Group Companies
Sarda Energy & Minerals Hong Kong Limited (SEMHL) is a wholly owned subsidiary, functioning as global investment arm of your Company. During 2018-19, the subsidiary reported a net profit of Rs.7.20 crore as against net profit of Rs.14.27 crore in the previous year. The company has paid a dividend of USD 2.60 Mn during the year (Pr. Year USD 2.25 Mn).

Sarda Global Venture Pte Limited a wholly owned subsidiary, has acquired economic interest in coal mines in Indonesia. The company is having JV with Indorama group for the coal mine in Indonesia. During 2018-19 the venture extracted 5,00,004 MTs (PY 1,23,656 MTs) of coal. The subsidiary reported a net profit of Rs.0.95 crore as against net loss of Rs.1.63 crore in the previous year.

Sarda Global Trading DMCC a wholly owned subsidiary, has been incorporated in March, 2018 with the object of trading in metal ores and firewood. Your Company has paid the initial capital in SGT during 2018-19. The Company is yet to start its activities. The subsidiary reported a net loss of 1.23 crore.

Sarda Metals & Alloys Limited a wholly owned subsidiary, operating 2 x 33 MVA Ferro Alloys plant backed by 80 MW captive thermal power plant, enjoys a TWO Star Export House status. During 2018-19, power generation was 524.28 MU as compared to 499.37 MU in the previous year. The ferro alloys production stood at 79,585 MTs as against 83,760 MTs in the previous year. The Ferro Manganese market was subdued becuase of dumping of cheaper imports mainly from countries like South korea. As a result the compnay did not produce Ferro Manganese in the year which requries lesser specific power. This led to the marginal drop in production in the year as compared to previous year. However captive consumption of Power was 331.71 MU as against 329.54 MU in previous eyar indicating no drop in operational levels of furnaces. Becuase of improvement in power demand the compnay was able to achieve PLF of 74.81% against PLF of 71.26% in previous year . During the FY 2018-19, the Company exported 69,844 MTs ferro alloys against 77,809 MTs in the previous year and achived export of Rs. 512.91 crore in FY 2018-19 as against Rs. 554.85 crore in the PY. The drop in exports is mainly because of subdued market conditions coupled with the ongoing Trade war. During 2018-19, the company has reported a net profit of Rs. 5.90 crore as against Profit of Rs. 16.59 crore in P.Y. The fall in the profit was on account of the increased cost of raw material, particularly coal. The company has met all its financial obligations to its lenders on time.

Sarda Energy Limited a wholly owned subsidiary was incorporated as an SPV to put-up 1320 MW super critical IPP thermal power project in Chhattisgarh. As reported earlier, the company has abandoned the project. The funds lying idle with the Company have been invested in Madhya Bharat Power Corporation Limited as part of promoters’ contribution. During 2018-19, the subsidiary reported a net profit of Rs.0.43 crore as against net profit of Rs.0.20 crore in the previous year.

Parvatiya Power Private Limited is operating 4.8 MW Loharkhet Hydro Power project in Bageshwar district of Uttarakhand. The Plant is based on River Sarju. The Company has supplied 217.18 lakh KWh (Previous Year 182.67 lakh KWh) to the state grid. The Plant has achieved second highest generation in F.Y. 2019 which is marginally lower than highest recorded generation of 217.88 MU in the F.Y. 2011-12. The plant enjoys debt free operations since financial year 2017-18. The capacity of the Plant is being enhanced by installing additional unit of 3 MW. The Detailed Project Report has been submitted for approval of Uttarakhand Jal Vidyut Nigam Limited. During 2018-19, the Company has earned profit after tax of Rs. 2.76 crore (Previous Year Rs. 5.22 crore). The profit during the previous year was on higher side on account of reversal of the deferred tax liability. The company has made provision of Rs.9.96 crore towards impairment in the value of investments. During 2018-19, the Company has made investment in M/s Apex Equipments Private Limited resulting into increase in its holding in the Company from 6.50% to 16.30%. Your Company continues to hold 51% stake in PPL.

Madhya Bharat Power Corporation Limited is implementing 96 MW (2X48) Rongnichu HEP near Gangtok in East Sikkim. It is a run of the river scheme based on the River Rongnichu. It is a CDM registered project. The construction works of the project are consistently progressing ahead. 12.60 kms long underground tunnel has been fully excavated except 13.39 metres left intentionally to be excavated at the end. Half of the concrete lining works is complete. Civil works of Barrage and Power House Complex is largely completed. Hydro-Mechanical works of Gates erection and penstock steel lining is underway. Supply and erection of power plant equipments is under progress. 24 out of 30 transmission line towers have been erected and stringing work is under progress. The project is expected to be operational before onset of next monsoon F.Y. 2021. During 2018-19, your Company has infused Rs. 91.02 crore in MBPCL (Rs. 42.04 crores by way of equity contribution and Rs. 48.98 crores by way of unsecured loan). Your Company holds 79.35% stake in the project (68.31% directly and 11.05% through its wholly owned subsidiary Sarda Energy Limited) as compared to 77.96 % in the previous financial year.

Chhattisgarh Hydro Power LLP is engaged in implementation of small hydro power projects in the state of Chhattisgarh. The state has potential for hydro projects which is largely unexploited. This gives immense opportunity to the LLP as it has licenses for implementation of four small hydel power projects with total installed capacity of 98.76 MW. The first 24 MW Gullu Small Hydro Electric Project has been commercialized in F.Y. 2017-18. The capacity of the Plant has been enhanced from 24 MW to 24.96 MW during 2018-19. The Plant has been earning cash surplus from the very first year of its operation. It has generated healthy business returns supported by adequate fixed feed in tariff. During 2018-19, the Plant has generated and supplied 632.95 lakhs units and has earned profit of Rs. 10.01 crore in its first full year of operations. Amongst other allotted Projects, 24.90 MW Rehar-I SHP is in the most advance stage of take off. Various statutory clearances including Second stage (Final) forest clearance is in place. Pre construction activities like construction of labour camps, stores and guest house is complete. Your Company holds 60% stake in the LLP as on March 31, 2019. In the current year (2019-20), subsequent to restructuring of the LLP, your Company has increased its stake in the Company to 100% (72% directly and 28% through its wholly owned subsidiary, M/s Sarda Energy Limited).

Sarda Hydro Power LLP formerly, M/s Sarda Hydro Power Private Limited has been converted into LLP during the year. On its conversion, all the members of the Company became the partners of the LLP and your Company continues to hold 60% stake in LLP. The LLP is implementing two small hydro projects namely, 24 MW Kotaiveera and 9 MW Ganeshpur. Both the projects are under planning and development stage.

Shri Ram Electricity LLP. was incorporated as a special purpose vehicle (SPV) for setting up a captive thermal power plant of 40 MW in the State of Chhattisgarh. In view of the cancellation of coal linkage for the power project, the LLP has dropped the project. The entity reported a net profit of Rs.0.09 crore in line with the previous year. Your Company continues to hold 51% stake in SRELLP. The firm will be dissolved once coal allocation related matters are closed.

Natural Resources Energy Pvt. Ltd is an SPV to carry on the business of development of mines and minerals, generation and trading of power and infrastructure development. The company had participated in the auction of coal mines as an SPV. The entire share capital of the company is held by SEML and its wholly owned subsidiary SMAL.

Raipur Infrastructure Company Ltd. was operating a private Railway Siding in Mandhar, Raipur. As already reported, railways has turned down request of the company for renewal of the existing lease agreement in view of requirement of loopline at the station. The company is pursuing with the Railways for getting refund of Rs. 5 crore deposited as security for siding at Odisha. Your Company holds one third share in the Joint Venture. During the year 2018-19 the Company had incurred net loss of Rs. 3.70 crore as against net profit of Rs. 3.76 crore in the previous year.

Madanpur South Coal Co.Ltd. a SPV was allotted Madanpur South Coal Block in consortium. The Supreme Court had cancelled all coal block allotments. Consequent to cancellation of coal mines, there is no business left in the company and no other activity has been planned. MSCCL holds certain assets, including land, acquired for the project. MSCCL would be wound-up after disposal of these assets. Your Company holds 20.13% in the Joint Venture.