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Report No. : |
323548 |
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Report Date : |
30.05.2015 |
IDENTIFICATION DETAILS
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Name : |
ADITYA BIRLA MINERALS LTD |
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Registered Office : |
'Septimus Roe Building' Level 3, 256
Adelaide Terrace Perth Wa, 6000 |
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Country : |
Australia |
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Financials (as on) : |
31.03.2014 |
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Date of Incorporation : |
28.01.2003 |
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Legal Form : |
Australian Private Company |
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Line of Business : |
The subject operates
as an Australian based mining company with a focus on production and
exploration. |
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No. of Employee : |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Australia |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
|
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 |
AUSTRALIA ECONOMIC OVERVIEW
The Australian economy has experienced continuous growth and features low unemployment, contained inflation, very low public debt, and a strong and stable financial system. By 2014, Australia had experienced more than 20 years of continued economic growth, averaging more than 3% a year. Demand for resources and energy from Asia and especially China has grown rapidly, creating a channel for resources investments and growth in commodity exports. The high Australian dollar has hurt the manufacturing sector, while the services sector is the largest part of the Australian economy, accounting for about 70% of GDP and 75% of jobs. Australia was comparatively unaffected by the global financial crisis as the banking system has remained strong and inflation is under control. Australia has benefited from a dramatic surge in its terms of trade in recent years, stemming from rising global commodity prices. Australia is a significant exporter of natural resources, energy, and food. Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia is an open market with minimal restrictions on imports of goods and services. The process of opening up has increased productivity, stimulated growth, and made the economy more flexible and dynamic. Australia plays an active role in the World Trade Organization, APEC, the G20, and other trade forums. Australia has bilateral free trade agreements (FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has a regional FTA with ASEAN and New Zealand, is negotiating agreements with China, India, Indonesia, Japan, and the Republic of Korea, as well as with its Pacific neighbors and the Gulf Cooperation Council countries, and is also working on the Trans-Pacific Partnership Agreement with Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and Vietnam.
|
Source
: CIA |
ADITYA BIRLA MINERALS LTD
ACN 103515037
ABN 37103515037
|
Established |
2003 |
|
|
Incorporated |
2003 |
|
|
Line of Business |
Mining and
production |
|
|
Status |
Trading |
|
|
Adverse Listings |
YES |
1 |
For the financial
year ended 31 March 2015 the subject recorded and 81% declined in revenue to $59,041,000,
which resulted in an operating Loss before tax of $273,342,000 and an operating
Loss after tax of $219,712,000.
The company‘s copper production decreased by 72% mainly due to a
sinkhole incident in the Nifty Pit followed by the Prohibition Notice issued by
the DMP.
During fiscal 2015,
the subject recorded a deficiency in Net Cashflows from operating activities
totalling $61,253,000.
As at 31 March 2015
the subject recorded Working Capital of $103,617,000 and a current ratio of 4.3
to 1 indicating strong liquidity levels.
Net Assets totalled
$284,538,000 as at 31 March 2015.
Status Registered
Incorporation Date 28 Jan 2003
Incorporation State VIC
Registered Office
'SEPTIMUS ROE BUILDING'
LEVEL 3, 256 ADELAIDE
TERRACE PERTH WA, 6000
Current Directors Total: 7
Director Name PATNAIK, NEELA MADHAB
Appointment Date 14 Oct 2014
Date of Birth 10 Mar 1959
Place of Birth CHATRAPUR, ODISHA INDIA
Gender UNKNOWN
Resident Overseas Y
Address -
Document Number 7E6445993
Director Name LADDHA, JAGDISH CHANDRA
Appointment Date 14 Oct 2014
Date of Birth 22 Mar 1959
Place of Birth BHILWARA, STATE RAJASTHAN
INDIA
Gender UNKNOWN
Resident Overseas Y
Address -
Document Number 7E6445993
Director Name KRISHNAN, NARAYAN
Appointment Date 20 Nov 2007
Date of Birth 04 Nov 1944
Place of Birth CALICUT INDIA
Gender MALE
Resident Overseas N
Address 30 BULIMBA RD, NEDLANDS WA
6009
Document Number 7E1370843
Director Name ANGHIE, MAURICE LEE
Appointment Date 20 Nov 2007
Date of Birth 09 Mar 1942
Place of Birth KANDY SRI LANKA
Gender MALE
Resident Overseas N
Address 57 GLENORCHY CRS,
HAMERSLEY WA 6022
Document Number 7E1370843
Director Name BHARGAVA, SURESH
Appointment Date 20 Aug 2007
Date of Birth 07 Mar 1953
Place of Birth MEERUT INDIA
Gender MALE
Resident Overseas N
Address 16 JEDEM CLOSE VW,
VIEWBANK VIC 3084
Document Number 7E1249324
Director Name BHATTACHARYA, DEBU
Appointment Date 18 Apr 2003
Date of Birth 13 Sep 1948
Place of Birth INDIA
Gender UNKNOWN
Resident Overseas Y
Address -
Document Number 019007425
Director Name PRASANNA, MYSORE
RANGACHARYA
Appointment Date 28 Jan 2003
Date of Birth 07 Apr 1947
Place of Birth MYSORE INDIA
Gender UNKNOWN
Resident Overseas Y
Address -
Document Number 0E8439660
Current Secretaries Total: 1
Secretary Name TORRE, PETER PATRICK
Appointment Date 21 Apr 2006
Date of Birth 24 Aug 1972
Place of Birth PERTH WA
Address 8 WARABA PLACE MOUNT
CLAREMONT WA, 6010
Document Number 1F0048198
Current Other Organisation Officers Total: 1
Officer Role Appointed Auditor
Officer Name ERNST & YOUNG
ACN 029859747
Appointment Date 26 Mar 2003
Address 'ERNST & YOUNG BUILDING', 11
MOUNTS BAY ROAD PERTH WA,
6000
Company Shares Total: 313372551 Amount: $459,247,474
Class ORDINARY SHARES [ORD]
Number of Shares Issued 313372551
Paid Capital $459,247,473.50
Total Amount Due and Payable $0.00
Document Number 7E0727648
Effective 30
January 2012 the Personal Property Securities Register (PPSR) was introduced to give the different
Commonwealth, State and Territory laws and registers regarding security
interests in personal property under one national system.
As a result of PPS
Reform a number of existing Commonwealth, State and Territory personal property
security registers will close. Interests registered on existing security
interest registers will be migrated to the national PPS Register. Subsequently
Registered Charges are no longer lodged with the Australian Securities and
Investments Commission (ASIC).
Please contact us
should you require a search of the PPSR.
TRADING ADDRESS
'SEPTIMUS ROE BUILDING'
LEVEL 3, 256 ADELAIDE
TERRACE PERTH WA, 6000
TELEPHONE (618) 9366 8800
WEBSITE http://www.adityabirlaminerals.com.au
CONTROLLED ENTITIES Birla Maroochydore Pty Ltd
Birla Nifty Pty Ltd
Birla Mt Gordon Pty Ltd
ENTITY Hindalco Industries Limited
BANK Not
determined
EMPLOYEES Not determined
The subject was
incorporated in Victoria on 28 January 2003 before adopting the current style
on 8 March 2006.
The company was
established in 2003 and began to mine copper in WA and QLD locations. Later
that year, Aditya Birla Minerals obtained adjacent exploration tenements to
expand copper exploration at a future date.
The subject
operates as an Australian based mining company with a focus on production and
exploration. The company is based in Perth, Western Australia, and conducts
copper exploration and production activities at the Birla Nifty Copper
Operation (BNCO) in the Great Sandy Desert, WA and the Mt Gordon Copper
Operation (MGO) located in the Mt Isa Block, QLD.
Aditya Birla
Minerals undertakes comprehensive copper miningin
Australia, focusing on copper production and exploration at the Western Australian and Queensland locations. Aditya Birla
Minerals is part of the Aditya Birla Group and is part owned by Hindalco
Industries Ltd. Concentrates produced at each copper mine
are shipped to the Hindalco owned copper smelter in India, maximising copper investment opportunities worldwide.
Aditya Birla
Minerals undertakes mine development and reserve delineation drilling, but
holds copper exploration tenements at both sites and plans to increase Copper
Exploration activities at a future date.
Birla Nifty Copper
Operation
The Birla Nifty
copper operation, located in the Great Sandy Desert Region of the East Pilbara
in Western Australia, approximately 1,250 km north of Perth and 350 km east of
Port Hedland.
The Nifty operation
comprises of an historical open pit oxide mine and an underground sulphide mine
with an associated concentrator. Site infrastructure (powerhouse, camp,
airfield, tailings storage facility) supports the sulphide operations. A
concentrate storage facility is located at Port Hedland where the concentrate
is shipped to overseas customer.
Birla Mt Gordon
Copper Operation
The Mt Gordon
operation is located in northwest Queensland, approximately 120 km north of Mt
Isa. The Mt Gordon mine is set up to produce copper in concentrate at an
annualized rate of approximately 1.4 mtpa of ore processing.
Hindalco Copper
Smelter
An industry leader
in aluminium and copper, Hindalco Industries Limited, the metals flagship
company of the Aditya Birla Group is the world's largest aluminium rolling
company and one of the biggest producers of primary aluminium in Asia. Its
copper smelter is amongst the largest single location custom smelter globally.
Hindalco’s copper
division operates one of the largest single location customs copper smelter in
the world with a capacity of 500,000 TPA Copper Cathode through world class
technologies. The Custom Smelter complex at Dahej in state of Gujarat at west
coast of India houses copper smelters, refineries, rod plants, captive power
plants, a jetty and other utilities.
Aditya Birla
Minerals’ Queensland and Western Australian copper mines
are integral to the business operations of Birla Copper. The underground mining
at both the Queensland and Western Australian copper mine
contributes towards the copper smelters’ recognition as one of the largest
single location copper smelters in the world.
Activities are
conducted from premises located at the above listed trading address.
A search of traced
the following litigation listed against the subject at that date.
Court Writs Total: 1 Amount: $53,000
Action Date 23 Aug 2012
Amount $53,000.00
Creditor GRANT VINCENT LONG
Plaint Number 13410/12/WPER
Court Type Magistrates Court
Role in Court Action Principal
Co-Borrower -
Status Outstanding
Status Date -
Writ Type SUMMONS
The subject is listed
on the Australian Stock Exchange.
From the subject’s
preliminary financial statements, it is noted that for the financial year ended
31 March 2015 the subject recorded and 81% declined in revenue to $59,041,000,
which resulted in an operating Loss before tax of $273,342,000 and an operating
Loss after tax of $219,712,000.
The company‘s copper production decreased by 72% mainly due to a
sinkhole incident in the Nifty Pit followed by the Prohibition Notice issued by
the DMP. Correspondingly, the sales volume also declined by 80% compared to the
previous year.
The profitability during the year was adversely affected and lower than
the previous year mainly due to the
following factors:
The copper production at Nifty was lower by 71% during the FY14-15 at
12,698 tonnes compared to the previous year FY14 production of 44,071 tonnes.
The ore mined was 0.95 million tonnes representing a decrease of 58% compared
to the previous year ore mined of 2.28 million tonnes mainly due to the
sinkhole incident. The average head grade reduced to 1.56% (2.08% in FY14).
The company incurred $22.113 million of costs while operations were
suspended post the sinkhole incident.
The realisation rate per tonne of copper (net of Tc/Rc charge) reduced
by 11% from A$6,853/t in FY14 to A$6,120/t in FY15 due to the sharp fall in LME
copper prices despite the depreciation of AUD vis-àvis USD.
The C1 cost per pound of copper increased to A$4.12 /lb in FY15 compared
to A$2.63/lb in FY14 due to lower copper production in spite of the significant
reduction in absolute costs achieved through various cost optimization
measures.
The Mt Gordon operations have been put under Care and Maintenance since
April 2013 due to high unit cost of production per tonne of copper on account
of lower production rates coupled with lower LME Copper prices. Overall care
and maintenance costs have been reduced by 44% at $7.8 million in FY15 compared
to $13.9 million incurred in FY14.
6. The Company received a gain of $16.87 million on cancellation of
derivative contracts for copper and currency due to uncertainity of the
production from Nifty post sinkhole. The company also received a net foreign
exchange gain of $11.90 million ($15.48 million in FY14) mainly on USD term
deposits due to the depreciation of the Australian dollar.
Below is a summary
of the subject’s income results for the past two financial years.
|
Aditya Birla Minerals Ltd - consolidated |
|||
|
|
As at 31 March 2015 |
As at 31 March 2014 |
Change (%) |
|
Revenue |
$59,041,000.00 |
$317,417,000.00 |
-81.40% |
|
Profit b/tax |
($273,342,000.00) |
($4,267,000.00) |
6305.95% |
|
Profit a/tax |
($219,712,000.00) |
($224,000.00) |
97985.71% |
|
Net Profit Margin |
-372.13% |
-0.07% |
-372.06% |
During fiscal 2015,
the subject recorded a deficiency inNet Cashflows from operating activities
totalling $61,253,000.
As at 31 March 2015
the subject recorded total current assets of $134,976,000. They included cash
of $55,226,000, receivables of $20,962,000 and inventories of $55,929,000.
Current liabilities
at the same date totalled $31,359,000 and included payables of $22,505,000 and
provisions of $3,675,000.
As at 31 March 2015
the subject recorded Working Capital of $103,617,000 and a current ratio of 4.3
to 1 indicating strong liquidity levels.
Net Assets totalled
$284,538,000 as at 31 March 2015. At this date, the subject further recorded a
Debt to Equity ratio of 0.38 to 1 showing low levels of gearing.
At 31 March 2015 the
group had access to financing facilities with a combined limit of $59,000,000.
These facilities were drawn to $50,111,000 at this time
|
Aditya Birla Minerals Ltd - consolidated |
|||
|
|
As at 31 March 2015 |
As at 31 March 2014 |
Change (%) |
|
Revenue |
$59,041,000.00 |
$317,417,000.00 |
-81.40% |
|
Profit b/tax |
($273,342,000.00) |
($4,267,000.00) |
6305.95% |
|
Profit a/tax |
($219,712,000.00) |
($224,000.00) |
97985.71% |
|
Net Profit Margin |
-372.13% |
-0.07% |
-372.06% |
|
Current Assets |
$134,976,000.00 |
$222,118,000.00 |
-39.23% |
|
Non Current Assets |
$257,336,000.00 |
$447,315,000.00 |
-42.47% |
|
Total Assets |
$392,312,000.00 |
$669,433,000.00 |
-41.40% |
|
Current Liabilities |
$31,359,000.00 |
$34,280,000.00 |
-8.52% |
|
Non Current Liabilities |
$76,415,000.00 |
$119,891,000.00 |
-36.26% |
|
Total Liabilities |
$107,774,000.00 |
$154,171,000.00 |
-30.09% |
|
Net Assets |
$284,538,000.00 |
$515,262,000.00 |
-44.78% |
|
Working Capital |
$103,617,000.00 |
$187,838,000.00 |
-44.84% |
|
Current Ratio |
4.30 |
6.48 |
-33.57% |
|
Debt to Equity |
0.38 |
0.30 |
26.59% |
During the current
investigation, contact with the subject’s principals was unable to be
established.
Subsequently details
pertaining to the company’s suppliers were unable to be obtained and a trade
survey could not be conducted.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.76 |
|
|
1 |
Rs.97.80 |
|
Euro |
1 |
Rs.69.91 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
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|
Report Prepared
by : |
ANK |
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 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.