984.02 420.35 693.10 757.87 -1.22 0 0 0 0 0 0 0 0.56 572.88 -58.62 19.00 5613.69 5280.36 9 Deferred Tax Asset -102.16 3882.04 132.05 13875.38 11 Net Worth 19200.00 3.34 2.27 807.56 14263.62 2.81 1591.95 38.81 6222.96 1148.68 -12.21 38962 26.26 4372.98 6.16 132.64 675. (^) During 2008-09.04 -6.09 7335.50 1205.82 1287.83 57.58 1821.65 11614.68 530.72 1347.91 13 Earning per share (Rs.02 3 Interest 0.98 2320.41 132.07 343.28 0 0 0.per share to Rs.16 29.281092.13 12 Book value per share (Rs.46 70787 76944 11285.16 32. $ Includes Expenditure on Feasibility studies from 1999-00 to 2003-04.47 3578.65 2.01 4534.57 151.04 3915.32 4170.15 746.08 0.
82 693.Dividend TOTAL F . Society .62 5.46 2009-2010 81 .04 72.25 6.35 11.46 5.49 2.157 159.308.35 1.877. Re-investment in the Business Depreciation Operational Profit TOTAL Total Value Distributed Average Number of Employees Value added per employee (Rs.01 -971.35 693.440.25 6.792.427.33 3.12 -620.689.Corporate Social Responsibility Govt.18 4.63 131. Suppliers of Materials and Services Stores & Spares Selling Expenses Others (Net of Miscellaneous Income) TOTAL C.50 418. in lakh) 126.Income Tax Providers of Capital Shareholders . Employees Payments & Benefits B.58 1.800 93.29 5.NMDC Limited Value Added Statement for the year 2010-11 (Rs.16 37.308.80 9. Power & Water charges.792.82 135.80 2.107.90 242. D.18 71. Royalty & Freight Total Value Added HOW VALUE IS DISTRIBUTED: A.43 140.482.93 -349.20 1.11 1.19 809.07 -593.98 491.86 9.73 5.715.642.981.427.Payments . in crore) 2010-2011 HOW VALUE IS GENERATED: Value of Production Less : Direct Material.237. E.
Lalapur. (d) In our opinion. We conducted our audit in accordance with the auditing standards generally accepted in India. We believe that our audit provides a reasonable basis for our opinion. proper books of account as required by law have been kept by the company so far as appears from our examination of those books and proper returns adequate for the purpose of our audit have been received from the branches not visited by us. Further to our comments in the Annexure referred to above. 1. Sponge Iron Unit and R&D Labs audited by us. Profit and Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards significant statement examining. 82 . into which are incorporated the accounts of Seven Projects / Units audited by Branch Auditors and in respect of Head Office. As required by the Companies (Auditor's Report) Order. The Branch Auditors Reports have been forwarded to us and have been appropriately dealt with. 2003 issued by the Government of India in terms of sub-section (4A) of Section 227 of the (b) In our opinion. Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the books of account and with the audited returns from the Projects / Units. the Balance Sheet. to the extent applicable. and An in audit the includes financial (c) The Balance Sheet. we report that: (a) We have obtained all the information and explanations. Companies Act. and the cash flow statement for the year ended on that date. on a test basis. These financial statements are the responsibility of the Company's management.Annual Report 2010-11 Auditors’ Report To The Members NMDC Ltd We have audited the attached Balance Sheet of NMDC LIMITED (The company) as at 31st March. 2011 and also the Profit and Loss Account of the Company for the year ended on that date annexed thereto. as well as financial presentation. which to the best of our knowledge and belief were necessary for the purposes of our audit. evidence supporting the disclosures used statements. Our responsibility is to express an opinion on these financial statements based on our audit. 1956 we enclose in the Annexure a statement on the matters specified in paragraphs 4 & 5 of the said Order. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material amounts misstatement. An audit also includes assessing the accounting evaluating principles the overall and estimates made by management.
1956 in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India: (i) In the case of the Balance Sheet. (f) The company has provided for cess under section 441A of the Companies Act.2011. of the cash flows for the year ended on that date. 1956. Notes forming part of accounts. 1956 but the same has not been deposited. and (iii) In the case of the Cash Flow Statement. pending notification specifying the manner of payment. (g) We invite the attention of members to the impact on the accounts.NMDC Limited referred to in sub-section (3C) of Section 211 of the Companies Act. Chartered Accountants Department of Company affairs vide the notification No. of the state of affairs of the company as at 31.24 give the information required by the Companies Act. of the profit for the year ended on that date. consequent to the change in accounting policies described in Schedule-24. For RAMAMOORTHY (N) & Co. the said accounts read with the Significant Accounting Policies and Notes forming (CA Surendranath Bharathi) Partner Membership No. (h) In our opinion and to the best of our information and according to the explanations given to us.03. (e) The Company has informed that part of accounts appearing in Schedule No. GSR 829(E) dt 21st October 2003 notified that Section 274(1)(g) of the Companies Act 1956 is not applicable to the Government Companies.. Hence Clause regarding disqualification of directors is not applicable.23837 FRN No: 002899S Place : New Delhi Date : 27-May-2011 83 . (ii) In the case of the Profit and Loss Account.
On the basis of information and explanations given to us. 1956 (The Act). the frequency of verification is reasonable. According to the information and explanations given to us. the Company has neither granted nor taken any loans secured or unsecured to/ from Companies. (c) According to the information and explanation given to us. the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business. firms or other parties covered in the register maintained under section 301 of the Companies Act. (c) During the year. (ii) In respect of Inventories: (a) The inventory has been physically verified by the management during the year applying ABC system except the inventory with Third parties. is reasonable having regard to the size of the Company and the nature of its assets. hence clauses iii (a. (iii) According to the information and explanations given to us. there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory. that disposal of the part of fixed assets has not affected the going concern status of the Company. As there are no such contracts or agreements. In our opinion and according to the information and explanation given to us. (b) In our opinion and according to the information and explanation given to us. e. the Company has not accepted any deposits from the public within the meaning of Sections 58A and 58AA or any other relevant provision of the Act and the rules framed there under. No material discrepancies were noticed on such verification. In respect of Statutory Dues: (iv) (v) (vi) (vii) (viii) (ix) 84 . fixed assets and with regard to sale of goods and services. During the course of our audit. we are of the opinion. in our opinion. there are no contracts or agreements that need to be entered into the Register maintained under section 301 of the Companies Act. d. The maintenance of cost records under Section 209(1)(d) of The Act has not been prescribed by the Central government for the products of the Company. The Company has an internal audit system commensurate with the size and nature of its business. b. Clause (b) of paragraph 4(v) is not applicable. we have not observed any continuing failure to correct major weaknesses in internal controls. (b) All the assets have not been physically verified by the management during the year but there is a regular program of verification which. the Company is maintaining proper records of inventory. few fixed assets have been disposed off by the Company.Annual Report 2010-11 Annexure to Auditor’s Report Re: NMDC LIMITED [Referred to in our report of even date] (i) In respect of Fixed Assets: (a) The Company is generally maintaining proper records showing full particulars including quantitative details and situation of fixed assets. The discrepancies noticed on physical verification of inventory as compared to book records were not material. c . In our opinion. In our opinion and according to the information and explanations given to us. f and g) are not applicable. 1956.
2005 The Chhattisgarh Sthaniya Kshetra Me Mal Ke. Raipur Dy. Warangal 28. Bade Bacheli CG VAT Act. Pravesh Par Kar Adhiniyam. Wealth tax. no undisputed amounts Name of the statute/ Authority Nagar Palika.93 0.01 0. Conservancy Tax. Kirandul Nagar Palika.89 0. 2005 CG VAT Act. Cess and other material statutory dues applicable to it.Conservator of Forests. Sagar High Court of Chhattisgarh Dy. Sales tax.03. Customs duty. Sales-tax. Excise duty and Cess were in arrears.Commissioner (Appeal) Commercial Tax. Warangal ADC.60 0.Commissioner of Commercial Tax (Appeal). ADC. 1976 Karnataka Forest Tax Act. Employees' state insurance. the company is generally regular in depositing with appropriate authorities undisputed statutory dues including Provident fund. (b) According to information and explanation given to us. Entry Tax. Road Tax and Property Tax which are not deposited on account of dispute which are as follows: Forum High Court. Hospet Madhya Pradesh State Govt. Raipur Dy.19 0.67 0. Property Tax. Service tax. 1994 Nagarpalika.NMDC Limited (a) According to the information and explanations given to us and the records of the company examined by us. Investor education and protection fund. Bellary Deputy Commissioner of Commercial Taxes. Raipur Amount (Rs.40 0. there are dues of Forest Development Tax.Commissioner (Appeal) Commercial Tax.96 SEP-1977 to AUG-2005 2004-05 2006-07 85 0.47 1. Export Tax. Service tax. Sales Tax. Custom duty.02 . In Crores) 10.26 0. 1963 Karnataka Sales Tax Act. Kirandul MP Commercial Tax Act. 1957 Karnataka Motor Vehicle Taxation Act 1957 MMDR Act APGST AP VAT Nature of dues which relates Export tax Conservancy tax Commercial Tax Export Tax VAT CST Entry tax Period to which it relates 1995-96 to 2003-04 1997-98 to 2005-06 1997-98 2001-02 2003-04 May 2001 to July 2002 2006-07 2006-07 2006-07 payable in respect of Income tax. Excise duty. Income-tax. Chhattisgarh High Court. as at 31.17 0. (c) According to the information and explanations given to us. Bellary Regional transport officer. Chhattisgarh Dy.19 Forest Development Tax Tax on REP licenses Road tax on dumpers Royalty Sales tax VAT August 2008 to March 2011 1991-92 to 92-93 2003-04 Dy.2011 for a period of more than six months from the date they became payable. Wealth tax.Commissioner (Appeal) Commercial Tax.
Accordingly the provisions of clause 4(xii) of the Companies (Auditor's Report) Order. (xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the Company. 2003 are not applicable to the Company.. the provisions of clause 4(xi) of the Companies (Auditor's Report) Order. (xix) According to the information and explanation given to us. Therefore. According to the information and explanation given to us. the provisions of clause 4(xx) of the Companies (Auditor's Report) Order. we report that the no funds were raised by the Company. According to the information and explanations given to us.Annual Report 2010-11 (x) In our opinion. 2003 are not applicable to the Company. 2003 are not applicable to the Company. debentures and other investments. the provisions of clause 4(xiv) of the Companies (Auditor's Report) Order. 2003 are not applicable to the Company. In our opinion. the Company has not made preferential allotment of shares to parties and Companies covered in the register maintained under Section 301 of The Act. the Company has not raised any money by public issues during the year. no fraud on or by the Company has been noticed or reported during the course of our audit. (xviii) According to the information and explanation given to us. Bank and has not issued any debentures. Therefore. the Company has not given any guarantees for loans taken by others from banks or financial institutions.2011 and it has not incurred any cash losses in the financial year ended on that date or in the immediately preceding financial year. the Company has no accumulated losses as at 31. the Company has not issued any debentures. the provisions of clause (xvii) of the Companies (Auditor's Report) Order. According to the information and explanations given to us. Therefore. the Company has not granted loans and advances on the basis of security by way of pledge of shares. Accordingly.03. Chartered Accountants (xi) (xii) (xiii) (xx) (xiv) (xxi) (xv) (xvi) (CA Surendranath Bharathi) Partner Membership No. the Company has not taken any loans from financial Institution. the provisions of clause 4(xix) of the Companies (Auditor's Report) Order. 2003 are not applicable to the Company. According to the information and explanations given to us. In our opinion and according to the information and explanation given to us. In our opinion and according to the information and explanation given to us. the provisions of clause 4(xiii) of the Companies (Auditor's Report) Order. the provisions of clause 4(xviii) of the Companies (Auditor's Report) Order. For RAMAMOORTHY (N) & Co. 2003 are not applicable to the Company. 2003 are not applicable to the Company. securities. 2003 are not applicable to the Company. the Company has not obtained any term loans. the Company is not dealing in or trading in shares. debentures and other securities.23837 FRN No: 002899S Place : New Delhi Date : 27-May-2011 86 . Accordingly. the company is not a chit fund or a nidhi / mutual benefit fund/society. Accordingly. In our opinion. 2003 are not applicable to the Company. the provisions of clause 4 (xvi) of the Companies (Auditor's Report) Order. Accordingly. Therefore.
I. 1956 are responsible for expressing opinion on these financial statements under Section 227 of the Companies Act. Hyderabad for the year ended 31 March 2011. Audit Board. 1956 of the financial statements of NMDC Limited. Place : Hyderabad Dated : 13 June 2011 87 . on behalf of the Comptroller and Auditor General of India. This supplementary audit has been carried out independently without access to the working papers of the statutory auditors and is limited primarily to inquiries of the statutory auditors and the company personnel and a selective examination of some of the accounting records.N. 1956 ON THE ACCOUNTS OF NMDC LIMITED. 1956 based on independent audit in accordance with the auditing and assurance standards prescribed by their professional body. On the basis of my audit nothing significant has come to my knowledge which would give rise to any comment upon or supplement to statutory auditors’ report under section 619(4) of the Companies Act. 1956. have conducted a supplementary audit under section 619(3)(b) of the Companies Act.NMDC Limited COMMENTS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA UNDER SECTION 619(4) OF THE COMPANIES ACT. For and on behalf of the Comptroller and Auditor General of India Y. Hyderabad. This is stated to have been done by them vide their Audit Report dated 27th May 2011. 1956 is the responsibility of the management of the Company. Thakare Principal Director of Commercial Audit & Ex-Officio Member. Hyderabad for the year ended 31 March 2011 in accordance with the financial reporting framework prescribed under the Companies Act. HYDERABAD FOR THE YEAR ENDED 31 MARCH 2011 The preparation of financial statements of NMDC Limited. the Institute of Chartered Accountants of India. The Statutory Auditors appointed by the Comptroller and Auditor General of India under Section 619(2) of the Companies Act.
In respect of those projects under construction necessitating selection of a different technology than originally envisaged. 2. such asset is shown at a nominal value of Re. The rates are equal to or higher than those prescribed in Schedule-XIV to the Companies Act.3 3. are capitalised and depreciated from the date of acquisition over the balance useful life of the respective assets.04. BASIS OF ACCOUNTING The Company prepares its financial statements as a going concern. all administrative expenses incurred during the period of delay in the construction and commissioning of facilities beyond the period contemplated by Detailed Project Report are similarly treated as revenue and charged to the Profit & Loss Account.5 2.4 during the year taking the first day of the month for acquisition / commissioning and the last day of the month for disposals.4 2. the cumulative administrative expenses incurred on such projects having no other useful purpose till the date of the decision to go in for the new technology are charged to the profit and loss account for the year during which the relevant decision is 3.1 3. 1.3 In respect of additions forming an integral part of an existing asset.3 2. EXPENDITURE DURING CONSTRUCTION: Development expenses (pre-construction period expenses) and Expenses on removal of overburden and preparation of mining benches are amortized in ten annual instalments from the date of commencement of production. B. The Insurance Spares which can only be used in connection with an item of Fixed Asset and whose use is expected to be irregular. where the grant received is equal to the cost of the asset. Depreciation is charged on pro-rata monthly basis on additions / disposals of assets 88 2. However. under historical cost convention and on accrual basis.1/. In the case of assets acquired before 01. The life of the assets constructed on leasehold land is restricted to the lease period except in case of mining projects.2 1.1987 depreciation is continued to be provided at the rates based on the lives adopted earlier.2 BALANCE SHEET FIXED ASSETS: Fixed Assets are stated at historical cost.1 1. 2. depreciation is charged over the remaining useful life of the asset. in accordance with the generally accepted accounting principles. Assets acquired / constructed by the Company with the subsidy sanctioned by Iron Ore Mines Labour Welfare Cess Fund are capitalised to the extent of cost to the Company. Cost of leasehold land is amortized over the period of lease. However. 1956. Expenditure incurred on supervision during the construction period in respect of projects for expansion of existing facilities or creation of new facilities are treated as period costs and charged to revenue. The fixed assets acquired against Govt.2 . for the reasons beyond the control of the management. In case the asset is already fully depreciated. DEPRECIATION: Depreciation is charged on straight-line method based on the life of the assets determined by technical assessment.Annual Report 2010-11 Significant Accounting Policies A.1 1. such additions are depreciated in full. 3. Grants are shown in the Balance Sheet after deducting the grant received. 1.per asset. Further. the work-in-progress and the subsidy thereon are shown separately till capitalisation.
Canteen. Hospital stores and lab stores (excluding for R & D Lab): charged off to Revenue on procurement. Further.8. 5.7 5. 89 6. However. The exchange difference in each financial year.2 5. up to the period of settlement is taken to profit & loss account. INVESTMENTS: Long-term investments are stated at cost. Cotton Waste. 4. embedded ore and slimes in case of Iron Ore.3 . other than temporary. 5.8.NMDC Limited taken.1 Stock of run of mine ore. Fixed Assets are translated at the exchange rates on the date of transaction. the cumulative administrative expenditure incurred on such projects up to the date of abandonment are charged to the profit and loss account during the year of abandonment. 6. on an individual investment basis. At cost. Stationery. 6. The monetary items in foreign currencies are translated at the closing exchange rate on the date of balance sheet and gains / losses thereon adjusted in the Profit & Loss Account.8.4 Finished Goods Work-in-process Raw materials Stores & Spares : : : : At cost OR Net Realisable value whichever is lower. 3.1 FOREIGN CURRENCY TRANSACTIONS: Foreign Currency Transactions are accounted for at the exchange rates prevailing on the date of transactions.4 In the case of projects abandoned in the mid way due to unforeseen circumstances beyond the control of the management. 5.6 5.2 6. INVENTORIES: Items of inventories as certified by the Management are valued on the basis mentioned below: 5. A provision for diminution is made to recognise the decline in value. 5.3 Partly used stores and spares kept in stores.8 No credit is taken in the Accounts in respect of : 5.2 Stock of run of mine ore generated during construction period pending assessment of quality and saleability. 5. At cost OR Net Realisable value whichever is lower. At cost on weighted average method. At cost on weighted average method.4 Surplus/Obsolete stores and spares determined and not disposed of.1 per unit. Medical. 5. all administrative expenses incurred on such projects subsequently till the new technology is identified are also treated as revenue and charged to the profit and loss account of the year in which they are incurred.8.3 5. At cost on weighted average method.5 Stores & spares not moved for 5 years and above and identified as obsolete by technical assessment Stores-in-Transit Loose Tools & Implements : : : At Re.1 5. School stores.
3 2. 3.Annual Report 2010-11 7. 90 2. The liability is remitted to a Fund maintained by LIC. monthly payments are made till the normal date of retirement to the family members of those employees who are discharged from service due to medical reasons or death. 7.1 .1 GENERAL: Research & Development Expenditure: The expenditure on Fixed Assets relating to Research & Development is capitalized and depreciated in the same method as any other assets of the Company. 2.4 Accrued Leave Salary: Liability towards Accrued Leave Salary. Settlement Allowance and Post Retirement Medical Facilities to employees as at the end of the year is recognized on the basis of actuarial valuation.2 Mine Closure Obligation: The liability to meet the obligation of mine closure and restoration of environment as per Mines & Minerals (Development and Regulation) Act 1957 (MMDR 1957) at the time of closure of the mine has been estimated on the basis of technical assessment and charged to Profit & Loss account on the basis of Run of Mine ore production of the mine.1 GRANT-IN-AID: The grant-in-aid received from Government of India for feasibility studies and the expenditure incurred thereon are shown separately until the feasibility expenditure is adjusted against the grant on fruition or abandonment of the feasibility study. which has taken a Group gratuity policy with LIC. 2. 1. PROFIT & LOSS ACCOUNT REVENUE RECOGNITION: Export sales: Export sales are recognized on the date of Bill of Lading.1 1.2 C. Obsolete Stores & Scrap: Income is accounted on realization basis in respect of Used / surplus/obsolete/unserviceable materials/ waste products and scrap. final adjustments are made in the year of receipt of discharge port analysis. Other Benefits: Liability towards Long service award. on deposit of the amount envisaged in the scheme and liability for the payments are accounted for on the basis of actuarial valuation and the amount is administered by a separate trust. 1. EMPLOYEES BENEFITS: Payments under Employees' Family Benefit Scheme: Under the NMDC Employees' family benefit scheme. Demands made by the Trust including the annual contribution and risk premium for the future service gratuity of the LIC policy are charged to Profit & Loss Account. 2.3 Gratuity: Gratuity payable to eligible employees is administered by a separate Trust.5 2. Other Research & Development expenditure of revenue nature incurred during the year is charged of to Profit & Loss Account. as at the end of the year is recognized on the basis of actuarial valuation and the amount is administered by a separate trust. 3. The grant-in-aid received from Government of India in respect of Research & Development is shown after adjusting the amounts utilised. Such amounts towards Settlement Allowance and Post retirement medical benefits are administered by a separate trust.2 1.2 Leave Travel Concession: (Encashment / Availment): Liability towards encashment / availment of Leave Travel Concession is accounted for on the basis of actuarial valuation. 3. 7. However. Domestic sales: Domestic sales are accounted on the date of Railway receipt / Lorry receipt / Delivery challan.
000/.in each case arising out of errors and omissions are accounted as prior period adjustments.00.NMDC Limited 3.3 Pre-paid Expenses: Expenses are accounted under prepaid expenses only where the amounts relating to unexpired period exceed Rs. Subject to our Report of even date For Ramamoorthy (N) & Co. 23837 Firm Regn no: 002899S (S. 3. In case of other Insurance .on the basis of Survey reports received. 3. Differences between insurance claims accounted for and actual receipt are accounted as Miscellaneous Expenditure / Income in the year of settlement.2. Chartered Accountants For and on behalf of the Board (CA.THIAGARAJAN) Director (Finance) (RANA SOM) Chairman-cum-Managing Director (KUMAR RAGHAVAN) Company Secretary Place : New Delhi Date : 27-May-2011 91 .4 Prior period adjustments: Income/Expenditure relating to prior period of over Rs 2.000/.00.SURENDRANATH BHARATHI) Partner Membership No.in each case.5 Insurance Claims: Insurance claims are accounted as under: In case of transit insurance-on the basis of claim lodged with the Insurance Company.
94 163.61 4 5 3 2.43 135.84 14. THIAGARAJAN) Director (Finance) (RANA SOM) Chairman-cum-Managing Director (KUMAR RAGHAVAN) Company Secretary 92 . in Crore) Schedule SOURCES OF FUNDS Shareholders' Funds: Share Capital Reserves & Surplus Deferred Tax Liability TOTAL APPLICATION OF FUNDS Fixed Assets: Gross Block Less : Depreciation Net Block Capital Work in Progress Investments Current Assets.88 519.780.317. 002899S Place : New Delhi Date : 27-05-2011 (S.06 646.60 480.95 16.06 1347. 2010 Accounting Policies and Schedules 1 to 24 form part of accounts.272.62 19.915.26 677.52 102.42 485.272.78 14.47 13.214.66 12.40 396.43 84.31 6 7 8 9 10 415. 23837 Firm Regn No.84 1.357. Loans & Advances : Inventories Sundry Debtors Cash & Bank Balances Other Current Assets Loans & Advances Less : Current Liabilities & Provisions : Current Liabilities Provisions Net Current Assets Miscellaneous Expenditure (to the extent not written off or adjusted) TOTAL Subject to our Report of even date For RAMAMOORTHY (N) & Co.854..771.40 867.96 14.06 396.099.357.47 18.15 561.56 298.17 1.008.173.31 As at 31st March.875.88 14.45 19.04 14263.14 983.99 787. Chartered Accountants 13 11 12 771.88 19.05 19.818.44 76. 2011 As at 31st March.00 12.390.72 17.82 1.228.776.171. For and on behalf of the Board (CA SURENDRANATH BHARATHI) Partner Membership No.317.88 1.348.68 1.14 1 2 396.29 1.75 427.40 17.56 1.Annual Report 2010-11 Balance Sheet as at 31 st March. 2011 (Rs.
44 1. (Face value Rs.39 8.22 0.90) 7.NMDC Limited Profit & Loss Account for the Year ended 31 st March.46 3.85 3.92 3.227.41 136.957.98 6.42 6.32 (Rs.218.. THIAGARAJAN) Director (Finance) (RANA SOM) Chairman-cum-Managing Director Place : New Delhi Date : 27-05-2011 93 (KUMAR RAGHAVAN) Company Secretary .46 1.54 2. For and on behalf of the Board (CA SURENDRANATH BHARATHI) Partner Membership No.75 4.00 3.85 242.84 1.12 468.17 2.Taxation .54 – 6. Chartered Accountants Accounting Policies and Schedules 1 to 24 form part of accounts.40 (3.Others For the Year ended 31st March.86 268. 002899S (S.Interest on Income Tax . 2011 11.Deferred tax adjustment for the year Profit after taxes Profit brought forward from previous Year Profit available for Appropriations Less : Appropriations: Interim Dividend Tax on Interim Dividend Proposed Final Dividend Tax on Final Dividend General Reserve Balance carried over to Balance Sheet Detailed Information Notes forming part of Accounts Earnings per Share (Basic & Diluted) Rs.66 455.46 11.17 73.each) Subject to our Report of even date For RAMAMOORTHY (N) & Co.214.83 23 24 16.730.08) 26.884.00 (8.727.18 212.23) 9.95 6.30 5.58 23.54 396.48 1.360.447.51 66.57 861.85 221.499.00 (4.26 0.17 12.96 3.636.06 360.38 2.499.83 0.51 12. Electricity and Water Payments & Benefits to employees Repairs & Maintenance Royalty & Cess Selling Expenses .47 67.58 88.71 (1.045.94 75.60 (7.70) (0.18 337.39 53.69 297. 23837 Firm Regn No.73 852.61 14 15 16 17 18 19 Other Expenses 20 Depreciation Miscellaneous/Promotional/Deferred Revenue Expenditure written off Gross Expenditure Less : Transfer to Capital Accounts 21 Net Expenditure Profit before prior Year items Add/(Less) prior Year items 22 Profit before taxes Less : Provision .44 6. in Crore) For the Year ended 31st March.38 – 209.448.28) 5.01 863.11 419.62 492.76 19.50 4.229.74 0.Earlier Years(Net) .52 3.95 47. 2011 Schedule INCOME: Gross Sales Less : Excise duty Net Sales Income from Services Income from sale of power Other Income Accretion / (Decretion) to stock TOTAL EXPENDITURE: Raising & Transportation charges Consumption of raw materials Consumption of Stores & Spares Power.16 3.447.17 3.00 6.70 113.205.76 621.87 121.41) 1.81 26.Current Year .687.45 44.Freight Outwards .39 931.35 50.06 3. 2010 6229.367.978.90 37.46 1.207.41 9.1/.498.903.73 131.742.098.760.
2011 Authorised: 4.00.96 94 .47 As at 31st March.47 Schedule . 881/-) Profit & Loss Account .00.Annual Report 2010-11 Schedules Schedule . 2010 (27.44 13.1/.000 Equity shares issued on fully paid up by way of bonus shares out of general reserve in earlier years. 2.1/.00 18.69) – (8.817.000) of Rs.55.00. in Crore) As at 31st March.1 : Share Capital (Rs.00.each alloted for consideration other than cash in earlier years.47.875.52 As at 31st March.52 – b) Capital Grant .05 0.31.1 each (Previous year Rs.52 11.000 Equity shares of Rs. 2011 a) General Reserve: As per last Balance Sheet Less : Operating loss of erstwhile SIIL from appointed date 30/06/08 to 31/03/10 Less : Amortisation of Goodwill from appointed date 30/06/08 to 31/03/10 Add : Additions during the Year 13.96.875.22 – 2.each fully paid up The above includes : a) b) 2. 2010 400.636.978.Surplus TOTAL – c) 0.00.875.239.47 400.00.1/.44.16.61) 4.83 18.2 : Reserves and Surplus (Rs. Subscribed & Paid up: 3. TOTAL 396. in Crore) As at 31st March.00 396.00 13.64.00 396.818.47 396.000 Equity Shares of Rs.000 Equity Shares (Previous year 400.each) Issued.R&D (Corresponding nominal value of assets Rs.
71 19.73 11.19 0.Free hold Land .17 95 14.51 7.04 4.57 0.58 22.24 153.10 119.16 3.78 0. Mines & Others Goodwill Land .62) (9.55 110. Buildings Cess fund quarters Dams.03 2. Wells & Pools Adit & tunnel Railway sidings Plant & Machinery Heavy Mobile Equipt.96 – 0.25 0.67 0.02 7.39 1.23 4.47 1. Buildings Dams.57 0.71 19.21 66.83 3.01 1.44) 0.87 557. 2010 pursuant to during during merger with the year the year NMDC Ltd A.95 1.85 49.272.50 24.01 1.41 6.58 4.Lease hold Roads.77 – 110.09 14. S. 2011 – – – – – – – 0. Installations Other assets Intangible Asset Computer software TOTAL 'A' Figures for the previous year B.87 – 6.559.02 – – – – (0.00) – (0.660.Free hold Land .29 0.67) (9.28 0.Lease hold Roads.19 – – – 0.771.37) – (9.37 2.80 68.28 2. Sanitary & W.36 0.50 12.27 – – – 0.01 (2.86 69.43 12.Instlns.04) – – 0.10 110.29 7. Other assets Cess fund other assets TOTAL 'B' Figures for the previous year TOTAL 'A + B' Figures for the previous year – 11.38 15.32 401.771.12 0.09 115.23 0.39) 0.91 0.58 1.21 53.07 0.98 7.90) (12.85 4.34 7.22 0.02 6.55 (1.48 32.13) – – (0.47 0.36 3.05 – 0.22 5.02) (0.92 772.27 1.06) – (0. in Crore) ASSETS GROSS BLOCK As at 1st Assets of SIIL Additions Ded/Adj April.82 1. Social Facilities Land . Wells & Pools Plant & Machinery Furniture & fittings Vehicles Electrical Instaln.52 787.73 13.23 0.09 2.39 6.28 16.38 1.10 1. Plant.61 0.67 2.20 110.01 – – (0.04 – – 88. bridges etc.52 – – – 0.08 (0.48 235.14 1.153.26 16.10 0.56 114.01) – (0.14 76.66 109.66 0. Furniture & fittings Vehicles Locomotives Electrical Installations Sanitary & W. bridges etc.33 – – 21.28 3.660.22 – 107.29 395.21 – 7.08) – – – – – – – – – – – – – – – – – – – – – – – – – – – 14.669.20 – – – 53.75 0.93 6.47 0.70 – – – 4.01 – 5.S.14 .23) (2.03 – 2.94 146.78 25.24 0.66 2.91 37.NMDC Limited Schedule .83 699.96 38.03) – – – (0.78 8.24 6.11 12.3 : Fixed Assets (Rs.42) (6.06) Internal As at 31st Transfer March.
44 – – – 49.26 344. Wells & Pools Plant & Machinery Furniture & fittings Vehicles Electrical Instaln.42 11.) (Rs.99 – – 0.29 – 4. Buildings Cess fund quarters Dams.Block of SIIL pursuant to merger with NMDC Ltd DEPRECIATION BLOCK For Asset Prior Dedu.01 – 18.77 (19.72 0.70 5.76 121.24 91.10 44.84 2.76 0.80 – – – – – – – – – – – – – – – – – – – – – 0.84 10.92 0. Wells & Pools Adit & tunnel Railway sidings Plant & Machinery Heavy Mobile Equipt.07 4.36) – (9.12 9.63 – – 52.02 – 1. adjustfers ments Upto 31st March 2011 NET BLOCK As at 31st March 2011 As at 31st March 2010 Figures for the previous year 878.77 26.08 (0.94 10.01 25.27 65.34 6.68 2.42 – – – – – – – 0.61 – – 0.12 0.01 0.30 1.29 252.78 115.06 0. bridges etc.26 5.28 7.11 1.Instlns.14) 0.56 66.33 1.02) – (0. Social Facilities Land .69 11.26 443.59 0.97 2.94 94.43 1.Free hold Land .25 – – 0.02 3.85 9.85 0.03 – 0.56 720.50 3.58 4.79 4.59 8.22 1.71 10.15 46.28) (9.42) – (0. Buildings Dams.61 2.53 4.84 – 3.72 0.05 – 76.53 117.79 7.period ctions/ transyear ment adj.31 0.15 0.72 3.88 – 11.51 3.30 36.77 58.44 0.47 3.08) – – – – – – – – – – 13.37) 96 .44 11.91 19.01 (0.43) – – – – – – – 0. Plant.88 680.48 0..65 25.36 7.05 9.34 11. Other assets Cess fund other assets TOTAL 'B' Figures for the previous year TOTAL 'A + B' – 0.19 0.32 – 4.39) – (0.Internal the Impair.07 – 0.29 0.57 2.85 0.64 21.099.05 – – – – – 0.45 1.124.40 44.99 0.94 30.01 1.70 720. Sanitary & W.57 939.09 – 6.50 32.63 520.71 23.32 1.41 6.03) – (0.32 – – – 0.27 1.08 4.59 0.84 Dep.01 (0. Furniture & fittings Vehicles Locomotives Electrical Installations Sanitary & W.S.3 : Fixed Assets (Contd.72 1.26 787.66 0.23 0.35 0.21 44.58 7.58 291.38 91.42 4.28 2.81 13.71) – – – – – – – – – – – – – – – – – – 0.74) (11. bridges etc.08 3.59 0.07 0.01) – – 0.41 0.62 27.10 0.028.42 2.02 2.70 – 10.21 34.35 1.47 – – – 0.01 0.15 0.56 983.98 0.01 (2.00 – 77.71 11.Lease hold Roads.73 15.22 1.54 95.72 – 21.28 0.01 1.69 0.64 0.173.19 3.16 4.15 746.00 4.99 44.01 – – (0.01 66.71 – – – 0.04 – 0.26 11.36 – 9.77 1.13) (0.08 – 0.66 1. Mines & Others Goodwill Land . Installations Other assets Intangible Asset Computer software TOTAL 'A' B.24) – – – – – – – – – – – – – – – – 0.50 – 3.Free hold Land .01) 0.Lease hold Roads.13 50.66 – 8.53 (22.03 – 70.98 0.29 266.80 4.10 48.46 8.52 – – – – – – – – – – – – – – (3.13) Figures for the previous year 922.77 446.61) (11.40 1. in Crore) ASSETS Upto 31st March 2010 A.82 939.Annual Report 2010-11 Schedule .31 – 62.06 253.79 787.09 0.92 0.42) (6.16 983.16 0.47 – – – – – (0.07 0. S.
09 2. constructed by the Company and handed over to Chhattisgarh State Government for maintenance are discontinued to be shown in the books of account on being fully depreciated.49) Less : Grant Amount Capitalised 97 .11 5.09 crores (previous year Rs.27 0.03.3.. in crore) Plant & Machinery Cost as at 31. 5. Assets valuing Rs.09 crore) acquired wholly out of Grant-in-aid from Government of India are included in the Schedule as per Accounting Policy No.5.05 4.57 0.17 (0.66 (0.66) 0.17) 0. Bridges etc.NMDC Limited Schedule .01 0. B.02 0.) Notes: 1.49 (0. (Rupees in Crore) Category Land Roads & Bridges Buildings Sanitary & water supply Plant & Machinery Furniture Electrical Installations Other Assets TOTAL Original value 0.04 0..02 0. Grant: (Rs. Roads. Particulars of assets relating to Steel Development Fund / Govt.1. The details of original value of such assets are as under.2011 0.3 : Fixed Assets (Contd.
Buildings. Culverts. in crore) Quarters Sanitary & Water Supply Installations 2.33%.67%.56% 6.33 (3.18) 0.49 Sq.57%. Mts and 24719.91 (1.72%.18 (2.2. Cost as at 31.90) 3.90 (15.B. The value of land of 114.56% 5.5.01) 0.2.67% 10% 5.5%.3.57 (0.20%.10%.) taken from Vizag Port Trust Authorities for construction of Regional office buildings and Screening Plant respectively has not been brought into books as the exact amount payable to the lessor during the lease period of land is not ascertainable under the terms of lease agreement.100% 5.49 Sq.45%.33%.1) i) ii) iii) iv) v) vi) Buildings Railway sidings Plant and machinery Heavy mobile equipment Furniture and Fittings Vehicles (5% of original cost retained as residual value) Locomotives 1.8. 5. Bridges.Computer software Items not exceeding Rs.33% 5.67%.57) Less : Cess Fund Grant Amount Capitalised . The value of lease hold land measuring 3021. 1956 except in case of 'Heavy mobile equipment' (Refer Accounting Policy on Depreciation No.01 (0. The Company adopted the following rates of depreciation which are higher than Schedule-XIV rates to the Companies Act.10%.2011 15.16. Mts.03.27) 1.Annual Report 2010-11 3.29%.000/. However.are depreciated fully in the year of addition 4.91) 98 Other Assets 6. restricting the life to the lease period.58) 0.56%.20% 11. (previous year 3021.3.67%.57) 0.5%.56%.29%.58 (0.35 Sq. Mts.27 (0.2. Depreciation in respect of Roads.33) 12.31% 10% 16.8.14. Particulars of assets relating to Cess Fund Assets/Grant: (Rs.5. Plant & Machinery and Electrical Installations constructed on the land referred to above has been provided.6.14. Jagdalpur for construction of Steel Plant near Nagarnar has not been brought into the books as the amount payable is not ascertainable in the absence of any demand from the concerned authorities.57 (12. 20% Amortized over 3 years vii) viii) Electrical installations ix) x) xi) Sanitary and water supply installations Other assets Intangible asset . the yearly rent payable in this regard is charged off in the accounts.35 Sq.56%.01 hectares taken over from District Industries Centre. and 24719.33. Mts.
Paloncha.13 (0.09 (0.96 acres has expired during Feb 07 (7. 394. Lease deeds in respect of parts of land for township at Bailadila-5.12 (–) 1. 9. However.22 (0.2011: (Rs. 436.0 acres) and the balance in Feb 2010 (3. Kirandul. the quarters constructed after 1984-85 shall remain charged in their favour. 8. as per agreement with Cess Fund Authorities. in crore) Assets Gross Block 42. Other Assets Note: Figures in brackets pertain to previous year.62 lakhs and services of Rs.71 lakhs received as grant from United Nations Development Programme by the erstwhile SIIL towards first plant at Paloncha. Details of Assets retired from active use and held for disposal as on 31.96 acres). The schedule does not include assets of Rs. Mining lease to the extent of 22. Lease in respect of a portion of the total land at R&D Center measuring 10.12 (–) 1.26 (30.26 (30. The land on which Cess Fund Quarters were constructed prior to 1984-85 was leased out to Cess Fund Authorities. Plant and Machinery 3. Land purchased at Paloncha to the extent of 100.03) Accumulated Depreciation 42.27 acres from the official liquidator of AP Steels Ltd attached to Hon'ble High court of Andhra Pradesh. Formal agreements / Transfer deeds remain to be executed in respect of the following: (a) (b) Renewal of Mining Leases at Deposit 10 (Float Ore) & Panna & Donimalai.00 hectares of Silica Sand Plant near Lalapur (Allahabad).29) 0. Lease deeds in respect of land for Screening Plant at Visakhapatnam. The ownership of Cess Fund assets constructed prior to 1984-85 vests with the Cess Fund Authorities. Bacheli and Bailadila-14.NMDC Limited 7. Vehicles 4.96) – (0. 99 .05) – (–) 1.03. Only Provisional allotment letters issued for the land to the extent of 13. Heavy Mobile Equipments 2.29) 0. The process of renewal of the lease is under progress. 10.03) Net Block – (–) – (–) 0. (c) (d) (e) (f) (g) 11.43 acres purchased from M/s APIIL at Industrial park.91) – (0.
55 49.25 187.74 Construction Stores Capital Assets in stores awaiting installation or in transit Advances to suppliers/contractors for Capital Expenditure Expenditure incidental to construction awaiting allocation TOTAL 2.63 289.03 100 .74 – 354. 2010 93.29 Notes: Particulars of advances to suppliers/contractors for Capital Expenditure: Advances considered good in respect of which: i) ii) the Company is fully secured the Company holds no security other than debtors personal security – 109.45 2.17 561.21 0.25 – 49.24 289.19 As at 31st March.4 : Capital Work in Progress (Rs. in Crore) As at 31st March.20 109.03 117.35 33.07 677.Annual Report 2010-11 Schedule . 2011 Construction work in progress Add : Impairment reversed / (provided) 354.
77 0. 2011 In Shares: Trade & Unquoted at cost: i) 3..90.96 3.000) 101 0.02 0.590) Equity shares of FMG 2500/.96 – ii) 41.00.85.000) Equity shares of Rs.000) Equity shares of Rs 10/.00 iv) 0.each fully paid up in Romelt SAIL India Ltd.10/.85.000 (previous year 105.02 ii) – – .65.000 (Previous year 1. Jammu Less : Investment deration As at 31st March.198 (previous year 4.10 Non-trade & Unquoted at cost: i) 150 Shares (previous year 150 Shares) of Rs 1.each fully paid in International Coal Ventures (P) Ltd 0.77 vi) 0.25.000 (Previous year 1.000) 500 Shares (previous year 500 Shares) of fully paid up in NMDC Employees Co-operative Society Ltd.11 – 0.00.96. New Delhi Less : Deration 93.12. Bhubaneswar 105.45.43 0.20 7.20 – 7.20 – iii) 7.65. Bacheli Rs..20 7.each fully paid up in Whole-sale Consumers Co-operative Stores.000) equity shares of Rs. in Crore) As at 31st March.000) Equity shares of Rs 10/. 2010 3.11 – v) 7.590 (previous Year 41.5 : Investments (Rs.11 0.002 (previous Year 3.10 each fully paid up in NINL. Kirandul Rs 1.96 – 3.5.50. 4.002) Equity shares of Rs.000 (previous year Rs 5.each fully paid up in NMDC CMDC Ltd.000 (Previous Year 7.000/.NMDC Limited Schedule .96.11 0.49 49. Madagaskar Less : Investment deration 7.96 3.50.100 each fully paid up in Subsidiary Company J&KMDC Ltd.each fully paid up in wholly owned subsidiary Company NMDC SARL.
87.each in Krishnapatnam Railway Co. 50.. Aggregate amount of Unquoted Investments Gross Rs.500 (previous year Rs 2.000) As at 31st March. Panna Rs.68 crore (Previous Year Gross Rs.Annual Report 2010-11 Schedule .146. in Crore) As at 31st March. Donimalai Rs. 102 .00 crore equity shares of Rs 10/.5 : Investments (Contd.41 crore and Net Rs.each in International Coal Ventures (P) Ltd.02 Advance for Investment : i) 4.000 (previous year Rs 50..97 135.10/. fully paid. TOTAL Notes: 1..75 lakh equity shares of Rs.76.14 crore).25 ii) 0. fully paid.02 – 0.95 crore and Net Rs. 2011 iii) 25 Shares (previous year 25 Shares) of Rs 100 each fully paid up in NMDC Employees Co-operative Society Ltd.135. 2010 – – iv) – 0. pending allotment 9. 2. pending allotment.) (Rs.14 3.00 26. All the above are long term investments. Ltd.68 – 76.2. Aggregate amount of Quoted Investments Nil (previous year Nil). 40.500) 500 Shares (previous year 500 shares) of Rs 100 each fully paid up in NMDC Employees Co-operative Society Ltd.
08 – 209.57/(Previous year Rs.42 0.75 Notes: 1.82 0.76 Work-in-Process : Diamonds Sponge Iron – 0.1. in Crore) As at 31st March. 2011 Stores & Spares Loose tools and Implements 78.20 Raw materials Finished Goods: Iron Ore Sponge Iron Ferrite Powder Ultra Pure Ferric Oxide Rs.45 crore (previous year Rs.00 298.26 79.07 – 103 .67 0.96 – As at 31st March.57/-) Diamonds & Precious Stones 327.28 79.03 0.92 0.65 – 8.72 218.67 332.2.90 0.75 0.98 – 0.NMDC Limited Schedule .90 crore) 7.82 Generated Iron ore fines at Sponge Iron unit TOTAL 1.05 10.03 0. 2010 – 4.49 415.06 1. Raw material-in-transit Stores and Spares include: a) b) Stores-in-transit Obsolete stores & spares valued at Rs1 per unit of their original value of Rs.03 – 0.70 0.21 79. 2.6 : Inventories (As Valued and Certified by the Management) (Rs.
46 485.97 TOTAL 485.40 – 427.40 427. in Crore) As at 31st March.7 : Sundry Debtors (Rs.44 355.00 Less : Provision for bad & doubtful debts 1. Particulars of Sundry Debtors: a) Debts considered good in respect of which: i) ii) the Company is fully secured the Company holds no security other than the debtors' personal security – 485.46 1.37 73.46 104 .40 Notes: 1.83 487.02 428.00 427.00 b) Debts considered doubtful & provided for 1. 2011 Debts outstanding for a period exceeding six months Other debts As at 31st March.97 1. 2010 36.54 450.Annual Report 2010-11 Schedule .
854.28 12.4.06 As at 31st March.33.06 396.168/-) 0. 2011 Accrued interest on deposits with banks TOTAL 396.87 3.94 TOTAL 17.37 17. (US $ account) (Maximum balance during the year Rs.9 : Other Current Assets (Rs.79.8 : Cash and Bank Balances (Rs.57 (b) Other Banks on Current Accounts: (i) Exim Bank (Tanzania) Ltd (Shillings Account) (Maximum balance during the year Rs.90. in Crore) As at 31st March.591/-) (Previous Year Rs.437/-) (Previous Year Rs.06 Schedule .04 – 0.01.71. 49.NMDC Limited Schedule .169/-) (Previous Year Rs.09 0.87 72. 2010 6.09 17.848.160.24 12. in Crore) As at 31st March.775.73 As at 31st March.28 0.70 12.5.5. 2010 163.751/-) (ii) National Micro Finance Bank (Shillings Account) (Maximum balance during the year Rs.998/-) (iii) Exim Bank (Tanzania) Ltd.98.4.224.01 – 0. 2011 Cash and Cheques on hand Balances with : (a) Scheduled Banks : On Current Accounts On Deposit Accounts (Rs.60 crore) 63.04 0.88 105 .86.88 163.228.80 crore offered as security for Bank Guarantees and Letters of Credit) (Previous Year Rs.
Jammu NMDC SARL.54 0.87 – 0.19 – – 0.62 287.01 17. Madagaskar NMDC CMDC Ltd 106 1.16 5692.78 379. Jammu NMDC SARL.62 As at 31st March.03 2. in Crore) As at 31st March. Port Trust etc.87 – 0.624.50 – 0.10 : Loans and Advances (Rs.30 151. Deposit with Others Less : Provision TOTAL Notes: Particulars of Loans and advances: a) Considered good in respect of which: i) ii) b) c) the Company is fully secured the Company holds no security other than the debtors personal security 19.18 . Madagaskar NMDC CMDC Ltd 1.04 2.19 0.28 51.23 212.31 – 0.77 7.35 78.59 5.244.04 Considered doubtful and provided for Amount due by Directors/Officers: i) ii) Amount due Maximum amount due at any time during year d) Advances to Subsidiary Companies (b is wholly owned subsidiary): i) Amount outstanding: a) b) c) ii) J&K MDC Limited.52 4.10 77.95 0.01 0.51 4.54 0.50 4.91 519.50 4.01 0. 2010 212.78 0.56 0.73 5980.Annual Report 2010-11 Schedule .01 0.54 2.03 627.35 150. 2011 Advances recoverable in cash or kind or for value to be received Less : Provision for bad & doubtful advances Advance Income Tax & TDS Less : Provision Advance Fringe benefit tax Less : Provision Inter Corporate Loans to PSUs Less : Loans deration Balance with Customs.02 51.08 0.02 0.50 646.18 Maximum amount outstanding at any time during the year a) b) c) J&K MDC Limited.50 – 0.31 7.99 2.68 501.36 4.
41 520.92 520.74 116.07 155.05 As at 31st March. 2006. 2010 403.NMDC Limited Schedule .41 867.03 39.67 0.Nil) payable to Subsidiary Companies) Advances from Customers Mine closure Liability Less : Fund with LIC Deposits from Suppliers.2006.74 39. the amount of interest accrued and remaining unpaid at the end of each accounting year.62 403. until such date when the interest dues as above are actually paid to the small enterprise.19 the amount of interest paid in terms of section 16.NIL (Previous year Rs.11 : Current Liabilities (Rs. Contractors and Others Less : Investments received as security Deposit Sales Tax on REP Licences Less : Amount paid Investor Education & Protection Fund not due : Unclaimed Dividend Other liabilities TOTAL Disclosure relating to Micro and Small Enterprises : i) (a) (b) ii) The principal amount remaining unpaid to the supplier as at the end of the year.00 1.79 0.88 0.12 NIL 0.28 206. 2011 Sundry Creditors : Outstanding dues of micro and small enterprises Other than micro & small enterprises including Rs. the amount of interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified under Micro. for the purpose of disallowance as a deductible expenditure under section 23 of Micro. 0.10 190.38 1.44 159. and the amount of further interest remaining due and payable even in the succeeding years. 107 NIL NIL iii) NIL NIL NIL NIL (iv) (v) NIL NIL . in Crore) As at 31st March. remaining unpaid to the supplier as at the end of the year.44 771.76 – – – 2.46 116.38 35.12 0. along with the amount of the payment made to the supplier beyond the appointed day during each accounting year. The interest due on the above amount.05 NIL 0.62 0. Small and Medium Enterprises Development Act.53 179.05 35.Small and Medium Enterprises Development Act.88 3.79 4.60 184.
87) 1.69 (463.23 16.06) Proposed Dividend and Tax thereon Leave Travel concession Long Service Awards TOTAL Previous year 463.522.15 TOTAL 1. 2010 6.34) 1. 2010 Details of Provisions (in compliance of AS-29) (Rs.Annual Report 2010-11 Schedule . in Crore) As at 31st March.80 (-895.69 Employee Benefits : a.35 (1.34 (5.41 138.24) 0.008.36 As at 31st March.85 (547.34 8. Leave Travel Concession Long service award 6.19 – – – -993.53) 480.47 67.93 11.008.83 (811.09 14.22 (8.32) 8.55 108 .84 7.28 990.02) 2.06 (560.58 (815.13 : Miscellaneous/Promotional & Deferred Revenue Expenditure (to the extent not written off or adjusted) (Rs. 2011 Proposed Final dividend Tax on Final dividend 852.87 16.99 (-895. b.24) Addition during year 1.12 : Provisions (Rs.78 7. in crore) Opening Balance 1-Apr-10 Adjustment during year -993.84 (480.35) 7. in Crore) As at 31st March.85) 6.34) 11.93 (7.60 (2.06 396.21 480.38 463. 2011 Development Expenses Others: Expenses on removal of overburden and preparation of Mining Benches 7.74) -0.22 18.10) Closing Balance 31-Mar-11 990.20) Note : Figures in bracket indicate previous year figures Schedule .85 As at 31st March.45 10.87 (7.520.
(Previous year Rs. 2010 0.03 crore) For the Year ended 31st March.73 25.095.03 0.63 218.47 crore) Others (Tax deducted at source Rs.205. 120.57 1.73 14.23 crore.19 0.91) – 0.36 94.13 1.02 – (Rs.15 2.84 834.68 (0.00 831. (Previous Year Rs.91 -1.60 0. 0.75 220.82 0. 2011 Interest on : Deposits with Banks (Tax deducted at source Rs.10 861.50 crore. 2010 1. 2011 Work-in-process: Balance as at close of the Year Less : Balance as at the beginning of the Year Less : Balance as at the beginning of the Year at merged SIIL Finished Goods: Balance as at close of the Year Less : Balance as at the beginning of the Year Less : Balance as at the beginning of the Year at merged SIIL Less : Excise duty on accretion/decretion of stock (net) TOTAL 332.14 : Other Income (Rs. in Crore) For the Year ended 31st March. in Crore) For the Year ended 31st March.31 0.70 Schedule .20 112.108.66 – (1.11) 112.NMDC Limited Schedule .03 0.109.0.75 1.57 113.01 -1.06 1.15 1.90 109 .71 Profit on sale of assets Gain in Foreign Exchange variation (net) Miscellaneous Income TOTAL 1.17 218.15 : Accretion / (Decretion) to Stock For the Year ended 31st March.
17 : Power. 2010 35.55 7.708 6.Annual Report 2010-11 Schedule . 2011 Qty (in tonnes) Iron ore Coal Lime Stone Internal handling of raw materials TOTAL 83. 2011 Power charges Electricity charges Water Charges TOTAL Note: The Power charges exclude the expenditure on internal generation of power accounted under following primary heads of accounts: a) b) c) Payments and benefits to employees Consumption of Stores & spares Repairs and Maintenance 0.01 0.27 0. 2010 Qty (in tonnes) – – – – – – – – Note : Value of Iron ore consumed is after adjutment of inter unit transfers. in Crore) For the Year ended 31st March.39 1. Schedule .11 110 .18 0.384 59.62 For the Year ended 31st March.74 15.09 0.85 0.65 44.46 47.18 For the Year ended 31st March.00 0.22 0.41 23.77 8.15 0.91 0. in Crore) For the Year ended 31st March.239 2. Electricity & Water (Rs.31 37.16 : Consumption of Raw Materials (Rs.11 0.
2011 Salaries.05 81.39 72.18 : Payments & Benefits to Employees (Rs.51 Schedule .42 53. 2011 DESCRIPTION Buildings Plant & Machinery 185.69 83. Wages & Bonus Contribution to Staff PF.39 For the Year ended 31st March.77 21.16 11. in Crore) For the Year ended 31st March.11 25.11 8. in Crore) For the Year ended 31st March.21 10.NMDC Limited Schedule .90 Gross Expenditure Less: Expenditure under primary heads : Payments & Benefits to employees Consumption of Stores Sub total Net Expenditure 29.82 492.34 6.16 105.19 : Repairs & Maintenance (Rs.47 91.23 0. 2010 296.06 .23 24.65 0.74 165. EPS & DLI Contribution to Group Gratuity Fund Workmen and Staff Welfare Expenses TOTAL 331.95 197.89 27.46 – 0.44 1.44 36.22 250.99 105.52 27. 2010 238.84 66.97 22.81 14.32 Vehicles Others Total For the Year ended 31st March.89 111 9.07 64.63 100.21 172.03 419.43 19.
86 193.60 1.65 221.53 2.40 10.50 4.07 112 .10 For the Year ended 31st March.55 6.37 19.92 0.04 0.38 0.10 0.53 2.06 1.59 0.17 0.18 2.69 37. in Crore) For the Year ended 31st March.20 8.84 91.40 39.39 17.03 0.61 0.88 3.40 239.24 0.51 0.90 10.99 49.04 0.13 0.55 0.27 Loss on sale/adjustment of Assets Miscellaneous losses written off Provision for doubtful debts/advances Mine closure Obligation Entertainment Sundries: Travelling & Conveyance Advertisement & Publicity Postage.01 0.36 3.18 2.04 12.33 9.87 17.20 : Other Expenses (Rs.51 71. 2010 3.Annual Report 2010-11 Schedule .60 TOTAL 268.55 19.13 0.31 4.37 0.52 1.10 0. Telephone & Telex Stationery & Printing Consultancy charges CISF/Security guards Safety expenses Corporate Social Responsibility Environmental Development Other expenses 15.52 14.91 0. 2011 Rent Insurance Rates & Taxes Directors' Travelling expenses Directors' Sitting fee Payment to Auditors: As Auditors: Audit Fee In other capacity Out of pocket expenses 0.
23 0.92 0. 2010 19.97 0.19 1.32 113 .86 0.43 – – – – – For the Year ended 31st March.NMDC Limited Schedule .17 Miscellaneous/ Promotional Expenditure 31st March.46 Incidental Expenditure During Construction DESCRIPTION 31st March.67 19.03 -1.07 0.16 0.01 0.00 0.17 – 88.17 15. 31st March.19 0.43 – 19.03 – 0. 2011 Raising & Transportation charges Consumption of Stores & Spares Power Payments & Benefits to Employees Repairs & Maintenance Other Expenditure : Consultancy Environment Sample Analysis Others Depreciation TOTAL Less : Income Net Expenditure – – – – – – – – 0. 2011 Amounts transferred to Capital Accounts as per details shown below (Net) : 88.03 – – – – 0.89 0.26 – 0. in Crore) For the Year ended 31st March. 2010 2011 2010 – – – – – – 0. 31st March.03 – 0.03 87.21 : Expenditure Transferred to Capital Accounts (Rs.20 88.
Annual Report 2010-11 Schedule .22 3.23 – – – – – 7.12 – 2.33 – – 0. Taxes & Insurance Repairs & Maintenance Payments & benefits to employees Other Income Selling Expenses Depreciation Welfare Expenses Other Expenses TOTAL Net Income / (expenditure) Less : Transfer to Expr. incidental to construction Total transferred Net Income / Expenditure 0.04 – – 6.59 – 0.48 – – 0.92 8.76 – 0.13 7.07 – 0.28 – – – – – 3.02 – – – – 0.99 – Expenditure – – 0.06 – 0.47 – 1.28 114 .85 – Expenditure 1.22 : Prior-Period Adjustments (Rs. 2010 Income – 0. in Crore) For the Year ended 31st March.15 4. 2011 Income Sales Consumption of stores & spares Rates.23 For the Year ended 31st March.01 – – 0.17 – – – – – 0.
6.22 (7. Particulars of Licenced Capacity.NMDC Limited Schedule .98) 115 18.60) 42.34) 12. Opening stock as on 01-04-2010 Opening stock as on 01-04-2010 at merged SIIL Opening stock of LG Fines as on 01-04-10 Production Qty retrieved at Project Qty retrieved at Port Qty available for sale : (A) Sales Own use 57.08 (–) 20.200.421.90 (209.07 (6.93 (16. Crore) (Rs.23 : Detailed Information 1. Crore) Particulars Diamonds Quantity (Carats) Sponge Iron Value Quantity (tonnes) Value (Rs.74 (–) 10.00 (16.644.000 tonnes of products) Details Iron Ore Sponge Iron * (Erst while SIIL Merged with effect from 01/07/2010) Diamonds Wind power Silica sand Ultra Pure Ferric Oxide 2.83 (–) 2.17 (–) 251.98 (220.13 (60.85) 0.98) 263.962 (–) 10. 8.786 (–) 46 (–) 0.335.72 (–) 870 (–) 1.285.94) 39.41) 18.00.832 (–) 39.34) 1.5 MW) 3.000 tonnes (*) Not applicable Not applicable Not applicable Not applicable Installed Capacity (As certified by the Management) 32 Million WMT of ROM (32 Million WMT of ROM) 60.02 (298.67 (8.00. Sales and Closing Stock : Iron Ore Quantity Value 209.70) 0.775 (–) 62.00 lakh tonnes of products) 3.5 MW (10. 9.00) 266.15 (240.68 (1.03) – (0.865.85) 51. Particulars of Opening Stock. 4.066. 7.33 (6.88 (6. 9.535.000 tonnes of products (3.200.000 tonnes (*) 1.20) 8.21) 38.B 11.529.Crore) 1.222. Actual Production.000 Carats) 10. 2.77 (–) 11 (–) 39. Transit / handling / other losses TOTAL .13) 327.25) 9.07) 4.22 (7.55 (238.421.32 (–) 3.17 – 318.00 lakh tonnes of products (3.60) (lakh WMT) (Rs. Installed Capacity : Licenced Capacity Not applicable 60.72) 11. Closing stock (A-B) as on 31-03-11 .66 (241.000 carats (1.335. 5.36 (57.78 (9.
85) Value (Rs.78 lakh WMT). 1.e.15 (240.60) Notes : 1.10 is 1.2 (previous year 6.49 crore. (Previous year 1. valuing Rs NIL with no production and sales during the year).1. (Previous year Rs. 4.42 crore lying with us taken from MMTC on returnable basis. Figures in brackets pertain to previous Year. 5.10 to 14. 2. with no production and sales during the year.222.38 lakh WMT (previous year 20.722 tons valuing Rs.26.744 mt. The following quantity of iron ore is not considered in stock as per the policy of the Company : a.153 (net) KWH units. The closing stock of iron ore is after considering (net) 0.48 (1. The generation of power from windmills is stopped w.083 (net) KWH units).23 : Detailed Information (Contd. 7. valuing Rs 0.98 crore).285.f. (Previous year : the opening and closing stock of ferrite powder .48 crore (Previous year Rs. The Opening and Closing stock of 26.11..53) 263. The value of power generated by the wind electricity generators during the current year is Rs. valuing Rs.19 lakh WMT valuing Rs.) The following details are further disclosed : 1. There was no opening and closing stock of Silica Sand.10 to 30.85 (5.10 will be known only after restoration of power.37. b.446 (net) tons. 6.070. (Previous year stock is exclusive of (net) 0. Desilted slimes stacked at various locations 26. valuing Rs 57/-. Embedded Fine ore lying in dumps prior to 01/04/2007 : 8. Details of Sales:(Iron Ore) Quantity (Lakh wmt) Export through MMTC Domestic Sales TOTAL 25.94.77) 11.10.15th Oct 2010 due to fault in transmission line.151.1.06 crore).04.4.Crore) 1.) The stock of diamonds of 6. Thus. the total generated iron ore fines at Sponge Iron plant as on 31/03/2011 are 15.2. The power generated by Wind Electricity Generators during 01.05.57 crore).19 lakh WMT.753.10.744 mt of ferrite powder.33 (6. 3.6.32) 237.42 crore lying with us taken from MMTC on returnable basis. 4. (Previous year : the opening and closing stock was 57 wmt valuing Rs 57/-) 3. The value of services rendered during the year is Rs. 2.531. Iron ore fines generated at Sponge Iron Unit during the year are 14. The opening Iron ore fines at merged SIIL as on 01/04/10 are 1. Power generated from 01. There was an opening and closing stock of 57 wmt of Ultra pure ferric oxide.30 lakh WMT).2) carats is under judicial custody.69 lakh WMT (previous year 3.63 (34.Annual Report 2010-11 Schedule .52 (206.5 crore.276 tons.83) 9. 116 .09. (Previous year : the opening stock was 50 WMT and the entire quantity was sold).
ii.21 18.68 1.08 0.12 For the Year ended 31st March. FPS & DLI Contribution to Gratuity Performance related pay Medical reimbursement House Rent LTC Others 1.11 0.23 : Detailed Information (Contd.43 100. Foreign Exchange earnings: (on realisation basis) Consultancy – – – 0.01 1. Value of imports calculated on CIF basis: i.00 Value Percentage 7.34 0.39 4. in Crore) For the Year ended 31st March..83 212.06 2.11 100.00 100. 5. 2010 Expenditure in foreign currency: i.12 196.09 – 0.07 117 .04 0.00 14.) (Rs.05 0. Particulars of consumption of raw material Raw material a) b) Imported Indigenous Value – 23.89 93. Components & Spare parts Capital Goods 7.65 38.00 8.06 0.78 0.43 195.09 – 0.95 7.18 Percentage – Not applicable 100. Particulars of consumption of Stores & spares: Components & spare parts (including consumable stores) a) b) Imported Indigenous Value Percentage Value Percentage 16.59 81. Particulars of Directors' Remuneration (including Chairman-cum-Managing Director) a) b) c) d) e) f) g) h) Salaries Contribution to PF. 2011 3.57 92.54 6.09 0. Consultancy charges Others 0. ii.18 23.45 6.30 1.NMDC Limited Schedule .13 0.04 0.88 0.76 0.02 209.
Performance of Company (Rs.23 : Detailed Information (Contd. 1 6 . 4 3 Net Current Assets 1 7 3 9 0 . 6 4 Profit after tax 6 4 9 9 .Annual Report 2010-11 Schedule .0 1 6 7 4 0 3 1 1 Rights issue N I L Private Placement N I L State Code 0 1 Capital raised during the Year (Rs.) 9. 0 5 Unsecured Loans N I L Total Assets 2 1 0 9 8 .. 6 8 Misc. 9 4 Profit before tax 9 7 2 7 . Balance Sheet Date II. Expenditure 1 4 . I. 8 4 Accumulated Losses N I L Investments 1 3 5 . 3 9 Total Expenditure 2 9 6 0 . 4 5 Reserves & Surplus 1 8 8 1 8 . 1 2 Source of funds : Paid-up Capital 3 9 6 . 4 7 Secured Loans N I L Application of funds : Net Fixed Assets 1 7 7 6 . in Crore) Total Liabilities 2 1 0 9 8 . 1 7 Earnings per share in Rs. Position of mobilization and deployment of funds (Rs. Generic name of the principal products/services of Company : (as per monetary terms) Item Code No (ITC Code) Product Description Item Code No (ITC Code) Product Description Item Code No (ITC Code) Product Description 2 6 0 1 1 1 1 0 Iron Ore Lumps (60% Fe and above) 2 6 0 1 1 1 3 0 Iron Ore Fines (62% Fe and above) 2 6 0 1 1 1 4 0 Iron Ore Fines (Below 62% Fe) 118 . 0 1 3 1 . Balance Sheet Abstract and Company’s General Business Profile: Registration details : Registration No. 2 2 Dividend Rate % 3 3 0 V. in Crore) Turnover 1 1 3 6 8 . in Crore) Public Issue N I L Bonus issue N I L III. 1 2 IV.
i) ii) Iron Ore Other minerals & services The inter segment transfers are accounted for at market prices as charged to other customers and the same are offsetted in consolidation.24 113.77 – 11.372.347.760..03 6. Segment Reporting The Management evaluates the Company's performance and allocates the resources based on analysis of various performance indicators by business / product segments i.239.499.63 – 13.06 146.285.67 15.e.530.15 77.55 1.18 1.12 4.98 – -42.743.239.77 0.77 -42. in Crore) Consolidated Total Current Previous Current Year Year Year 1.66 11..26 18.156.94 6.040.77 -224.75 8.40 103.60 42.96 18.50 24.02 395.44 6.75 – 1.60 83.08 5.14 0. The Company has identified the primary and secondary segment reporting under AS-17 as under: Information about Business Segments Primary Business Segments Iron Ore Other Minerals & Services Previous Year Other reconciliation items (Rs.328.618.11 6.76 2.29 0.61 0.88 119 – 0.44 95.) 10.77 – – – -22.60 Current Previous Current Previous Year Year Year Year 16.49 220.127.116.11 -3. RESULT Segment Result Unallocated Corporate Exps Operating Profit Interest Expense Interest Income Income Taxes Net Profit 3.22 3.70 4.95 -1.780.35 0.605. OTHER INFORMATION Segment Assets Segment Liabilities Additions to assets during the year : Fixed Assets Intangible Assets Depreciation expenses during the year Impairment reversal / provided Non-Cash expenses other than Depreciation & amortization 291.682.42 1.27 4.58 0.81 – 11.496.62 11.447.34 6.65 13.52 113.72 1.09 – – – – 11.06 – – – 6.331.02 4.12 121.35 1.57 8.01 -14.87 21.41 0.26 111.55 678.21 13.94 6.504.222.15 118.36 77.51 – 834.23 : Detailed Information (Contd.368.15 648. REVENUE External Sales Inter-Segment Sales Total Revenue 2.NMDC Limited Schedule .88 101.16 606.60 – 83.99 21.49 – 16.09 -250.61 – – – -22.33 0.02 – – – 8.80 0.254.87 2.368.68 .109.24 0.083.
28 52. Leave Travel Concession Family Benefit Scheme 7. Year 5. Gratuity Accrued Leave Salary Settlement Allowance Post Retirement Medical Facilities 3.531. Long Service Award . Year Chattisgarh Andhra Pradesh Others TOTAL 11.67 Prev.48 11.785. Year 1.58 401.83 6.28 21. Employees are presented with an award in kind on rendering prescribed service.71 446. Year 9.221. Year 53. 120 1.Domestic . 6. Encashment of accumulated leave is payable as per the rules of the Company to the employees during the service/on separation by the NMDC Employees Superannuation Benefit fund trust. Year 343. Monthly payments to disabled separated employees/legal heirs of deceased employees on deposit of prescribed amount.85 36.837. 4.451. till the notional date of superannuation and the liability is funded to NMDC Employees Superannuation Benefit fund trust.) Secondary Segments Sales Revenue by location of Customers: (Rs.239.08 13.Export : Through MMTC TOTAL Curr. Retired employees opting for the Post Retirement Benefit Scheme on contribution of prescribed amount can avail medical benefits as per the Scheme and the liability is funded to NMDC Employees Superannuation Benefit fund trust.09 Assets by Geographical Location: (Rs.26 1.41 18.Annual Report 2010-11 Schedule .083. Employees are paid eligible amount at the time of retirement for their settlement by the NMDC Employees Superannuation Benefit fund trust.70 5. 5.070..99 Additions to Fixed and Intangible Assets Curr. 2.301.02 DISCLOSURE OF EMPLOYEE BENEFITS AS PER AS-15(REV) GENERAL DESCRIPTION OF DEFINED BENEFIT PLANS : PLAN DESCRIPTION Eligible amount is paid to the employees on separation by NMDC Group Gratuity Trust.02 114.368. in crore) Location Carrying amount of Segment Assets Curr. 2.94 Prev.56 Prev.682. Payable to the eligible employees on availment/encashment of Home Town LTC/All India LTC.46 1.20 15.98 560. in Crore) Revenue from External customers .168.23 : Detailed Information (Contd.15 24.
72 63.64 63.24 1.06 103.22 – 11.50) – 120.20 12.06 1.43 11.70 120.32 103.75 – (0.59) (0.70 58.26 6.70 (56.59) (2.26 103.65 – (56.93 147.67) 12.23 – (0.60) 122.50) 24.59) (0. Changes in the fair value of the Plan Assets as on 31st Mar 2011 Fair value of plan assets at the beginning of the year Expected return on plan assets Contributions Benefits paid Actuarial gain/loss on plan assets Fair value of plan assets at the end of the period C.44 147.93 – – – – – – – 0.32 12.52) (11.93 18.22 3.56 13.66) 63.19 – (6.23 : Detailed Information (Contd.22 .30 3.87 8.52) – 63.50 2.) OTHER DISCLOSURES : (Rs in crore) Gratuity Accrued Settlement Post Leave Allowance retirement Salary medical facilities LTC Family Long Benefit Service Scheme Award A.81 12.22 (2.93 – 6.01 11.32 – 122.32 – 0.65 9.87 – – – – 2.31 20.87 – – 103.98 58.98 26.23 – – – – 1.64 12.46 – (7.23 – – 11. Changes in the present value of the Obligation as on 31st Mar 2011 Present value of obligation at the beginning of the year Interest cost Current service cost Past service cost Benefits paid Actuarial gain/loss on obligation Present value of obligation at the end of the period B.82) 12.35 11.93 12.53 – – – – 11.64 – 121 12.43 8..NMDC Limited Schedule .64 12.50 1.01 (6.24 – – – – – – 163.77 1.33 6.65 4.19 11.79) 7. Amounts recognised in the Balance sheet as on 31st Mar 2011 Present value of the obligations at the end of the year Fair value of plan assets at the end of the year Liability/Asset recognised in the balance sheet 160.98 18.
01) 1.Settlement allowance and LTC are including that of erstwhile SIIL.98 (9.66) 2.35 (2. Amounts recognised in the P&L account for the period ended on 31st Mar 2011 Current service cost Past service cost Interest cost Expected return on plan assets Net acturarial gain/loss recognised in the year Expenses recognised in P&L a/c 3. Accrued leave salary. iii. ii. DESCRIPTION i.(8..08 cr) F Principal Actuarial Assumptions: . iv.60) Note : The opening obligations and plan assets of Gratuity. Increase/Decrease on aggregate service and interest cost of post retirement medical benefits Increase/(Decrease) on present value of defined benefit obligations as at 31-03-2011 one percentage point decrease in medical inflation rate Rs.65 – 12.23 : Detailed Information (Contd. E.01 1.9.09) 20.) (Rs in crore) Gratuity Accrued Settlement Post Leave Allowance retirement Salary medical facilities LTC Family Long Benefit Service Scheme Award D.22) 24.07 cr Rs. Rs.59) (0. Effect of one percentage point change in the assumed inflation rate in case of valuation of benefits under post-retirement medical benefit scheme : one percentage point increase in medical inflation rate i. v.19 – – – – 2.60) 26.44 27.Annual Report 2010-11 Schedule .75 – 1.46 – 8.67) (1.12 (0.(1.19 – 4.17 18. 122 .35 2.2.23) (2. .06) – – – – – – – (0.31 (0.76 cr) ii.30 (13. Discount Rate Mortality Rate Medical Cost Trend rates Withdrawal rate Future salary increase 2010-11 8% LIC 1994-96 ultimate 4% 1% to 3% 5% 2009-10 8% LIC 1994-96 ultimate 4% 1% to 3% 5% G The Actuarial gains or losses arising during the year are taken to Profit and Loss account.20 1.42 cr Rs.06 (1.50) (11.
80 crore are transferred in the name of the trust. on account of shortfall in the Post retirement medical facilities Rs. Due to the above. the Company has included in its accounting policy 'raw materials' as part of Inventory (B.23 crore are transferred to the above trust on 30/03/2011.3 1.1 a b c 1. Further.5) in view of transfer of its obligations towards non statutory employee benefits i. During the year.103.77 – 2. towards Post retirement medical Rs.3). Accrued leave salary (C. In addition.347.2.11. 107.2 18.104.22.168.NMDC Limited Schedule . This has no impact on the profitability of the Company.1.2. there is no production of LG fines of Kumaraswamy in current year.12 1. Consequently.24 : Notes Forming Part of Accounts 1. the deposits with LIC towards accrued leave salary Rs.39 52.33 crore and Family benefit scheme Rs.. in Crore Particulars As at 31-Mar-11 As at 31-Mar-10 1.12 13.. the Company has revised the accounting policy on Inventory-Low grade Iron ore of Kumaraswamy.2. as LG fines of previous year are valued during the year with royalty payable and an equal amount is provided for as royalty expenditure.1. Conservancy Tax.e.3 .25 26.23 6. Estimated amount of contracts remaining to be executed on Capital account Contingent liability on bills discounted under LCs/counter guarantees given for BGs Changes in Accounting Policies : During the year. the amount due to the trust as on 31/03/2011. the funds held by the Company.5. Consequent to the merger of Sponge Iron India Ltd with the Company. 18.5. the earlier stocks are also considered as part of opening inventory.18 34. the Company has modified its accounting policies on Payments under employees' family benefit scheme (C.92 2.5. post retirement medical facilities and family benefit scheme to NMDC employees' Superannuation Benefit fund Trust.87 crore and family benefit scheme Rs.3) and accounting policy on 'waste products' under Revenue recognition (C. There is no impact on the profitability of the Company.79 crore.".4 Claims against the company not acknowledged as debts consists of: Disputed claims under Property tax.2 1. Low grade Iron ore of Kumaraswamy mine is considered as part of production as against the earlier practice of not considering the same. 123 45.2.1). As a result.75 395.1). (Accounting policy no: B. Claims by contractors under arbitration Other claims on company not acknowledged as debts Uncalled liability on Shares partly paid : in Krishnapatnam Railway Company Ltd. Export tax.21 crore and Settlement allowances Rs.20 crore shown under "Other liabilities. accrued leave salary. 2.4) and other benefits (C.1 2.1. Further. settlement allowance.06 34.08 8.8. Contingent liabilities: Rs. closing value of "inventoriesfinished goods-iron ore" has increased by Rs.2. Sales tax etc.
1987 at Sponge Iron Unit are subjected to technical assessment against the practice of depreciating based on Schedule XIV rates followed by the erstwhile Sponge Iron India Ltd. The scheme comes into operation from the appointed date i.27.14.Rev): Necessary details have been disclosed in Schedule 23-Detailed information. e) As per the Scheme. the effective date for accounting purpose is 30th Jun 2008.e.83 crore as consideration to the shareholders of erstwhile SIIL against the net assets of Rs.' b) In line with NMDC Ltd's accounting policy. The unamortised depreciable amount of these assets at the beginning of the year is being charged off over the remaining useful life of the assets.64.1.1. c) The amalgamation has been accounted for under the "Purchase" method as prescribed by Accounting Standard 14 on "Accounting for Amalgamations" issued by the Institute of Chartered Accountants of India.78 crore. of India vide its order dated 25/05/2010.68. d) The operating loss of the SIIL during the period 30th Jun 2008 (being appointed date) to 31/03/ 2010 amounting to Rs. the Company has paid an amount of Rs. the Sponge Iron India Ltd (SIIL) engaged primarily in the business of producing. 4.42 crore has been withdrawn and recognised as 'other income. manufacturing and Selling Sponge Iron has been merged with NMDC Ltd which is primarily engaged in mining of Iron ore.2 Employee Benefits (AS-15 .12. totalling to Rs.09 crore is recognised as "Goodwill" as on 30/06/2008.36 crore with a corresponding reduction in profit. 124 . The same is amortised over a period of 3 years from the appointed date. all the assets acquired after 01.e. As a result. 4. 01/07/2010. Govt.Annual Report 2010-11 3. Due to the incorporation of Sponge Iron Unit into current year accounts of NMDC Ltd. with effect from 1st Jan 2007. amortised goodwill between the appointed date to 31/03/2010 amounting to Rs. current year figures are not strictly comparable to those of the previous year. which became effective on the date on which the order of merger as issued by MCA is filed with ROC by erstwhile SIIL and NMDC i. The accounts of the unit have been incorporated into NMDC accounts from 01/04/2010. The depreciation as worked out on the revised life of the assets has resulted in higher depreciation of Rs. the assets and liabilities of the erstwhile SIIL are incorporated at their existing carrying values.69 crore has been adjusted against the General Reserve of the Company without opening the accounts of NMDC Ltd for the Previous year. As a result. after adjustment of arrears paid. In line with the standard. b) The scheme of Amalgamation of the erstwhile SIIL with NMDC Ltd was approved in the meetings of members & Un-Secured creditors and subsequently sanctioned by Ministry of Corporate affairs (MCA). Accordingly.31 crore and expenses on stamp duty & legal charges Rs. the Company has implemented revised salaries and wages to its employees except at Sponge Iron Unit.The excess of consideration paid over net assets Rs. the wage revision provision has been reviewed and the excess provision amounting to Rs.8. Significant accounting adjustments : a) During the year. 4.52 crore.61 crore has been adjusted against the General Reserve.1 Disclosures under Accounting Standards: Amalgamations : (AS 14) Merger of erstwhile Sponge Iron India Ltd with the Company : a) During the year.04.30/06/2008 and the assets and liabilities of erstwhile SIIL stand transferred to NMDC Ltd with retrospective effect from the appointed date.80.
11 0.46 – 0. 6.Thiagarajan Sri G.39 1. New Delhi (in the process of liquidation) Key 1. 4. 2. Key Management Personnel: Managerial Remuneration 2. Associate Companies: Investments: Opening balance Paid during the year towards equity Closing balance Deration against diminution in value of investment 3.Venkatesan Sri N K Nanda Sri. Related Party Disclosures (AS-18): (i) List of Related parties with whom transactions have taken place and their relationships: A.B. 5. 13/08/2010) (ii) Transactions during the year with Related parties: Rs. JK Mineral Development Corporation Limited. S.04 0..Joshi (w.93 11.4 Segment Reporting (AS-17): Necessary details have been disclosed in Schedule 23-Detailed information.93 – 11. crore Sl No Particulars Year ended 31-MAR-11 1.93 – 11. Management Personnel: (Directors) Sri Rana Som Sri VK Sharma Sri S. Subsidiary Companies: 1. 3. Madagaskar NMDC-CMDC Ltd.e. 3. B. Subsidiary Companies: a) Investments: Opening balance Investment made during the year Closing balance Investment deration / Provision b) Loans and Advances: Opening balance Advances given during the year Adjusted against amounts payable Advance written off during the year Closing balance 2.Sail (India) Limited.88 – – 2.06 0.11 – 0. Jammu NMDC SARL.12 0. C.11 0.NMDC Limited 4. 2.11 0.11 0.18 1.16 11.f.3 4.11 – 0.32 0.18 11.16 31-MAR-10 125 .93 11. Raipur Asssociate Companies: Romelt.
58 0.96. 2. The above subsidiary suffers from significant impairment in it's ability to transfer funds to the parent Company in terms of para 11 of AS 21. including expenditure of Rs.88 109.8 Net Deferred Tax Liability (A-B) Discontinuing Operations (AS-24): It has been decided to sell the plant and machinery of Silica Sand Project.. no further disclosure under the standard is considered necessary. 4. in crore) Particulars 31-MAR-11 A.21 crore) on feasibility studies.16. 2.Annual Report 2010-11 4.6 Profit after Tax (Rs Crore) No of Equity shares Nominal value per Equity share (Rs) Basic and Diluted Earnings per share (Rs) 6.22 3. Deferred Tax assets: 1.56 6.47. 126 . Vizag.36 AS AT 31-MAR-10 TOTAL (B) C. Pending the above and as the transactions of the units are not material. 4. NMDC SARL.65 4.69 Consolidated Financial Statements (AS-21): The subsidiary of the Company Viz.25 crore).04 91.499. Madagascar is under closure and in the process of winding up.18 crore (previous year Rs.2.13. consolidated financial statements of NMDC Ltd and its above subsidiaries have not been drawn up for the period ended 31-MARCH-2011 also. For the aforesaid reasons. another subsidiary incorporated during 2008-09.9 Intangible Assets (AS-26) : R&D The Research & Development expenditure. as per the practice followed in earlier years.000 1 8. Raipur.88 0. Deferred Tax Liability: Related to Fixed Assets B.16 102.47. 4.59 0.14.5 Earnings per share (AS-20)-: The details are as under: Particulars Year ended 31-MAR-11 1. 3. 3. 4.447.48 84. Lalapur and UPFO Plant.39 31-MAR-10 3. Provision for bad & doubtful debts and advances Provision for post retirement medical benefits Accrued Expenses Other provisions 0.000 1 16. 4. 4. are not material in terms of para 4.12 crore (previous year Rs.3 of Preface to the statements of Accounting Standards issued by ICAI. 2.76 – 6.26 3.16.7 Accounting for Taxes on Income (AS-22): The details of deferred tax liability as at 31st MARCH 2011 are as follows: (Rs.96.82 4.. The transactions during the period ended 31st MAR 2011 of J&K Mineral development corporation Ltd.68 0. charged to Profit & Loss account during the year is Rs. Jammu and NMDC-CMDC Ltd.
34 7. the recoverable amount has been taken as nil without applying any discount rate. Vizag and SSP.48 The Recoverable amount of the assets of the UPFO.46 12.10 13. no further adjustments are required to be made. The details of impairment made in earlier years are as detailed below. Since the value in use has resulted in negative cash flows. included under the segment 'Other Minerals and Services' and on such review.65 0. Disclosure as required by clause 32 of listing agreements: 127 .30 crore.40 1.09 1.60 12. Contingent Liabilities and Contingent Assets (AS-29) : Necessary details in regard to provisions have been disclosed in Schedule 12-Provisions.48 – – 15. Electricity. the additions to fixed assets (except land and buildings) are Rs.0. Rs in crore Unit Year of impairment 2005-06 2005-06 Impaired Amount as on 01-04-10 37. 5. at R&D unit.54 Adjustments during 2010-11 Reversal – – Addition – – 37.06 2009-10 0. Vizag SSP.54 Impaired Amount as on 31-03-11 UPFO.34 12.46 12. 4.10 Impairment of Assets (AS .29 1.25 11.87 3. Lalapur SAF Plant at Sponge Iron Unit 2004-05 15.88 1. 4.06 0. In the case of SAF plant at the Sponge Iron Unit.11 Provisions. The impairment of assets has been reviewed during the year in respect of the following cash generating units. Water Payments and Benefits to employees Repairs and Maintenance Other expenditure Depreciation Total expenditure Less : Other income Total net R&D expenditure 2010-11 0.35 0.29 2.25 0.04 During the year.NMDC Limited The amount of revenue expenditure incurred at Research & Development unit. Lalapur and UPFO plant at Vizag. Hyderabad is as under: Rs. the impairment is based on net selling price as assessed by the approved valuer.28): Action has been initiated to sell the plant and machinery of Silica Sand Project.21 7. in crore Head of account Consumption of Stores and Spares Power. Lalapur units have been arrived at considering the 'value in use'.
31 – 0. in crore Name of the Company Outstanding balance As at 31/03/2011 JK Mineral Development Corporation Limited.12 crore (Previous year Rs. Madagaskar NMDC-CMDC Ltd. The undistributed golden jubilee gifts pertaining to the eligible employees are kept in the custody of the Company. Advances and Deposits are awaited.57 crore has been made during the current year.. towards Rehabilitation Cess u/s 441A of the Companies Act.Sail (India) Limited.4 6. There are no loans and advances in the nature of loans. 1956 at the minimum rate of 0. Others: The processing plant at Panna stopped with effect from 01-07-2010 for want of final forest clearance for supplementary mining lease. A liability of Rs 0.55 crore)) and the same is not remitted to Central Govt. New Delhi. in this regard. 6. Chartered Accountants (CA SURENDRANATH BHARATHI) Partner Membership No. Jammu NMDC SARL.19 As at 31/03/2010 – – 0. THIAGARAJAN) Director (Finance) (RANA SOM) Chairman-cum-Managing Director (KUMAR RAGHAVAN) Company Secretary 128 . 23837 Firm Regn No.4 6.1 6.1 in the shares of NMDC Ltd. 002899S Place : New Delhi Date : 27-05-2011 (S. For and on behalf of the Board 5. Raipur 5. mining activities are continuing. in which directors are interested.005% on the turnover (cumulative provision Rs 2.19 As at 31/03/2010 0. However.5 Subject to our Report of even date For RAMAMOORTHY (N) & Co.2 6.18 Maximum Balance outstanding As at 31/03/2011 1.18 There is no Investments by the loanees as mentioned in 5. Figures for the previous year have been regrouped wherever considered necessary so as to conform to the classification of the current period. in the absence of any notification issued by the Central Govt...3 6.1 Loans and advances in the nature of loans to Subsidiary companies where there is no repayment schedule or no interest: Rs.87 – 0.Annual Report 2010-11 5. to firms/companies. No loans and advances have been given to the Associate Company M/s Romelt.2 5.3 1. Replies to some of the letters seeking confirmation of balances with regard to Sundry Debtors.87 – 0. 1.
13 0. 2010 Consumption of Stores & Spares Power Salaries.19 3.46 0.33 1.92 0.50 0.03 1.21 0.82 0.52 19.62 0.51 0.49 69.08 – 1.58 0.78 13.90 12.79 – 0.17 8.21 6.54 – 0.66 3.61 13.62 67.17 1.75 25.01 0.17 7.11 29.69 75.16 0.94 0.08 0.87 1.09 1.37 1.16 13. 2011 Description Township School & Educational Facilities Medical Facilities Social & Cultural Activities Transport Total For the Year ended 31st March.06 – 0.06 28.03 1.94 3.03 0.22 0.39 129 .22 0.78 0.20 27.27 – 0.07 0.29 – 0.75 7.25 : Expenditure on Social Amenities (Rs.79 – 1.15 21.NMDC Limited Schedule . in Crore) For the Year ended 31st March.28 1.83 26.79 – 0.58 9. Wages & Bonus Contribution to Provident Fund Group Gratuity Welfare Expenses Repairs & Maintenance Rates.82 2.56 8.66 0.93 0.39 – – 0.01 3.09 0.33 5.22 1.00 – 1.04 13.05 0.63 2.08 20.27 2.02 1.08 0.68 1. Taxes & Insurance Other Expenses Depreciation Total Expenditure Less: Receipts Net Expenditure 0.94 73.86 1.22 0.01 1.33 3.
1 1.3 1 : 3074 1 : 798 130 .Annual Report 2010-11 Schedule .2 2.13 4.82 For the Year ended 31st March. 2.48 50 1.26 :Additional Information on Expenditure on Foreign Travel & Public Relations/Publicity (Rs. 1.2 2. 2010 1.2.1 2. 2011 Expenditure on Foreign Travel : Number of Foreign Tours undertaken (No) Expenditure incurred Details of expenditure on Public Relations/Publicity : Expenditure on Public Relations/Publicity Expenditure on staff engaged on Public Relations/Publicity works : Salaries & Allowances Welfare Expenses Other Expenses 0.13 – – 0.09 8.3 Ratio of Annual expenditure on Advertisement/Publicity to Annual Income 0.38 – – 0.2.2.90 44 1. in Crore) Details For the Year ended 31st March.2 2.1 2.38 2.
84) 0.68) (53.180.66 cr) Adjustments for : Depreciation & Amortisation of goodwill Interest on deposits with banks Other Interest Prov for bad & doubtful advances & Misc.02) – (307.96) 5.99 (1.62) (115.47 – (1.095.60) 831.17 (37.15 1.24 (79.66 (114.47 266.28) 3.00 14.770.46) 4.24) 406.319.79 (111.42 73.55 121.207.00) (14.89) (19.16 (831.74 3.54) 1.374.727.13) 134.46) 3. CASH FLOW FROM OPERATING ACTIVITIES Net Profit before Taxes and Extraordinary items Operating loss of SIIL from appointed date to 31-Mar-2010 (net of deferred tax adj of Rs.01 9.47) (110.73 2.15) 1.73) (2.78) (4.88 – (3.46 4. CASH FLOW FROM INVESTING ACTIVITIES Purchase of Fixed Assets Puchase consideration paid to the Shareholders of SIIL & legal charges Increase(-)/Decrease(+) in Capital work in progress Purchase of Investments Interest on deposits with Banks Other interest Sale/Deletion of Fixed Assets Increase(-)/Decrease(+) in Deferred Revenue Expenditure Net Cash flow from Investing Activities (400.095.604.13) 450.88) (59.84 1.63) (82.46 8.73) 8.1.41 (1.448. 2011 (Rs.62 (3.32 – Year ended 31-Mar-10 131 .31 (1.14) (229.13) 3.861.44 5.65 (1.NMDC Limited Cash Flow Statement for the Year ended 31st March.705. in Crore) Year ended 31-Mar-11 A.71 600. losses written off Profit/loss on sale of fixed assets (net) Deferred revenue expenditure written off Operating profit before working capital adjustments Increase(-)/Decrease(+) in Inventories Increase(-)/Decrease(+) in Receivables Increase(-)/Decrease(+) in Loans & Advances Increase(-)/Decrease(+) in other current assets Increase(+)/Decrease(-) in current Liabilities & Provisions Cash Generated from Operations Interest paid Direct taxes (Net) Net Cash Flow from Operating Activities B.
73 6.29 9.09 (765.Annual Report 2010-11 (Rs.09 17.17) 4.854.87 12.115.94 3.37 0.228.739. Out of the term deposits.10 crore) lying in designated Bank accounts towards Unclaimed dividend. It is not available for operations of the Company.854.59) (141. in Crore) Year ended 31-Mar-11 C. 002899S Place : New Delhi Date : 27-05-2011 (S.28 12.15 Cash & Cash equivalents at the end of the year 17. 23837 Firm Regn No. Chartered Accountants For and on behalf of the Board (CA SURENDRANATH BHARATHI) Partner Membership No.854. Subject to our Report of even date For RAMAMOORTHY (N) & Co.58) (994.29 Year ended 31-Mar-10 1.160. THIAGARAJAN) Director (Finance) (RANA SOM) Chairman-cum-Managing Director (KUMAR RAGHAVAN) Company Secretary 132 .05) (895.21 12.70 0.65 – 9.91 12.910.06 72. 2.228.80 crore (Previous Year Rs.0..775. 0.27) 3.317.22) (130.60 crore) is offered as Security for Bank Guarantees and Letter of credit.115. Rs.65 12.91 Components of Cash & Cash equivalents: Cash & cheques on hand Balances with Scheduled banks in current account in Term deposits Balances with other banks 63.94 3.28 crore.317. (Previous year Rs.87 17.739. CASH FLOW FROM FINANCING ACTIVITIES Payment of dividends Tax on dividend Net cash used in Financing Activities NET INCREASE IN CASH AND CASH EQUIVALENTS (A + B + C) Cash & Cash equivalents at the beginning of the year Add : Transferred consequent to merger of SIIL at the appointed date (852.06 4.94 55. The cash and cash equivalents includes Rs.
.....K................. VIJAYA GUPTA & CO.. Fax No.................. Joshi Shri Mohd.. Sharma Shri G............... Chartered Accountants 233-A.... Office : 143-A....2011 Shri Rana Som Shri Manzoor Ahmad Shah Shri V.......... UCO Bank Lane Gandhi Nagar Jammu .....0191-2436950 Email : jkmdc@nmdc..C......... 134 Auditors’ Report ............. 154 J&K Mineral Development Corporation Limited (A Subsidiary of NMDC Limited) Regd...................... 139 Balance Sheet .......180 004 Chairman Director Director Director Director Director Director Company Secretary Auditors M/S............... Thiagarajan Shri V..........J&KMDC Limited Twenty Second Annual Report 2010-2011 BOARD OF DIRECTORS As on 13....................... Nanda Shri S...................................... Gandhi Nagar............co......180 004 C O N T E N T S Directors’ Report .......................B........ Sharma Shri N..........................................K.....05. 145 Balance Sheet Abstract .........180 004 Phone : 0191-2431396.. Jammu ...................... 144 Schedules ..in 133 . Imam Bankers State Bank of India Gandhi Nagar Jammu ........... 143 Profit & Loss Account ....
after its renewal. Civil Secretariat. Govt. NMDC submitted duly completed application to the Commissioner / Secretary to Government. 1. Jammu. The Detailed Project Report (DPR) of Panthal Magnesite Project has been prepared by M/s MECON. In view of this changed scenario action to set up the Panthal Magnesite Project has been revived.04. NMDC which has been entrusted the work of setting up the Project prepared EIA / EMP report and submitted to MOEF for environment clearance on 23. The DPR and DDR with Capex of Rs. NMDC has appointed M/s M N Dastur as EPCM Consultant for execution of the Project. Proceedings of the P. Wild life conservation plan. Accordingly NMDC has applied for NOC from National Wild Life Board on 24.2010. NMDC Ltd.2011 To The Members J&K Mineral Development Corporation Ltd.09. are being submitted by J&K State Pollution Control Board (J&K SPCB) to Ministry of Environment & Forest (MOEF). submitted lease renewal application with Government of Jammu & Kashmir for Panthal Magnesite deposit for a further period of 20 years with effect from 02. MOEF. Further the Capex was revised to Rs. Forest Department. Added to this. 11. We have pleasure in presenting to you on behalf of the Board of Directors of the Company.122.02.2009 for a period of ten years and the Mining Lease has been transferred to J&KMDC on 10. Pkg-1 : Kilns.e. Jammu.02.00 crores after including the cost of water scheme.H.2011. MOEF advised during the meeting (1) to obtain permission / NOC from National Wild Life Board and (2) to submit a comprehensive plan for Land slide hazard and Earth quake Management Plan since the proposed site comes under seismic zone-IV. The project is envisaged to be executed in four packages.2010. MOEF sought clarifications on certain issues including the Status of forest clearance under forest conservation act. reduction in the export of DBM from China to various countries has resulted in the increase in price of various grades of DBM products. .122. an authentic map of the proposed site from chief wild life warden and his comments.2011 as per Mining Lease renewal order. Hyderabad in August 2009. on 01. NMDC submitted clarifications and further presented the case in the MOEF on 23.143. of India for environment clearance. Public Hearing (P. The lease has been renewed in favour of NMDC with effect from the date of expiry of the present lease i.01. Material processing and handling equipments. the Twenty Second Annual Report of your Company for the year ended 31March.2011 and further as advised by DIG (Wild Life). road from mine to Plant 134 which was earlier not included in Project Capex. Earth quake Management plan etc. Present Status: Demand of Dead Burnt Magnesia (DBM) in India has increased with the rise in production of steel in th country. NMDC has taken action for preparing the comprehensive plan for Land Slide Hazard and Earth Quake Management Plan by engaging experts in the field.Annual Report 2010-11 Directors’ Report for the year 2010 .H) for the Project was conducted successfully on 04.03.89 crores for the Panthal Magnesite Project were approved by J&KMDC Board. Ranchi in May 2009 and Due-diligence (DDR) of the same with a Capex of Rs. 2011.89 crores completed by M/s IFCI.01.2009 and also furnished an Undertaking in the shape of Board Resolution for transfer of the same to J&KMDC Ltd. Land Slide hazards.2011.01.
70. (ii) 4. which forms part of this Report. the Authorized Share Capital of the Company was increased to Rs. Your Company till 31st March. 1956 on the Accounts of the Company for the year are at 2010-2011 Annexure-II.100/. have been appointed on the advice of the Office of the Comptroller & Auditor General of India as the statutory auditors of your Company for the year 20102011. Consent for establishment and mode of payment from Shrine Board.00.100/each fully paid to J&K Minerals Ltd.47. The net loss after writing back of excess provision for taxation is Rs.3. Work order will be placed as deposit work after obtaining all statutory clearances.74 crore against the issued capital of Rs. . 2. 2011 stands at Rs.J&KMDC Limited Pkg-2 : Electrical system Pkg-3 : Soil Investigation Pkg-4 : balance Civil and Structural works. Share Capital: During the year. The same was divided into 70.. The Comments of Comptroller & Auditor General of India under Section 619(4) of the Companies Act.4.000 Equity Shares of Rs.73 lakh. The Statutory Auditors' comments on the Accounts of the Company for the year 2010-2011 and the Management's reply thereon are at Annexure-I. 2011. Final scheme is awaited. Public Health Engineering Dept.00 crore. 1956 read with the Companies (particulars of the employees) Rules 1975.937 shares of Rs. foreign exchange earnings and out go concerning your Company is 'NIL'.10. Draft scheme has been prepared.100/.00 crores from Rs. Draft tender document of pkg-2 has been prepared and is under scrutiny by NMDC.07. 6. under the provisions of Section 217(1)(e) of the Companies Act. against cash received.each other than cash) and 78. Jammu. no employee of your Company was in receipt of remuneration as prescribed under the said rules. The total paid up share capital 135 of the Company as on 31st March.00 crores to meet the funds requirement of the DBM Plant. has issued 3. Out of theses four packages Pkg-3 (Soil Investigation) has already been awarded and the work has been completed. technology absorption. Tendering process of Pkg-4 (Balance Civil and Structural Works) has been concluded and the work can be awarded after obtaining Environment clearance. Pkg-1 has also been tendered.. 1956 read with the Companies (Disclosure of particulars in the Report of Board of Directors) Rules 1988.96. Power availability Certificate for 1428 KVA has been issued by Superintending Engineer. The amount advanced by NMDC is Rs. the information regarding conservation of energy.740. Further. 3. Reasi submitted the final scheme of water which has been accepted by NMDC.each.100/each fully paid to NMDC Limited (including 1. The Company has not produced sized raw Magnesite during the year 2010-2011 The total loss incurred during 2010-11 is Rs. Statutory Information: (i) Under the provisions of Section 217(2-A) of the Companies Act.55. NMDC Limited is advancing the funds required to meet Project capex and the day-to-day expenditure of the Company in the absence of Equity subscription and further funding from J&KML. System and Operation Circle-I.56 lakh up to 31. Jammu.97 lakh. which forms part of this Report.001 Equity Shares of Rs. Audit: M/s Vijay Gupta & Co. Chartered Accountants.2011.002 Equity Shares of Rs.
(b) Audit Committee The provisions under Section 292-A of the Companies Act. Board of Directors: During the year Shri S. with respect to Directors' Responsibility Statement. 8. J&K Minerals Limited and the Government of Jammu and Kashmir. Corporate Governance The guidelines on Corporate Governance for Central Public Sector Enterprises 2010 issued by the Government of India. 1956. 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. under the provisions of the Companies Act. 1956.. Joshi was appointed as nominee Director of NMDC Limited with effect from 13th May. on the Board of the Company retired on 31st March. for constitution of Audit Committee of Directors are not applicable to the Company. That the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act. who have been closely associated with the project. (a). 9. Venkatesan during his tenure as Director of the Company. Board Meetings During the year under review five (5) Board meetings were held as required 136 Place : Hyderabad Date : 02.B.Annual Report 2010-11 5. the provisions of the Corporate Governance on Subsidiary Companies have been regarded as not applicable to J&KMDC Ltd. That the Directors have prepared the accounts for the financial year ended 31st March. The Directors gratefully acknowledge the assistance.. Shri G.07. Department of Public Enterprises under explanation after clause 6. 2011.. For and on behalf of Board (ii) (iii) (iv) 7.3 states: 'For the purpose of these guidelines. Since the turnover and net worth of J&KMDC is much less than 20% of the turnover and net worth of NMDC. Venkatesan. Acknowledgement: Your Directors appreciate the efforts put in by the employees of your Company and the employees of NMDC Ltd. Director nominated by NMDC Ltd. 2011. 6. Board placed on record its appreciation for the services rendered by Shri S. 1956. only those subsidiaries whose turnover or net worth is not less than 20% of the turnover or net worth respectively of the Holding Company in the immediate preceding accounting year may be treated as subsidiary Companies'. Directors' Responsibility Statement: Pursuant to the requirement under Section 217(2AA) of the Companies Act. support and valuable guidance given to your Company by the Government of India (Ministry of Steel). NMDC Ltd. 2011. it is hereby confirmed: (i) That in the preparation of the accounts for the financial year ended 31st March.2011 Rana Som Chairman . That the Directors have selected such accounting policies and applied them consistently and made judgments and estimates that were reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for the year under review. 2011 on a 'going concern' basis. the applicable Accounting Standards have been followed along with proper explanation relating to material departures.
For and on behalf of the Comptroller and Auditor General of India (Ila Singh) Principal Director of Commercial Audit & ex-officio Member.30 crore (To the extent not written off or adjusted) The above expenditure represents prescribed fee paid to Registrar of Companies towards increase in Authorised Share Capital of the Company. 1956 is the responsibility of the management of the Company. on behalf of the Comptroller and Auditor General of India. Comment on Financial Position Balance Sheet Application of Funds Miscellaneous Expenditure : Rs. Jammu for the year ended 31 March 2011 in accordance with the financial reporting framework prescribed under the Companies Act. 1956 ON THE ACCOUNTS OF J&K MINERAL DEVELOPMENT CORPORATION LIMITED. This is stated to have been done by them vide their Audit Report dated 16th May 2011.30 crore and understatement of Loss for the year to the same extent. 1956. Place : New Delhi Dated : 28 June. 2011 137 . 1956 of the financial statements of J&K Mineral Development Corporation Limited.J&KMDC Limited Annexure . Audit Board-I. This supplementary audit has been carried out independently without access to the working papers of the Statutory Auditors and is limited primarily to inquiries of the Statutory Auditors and the Company personnel and a selective examination of some of the accounting records. New Delhi. are responsible for expressing opinion on these financial statements under Section 227 of the Companies Act. Non-charging of the amount has led to overstatement of ‘Miscellaneous Expenditure’ by Rs. have conducted a supplementary audit under Section 619(3)(b) of the Companies Act. I would like to highlight the following significant matters under section 619(4) of the Companies Act. The amount being of revenue nature should have been charged to Profit and Loss account in the same year.0. Jammu for the year ended 31 March 2011. 1956 which have come to my attention and which in my view are necessary for enabling a better understanding of the financial statements and the related Audit Report.I COMMENTS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA UNDER SECTION 619(4) OF THE COMPANIES ACT.0. The Statutory Auditors appointed by the Comptroller and Auditor General of India under Section 619(2) of the Companies Act. 1956 based on independent audit in accordance with the Auditing and Assurance Standards prescribed by their professional body. Based on my supplementary audit. I. the Institute of Chartered Accountants of India. JAMMU FOR THE YEAR ENDED 31 MARCH 2011 The preparation of financial statements of J&K Mineral Development Corporation Limited.
Auditors’ Comments Balance Sheet Application of Funds Miscellaneous Expenditure : Rs. 1956 under the head "Miscellaneous Expenditure".30 Crore (To the extent not written off or adjusted) The above expenditure represents prescribed fee paid to Registrar of Companies towards increase in Authorised Share Capital of the Company.Annual Report 2010-11 REPLY TO COMMENT OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA UNDER SECTION 619(4) OF THE COMPANIES ACT.0.30 crore and understatement of Loss for the year to the same extent. 138 . Non-charging of the amount has led to overstatement of 'Miscellaneous Expenditure' by Rs. Management’s Reply The Authorised Capital has been increased by paying filing fee of Rs.30 crore to enable the Company to issue shares in future to meet the fund requirement for implementation of DBM plant. The amount being of revenue nature should have been charged to Profit and Loss account in the same year. Hence the same has been classified as 'Miscellaneous Expenditure'. This is similar to the nature of expenses covered under schedule VI (part I) of Companies Act. which includes commission or brokerage on underwriting or subscription of shares or debentures.0. 1956 ON THE ACCOUNTS FOR THE YEAR ENDED 31ST MARCH 2011.0.
We have audited the attached Balance Sheet of J&K Mineral Development Corporation Limited. Our responsibility is to express an opinion on these financial statements based on our audit. evidence supporting the amounts and disclosures in the financial statements. 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act. as well as evaluating the overall financial statement presentation.J&KMDC Limited Auditors’ Report To The Members J&K Mineral Development Corporation Ltd. In our opinion and to the best of our information and according to the explanations given to us. 1956.-080034 139 . of the state of affairs of the Company as at 31st March. we report that: (i) We have obtained all the information and explanations. (iii) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account. the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub-section (3C) of Section 211 of the Companies Act. 1956 is not applicable to this Company. proper books of accounts as required by law have been kept by the Place : Jammu Date : 16-05-2011 Company so far as appears from our examination of those books. the said accounts give the information required by the Companies Act. in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India. we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order. the clause (g) of sub-section (1) of section 274 of the Companies Act. on a test basis. For VIJAYA GUPTA & CO. 2011. Jammu. An audit also includes assessing the accounting principles used and significant estimates made by management. We conducted our audit in accordance with auditing standards generally accepted in India. As required by the Companies (Auditor's Report) Order. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.No. of the loss for the year ended on that date. a) In the case of Balance Sheet. In our opinion. as at 31st March 2011 and also the Profit and Loss Account for the year ended on that date annexed thereto. We believe that our audit provides a reasonable basis for our opinion. Chartered Accountants (iv) (v) (vi) b) (ii) (VIJAY GUPTA) Proprietor Memb. and In the case of Profit & Loss Account. As per information and explanations given to us. 1956. Further to our comments in the Annexure referred to above. which to the best of our knowledge and belief were necessary for the purposes of our audit. These financial statements are the responsibility of the Company's management. In our opinion. 1956. An audit includes examining.
Physical verification has been conducted by the management at the end of the year in respect of inventory and in our opinion such frequency of verification is reasonable.F. The Company has taken certain amounts from its holding Company 140 NMDC Ltd. 3) 4) 10) In our opinion according to the information and explanations given to us no purchase of goods and material & for sale of goods have been made in pursuance of contracts or arrangements under section 301 of the companies act 1956 as aggregate to Rs. No discrepancies are reported to have been noticed on such verification. 2003 issued by the Central Government of India in terms of section 227 (4A) of the Companies Act. for the purchase of inventory and fixed assets and for the sale of goods and services.000 or more in respect of each party and no such registers are reported to have been maintained. investor 5) 6) 7) .. 1956 and in terms of information and explanations given to us and on the basis of such checks as we considered appropriate.48 lakhs and the year end balance of such loan stands at Rs. The Company. undisputed Statutory dues including P. has transferred a few of the assets to its Holding Company on book value basis. There is an adequate internal control system commensurate with the size of the Company and nature of its business. the Company has an internal audit system commensurate with the size and nature of its business. According to the information and explanations given to us.56 lakhs. secured or unsecured. firms or other parties falling within the purview of Section 301 of the Companies Act 1956 and hence no such registers are reported to have been maintained. 13) Maintenance of cost records has not been prescribed by the Central Government under Section 209 (1) (d) of the Companies Act 1956 for this Company. 14) i) According to the information and explanations given to us and the records examined by us. in our opinion. during the year and the maximum balance involved during the year was Rs. The Company has not granted any loan. 11) The Company has not accepted any deposits from the public as defined under Section 58 A of the Companies Act 1956. during the past period. we report that : 1) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.740. 9) 2) Fixed assets are stated to have been physically verified by the management at the end of the year which. 8) The Company has taken interest free amounts from its Holding Company NMDC Ltd during the year. The Company is maintaining proper records of inventory and no discrepancies are reported to have been noticed on physical verification. the procedure of physical verification in respect of inventory followed by the management is reasonable and adequate in relation to the size of the Company and the nature of its business.Annual Report 2010-11 Annexure to the Auditors’ Report As required by the Companies (Auditors' Report) Order.00.187. 5. in our opinion. the Company has been generally regular in depositing with appropriate Authorities. The terms and conditions of such advance are prima facie not prejudicial to the interest of the Company. to the Companies. 12) In our opinion. is reasonable having regard to the size of the Company and the nature of its assets.
27) According to the information and explanation given to us. 18) The Company has not granted loans and advances on the basis of security by way of pledge of shares. 17) The Company has not taken any loan from Financial Institution or bank or debenture holder during the year. 20) The Company is not dealing or trading in shares. Chartered Accountants 15) There were no pending dispute for dues of sales tax/Income Tax/custom Duty/wealth Tax. 23) No funds raised during the year on short term basis have been used for long term investment.No. Wealth Tax. ii) According to the information and explanations given to us and the records examined by us. 26) The Company has not made any public issue during the year. wealth tax. 16) Accumulated losses of the Company at the end of the financial year-2010-2011. Excise Duty. debentures and other investments. no fraud on or by the Company has been noticed or reported during the course of our audit. cess and any other statutory dues wherever applicable etc. the Company has not given any guarantee for loans taken by others from the Bank or Financial Institutions during the year. income tax. as at 31st March 2011 which were outstanding for a period of more than 6 months from the date of they became payable. service tax. cess and other material statutory dues applicable to it. Sales Tax. 21) In our opinion and according to the information and explanation given to us. custom duty. there were no undisputed amounts payable in respect of Income Tax. 25) The Company has not issued any debentures and hence no creation of securities was required. 19) The provisions of any special statute applicable to chit fund are not applicable to this Company. Custom Duty. Place : Jammu Date : 16-05-2011 (VIJAY GUPTA) Proprietor Memb. Investor Education & Protection Fund.-080034 141 . sales tax.J&KMDC Limited education protection fund. Service Tax. excise duty. 22) The Company has not taken any term loans during the year. For VIJAYA GUPTA & CO. Employees State Insurance. securities. are more than its net worth and the Company has suffered cash losses in current as well as in the immediately preceding financial year. Service Tax. Provident Fund. debentures and other securities. excise duty/cess. 24) The Company has not made any preferential allotment of shares to parties and Companies covered in the register maintained under section 301 of the Act. employees state insurance.
4.3 Loose tools and implements on stock (items issued during the year are charged off in that year) at cost. Chartered Accountants (VIJAY GUPTA) Proprietor Memb. 4.K. Inventories: Items of inventory as certified by the management are valued on the basis mentioned below: 4.2011 142 (S. 4. 5.05. The depreciation is charged on pro rata monthly basis on additions/disposal of assets during the year taking the first day of the month for acquisition and the last day of the month for disposal. No.1 Finished Goods are valued at cost or Net Realisable Value.2 4. (MOHD. Jammu.2 Stores and Spares (excluding stationery. electrical installations.05.1 Depreciation: Depreciation is charged on straight line method based on the life of the asset determined on technical assessment.2. 5.000/. Provision for Gratuity and Leave Encashment are made based on accrued liability at the end of each financial year.000/.2011 .1. 1961 and deposited with Regional Provident Fund Authorities. The rates are equal to or higher than those prescribed under schedule XIV of the Companies Act. For and on behalf of Board 3.and below are depreciated fully in the year of use till 15th December 1993.5. whichever is lower. office installations. NANDA) Director (RANA SOM) Chairman 5. Plant & Machinery. Incidental expenditure during construction period: Expenditure incurred by the Company during the construction / trial runs of the project (including interest on borrowed capital.3 Partly used stores and spares kept in stores. 2. 4.2.1 Employees benefits: Provident fund contributions are made as per the provisions of the J&K Employees Provident Fund Act.THIAGARAJAN) Director (N.2 4.-080034 Place : Jammu Date : 16.2 Stock of run of mine ore generated during construction period pending assessment of quality and saleability. Miscellaneous Expenditure: Development expenses (pre-construction expenses).1 Stock of run of mine ore and dumped fines.1. sanitary and water supply installations. 2. expenditure on removal of over burden and preparation of Mining benches and preliminary expenses are amortised in In terms of our report of even date For VIJAYA GUPTA & CO. which is charged off to revenue on procurement) at cost on weighted average method.or below are depreciated fully during the year of use. 4.2.1 five annual installments from the year of commencement of commercial production. From 16th December 1993 onwards assets of all description valuing Rs.2 No credit is taken in the accounts in respect of the following: 2. 5. if any) are capitalized.1. office appliances and other equipments and those assets grouped under the category of "other assets" individually costing Rs. IMAM) Secretary New Delhi 13.Annual Report 2010-11 Significant Accounting Policies 1. 4. 1956.
74.099 1 4.99.05.30.46.300 Nil 4.300 8.21.000 10.85.798 22.214.171.124 30.541 3.00. Chartered Accountants For and on behalf of Board 9 7 8 9.04.631 3 2 7. NANDA) Director (RANA SOM) Chairman (MOHD.099 Nil 2.74.220 2.572 126.96.36.199.00.05.16.55. No.988 1.00. 2010 (VIJAY GUPTA) Proprietor Memb.74.056 188.8.131.52.2011 (S.852 -10.946 3.19.507 -8.71.J&KMDC Limited Balance Sheet as at 31st March.12.398 4.454 10.24.300 4 5 6 36.077 4.00.2011 .74.10.K.839 66.03. IMAM) Secretary 143 New Delhi 13.54.068 2.00.71.94.529 7.00. Loans & Advances: Inventories Cash & Bank Balances Loans and Advances Less : Current Liabilities & Provisions: Current Liabilities Provisions Net Current Assets Miscellaneous Expenditure: (to the extent not written off or adjusted) Profit & Loss Account (Debit Balance) TOTAL Accounting Policies & Schedules 1 to 16 form part of Accounts.57. 2011 (Rupees) Schedule Description Sources of Funds Share Capital Loans TOTAL Application of Funds Fixed Assets: Gross Block Less: Depreciation Net Block Capital Work In Progress Current Assets.04. 2011 As at 31st March.-080034 Place : Jammu Date : 184.108.40.2067 2.85.839 220.127.116.116 Nil 10.00.056 18.104.22.1687 2. In terms of our report of even date For VIJAYA GUPTA & CO.78.709 8.00.300 No.41.00.74.612 36. As at 31st March.52.011 4.20.300 Nil 4.300 4.64.THIAGARAJAN) Director (N.
045 24.sorting & transportation Consumption of Stores & Spares Electricity charges Payments & Benefits to employees Repairs & Maintenance Royalty & Cess Selling Expenses Other Expenses Depreciation Miscellaneous Expenditure written off TOTAL Profit/(Loss) before prior Year items Add/(Less) prior Year items Profit/(Loss) before Taxes Provision for Taxation Profit/(Loss) after tax Loss brought forward from previous Year Loss carried over to Balance Sheet Detailed Information Notes Forming Part of Accounts 15 16 Earlier Years Tax Fringe Benefits Tax -8. In terms of our report of even date For VIJAYA GUPTA & CO.181 9.59. 2011 (Rupees) Description Income: Sales Other Income Accretion / (Decretion) to stock TOTAL Expenditure: Sizing. 2011 For the Year ended 31st March.33.36.714 (55.261) (22.214.171.1241 (S.541 Nil 126.96.36.199 6.23.41.05.Annual Report 2010-11 Profit & Loss Account for the year ended 31st March.2011 . Chartered Accountants For and on behalf of Board (VIJAY GUPTA) Proprietor Memb.24.06.31. No.418 9.011) 14 13 11 12 Nil Nil 36.720) 10 Nil Nil Nil Nil Nil Nil Nil Nil Schedule No.111 Nil 55.THIAGARAJAN) Director (N.756 7.37.634 Nil 58.714) Nil (55.720 (58.05.24.600 Nil 14.-080034 Place : Jammu Date : 16. IMAM) Secretary 144 New Delhi 13. 2010 Accounting Policies & Schedules 1 to 16 form part of Accounts.70. For the Year ended 31st March.96.89.049 Nil 16.24.780 (47.72.541 (59.816) (104194077) Nil Nil 188.8.131.52.67.K.96.780 Nil -8. NANDA) Director (RANA SOM) Chairman (MOHD.714 24.720) Nil (58.56.077) (10.934) (10.34.714) 1.149 19.588 51.
300 6.000/-) and other promoter M/s. M/s National Mineral Development Corporation Ltd) TOTAL 4.000 Shares yet to be subscribed and paid up by the Holding Company (NMDC) is 48.00.000 shares of Rs. 2010 Share Capital: Authorised: 70.74.07.000/.e.002 shares (previous year 3.00.000/.00.000 Equity Shares of Rs.000/-).000 shares of Rs.00.937 Shares for consideration other than cash) (out of above shares issued 3.300 4.100 each (previous year 48.J&KMDC Limited Schedules Schedule .100 each Issued: 6.100 each) amounting to Rs.000 10.48.300 4.74.00.300 6.00.300 70.002 shares) are held by Holding Company i. 2011 As at 31st March.74.74.(previous year Rs. 145 .(previous year Rs.74.JKML is 78.78.00.000 shares of Rs.100 each) amounting to Rs.000 shares of Rs.00.00.003 Equity shares of Rs.00.96.003 Equity shares of Rs.00.300 4.00.100 each (includes 1.00.00.00.48.00.96.78.1 : Share Capital (Rupees) Description As at 31st March.100 each Subscribed & paid up: 4.100 each (previous year 78.00.00.
800 1.2 : Fixed Assets (Rupees) G R O S S Description Life (Yrs) As at 31st March.484 184.108.40.206. 2011 March.544 Nil Nil Nil Nil Nil Nil Nil Nil Nil 68.36.989 .35.056 7.957 66.763 24.539 2.448 220.127.116.11.02.30.36.796 2.643 18.104.22.168.21.988 2.52.800 1.64.800 1.685 4.539 2.996 66.759 Freehold Land Lease hold Land Roads & Bridges Building-Non Factory Building-Factory Plant & Machinery Heavy Mobile Equipment Electrical installation Vehicles Furniture Internal Communications Other Assets TOTAL Figures for previous year 22.214.171.124.30.312 Nil 23576744 Nil Nil B L O C K Deduction/ Adjustments As at 31st March.284 Nil Nil 126.96.36.199 3.444 7.21. 2011 March.54. 2010 66.448 4.90.068 4.673 36.67.056 4.27.544 2.08.673 36.15.348 3.78.539 188.8.131.52.67.144 3.11.056 Additions/ Adjustments Freehold Land Lease hold Land Roads & Bridges Building-Non Factory Building-Factory Plant & Machinery Heavy Mobile Equipment Electrical Installation Vehicles Furniture Internal Communications Other Assets TOTAL Figures for previous year 10 28 29 28 7 7 10 6 10 18 12 DEPRECIATION Description Upto 31st March.643 184.108.40.206.484 220.127.116.113 For the period Nil 24.673 18.104.22.168.284 Nil Nil 22.214.171.124.126.96.36.199.501 9.501 9.673 36.634 Asset impairment Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 146 Nil Nil Nil Nil Prior Period Adjustments NET BLOCK DeductUpto As at As at ion/Adjust31st 31st 31st ments March.188.8.131.52.957 4.284 Nil Nil 63.20.111 24.348 Nil Nil Nil Nil Nil Nil Nil Nil Nil 18.67.484 184.108.40.2066 3.90.Annual Report 2010-11 Schedule .444 7.69.099 2. 2010 Nil 24.501 9.15.284 Nil Nil 63.800 1.484 9. 2011 66.539 2.501 9.099 67.643 13.544 2. 2010 Nil 220.127.116.11.643 14.67.544 Nil Nil Nil Nil Nil Nil Nil Nil Nil 49.21.64.
68.4 : Inventories Description (As valued and certified by the management) (Rupees) As at 31st March.J&KMDC Limited Schedule .5 : Cash and Bank Balances (Rupees) Description As at 31st March. 2011 Construction Work in Progress Capital Assets in Stores awaiting/under installation or in transit 1.114 Nil 14. Jammu Canara Bank. Jammu Canara Bank. 2011 Nil 36. 2010 Nil 36.220 147 .839 As at 31st March. Basis of valuation of various items of Inventory is given in accounting policy.506 As at 31st March.216 Cash and Cheques on hand Balance with Scheduled Banks In Current Account : State Bank of India.114 14.114 Nil Nil Schedule . 2010 14.3 : Capital Work in Progress (Rupees) Description As at 31st March. 2011 1.004 Nil Nil 66.839 36.655 Nil 1.655 Less : Provision TOTAL 14.839 Stores & Spares Finished goods TOTAL 1.76.541 As at 31st March.15.114 Nil 1. 2010 1.839 36.15.827 65. Hyderabad TOTAL 74.92.92.00. Schedule .321 Nil Nil 18.104.22.168.
750 8.222 Nil 22.214.171.1246 2.Annual Report 2010-11 Schedule . 2010 2.000 5.12.000 7.946 Nil Nil Nil Nil 126.96.36.1998 5.572 Nil Nil Nil 31st March.596 As at 31st March.99.862 2.56.89. 2011 2.15.NMDC Limited) Nil 2.048 2.398 7.57.222 Loans & advances considered doubtful and provided for Amount due by Directors/ Officers: i) ii) Amount Due Maximum Amount Due at any time during the year Schedule .048 Nil 5.07.19.15.56.Fringe Benefits Tax Less : Provision for Fringe Benefits Tax Deposits with others TOTAL Notes : Particulars of Loans & Advances : a) Loans considered good in respect of which : i) ii) b) c) The company is fully secured The company holds no security other than the debtors' personal security Nil 2.869 Nil 2.57.536 9.6 : Loans and Advances (Rupees) As at Description Advances recoverable in cash or kind or for value to be received Less : Provision for Bad & Doubtful Advances Advance Tax .53.17.370 As at 31st March.7 : Current Liabilities (Rupees) Description Sundry Creditors Outstanding dues .188.8.131.522 2.micro enterprises & small enterprises Outstanding dues -Other than micro enterprises & small enterprises Advance from Customers Deposits from Suppliers.21.800 Nil 184.108.40.206.550 220.127.116.110 Nil 1.800 2. 148 .47.800 2.862 Nil 5. Contractors and Others Other Liabilities (*) TOTAL (*) Includes amount due to Holding Company (M/s.596 Nil 1. 2010 Note: There are no transactions and outstandings in respect of micro enterprises & small enterprises.550 2. 2011 As at 31st March.87.
65. 2011 Gratuity Accrued Leave Provision for taxation Expenses TOTAL 2. 149 .30.J&KMDC Limited Schedule .611 1.28.743 – 6.541) – (2.13.169) 27.294 37.75.743 (26.454 As at 31st March.65.202) 6.709 Adjustment during year – – – – 27.41.790 (892) – (1.75.992 (226) 37.13.611) 18.104.22.1687) 37.851 Nil Nil 4.75.454 Accrued Leave Provision for taxation Expenses TOTAL Note: Figures in brackets indicates previous year figures.927) 75.41.02.64.782 Closing Balance 2.41.061 (1.851 (1.16.294) 4.65.02. 2010 1.70.294 – 22.214.171.124.037 Addition during year 37.743 6.28.709 (Rupees) Opening Balance Gratuity 1.611 (126.96.36.199.385) 1.31.603 (1.294 (3.061 27.8 : Provisions (Rupees) Description As at 31st March.603 2.28.061) – (27.743) – (6.
2010 Nil Nil Nil Nil Preliminary Expenses Feasibility Expenditure Mine Development Expenditure TOTAL Schedule .839 Nil 150 .839 Nil 36.9 : Miscellaneous Expenditure (to the extent not written off or adjusted) (Rupees) Description As at 31st March.00.839 36.839 36.Annual Report 2010-11 Schedule .000 Nil Nil 30. 2011 For the Year ended 31st March. 2010 FINISHED GOODS: Balance as at close of the Year Less : Balance as at the beginning of the Year TOTAL 36.10 : Accretion / (Decretion) to Stock (Rupees) Description For the Year ended 31st March. 2011 30.00.000 As at 31st March.
110 36.204 55. Wages & Bonus Contribution to PF.301 37.53. FPS & EDLI Gratuity Workmen and Staff welfare expenses TOTAL Schedule .06.835 14.295 31.000 9. 2011 5.588 For the Year ended 31st March. 2010 8.13. 2010 Nil Nil 13. 2011 Nil Nil 14.819 19.181 For the Year ended 31st March.11 : Payments and Benefits to Employees (Rupees) Description For the Year ended 31st March.017 37.149 Salaries.937 5.12 : Repairs and Maintenance (Rupees) Description For the Year ended 31st March.164 51.59.992 24.000 6.756 Plant & Machinery Buildings Vehicles Others TOTAL 151 .J&KMDC Limited Schedule .
L.262 188.8.131.52.000 30.045 152 .918 45.929 20.13 : Other Expenses (Rupees) Description For the Year ended 31st March.333 11.356 Rent Insurance Rates & Taxes Payment to Auditors As auditors: Audit Fee In other capacity Out of Pocket Expenses Miscellaneous Losses written off Provision for other losses (reduction in value of Sub Station.Schedule-3) Miscellaneous Expenses Travelling & Conveyance Postage.176 53. 2010 2.910 11.000 5.411 Nil 3.658 44.006 13.09.000 Nil Nil 45.000 Nil Nil Nil 73.069 Nil 3.500 74.24.766 4. 2011 2.000 15.33.871 37.O.000 Nil Nil 15.40.220 Nil 4.28. for Personal Transport Equipment/vehicle Running Exp.435 60.448 16.863 For the Year ended 31st March.Annual Report 2010-11 Schedule .(Labour) Environmental Development Others 58.082 Nil Nil 5. Telephone & Telex Stationery & Printing Consultancy Charges Security Charges P.000 184.108.40.2064 TOTAL 14.46.
3.) Nil Nil Nil Nil 153 Percentage Value (Rs. 2010 Nil Nil Nil Nil Schedule . Consultancy charges Others Particulars of Consumption of Materials: Value (Rs. Expenditure in foreign currency: For the Year ended 31st March.) a. actual production.J&KMDC Limited Schedule . Licensed Capacity Not applicable Installed Capacity 25.000 MT Particulars of opening stock. b. sales & closing stock: (Qty. 2011 Nil Nil Nil Nil For the Year ended 31st March. Particulars of Licensed capacity. Installed capacity: Details Raw Magnesite Ore (Sized) 2.14 : Miscellaneous Expenditure Written Off (Rupees) Description Preliminary Expenses Feasibility Expenditure Mine Development Expenditure TOTAL For the Year ended 31st March.839) Description Opening Stock Qty Value 36. Foreign Exchange earnings: Nil Nil Nil Nil Nil Nil .839) Actual Production Nil (Nil) Raw Magnesite Ore (Sized) 51 (51) Notes: : Figures in brackets pertain to Previous Year.839 (36.839 (36.15 : Detailed Information 1.) Nil Nil Components & Spare Parts (including consumable stores) a) Imported b) Indigenous TOTAL 5. in Metric Ton) (Value in Rs. 2010 (Rs. 2011 (Rs.) Nil Nil Nil Nil Percentage Nil Nil For the Year ended 31st March.) S a l e s Qty Nil (Nil) Value Nil (Nil) Closing Qty 51 (51) Stock Value 36. 4.
00. Balance Sheet Date II.04. Balance Sheet Abstract and Company’s General Business Profile: Registration Details: Registration No.934 Total Assets 14..96. Performance of Company: Turnover Nil Profit Before Tax -55.300 Secured Loan Nil Application of Funds Net Fixed Assets 3. Expenditure 30.529 Net Current Assets -10.) 6.714 Profit After Tax -47.000 Rights Issue Nil Private Placement Nil 07-01110 of 1989 31-03-2011 State Code-07 154 . Generic Name of Principal Products of the Company (as per monetary terms): Product Description Raw Magnesite Ore (Sized) Total Expenditure 55.78.74.04.15 : Detailed Information (Contd.67.96.00.152 Reserve & Surplus Nil Unsecured Loan Nil Investments Nil Misc. Position of Mobilisation and Deployment of Funds: Total Liabilities 14.78. I.72.714 Earnings per Share Nil V.240 Accumulated losses 10.00.71.55.04.152 Sources of Funds Paid-up Capital 4.011 IV. Capital raised during the year: Public Issue Nil Bonus Issue Nil III.Annual Report 2010-11 Schedule .89.
Panthal.2010 has approved the Capex of Rs. For and on behalf of Board 1.THIAGARAJAN) Director (N.05.05.2011 . no provision for the Deferred Tax assets is being made as the same can not be realised as such in the foreseeable future.2 2. Accordingly.08 lakhs during the year 2005-06.286.2010. been received in this regard.2011 (S. IMAM) Secretary 155 New Delhi 13. the Company provided for an impairment loss of Rs. Previous Year figures have been regrouped and rearranged where ever necessary.138. The Board of Directors in 57th meeting held on 23. In view of the above developments towards revival of the project. 6.16 : Notes Forming Part of Accounts 1. 1. Chartered Accountants (VIJAY GUPTA) Proprietor Memb. 8.2002 had taken a decision to wind up the Company subject to approval of Govt. Nil). In compliance with AS-28. so far. NANDA) Director (RANA SOM) Chairman (MOHD.1.89 Crores for setting up of 100TPD DBM Plant.131. 362. 3. No demand from the concerned authorities have.865/.134.143 crores in its 96th meeting held on 01. based on DPR & Due Diligence Report. 4.K.-080034 Place : Jammu Date : 16.84. Estimated amount of Contracts remaining to be executed on capital account & not provided for Rs. of India and State Govt. to the extent of 100% of the book value of all assets except for the freehold land.19 Lakhs (previous Year Rs. appointment of EPCM consultant has been made and further actions are being taken for environmental clearance & other statutory clearances and also for awarding the contract for plant construction work etc. Board in its 95th meeting held on 19. the accounts are prepared on "going concern" basis. Considering the past trend of continuous losses and future projections. No. No adjustment is considered necessary for the impairment loss keeping in view the present status of the implementation of expansion activity for revival.J&KMDC Limited Schedule . of Jammu & Kashmir. which was further revised to Rs.05. An amount of Rs. 5.02. Schedule and significant accounting policies form an integral part of these accounts. 7. Financial figures have been rounded off to nearest rupee. to make them comparable with current Year figures.1 Contingent liabilities Claims against the Company not acknowledged as debts Rs.05.04 Lakhs).was provided during 2000-01 towards amount payable to State Power Development Department of Jammu & Kashmir for construction of sub-station work at mine site. Subsequently.19 Lakhs (Previous year Rs. In terms of our report of even date For VIJAYA GUPTA & CO.
Annual Report 2010-11 156 .
.............K..................... Nanda Shri Ajay Singh Shri R...... Raipur C O N T E N T S Directors’ Report ............................................2011 Shri Rana Som Shri Gauri Shankar Agrawal Shri N..................... 160 Balance Sheet . 182 NMDC-CMDC Limited (A subsidiary of NMDC Limited) Regd.. Office : “Angela Cottage”..................NMDC-CMDC Limited Third Annual Report 2010-2011 BOARD OF DIRECTORS As on 04....... 171 Profit & Loss Account ...... Raipur......................................07.......... Goverdhan Chairman Director Director Director Director Auditors M/S.........K........... 158 Auditors’ Report .... 173 Balance Sheet Abstract .................................................... DHODY & ASSOCIATES Chartered Accountants Raipur Bankers Axis Bank Tagore Nagar Branch.............No.......... Chhattisgarh-492001 157 ..... Raipur Bank of Baroda Vivekananda Nagar Branch......... H..... 172 Schedules ..3/883 Civil Lines....................................................
K. for the year ended 31st March 2011 and the Report thereon by the Comptroller and Auditor General of India. On the basis of Public hearing held on 05.2011 The Members NMDC-CMDC Ltd (NCL) Raipur. Shri N. The modified mining plan submitted to IBM has been approved and mine development activities would be taken up as per approved mining plan on obtaining the statutory clearances. 1956 on the Accounts of the Company for the year 2010-2011 are at Annexure-II.11. 2011. New Delhi. which forms part of this Report. Nanda. Bailadila Deposit 13 has been conceptualized to be developed as an Independent mining project having production of 10 MTPA of iron ore. K. the final EIA report was submitted to MoEF on 08. screening plant etc. On behalf of the Board of Directors. with 2.2011 and the EAC members recommended for grant of Environmental Clearance.03.09. 4. 6. of Chhattisgarh. The Forest clearance proposal for seeking forest clearance for diversion of 413. The Forest clearance application has already been submitted on 06.2011.Annual Report 2010-11 Directors’ Report for the year 2010 . Bhopal inspected the site on 08. As per TEFR prepared by NMDC. together with the Audit Report and Audited Accounts. We expect that the proposal will be listed in the agenda for Forest Advisory Committee meeting scheduled in the month of June 2011 for consideration and issue of 1st stage Forest clearance by MoEF. Shri Gauri Shankar Agrawal. 1. The Statutory Auditors' Report on the accounts of the Company for the year 2010-11 is at Annexure-I. There has been no change in share capital status for the year under review.5 crores respectively. Due to prevailing disturbance in the area. Dantewada.745 ha of forest land was duly forwarded by the Govt. Detailed Project Report is being prepared to take investment decisions. Performance status The year 2010-11 was a remarkable period in which Company has achieved considerable advance in obtaining statutory clearances. Shri S. 158 3. Bhilai (CG) as the Statutory Auditors of the Company for the financial year 2010-2011. additional 108 ha of forest area is also required outside the Mining Lease boundary for laying infrastructures such as secondary and tertiary crusher.11. Statutory Auditors Comptroller & Auditor General of India (C&AG) vide their letter dated 27-07-2010 has communicated the appointment of M/s Dhodi & Associates. Behar and Shri Rajesh Kumar Goverdhan are the Directors of the Company.2010 at Collectorate. I take pleasure in presenting the Third Director's Report of your Company.4. 5. Regional Office. Share Capital The authorized and paid up Equity share capital of the Company is Rs. Shri Rana Som.2010 and the Expert Appraisal Committee (Mining) has considered the proposal on 24. Forest Department. conveying system. which forms part of this Report. As directed by MoEF. Shri Ajay Singh.02. The Report of C&AG of India under Section 619(4) of the Companies Act. CMDC Ltd and their nominees in the respective ratios.2010. MoEF. New Delhi on 19. Board of Directors: (as on 31st March. 2011) As on 31st March.2010 and 24. the same is awaited from MoEF.05.05. The paid up Equity share Capital has been subscribed fully by NMDC Limited. Directors' Responsibility Statement Pursuant to the requirement under Section 217(2AA) of the Companies Act. 1. 1956.00 crores and Rs. Forest Department is not taking up tree enumeration work.2010. Raipur to MoEF. .
the provisions of the Corporate Governance on subsidiary Companies are presently not applicable to NCL. Companies (Disclosure of particulars in the Report of Board of Directors) Rules 1988. 11. 8. it is hereby confirmed: (i) That in the preparation of the annual accounts for the financial year ended 31st March 2011. 1956 Under the provisions of Section 217(2-A) of the Companies Act. 10. 1956 read with the Place : Raipur Date : 09. foreign exchange earnings and out go concerning your Company is 'NIL'. and Chhattisgarh Mineral Development Corporation Ltd. only those subsidiaries whose turnover or net worth is not less than 20% of the turnover or net worth of the holding Company may be treated as subsidiary Companies. That the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act.' The Company is yet to commence commercial operations and as such. no employee of your Company was in receipt of remuneration as prescribed under the said rules. Department of Public Enterprises under exemption to clause 5. 12.05.2011 159 . Government of India.3 states: 'For the purpose of these guidelines. That the Directors have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for the year under review. 1956 read with the Companies (Particulars of the Employees) Rules 1975. 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. Under the provisions of Section 217(1)(e) of the Companies Act. support and valuable guidance given to your Company by Ministry of Steel. 1956. 1956 regarding constitution of the Audit Committee of the Directors are presently not applicable to the Company. foreign exchange earnings and outgo under Section 217(1)(e) of the Companies Act.NMDC-CMDC Limited respect to Directors' Responsibility Statement. Acknowledgement: The Directors gratefully acknowledge the assistance. Compliance Certificate Compliance Certificate issued by Company Secretary in whole time practice is at Annexure-III. Conservation of energy. Corporate Governance The guidelines on Corporate Governance for Central Public Sector Enterprises issued by the Government of India. That the Directors have prepared the accounts for the financial year ended 31 March 2011 on a 'going concern' basis. technology absorption. Sd/(Rana Som) Chairman (ii) (iii) (iv) 7. Government of Chhattisgarh. technology absorption. Particulars of Employees under Section 217(2-A) of the Companies Act. the applicable Accounting Standards have been followed along with proper explanation relating to material departures. 9. as amended. the information regarding conservation of energy. NMDC Ltd. Audit Committee The provisions under Section 292A of the Companies Act.
Hence clause regarding disqualification of directors is not applicable. of the Profit/(Loss) of the Company for the year ended on that date.No. on a test basis. In our opinion. Our responsibility is to express an opinion on these financial statements based on our audit. The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.I Auditors’ Report To The Members NMDC-CMDC LIMITED We have audited the Balance Sheet of M/s NMDCCMDC LIMITED as at 31st March. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. GSR829 (E) dated 21. We have conducted our audit in accordance with auditing standards generally accepted in India. evidence supporting the amounts and disclosures in the financial statements. For Dhody & Associates Chartered Accountants Sd/(Piyush Jain) Partner FRN : 003837C M. We believe that our audit provides a reasonable basis for our opinion.2003 notified that section 274(1)(g) is not applicable to the government Companies. 1956. the said accounts give the information required by the Companies Act. The Company has informed us that department of Company affairs vide notification no. The Branch Auditors Report(s) have been forwarded to us and have been appropriately dealt with). in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India: (1) insofar as it relates to the Balance Sheet.10. 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act. An audit also includes assessing the accounting principles used and significant estimates made by management. As required by the Companies (Auditors Report) Order. 2011 and Profit & Loss Account for the year ended on that date annexed and report that: These financial statements are the responsibility of the Company management.Annual Report 2010-11 Annexure . (i) We have obtained all the information and explanations. to the extent applicable. of the state of affairs of the Company as at 31st March. 1956. In our opinion. In our opinion and to the best of our information and according to the explanations given to us. the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the Companies Act. as well as evaluating the overall financial statement presentation. proper books of account as required by law have been kept by the Company so far as appears from our examination of those books (and proper returns adequate for the purposes of our audit have been received from the branches not 160 (iii) visited by us.405305 (iv) (v) (vi) (2) (ii) Place : Raipur Dated : 09. which to the best of our knowledge and belief were necessary for the purposes of our audit.05. 2011. we enclosed in the annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order. 1956. An audit includes examining. and insofar as it relates to the Profit & Loss Account.2011 .
hence no comment on this point. 1956. therefore. hence no comment on this point. as there was no manufacturing or trading activities 161 (b) (vi) . the provisions of clause 4(v)(a) & 4(v)(b) of the Companies (Auditor's Report) Order. during the year ended on 31st March 2011. the provisions of section 58A and 58AA of the (iv) (c) (v) (ii) In respect of Inventories: (a) As explained to us by the management that there was no inventory. as there was no manufacturing and trading activities during the year ended on 31st March 2011. hence no comment on this point. 1956. no adequate internal control procedures commensurate with the size of the Company and the nature of its business was required. therefore. the Company has not entered into any transactions with any of the parties as listed in the register maintained under section 301 of the Companies Act. No material discrepancies were noticed on such physical verification. firms or other parties covered in the register maintained under section 301 of the Companies Act. as there was no manufacturing or trading activity during the year but the Company has maintained proper records showing full particulars of fixed assets. In our opinion and according to the information and explanation given to us. 2003 are not applicable to the Company. the fixed assets have been physically verified by the management at reasonable intervals. According to the information and explanations given to us. and hence no such registers are reported to have been maintained. having regard to the size of the Company and the nature of its assets. hence no comment on this point. the provisions of clause 4(i)(c) of the Companies (Auditor's Report) Order. 2003 issued by the Central Government of India in terms of section 227 (4A) of the Companies Act. 1956 and in terms of information and explanations given to us and on the basis of such checks as we considered appropriate. In our opinion and according to the information and explanations given to us.NMDC-CMDC Limited Annexure to the Auditors’ Report (Referred to in paragraph 4 of our report of even date) As required by the Companies (Auditors' Report) Order. therefore. the Company was not required to maintain proper records of its inventories as there was no manufacturing or trading activities during the year ended on 31st March 2011. we report that : (i) In respect of Fixed Assets: (a) The Company was not required to maintain proper records showing full particulars including quantitative. the Company has neither granted nor taken any loans secured or unsecured to/from Companies. as there was no manufacturing or trading activities during the year ended on 31st March 2011. In our opinion. In our opinion and according to the information and explanations given to us. 2003 are not applicable to the Company. (iii) (b) According to the information and explanations given to us. That no fixed assets have been disposed off during the period. no procedure of physical verification of inventory was followed by the management. (c) In our opinion and according to the information and explanation given to us. the Company has not accepted any deposits from public during the period.
securities. Accordingly the provisions of clause 4(xii) of the Companies (Auditor's Report) Order. wealth tax. Company has not taken any loan from the financial institution. therefore. In our opinion. According to the information and explanations given to us. clause (x) of paragraph 4 of the Companies (Auditor's Report) Order. sales tax.e. hence no comment on this point. The Central Govt. customs duty. service tax. 2003 are not applicable to the Company. Employees' state insurance. 1956 and the Companies (Acceptance of Deposits) Rules. hence no comment. the Company has not given any guarantee for loans taken by others from banks or financial institutions. In our opinion and according to the information and explanations given to us. Therefore the provisions of clause 4(xi) of the Companies (Auditor's Report) Order. 2003 are not applicable to the Company. In respect of statutory dues: (a) According to the information and explanations given to us and the records of the Company examined by us. the company is regular in depositing with appropriate authorities undisputed statutory dues i. Therefore. (vii) In our opinion. According to the information and explanations given to us. the Company has not granted loans and advances on the basis of security by way of pledge of shares. is not applicable to the Company for the current year. 2003 are not applicable to the Company. the Company was not required an internal audit system. the provision of clause 4(xvi) of the Companies (Auditor's Report) Order. are not applicable. the provisions of clause 4(xiii) of the Companies (Auditor's Report) Order. debentures and other investments. As there were no manufacturing activities during the year ended on 31st March 2011. has not prescribed maintenance of cost records under section 209(1) (d) of the Companies Act. custom duty. Therefore. the Company is not a chit fund or a nidhi/mutual benefit fund/society. wealth tax. bank and has not issued any debentures. income tax (TDS) and other statutory dues applicable to it. as at 31st March 2011. the Company is not dealing in or trading in shares. as there was no manufacturing or trading activities during the year ended on 31st March 2011. (xii) In our opinion and according to the information and explanations given to us. debentures and other securities. the provisions of clause 4(xiv) of the Companies (Auditor's Report) Order. the Company has not obtained any term loans. no undisputed amounts payable in respect of income tax. (xviii) According to the information and explanations given to us. we report that no funds were raised on short-term basis. 2003 are not applicable to the Company. (viii) (xiii) (ix) (xiv) (xv) (b) (xvi) (x) As the Company is registered for a period less than five years. Accordingly. the Company has (xi) . excise duty and cess were in arrears. the provisions of clause 4(viii) of the Companies (Auditor's Report) Order. the 162 (xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the Company. 1975 are not applicable to the Company. cess etc. 2003 are not applicable to the Company. 2003 is not applicable to the Company.Annual Report 2010-11 Companies Act. In our opinion. According to the information and explanations given to us. 2003 as amended by the Companies (Auditor's Report) (Amendment) Order. sales tax. excise duty. 2004. 1956.
NMDC-CMDC Limited not made preferential allotment of shares to the parties and Companies covered in the register maintained u/s.405305 (xx) Place : Raipur Dated : 09. According to the information and explanations given to us. Accordingly. (xix) According to the information and explanations given to us.05. (xxi) According to the information and explanations given to us. 2003 are not applicable to the Company. the Company has not raised any money by public issue during the period. 2003 are not applicable to the Company. therefore.No. 2003 are not applicable to the Company. the Company has not issued any debentures. 301 of The Act. no fraud on or by the Company has been noticed or reported during the course of our audit. For Dhody & Associates Chartered Accountants Sd/(Piyush Jain) Partner FRN : 003837C M.2011 163 . Accordingly the provisions of clause 4(xx) of the Companies (Auditor's Report) Order. the provisions of clause 4(xix) of the Companies (Auditor's Report) Order. the provisions of clause 4 (xviii) of the Companies (Auditor's Report) Order.
Thakare Principal Director of Commercial Audit & Ex-Officio Member. Audit Board. For and on the behalf of the Comptroller and Auditor General of India. have decided not to review the Report of Statutory Auditor on the accounts of NMDC-CMDC Limited.Annual Report 2010-11 Annexure . the Institute of Chartered Accountants of India. The preparation of financial statements of NMDC-CMDC Limited. This is stated to have been done by them vide their Audit Report dated 09 May 2011. Raipur for the year ended on 31 March 2011 and as such have no comments to make under Section 619(4) of the Companies Act. 1956 is responsible for expressing opinion on these financial statements under Section 227 of the Companies Act. N. 1956 is the responsibility of the management of the Company. 1956. RAIPUR FOR THE YEAR ENDED ON 31 MARCH 2011. The Statutory Auditor appointed by the Comptroller and Auditor General of India under section 619(2) of the Companies Act. 1956 ON THE ACCOUNTS OF NMDC-CMDC LIMITED. Raipur for the year ended on 31 March 2011 in accordance with the financial reporting framework prescribed under the Companies Act.II COMMENTS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA UNDER SECTION 619(4) OF THE COMPANIES ACT. Place : Hyderabad Dated : 7 June 2011 164 . Y. Hyderabad. 1956 based on independent audit in accordance with the Auditing and Assurance Standards prescribed by their professional body. I. on behalf of Comptroller and Auditor General of India.
III 165 .NMDC-CMDC Limited Annexure .
Annual Report 2010-11 166 .
NMDC-CMDC Limited 167 .
Annual Report 2010-11 168 .
NMDC-CMDC Limited 169 .
Annual Report 2010-11 170 .
52.52.50.NMDC-CMDC Limited Balance Sheet as at 31st March.788 2.K.09.098) 1.12.07.57.92.21.47.02.13.782 220.127.116.117 6.946 Capital Work In Progress Current Assets.882 – 1.16.193 1.603 4 6.101 5.K.10. 405305 FRN No.923 1.10. Loans & Advances : Cash & Bank Balances Other Current Assets Loans & Advances 5 6 7 1.23.06.98.923 TOTAL APPLICATION OF FUNDS Fixed Assets: Gross Block Less : Depreciation Net Block 3 2.721 – 18.902 1.92. 2010 .52.00.34.615 24.784 – 1.532 – 29.193 2.077) 1. No.88.K.96.21.827 2.669 1. 2011 (Figures in Rupees) Schedule SOURCES OF FUNDS Shareholders' Funds: Share Capital Reserves & Surplus 1 2 1.31.19. Goverdhan) Director Sd/(N.721 1.923 18. 2011 As at 31st March.46.09.01.52.12.902 1.799 6.24.23.04.00.98. Dhawan) CEO 9 1.902 As at 31st March.000 (37.946 18.104.22.1685 47.88.022 68.369 1.003837C Place : Raipur Date : 09-05-2011 171 Sd/(Rana Som) Chairman For NMDC-CMDC LIMITED Sd/(R. Nanda) Director Sd/(N.50.316 Less : Current Liabilities & Provisions : Current Liabilities Provisions 8 29.846 1.000 (39.10.532 Net Current Assets Miscellaneous Expenditure (to the extent not written off or adjusted) TOTAL Accounting policies & Notes to Accounts form part of Accounts Auditors Report: As per our Separate report of even date attached subject to Notes on Accounts attached For Dhody & Associates Chartered Accountants Sd/Piyush Jain Partner M.10.
077) (24. 405305 FRN No.Annual Report 2010-11 Profit & Loss Account for the period ended 31st March 2011 Schedule INCOME: Sales Income from Services Income from Sale of Power Other Income Accretion to stock TOTAL EXPENDITURE: Raising & Transportation charges Consumption of Stores & Spares Power. Electricity & Water Payments & Benefits to employees Repairs & Maintenance Royalty & Cess Interest Selling expenses : Freight Outwards Others As at 31st March. 2011 – – – 6.22.098) (39.83.979) – – – 27.22.601 – 10 11 12 13 14 Other Expenses 15 Depreciation Miscellaneous/Promotional/Deferred Revenue Expenditure written off Gross Expenditure Less : Transfer to Capital Accounts 16 Net Expenditure Profit before Previous Year items Add Previous Year items Profit before taxes Provision: Taxation-Current Year .39.753) (12.00.47.345) (22.214.171.124.881 – 9. No.70.098) Auditors Report: As per our Separate report of even date attached subject to Notes on Accounts attached For Dhody & Associates Chartered Accountants Sd/Piyush Jain Partner M. Dhawan) CEO .10.87.39.K.year Balance carried over to Balance Sheet Accounting policies & Notes to Accounts form part of Accounts (2.753) – (24.804 – 6.57. Nanda) Director Sd/(N.672 22.753) (Figures in Rupees) As at 31st March.37.77.942 – 37.057 – – – – 8.979) (37. 2010 – – – 6.Earlier Years(Net) .979) (2.631 – – – – 4.610 – 9.Interest on Income Tax Provision: F B T-Current Year .750 6. Goverdhan) Director Sd/(N.979) – (2.Interest on Income Tax Add : Deferred Tax Asset for the year Profit/Loss after taxes Profit/Loss after taxes Profit/Loss brought forward from pr.557 (24.415 21.610 (126.96.36.199.07.K.631 – 6.K.753) (24.07.84.Earlier Years(Net) .193 31.792 10.70.003837C Place : Raipur Date : 09-05-2011 172 Sd/(Rana Som) Chairman For NMDC-CMDC LIMITED Sd/(R.804 _ – – 9.77.
000 76.50.00.each Issued.00.970 40 1.997 Shares of Rs.00.00.999 Shares of Rs.00.each Subscribed: 15.00.10/.22.00. Subscribed & Paid up: 15.990 73.000 1.50.10 each TOTAL 76.00.50.39.990 73.345) (24.50.000 4.49.07.077) TOTAL (39.10/.NMDC-CMDC Limited Schedules Schedule .10/.07.50.970 40 1.000 Equity Shares of Rs.47.50.49.098) – – – – As at 31st March 2010 173 .000 As at 31st March 2010 Schedule .000 1.49.84.000 Equity Shares of Rs.00.Surplus Opening Balance Current Year (37.753) (37.07.077) (12.000 4.000 Equity Shares of Rs.00.00.979) (39.10 each(49%) Others.00.000 1.764.49.2 : Reserves & Surplus (Rupees) As at 31st March 2011 a) General Reserve: As per last Balance Sheet Less : Utilised for Bonus issue Additions during the Year – – – – b) Profit & Loss Account .each NMDC Share .098) (2.1 : Share Capital (Rupees) As at 31st March 2011 Authorised: 4.00.000 1.4 shares of Rs.098) (37.10 each (51%) CMDC Share-734.00.47.
3.2010 99. Computer 3.946 221827 W.942 Deductions Up to 31.560 75.827 1.46.700 2. 31.2011 1. Office Equipments 2.380 47.992 191 22.615 1.846 For the Year 5.04.733 3.023 2.881 21. 4.2011 94.669 24.651 2.615 2.D.04.Annual Report 2010-11 Schedule .700 2.06.384 6.647 44.265 90.788 NET BLOCK W.270 2.705 14.270 2.46.247 286 47.03.048 14.46.788 2. Office Equipments Computer Furniture & Fixtures Bicycle – – – – – – – – – – – – TOTAL Previous Year (Rupees) DEPRECIATION Particulars As on 01. 2.605 2.380 47.V.265 90.03.V 31.015 2.21.3 : Fixed Assets (Rupees) G R O S S Particulars As on 01.D.46.996 41.06.512 60.03.286 1.615 Additions B L O C K Deductions As on 31.2010 6.255 95 24. Bicycle TOTAL Previous Year – – – – – – 174 .86.753 29.2010 1. Furniture & Fixtures 4.414 198.03.2011 11.615 2.
369 As at 31st March 2010 188.8.131.52 184.108.40.206.220 1.06.00.23.6 : Other Current Assets (Rupees) As at 31st March 2011 Accrued Interest on deposits with Banks TOTAL 220.127.116.119 1.369 5.799 1.193 Schedule .193 As at 31st March 2010 6.57.101 16.101 1.19.23.022 175 .19.881 1.24.4 : Capital Work in Progress (Rupees) As at 31st March 2011 Consultancy Charges (Expenditure incidental to construction awaiting allocation) 6.000 1.00.57.799 Schedule .5 : Cash & Bank Balances (Rupees) As at 31st March 2011 Cash and Cheques on hand Balances with : (a) Scheduled Banks : On Current Accounts On Deposit Accounts (b) Others on Current Accounts : TOTAL – As at 31st March 2010 – 18.104.22.168.022 6.193 6.52.NMDC-CMDC Limited Schedule .10.
846 67.19.515 29.Annual Report 2010-11 Schedule .09.34.846 – TOTAL 1.622 – 18.782 Advance Income Tax & TDS Less : Provision 1.000 – – – 1.7 : Loans and Advances (Rupees) As at 31st March 2011 Advances recoverable in cash or kind or for value to be received Less : Provision for bad & doubtful advances – As at 31st March 2010 1.846 Schedule .88.34.532 – – – – – – – 58.52. Contractors & Others Less : Investments received as security Deposit Other liabilities Amount due to CMDC Amount due to NMDC TOTAL – – – – – – – 37.782 – 1.34.721 As at 31st March 2010 176 .796 10.782 68.8 : Current Liabilities (Rupees) As at 31st March 2011 Sundry Creditors : Outstanding dues to SSIUs Other than SSIUs Advances from Customers Mine Closure Liability Less : Fund with LIC Deposits from Suppliers.221 18.000 67.30.099 18.
9 : Miscellaneous/Promotional & Deferred Revenue Expenditure (to the extent not written off or adjusted) (Rupees) As at 31st March 2011 Development Expenses Add : Previous Year Others: Expenses on removal of overburden and preparation of Mining Benches – – – – As at 31st March 2010 – – – – Schedule .77.77.70. (Previous Period Rs.631 6.631 6.804 6.67064.804 Schedule . 67782) TOTAL For the Year ended 31st March 2010 6.11 : Accretion / (Decretion) to Stock (Rupees) For the Year ended 31st March 2011 Work-in-process: Balance as at close of the Year Less : Balance as at the beginning of the Year Finished Goods: Balance as at close of the Year Less : Balance as at the beginning of the Year TOTAL – – – – – – – – – – – – – – For the Year ended 31st March 2010 177 .70.10 : Other Income (Rupees) For the Year ended 31st March 2011 Interest on: Deposits with Banks (Tax deducted at source Rs.NMDC-CMDC Limited Schedule .
13 : Payments & Benefits to Employees (Rupees) For the Year ended 31st March 2011 Reimbursement of CEO's salary Contribution to Group Gratuity Fund Workmen and Staff Welfare Expenses TOTAL – – – – For the Year ended 31st March 2010 7. Electricity & Water (Rupees) For the Year ended 31st March 2011 Power charges Electricity charges Water Charges TOTAL – – – – For the Year ended 31st March 2010 – – – – Schedule .117 – 1.40.97.057 For the Year ended 31st March 2010 10.057 – – – 4.37.601 – Plant & Machinery – Vehicles – Others 4.12 : Power.792 Schedule .057 – – – 10.14 : Repairs & Maintenance (Rupees) DESCRIPTION For the Period ended 31st March 2011 Buildings Gross Expenditure Less : Expenditure under primary heads : Payments & Benefits to employees Consumption of Stores Sub total Net Expenditure – – – – – – – – 178 – – – – – – – 4.675 9.Annual Report 2010-11 Schedule .057 Total 4.601 .
500 22.214.171.1240 4.16 : Expenditure Transferred to Capital Accounts (Rupees) For the Year ended 31st March 2011 Amounts transferred to Capital Accounts as per details shown below (Net) : DESCRIPTION Nil Miscellaneous/Promotional Expenditure Mar-11 Consultancy charges TOTAL Less : Income Net Expenditure 179 – – – – Mar-10 – – – – For the Year ended 31st March 2010 657.593 13.NMDC-CMDC Limited Schedule .83.57.410 3.000 96.57.030 22. Telephone & Telex Vehicle Hire charges Stationery & Printing Consultancy charges BOD Meeting expenses Membership & Subscription Books & Periodical Legal Expenses Transfer TA of CEO Misc & Other Expenses Guest House Rent Mining Lease Application Fees TOTAL 550 13.069 22.000 – 27.296 14.193 68.64.193 Incidental expenditure during construction Mar-11 – – – – Mar-10 6.992 9.72.236 38.030 11.030 – – 11.193 – – .932 6.484 3.642 8.075 – 33.105 For the Year ended 31st March 2010 Schedule .57.07.745 – 14.70.477 2.710 – 7.40.415 11.54.672 2.401 – 654 6.548 19.310 27.045 3.457 – – 8.193 6.15 : Other Expenses (Rupees) For the Year ended 31st March 2011 Payment to Auditors: As Auditors: Audit Fee-Final Accounts For other services Out of pocket expenses Sundries: Bank charges and Interest Fees of Internal Auditors Postage.
No provision of deferred tax has been made as the Company is yet to start its commercial operation. (viii) Provisions and Contingent Liabilities The Company recognises a provision when there is a present obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation.17 : Notes to Accounts (SCHEDULES ANNEXED TO AND FORMING PART OF THE BALANCE SHEET AS AT MARCH 31. Development expenses (pre-construction period expenses) will be amortised in ten annual installments from the date of commencement of production. the recoverable amount is reassessed and the asset is reflected at the recoverable amount. If any such indication exists. Deferred Tax assets are recognized only to the extent that there is a reasonable certainty of realization. (iii) Expenditure Incurred During Construction Period (a) Expenditure incurred on administration and supervision during the construction period in respect of creation of new facilities are treated as period costs and charged to revenue. using tax rates and tax laws enacted or substantially enacted as on balance sheet date. . erection. no provision or disclosure is made. The cost includes cost of acquisition. If such recoverable amount of the asset or recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount. but probably will not. in conformity with the accounting principles generally accepted in India. will be capitalised at the time of commissioning of such assets. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists. 1956. of India (the Act). Accounting for Taxes on Income Deferred Tax on timing differences between taxable income and accounting income is accounted for. 180 (b) (c) (iv) Depreciation Depreciation on Fixed Assets is provided on the straight-line method at the rates and in the manner prescribed under Schedule XIV to the Act. construction. the Company estimates the recoverable amount of the asset. (ii) Fixed Assets Fixed Assets are stated at cost (net of cenvat credit. wherever applicable) less depreciation. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may. (i) Significant Accounting Policies Accounting Convention The financial statements are prepared under historical cost convention from the books of account maintained on accrual basis. 2011 AND PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31. The reduction is treated as an impairment loss and is recognized in the Profit and Loss Account. the carrying amount is reduced to its recoverable amount..Annual Report 2010-11 Schedule . (vii) Impairment of Assets The Company assesses at each balance sheet date whether there is any indication that an asset may be impaired. installation etc. preoperative expenses (including trial run) and borrowing costs incurred during pre-operational period. (vi) (v) Investments The investments are NIL as on date of balance sheet date. Depreciation on additions / deletions to fixed assets is calculated pro-rata from/ upto the date of such additions/ deletions. All revenue expenditure incurred during the construction periods which are directly or indirectly attributable to the acquisition/construction of fixed assets. and comply with the accounting standards issued by the Council of the Institute of Chartered Accountants of India and referred to in Section 211 (3C) of the Companies Act. require an outflow of resources. Where there is a possible obligation or a present obligation that the likelihood of outflow of resources is remote. 2011) 1.
There is no employee drawing the salary exceeding Rs. No remuneration to any directors has been paid during the period.00. Contingent Liability not provided for: a) b) c) d) Claim against the Company not acknowledged as debts: Nil Estimated amount of contract remaining to be executed on capital account and not provided for . There was no major event occurring after the balance sheet date There was no extra ordinary item during the year which requires to be reported The company has not formulated any policy on the retirement benefits payable to its employee. 11.00.NMDC-CMDC Limited 2. 405305 FRN No. Dhawan) CEO . wherever applicable. 6. Research and Development Expenditure: Nil (b) (c) (d) (e) 3. Refer Annexure for additional information to Part IV of Schedule VI to the Act.K. Financial figures have been rounded off to nearest rupee. 7.NIL Other money for which the company is contingently liable .000 P. (i) Related Party Disclosures Relationship (a) (b) (c) Control Holding Company Key Management Personnel NMDC Limited (Holding .A during the period. Hence the information as required by schedule VI of the Companies Act. The Company has no dealing with small scale industrial undertaking.003837C Place : Raipur Date : 09-05-2011 181 Sd/(Rana Som) Chairman Sd/(R. Further the provisions of Provident Fund Act are not applicable to the company for the period under review.M or Rs.K. Current Assets. Goverdhan) Director Sd/(N. Prior year comparatives have been reclassified to conform with the current year's presentation.Dhawan (CEO 09/02/10 onwards) Details of Material Transactions with Related Party: NIL 4. Nanda) Director Sd/(N. 10. No personal expenses have been charged in the accounts. 1956 is not detailed.NIL 8. (a) In the opinion of the board. loans and advances are approximately of the value stated if realised in ordinary course of business.5.60.NIL Uncalled Liability on equity shares .000/. No. 5.51%) Shri Rana Som (Chairman) Shri N. 9. Provision for depreciation and all known liabilities are adequate on excess of accounts considered necessary. Signatures to Schedules 1 to 17 forming part of the Accounts For and on behalf of the Board of Directors For Dhody & Associates Chartered Accountants Sd/Piyush Jain Partner M. Balances of Loans & Advances are subject to confirmation.K.P.K.
) Total Liabilities 1 3 9 6 2 4 5 5 Source of funds : Paid-up Capital 1 5 0 0 0 0 0 0 Secured Loans N I L Application of funds : Net Fixed Assets 1 9 8 9 4 6 Net Current Assets 1 0 1 9 6 7 8 4 Accumulated Losses 3 7 0 7 0 9 8 Investments N I L Misc. Balance Sheet Date II.2 3 9 9 7 9 Earnings per share in Rs. 3 1 2 0 7 1 1 0 3 1 1 Rights issue N I L Private Placements N I L State Code Capital raised during the Year (Amount in Rs.Annual Report 2010-11 Part .3 9 4 7 0 7 7 Unsecured Loans N I L Total Assets 1 3 9 6 2 4 5 5 IV. Registration details : Registration No. Generic name of the principal products/services of company : (as per monetary terms) (Not Applicable) Item Code No (ITC Code) Product Description Item Code No (ITC Code) Product Description Item Code No (ITC Code) Product Description For Dhody & Associates Chartered Accountants Sd/Piyush Jain Partner M. 405305 FRN No. Expenditure N I L Reserves & Surplus . Performance of Company (Amount in Rs.IV 1 0 Balance Sheet Abstract and Company’s General Business Profile : I. No. Position of mobilization and deployment of funds (Amount in Rs.2 3 9 9 7 9 Dividend Rate % N I L V.) Public Issue N I L Bonus issue N I L III. N I L Total Expenditure 9 1 0 6 1 0 Profit after tax .003837C 182 Place : Raipur Date : 09-05-2011 .) Turnover N I L Profit before tax .
SARL Annual Report 2009-2010 C O N T E N T S Director’s Report on Annual Accounts for Financial Year 2009-2010 Balance Sheet 184 185 NMDC SARL (A wholly owned Subsidiary of NMDC) Villa No. Madagascar 183 .2. Antanimora BP 3791. Antananarivo 101. Cite Sarda Les Peches.NMDC .
the Malagasy ariary (MGA) replaced the previous current i. The process of winding up is on hand. exploration and exploitation of high value mineral deposits in Madagascar. Its main activity is prospecting.K. NMDC took a decision to wind up NMDC SARL. There have been no transactions after March 2002. The Company had suspended its operation from March 2002 due to disturbed political situation in the country and also due to poor exploration results.000 MGA (One million Malagasy ariary).2 ariarys and accordingly the FMG monetary value are converted into MGA. In view of the above.000. Sd/N. NMDC SARL Dear Shareholders The NMDC SARL (a Wholly Owned Subsidiary of NMDC) is a Company registered under Malagasy right having a registered capital of 1. Hence only the Balance Sheet has been reproduced without any change from the previous year’s figures. On 1st January 2005. Nanda Director . Malagasy franc (FMG) and one Malagasy franc was valued at 0.Manager No transactions pertaining to the company have occurred during the financial year ended on 30th June 2010.Annual Report 2010-11 Directors’ Report on the Annual Accounts for the Financial Year ended 30th June 2010 To Shareholders. 184 .e.
273.266 – – – – – – 764.Y.443 616.823 764.266 CORPOREAL ASSETS Equipment & Tools Vehicles Office Equipment & Office Furniture Computer Equipment Office & Accommodation Furniture – – – – – – TOTAL OF FIXED ASSETS 764.443 616.072.266 – 764. 2008-2009 II.SARL Balance Sheet as at 30th June. RUNNING ASSETS DEBTS VAT Credit Prepaid advance for company tax profit (IBS) Other Debts LIQUID ASSETS Bank Cash TOTAL OF RUNNING ASSETS – – – – – – – – – – – – III.072.266 F. FIXED ASSETS Establishment expenses Gold Research Expenses 147.072.823 764.798.NMDC . EARLY NOTED CHARGES Advances TOTAL GENERAL (I + II + III) – 764.072. 2010 Amount in MGA ASSETS F. 2009-2010 I.798.266 147.273.072.072.Y.266 185 .
K.360.596.360.597.356.Y.000. 2009-2010 F.Y.072.970 2.000 (1.704) II.356.266 2.597.360. 2010 Amount in MGA LIABILITIES F.704) (1.596.000 (1.operations on the capital TOTAL OF DEBTS GRAND TOTAL (I + II) 2.284.970 764.360.000 shares of stock 500 MGA each Result pending for affectation Net situation 1.266 – – Sd/(N. 2008-2009 I.356.704) (1.704) 1.000. EQUITY CAPTAL ISSUED CAPITAL: 2.284.Manager 186 . DEBTS Suppliers and related accounts OTHER DEBTS Shareholders .356.970 764.284.970 2. Nanda) Director .284.Annual Report 2010-11 Balance Sheet as at 30th June.072.
1. Banjara Hills Hyderabad . 2011 : Tuesday : 1500 hrs Venue : Grand Ball Room.500 034 C O N T E N T S Notice Notes to Notice Explanatory Statement Profiles of Directors 188 190 195 197 187 . Hotel Taj Krishna Road No.NMDC Limited NOTICE 53rd Annual General Meeting Date Day Time : 20th September.
consider and adopt the Profit & Loss Account for the financial year ended 31st March. Nanda.K. ix) To appoint Lt. Gen. who is liable to retire by rotation.08. as Director (Technical). ORDINARY BUSINESS: Adoption of Audited Accounts." ii) iii) iv) 6. as Director (Finance). who retires by rotation and is eligible for re-appointment. who retires by rotation and is eligible for re-appointment.53rd AGM Notice No. To appoint Shri U. Singh.1.K. 3. Declaration of Dividend To declare the Final Dividend recommended by the Board. SPECIAL BUSINESS: To consider and if thought fit to pass with or without modification the following resolution as an ordinary resolution: “RESOLVED THAT Shri G. To appoint Shri S. Hotel Taj Krishna. Banjara Hills. who retires by rotation and is eligible for re-appointment. 1. Raju.) Arvind Mahajan. To appoint Shri S. viii) To appoint Shri K. v) To consider and if thought fit to pass with or without modification the following resolution as an ordinary resolution: “RESOLVED THAT Shri R. S. as Chairman-cum-Managing Director. 2. the remuneration of Auditors of Government Companies. as may be deemed fit. Hence. Machendranathan. 4. Re-appointment of Directors i) To appoint Shri Rana Som. who retires by rotation and is eligible for re-appointment. it is proposed that the members may fix the remuneration of the Statutory Auditors of the Company for the year 2011-12. shall be fixed by the Company in General Meeting or in such manner as the Company in General Meeting may determine. appointed by Comptroller and Auditor General of India.CS/53-AGM/2011 Dated: 08. as Director. who retires by rotation and is eligible for re-appointment. as Director.B. Sharma. To appoint Shri N. Remuneration of Statutory Auditors In terms of the amended Section 224 of the Companies Act. as Director. Aga be and is hereby appointed as Director of the Company on the existing terms of his appointment. Directors' and Auditors' Reports To receive. 5. Joshi be and is hereby appointed as Director (Personnel) of the Company on the existing terms of his appointment.N.P. 2011 at Grand Ball Room. who retires by rotation and is eligible for re-appointment. Hyderabad . who is liable to retire by rotation. Thiagarajan.2011 Notice Notice is hereby given that the 53rd Annual General Meeting of NMDC Limited (AGM) will be held at 1500 hours on Tuesday. who retires by rotation and is eligible for re-appointment. as Director. as Director." vi) . Road No. 188 as vii) To appoint Shri Abdul Kalam. the Balance Sheet as at that date and the Directors' and Auditors' Reports thereon. who retires by rotation and is eligible for re-appointment. 2011. who retires by rotation and is eligible for re-appointment. 1956 vide Clause (aa) of Sub-section 8. the 20th September. To appoint Shri Y. as Director.500 034 to transact the following business: A. B. (Retd.
An Explanatory Statement pursuant to Section 173(2) of the Companies Act. Parminder Hira Mathur be and is hereby appointed as Director of the Company on the existing terms of her appointment. 2." By Order of the Board (Kumar Raghavan) Company Secretary & Executive Director (CC) Place : Hyderabad Date : 08. To consider and if thought fit to pass with or without modification the following resolution as an ordinary resolution: “RESOLVED THAT Shri D." 8. Proxy Form 4. 5. Attendance Slip. who is liable to retire by rotation. Statutory Auditors Enclosures: 1. 3. Notes to Notice. A copy of the 53rd Annual Report of the Company for the year 2010-11. Bose be and is hereby appointed as Director (Production) of the Company on the existing terms of his appointment.NMDC Limited 7." 9. 189 . To consider and if thought fit to pass with or without modification the following resolution as an ordinary resolution: “RESOLVED THAT Mrs.08.2011 Copy to: 1. 1956 in respect of Special Business. All Members 2. ECS Form 6. To consider and if thought fit to pass with or without modification the following resolution as an ordinary resolution: “RESOLVED THAT Shri S. who is liable to retire by rotation. who is liable to retire by rotation. Rath be and is hereby appointed as Director of the Company on the existing terms of his appointment.
43. the proxy form duly completed should be deposited at the Registered Office of the Company not less than forty eight (48) hours before the time of holding of the Meeting. will be paid / dividend warrants despatched with effect from 14. info@aarthiconsultants. Fax No. 1956 is enclosed. 2.09.aarthiconsultants.2011 by the Company to those Members.38% shares held by the President of India in the Company aggregating 33. 3. 5. The ISIN number allotted is "ISIN-INE584A01023".200 equity shares of Re. being the book closure commencement date and also to the Beneficial Owners of shares held in electronic form on the said date as per the details furnished by the Depositories for this purpose. and also for any clarifications thereon. 1-2-285.500 029.com Web site : www.. Bhaskara Murthy General Manager. An Explanatory Statement pursuant to section 173(2) of the Companies Act. 040-27632184 Email : firstname.lastname@example.org/.com Members are requested to correspond at above address with STA on all the matters relating to share transfers/ dividend etc.94 crore on the nominal value of the paid-up equity shares of the Company to the Members. 6. as a result of divestment the public holding increased from 1. M/s. 4.10. 2010.co.1. G. The address and contact numbers are given below: Mr. 8.per share as recommended by Board. Members are requested to correspond with M/s Karvy Computershare Pvt. whose names appear in the Register of Members of the Company as on 17.15/. None of the Directors of the Company are interested in the business except to the extent of their appointment / re-appointment and shareholding which is below 2% of the paid . A Member entitled to attend and vote at the meeting is entitled to appoint a proxy to attend and vote instead of himself and such proxy need not be a Member of the Company. 190 9. A blank Proxy Form also enclosed.38% of paid up capital of the Company out of the shares held by the President of India in the month of March. Final Dividend @ Rs.each in the month of March.No.in. (iii) 7. Government of India has divested 8. Should any Member choose to exercise his / her right to appoint a proxy. .09. if declared by the members at the meeting.2011 (both days inclusive).. at the following address: 10.2011. (i) The Company has appointed Aarthi Consultants Private Limited as Share Transfer Agent (STA) of NMDC Ltd. Phone Nos.62% to 10%. D.22. During the year the Company had paid an interim dividend @ Rs.455.53rd AGM Notice Notes to the Notice 1. Registrar to the Offer for Sale made by Government of India on all matters relating to divestment of 8. Domalguda Hyderabad . 040-27638111/27634445.15 per share totaling to Rs.2.. Members are requested to bring their copy of this Report to the meeting. (ii) It is to inform that shares of your Company have been dematerialized in Central Depository Services (India) Limited (CDSL) and National Securities Depository Limited (NSDL).2011 to 20. Ltd. Members are advised to get in touch with the Depository participant (DP)/STA for any clarification on dematerialization of shares held. Aarthi Consultants Pvt Ltd. 2010.up capital of the Company. The Register of Members and Share Transfer Books of the Company will remain closed from 17.
co.. 040-27638111/27634445 Fax No.17/2011 which is available at www. The Securities and Exchange Board of India (SEBI) and Ministry of Corporate Affairs (MCA) have made it mandatory for all the Listed Members are requested to register their e-mail address and changes therein from time to time with the Depository Participants in case shares are in dematerialized form and with the Share Transfer Agent of the Company in case shares are in Physical Form for service of documents. Phone No.in 13. Masab Tank Hyderabad .ris@ karvy. Karvy Computershare Pvt.com / einward.mca. 17-24.com 11. telephone numbers and email address etc. Tel: 040-23420815. with complete postal address. Hyderabad . at the following address: (i) The Company Secretary & Executive Director (CC) Khanij Bhavan.co. Domalguda Hyderabad .No. In view of the above: (i) Shareholders holding shares in Physical Form and desirous of availing the facility are requested to complete ECS form attached to this Annual Report and forward the same to the Company's Share Transfer Agent (STA) for effecting ECS payment. Murali Krishna. 1-2-285. Vittal Rao Nagar. Companies to offer Electronic Clearing Service (ECS) facilities for payment of dividend. Madhapur. Plot No. Members are requested to notify immediately. Government of India vide Circular No.karvy.ipo@karvy. any change in their address. Phone Nos.co.040-2353 8757 Fax No.com Website : www. elimination of loss of instrument in transit or fraudulent encashment etc. notices.040-2353 8759 E-mail: ims@nmdc. M.500 173. 10-3-311/A Castle Hills. annual reports etc. through e-mail as per the Green Initiatives in the Corporate Governance issued by Ministry of Corporate Affairs. wherever applicable.NMDC Limited Mr.nmdc. 191 .in The General Manager M/s Aarthi Consultants Pvt Ltd D. Ltd. 040-27632184 Email: info@aarthiconsultants. Fax: 040-23431551.in. with PIN. This facility offers various benefits like timely credit of dividend to the shareholders account. (ii) (ii) 12.com email@example.com. Shareholders holding shares in Dematerialized Form are requested to provide the Bank details in the attached ECS form to this annual report to their Depository Participants (DP) for incorporation in their records for effecting ECS payment.500 081.in Web site: www. Email : nmdc.500 029.
aggressive marketing strategy and re-engineering skills impacted every Company he has worked in. (By Research) from ISM. Dhanbad. turnaround development of core strength. Expert in Long-term Strategic Planning and Project Implementation. evacuation. . Expert in the field of mineral processing.11. NMDC Limited ii) Member. Shareholders' / Investors Grievance Committee. Audit Committee.14. ii) NMDC-CMDC Limited.1954 & 56 years Shri S. Ltd v) NMDC-SARL.01. J&K Mineral Development Corporation Ltd. i) J&K Mineral Development Corporation Limited. 2.(Mining) from ISM. particularly beneficiation of low grade iron ore. 09.2009 30. Qualified Engineer for mine plan preparation.1952 & 59 years Date of Appointment 02. 5. Brief Resume of the Directors Shri N. International Coal Ventures Pvt. Qualified System Analyst for opencast mines and project monitoring.2008 320 Nil Bachelor of Science.K. iii) Neelachal Ispat Nigam Ltd iv) Krishnapatnam Railway Co.2007 No. expansion and diversification through horizontal and vertical integration. Expert in the field of blasting and slope stability in large opencast mines. Directorship held in other Companies i) ii) Chairman.12. Share Transfer Committee. ii) M. NMDC Limited Shri Rana Som has specific expertise and vast experience in the area of Human Resource Management. Can lead team to successful acquisition and diversification. He has exemplary leadership skills and known to have acquired a high degree of success in this area. NMDC-CMDC Limited iii) Director. J&K Mineral Development Corporation Ltd 1. NMDC Limited 2. Ltd. a large public sector enterprise. 1.07. Member. Chairman Memberships / Share Transfer Committee Chairmanship of NMDC Limited Committees across all Public Companies i) Member. Chartered Accountant i) B. NMDC Ltd. He is known for being a successful turnaround strategist for Hindustan Copper Ltd. Share Transfer Committee.12. of shares held in NMDC Nil Qualifications MA (Economics) PG Diploma in Personnel Management Expertise in specific functional area 53rd AGM Notice 192 Chairman. His meticulous planning. NANDA 28. Expert in merger and acquisition activities. He also a recognized expert in the field of mergers and acquisitions specially relating to mineral assets.07. As Finance Director of NMDC. 4. Expertise in i) corporate tax management ii) project appraisal and financing iii) financial concurrence to proposals for revenue and capital items for existing and new projects as per the special requirements of a PSU iv) optimum deployment of company's cash resources in various investment opportunities/ CAPEX avenues v) formulation of strategies with regard to critical issues such as product pricing. 3. statutorily responsible for timely submission of financial statements of the company to the statutory authorities / shareholders. He has been known to be an expert in Corporate Management involving corporate restructuring. 6. M&A etc. Dhanbad in Mining Engg.. Member. THIAGARAJAN Name Shri RANA SOM Date of Birth & Age 01.Tech. which was successfully turned around under his leadership.1960 & 50 years 01.Tech.
Name Shri U.P. SINGH 01.10.1958 & 52 years 11.12.2007 Nil Nil M.A. (Political Science), PhD Shri Singh is an officer with the Indian Administrative Services since 1984 and is presently serving as the Joint Secretary, Ministry of Steel, Government of India. He has a professional experience of about 27 years. Prior to this he served in various capacities / positions in the Government. B.Com., F.C.A. Shri Sharma has about 42 years experience in practice as Chartered Accountant and expert in Income Tax and Wealth Tax. Nil 19.06.2009 (Re-appointed) 01.05.1944 & 67 years
Shri S. MACHENDRANATHAN
Shri Y.K. SHARMA
Date of Birth & Age
07.03.1954 & 57 years
Date of Appointment
No. of shares held in NMDC
Master in Business Administration
Expertise in specific functional area
Steel Authority of India Limited. Rashtriya Ispat Nigam Limited. KIOCL Limited. MECON Limited. Nil i) MECON Ltd. ii) BIRD Group of Companies iii) Neelachal Ispat Nigam Ltd. Nil
Shri S. Machendranathan is a Senior IAS Officer of 1979 Batch Tamilnadu Cadre. He has more than 32 years of experience in administration and he has held various senior positions in the Government of Tamil Nadu as well as in the Central Government. Presently, he is Additional Secretary and Financial Adviser in the Ministry of Steel and Government Director in SAIL, RINL, KIOCL Ltd. and MECON Ltd. He is also the Chairman of the Committee looking into the iron ore pricing related issue of NMDC Ltd.
Directorship held in other Companies
i) ii) iii) iv)
The Urban Cooperative Bank Ltd., Jaipur, Rajasthan.
Memberships / Chairmanship of Committees across all Public Companies
i) Chairman, Audit Committee, NMDC Ltd. ii) Chairman, Shareholders' / Investors' Grievance Committee, NMDC Limited iii) Member, Audit Committee The Urban Cooperative Bank Ltd., Jaipur, Rajasthan.
Name 27.06.1944 & 67 years 19.06.2009 Nil M.Sc. Applied Geology Nil Nil PG Diploma in Business Management, PG Dip. in Industrial Management PG Degree in Mech. Engg. (Automobiles) AMIE (Mech.), MIE (Mech.) & FIE, M.Phil, (Defence Studies) 01.04.2010 24.12.1947 & 63 years
Shri ABDUL KALAM
Shri K.S. RAJU
LT. GEN. (RETD.) ARVIND MAHAJAN
Date of Birth & Age
09.01.1945 & 66 years
Date of Appointment
No. of shares held in NMDC
B.Sc.(Mining Engineering) from Benaras Hindu University, Varanasi.
Senior Manager Mechanization from UK. mining
Expertise in specific functional area process with ii) policy 1. 2. 3. i)
1. Cutting edge technology.
2. Change Management.
3. Continuous improvement.
4. Networking makers.
5. Operation management. iii)
53rd AGM Notice
/ iv) v) vi) Nil Nil
6. Team building and leadership.
7. Upgradation of technology knowhow strategic planning.
8. Workforce relations employee involvement.
Mining. Mineral Beneficiation. Mineral Economics. To conduct techno-economic studies of Mineral deposits (both metalliferrous and coal mines) To guide and advise on the regulatory compliance in the field of mining, environment and forestry. To advise on the establishment of mineral based industries and selection of mining and process equipment. To develop economic process flowsheet for beneficiation of ores and coal washing. Technical audit of mining projects and beneficiation plants in operation. Cost evaluation of operating mines for transfer of leases or raising contract. i)
Has a rich and varied experience in the fields of Operational Logistics and Chain Supply Management, Equipment Management & its Technical Repairs and Maintenance, General Management, Support Services and Project Management Services, Strategic Planner, Environment & Infrastructure Expertise & Advisor, Technical Consulting, Domain Expertise in Disaster Management Plans Formulation and in Power, Steel & Mining Management (Handling of Plant & Equipment, Operation & Maintenance of Heavy Machineries) and Corporate Administration.
Directorship held in other Companies
Mahanadi Coalfields Limited (Coal India Limited)
Life Insurance Corporation of India. ii) Container Corporation of India (Concor) iii) Fresh & Healthy Enterprises Ltd. Member, Audit & Ethics Committee - Concor. ii) Member, Audit Committee, Fresh & Healthy Enterprise Limited iii) Member, Audit Committee, NMDC Limited i)
Member, Audit Committee, Memberships / Mahanadi Coalfields Limited Chairmanship of Committees across all Public Companies
Explanatory Statement Pursuant to Section 173(2) of the Companies Act, 1956
SPECIAL BUSINESS Item No.5, 6, 7, 8 and 9 : Appointment of Directors In line with the Government of India orders, Shri G.B. Joshi, Director (Personnel), Shri R.N. Aga, Director, Mrs. P.H. Mathur, Director, Shri D. Rath, Director and Shri S. Bose, Director (Production) were appointed as Additional Directors by the Board of Directors of NMDC Ltd., after the last AGM. In terms of the provisions of the Companies Act, 1956 as Additional Directors they hold office up to the date of AGM only, therefore, it is proposed to appoint them as Directors of the Company at this Annual General Meeting. The brief bio-data of the above Director is given below: Name Date of Birth & Age Shri G.B. JOSHI 29.09.1951 & 59 years Shri R.N. AGA 09.07.1945 & 65 years 03.12.2010 (Re-appointed) Nil M.Sc. (Physics)
Date of Appointment 13.08.2010 No. of shares held in NMDC Qualifications 100 M.Sc.(OR); M.A. (Sociology); P.G. Diploma in P.M, IR & LW; Diploma in PM & IR. Personnel, Industrial Relations, CSR, HRD.
Expertise in specific functional area
Shri R.N. Aga joined Indian Railways Traffic Service in November 1968. After serving in Indian Railways for over 37 years in various capacities including Divisional Railway Manager, General Manager and Member (Traffic) Railway Board and Ex-officio Secretary to the Government of India, he retired from service in July 2005. As Member Traffic, Railway Board he also functioned as Chairman of Container Corporation of India (CONCOR), Indian Railway Catering and Tourism Corporation (IRCTC) and Pipavav Rail Corporation Limited (PRCL). After retirement, he has been associated with Asian Institute of Transport Development (AITD) as Secretary and Senior Fellow. AITD is a non-profit noncommercial organization and is recognized by UN as a centre of excellence and has a MoU with UNESCAP.
Directorship held in other Companies Memberships / Chairmanship of Committees across all Public Companies
J&K Mineral Development Corporation Ltd.
Rail Vikas Nigam Limited.
Member, Audit Committee, NMDC Limited Chairman, Audit Committee, Rail Vikas Nigam Limited.
53rd AGM Notice
Name Date of Birth & Age Date of Appointment No. of shares held in NMDC Qualifications Shri S. BOSE 20.10.1954 & 56 years 17.06.2011 320 B. Tech. (Hons.) (Mining)Year 1978. IIT, Kharagpur 1st Class Mines Manager Certificate of Competency (Restricted) Shri D. Rath was the 1. Prior to joining NMDC, Chairman-cumheld various positions in Managing Director of Mining Departments of MECON since M/s Cement Corporation September 2005. of India Ltd. Shri Rath holds B.Sc. Engg. (Mechanical). 2. After joining NMDC, worked as Dy. General He joined MECON in Manager (Mining) at March 1972 and has Bacheli Complex in served in various Chhattisgarh. Worked in capacities in the all Iron Ore Projects of commercial / project NMDC as Head of the management / Project. marketing / contracts disciplines. He has approximately 39 3. As a General Manager of Projects, was years of experience in responsible for overall the fields Project operation, production, Management & execution, direction and Execution, Quality control of the Projects. Control, Design & Engineering. ECC (Internal Company of L&T) Nil Nil
Mrs. P.H.MATHUR 17.08.1949 & 61 years 03.12.2010 Nil M.A. (Political Science) M.B.A., Leeds University (U.K.)
Shri D. RATH 11.02.1950 & 61 years 03.12.2010 Nil B.Sc. Engg. (Mechanical)
Expertise in specific functional area
Mrs. Parminder Mathur joined the Indian Administrative Service (H.P.Cadre) and has served in various capacities till her retirement from the post of Additional Chief Secretary in August 2009. During her career spanning over 35 yrs she has served as a Secretary to the Government of Himachal Pradesh in a range of key sectors like Industries Labour & Employment, Social Justice and Empowerment, Rural Development, Food & Civil Supplies, Consumer Affairs, Women & Child Development, Land Revenue Management, Disaster Management etc.
Directorship held in other Companies Memberships / Chairmanship of Committees across all Public Companies
The Board of Directors recommended the above said proposals for approval of shareholders. None of the Directors of the Company is interested or concerned in the above resolutions except to the extent of their re-appointment / appointment. By Order of the Board of Directors, For and on behalf of NMDC Ltd
Place : Hyderabad Date : 08.08.2011 196
(Kumar Raghavan) Company Secretary & Executive Director (CC)
albeit retaining its core competence in the field of exploration and mining of iron ore. During his association with several industries. basic amenities and infrastructure have been recognised as being the best in the industry and it was conferred with India Pride Award for CSR excellence for the year 2008-09. This was conferred on him during MineTech'10 . NMDC has achieved the highest turnover and also the highest profit under the leadership of Shri Som. Shri Rana Som has started his illustrious career way back in 1972 as a Probationary Officer in Calcutta Port Trust. of India. NMDC LIMITED Shri Rana Som is the Chairman-cum-Managing Director of NMDC Limited. Ever since his joining NMDC. Shri Som has been a functional Director and the Chairman and Managing Director of Hindustan Copper Limited and also the Director (HR) in State Trading Corporation of India Ltd.. In his professional journey. NMDC's CSR activities focusing on education. It is conferred with the coveted Navratna status by the Govt. a premier Government of India Enterprise under the Ministry of Steel. In the process. He has also been instrumental in securing the coveted Navratna status for the Company. With a brilliant academic career in Economics and Personnel Management. he has displayed exemplary leadership skills in the areas of organizational restructuring and survival. aggressive marketing strategies and re-engineering skills made the revival successful and also paved way for its path towards prosperity. Under his guidance. in the field of other minerals and also participate in value addition projects which include the setting up of an Integrated Steel Plant of 3 MT capacity in the near future. under his guidance in-house R&D initiatives were taken for their up-gradation which is very soon going to result in a Slime based pellet plant. he has over the years grown as a full-fledged HR professional. health. 197 . His innate passion to excel through performance has brought him wide accolades from one and all.a conference organized for the elite of mining & metallurgical fraternity at Bhubaneswar. Under his transformational leadership. NMDC is the largest producer of iron ore in India and has a glorious history spanning over 50 years.NMDC Limited PROFILE OF SHRI RANA SOM CHAIRMAN-CUM-MANAGING DIRECTOR. His tenacious efforts coupled with meticulous planning. It is now in a position to finance most of its diversification activities from its internal resources. Shri Som is widely known as the chief architect of Hindustan Copper Limited's revival. prior to his joining NMDC in November. a full fledged department dedicated for Corporate Social Responsibility Activities was brought into existence for implementing various CSR activities for upliftment of the poor and needy tribals in and around NMDC Project areas. Shri Som has spared no efforts in strengthening the foundation of the Company. He has envisaged a number of growth strategies and put them under implementation with appropriate initiatives. NMDC is venturing into a host of growth initiatives. the process of mining does generate low grade slimes. 2007. Even though NMDC has been bestowed with iron ore reserves of good quality. he has amassed great strength with resilience to be a practical and visionary leader. both horizontally and vertically. Shri Som was recently awarded the Life Time Achievement Award for his outstanding contribution for the "Overall Development of Indian Non-Coal Mining Industry through Effective Leadership & Innovation".
he has held various positions in the discipline of Finance in various projects of the company to reach the helm as Head of Finance Department at the Corporate office in the year 2004 and subsequently as Director (Finance) of the Company in 2009. Presently he is working as Director (Technical). Currently. Investigation. under the Ministry of Steel. . his long tenure and experience in various production projects of the company has added to his abilities to have an integrated and holistic view on various financial. Shri Nanda specializes in mine operation and mine development. looking after. at Bailadila-14 deposit and in the capacity of DGM he has been transferred to Donimalai Iron Ore Mine of NMDC and was there till 2004. He has published and presented a number of technical papers during various seminars in India as well abroad.from ISM. He registered himself for Doctoral study at Gulbarga University in mineral processing. Engineering. a Government of India undertaking. in various projects of NMDC. presently Director (Technical) in NMDC Limited. Thiagarajan has been appointed as Director (Finance) of the Company with effect from 09 July 2009.. Manager during 1989.53rd AGM Notice PROFILE OF SHRI N. so far treated as a waste rock in Iron ore mining. NMDC LIMITED Shri S. in various capacities. New Project Execution.) in Bailadila-5 deposit of NMDC till 2006.Tech. Bombay as Sr. both India and abroad. as Asst.M. mergers and acquisitions. NANDA DIRECTOR (TECHNICAL). In addition to his responsibilities as Finance Director. THIAGARAJAN DIRECTOR (FINANCE). During 1984.K. Afterwards. Dhanbad during 2000. Shri Nanda initially joined in Hindustan Copper Ltd. he was awarded 'Eminent Engineer' award by Institution of Engineers.Tech. After having early education in Orissa. Bhilai in the year 2006. he graduated . Over the years. Dhanbad in the year 1982 and further he post-graduated . Donimalai during 2006 and has been promoted as General Manager during 2007. He worked as Addl. he joined NMDC Ltd. G. During this period he implemented new technology like high rate thickener and Distribution Control System (DCS) in process plant. he has been elevated on the Board of NMDC as Director (Technical) in 2008. Mines Engineer in the year 1982. Research & Development. was born in the year 1960. NMDC LIMITED Shri N. This may open up a new space for low grade mineral utilization. development and has special interest in diversification activities. PROFILE OF SHRI S. non financial and technical issues.(Prodn. He also took over the charge of Deposit-5 for 3 months and during that period. Nanda. He submitted a thesis on "Reliability of Mine Operation". he joined ACC Ltd. He has been with the company for about 32 years. After enriching experience to his credit. (Mining) .K. He contributed in preparation of mine plan for Deposit-5 and also improved productivity of the mine by opening new haul roads. NMDC. apart from Joint Ventures. He has been posted as Project Manager.B. He holds a Bachelor's of Science degree and is a Chartered Accountant.M.. he is also handling 198 . He has proficiency in project planning and execution. Malanjkhand as Asst. Engineer (Mines).from prestigious Indian School of Mining. Under his guidance NMDC is now going ahead to set up a 3 MTPA Beneficiation Plant for BHJ (Bandend Heamatite Jasper). he has been actively involved in all the expansion and diversification activities of the Company. In addition to his core profession.
Corporate Social Responsibility. he is Additional Secretary and Financial Adviser in the Ministry of Steel and Government Director in SAIL. was associated with Cement Corporation of India Limited from 30. Master of Arts (Sociology). aged 56 years. He has a professional experience of about 27 years. Presently.NMDC Limited investor / analyst relations post-divestment of 10% of equity of GOI to public. Ministry of Steel. is the Director (Production) of the Company with effect from 17. He has about 30 years of experience in the field of mining.2011. a subsidiary of NMDC Ltd.I.12.Tech. He served in various capacities for more than three decades in Management cadre in various Projects/Units of NMDC Ltd. PROFILE OF SHRI S. He joined the Company as Deputy General Manager (Mining) in the year 2001. PROFILE OF SHRI G. 2011.B. Creativity & Innovation and Values..2001. KIOCL Ltd.T. Joshi. He holds B. NMDC LIMITED Shri Singh is an officer with the Indian Administrative Services (IAS) since 1984 and is presently serving as the Joint Secretary. Shri Bose. negotiation with contractors etc. Strategic Management. He is also on the Board of JKMDC Ltd. 199 .06. NMDC LIMITED Shri G. (Hons) Degree in Mining Engineering from I.Tamilnadu Cadre. PROFILE OF SHRI S. he has extensively contributed to issues such as product pricing.11.B.1981 to 12. As a member of various committees. PG Diploma in Personnel Management.. NMDC LIMITED Shri S. He has served in various positions such as Additional General Manager. is holding Master Degree in Science (Operational Research). BOSE DIRECTOR (PRODUCTION). Bose. and MECON Ltd. RINL. He has more than 34 years of experience in the fields of Personnel Management. He has more than 32 years of experience in administration and he has held various senior positions in the Government of Tamil Nadu as well as in the Central Government. Kharagpur and I Class Mines Manager Certificate of Competency (Restricted). NMDC LIMITED Shri Machendranathan is a Senior IAS Officer of 1979 Batch . SINGH GOVERNMENT NOMINEE DIRECTOR. Industrial Relations and Labour Welfare and Diploma in Personnel Management and Industrial Relations. JOSHI DIRECTOR (PERSONNEL). PROFILE OF SHRI U. MACHENDRANATHAN GOVERNMENT NOMINEE DIRECTOR. Prior to joining the Company. He is also the Chairman of the Committee looking into the iron ore pricing related issues of NMDC Ltd. Government of India.P. Joint General Manager and General Manager-Head of the project until the Government of India appointed him as Director (Production) on the Board of the Company with effect from June 17. Prior to this he served in various capacities / positions in the Government.
S.53rd AGM Notice PROFILE OF SHRI Y. a leading mineral mining company of India. Shri Kalam has received two National Awards from the President of India for improving safety standards in Bharat Coking Coal Limited. Shri Raju has also been the Director of Jawaharlal Nehru Aluminium Research and Development Center from January 200 . K. France. Jaipur. NMDC LIMITED Shri Abdul Kalam graduated in Mining Engineering from Benaras Hindu University in the year of 1966. Shri Abdul Kalam was also the Chairman and Managing Director of Bharat Coal Limited and Eastern Coalfields Limited. Shri Raju retired as Controller General of the Indian Bureau of Mines. Independent Director of the Company was appointed as a Director on June 19. He was trained in High Technology Mining (open cast and underground mining) in United Kingdom. Baroda. NMDC LIMITED Shri Y. Germany and Australia) and has represented Coal Industry through a number of foreign delegations and expert bodies. the founder of Nu-Life Housing Cooperative Society Limited and the Vice Chairman of the District Sports Council. He has an experience of 37 years in the field of mining. NMDC LIMITED Shri Kanumuri Satyanarayana Raju. PROFILE OF SHRI K. He has authored numerous papers published in National and International magazines which have been widely acclaimed. S. Government of India in June 2004. University. Currently Shri Kalam is on the Board of Mahanadi Coalfields Limited (A subsidiary of Coal India Limited) and National Mineral Development Corporation. 2009. USA. PROFILE OF SHRI ABDUL KALAM INDEPENDENT DIRECTOR. his contributions as a visionary executive leader and a proven change agent has been recently been recognized by Government of India whereby he has been appointed by Ministry of Railways in the Expert Committee responsible for developing business models and innovative funding through public private partnership (PPP) route. afte completion of earlier three years tenure. mineral beneficiation and mineral testing. Sharma is an Independent Director of the Company and was re-appointed as a Director on June 19. Shri Kalam serves as a Board member of the World Confederation of Productivity Science (India) and is a member of the editorial board of "WAPS (International) News". He holds a Bachelor's Degree in Commerce from the University of Rajasthan and is a Fellow Member of the Institute of Chartered Accountants of India.K. SHARMA INDEPENDENT DIRECTOR. Shri Raju holds a Master's degree in Applied Geology from M. His experience in fiery mines related to hot hole blasting is widely recognized in the industry. the Ex-President of Jaipur Club Limited. RAJU INDEPENDENT DIRECTOR. He is the Ex-Honorary Secretary of Jaipur Club Limited. He is widely travelled across the globe (UK. He is also a proud recipient of best Alumni award in 2002 from the Mining Department of Banaras Hindu University. 2009. Shri Sharma has about 42 years experience in practice as a Chartered Accountant and expert in Income Tax and Wealth Tax. Beside his stint as the Director (Technical) with Coal India Limited. He is president of World Confederation of Productivity Science (India). Shri Sharma has been the Founder Honorary Secretary of Jaipur Branch of Institute of Chartered Accountants of India. He is one of the few mining engineers who have the experience in handling largest and most difficult open cast and underground mines in India.
Training. He has conceptualised and implemented several projects in Infrastructure. He is an individual with a proactive & positive attitude. PROFILE OF LT. He played an active role in the Change Management process during Army's Base Workshop's. Power. He has a rich & vast Experience in Security Advising. He is a valued contributor to key strategic initiatives right from conceptualisation to facilitating implementation in real time environments. capable of thinking out of the box. Risk Analysis and Assessment. engineering support. Security. Steel.) ARVIND MAHAJAN INDEPENDENT DIRECTOR. 2004. He successfully integrated disaster management. self motivation. He has demonstrating abilities in addressing operational issues. He has at his credit the distinction of having discharged Technical pivotal responsibility in the Kargil Conflict of 1999. Sanctioning of Environmental Clearances for Infrastructure and Coastal Regulation Zone (CRZ) Projects. Technological. and initiative to achieve both personal & corporate goals. creativity. Shri Raju was on the Board of National Aluminium Company Limited as a PartTime Non-Official Director from September 27. etc. Equipment Management. Gen. 2007 till October 2010. Administration of Establishments. Honoured four times by the President of India with Param Vishisht Seva Medal. repair/maintenance cover to all equipment of Indian Army. His present honorary assignments include (i) Member of a high power committee constituted by the Ministry of Mines.NMDC Limited 1. Project Management and Execution of Turnkey Projects. generating new design solutions and ideas. acquisition & expansion process. Strategic Planning. He has also been involved in technical trials and evaluation of arms for induction in the Indian Army. operation logistics and chain supply management during the Kargil War. state-of-the-art systems and processes. service standards and operational policies. coupled with equipment management. Equipment Management & its Technical Repairs and Maintenance Environment and Infrastructure Management. planning & implementing effective control measures. 2003 until June 30. HRD / HRM. HRM. He has solid experience in contributing to bottom-line objectives through enhanced efficiency. He has experience in Macro level policy formulation.) Arvind Mahajan is a multi-faceted professional with Domain expertise in the fields of Operational Logistics and Chain Supply Management. Government of India to review and restructure the functions of the Indian Bureau of Mines. Deft in developing procedures. 201 . Academic and Administrative Fields. building key strategic alliances & partnerships & ensuring resource management. He led numerous military delegations abroad. Mining Management and Disaster Management. Vishisht Seva Medal (twice). He has expertise in executing projects from Concept-to-Launch with focus on Project Scope and rendering end-to-end solutions. Resource Deployment. The General has also got expertise in Environmental Planning & Management. NMDC LIMITED Lt. managing operations with focus on achieving the organisation's mission and strategic direction. Cost Optimization. He has been awarded with the Highest Military and National Awards. sincerity. Technical modernisation. Repair & Maintenance and Overhauling of all Equipments in the Indian Army. (RETD. and Commendation Cards awarded twice by the Chief of Army Staff and once by the Chief of Naval Staff for distinguished services. He has exceptionally well organised with a track record that demonstrates Integrity. Ati Vishisht Seva Medal. (Retd. He was awarded with "Eminent Engineer" by the Institution of Engineers (India) in the year 2007. resolving performance bottlenecks and achieving desired objectives. and (ii) Member of Scrutiny Committee for Mineral Awards constituted by Ministry of Mines. He has proven abilities in managing technically advanced. GEN. He is a keen administrator with expertise in devising policies & directives. strategic planning.
NMDC LIMITED Shri R. Aga joined Indian Railways Traffic Service in November 1968. he has been associated with Asian Institute of Transport Development (AITD) as Secretary and Senior Fellow. Women & Child Development. General Manager and Member (Traffic) Railway Board and Ex-officio Secretary to the Government of India. Mrs. Land Revenue Management. As Member Traffic. Parminder Hira Mathur is a postgraduate in Political Science and has a degree in MBA from Leeds University (UK). He joined MECON in March 1972 and has served in various capacities in the commercial / project management / marketing / contracts disciplines. Hindustan Petroleum Corporation Limited and Videsh Sanchar Nigam Limited as Chief Vigilance Officer. NMDC Limited Shri Dronadeb Rath was the Chairman-cum-Managing Director of MECON from September 2005 till his retirement in February 2010. Vigilance Management. She has also held Director level appointments in two navratna Central PSUs viz.Rath holds a Bachelor of Science Degree in Engineering (Mechanical). PARMINDER HIRA MATHUR INDEPENDENT DIRECTOR. 202 . Consumer Affairs. Indian Railway Catering and Tourism Corporation (IRCTC) and Pipavav Rail Corporation Limited (PRCL). In Labour & Employment. Quality Control.N. HP State Industrial Development Corporation. Transport. Labour & Employment. Though empanelled as Secretary to Government of India she continued to serve the State Government till her superannuation. Training & Capacity Building. she addressed herself to the adherence and compliance of Labour Laws. equality in wages for women and prevention of child labour. etc. Design & Engineering. he retired from service in July 2005. etc. AITD is a non-profit non-commercial organization and is recognized by UN as a centre of excellence and has an MoU with UNESCAP. As Secretary to the Government of Himachal Pradesh she has worked in several key sectors like Industries. Relief and Rehabilitation. As ACS (Industries) she was Chairperson of the High Powered Committee constituted by the HP High Court to regulate mining activities and prevent mining related environmental degradation in the state. Financial Management. Personnel Management. He has approximately 39 years of experience in the fields of Project Management & Execution. AGA INDEPENDENT DIRECTOR. She has extensive experience in a wide range of fields like Human Resource Development. NMDC LIMITED Mrs.53rd AGM Notice PROFILE OF SHRI R. Rural Development. She joined the Indian Administrative Service (HP) cadre in 1974 and after serving for 35 years retired as Additional Chief Secretary equivalent in rank to Chief Secretary in August 2009. PROFILE OF SHRI DRONADEB RATH. Shri D. After retirement. INDEPENDENT DIRECTOR. with special emphasis on the welfare of workers. After serving in Indian Railways for over 37 years in various capacities including Divisional Railway Manager. Mathur has been associated with Public Sector Undertakings in her capacity as Managing Director of the HP State Small Industries & Export Corporation and as Director in HP Financial Corporation. Disaster Management. PROFILE OF MRS. Social Justice & Empowerment.N. Food & Civil Supplies. Railway Board he also functioned as Chairman of Container Corporation of India (CONCOR).
500 034 and at any adjournment thereof.NMDC Limited NMDC Limited £ Registered Office : Khanij Bhavan. Banjara Hills.1 Revenue Stamp (Signature of Member(s) as per specimen signature on Company’s record) £ Note: Proxies in order to be valid must be duly filled in. Ledger Folio No. Castle Hills.500 028./Miss of Mr. the 20th September. Signed this day of 2011. of Shares held Affix Re.1. stamped. Hotel Taj Krishna. Hyderabad . in the district of rd as my/our Proxy to vote for me/us on my/our behalf at the 53 Annual General Meeting of the Company to be held on Tuesday. signed and deposited at the Registered Office of the Company not less than 48 hours before the time of commencement of the Meeting. of being a Member / Members of the in the district or failing him/her. Masab Tank. Hyderabad . Road No. hereby appoint Mr. PROXY FORM I/We above named Company./Miss. 2011 at 1500 hrs at Grand Ball Room./Mrs. 203 ./Mrs. 10-3-311/A. No.
53rd AGM Notice 204 .
the 20th day of September. Duplicate slips will not be issued at the entrance of the venue of the meeting. Masab Tank. 2011 at 1500 hours. of Shares held Names(s) in Full 1. Hotel Taj Krishna. 2./Demat A/c No. 205 .NMDC Limited NMDC Limited £ Registered Office : Khanij Bhavan. Hyderabad .500 028.500 034 on Tuesday. Banjara Hills. Equity Shareholders attending the meeting in person or by Proxy are requested to complete the attendance slip and hand it over at the entrance of the meeting place. 2. Equity Shareholders / Proxies are requested to bring this slip with them. No. Name & Address as Regd.F.1. with the Company I hereby record my presence at the meeting of the 53 rd Annual General Meeting of Shareholders of NMDC Ltd at Grand Ball Room. Hyderabad . Road No. ATTENDANCE SLIP 53 ANNUAL GENERAL MEETING rd L. 10-3-311/A. 3. Please tick in the Box Equity Shareholder Proxy Equity Shareholder's Signature Proxy's Signature Notes: £ 1. Castle Hills.
53rd AGM Notice 206 .
No. If the payment transaction is delayed or not effected at all for any reasons. NMDC Limited responsible. including but not limited to incomplete or incorrect information. Place : Name of First Holder : Signature of First Holder : J Savings J Current J Cash Credit ECS Ref. No. intimated by the Demat Account holders directly to the Company will not be considered. of Branch Bank Account Number (As appearing on the Cheque Books) 9 digit code number of the Bank and Branch appearing on the MICR cheque issued by the Bank. Hyderabad . Registered Folio No. Aarthi Consultants Private Limited (Unit: NMDC Limited) D. I. if any. Please fill in the information in CAPITAL LETTERS in ENGLISH ONLY.500 028. or a photocopy (xerox copy) of a cheque issued to you by your Bank. further undertake to inform the Company of any subsequent change(s) in the above particulars.NMDC Limited NMDC Limited £ Registered Office : Khanij Bhavan. (Please attach a blank cancelled cheque. 207 . (If any) Effective date of this mandate I hereby. declare that the particulars given above are correct and complete. 10-3-311/A. 2. Domalguda Hyderabad . for verification of the above particulars) Account Type (Please tick the option) Bank Account Ledger Folio No. Name of the first/sole shareholder Bank Name Branch Address & Telephone No.500 029 Shareholder’s authorisation to receive dividends through Electronic Credit Clearing Mechanism. Castle Hills. I agree to discharge the responsibility expected of me as a participant under the scheme. Masab Tank. I will not hold M/s. ELECTRONIC CLEARING SERVICE (CREDIT CLEARING) MANDATE FORM FOR PAYMENT OF DIVIDEND All Demat Shareholders to forward: To The Depository Participant Only Physical Shareholders to forward: To M/s.: (for Office use only) £ Date : Note: 1.1-2-285. Shareholders are also requested to note that changes. In case of shareholders holding the equity shares in demat form. the shareholders are requested to provide details to their respective Depository participants.
53rd AGM Notice 208 .
Hon’ble Union Minister of Steel reviewing the performance of NMDC for the year 2010-11.0 MTPA steel plant at Nagarnar. NMDC signed the contract for setting up the country’s largest blast furnace of 4506 cubic metre for its 3. .Shri Beni Prasad Verma. Chhattisgarh.
Chitrakoot Water Fall. Chhattisgarh . Jagdalpur.
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue reading from where you left off, or restart the preview.