PANJIM, APRIL 19
Boasting its highest ever quarterly and annual production and sales of iron ore, Sesa Goa has proposed a dividend of 325% or Rs 3.25 per equity share of Re 1 each which is an increase of 44% compared to the corresponding prior period.
Sesa Goa Limited on Monday announced its audited consolidated results for the fourth quarter and the year end, declaring a balance sheet with cash and cash equivalents of Rs 6,952 crore.
As on 31 March 31, the Company had cash and cash equivalents of Rs. 6,952 crore, consisting of Rs 4,565 crore in debt mutual funds and Rs 2,354 crore in fixed deposits with banks.
Sesa’s ongoing exploration activities in Goa and Karnataka have yielded significant success, with a net addition of 43 million tonnes to reserves and resources.
Total reserves and resources as on March 31 stood at 353 million tonnes (at the mines that the company holds on lease and/or right to mine) as compared with 240 million tonnes as on March 31, 2009 and 70 million tonnes of reserves and resources from Dempo, which was acquired in June 2009.
During Q4, the company produced 7.8 million tonnes of iron ore, taking the full year’s production to 21.4 million tonnes, an increase of 60% and 34% respectively, compared with the corresponding prior periods.
The increase in production was primarily on account of contribution from Dempo’s operations (which contributed 1.9 million tonnes and 3.6 million tonnes in Q4 and full year respectively), and better throughput from Sesa’s existing operations, including ore produced from previous stock of sub-grade materials, states a company’s press note.
Iron ore dispatches during Q4 and FY2010 were 7.4 million tonnes and 20.5 million tonnes respectively, an increase of 47% and 36% compared with the corresponding prior periods. During the same period, Dempo contributed 1.8 million tonnes and 3.6 million tonnes respectively, to the total dispatches.
The Cash Profit (PBDT) for Q4 and FY2010, was Rs 1,609 crore and Rs 3,519 crore, an increase of 99% and 27%, respectively, compared with the corresponding prior periods. The positive impact of higher volumes and iron ore spot prices in Q4 was partly offset by the increase in royalty rates, the press note added.
The company’s reclaimed Sanquelim mine was awarded the ‘Certificate of Appreciation for Plantation Management’ by Confederation of Indian Industry
Sesa, the country’s largest producer and exporter of iron ore in the private sector, is a majority owned and controlled subsidiary of Vedanta Resources plc, the London listed FTSE 100 diversified metals and mining major.
Over the last two decades, Sesa has diversified into the manufacture of pig iron and metallurgical coke. Sesa has mining operations in Goa, Karnataka and Orissa while it also operates a 280,000 TPY metallurgical coke plant and a 250,000 TPY pig iron plant in Goa.
The company acquired the shares of V.S. Dempo & Co. Pvt. Ltd, which in turn holds 100% equity shares of Dempo Mining during FY ’10.
