NMDC LTD
Add to watch list to get report alerts
BSE Code:
526371
NSE Code:
NMDC
Business Profile
Business Profile
National Mineral Development Corporation (NMDC) was promoted by the Government of India in 1958. It is involved in the exploration of wide range of minerals including iron ore, copper, rock phosphate, lime stone, dolomite, gypsum, bentonite, magnesite, diamond, tin, tungsten, graphite, beach sands etc.
NMDC is India`s single largest iron ore producer and exporter, presently producing 20.74 million tons of iron ore from three fully mechanized mines at Bailadila and Donimalai. NMDC is operating the only mechanized diamond mine in the country producing around 80,000 carats at Panna in Madhya Pradesh. The calibrated ore from Bailadila deposits has substituted the iron ore pellets in sponge iron making and hence became an important raw material for major gas-based sponge iron and steel producers like Essar Steel, Ispat Industries, etc.
NMDC has a joint venture with Indian Rare Earths Ltd and AP Mining Development Corporation Ltd for the development of Bhimunipatnam beach sands into heavy minerals. It also has a joint venture with the Indian Railways, SAIL and the Madhya Pradesh Government for a railway line between Bailadila iron ore mines and Rowghat, enabling supply to the Bhilai Steel plant.
NMDC is planning an expansion by opening up new mines in Bailadila and Donimalai sector with a capacity of around 23 million tonns per year. NMDC is also diversifying into low silica limestone through the takeover of a silica sand mining and beneficiaton project from Uttar Pradesh State Mineral Development Corporation Ltd.
Financials
The company announced a marginal rise in standalone net profit for the quarter ended March 2009. During the quarter, the profit of the company rose 0.41% to Rs 10,211.90 million from Rs 10,169.70 million in the same quarter previous year. Net sales for the quarter rose marginally 2.19% to Rs 19,360.60 million, while total income for the quarter rose marginally 4.47% to Rs 21,617.50 million, when compared with the prior year period. It reported earnings of Rs 2.58 a share during the quarter, registering 96.65% decline over prior year period.
Recent Developments
19-NOV-08
The company signed a memorandum of understanding (MoU) with West Bengal Mineral Development and Trading Corporation (WBMDTC).
19-AUG-08
Global mining leader Rio Tinto and state-run the company signed an agreement to form an equal joint venture to explore minerals in India and abroad.
13-AUG-08
The company will sign an agreement next week with global miner Rio Tinto to buy mineral assets, reports Economic Times.
24-JUN-08
Government of India approved merger of Sponge Iron India (SIIL), Hyderabad with the company, through acquisition of shares of SIIL.
10-MAR-08
An extra ordinary general meeting (EGM) of the members of NMDC will be held on April 03, 2008 to sub-divide each equity shares of Rs 10 each into Re. 1 each.