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Report Date : |
10.01.2013 |
IDENTIFICATION DETAILS
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Name : |
SAUDI ARABIAN MINING COMPANY (MAADEN) |
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Registered Office : |
Building No. 395, Asseddiq Road, South Exit 6, PO Box 68861, Riyadh
11537 |
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Country : |
Saudi Arabia |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
23.03.1997 |
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Com. Reg. No.: |
1010164391 |
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Legal Form : |
Joint Stock Company |
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Line of Business : |
Mineral exploration and extraction |
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No. of Employees : |
2,000 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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Saudi Arabia |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Saudi Arabia - ECONOMIC OVERVIEW
Saudi Arabia
has an oil-based economy with strong government controls over major economic activities.
It possesses about one-fifth of the world's proven petroleum reserves, ranks as
the largest exporter of petroleum, and plays a leading role in OPEC. The
petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and
90% of export earnings. Saudi Arabia is encouraging the growth of the private
sector in order to diversify its economy and to employ more Saudi nationals.
Diversification efforts are focusing on power generation, telecommunications,
natural gas exploration, and petrochemical sectors. Almost 6 million foreign
workers play an important role in the Saudi economy, particularly in the oil
and service sectors, while Riyadh is struggling to reduce unemployment among
its own nationals. Saudi officials are particularly focused on employing its
large youth population, which generally lacks the education and technical
skills the private sector needs. Riyadh has substantially boosted spending on
job training and education, most recently with the opening of the King Abdallah
University of Science and Technology - Saudi Arabia''s first co-educational
university. As part of its effort to attract foreign investment, Saudi Arabia
acceded to the WTO in December 2005 after many years of negotiations. The
government has begun establishing six "economic cities" in different
regions of the country to promote foreign investment and plans to spend $373
billion between 2010 and 2014 on social development and infrastructure projects
to advance Saudi Arabia''s economic development.
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Source : CIA |
Company Name : SAUDI
ARABIAN MINING COMPANY (MAADEN)
Country of Origin :
Saudi Arabia
Legal Form :
Joint Stock Company
Registration Date :
23rd March 1997
Commercial Registration Number : 1010164391, Riyadh
Issued Capital :
SR 9,250,000,000
Paid up Capital :
SR 9,250,000,000
Total Workforce :
2,000
Activities :
Mineral exploration and extraction
Financial Condition :
Good
Payments :
Nothing detrimental uncovered
Operating Trend : Steady
SAUDI ARABIAN MINING COMPANY (MAADEN)
Registered &
Physical Address
Building : Building No.
395
Street : Asseddiq
Road, South Exit 6
PO Box : 68861
Town : Riyadh 11537
Country : Saudi Arabia
Telephone : (966-1) 4721222
Facsimile : (966-1)
4721333
Email : maaden@maaden.com.sa
Premises
Subject operates from a large suite of offices that are owned and
located in the Central Business Area of Riyadh.
Branch Office (s)
Location Description
Tabuk Street Owned
Office
PO Box: 13784
Jeddah 21414
Tel: (966-2) 6682992
Name Position
Abdallah Bin Saif Al Saif Chairman
Mansour Bin Saleh Al Maiman Director
Sultan Bin Jamal Shawli Director
Soliman Bin Saad Al Humayyd Director
Mohammed Bin Abdullah Al Kharashi Director
Dr Ziad Bin Abdulrahman Al Sudairy Director
Khalid Bin Hamad Al Senani Director
Khalid Bin Saleh Al Mudaifer Director
Abdulaziz Bin Abdullah Al Sugair Director
Dr Abdulaziz Bin Saleh Al Jarbou Director
Dr Abdallah Bin Essa Al Dabbagh Director
Khaled Al Rowais Chief
Financial Officer
Abdullah I Al Fallaj Finance
Manager
Dr Mansour Nazer Planning
Manager
Dr Abdulrahman Abdullah Yamani Human
Resources Manager
Abdullah Abdulgader Project
Manager
Date of Establishment : 23rd
March 1997
History : Maaden was
incorporated in 1997 with the transfer of mineral titles from Petromin, and the
General Petroleum and Minerals Organization.
Legal Form : Joint Stock
Company
Commercial Reg. No. : 1010164391,
Riyadh
Issued Capital : SR 9,250,000,000
Paid up Capital : SR 9,250,000,000
Name of
Shareholder (s) Percentage
Public Investment Fund 50.0%
General Organisation for Social Insurance 9.6%
Public Pension Agency 7.2%
Local businessmen and private investors 33.2%
Name Stake
Held
Maaden Gold and Base Metals Company (MGBM) 100%
Maaden Infrastructure Company (MIC)
100%
Maaden Industrial Minerals Company (MIMC) 100%
Maaden Aluminium Company
74.9%
Maaden Bauxite and Alumina Company
74.9%
Maaden Rolling Company
74.9%
Maaden Phosphate Company (MPC) 70.0%
Sahara and Maaden Petrochemicals Company
50.0%
Activities: Saudi Arabian Mining Company (Maaden) operates a number of mines in
Saudi Arabia engaged in mineral extraction and exploration. Subject mines gold,
silver, phosphates, zinc, bauxite and kaolin.
The company operates the following mines:
- Mahd Ad Dahab – 49,517 ounces (oz) of gold per annum
- Sukhaybarat –
6,580 oz of gold per annum
- Al Hajar –
5,740 oz of gold per annum
- Bulgah –
34,387 oz of gold per annum
- Al Amar –
52,050 oz of gold per annum
Import Countries: Canada,
United States of America, United Kingdom and the Far East.
Operating Trend: `Steady
Subject has a workforce of approximately 2,000 employees.
Financial highlights provided by local sources are given below:
Currency: Saudi Riyals (SR)
Consolidated Balance Sheet 31/12/11 31/12/10
Assets
Current assets
Cash
and cash equivalents 5,044,478,181 2,922,153,380
Short-term
investments 6,181,085,507 8,783,974,813
Trade
and other receivables 481,514,210 29,962,995
Inventories
561,796,672 303,911,264
Advances
and prepayments 324,351,658 327,637,445
Due
from Government – 61,045,987
12,593,226,228 12,428,685,884
Non-current assets
Advances
and prepayments 341,645,866 85,759,425
Investment
in jointly controlled entity 448,154,100 -
Property,
plant and equipment 7,450,689,814 212,586,444
Pre-operating
expenses and deferred charges 500,125,224 298,839,709
Capital
work-in-progress 22,239,884,168 21,690,987,323
30,980,499,172 22,288,172,901
Total assets 43,573,725,400
34,716,858,785
Liabilities
Current liabilities
Projects
and other payables 1,342,199,007 768,220,438
Accrued
expenses 1,503,425,929 1,266,691,257
Zakat
payable 141,108,124 207,342,181
Severance
fees payable 83,433,989 54,454,280
Current
portion of long-term borrowings 762,383,304 –
3,832,550,353 2,296,708,156
Non-current liabilities
Projects
and other payables 821,488,065 –
Provision
for mine closure and reclamation 90,884,799 90,923,831
Employee
termination benefits 129,811,062 104,607,572
Long-term
borrowings 18,815,478,234 13,517,087,339
19,857,662,160 13,712,618,742
Total liabilities 23,690,212,513
16,009,326,898
Shareholders’ equity
Share
capital 9,250,000,000 9,250,000,000
Share
premium 5,250,000,000 5,250,000,000
Transfer
of net income 284,327,877 242,996,397
Retained
earnings 2,202,108,620 1,830,125,296
Equity
attributable to shareholders’ of the parent company 16,986,436,497 16,573,121,693
Non-controlling
interest 2,897,076,390 2,134,410,194
Total equity 19,883,512,887
18,707,531,887
Total liabilities and equity 43,573,725,400
34,716,858,785
Consolidated Statement of Income
Sales 1,514,387,952
706,512,774
Cost
of sales (481,781,913)
(321,174,545)
Gross
profit 1,032,606,039
385,338,229
Operating
expenses
General
and administrative expenses (235,455,326)
(214,156,213)
Exploration
expenses (116,056,918)
(78,156,089)
Technical
services expenses (14,188,139)
(14,050,195)
Operating
income 666,905,656
78,975,732
Other
(expenses) / income
Share
in net loss of jointly controlled entity (1,845,900)
–
Provision
for severance fees (85,032,887)
(54,543,721)
Income
from short-term investments 75,155,805
168,259,012
Financial
charges (11,369,399)
–
Other
income / (expenses) 13,813,569
247,295
Income
before zakat 657,626,844
192,938,318
Provision
for zakat (119,547,535)
(207,317,723)
Net
income / (loss) for the year 538,079,309
(14,379,405)
Net
income / (loss) attributable to:
Shareholders’
of the parent company 413,314,804
(9,187,814)
Non-controlling
interest’s share of year’s net income / (loss) in subsidiary
Companies 24,764,505
(5,191,591)
Local sources consider subject’s financial condition to be Good. 538,079,309 (14,379,405)
National Commercial Bank
Airport Road
PO Box: 2800
Riyadh 11461
Tel: (966-1) 4772281
Fax: (966-1) 4730322
No complaints regarding subject’s payments have been reported.
During the course of this investigation nothing detrimental was uncovered
regarding subject’s operating history or the manner in which payments are
fulfilled. As such the company is considered to be a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.96 |
|
UK Pound |
1 |
Rs.88.23 |
|
Euro |
1 |
Rs.71.92 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.