KIOCL Reports Highest Q2 Financial Results in last 5 years; Entry into European market gets highest realization
Deepthi | Myequity news | Date : 15-11-2018 10:30:00 IST
About KIOCL Limited:
KIOCL, the Country’s oldest Port based Pellet Plant under Ministry of Steel has shown a spectacular first half yearly financial results. After the Board Meeting, the Company has reported a PBT of Rs.59.12 crores & PAT of Rs.45.89 crores against Rs.10.44 crores & Rs.8.35 crores respectively of the previous financial year for the corresponding period. The results of Q2 are highest in the last 5 years which helped to improve the overall performance.
CMD, KIOCL, Shri MV Subba Rao stated that appreciation of Dollar, increase in steel production in the domestic market, increase in exports helped to improve the performance. The Company is continuing to procure iron ore from different sources. Entering into European market in addition to Asian Countries for sale of pellets helped in getting highest realization. The Company has totally utilized sea-route for its inward and outward movements.
The Company has initiated negotiations with major global Steel manufacturers for entering into long term and spot market for sale of pellets for the next financial year. KIOCL is expanding its business by setting up of Pellet Plants throughout India wherever market and raw material security exists. The Company is expected to complete all approved Projects i.e. Development of Mine, Modernization of Pellet Plant & Blast Furnace Unit which may get completed within a time span of 2-2 ½ years if all the statutory clearances are received in-time.
KIOCL Limited, formerly Kudremukh Iron Ore Company Limited is a Government of India enterprise with its head office and administrative activities in Bangalore. It has a pelletisation plant in Mangalore and had an iron ore mine in Kudremukh (Chikkamagaluru district). The Kudremukh mine, one of the largest iron ore mines in the world, was closed in 2006. The pellet plant with a capacity of 3.5 million tons per annum was commissioned at Mangalore in 1987. The plant was stopped in 2011 but in 2014 the plant resumed producing and exporting pellets, running on ores supplied by NMDC Limited. The pellets have been shipped to countries like China, Iran, Japan, and Taiwan.