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Report Date : |
17.05.2013 |
IDENTIFICATION DETAILS
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Name : |
QATAR STEEL COMPANY LTD (QASCO) |
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Registered Office : |
Mesaieed Industrial City, Street No. 149, Umm Al Said Area, PO Box
50090, Doha |
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Country : |
Qatar |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
14.10.1974 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Operators of a steel mill. |
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No. of Employees : |
32 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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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 – March, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Qatar |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
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 |
QATAR - ECONOMIC OVERVIEW
Qatar has prospered in the last several years with continued
high real GDP growth. Throughout the financial crisis Qatari authorities sought
to protect the local banking sector with direct investments into domestic
banks. GDP had rebounded in 2010 largely due to the increase in oil prices, and
2011's growth was supported by Qatar's investment in expanding its gas sector.
GDP slowed to 6.3% in 2012 as Qatar's gas sector expansion moved toward
completion. Economic policy is focused on developing Qatar's nonassociated
natural gas reserves and increasing private and foreign investment in
non-energy sectors, but oil and gas still account for more than 50% of GDP,
roughly 85% of export earnings, and 70% of government revenues. Oil and gas have
made Qatar the world's highest per-capita income country and the country with
the lowest unemployment. Proved oil reserves in excess of 25 billion barrels
should enable continued output at current levels for 57 years. Qatar's proved
reserves of natural gas exceed 25 trillion cubic meters, more than 13% of the
world total and third largest in the world. Qatar's successful 2022 world cup
bid will likely accelerate large-scale infrastructure projects such as Qatar's
metro system, light rail system, and the Qatar-Bahrain causeway. The Hamad
International Airport is projected to open by the end of 2013 with an annual
passenger capacity of 24 million.
|
Source
: CIA |
Company Name :
QATAR STEEL COMPANY LTD (QASCO)
Country of Origin :
Qatar
Legal Form :
Limited Liability Company
Registration Date :
14th October 1974
Commercial Registration Number :
32
Issued Capital :
QR 300,000,000
Paid up Capital :
QR 300,000,000
Total Workforce :
1,650
Activities :
Operators of a steel mill.
Financial Condition :
Good
Payments :
Nothing detrimental uncovered
Operating Trend :
Steady
Person Interviewed :
Satish Chandra Yarmali, Assistant Finance Manager
QATAR STEEL COMPANY LTD (QASCO)
Registered & Physical
Address
Location : Mesaieed
Industrial City
Street : Street No.
149
Area : Umm Al Said
Area
PO Box : 50090
Town : Doha
Country : Qatar
Telephone : (974) 44778778
/ 44778036 / 44778213
Facsimile : (974) 44771424
/ 44771888
Email : commercial@qatarsteel.com.qa
/ satish_c@qatarsteel.com
Premises
Subject operates from a large suite of offices, production plant and
warehousing facilities that are owned and located in the Industrial Area of
Doha.
Branch Office (s)
Location Description
PO Box: 689 Owned
Sales Office
Doha
Tel: (974) 44770011
Fax: (974) 44771405
Name Position
Yousuf Hussain Kamal Chairman
Dr Mohammed Saleh Al Sada Vice
Chairman
Sheikh Nasser Bin Hamad Al Thani Managing
Director
Abdel Rahman Ahmed Al Shaibi Director
Fahad Hamad Al Mohannadi Director
Dr Nasser Mubarak Shafi Al Shafi Director
Mohamed Hitmi Ahmed Al Hitmi Director
Ali Bin Hassan Al Muraikhi General
Manager
Ali Sherif Al Emadi Facility
Manager
Saad Rashid Al Mohannadi Purchasing
Manager
Salah Ibrahim Bakar Al Kharja Finance
Manager
Satish Chandra Yarmali Assistant
Finance Manager
Ahmed Al Ansari Sales
Manager
Hussein Hassan Murrar Business
Development Manager
Malek Hamdieh IT
Manager
Date of Establishment : 14th
October 1974 (Production commenced in 1978)
History : Subject was
originally established in 1974 between the following partners:
1. Government of Qatar 70%
2. Kobe Steel 20%
3. Tokyo Boeki 10%
The production plant was inaugurated on 16th July 1978 and
was managed primarily by Kobe Steel. However in January 1989 the Qatari
government took over management responsibility for the plant.
On 24th May 1997 a decree was issued by Amir Sheikh Hamad Bin
Khalifa Al Thani, formalising the Qatari government buy-out of the 2 Japanese shareholders, with the Finance
Economy & Trade Ministry taking over the 30 percent stake, making the
subject a 100 percent state owned entity.
In 2004 the Qatari government sold all the shares in QASCO to Industries
of Qatar which also holds 75% of the shares in Qatar Fertiliser Co (QAFCO), 50%
of Qatar Fuel Additives Co (QAFAC) and 80% of Qatar Petrochemical Co (QAPCO).
Legal Form : Limited Liability
Company
Commercial Reg. No. : 32
Issued Capital : QR 300,000,000
Paid up Capital : QR 300,000,000
Name of
Shareholder (s) Percentage
Industries of Qatar 100%
Qatar Steel Company FZE
PO Box: 18255
Jebel Ali Free Zone
Dubai
United Arab Emirates
Tel: (971-4) 8053111
Fax: (971-4) 8053222
South Steel Company
Saudi Arabia
United Steel Co (USCO)
Bahrain
Gulf Industrial Investment Co (GIIC)
Bahrain
Foulath
Bahrain
Foulath
Saudi Arabia
Activities: Qatar Steel Company Ltd (Qasco) operates a steel mill. The plant consists
primarily of four units: Direct Reduction, Electric Arc Furnace, Continuous
Casting, and a Rolling Mill. Other auxiliaries include the Material Receiving/Handling, Main Power
Substation, Quality Control Centre, Maintenance Shops, and other facilities
such as sea/fresh water, compressed air, natural gas and a clinic.
The plant with its offices, occupies an area of 707,000 square metres - adjacent is a further area of 375,000 square metres reserved for future development and expansion.
During 2001 the company obtained the ISO 9002 certificate.
In January 2005 QASCO signed an agreement with Brazilian firm Samarco Mineracao for the supply of 2 million tons of Iron Ore Pellets between 2005 and 2010. This additional requirement of Iron Ore Pellets is to meet the demand of QASCO’s capacity expansion from 700,000 tons per year of Direct Reduced Iron (DRI) to 1.5 million tons per year.
On 28th February 2005 QASCO signed an agreement with Kobe Steel Japan to build a new Direct
Reduction Plant which can annually produce 1.5 million tons of iron.
On 8th of March 2011 Mr Ali Bin Hassan Al Muraikhi Director and General Manager of Qatar Steel and Mr Norbert Petermaier, Senior vice president of Siemens VAI signed a contract for 1.1 million tons/ year Steel Making Plant.
The plant will have Siemens VAI’s Ultra High Power 110 Tons Electric Arc
Furnace, 110 T Ladle Furnace and 6 strand High Speed Billet Caster coupled with
Sophisticated Fume Extraction System for zero emissions.
Import Countries: Europe, the United States of
America and Japan.
Export Countries : Mainly GCC region, but also Hong Kong, Algeria, Iran and Yemen.
Operating Trend: Steady
Subject has a workforce of approximately 1,650 employees.
Financial highlights provided by local sources are given below:
Currency: Qatari Riyals (QR)
Year
Ending 31/12/12:
Total Sales QR
6,154,187,000
Net Profit QR
1,401,976,000
Local sources consider subject’s financial condition to be Good.
Subject’s consolidated total revenue, including its affiliated companies
for the year ending 31/12/12 was QR 6,819,764,000 and consolidated net profit
was QR 1,519,759,000.
Qatar National Bank
Government House Road
PO Box: 1002
Doha
Tel: (974) 44413511 / 44407407
Fax: (974) 44415020
Qatar Islamic Bank
Al Khaleej Insurance Building
Grand Hamad Avenue
PO Box: 559
Doha
Tel: (974) 44409409
Fax: (974) 44412700
Doha Bank Ltd
Al Jasrah Street
PO Box: 3818
Doha
Tel: (974) 44435444
Fax: (974) 44416631 / 44410625
Banque Paribas
Rayyan Road
PO Box: 2636
Doha
Tel: (974) 44430346 / 44430344
Fax: (974) 44430121
No complaints regarding subject’s payments have been reported.
Date of transaction April
1999 March
2005
Credit amount 450,000 104,000
Amount overdue 0 0
Payment terms 90
days 30
days
Payment Method Letters
of Credit Letters
of Credit
Paying record No
Complaints No
Complaints
Currency Pounds
Sterling Pounds
Sterling
On its inauguration in 1974, Qatar Steel Company became the first
integrated steel plant in the whole Arabian Gulf.
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.54.77 |
|
|
1 |
Rs.83.31 |
|
Euro |
1 |
Rs.70.46 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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 |
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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 |
|
<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.