MIRA INFORM REPORT

 

 

Report Date :

20.02.2013

 

IDENTIFICATION DETAILS

 

Name :

NUCLEAR POWER CORPORATION OF INDIA LIMITED

 

 

Registered Office :

16th Floor, Centre - 1, World Trade Centre, Cuffe Parade, Colaba, Mumbai -  400005, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

03.09.1987

 

 

Com. Reg. No.:

11-149458

 

 

Capital Investment / Paid-up Capital :

Rs. 101743.327 Millions

 

 

CIN No.:

[Company Identification No.]

U40104MH1987GOI149458

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMN09769E / PNEN03855F

 

 

PAN No.:

[Permanent Account No.]

AAACN3164F / AAACM3154F

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Generation of Power.

 

 

No. of Employees :

11662 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Aa (81)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

Large

 

Maximum Credit Limit :

USD 1020000000

 

 

Status :

Excellent

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a Government Organization.

 

It is a well established and reputed company having a fine track record. Financial position of the company appears to be sound. Fundamentally the company is strong. The company receives good operational and financial support from the Government.

 

Trade relations are fair. Business is active. Payments are reported to be regular and as per commitments.

 

The company can be good for normal business dealings at usual trade terms and condition.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Long term rating : AAA

Rating Explanation

Highest degree of safety it carry lowest credit risk.

Date

January 4, 2013

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

INFORMATION DECLINED

 

MANAGEMENT NON CO-OPERATIVE (91-22-25993000)

 

 

LOCATIONS

 

Registered Office :

16th Floor, Centre - 1, World Trade Centre, Cuffe Parade, Colaba, Mumbai -  400005, Maharashtra, India

Tel. No.:

91-22-22182171/ 22182177

Fax No.:

91-22-22180109

E-Mail :

cswtc@npcil.co.in

info@npcil.co.in 

Website :

www.npcil.nic.in

Location :

Owned

 

 

Corporate Office :

Nabhikiya Urja Bhavan, Anushakti Nagar, Mumbai - 400094, Maharashtra, India

Tel. No.:

91-22-25993000/ 25991000

Fax No.:

91-22-25994020/ 25563350

 

 

Power Station / Power Projects :

Located at:

 

Ø       Thane

Ø       Rajasthan

Ø       Kancheepuram

Ø       Uttar Pradesh

Ø       Gujarat

Ø       Tamilnadu

Ø       Karwar

 

 

Offices Outside Mumbai :

Located at:

 

Ø       New Delhi

Ø       Chennai

Ø       Hyderabad

 

 

Quality Surveillance / Assurance Offices :

Located at:

 

Ø       Baroda

Ø       Bangalore

Ø       Haridwar

Ø       Hyderabad

Ø       Bhopal

Ø       Chennai

Ø       Gujarat

Ø       Uttar Pradesh

Ø       Tiruchirapally

Ø       Walchandnagar

Ø       Kolkata

Ø       Pune

 

 

Overseas Offices :

Located at:

 

Ø       Moscow

Ø       St. Petersburg

Ø       Austria

Ø       Tokyo

Ø       France

 

 

DIRECTORS

 

AS ON 13.08.2012

 

Name :

Mr. Kailash Chandra Purohit

Designation :

Managing director

Address :

62, Sreeniketan, Anushakti Nagar, Mumbai - 400094, Maharashtra, India

Date of Birth/Age :

10.05.1954

Date of Appointment :

27.11.2009

DIN No.:

02903715

 

 

Name :

Mr. Shiv Abhilash Bhardwaj

Designation :

Whole-time director

Address :

C-602, Balaji Towers, Plot No. 8, Sector-22, Nerul, Navi Mumbai - 400706, Maharashtra, India

Date of Birth/Age :

04.01.1949

Date of Appointment :

03.02.2005

DIN No.:

00044553

 

 

Name :

Mr. Rakesh Nath

Designation :

Director

Address :

D-II/ 93, Kaka Nagar, New Delhi - 110003, India

Date of Birth/Age :

21.05.1950

Date of Appointment :

26.04.2011

DIN No.:

00045986

 

 

Name :

Mr. Nageswara Rao Guntur

Designation :

Director

Address :

8-A, Zerlina Little Gibbs Road, Malabar Hills, Mumbai - 400006, Maharashtra, India

Date of Birth/Age :

01.01.1953

Date of Appointment :

06.08.2007

DIN No.:

01733801

 

 

Name :

Mr. Sadasivam Raman Vindlachervu

Designation :

Nominee director

Address :

1-B, Zerlina Little Gibbs Road, Malabar Hills, Mumbai - 400006, Maharashtra, India

Date of Birth/Age :

24.12.1953

Date of Appointment :

18.07.2007

DIN No.:

01734028

 

 

Name :

Mr. Apurwa Prakash Joshi

Designation :

Director

Address :

9-B, Zerlina Little Gibbs Road, Malabar Hills, Mumbai - 400006, Maharashtra, India

Date of Birth/Age :

09.09.1953

Date of Appointment :

11.12.2008

DIN No.:

Director

 

 

Name :

Mr. Shirish Balkrishna Agarkar

Designation :

Whole-time director

Address :

Flat No. A/202, 2nd Floor, Rutu Park, Near Brindaban Bus Stand, Thane - 400601, Maharashtra, India

Date of Birth/Age :

23.03.1952

Date of Appointment :

27.11.2009

DIN No.:

02904800

 

 

Name :

Mrs. Nalini Bhat

Designation :

Director

Address :

D-1, Flat No. 1420, Vasant Kunj, New Delhi - 110070, India

Date of Birth/Age :

16.04.1951

Date of Appointment :

15.07.2010

DIN No.:

03209133

 

 

Name :

Mr. Arvinder Singh Bakshi

Designation :

Director

Address :

WZ – 13A, Sant Pura, Bindra Market Tilak Magar, New Delhi – 110018, India

Date of Birth/Age :

24.07.1953

Date of Appointment :

29.02.2012

DIN No.:

05175439

 

 

Name :

Mr. Preman Dinaraj

Designation :

Whole-time director

Address :

Flat No. 2-B, Zerlina Smt Khadija Shafti Tyabji Marg 1, Malabhar Hills, Mumbai – 400006, Maharashtra, India 

Date of Birth/Age :

18.07.1957

Date of Appointment :

10.01.2012

DIN No.:

05190963

 

 

Name :

Mr. Hemant Govindbhai Contractor

Designation :

Director

Address :

D-8, Kinellan Towers, 100-A, Nepeansea Road, Malabar Hills, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

22.04.1954

Date of Appointment :

26.09.2011

DIN No.:

03455526

 

 

KEY EXECUTIVES

 

Name :

Mr. Srikar Radhakrishna Pai

Designation :

Secretary

Address :

D-8, Ajanta, Anushakti Nagar, Mumbai - 400094, Maharashtra, India

Date of Birth/Age :

19.03.1961

Date of Appointment :

08.03.2007

PAN No.:

AEAPP2451G

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 13.08.2012

 

Names of Shareholders

No. of Shares

President of India

101743311

Ratan Sinha 

10

Kailash Chandra Purohit

1

Preman Dinaraj

1

Apurwa Prakash Joshi

1

Sadasivam R Vindlachervu

1

Arun Srivastava

1

Niranjan Kumar

1

 

 

Total

101743327

 

 

AS ON 13.08.2012

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Government [Central and State]

 

100.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Generation of Power.

 

 

PRODUCTION STATUS (AS ON 31.03.2012)

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Nuclear Energy

MW

Not Applicable

4680

Wind Energy

MW

Not Applicable

10

 

 

GENERAL INFORMATION

 

No. of Employees :

11662 (Approximately)

 

 

Bankers :

Ø       State Bank of India, Overseas Branch, World Trade Centre, Cuffe Parade, Colaba, Mumbai - 400005, Maharashtra, India

Ø       Dena Bank

Ø       Bank of India

Ø       Bank of Maharashtra

Ø       Canara Bank

Ø       Bank of Baroda

 

 

Facilities :

 

Secured Loans

31.03.2012

31.03.2011

 

 

(Rs. In Millions)

Redeemable Non-convertible Scheme

27186.200

27986.200

Term Loan from Banks

57860.000

61860.000

Loan repayable on demand from Bank

0.000

14200.000

Total

85046.200

104046.200

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Kalani and Company

Chartered Accountants

Address :

B-145-B, Kalyan Path, Mangal Marg, Bapu Nagar, Jaipur – 302015, Rajasthan, India

Tel. No.:

91-141-2709001-3/ 2701001-2

Fax No.:

91-141-2703507

Income-tax PAN of auditor or auditor's firm :

AABFK0738Q

 

 

Joint Venture Company :

L and T Special Steels and Heavy Forgings Private Limited

 

 

Subsidiaries :

Ø       Anushakti Vidhyut Nigam Limited [U40300MH2011GOI212727]

Ø       NPCIL - Indianoil Nuclear Energy Corporation Limited [U40104MH2011GOI215870]

Ø       NPCIL-Nalco Power Company Limited [U40300MH2012GOI227632]

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

150,000,000

Equity Shares

Rs. 1000/- each

Rs. 150000.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

101,743,327

Equity Shares

Rs. 1000/- each

Rs. 101743.327 Millions

 

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

101743.327

101453.327

101453.327

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

152537.329

138392.637

128406.260

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

254280.656

239845.964

229859.587

LOAN FUNDS

 

 

 

1] Secured Loans

85046.200

104046.200

91872.000

2] Unsecured Loans

59492.687

48595.486

62747.017

TOTAL BORROWING

144538.887

152641.686

154619.017

DEFERRED TAX LIABILITIES

157.131

0.000

0.000

 

 

 

 

TOTAL

398976.674

392487.650

384478.604

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

127914.624

136585.499

124269.505

Capital work-in-progress

175960.922

149031.954

161124.365

 

 

 

 

INVESTMENT

23916.672

22896.090

24127.781

DEFERRED TAX ASSETS

0.000

0.000

0.000

HEAVY WATER LEASE CHARGES RECOVERABLE

0.000

0.000

4120.994

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

4522.228

3926.241

3887.710

 

Sundry Debtors

22352.445

11444.371

5034.896

 

Cash & Bank Balances

51605.501

100695.844

72107.220

 

Other Current Assets

10826.217

11095.224

6413.783

 

Loans & Advances

19169.857

12512.406

5884.537

Total Current Assets

108476.248

139674.086

93328.146

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

3751.414

1747.256

2852.240

 

Other Current Liabilities

23734.804

45273.194

15242.731

 

Provisions

9805.574

8679.529

4397.216

Total Current Liabilities

37291.792

55699.979

22492.187

Net Current Assets

71184.456

83974.107

70835.959

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

398976.674

392487.650

384478.604

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Revenue from operation

79138.072

60125.316

38068.176

 

 

Other Income

7950.989

8739.269

6725.297

 

 

TOTAL                                    

87089.061

68864.585

44793.473

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Fuel and Heavy Water

28788.550

22910.940

14176.709

 

 

Operation and Maintenance Expenses

6143.458

3903.011

3068.569

 

 

Employee Benefit Expenses

9154.844

7628.930

6618.299

 

 

Administrative and Other Expenses

2719.723

2258.856

2427.075

 

 

TOTAL                                    

46806.575

36701.737

26290.652

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

40282.486

32162.848

18502.821

 

 

 

 

 

Less

FINANCIAL EXPENSES                        

6724.056

6614.603

4410.303

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

33558.430

25548.245

14092.518

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

9614.781

8676.518

7210.760

 

 

 

 

 

 

PRIOR PERIOD ADJUSTMENTS

127.143

11.070

2141.185

 

 

 

 

 

 

PROFIT BEFORE TAX

23816.506

16860.657

4740.573

 

 

 

 

 

Less

TAX                                                                 

4754.963

3097.400

576.440

 

 

 

 

 

 

PROFIT AFTER TAX

19061.543

13763.257

4164.133

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

15164.155

11215.673

9806.465

 

 

 

 

 

Add

TRANSFER OF EXCESS PROVISION OF DIVIDEND TAX

10.155

0.000

0.000

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

10000.000

5000.000

1000.000

 

 

Dividend

2918.500

2629.000

0.000

 

 

Tax on Dividend

473.454

436.644

0.000

 

 

Interim Dividend

2800.000

1500.000

1500.000

 

 

Tax on Interim Dividend

454.230

249.131

254.925

 

BALANCE CARRIED TO THE B/S

17589.669

15164.155

11215.673

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Guest House Receipt (at KK Project)

0.000

0.350

1.010

 

 

 

 

 

 

CIF VALUE OF IMPORTS

5116.992

7617.089

7380.664

 

 

 

 

 

 

Earnings Per Share (Rs.)

187.61

135.66

41.04

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

21.89

19.99

9.30

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

30.09

28.04

12.45

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

10.08

6.10

2.18

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.09

0.07

0.02

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.57

0.64

0.67

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.91

2.51

4.15

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2012

31.03.2011

 

31.03.2010

 

(Rs. In Millions)

Amount due to Micro, Small and Medium Enterprises

12.810

6.877

10.108

Payable to Others

3738.604

1740.379

2842.132

Total

3751.414

1747.256

2852.240

 

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

Yes

 

 

UNSECURED LOANS

 

Unsecured Loans

31.03.2012

31.03.2011

 

From Department of Atomic Energy-GOI

(Rs. In Millions)

Russian Credit-Loan KK Project

50474.937

48305.486

Interest Free Loan-KK Project

0.000

290.000

Foreign Currency Loan-External Commercial Borrowing from State bank of India, Singapore Branch

9017.750

0.000

Total

59492.687

48595.486

 

 

PERFORMANCE HIGHLIGHTS

 

The Company has achieved higher average capacity factor of about 79% as against 71% for the previous year. The use of imported fuel for reactors under safeguards and improved domestic fuel availability for reactors fuelled by domestic uranium resulted in higher capacity utilization. The year  recorded the highest nuclear power generation since the inception of the Company. Electricity generation, as per the billing cycle, in 2011-12 has been 32451 Million kWh (MUs) as against 26469 MUs in 2010-11 showing an increase of 23%.

 

The Department of Atomic Energy (DAE) had issued revised tariff norms for determining tariff for sale of electricity by Atomic Power Stations vide notification dated 8th December 2010. The tariffs, based on revised norms, which are inclusive of recovery of tax are effective from 1st July 2010 for all atomic power stations and are to remain effective for 5 years. The revised tariffs, as per new tariff norms, have been notified by the DAE during the FY 2011-12 except for TAPS Unit-1&2. Accordingly, the impact of the said notification has been accounted for during the year. The revenue from operation includes Rs. 1400.000 Millions, the net impact of revised tariff for the year 2010-11.

 

The revenue from sale of power generated from wind farm with an installed capacity of 10 MW at Kudankulam during the year was Rs. 52.600 Millions as against Rs. 64.200 Millions for the previous year. The provision for taxation during the year was Rs.4760.000 Millions as compared to Rs. 3100.000 Millions last year. The increase was on account of hike in book profit before tax to Rs.23820.000 Millions as against Rs.16860.000 Millions in the previous year. Presently, the Company is being subjected to Minimum Alternate Tax @ 20.01% including surcharge and cess on tax after availing tax holiday benefits available under provisions of the Income Tax Act, 1961.

 

The amount received towards interest on Research and Development Fund, Renovation and Modernization Fund and Decommissioning levy with interest thereon has not been considered as income of the Company. These funds are held by NPCIL on behalf of the DAE and the Decommissioning levy is collected from beneficiaries based on a statutory notification issued by the DAE. The Income Tax Tribunal has decided that the interest earned on these funds be treated as income of the Company. While an appeal has been filed in the Honorable High Court of Maharashtra, Mumbai, the Company has appropriated Rs.430.000 Millions from these funds towards the income tax, if finally, payable on these levies.

 

The Company has been able to regulate its operational efficiency and has been able to achieve a net profit of Rs.19060.000 Millions after tax. The accumulated deferred tax liability as on 31st March 2012 was Rs.12910.000 Millions on account of timing differences between book and tax profits. Out of the deferred tax liability of Rs.12910.000 Millions, Rs.12750.000 Millions is recoverable from the beneficiaries on account of income from generation of power, since the income tax payable on income from generation of power is recoverable from beneficiaries up to 30th June 2010. The amount of Rs.12750.000 Millions of deferred tax is recoverable on becoming a part of the current tax. Therefore, such deferred tax is considered as recoverable and netted from such deferred tax liability / expense.   

 

 

OPERATING PERFORMANCE OF THE STATIONS

 

The performance of all operating units was satisfactory during the year 2011-12 and these generated 32455 MUs of electricity, recording the highest ever generation in a financial year, crossing the MOU target. The overall Capacity Factor was 79% and the weighted average Availability Factor was 91%. In addition, Kudankulam Wind Farm generation during the year was 18 MUs.

 

 

ONGOING PROJECTS

 

KUDANKULAM NUCLEAR POWER PROJECT-1&2 (2X1000 MW VVERS)

 

The Kudankulam project, located in Tirunelveli District of Tamilnadu, is being implemented with Technical co-operation from Russian Federation within the framework of the Inter-Governmental Agreement signed between USSR and India. The power generated from the project (2x1000 MWe) shall be fed to Tamilnadu and other beneficiary states in the southern grid. The construction of Kudankulam Project commenced on 31st March 2002 with the first pour of concrete, after receipt of the financial sanction in November 2001. The project has recorded a cumulative progress of 97% as of March, 2012 (Unit-1: 99% and Unit-2: 95%) with cumulative expenditure of Rs.147140.000 Millions. On supplies front, Unit-1 supplies have been completed and Unit-2 balance supplies are expected to be completed by third quarter of the year 2012.

 

The Unit-1 of the project has entered into the final commissioning phase. The project has achieved significant milestones during the year 2011-12. After receipt of clearance from Atomic Energy Regulatory Board (AERB), Hot Run, continuous operation for 200 hrs of primary coolant system including tests like Reactor Coolant Pumps (RCPs) hot and cold combination tests, Control Protection System Absorber Rods (CPSAR) tests were completed at nominal parameters (pressure 15.7MPa and temperature 2800C).

 

Operability of safety system equipments from Shielded Control Room has been checked. Performance tests of safety system of all the four trains were carried out.

 

Subsequent to completion of hot run, inspection of primary coolant system equipment and piping was commenced and is in progress.

 

In Unit-2 construction activities are at advanced stage of completion with all civil works, Reactor equipment erection, Turbo-generator boxing up, Ventilation system erection, seawater system erection and common service system erection completed and balance piping of Nuclear Steam Supply System and secondary side are in advanced stage of completion.

 

For electrical system all the equipment erection has been completed and more than 45% Cabling works has been completed. For I&C systems, all the received panels have been erected and cable laying and termination work is in progress.

 

Commissioning activities of Unit-2 commenced with the successful charging of Reserve Auxiliary Transformer and other downstream HT and LT buses on priority basis.

 

Commissioning of fire water system, chilled water system in Reactor Building and Reactor Auxiliary Building, essential load cooling pump (1 train) has been completed. Sea water system commissioning, D.G system commission, valve commissioning, reactor auxiliary system and ventilation system commissioning is in progress.

During the period 13th October 2011 to 19th March 2012, there was a local agitation in the villages around KKNPP. Due to this agitation, though the progress of work at KKNPP slowed down, the manpower required to carry out the essential activities throughout this period was maintained, including surveillance of all the equipment, preventive maintenance works and essential commissioning activities related to regulatory clearances. The documentation works like commissioning reports, construction completion certificates, DCNs, etc. were carried out in full swing.

 

Due to agitation, the erection and commissioning activities of balance work of Units-1&2 got delayed. However, all the other activities viz. detailed design of the project, manufacturing and supply of equipment / components / materials, stage-wise consent from AERB and maintenance/preservation of the equipment and associated systems continued satisfactorily.

 

For this, a full-fledged office was established in KKNPP Township wherein activities such as the preparation and supply of design work by Russian specialists and their review by NPCIL officers for implementation, receipt of equipment and material from Russian Federation etc. continued. In fact, a temporary storage facility in KKNPP Township was also established where about 41 containers containing these supplies were temporarily stored. The interaction with AERB at KKNPP office in the Township for their consent regarding preparation of documents and supply of relevant information to AERB continued with due support of Headquarters. Regulatory inspection by AERB and IAEA safeguard inspection were also carried out during the period of agitation.

 

Various systems which were to be commissioned were kept continuously operating to preserve the health and chemistry of the relevant systems.

 

The total revised completion cost of the project is estimated at Rs.172700.000 Millions from Rs.15824 Millions indicating an increase of Rs.14460.000 Millions. Unit-1&2 are expected to commence operations in the year 2012 and 2013.

 

 

NEW PROJECTS UNDER CONSTRUCTION

 

KAKRAPAR ATOMIC POWER PROJECT-3&4 (KAPP-3&4)

 

The construction activities of KAPP 3&4 the first twin reactor of 700 MW series being launched by NPCIL, commenced by laying the First Pour of Concrete on 22nd November 2010. As of now around 43% of total expected main plant concrete quantity has been poured.

 

Presently, works are being executed simultaneously for all main plant buildings. First time in Indian PHWR concreting of Inner Containment wall with Carbon Steel Liner has been taken up after elaborate mockup exercise was done at site. This is a big achievement as the entire system has been successfully developed indigenously. In addition to Main Plant Civil Contract, the works for other similar contracts have also commenced. This includes Balance of Turbine Island (BOTI), Plant Water Package and construction of Induced Draft Cooling Tower (IDCT). PCC for Turbine Building-3 has started after completion of excavation. Civil works for all Buildings/structures up to

El.100 M under Plant Water Package are nearing completion. IDCT excavation work to the extent of approx. 50% has been completed.

 

The project is progressing well ahead of schedule. KAPP-3&4 are slated for completion in the year 2016.

 

 

RAJASTHAN ATOMIC POWER PROJECT-7&8 (RAPP-7&8)

 

After completion of excavation and the regulatory clearances, First Pour of Concrete in Nuclear Building NB-7 was carried out on 18th July 2011. First Pour of Concrete in NB-8 was achieved on 30th September 11. Completion of one of the concrete pours (Pour-2) on 3rd November 2011 marked the biggest pour of size 5757CuM having been carried out in the history of Nuclear sector in India.

 

Raft concreting in Nuclear Buildings is in progress. Works are being executed simultaneously for all main plant buildings.

 

RAPP-7&8 has completed 556 reportable accident free days. The project is slated for completion towards end 2016.

 

 

KUDANKULAM NUCLEAR POWER PROJECT-3&4 (KKNPP-3&4)

 

The Kudankulam project unit-3&4 is expansion of unit-1&2, located in Tirunelveli district of Tamilnadu, is being implemented with co-operation from Russian Federation (RF) within the framework of the Inter-Governmental Agreement signed between RF and India.

 

Environmental Impact Assessment studies for Kudankulam expansion units have been carried out by National Environmental Engineering Research Institute (NEERI), Nagpur.

 

Based on the report, public hearing has been successfully completed by the Tamilnadu Pollution Control Board.

Environmental clearance was obtained from the Ministry of Environment and Forest (MoEF) as per the provisions of Environmental Impact Assessment (EIA) Notification 2006. The process for Coastal Regulation Zone clearance from MoEF is in progress. Siting consent was received from AERB and excavation consent submitted to AERB.

 

Techno Commercial Offer was received from Atomstroyexport, Russian Federation. The division of responsibility and various terms and conditions of the contract are in the advanced stage of finalization. The General Framework Agreement is by the sides.

 

A contract for the first priority design works for initial design activities has been signed with Atomstroyexport and the work is in progress. The layout has been finalized and seawater intake and outfall scheme is in advanced stage of finalization. The preliminary activities for finalization of Design and Technical specification for the Indian scope of works have been initiated.

 

The pre-project activities like Geo-technical investigation work in Onshore and Offshore areas, thermal dispersion studies (2-D modeling) of KKNPP expansion programme, Coastal Regulation Zone mapping of KKNPP coastline, Study on the impact of cooling water discharge on marine environment, Comprehensive main plant survey work etc has been completed. The work for bathymetric survey of larger off-shore area is also completed.

 

Work on Phase-1 Plant site and Township Infrastructure like Property fencing, Security fencing, Development of master plan for township and plant site has been completed. Construction of Quality assurance building and canteen building started on infrastructure front.

 

Engineering service contract is awarded for basic design and finalization of technical specification of system and equipments in the Indian scope of responsibility and the work is under progress.

 

Recently, India has signed Protocol with Russian Federation on 17th July 2012 in Moscow for financing the KKNPP Unit-3&4.

 

As per the protocol, the Russian Federation will extend credit amounting upto US$ 3400 million for financing 85% value of works, supplies and services provided by the Russian organizations for construction of KKNPP Units 3&4. The Protocol also has provisions for a State export credit amounting to US$ 800 million for financing upto 85% nuclear fuel and control assemblies. The credit carries interest at 4% p.a. The project credit is payable in 14 years and repayment commencing one year after commissioning of the project whereas fuel credit would be payable in 4 years and repayment commences after 2 years of receipt.

 

 

JAITAPUR NUCLEAR POWER PROJECT (JNPP)

 

The Jaitapur Nuclear Power Project (JNPP) is proposed to be set up in technical collaboration with AREVA, France. Two units are planned in the first phase and the project will have finally six units of 1,650 MW. Government of India accorded the ‘in-principle’ approval for the site and land is in NPCIL possession. All the safety guidelines of International Atomic Energy Agency and Atomic Energy Regulatory Board are strictly adhered to. The land acquired in Jaitapur is predominantly barren and several geographical and environmental assessments are carried out to ensure the safety of ecology and local population. The Environmental and Costal Regulation Zone clearance have been accorded by Ministry of Environment and Forest (MoEF), Government of India in 2010. The Project will augment electricity generation of 36-39 MU/day from each unit of 1650 MW.

 

Revised Techno-Commercial Offer submitted by AREVA is under negotiation. The scope of Early Works Agreement (EWA) signed between NPCIL AREVA on December 6, 2010 is under revision to the lessons learned from Fukushima incident.

 

Various pre-project activities like geo-technical investigation, boundary wall construction, consultancy contracts, etc., are in progress at sites of Main Plant and residential complex.

 

Several public awareness activities on the various aspects of Nuclear Power and the project were undertaken to dispel misconceptions among the people from surrounding villages of the project, local and national press and media and the various activist groups. An information centre has been set up at Ratnagiri to disseminate information regarding Nuclear Power including JNPP.

 

 

PROJECTS AT NEW SITES

 

In 2009, the Government of India has given In-principle approval for full potential of Sites at Kudankulam and Jaitapur and also for five new sites; two for indigenous PHWRs and three for LWRs based on foreign co-operation.

 

Jaitapur and five sites located in Haryana, Madhya Pradesh, Gujarat, Andhra Pradesh and West Bengal as mentioned above are greenfield sites. In July 2011, the Government of India, accorded ‘in-principle’ approval for three more inland sites for setting up 700 MW PHWRs – Mahi Banswara (4x700 MW) in Rajasthan, Bhimpur (4x700 MW) in Madhya Pradesh and Kaiga expansion (2x700 MW) in Karnataka. The pre-project activities at new sites are in progress. These include opening of the NPCIL offices in nearby towns, Environment Impact Assessment for MoEF clearance, design input for regulatory clearance, steps for obtaining siting consent from the regulator, public awareness programmes and actions for land acquisition to prepare the sites ready for project construction within shortest time. The land acquisition applications for issuance of Section 4 notification under Land Acquisition Act, 1894 have been already submitted to the respective District Authorities, Gujarat, Madhya Pradesh and Andhra Pradesh. In the case of Haryana, an amount of Rs.4600.000 Millions was paid on 23rd June 2012 to the Land Acquisition Collector, Fatehbad.

 

Public Hearing was organized by Haryana State Pollution Control Board (HSPCB), Hisar Region on 17th July 2012. The award under Section-11(1) of Land Acquisition Act, 1894 was declared on 18th July 2012 and disbursement of land compensation has started.

 

In respect of new sites at Mahi Banswara and Bhimpur, pre-project activities like seismotectonic studies, flood studies, meteorological data, geotechnical investigation, land acquisition processes, etc. are also at various stages of progress. Preliminary discussions with foreign vendors for setting up 1000-MW or larger-capacity LWRs based on international cooperation at Kovvada in Andhra Pradesh and Chhaya Mithi Virdi in Gujarat are in progress.

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

ECONOMIC ENVIRONMENT

 

For the Indian economy, GDP growth in FY 2011-12 is estimated at 6.9% against 8.4% in FY 2010-11. Notwithstanding this, by any cross-country comparison, India remains among the front-runners. During FY 2011-12, agriculture and services continued to perform well but industrial production particularly in manufacturing sector slowed perceptibly.

 

 

INDUSTRY OVERVIEW

 

Electric power is part of the basic infrastructure required for the economy’s sustained growth. The Indian power sector has registered significant progress since the process of planned development of the economy began in 1950. Over the years, during 1950 till March 2012, the installed capacity of power utilities has increased from a meager 1713 MW to 1,99,877 MW, the electricity generation increased from about 5.1 billion kWh to 877 billion kWh, about 170 times. The per capita annual consumption of electricity in the country also increased to about 55 times, from 15 kWh in 1950 to about 813 kWh in 2010-11.

 

India’s overall electricity generation registered a growth rate of 8% in the year 2011-12. The electricity generation from nuclear power grew at a much higher rate by 23% and contributed about 3.7% in total generation in the country in 2011-12 against 3.2% in 2010-11.

 

The electricity supply is, however, insufficient to meet the demand. The country’s energy and peak shortages were about 8.5% and 11% respectively during the year 2011-12. The per capita consumption of electricity continues to be very low, at about one third of the world average.

 

There is a need for large capacity addition to meet the growing demand, to ensure lifeline energy needs of all citizens and also provide adequate energy to sustain growth to meet the development objectives.

 

The Integrated Energy Policy (2006) of India has projected augmentation of installed capacity to about 800 GW by the year 2032 for a growth rate of 8%. This is projected to be reached by deploying all sources of energy, including nuclear. Of the 800 GW, the projected contribution of nuclear power is 63000 MW.

 

 

NUCLEAR POWER A PREFERRED OPTION FOR INDIA

 

Theoretically, Nuclear energy offers India the most potent means to long term energy security. India has to succeed in realizing the three-stage development process and thereby tap its vast thorium resource to become truly energy independent beyond 2050. To utilize uranium and large thorium reserves in the country for electricity generation, India’s nuclear power programme was envisaged as a three-stage programme with a closed fuel cycle. The three stages of the programme are:

 

Ø       Natural uranium fuelled Pressurised Heavy Water Reactors (PHWRs) in the first stage.

Ø       Fast Breeder Reactors (FBRs) utilizing plutonium based fuel extracted from the spent fuel of the first stage, and

Ø       Advanced nuclear power systems for utilization of thorium.

 

Continuing support to the three-stage development of India’s nuclear potential is essential.

 

Light Water Reactors with international cooperation are planned as additionalities to the programme for faster capacity addition to meet the growing demand of electricity. NPCIL has already taken up development of design of a light water reactor and so will be able to set up more light water reactors in future of indigenous origin and indigenous design.

 

Seeing the climate change concerns, it is desired to move towards a low carbon energy growth path which is the growth path that not only the diminished fossil fuel resources demand but also the climate concerns. In this context, the concerns about global warming and carbon emissions or greenhouse gas emissions have made nuclear power even that much more important for India than it was ever before.

 

India is highly vulnerable to effects of climate change and has a strong interest in efforts aimed at minimizing climate change risks. Although India contributes only one-fourth of greenhouse gas emissions of global average in per capita terms, it has pro-actively instituted several measures in this direction and has defined self imposed target to reduce the emissions intensity.

 

Electricity generation contributes about 38% of total GHG emissions and 51% of CO2 emissions in the country. Thus, reducing the emission intensity of the electricity generation is of prime importance. Nuclear power, which is clean and has life cycle emissions comparable to renewables like wind and hydro power, is an important low carbon electricity generating technology.

 

 

PUBLIC CONCERNS ABOUT SAFETY – POST FUKUSHIMA

 

Following the recent incident at Fukushima-Daiichi nuclear power plant in Japan following the massive earthquake ensuing tsunami, there are concerns in the public about safety of nuclear power plants. In order to accelerate the nuclear power programme, it is vital to reassure the public about safety of nuclear power plants and address other concerns like waste management, fears about radiation and economics of nuclear power. In this direction, enhanced public communication and outreach activities are planned.

 

A massive public outreach programme was launched to allay the apprehensions of the people about safety of nuclear power plants in a structured manner, by adopting a multipronged approach in and around of nuclear power plant sites. The campaigns have also been extended to other parts of the country. To supplement the scaled-up outreach activities, NPCIL has entered into partnership with several special agencies like Vigyan Prasar of the Department of Science and Technology, DAVP, UFO Movies, etc.

 

Safety reviews of the reactors in operation and under construction were undertaken by NPCIL task forces, which found that they were safe and had margins and features in designs to withstand extreme natural events. An expert committee of the Atomic Energy Regulatory Board (AERB), which reviewed the safety of nuclear power reactors in the country, also reached similar conclusion. The committees also made recommendations to take the safety to a much higher level, which are being implemented. The Government has decided to invite IAEA missions, namely, Operational Safety Review Team (OSART) and Integrated Regulatory Review Service (IRRS), for peer review of safety of nuclear power plants and of the regulatory system, respectively.

 

A review of emergency preparedness plans, in association with the National Disaster Management Authority (NDMA) was carried out. Mock drills were carried out at all sites and the plans validated and improved. Measures to strengthen the monitoring of radioactivity and response to incidents involving radioactivity at other locations across the country (all police stations) were discussed and plans to implement the same finalized.

 

 

INDIAN NUCLEAR SECTOR

 

India embarked upon an indigenous three-stage nuclear power programme in the fifties, aimed at optimum utilization of the country’s nuclear resources to provide long-term energy security. Comprehensive capabilities in respect of indigenous reactor technologies and associated fuel cycle have been developed in the country. The facilities for the front-end and back-end fuel cycle, special materials like zirconium and heavy water have been set up by the Department of Atomic energy (DAE). These are in successful operation. Considerable efforts were put in to develop the Indian industries to meet the exacting standards for manufacturing of nuclear components and equipment. Today, Indian industries have the capacity and capability to supply components, equipment and execute works for the indigenous nuclear power programme.

 

In view of expanding nuclear power programme, including imported nuclear power reactors of higher unit sizes, industrial manufacturing capability and capacity need to be significantly enhanced. Towards this, steps of forming various Joint Ventures have been taken up.

 

 

COMPANY OVERVIEW

 

ROLE OF NPCIL

 

In India, nuclear power generation commenced as a government activity and it entered the commercial domain in 1987 with the formation of the Nuclear Power Corporation of India Limited, a public sector enterprise under the aegis of Department of Atomic Energy, Government of India.

 

NPCIL has attained maturity in the first stage of nuclear power programme. Today, NPCIL is unique in having comprehensive capacity in the various facets of nuclear technology viz. site selection, design, construction, commissioning, operation and maintenance and life extension of nuclear power plants.

 

 

GENERATION PERFORMANCE

 

Starting with six reactors in 1987, NPCIL now has a fleet of 20 reactors in operation. NPCIL owns and operates 19 nuclear power reactors, in addition to operating Rajasthan Atomic Power Station Unit-100 MW PHWR) owned by the DAE. The Company has to its credit more than 355 reactor years of safe operation of nuclear power plants. A very high availability factor, the hallmark of operational efficiency of a nuclear power plant, sets apart the nuclear power reactors of NPCIL. In the year 2011-12, NPCIL reactors achieved a weighted average availability factor of 91%.

 

NPCIL recorded significantly improved generation performance during the year 2011-12. The year recorded highest-ever nuclear power generation, registering 32455 MUs. This was 23% higher than the last year’s generation of 26472 MUs. This has been possible mainly due to operation of reactors with imported fuel at higher capacity factors. The overall capacity factor improved to 79% compared to 71% capacity factor for the previous year. Also, TAPS-3 recorded a continuous run of 522 days. Nine reactors viz. KAPS-1 (372 days), RAPS-4 (394 days), RAPS-3 (404 days), KAPS-2 (406 days), MAPS-2 (432 days), KGS-1 (487 days), KGS-2 (529 days), TAPS- 2 (590 days) and TAPS-3 (522 days) have so far recorded continuous run of more than a year.

 

 

STATUS OF ONGOING PROJECTS

 

KKNPP-1and2 is at an advanced stage of commissioning. The physical progress of Unit-1 and Unit-2 were 99% and 95% respectively as on March 2012. These units are expected to commence operations in the year 2012 and 2013. The work on two other ongoing projects, KAPP-3&4 and RAPP-7&8 comprising of indigenous 700 MW PHWRs is progressing. These projects are expected to be completed by 2016 with a capacity addition of 2800 MW.

 

 

NEW PROJECTS

 

In respect of KKNPP-3&4, the site has been made ready in all respects to take up excavation works. Siting consent from AERB and Environmental clearance from MoEF have been received. Excavation consent is  by AERB. The CRZ clearance is awaited. Additional site infrastructure development work is in progress.

 

 

As regards Jaitapur Project i.e. JNPP-1&2, MoEF environmental clearance and CRZ clearances have been received. Siting consent is under AERB review. Geo-technical investigations are initiated. The post-Fukushima design review is in progress. An information centre has been established at Ratnagiri for public awareness.

 

The Government accorded ‘in principle‘ approval in October 2009 for five new sites - Gorakhpur in Haryana and Chutka in Madhya Pradesh to locate indigenous 700 MW PHWRs and Kovvada in Andhra Pradesh, Chhaya Mithi Virdi in Gujarat and Haripur in West Bengal to locate LWRs based on international technical cooperation. In July 2011, the Government accorded ‘in principle’ approval for three more inland sites for setting up 700 MW PHWRs – Mahi Banswara in Rajasthan, Bhimpur in Madhya Pradesh and Kaiga expansion in Karnataka.

 

Studies for Environmental Impact Assessment for Gorakhpur, Chutka, Kovvada and Chhaya Mithi Virdi sites are at various stages of progress. NPCIL has established local offices at these new sites and extensive public outreach programmes have been organized for target groups.

 

Pre-project activities including seismotectonic studies, flood studies, meteorological data, geotechnical investigation, land acquisition process and so on are at various stages of progress. These are being initiated for new sites at Mahi Banswara and Bhimpur.

 

 

MOU PERFORMANCE

 

The provisional MoU rating for the year 2011-12 is ‘Very Good’. With availability of imported fuel for reactors under IAEA safeguards, NPCIL surpassed the generation target for the year 2011-12.

 

 

POWER TARIFFS

 

The Department of Atomic Energy is the apex body for tariff regulation of nuclear power plants in India. It determines the tariffs in coordination with the Central Electricity Authority.

 

The effective tariff of NPCIL stations considering the receivables pertaining to the year  was `2.58 paise/kWh (as against `2.49 paise/kWh for 2010-11). Ensuring viable tariffs, in a manner that nuclear power tariffs are comparable to those from other contemporary power plants of other technologies in the area, is absolutely essential. Capital costs of nuclear power projects are comparatively high and form the largest component of nuclear power tariffs. The cost of indigenous PHWRs is being accordingly optimized by variety of means including proper project management leading to reduction in gestation period of projects, etc. The LWR projects cost are being optimized by adopting suitable business models, increased indigenization and adopting appropriate financing methods. The effort to reduce the tariff is an ongoing and dynamic exercise.

 

 

OUTLOOK

 

Electricity is an essential requirement for all facets of their lives. It is one of the key drivers for rapid economic growth and poverty alleviation. Growth of power sector in India since its independence has been noteworthy. However, the demand for power has been outstripping the growth in its availability. Substantial energy and peak energy shortages prevail in the country. The country faced energy deficit of 8.5% and peak deficit of 11.1% during 2011-2012. The per capita electricity consumption during the year 2009-10 was 813 MUs, which is far lower compared to the countries like USA, France, China and various other developed countries. Thus, India needs to increase its electricity production many fold for economic growth as well as for meeting the electricity deficits. No single energy of the country can meet the required production of electricity. Hence, for India, utilization of all the available sources of energy is inevitable for meeting the energy requirements. The other challenging factors for power sector are environmental issues like greenhouse gas emissions from burning of fossil fuel.

 

This, along with country’s energy resource profile, necessitates an enhanced contribution from nuclear power from both short-term as well as long-term perspectives. Nuclear power in the country has already overcome the infant problems and is now poised for its rapid expansion. Considering all the factors, Integrated Energy Policy of

the country has projected 63,000 MW contribution from nuclear power by the year 2032. Thus, for NPCIL, being the flagship company along with Bharatiya Nabhikiya Vidyut Nigam Limited for implementation of the three-stage programme, the outlook is bright and challenging.

 

 

FIXED ASSETS:

 

Ø       Land building

Ø       Railway Sidings

Ø       Plant and Machinery

Ø       Furniture and Fixtures

Ø       Office Equipment

Ø       Vehicles

Ø       Software

 

 

WEBSITE DETAILS:

 

PRESS RELEASE

 

GOVERNMENT OF INDIA DEPARTMENT OF ATOMIC ENERGY PUBLIC AWARENESS DIVISION

 

S.K. Malhotra Head, Public Awareness Division

 

November 27, 2012

 

PRESS RELEASE NO.: 12/2012

 

Dear Sir/Madam,

 

During the last few days some sections of media have been reporting that Department of Atomic Energy and its PSU Nuclear Power Corporation of India Limited will be dumping nuclear wastes from Kundakulam Nuclear Power Plant, Tamil Nadu in Kolar Gold Field, Karnataka. It is hereby categorically stated that the Department of Atomic Energy or Nuclear Power Corporation of India Limited do not have any plans to dump nuclear waste from any nuclear power plant in the Kolar Gold fields. In fact Nuclear Power Corporation of India Limited has submitted a supplementary affidavit today to the Hon’ble Supreme Court of India wherein it has stated very clearly that “it is not considering the Kolar Gold Mine of BGML in Karnataka for purposes of nuclear waste storage as is being alleged or has been suggested by a section of media”.

 

Department of Atomic Energy has been conducting studies in an underground chamber in Kolar Gold Mine with an objective of understanding the behaviour of rock mass at an elevated temperature and to ultimately develop appropriate models, their validation and to develop suitable instrumentation for the underground mining conditions. These studies are being carried out since 1980s at a depth of 1000 meter in the amphibolite rock formation of Kolar Gold Fields. The studies employ electrical heater to simulate the heat conditions which will be encountered in an actual deep geological repository.

 

It may be noted that Kolar Gold Mines being vulnerable to water ingress, have never been and will never be a candidate for deep geological repository.

 

We request the entire media to kindly publish these clarifications in their esteemed journals/news channels for the benefit of their valuable readers/viewers.


 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 54.29

UK Pound

1

Rs. 84.09

Euro

1

Rs. 72.44

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Report Prepared by :

BVA

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

9

PAID-UP CAPITAL

1~10

9

OPERATING SCALE

1~10

9

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

9

--PROFITABILIRY

1~10

9

--LIQUIDITY

1~10

9

--LEVERAGE

1~10

9

--RESERVES

1~10

9

--CREDIT LINES

1~10

9

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

81

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

-

NB

                                       New Business

-

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.