MIRA INFORM REPORT
|
Report Date : |
21.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
JINDAL DRILLING AND INDUSTRIES LIMITED |
|
|
|
|
Registered
Office : |
Pipe Nagar, Village - Sukeli, N H 17, B K G Road, Taluka Roha, ,Raigad – 402126, Maharashtra |
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|
Country : |
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Financials (as
on) : |
31.03.2013 |
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|
|
|
Date of
Incorporation : |
17.10.1983 |
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|
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|
Com. Reg. No.: |
11-233813 |
|
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|
|
Capital
Investment / Paid-up Capital : |
Rs. 128.406 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L27201MH1983PLC233813 |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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|
|
|
Line of Business
: |
Subject is engaged in providing services to entities involved
in exploration of Oil and Gas. |
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|
|
|
No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 25000000 |
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|
|
|
Status : |
Good |
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|
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is well established and reputed company and part of Jindal
Group. As per available financials, The company has seen a decrease in its sales
turnover. The overall financial position of the company appears to be sound
and healthy. The rating also take into consideration the strong parentage and long
standing experience of the promoters. Trade relations are reported as fair. Business is active. Payments are
regular and as per commitments. The company can be considered for 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.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
We are living in a
world where volatility and uncertainty have become the New Normal. We saw
a change of government in countries like Tunisia, Egypt, Libya and Vietnam.
Once powerful countries in Europe are now fighting for bankruptcy. We have
taken growth in the developing part of the world for granted but economic
growth in China and India has begun to slow. Companies that were synonymous
with their product categories just a few years ago are now no longer in
existence. Kodak, the inventor of the digital camera had to wind up its
operations, HMV, the British entertainment retailing company and Borders, once
the second largest bookstore have shut down due to their inability to evolve
their business models with the changing time. Readers’ Digest, Thomson Register
are no more !
There is another megatrend
happening. The World order is changing as economic power shifts from West to
East. According to McKinsey study, it took Britain more than 100 years to
double its economic output per person during its industrial revolution and the
US later took more than 50 years to do the same. More than a century later,
China and India have doubled their GDP per capital in 12 and 18 years
respectively. By 2020, emerging Asia will become the world’s largest consuming
block, overtaking North America.
The years after the
outbreak of the global financial crisis, the world economy continues to remain
fragile. The Indian economy demonstrated remarkable resilience in the initial
years of the contagion but finally lost ground last year. GDP growth slowed
down. Currency has been weakening. There is a marked deceleration in
agriculture, industry and services. Dampening sentiment led to a cut-back in
investment as well as private consumption expenditure. Inflation remained
at high levels fuelled by the pressure from the food and fuel sectors. The
large fiscal and current account deficit s continued to cause grave concern. It
is imperative that India regains its growth trajectory of 8-9 % sooner than
later. This is crucially important given the need to create gainful livelihood
opportunities for the millions living in poverty as also the large contingent
of young people joining the job market every year.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Long Term Rating = A- |
|
Rating Explanation |
Adequate degree of safety and carry low credit risk. |
|
Date |
August, 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
Short Term Rating = A1 |
|
Rating Explanation |
Strong degree of safety and carry lowest credit risk. |
|
Date |
August, 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-Cooperative (91-124-2574326)
LOCATIONS
|
Registered Office : |
Pipe Nagar, Village - Sukeli, N H 17, B K G Road, Taluka Roha,
,Raigad – 402126, Maharashtra, India |
|
Tel. No.: |
91-124-4624000 |
|
Fax No.: |
91-124-2574327 |
|
E-Mail : |
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|
Website : |
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Head Office : |
2nd Floor, 5 Pusa Road, New Delhi-110 005, India |
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|
|
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Corporate Office : |
Plot No .30,Institutional Sector-44 Gurgaon-122 002, Haryana, India |
|
Tel. No.: |
91-124-2574325,26 |
|
Fax No.: |
91-124-2574327 |
|
|
|
|
Mumbai Office : |
3rd Floor, Keshava Building, Bandra Kurla Complex, Bandra
(East), Mumbai-400 051, Maharashtra, India |
|
Tel. No.: |
91-22-26592889 / 26592892 |
|
Fax No.: |
91-22-26542881 |
|
E-Mail : |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. D.P. Jinda |
|
Designation : |
Executive Chairman |
|
Date of Birth/Age : |
63 Years |
|
Qualification : |
B.Com |
|
Date of Appointment : |
19.05.1988 |
|
Directorship of
other companies : |
|
|
|
|
|
Name : |
Mr. Raghav Jindal |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. K.K. Khandelwal |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vijay Kaushik |
|
Designation : |
Director |
|
Date of Birth/Age : |
59 Years |
|
Qualification : |
Law Graduate |
|
Date of Appointment : |
26.03.2009 |
|
Directorship of
other companies : |
Vibhor Steel Tubes Private Limited |
KEY EXECUTIVES
|
Name : |
Mr. Rajeev Ranjan |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Mr. Pawan Kumar Rustagi |
|
Designation : |
Senior General Manager (Finance and Accounts) |
|
Address : |
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|
|
|
|
AUDIT COMMITTEE |
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 03.10.2013
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
459686 |
1.59 |
|
|
18005080 |
62.13 |
|
|
18464766 |
63.71 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
18464766 |
63.71 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
664 |
0.00 |
|
|
66323 |
0.23 |
|
|
66987 |
0.23 |
|
|
|
|
|
|
6130014 |
21.15 |
|
|
|
|
|
|
1337303 |
4.61 |
|
|
1342137 |
4.63 |
|
|
1639897 |
5.66 |
|
|
2 |
0.00 |
|
|
1211340 |
4.18 |
|
|
428555 |
1.48 |
|
|
10449351 |
36.06 |
|
Total Public shareholding (B) |
10516338 |
36.29 |
|
Total (A)+(B) |
28981104 |
100.00 |
|
(C) Shares held by Custodians and against which Depository
Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
28981104 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in providing services to entities involved
in exploration of Oil and Gas. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
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Bankers : |
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Facilities : |
(Rs.
In Millions)
|
|||||||||||||||
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Banking
Relations : |
--- |
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|
|
|
Auditors : |
|
|
Name : |
G.Sanyal and Company Chartered Accountants |
|
Address : |
New Delhi. India |
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|
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Joint Venture of Reporting Enterprise : |
|
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
46500000 |
Equity Shares |
Rs.5/- each |
Rs.232.500 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25681104 |
Equity Shares |
Rs.5/- each |
Rs.128.406 Millions |
|
|
|
|
|
Details of equity
Shareholders holding more than 5% Share
|
Particulars |
% of holding |
No. of Shares |
|
a) Jindal Global Finance and Investment Limited |
19.76 |
5,074,148 |
|
b) Sudha Apparels Limited |
19.22 |
4,935,000 |
|
c) Stable Trading Company Limited |
6.52 |
1,674,168 |
|
d) Crishpark Vincon Limited |
7.00 |
1,798,350 |
The reconcilation of
the number of shares outstanding is as under :
|
Particulars |
Number of Shares |
Amount in Rs. |
|
Opening Balance |
22,931,104 |
114.656 |
|
Issued |
2,750,000 |
13.750 |
|
Closing Balance |
25,681,104 |
128.406 |
The Company has one class of equity shares having a par value of Rs.5 each. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the company, the holder of equity share will be entitled to receive remaining assets of the company after distribution of all preferential amounts
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
128.406 |
114.655 |
114.655 |
|
(b) Reserves & Surplus |
6230.397 |
4771.681 |
4392.874 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’
Funds (1) + (2) |
6358.803 |
4886.336 |
4507.529 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
84.065 |
123.184 |
157.210 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
9.254 |
6.660 |
5.757 |
|
Total Non-current
Liabilities (3) |
93.319 |
129.844 |
162.967 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
144.866 |
5.311 |
26.789 |
|
(b) Trade
payables |
876.368 |
598.098 |
808.400 |
|
(c) Other
current liabilities |
418.635 |
378.545 |
327.105 |
|
(d) Short-term
provisions |
17.949 |
16.623 |
52.368 |
|
Total Current
Liabilities (4) |
1457.818 |
998.577 |
1214.662 |
|
|
|
|
|
|
TOTAL |
7909.940 |
9014.757 |
5885.158 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
546.909 |
591.007 |
649.064 |
|
(ii)
Intangible Assets |
7.104 |
8.246 |
6.663 |
|
(iii)
Capital work-in-progress |
62.435 |
49.258 |
18.751 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
1141.962 |
1141.962 |
623.176 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
2070.334 |
795.558 |
893.034 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
3828.744 |
2586.031 |
2190.688 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
1624.119 |
1073.578 |
1108.658 |
|
(b)
Inventories |
97.907 |
123.624 |
103.563 |
|
(c) Trade
receivables |
1788.035 |
1498.846 |
1922.381 |
|
(d) Cash
and cash equivalents |
1.740 |
121.474 |
2.282 |
|
(e)
Short-term loans and advances |
554.788 |
561.236 |
544.160 |
|
(f) Other
current assets |
14.607 |
49.968 |
12.426 |
|
Total
Current Assets |
4081.196 |
3428.726 |
3693.470 |
|
|
|
|
|
|
TOTAL |
7909.940 |
9014.757 |
5885.158 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
8134.660 |
8773.914 |
10525.957 |
|
|
|
Other Income |
162.000 |
126.794 |
109.332 |
|
|
|
TOTAL (A) |
8296.660 |
8900.708 |
10635.289 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Operating Expenses |
6487.426 |
7316.601 |
8442.797 |
|
|
|
Employee Benefits Expenses |
497.544 |
472.754 |
411.613 |
|
|
|
Others Expenses |
269.504 |
217.583 |
165.608 |
|
|
|
TOTAL (B) |
7254.474 |
8006.938 |
9020.018 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1042.186 |
893.770 |
1615.271 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
4.960 |
6.697 |
2.499 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1037.226 |
887.073 |
1612.772 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
106.769 |
108.484 |
110.872 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
930.457 |
778.589 |
1501.900 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
272.296 |
267.123 |
493.507 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
658.161 |
511.466 |
1008.393 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1207.436 |
1109.295 |
214.228 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
65.000 |
400.000 |
100.000 |
|
|
|
Dividend |
12.841 |
11.465 |
11.466 |
|
|
|
Tax on Dividend |
2.182 |
1.860 |
1.860 |
|
|
BALANCE CARRIED
TO THE B/S |
1785.574 |
1207.436 |
1109.295 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
8076.441 |
8594.950 |
10326.599 |
|
|
|
Commission Earnings |
11.563 |
21.669 |
18.906 |
|
|
TOTAL EARNINGS |
8088.004 |
8616.619 |
10345.505 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
36.186 |
128.219 |
40.023 |
|
|
|
Stores & Spares |
248.252 |
260.782 |
183.963 |
|
|
TOTAL IMPORTS |
284.438 |
389.001 |
223.986 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
27.34 |
22.30 |
43.98 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2013 |
|
Type |
|
|
1st
Quarter |
|
Net Sales |
|
|
2047.100 |
|
Total Expenditure |
|
|
1927.400 |
|
PBIDT (Excl OI) |
|
|
119.700 |
|
Other Income |
|
|
140.500 |
|
Operating Profit |
|
|
260.200 |
|
Interest |
|
|
1.600 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
258.600 |
|
Depreciation |
|
|
26.000 |
|
Profit Before Tax |
|
|
232.600 |
|
Tax |
|
|
50.500 |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
182.100 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
182.100 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
7.93
|
5.75 |
9.48 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
11.44
|
8.87 |
14.27 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.88
|
16.14 |
28.65 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.15
|
0.16 |
0.33 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.02
|
0.00 |
0.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.80
|
3.43 |
3.04 |
LOCAL AGENCY FURTHER INFORMATION
|
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 |
No |
|
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 |
CORPORATE
INFORMATION:
Subject was incorporated on 17th October,1983 under the Companies Act,1956 and has its registered office at Raigad (Maharashtra) and head office at Delhi. JDIL’s shares are listed on National Stock Exchange of India Limited. (NSE) and BSE Limited (BSE). Subject is engaged in providing services to entities involved in exploration of Oil and Gas.
OPERATIONS
Total income of the Company during the year was Rs.8296.660 Millions as against Rs.8900.708 Millions in the previous year. The profit before tax during the year was Rs.930.457 Millions as against Rs.778.589 Millions in the previous year. Profit after tax was Rs.658.161 Millions as against Rs.511.466 Millions in the previous year
The Company has been operating rig fleet of four Jack up Rigs, eleven Directional Drilling equipments and four Mud logging units.
MANAGEMENT DISCUSSION
AND ANALYSIS
I India’s Macro overview India's GDP growth slowed considerably during the year 2012-13; although still high, especially in the context of the rest of the global economy .Inflation, which is finally easing, has remained stubbornly high over the past two years, hovering around double-digits, while the rupee dropped to new lows during the year.. This coupled with the slowdown in advanced countries and the European macro-economic scenario has further dampened the Indian growth story in FY'13. In addition to worsening of Eurozone economic prospects, lack of fiscal space to provide direct stimulus to the economy and lack of consensus on domestic policy reforms have further affected India's growth story. But the fact remains that Indian economy is multidimensional. Despite a disappointing year for the Indian economy, the economy may pick up from here. Inflation has eased substantially. Foreign investment, which dropped off considerably, is returning giving boost to stock prices.
With the reversal of interest rate cycle and faster project clearances it is expected that domestic investment climate will improve. Further, India being a large importer of oil continued emphasis on Exploration and Production (E and P) activity would continue specially on account of the fact that increased demand for oil and gas is putting substantial pressure on balance of trade. Going forward, the demand for offshore drilling services is expected to increase.
II Global Offshore
Drilling Industry
Global Offshore drilling industry is positively correlated with global Exploration and Production (E and P) activities, which in turn is driven by oil prices. As a consequence of steady increase in oil and gas prices, E and P activities have increased world over. Further, the saturation of Middle Eastern onshore oil and gas supply triggered the development of offshore oil E and P, especially in the shallow water segment.
After the economic slowdown of 2008 and sluggishness in E and P activities due to decrease in crude prices, demand for jack up rigs had slowed down significantly in the year 2009. It started to recover in mid-2010 and has been increasing steadily since then.
III Indian Drilling
Industry
Erstwhile E and P activities in the country were entrusted to two state-controlled companies namely ONGC and OIL. However, the growth and development in the E and P sector did not meet the overall requirement and economic growth of the country.
India is the fifth largest oil consumer in the world. India’s oil demand is set to reach 30.21 mn bbl/day by 2014. At present India imports more than 70% of its crude oil requirement. The demand for Crude Oil has lead to massive import bills for India which are expected to be USD 160 billion in current financial year.
India’s undiscovered oil and natural gas reserves exceeds that of the proven reserves, thus substantiating a huge potential in the E and P industry.
IV Domestic Drilling
Industry Scenario
The rig utilization levels in the Indian E and P market have continued to be strong largely attributable to ONGC, the flagship operator, continuing with its E and P capital expenditure as planned. ONGC has made 158 hydrocarbon discoveries since 2003 – 99 onshore and 59 offshore.
Given the number of blocks that have been awarded under the NELP, demand for oil/gas drilling activities in India will continue to increase resulting in an increase in the demands for Rigs within the Country. Given the increase in global demand for offshore rigs, ONGC is also striving hard to hire rigs to meet its requirments.
V Review of
Operations
a) Offshore Drilling
Services
Discovery I, Virtue I, Noble Charlie Yester and Noble Ed Holt have been operating successfully with ONGC. All rigs are on long term contracts and are located on the western off shore. The Company achieved near 100% efficiency with negligible breakdown time across all its rigs. Also, no loss time incident (LTI) was recorded throughout the year. Virtue I achieved highest ever horizontal drift and drilled India’s longest extended reach well for ONGC on BF9 platform. Both Virtue I and Discovery I achieved significantly higher commercial speed than its competitors and other ONGC owned rigs.
b) Directional
Drilling
The year was very successful for Company’s Directional Drilling business. All assets were under contract throughout the year. At the beginning of the year, JDIL received the Contract for 4 set of Directional Drilling services from Essar oil limited, out of which contract for 2 sets was renewed during the current year. In December, 2012, JDIL also won contract for 1 set from Geo Enpro Petroleum Limited. With ONGC’s already running 4 sets contact and other call out basis contract from GSPC, Joshi Technologies and Selan Exploration JDIL was able to achieve near 100% of utilization of assets. Recently JDIL won another contract from ONGC for 2 sets of Directional drilling for 3 years, which have since commenced operations.
c) Mud Logging
In financial year 2013-14, Mud logging services took a major contract from ONGC for 10 units for 4 years duration. With 4 units already on long term contract with OIL, after commencement of ONGC’s contract in Nov-Dec, 13, JDIL will expand its market share exponentially from 4 to 14.
CONTINGENT
LIABILITIES NOT PROVIDED FOR:
Rs. In Millions
|
Particulars |
31.03.2013 |
31.03.2012 |
|
(i) Guarantees issued by the Banks (Bank Guarantees are provided under Legal/ Contractual Obligations) |
672.782 |
797.560 |
|
Guarantees issued by banks on behalf of Joint Venture Companies: - |
|
|
|
Discovery Drilling Pte. Limited, Singapore (USD 20.00 Million) |
Nil |
1017.400 |
|
Virtue Drilling Pte. Limited, Singapore (USD 22.50 Million) |
1221.750 |
1144.575 |
|
(ii) Customs Demand An Appeal pending at Hon’ble Mumbai High Court (A sum of Rupees sixty lacs against demand had been deposited by the company) |
25.503 |
25.503 |
|
(iii) Service Tax Demand An Appeal by Company pending with Appellate Tribunal |
60.394 |
60.394 |
|
(iv) Income Tax Demands An Appeal pending with CIT (Appea related to |
|
|
|
a) Assessment Year 2008-09 |
31.628 |
31.628 |
|
b) Assessment Year 2009-10 |
87.054 |
-- |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10370994 |
30/07/2012 |
3,795,000,000.00 |
THE BANK OF NOVA SCOTIA ASIA LIMITED |
1 RAFFLES QUAY, #20-01 NORTH TOWER, SINGAPORE - 048583, SINGAPORE |
B55821524 |
|
2 |
10207263 |
08/03/2010 * |
1,700,000,000.00 |
STATE BANK OF PATIALA (LEAD BANK) |
COMMERCIAL BRANCH, CHANDRALOK BUILDING, 36, JANPATH, NEW DELHI, DELHI - 110001, INDIA |
A82176934 |
|
3 |
10124204 |
08/10/2008 |
2,420,000,000.00 |
DNB NOR BANK ASA |
8, SHENTON WAY, # 48-02, SINGAPORE, - 068811, SINGAPORE |
A47148416 |
|
4 |
10119393 |
28/08/2008 |
8,471,000,000.00 |
AXIS BANK LIMITED |
CENTRAL OFFICE, CAPITAL MARKETS DEPARTMENT, 11TH |
A44575538 |
|
5 |
10105762 |
29/04/2008 |
8,471,000,000.00 |
DNB NOR BANK ASA |
8, SHENTON WAY, # 48-02, SINGAPORE, - 068811, SINGAPORE |
A39731047 |
* Date of charge modification
FIXED ASSETS
- Building
- Plant and Machinery
- Office Equipments
- Furniture and Fixtures
- Vehicles
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.61.28 |
|
|
1 |
Rs.99.03 |
|
Euro |
1 |
Rs.83.80 |
INFORMATION DETAILS
|
Information Gathered
by : |
PLK |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
63 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.