Synergy in Energy

MINING POWER F E R R O-A L L O Y S STEEL

SEML CORPORATE
An ISO 9001:2008 Certified Company

PRESENTATION
AHEMDABAD | BARBIL | DELHI | MUMBAI | NAGPUR | RAIPUR | VISAKHAPATNAM | BEJING | HONGKONG | INDONESIA | SINGAPORE

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THE COMPANY

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About The Company…

 Sarda Energy & Minerals Limited (SEML) is a flagship

company of the Sarda Group incorporated in 1973

 It is a manufacturer and exporter of niche and premium

grade manganese alloys in India.

 SEML is fully integrated producer of steel with interest in

mining, power and Ferro alloys.

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Developments in 2009-10

• Coal Mines
o Started extraction of coal from Raigarh Coal Mines for captive use in sponge
iron plant at Siltara
• Power Plant
o Installed 3rd turbine with another 90 TPH FBC boiler to augment the power
generation capacity from 48 MW to 78 MW
• Ferro Alloys
o Installed raw material preparation unit to agglomerate Mn Ore fines into lumps
• Iron Ore Pelletisation
o Trial production started in 0.6 MTPA Pellet Plant. Commercial production
commenced from April ,10.
• Wire Rod Mill
o 1.8 Lac TPA Wire Rod Mill operationalised.
• Fly-Ash Bricks & Blocks
o Started state-of-the-art fly ash brick manufacturing facility with installed
capacity of 60 million bricks per annum
• Railway Siding
o Operationalized railway siding inside the plant along with wagon tippler and
truck tippler, connected to Mandhar
SEMLRailway Station. 4
Capacity Creation
Sponge Iron Ferro Alloys
Year Addition Total Capacity Year Addition Total Capacity
(TPA) (TPA) (TPA) (TPA)
1993 30,000 30,000 2001 33,000 33,000
1995 30,000 60,000 2003 16,500 49,500
2004 150,000 210,000 2005 16,500 66,000
2009 150,000 360,000 2006 16,500* 82,500
*Used as standby

Steel Power
Year Addition Total Capacity Year Addition Total Capacity
(TPA) (TPA) (MW) (MW)
2001 40,000 40,000 2001 24 24
2006 100,000 140,000 2005 24 48
2008 100,000 240,000 2010 30 78
Hydro Power Projects
Project Name Capacity (MW)Managed B y Status

Loharkheth, 5 Parvatiya Power Ltd.(54% Operational

Uttarakhand stake)

Ronghni, 96 Madhya Bharat Power Civil work started

Sikkim Corporation Ltd.(52% stake)

Gullu, 24 Chhattisgarh Hydro Power (P) Financial Closure

Chhattisgarh Ltd.(60% stake) achieved

Rehar-I, 24 Chhattisgarh Hydro Power (P) Clearances in process

Chhattisgarh Ltd. (60% stake)

Mand, 24 Chhattisgarh Hydro Power (P) Clearances in process

Chhattisgarh Ltd. (60% stake)

Kotaiveera, 24 Chhattisgarh Hydro Power (P) Clearances in process

Chhattisgarh Ltd. (60% stake)

Ganeshpur, 9 Chhattisgarh Hydro Power (P) Clearances in process

Chhattisgarh Ltd. (60% stake)

Total 206

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Manufacturing Facilities
Existing
Sl. No. Facility Unit Capacity/Yr
1. Sponge Iron MT 360,000

2. Steel MT 240,000

3. Ferro Alloys MT 82,500

4. Power (Thermal) MW 61.5#

5. Iron Ore Pelletisation Plant MT 600,000

6. Wire Rod Mill MT 180,000

7. Iron Ore mining (Rajnandgaon Dist.) MT 1,500,000

8. Iron Ore Beneficiation Plant MT 600,000

9. Coal mining (Raigarh Dist.) MT 1,200,000

10. Coal Washery MT 960,000*

* Under Installation, # currently operational SEML 7

Mineral Resources

Sufficient to feed for 30 years ( Lease period)

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Location

Coal Mines at Karwahi

near Raigarh – Approx
320 Km from Raipur
Iron Ore
Mines at
Dongarbore
– Approx 70 SEML Plant at
Km from Siltara – Just 20
Raipur Km from Raipur

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Infrastructure
• Factory Land at Raipur: 600 Acre (Sufficient to take care of our proposed 1
Million ton steel plant for which environmental clearance has been received)
• Power:
– Directly connected with 132 KV electric line
– 220 KV line is passing through adjacent plot.
• Water: Dedicated 8 Km system from river to plant.
• Industrial Infrastructure: Plant is in the Industrial growth Center.
• Railway Siding:
– Private railway siding inside the plant connected to Bombay-Howrah main
railway line
– Another railway siding nearby owned under a joint venture .
– Near Iron Ore Mines area. (In operation)
• Staff Colony:
– 80 Dwelling units at the plant area with all amenities
– 25 Dwelling units in Raipur City for senior Executives.
– 24 Dwelling units at Iron Ore mines
– 77 Dwelling units under construction at Coal Mines.

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Subsidiaries & Group Companies
Subsidiaries
Sarda Metals & Alloys Ltd. (WOS)
Greenfield project of 66 MVA Ferro Alloys plant & 80MW Captive Power Plant near Vizag

Sarda Energy Ltd. (wos)– 1100 MW Thermal Power Project in Chhattisgarh

Sarda Energy & Minerals Hongkong Ltd., Hongkong. (WOS)
International trading & investment

Sarda Global Ventures Pte. Ltd (Singapore) (WOS)

Global mineral resource acquisitions – Coal Mine in Indonesia in JV (Reserves: 300 MMT)

Parvatiya Power Ltd.(54% stake) – Operating hydro power of 4.8MW in the state of
Uttrakhand

Madhya Bharat Power Corporation Ltd. (52% stake)– Hydro power project of
96MW in the state of Sikkim

Chhattisgarh Hydro Power Pvt. Ltd.(60% stake) – Hydro power projects totaling to
110 MW in the state of Chhattisgarh
Joint Ventures
Raipur Infrastructure Company Ltd. – Railway siding at Mandhar
Madanpur South Coal Company Ltd. – Coal block with our share of 36 Million Tones
BUSINESS MODEL

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Value Addition Chain

STEEL

POWER

MINERALS
(COAL, IRON ORE &
MANGANESE ORE)

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Operat
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MARKET

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Major Ferro Alloys Customers
Domestic Export

Tata Steel

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Export Details

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Export Countries

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Country-wise exports of Ferro Alloys

22,227 MT 12,586 MT

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FINANCIALS

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Financial Data (Million INR)

TURNOVER CASH PROFIT

MILLION INR MILLION INR

10,321

7,029
5,559

4,118

2,412

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Financial Data (Million INR)

NETWORTH PROFIT
MILLION INR

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Financial Data

Earning Per Share Dividend Per Share

RUPEES IN INR

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Financial Data Q1FY11

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Financial Ratios
PE RATIO TOL/TNW

CURRENT RATIO DEBT EQUITY RATIO

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Performance
Particulars 2006-07 2007-08 2008-09 2009-10

Installed Capacity Per Annum (Quantity)

Sponge Iron (MT) 210,000 210,000 360,000 360,000

Steel Billets (MT) 100,000 200,000 200,000 200,000
Steel Ingots (MT ) 40,000 40,000 40,000 40,000
Ferro Alloys (MT) 66,000 66,000 66,000 82500
Power (Kwh in Millions) 480 480 615 615
Pellet ( MT ) -- -- -- 600,000
Production ( In MT)
Sponge Iron (MT) 139,283 154,796 176,292 202,788
Steel Billets (MT) 30,979 58,667 53,190 7,322
Steel Ingots (MT) 29,800 24,327 20,909 4,948
Ferro Alloys (MT) 52,263 56,910 47,432 35,819
Power (Kwh in Millions) 329 340 358 331
Pellet ( MT) -- -- -- 27,121

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Credit Rating
Facility CARE Rating*
Non Convertible Debenture CARE AA-
Long Term Facilities
Secured Rupee Term Loan CARE AA-
Fund based Working Capital Limit CARE AA-
External Commercial Borrowing CARE AA-
Short Term Facilities PR1+

Rating Symbol Rating Meaning

CARE AA –Considered to offer high safety for timely servicing of debt obligations
– Carry very low credit risk
PR-1 –Strong capacity for timely payment of short term debt obligations
– Carry lowest credit risk
– Facilities with relatively better credit characteristic are assigned PR1+ rating

* CARE letter dated March 24, 2010

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PROJECTS

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Ferro Alloy Plant, Vizag
• Sarda Metals & Alloys Limited (SMAL) (WOS) is putting up a ferro
alloy plant along with CPP in Visakhapatnam.

Place Kantakapalli Village, Kothavalassa Mandal

District Vijaynagaram
State Andhra Pradesh
Nearest Railway Station Kantakapalli (Chennai-Kolkata main line), 2 Kms
Nearest Airport Visakhapatnam, 25 Kms
Nearest Port Visakhapatnam Port, 38 Kms
Gangavaram Port, 45 Kms

Road Access - Vijaynagaram State Highway, adjacent to site

- Chennai-Kolkata NH-5, 25 Kms from site

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Ferro Alloy Plant, Vizag
Location Details – 36 Km From Vizag

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Ferro Alloy Plant, Vizag
Location Details – 2 Km from Kantakapalli Railway Station

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Ferro Alloy Plant, Vizag
Product Details

Ferro Alloy Captive Power Plant

• Production Facility • Production Capacity

2x33 MVA Submerged Arc 1x80 MW Turbine
Furnace (Phase 1) 1x240 TPH CFBC Boiler
• Production Capacity
125,000 MTPA
• Major Products
Silico Manganese & Ferro
Manganese

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Ferro Alloy Plant, Vizag
Resources
Land 280.96 Acres from Andhra Pradesh Industrial Infrastructure
Corp.
Water Pumped from Raiwada Reservoir

Manganese Ore BHP Biliton, Australia; Assamang, South Africa; MOIL, AML
and UMK
Coal Indonesian & Indian Coal

Finance Project cost: Rs. 550 Crore

Debt: 70% (Rs. 385 Crore)
Equity: 30% (Rs. 165 Crore)

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Ferro Alloy Plant, Vizag
Current Status
Land 280.96 Acres. Acquisition completed from Andhra
Pradesh Industrial Infrastructure Corp.
Detailed Engineering & Completed
Design
Major Equipments Orders placed for long delivery items including BTG
Ferro Alloys furnaces order in finalization stage
Government Clearance Environmental clearances for MOES received.
Consent for Establishment (CFE) from APPCB
expected by March’10 end
Commissioning Date March 2012

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Rongni Chu Hydro Electric Project,
Sikkim
• Madhya Bharat Power Corporation Limited is setting up a 2x48 MW
Rongni Chu Hydro Electric Project in the state of Sikkim

Place Barrage Site: Near Namli Village

Powerhouse: Near Rangpo Town
District East Sikkim
State Sikkim
Nearest Railway Station New Jalpaiguri, 102 Km
Nearest Airport Bagdogra, 117 Km
Road Access Near National Highway 31A

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Rongni Chu Hydro Electric Project,
Sikkim Project Details and Current Status
Catchment Area 190 Sq Km

Catchment Type Rain Fed

Project Capacity 96 MW

Total Project Cost Rs. 544.43 Crores

Financial Closure Sanction received from PFC for 58% of the amount
In-principle sanction received for balance

Construction Work for approach road started

Equipment Tenders floated for major equipment

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Gullu Hydro Electric Project,
Chhattisgarh
• Chhattisgarh Hydro Power Private Limited is setting up a 2x12 MW
Gullu Hydro Electric Project in the state of Chhattisgarh

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Gullu Hydro Electric Project,
ChhattisgarhProject Details and Current Status
Catchment Area 415 Sq Km

Catchment Type Rain Fed

Project Capacity 24 MW

Total Project Cost Rs. 165 Crores

Financial Closure Achieved at D/E of 3:1

Land Acquisition Under Progress

Government Obtained draft PPA from CSEB

Clearances All statutory clearance obtained except Forest
Clearance

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GENERAL & CSR

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Best Practices

• SEML has attained Quality Management System (ISO

9001:2008) certification to ensure quality products &
services to all its stake holders. Moving towards ISO
14000
• Zero tolerance policy for exports
• To incorporate global best practices in the industry,
SEML has implemented SAP
• Strong Corporate Governance – out of nine, five are
Independent Director from diverse fields and two
professional Directors
• Implementation of 5S and 3M

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Awards & Appreciation
Appreciation/Awards by Government Departments
• Achieved the coveted Star Export House status from Government of India.
(Two Star)
• Certificate of Appreciation by The Commissioner of Central Excise and
Customs, Raipur, for outstanding contribution made by the company in
collection of Central Excise Revenue in Raipur Central Excise
Commissionerate among the large sector units during 2008-09
• Won the Highest Export Award among the large sector units conferred by
Govt. of Chhattisgarh.
• Most preferred supplies award for ferro alloys by Rashtriya Ispat Nigam Ltd,
Govt of India

Prizes
• The Dongarbore mines received first prize for maintenance of good road on
hilly terrain for transportation of material as per the specification and norms of
DGMS

• The Dongarbore mines received second prize for maintenance of lighting

system as per the specification and norms of DGMS
Corporate Social Responsibility

• Started state-of-art school, R.K. Sarda Vidya Mandir, in

association with Bharatiya Vidya Bhavan near Raipur

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Corporate Social Responsibility

• Adopted 270 Single teacher schools (Ekal Vidyalya) in

tribal area near Iron ore Mines for students from class 1
to 3.

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Corporate Social Responsibility

• Providing Ambulance & free medical facilities, nursing

staff covering 30 villages nearby mines area.

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Corporate Social Responsibility

• Founder member of Siksha Deep Trust, to extend

financial assistance for higher education to the
underprivileged

• Built drinking water facility for villages near factory area.

• Providing Infrastructure & aid to Schools.

• Adopted & Developed Motibag, City Garden of Raipur.

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 Mumbai Office Registered Office Works Office
Sarda Energy & Sarda Energy & Sarda Energy &
Minerals Limited Minerals Limited Minerals Limited
125, B Wing, Mittal Court 73/A, Central Avenue, Industrial Growth Center
Nariman Point, Mumbai Nagpur Siltara, Raipur
Maharashtra Maharashtra Chhattisgarh

url: www.seml.co.in
email: info@seml.co.in
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