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|
%20LIMITED%20-%20510246%2021-May-2018_files/image002.jpg){kind=small}
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MIRA
INFORM REPORT
|
Report No. : |
510246 |
|
Report Date : |
21.05.2018 |
IDENTIFICATION DETAILS
|
Name : |
GAIL (INDIA) LIMITED |
|
|
|
|
Registered
Office : |
Gail Bhawan, 16, Bhikaiji Cama Place, R. K. Puram, New Delhi – 110066 |
|
Tel. No.: |
91-11-26172580 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2017 |
|
|
|
|
Date of
Incorporation : |
16.08.1984 |
|
|
|
|
Com. Reg. No.: |
55-018976 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
INR 16913.000 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L40200DL1984GOI018976 |
|
|
|
|
IEC No.: [Import-Export Code No.] |
0597039461 |
|
|
|
|
GSTN : [Goods & Service Tax
Registration No.] |
Not Divulged |
|
|
|
|
TIN No.: |
Not Divulged |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACG1209J |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in activities as grouped below: · Transport via pipeline · Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms · Extraction of crude petroleum · Extraction of natural gas · Electric power generation, transmission and distribution. [Registered Activity] |
|
|
|
|
No. of Employees
: |
18249 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A++ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
Status : |
Excellent |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is a gas transmission and distribution company, was set up by the Gol in August 1984 to create natural gas transportation and distribution infrastructural for development of the natural gas sector across the country. As per the financials of March 2017, the company has registered a decline at 6.35% in its revenue as compared to its previous year’s revenue and has reported a good profit margin of 7.17%. Rating takes into consideration the company’s established track record of business operations marked by healthy net worth base along with low solvency indicators and good liquidity position. Rating continues to derive strength from the strong financial and managerial support received by Government of India and its presence in the diversified business segments. Rating also takes into account the company’s leadership position in the natural gas transmission and trading business and favorable demand situation of natural gas in India. Share price are quoted high on Stock Exchanges. (Share are traded at a price of INR 328.85 against its face value of INR 10.) However, rating strength is susceptibility to the developing regulatory framework for natural gas transmission, cyclicality in the petrochemicals sector, implementation-related risks in projects, and inherent risks in the exploration and production business. As per unaudited quarterly financials of December 2017, the company has 144,143.4 million and has reported good profit margin of 8.76%. Payments terms are reported to be regular as per commitment. In view of aforesaid, the company can be considered good for business dealings at usual trade terms and conditions. |
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
|
Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term Rating = AAA |
|
Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
|
Date |
05.10.2017 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term Rating= A1+ |
|
Rating Explanation |
Very strong degree of safety and carry lowest
credit risk. |
|
Date |
05.10.2017 |
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
31-03-2018.
BIFR (Board for Industrial & Financial Reconstruction) LISTING
STATUS
Subject’s name is not listed as a Sick Unit in
the publicly available BIFR (Board for Industrial & Financial Reconstruction)
list as of 21.05.2018.
IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS
Subject’s name is not listed in the publicly
available IBBI (Insolvency and Bankruptcy Board of India) list as of report
date.
INFORMATION DECLINED
MANAGEMENT NON-COOPERATIVE
[Contact No: 91-11-26172580/ 26182955]
LOCATIONS
|
Registered/ Corporate Office: |
Gail Bhawan, 16, Bhikaiji Cama Place, R. K. Puram, New Delhi – 110066,
India |
|
Tel. No.: |
91-11-26172580/ 26182955 |
|
Fax No.: |
91-11-26185941 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factories : |
·
U P
Petrochemical Complex, Pata P.O. Pata, District
Auraiya-206241, Uttar Pradesh, India ·
LPG
Recovery Plant, Usar P.O. Malyan, Taluka Alibagh,
District Raigad-402203, Maharashtra, India ·
LPG
Recovery Plant, Vijaipur GAIL Complex Vijaipur, District
Guna-473112, Madhya Pradesh, India ·
LPG
Recovery Plant, Vaghodia GIDC Industrial Estate
Vaghodia, District Baroda-391760, Gujarat, India ·
LPG
Recovery Project, Gandhar, Village Rozantankaria, Taluka Amod, District
Bharuch-392140, Gujarat, India |
|
|
|
|
LPG Pipeline Network &
Pumping Stations : |
·
Jamnagar ·
Kandla ·
Samakhiali
(Gujarat) ·
Nasirabad ·
Mansarampura
(Rajasthan) ·
Loni
(U.P.) ·
Visakhapatnam ·
GKonduru
(Andhra Pradesh) ·
Cherlapally
(Telangana) |
|
|
|
|
Regional pipelines network &
Office : |
·
Agartala
(Tripura) ·
Vadodara
(Gujarat) ·
Mumbai
(Maharashtra ·
Rajahmundry
(Andhra Pradesh), ·
Delhi-NCR · Karaikal (Puducherry) |
|
|
|
|
Zonal Offices : |
Located
at: North Zone
·
Noida ·
Chandigarh ·
Jaipur ·
Lucknow ·
Bhopal South Zone
·
Bangalore ·
Hyderabad ·
Chennai East Zone
·
Kolkata ·
Bhubaneswar West Zone
·
Ahmedabad ·
Mumbai ·
Amarawati |
|
|
|
|
Gail Training Institutes : |
Located
at: ·
Noida ·
Jaipur |
DIRECTORS
AS ON: 31.03.2018
|
Name : |
Mr. Sanjay Tandon |
|
Designation : |
Director |
|
Address : |
House No 1636, Sector 18 D, Chandigarh-160018, Punjab, India |
|
Date of Appointment : |
20.11.2015 |
|
DIN No.: |
00484699 |
|
|
|
|
Name : |
Mr. Bhuwan Chandra Tripathi |
|
Designation : |
Managing Director |
|
Address : |
House No. A -2/27, 2nd Floor, Safdurjung Enclave, New Delhi-110029, India |
|
Date of Appointment : |
03.09.2007 |
|
DIN No.: |
01657366 |
|
|
|
|
Name : |
Mr. Sanjay Kumar Srivastava |
|
Designation : |
Director |
|
Address : |
C/O S. N. Varma 7, Elgin Road, Allahabad-211001, Uttar Pradesh, India |
|
Date of Birth/Age : |
61 Years |
|
Date of Appointment : |
20.11.2015 |
|
DIN No.: |
02163658 |
|
|
|
|
Name : |
Mr. Ashutosh Karnatak |
|
Designation : |
Wholetime Director |
|
Address : |
716, New Delhi Apartments, Vasundhra Enclave, New Delhi-110096, India |
|
Experience : |
31 Years |
|
Date of Appointment : |
01.03.2014 |
|
DIN No.: |
03267102 |
|
|
|
|
Name : |
Mr. Subir Purkayastha |
|
Designation : |
Wholetime Director |
|
Address : |
2116 Sec- C, Pkt- 2, Vasant Kunj, Delhi-110070, India |
|
Date of Appointment : |
16.09.2015 |
|
DIN No.: |
06850526 |
|
|
|
|
Name : |
Mr. Anupam Kulshreshtha |
|
Designation : |
Director |
|
Address : |
B 33, Yarrows Apartments Plot C-58/5, Sector 62, Noida-201309, Uttar Pradesh, India |
|
Date of Appointment : |
28.11.2015 |
|
DIN No.: |
07352288 |
|
|
|
|
Name : |
Mr. Prafulla Kumar Gupta |
|
Designation : |
Wholetime Director |
|
Address : |
35 SF, Parsvnath Estate, Sector Omega-1, Greater Noida, Gautam Budh Nagar - 201308, Uttar Pradesh, India |
|
Date of Appointment : |
01.02.2017 |
|
DIN No.: |
01237706 |
|
|
|
|
Name : |
Mr. Anup K Pujari |
|
Designation : |
Director |
|
Address : |
61, Bharati Nagar, Maharshi Ramana Marg, New Delhi -110003, India |
|
Date of Appointment : |
31.01.2017 |
|
DIN No.: |
02556335 |
|
|
|
|
Name : |
Mr. Gajendra Singh |
|
Designation : |
Wholetime Director |
|
Address : |
63, Chotta Singh Block, Asiad Games Village, Delhi -110049, India |
|
Date of Appointment : |
05.04.2017 |
|
DIN No.: |
03290248 |
|
|
|
|
Name : |
Mr. Dinkar Prakash Srivastava |
|
Designation : |
Director |
|
Address : |
B-75, IFS Coop. Group Housing Society, Mayur Vihar, Phase-I, Delhi – 110091, India |
|
Date of Appointment : |
31.01.2017 |
|
DIN No.: |
07418753 |
|
|
|
|
Name : |
Mr. Ashish Chatterjee |
|
Designation : |
Nominee Director |
|
Address : |
D-1/77 Ravinder Nagar, Delhi – 110003, India |
|
Date of Appointment : |
23.12.2016 |
|
DIN No.: |
07688473 |
|
|
|
|
Name : |
Mrs. Indrani Kaushal |
|
Designation : |
Nominee Director |
|
Address : |
308-P Sector-22, Gurgaon-122015, Haryana, India |
|
Date of Appointment : |
22.09.2017 |
|
DIN No.: |
02091078 |
|
|
|
|
Name : |
Jayanto Narayan Choudhury |
|
Designation : |
Additional Director |
|
Address : |
Hq Nsg Mehram Nagar Near Domestic Airport, Palam, Gurgaon Road, Delhi-110037, India |
|
Date of Appointment : |
15.09.2017 |
|
DIN No.: |
07940286 |
|
|
|
|
Name : |
Mr. Rahul Mukherjee |
|
Designation : |
Additional Director |
|
Address : |
Flat 6e Regent Towers 121/1 N.S.C. Bose Road, Regent Park, Kolkata-700040, West Bengal, India |
|
Date of Appointment : |
15.09.2017 |
|
DIN No.: |
07940278 |
KEY EXECUTIVES
|
Name : |
Mr. Subir Purkayastha |
|
Designation : |
Chief Financial Officer |
|
Address : |
2116 Sec- C, Pkt- 2, Vasant Kunj, Delhi-110070, India |
|
Date of Appointment : |
01.05.2015 |
|
PAN No.: |
AAEPP4472H |
|
|
|
|
Name : |
Mr. Anil Kumar Jha |
|
Designation : |
Company Secretary |
|
Address : |
Flat No. B-401 Antriksh Forest, Sector-77 Noida-201301, Uttar Pradesh, India |
|
Date of Appointment : |
26.05.2016 |
|
PAN No.: |
ADJPJ1419J |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.03.2018
|
Category
of shareholder |
No.
of fully paid up equity shares held |
Shareholding
as a % of total no. of shares (calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
(A) Promoter & Promoter Group |
1208548124 |
53.59 |
|
|
(B) Public |
1031239260 |
45.73 |
|
|
(C1) Shares underlying DRs |
15283549 |
0.68 |
|
|
|
|
|
|
|
Grand
Total |
2255070933 |
100.00 |
|
%20LIMITED%20-%20510246%2021-May-2018_files/image008.gif)
Statement showing shareholding pattern of the Promoter
and Promoter Group
|
Category of
shareholder |
No. of fully paid
up equity shares held |
Shareholding as a %
of total no. of shares (calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
A1) Indian |
0.00 |
|
|
|
Central Government/ State Government(s) |
1,20,85,48,124 |
53.96 |
|
|
PRESIDENT OF INDIA |
1,20,85,48,124 |
53.96 |
|
|
Sub Total A1 |
1,20,85,48,124 |
53.96 |
|
|
A2) Foreign |
0.00 |
|
|
|
A=A1+A2 |
1,20,85,48,124 |
53.96 |
|
Statement showing shareholding pattern of the Public
shareholder
|
Category & Name
of the Shareholders |
No. of fully paid
up equity shares held |
Shareholding %
calculated as per SCRR, 1957 As a % of (A+B+C2) |
|
|
|||
|
|||
|
|||
|
B1) Institutions |
0 |
0.00 |
|
|
Mutual Funds/ |
274228835 |
12.24 |
|
|
HDFC TRUSTEE COMPANY LIMITED- HDFC PRUDENCE
FUND |
27030286 |
1.21 |
|
|
Foreign Portfolio Investors |
389934080 |
17.41 |
|
|
MATHEWS PACIFIC TIGER FUND |
29612492 |
1.32 |
|
|
GOVERNMENT PENSION FUND GLOBAL |
26024224 |
1.16 |
|
|
Financial Institutions/ Banks |
7528611 |
0.34 |
|
|
Insurance Companies |
81954370 |
3.66 |
|
|
LIFE INSURANCE CORPORATION OF INDIA |
46414408 |
2.07 |
|
|
Sub Total B1 |
753645896 |
33.65 |
|
|
B2) Central Government/ State
Government(s)/ President of India |
0 |
0.00 |
|
|
Central Government/ State Government(s)/
President of India |
166387805 |
7.43 |
|
|
INDIAN OIL CORPORATION LIMITED |
54452730 |
2.43 |
|
|
ONGC |
108905462 |
4.86 |
|
|
Sub Total B2 |
166387805 |
7.43 |
|
|
B3) Non-Institutions |
0 |
0.00 |
|
|
Individual share capital upto INR 0.200
Million |
34888999 |
1.56 |
|
|
Individual share capital in excess of INR
0.200 Million |
8730462 |
0.39 |
|
|
NBFCs registered with RBI |
10024 |
0.00 |
|
|
Any Other (specify) |
67576074 |
3.02 |
|
|
Bodies Corporate |
55188182 |
2.46 |
|
|
ICICI PRUDENTIAL LIFE INSURANCE COMPANY
LIMITED |
24389313 |
1.09 |
|
|
Non-Resident Indian (NRI) |
870060 |
0.04 |
|
|
Non-Resident Indian (NRI) |
515524 |
0.02 |
|
|
Trusts |
11002308 |
0.49 |
|
|
Sub Total B3 |
111205559 |
4.97 |
|
|
B=B1+B2+B3 |
1031239260 |
46.04 |
|
Statement showing shareholding pattern of the Non Promoter-
Non Public shareholder
|
Category & Name
of the Shareholders(I) |
No. of fully paid
up equity shares held(IV) |
Shareholding %
calculated as per SCRR, 1957 As a % of (A+B+C2)(VIII) |
|
|
|||
|
C1) Custodian/DR Holder |
0 |
0.00 |
|
|
Custodian/DR Holder |
15283549 |
0.00 |
|
|
Sub Total C1 |
15283549 |
0.00 |
|
|
C2) Employee Benefit Trust |
0 |
0.00 |
|
|
C= C1+C2 |
15283549 |
0.00 |
|
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in activities as grouped below: · Transport via pipeline · Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms · Extraction of crude petroleum · Extraction of natural gas · Electric power generation, transmission and distribution. [Registered Activity] |
|
|
|
|
Brand Names : |
Not Available |
|
|
|
|
Agencies Held : |
Not Available |
|
|
|
|
Exports : |
Not Divulged |
|
|
|
|
Imports : |
Not Divulged |
|
|
|
|
Terms : |
|
|
Selling : |
Not Divulged |
|
|
|
|
Purchasing : |
Not Divulged |
PRODUCTION STATUS (AS ON 31.03.2017)
|
Particulars |
Licensed
Capacity |
Installed
Capacity |
Gas Throughput |
Actual
Production |
|
Natural Gas (MMSCMD) |
206.03 |
206.03 |
100.38 |
--- |
|
LPG (M /T) |
1085376 |
1040182 |
--- |
861576 |
|
Propane (M/T) |
201085 |
306000 |
--- |
143783 |
|
Ethylene ( M/T)** |
850000 |
896000 |
--- |
617403 |
|
HDPE/LLDPE (M/T)* |
810000 |
810000 |
--- |
604064 |
|
Pentane |
73545 |
73545 |
--- |
23663 |
|
Naptha |
127773 |
97773 |
--- |
82060 |
|
Crude Oil(MT) |
--- |
--- |
--- |
--- |
|
CNG (000’KG) |
--- |
--- |
--- |
--- |
|
C2/C3** |
--- |
1242594 |
--- |
841535 |
|
Butene-1** |
30000 |
30000 |
--- |
22033 |
Notes:
*
includes L P Wax, GPE Shreds, Poly Lumps
**
Internally consumed
GENERAL INFORMATION
|
Suppliers : |
|
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|
|
|
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|
Customers : |
|
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|
|
|
||||||||||||||||||||||||||||||||||||
|
No. of Employees : |
18249 (Approximately) |
||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||
|
Bankers : |
· State Bank of India · HDFC Bank Limited |
||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
|
Financial Institution : |
· IDBI Trusteeship Services Limited Asian Building, Ground Floor, R. Kamani Marg, Ballard
Estate, Mumbai-400001, Maharashtra, India |
|
|
|
|
Statutory Auditors 1: |
|
|
Name : |
G.S. Mathur and Company Chartered Accountants |
|
|
|
|
Statutory Auditors 2: |
|
|
Name : |
O.P. Bagla and Company Chartered Accountants |
|
Address : |
8/12, Kalkaji Extension, New Delhi-110049, India |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Subsidiary Companies : |
·
GAIL
Global (Singapore) PTE Ltd (GGSPL) ·
GAIL
Global (USA) Inc. (GGUI) ·
GAIL
Gas Limited · Tripura Natural Gas Co Ltd. (TNGCL) |
|
|
|
|
Joint Venture : |
·
Central
UP Gas Limited (CUGL) ·
Green
Gas Limited (GGL) ·
Ratnagiri
Gas & Power (Private) Ltd (RGPPL) ·
ONGC
Petro-additions Limited (OPaL) ·
Maharashtra
Natural Gas Limited (MNGL) ·
Aavantika
Gas Limited (AGL) ·
Bhagyanagar
Gas Limited (BGL) ·
Talcher
Fertilizers Limited (TFL) ·
TAPI
Pipeline Company Limited (TPCL) · Vadodara Gas Limited (VGL) |
|
|
|
|
Associate Companies : |
·
Indraprastha
Gas Limited (IGL) ·
Petronet
LNG Limited (PLL) ·
Mahanagar
Gas Limited (MGL) ·
Brahmaputra
Cracker & Polymer Ltd (BCPL) ·
Gujarat
State Energy Generation Limited (GSEG) ·
Fayum
Gas Company S.A.E ·
National
Gas Company S.A.E (Nat Gas) · China Gas Holding Limited |
|
|
|
|
Joint Venture
Companies/ Associates/ Employees trust : |
· Andhra Pradesh Gas Distribution Corporation Limited · Kerala GAIL GAS Limited · Rajasthan State Gas Limited · Haridwar Gas Private Limited · GOA Natural Gas Private Limited · GAIL (India) Ltd. Employees Provident Fund Trust · GAIL Employees Superannuation Benefit Fund · GAIL (India) Ltd. Employees Death-cum- Superannuation Gratuity Scheme |
CAPITAL STRUCTURE
AFTER: 12.09.2017
Authorised Capital : INR 50000.000 Million
Issued, Subscribed & Paid-up Capital : INR 16913.000
Million
AS ON: 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2000000000 |
Equity Shares |
INR 10/- each |
INR 20000.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1691303200 |
Equity Shares |
INR 10/- each |
INR 16913.000 Million |
|
|
|
|
|
a) Reconciliation of
the shares outstanding at the beginning and at the end of the year
|
Particulars |
31st March,
2017 |
|
|
|
No. of Shares |
Amount |
|
At the beginning of the year |
1268477400 |
12684.800 |
|
Issued during the year |
|
|
|
Bonus Share* |
422825800 |
4228.200 |
|
Outstanding at the end of the year |
1691303200 |
16913.000 |
Details of
Shareholders holding more than 5% shares in the parent company
|
Particulars |
31st March,
2017 |
|
|
|
No. of Shares |
% Holding |
|
|
|
|
|
Equity shares of INR 10/- each fully Paid Up |
|
|
|
President of India (Promoter) |
92,06,51,612 |
54.43% |
|
Life Insurance Corporation of India |
11,04,45,783 |
6.53% |
b) The Company has only one class of equity shares having a par value of INR 10/- per share. The holders of the equity shares are entitled to receive dividends as declared from time to time and are entitled to voting rights proportionate to their share holding at the shareholders meetings.
c) 16345528 (Previous Year 11891046) shares are held in the form of Global Depository Receipts.
d) *During the year the Company has issued 422825800 Bonus share in ratio of one equity share for every three shares held by capitalization of General Reserve.
e) The Company has not issued any shares for a consideration other than cash in immediately preceding five year except aforesaid Bonus Shares.
FINANCIAL DATA
[all figures are
in INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
16913.000 |
12684.800 |
12684.800 |
|
(b) Reserves & Surplus |
364580.700 |
338260.700 |
343673.200 |
|
(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) |
381493.700 |
350945.500 |
356358.000 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
30045.500 |
57373.000 |
77456.600 |
|
(b) Deferred tax liabilities (Net) |
46559.100 |
40713.800 |
33593.500 |
|
(c)
Other long term liabilities |
12728.400 |
11092.900 |
21614.900 |
|
(d)
long-term provisions |
8126.000 |
6183.600 |
5795.400 |
|
Total
Non-current Liabilities (3) |
97459.000 |
115363.300 |
138460.400 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
2338.000 |
|
(b)
Trade payables |
27160.100 |
28616.000 |
33204.800 |
|
(c)
Other current liabilities |
49579.700 |
57729.900 |
45161.000 |
|
(d)
Short-term provisions |
7007.400 |
5319.300 |
6188.500 |
|
Total
Current Liabilities (4) |
83747.200 |
91665.200 |
86892.300 |
|
|
|
|
|
|
TOTAL |
562699.900 |
557974.000 |
581710.700 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
277628.000 |
277282.400 |
269291.600 |
|
(ii)
Intangible Assets |
7433.900 |
7387.100 |
7439.400 |
|
(iii)
Capital work-in-progress |
35852.000 |
31342.700 |
39947.600 |
|
(iv) Intangible assets under development |
2181.900 |
2859.300 |
3650.600 |
|
(b) Non-current
Investments |
95096.400 |
85723.800 |
103901.400 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan
and Advances |
6192.100 |
6948.300 |
6804.900 |
|
(e)
Other Non-current assets |
46870.500 |
52345.900 |
54514.900 |
|
Total
Non-Current Assets |
471254.800 |
463889.500 |
485550.400 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
123.500 |
0.000 |
|
(b)
Inventories |
16983.800 |
16094.400 |
19312.700 |
|
(c)
Trade receivables |
27245.400 |
27089.600 |
30761.800 |
|
(d)
Cash and cash equivalents |
13418.500 |
17938.700 |
11416.500 |
|
(e)
Short-term loans and advances |
7528.300 |
6425.300 |
5510.600 |
|
(f)
Other current assets |
26269.100 |
26413.000 |
29158.700 |
|
Total
Current Assets |
91445.100 |
94084.500 |
96160.300 |
|
|
|
|
|
|
TOTAL |
562699.900 |
557974.000 |
581710.700 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
488829.900 |
521959.700 |
567419.800 |
|
|
|
Other Income |
11762.700 |
8915.700 |
8608.600 |
|
|
|
TOTAL |
500592.600 |
530875.400 |
576028.400 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
31512.400 |
33885.200 |
49739.800 |
|
|
|
Purchases of Stock-in-Trade |
331996.700 |
384067.600 |
403483.300 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
422.900 |
4120.900 |
2321.700 |
|
|
|
Employees benefits expense |
12575.300 |
9584.400 |
9064.000 |
|
|
|
Other expenses |
40887.000 |
42754.000 |
55849.000 |
|
|
|
Excise Duty |
7341.400 |
4747.100 |
0.000 |
|
|
|
Exceptional Items |
2987.300 |
0.000 |
(628.600) |
|
|
|
TOTAL |
427723.000 |
479159.200 |
519829.200 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
72869.600 |
51716.200 |
56199.200 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
4793.600 |
7998.600 |
3613.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
68076.000 |
43717.600 |
52586.200 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
13967.800 |
13097.900 |
9742.600 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE
TAX |
54108.200 |
30619.700 |
42843.600 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
19079.100 |
8355.400 |
12451.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER
TAX |
35029.100 |
22264.300 |
30391.700 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Sales |
|
7166.300 |
6000.600 |
|
|
|
Others (including tender fee) |
|
1499.100 |
444.300 |
|
|
TOTAL EARNINGS |
NA |
8665.400 |
6444.900 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
|
5860.200 |
1041.700 |
|
|
|
Stores & Spares |
|
1119.700 |
1489.000 |
|
|
|
Capital Goods |
|
686.600 |
860.000 |
|
|
TOTAL IMPORTS |
NA |
7666.500 |
3390.700 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (INR) |
20.71 |
13.16 |
23.96 |
|
%20LIMITED%20-%20510246%2021-May-2018_files/image009.gif){kind=small}
%20LIMITED%20-%20510246%2021-May-2018_files/image010.gif){kind=small}
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current
Maturities of Long term debt |
|
|
|
|
Secured Bonds |
|
|
|
|
Bonds Series - I |
0.000 |
0.000 |
999.900 |
|
Bonds 2010 Series - I |
1249.900 |
0.000 |
0.000 |
|
Bonds 2012 Series - I |
1873.900 |
0.000 |
0.000 |
|
Unsecured Term loans: |
|
|
|
|
Bank of Tokyo Mitsubishi UFJ Ltd. |
0.000 |
10022.900 |
0.000 |
|
Bank of Tokyo Mitsubishi UFJ Ltd. |
2171.400 |
2209.000 |
2073.100 |
|
Mizuho Corporate Bank |
2173.700 |
2213.700 |
2081.400 |
|
Sumitomo Mitsui Banking Corporation |
2174.700 |
2217.400 |
2087.000 |
|
KFW Germany (Coperion Facility) |
122.600 |
124.100 |
115.000 |
|
Societe Generale |
462.800 |
470.300 |
438.100 |
|
Japan bank for International Cooperation (JBIC) |
298.800 |
304.500 |
267.500 |
|
KFW Germany (Siemens Facility) |
311.200 |
316.300 |
293.500 |
|
SMBC,
Mizuho Bank Ltd., DBS Bank Ltd. ($ 100 million each) |
9745.300 |
0.000 |
0.000 |
|
Secured
loans from Oil Industry Development Board |
0.000 |
5350.000 |
6560.000 |
|
Total |
20584.300 |
23228.200 |
14915.500 |
|
|
|
|
|
|
Cash generated from operations |
68201.900 |
47745.200 |
32991.600 |
|
|
|
|
|
|
Net Cash From Operating Activities |
56293.000 |
40706.200 |
24440.700 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
20.34 |
18.94 |
19.79 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
17.94 |
19.27 |
18.45 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors / Purchases * 365 Days) |
27.27 |
24.99 |
26.74 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
4.29 |
3.21 |
2.91 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
0.23 |
0.16 |
0.18 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.24 |
0.31 |
0.31 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
0.13 |
0.23 |
0.27 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
0.22 |
0.26 |
0.24 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
0.85 |
0.91 |
0.90 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
15.20 |
6.47 |
15.55 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
7.17 |
4.27 |
5.36 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
6.23 |
3.99 |
5.22 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
9.18 |
6.34 |
8.53 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
1.09 |
1.03 |
1.11 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
0.89 |
0.85 |
0.88 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.68 |
0.63 |
0.61 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
2.99 |
6.35 |
7.47 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
1.09 |
1.03 |
1.11 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 10.00/- |
|
|
|
|
Market Value |
INR 328.85/- |
FINANCIAL ANALYSIS
[all figures are
in INR Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Share Capital |
12684.800 |
12684.800 |
16913.000 |
|
Reserves & Surplus |
343673.200 |
338260.700 |
364580.700 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
356358.000 |
350945.500 |
381493.700 |
|
|
|
|
|
|
long-term borrowings |
77456.600 |
57373.000 |
30045.500 |
|
Short term borrowings |
2338.000 |
0.000 |
0.000 |
|
Current Maturities of Long
term debt |
14915.500 |
23228.200 |
20584.300 |
|
Total
borrowings |
94710.100 |
80601.200 |
50629.800 |
|
Debt/Equity
ratio |
0.266 |
0.230 |
0.133 |
%20LIMITED%20-%20510246%2021-May-2018_files/image012.gif)
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Sales |
567419.800 |
521959.700 |
488829.900 |
|
|
|
-8.012 |
-6.347 |
%20LIMITED%20-%20510246%2021-May-2018_files/image014.gif)
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Sales |
567419.800 |
521959.700 |
488829.900 |
|
Profit/ (Loss) |
30391.700 |
22264.300 |
35029.100 |
|
|
5.36% |
4.27% |
7.17% |
%20LIMITED%20-%20510246%2021-May-2018_files/image016.gif)
LEGAL CASES
|
ITEM NO.9 COURT NO.13 SECTION XIV SUPREME COURT OF INDIA RECORD OF PROCEEDINGS Petition(s) for Special Leave to Appeal (C)....../2015 CC No.743/2015 (Arising out of impugned final judgment and order dated 27/08/2014 in LPA No. 531/2014 passed by the High Court of Delhi at New Delhi) SANTANU SUR Petitioner(s) VERSUS GAIL INDIA LIMITED. Respondent(s) (with appln. (s) for c/delay in filing SLP) Date : 22/01/2015 This petition was called on for hearing today. CORAM : HON'BLE MR. JUSTICE VIKRAMAJIT SEN HON'BLE MR. JUSTICE C. NAGAPPAN For Petitioner(s) Mr. Tarkeshwar Nath, Adv. Mr. B.K. Ram, Adv. Mr. Saurabh Kumar Tuteja, Adv. Mr. Bankey Bihari,Adv. For Respondent(s) UPON hearing the counsel the Court made the following O R D E R Heard learned Counsel for the Petitioner. Delay condoned. We find no ground to interfere. The Special Leave Petition is dismissed. (USHA BHARDWAJ) (SAROJ SAINI) AR-CUM-PS COURT MASTER |
|
ITEM NO.17 COURT NO.4 SECTION XIV S U P R E M E C O U R T O F I N D I A RECORD OF PROCEEDINGS Petition(s) for Special Leave to Appeal (C)......CC No(s). 2061/2015 (Arising out of impugned final judgment and order dated 11/09/2014 in WPC No. 3698/2013 passed by the High Court Of Delhi At New Delhi) LANCO KONDAPALLI POWER LIMITED Petitioner(s) VERSUS GAIL (INDIA) LIMITED AND ORS. Respondent(s) (with appln. (s) for c/delay in filing SLP and office report) Date : 09/02/2015 This petition was called on for hearing today. CORAM : HON'BLE MR. JUSTICE DIPAK MISRA HON'BLE MR. JUSTICE PRAFULLA C. PANT For Petitioner(s) Mr. Avijeet Lala, Adv. Ms. Eesha Shekhar, Adv. Mr. Sakya Singha Chaudhuri, Adv. For Respondent(s) UPON hearing the counsel the Court made the following O R D E R Delay condeoned. Issue notice. Tag with SLP (C) No.31434 of 2014. (Gulshan Kumar Arora) (H.S. Parasher) Court Master Court Master |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
Yes |
|
8 |
Designation of contact person |
Yes |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
Yes |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
DATE OF MODIFICATION |
DATE OF SATISFACTION |
AMOUNT |
ADDRESS |
|
1 |
C53686135 |
10569506 |
IDBI TRUSTEESHIP
SERVICES LIMITED |
12/05/2015 |
- |
- |
5000000000.0 |
ASIAN BUILDING,
GROUND FLOOR, R.KAMANI MARGBALLARD ESTATEMUMBAIMH400001IN |
|
2 |
B16719494 |
10271002 |
IDBI TRUSTEESHIP
SERVICES LIMITED |
25/02/2011 |
21/07/2011 |
- |
5000000000.0 |
Asian Bldg.,
Ground Floor, 17, R.Kamani Marg,Ballard Estate,MUMBAIMH400001IN |
|
3 |
G47952411 |
10457703 |
OIL INDUSTRY
DEVELOPMENT BOARD |
22/10/2013 |
- |
20/06/2017 |
4750000000.0 |
301, WORLD TRADE
CENTERBABAR ROADNEW DELHIDL110001IN |
|
4 |
G47952320 |
10369540 |
OIL INDUSTRY
DEVELOPMENT BOARD |
18/06/2012 |
- |
20/06/2017 |
9500000000.0 |
301, WORLD TRADE
CENTERBABAR ROADNEW DELHIDL110001IN |
|
5 |
G47952239 |
10406394 |
OIL INDUSTRY
DEVELOPMENT BOARD |
12/02/2013 |
- |
20/06/2017 |
1750000000.0 |
301, WORLD TRADE
CENTERBABAR ROADNEW DELHIDL110001IN |
|
6 |
G48138127 |
10167220 |
OIL INDUSTRY
DEVELOPMENT BOARD |
30/06/2009 |
- |
20/06/2017 |
7000000000.0 |
301, WORLD TRADE
CENTERBABAR ROADNEW DELHIDL110001IN |
|
7 |
G48137673 |
10279675 |
OIL INDUSTRY
DEVELOPMENT BOARD |
25/03/2011 |
- |
20/06/2017 |
8000000000.0 |
301, WORLD TRADE
CENTERBABAR ROADNEW DELHIDL110001IN |
|
8 |
G46248928 |
10374616 |
IDBI TRUSTEESHIP
SERVICES LIMITED |
30/08/2012 |
- |
15/06/2017 |
7500000000.0 |
Asian Bldg.,
Ground Floor, 17, R.Kamani Marg,Ballard Estate,MumbaiMH400001IN |
|
9 |
C64274400 |
80020522 |
State Bank of
India |
22/06/2004 |
- |
22/08/2015 |
5000000000.0 |
PARLIAMENT STREETNEW
DELHIDL110001IN |
|
10 |
C47668181 |
10249942 |
HDFC BANK
LIMITED |
22/10/2010 |
15/07/2011 |
16/03/2015 |
12500000000.0 |
HDFC BANK
HOUSESENAPATI BAPAT MARGLOWER PAREL WMUMBAIMH400013IN |
UNSECURED LOANS
|
PARTICULARS |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
LONG-TERM BORROWINGS |
|
|
|
Bank of Tokyo Mitsubishi UFJ Ltd. |
0.000 |
0.000 |
|
Bank of Tokyo Mitsubishi UFJ Ltd. |
0.000 |
2221.700 |
|
Mizuho
Corporate Bank |
0.000 |
2223.700 |
|
Sumitomo
Mitsui Banking Corporation |
0.000 |
2224.500 |
|
Sumitomo
Mitsui Banking Corporation |
0.000 |
19856.200 |
|
KFW
Germany (Coperion Facility) |
444.500 |
581.300 |
|
Societe Generale |
2142.100 |
2668.700 |
|
Japan
bank for International Cooperation(JBIC) |
1507.400 |
1843.900 |
|
KFW
Germany ( Siemens Facility) |
1789.300 |
2155.200 |
|
SMBC,
Mizuho Bank Ltd., DBS Bank Ltd. ($ 100 million each) |
9786.300 |
0.000 |
|
|
|
|
|
Total |
15669.600 |
33775.200 |
CORPORATE INFORMATION
Corporate Information GAIL (India) Limited (“GAIL” or “the company”) is a limited company domiciled in India and was incorporated on August 16, 1984. Equity shares of the Company are listed in India on the Bombay Stock Exchange and the National Stock Exchange. Also Global Depository Receipts (GDRs) of the company are listed at London Stock Exchange. The Government of India holds 54.43% in the paidst up equity capital of the company as on 31 March 2017. The registered office of the Company is located at 16, Bhikaji Cama Place, R K Puram, New Delhi- 110066.
GAIL is the largest state-owned natural gas processing and distribution company in India. The company has a diversified business portfolio and has interests in the sourcing and trading of natural gas, production of LPG, Liquid hydrocarbons and petrochemicals, transmission of natural gas and LPG through pipelines, etc. GAIL has also participating interest in India and overseas in Oil and Gas Blocks.
FINANCIAL HIGHLIGHTS
Ministry of Corporate Affairs (MCA) vide notification dated 16 February 2015 notified the Companies (Indian Accounting Standards) Rules, 2015 laying down the roadmap for application of IFRS converged standards IND AS to Indian companies other than banking companies, insurance companies and nonbanking finance companies (NBFCs). As per the notification, all listed companies having net worth of INR 5000.000 Million or more shall mandatorily transitst from 1 April 2016.
The Company is covered under IND AS w.e.f 1 April 2016. In compliance to Companies (Indian Accounting Standards) Rules, 2015, the Company has prepared its financial statements for FY 2016-17 with comparative figures for FY 2015-16. The Company has adjusted the impact of transition from Indian General Acceptable Accounting Principal to IND AS in the opening reserve of 1 April 2015 and in the Statement of Profit & Loss for FY 2015-16. Further as per the provision of IND AS, the holding, subsidiaries, joint ventures, or associate companies of the Company need to also transit towards IND AS st w.e.f. 1 April 2016.
MANAGEMENT DISCUSSION
AND ANALYSIS
ENERGY SECTOR: AN
OVERVIEW
Adjusting to an era dominated by low price scenario, LNG trade registered a year on year strong growth of over 5% in 2016, whereas natural gas managed a tepid growth of about 1.5%, globally. As LNG supply from Australia showed a 25% increase, markets of India, China, Pakistan, Egypt etc. continued to dominate the incremental demand. The trend shows bullishness for LNG demand with 83 MTPA of regas capacities operating as FSRUs across several countries.
Crude oil demand is around 1.3% and is expected to maintain the momentum in 2017 as well. Major growth of crude oil consumption is continuum the non-OECD nations, led by India and China on relatively stronger GDP growth prospects. In a growing drive towards a low carbon environment, share of renewable continued to be a third of the primary energy growth even though its overall share in the energy mix has been about 3-4 %, largely displacing coal across several countries. Coal registered a production decline of over 6% and its consumption reportedly dropped by over 50 million tonnes during the year.
Renewable energy steals the march with significant improvements along the cost and efficiency curve with solar power growing faster than wind. At the same time, EU nations witnessed variability in renewable energy to remind that a sustainable mix of alternatives is necessary to support underlying energy demand at all times. Countries extrapolating EU models for renewable energy growth need to closely look at integrating conventional power generation sources led by gas for ensuring a low carbon objective. USA continues with natural gas as its prime driver for electricity generation accounting for over a third of the consumption followed by a declining coal fired power generation and a growing adoption of renewables in the country.
In an expanding base of the global energy basket, natural gas and LNG continue to maintain a share of 25% in the primary energy mix. With more volumes of LNG anticipated to be added into the markets through 2017 and 2018 accompanied with a low price cycle, the commodity should find greater penetration world over.
NATURAL GAS IN INDIA
Recently released reports from the NITI Aayog on India's energy security scenarios combined with the National Energy Policy and a three year action agenda have definite pointers of an unfolding energy matrix. Role of natural gas under the energy security scenario is projected to increase four-five folds in the period 2040-2047. Even though a scenario with influences from emerging technologies, electric vehicles and renewables is captured, natural gas is seen to dominate as domestic cooking medium (PNG) and also as an urban transportation fuel (CNG) in addition to serving the mainstay sectors of fertilizer and power.
Thrust of GoI towards infrastructure expansion by way of pipeline and regas terminals has the capability of supporting 2-3 times the gas volumes by 2021-22. Coupled with the focus on augmenting gas supplies from reserves, indigenous volumes are projected to increase in the next couple of years. In the near to short term, City Gas Distribution holds promise of maintaining double digit growth, but structural issues impacting the power sector need greater policy focus for mainstreaming gas based power generation integrated with renewable power. Based on projections, demand for primary energy is set to double by 2030, India requires a matrix of clean energy forms to support its growing appetite. Globally, natural gas maintaining a share of over a quarter in the energy mix even as renewable energy grows, holds promise of replicating the model in emerging nations including India.
Growth of LNG demand is primarily on account of Asian economies and various projections indicate a continued momentum in the years to come as coal demand gradually treading on a path of decline. NITI Aayog has proposed in its report that the Government should extend purchase support to gas-based power as done for sustaining the wind/solar sector ecosystems and suggest a supportive regime for gas to be put in place for progressively increasing its share in the energy basket over the years. As we progress towards aaining this vision, it is imperative to maximize utilization of mid-stream infrastructure.
Indian market has consumed around 139 MMSCMD during the last fiscal period and net LNG and domestic gas sales stood nearly equal. India imported a record 19 MMTPA of LNG during last year and the volumes are expected to grow steadily in the near future. Whilst, India is now more exposed to global contracts as a result, domestic consumers too are opting short/medium tenure contracts. Domestic market witnessed invitation of bids from Indian producers for supply of domestic gas. These developments signify the dilemma of suppliers in an increasingly buyers' market. The gas market structure has undergone profound shift due to low price scenario and availability of abundant supplies.
To ensure a continued advantage for gas based growth, inclusion of natural gas /LNG under the Goods & Services Tax (GST) is essential. Competing solid and liquid fuels cutting across applications have transitioned into the GST structure and natural gas as an environment friendly fuel awaits its complete inclusion (transmission is under GST).
BUSINESS
OVERVIEW
• Sourcing & Trading of Gas and Re-gas Infrastructure
The Company is playing a pivotal role in
securing the country's energy needs in view of its vast investments in natural
gas infrastructure assets towards gas security. In order to bridge the
demand-supply gap of natural gas in the country, the Company has taken proactive steps for
importing gas. It has tied-up long term LNG from the USA (5.8 MMTPA), Russia
(2.5 MMTPA) and Turkmenistan (38 MMSCMD equivalent to ~10 MMTPA through TAPI
pipeline) in addition to marketing Qatar and Australia based long-term volumes
and trading short/medium/spot based R-LNG.
The long-term LNG supply projects from
the USA, namely Sabine Pass and Dominion Cove Point, have achieved significant
project milestones and are on course to commence supplies between the fourth
quarter of CY 2017 and first quarter of CY 2018. Your Company is also
participating in the Turkmenistan- Afghanistan-Pakistan- India (TAPI) pipeline
project by forming a JVC namely TAPI Pipeline Company Limited (TPCL) by member
countries to build, own and operate the planned 1800 kms transnational pipeline.
A diversified portfolio of LNG/gas sources provides your Company the
flexibility to serve its customers in the best possible manner in a competitive
business environment over the long-run.
The Company imported 55 LNG cargoes
(equivalent to approximately 3.5 MMTPA of LNG) during the financial year from
various international sources on short term and spot basis to cater to the
immediate requirement of the
domestic market.
Considering the various LNG tie-ups
made by the Company
that are expected to commence supplies from CY 2018 onwards, access to Dabhol
LNG terminal of RGPPL provides greater operational flexibility to your Company
in LNG business. During the financial year, 15 LNG cargoes were unloaded at the
Dabhol Terminal.
The Company has also traded some of its LNG
portfolio in the international market through the Singapore subsidiary, in line
with the globalisation strategy and to calibrate supplies according as per
requirement of domestic market. The Company has signed a non-binding Tolling Term Sheet with Dhamra
LNG Terminal Private Limited (DLTPL) for booking of 1.5 MMTPA capacity at the proposed
LNG Terminal at Dhamra, Odisha. A non-binding MOU has also been signed for
taking equity in DLTPL.
RGPPL is working with all stakeholders
for its long-term viability, which includes demerger of LNG terminal and power
block assets to enable restructuring under the revised RBI norms which will
enable availability of funds for the construction of breakwater and other
facilities to achieve the full potential of the LNG terminal and loan
restructuring to keep both assets viable. RGPPL will retain the Power Block and
a new Company, M/s Konkan LNG Private Limited (KLPL) will own and operate the
LNG block. Final order on the matter is awaited from the Hon'ble High Court of
Delhi.
• Natural Gas Transmission
The Company is the market leader in
providing transmission services of natural gas and operates around 75% (over
11000 kms of natural gas pipelines) of the total Natural Gas transmission in
India. During the year, transmission segment registered an increase of 9%
growth in volumes over last fiscal year by clocking 100.4 MMSCMD. Gas
Transmission volumes handled by the Company and percentage capacity utilization of all pipelines is
provided at Table-
As a customer oriented Company, your
Company has provisions in the gas transmission contracts to accommodate the
requirement of small volume shippers. The Company has also introduced an Imbalance Management Services for
shippers to manage the imbalances efficiently. To ensure higher utilization of
the commissioned trunk pipelines, 23 new Last Mile Connectivity were rolled out
to supply/transport gas during FY 2016-17.
• National Gas Grid Implementation
The Company is implementing the following
major Natural Gas pipelines (approx. 4150Kms) as a part of cross-country
National Gas Grid:
1. Kochi-Koottanad-Bengaluru/Mangalore
Pipeline (Phase-II, 870 kms): Kochi to Mangalore pipeline is under progress and
is expected to be completed by December 2018
2. Vijaipur-Auraiya-Phulpur Pipeline:
In order to de-boleneck the upstream network of JHBDPL project, a parallel
pipeline from Vijaipur to Auraiya and upto Phulpur (670 kms) is under
execution.
3. Jagdishpur-Haldia & Bokaro
Dhamra Pipeline (JHBDPL): 2,600 Kms. Is under progress in phases.
The Company shall connect the existing
natural gas grid with eastern India under “Pradhanmantri Urja Ganga Pipeline
Project”. The pipeline shall pass through the eastern part of U.P., Bihar,
Jharkhand, Odisha and West Bengal. This pipeline shall supply gas to fertilizer
plants at Gorakhpur, Barauni and Sindri.
The pipeline shall have two gas sources
one at Phulpur (Allahabad, U.P.) and the other at Dhamra RLNG Terminal
(Odisha). The capacity of the pipeline network is 16 MMSCMD. Physical progress
is in line with envisaged schedule. The pipeline endeavours to provide clean
fuel to various cities along the pipeline. City Gas Distribution networks along
the pipeline at Varanasi, Patna, Ranchi, Jamshedpur, Cuttack and Bhubaneshwar
are being concurrently developed. Kolkata CGD is being developed through a JV
of GAIL and Greater Calcutta Gas Supply Corporation Ltd (Government of West
Bengal Enterprise). st On 21 September 2016, CCEA approved 40% capital grant to
GAIL by GoI i.e. INR 51760.000 Million of the estimated project cost of INR
129400.000 Million for execution of JHBDPL
project to support the Urja Ganga initiative of Hon'ble Prime Minister of
India. Execution of phase-I of JHBDPL project i.e. Phulpur-Dobhi section with branch
lines to Varanasi, Gorakhpur, Barauni and Patna has already commenced in the
State of U.P. and Bihar, and the entire project is scheduled to be completed by
December 2020.
This trunk pipeline investment could
trigger cascading investments towards infrastructure creation in City Gas
Distribution, LNG terminal, fertilizer plant revival etc. amounting to over INR
500000.000 Million in the near future. The Company is also upgrading its LPG pipeline network capacity from
2.5 MMTPA to 3.5 MMTPA under capacity augmentation of Jamnagar Loni Pipeline. The
Company has also conducted various
efficiency enhancement projects such as the Rich-Lean Gas corridor and the
waste heat recovery projects at Hazira & Vijaipur respectively. Pipeline
replacement projects have been undertaken to maintain pipeline's health &
integrity in the Cauvery Basin, KG basin and Gujarat region.
• Petrochemicals
The Company doubled the polymer production
capacity from 410 KTA to 810 KTA at Pata. Overall production from
Petrochemicals complex in 2016-17 was 6,04,000 MT during the year. The Company exported 14,000 MT of polymers
in Asia.
The Company's market share in the domestic
polyethylene market has improved significantly and is the second largest player
in the Indian market with a portfolio of over 1 MMTPA of polyethylene. A
combined volume of 6.65 KTA including that of was marketed by GAIL during the
year. Polymer prices though having made an initial recovery at sustained during
the most part of the fiscal year, yet registered a decline on an overall basis
by about 4% on a year on year basis.
• LPG and Other Liquid Hydrocarbons
The Company has been able to increase LPG
sales by about 15 – 20 % and expect this trend to be maintained. Jamnagar-Loni
Pipeline (JLPL) and Vizag- Secunderabad LPG pipeline (VSPL) are operating at
full capacity. JLPL's design capacity is being augmented from 2.5 to 3.25 MMTPA
and is expected to be commissioned by March 2018.
• Exploration & Production
The Company's focus on preserving its
capital and reducing operational/ administrative costs wherever possible has
enabled reinforcement of the E&P business segment in pursuance of its
vision. The Company has also utilized
its expertise to make its operations more efficient in Cambay fields. The
Company has participating interest in
12 E&P blocks (10 in India and 2 overseas in Myanmar). While production of
oil and gas is in progress in four blocks (2 domestic and 2 overseas), three
blocks (where hydrocarbon discoveries have been made) are in various stages of
development and appraisal. Hydrocarbon discoveries have been notified in two
NELP-IX blocks. In the ensuing period, while exit option would be examined in
some of the existing less prospective blocks, acquisition of exploration
opportunities are also being examined for the next growth phase of this
business segment. Going forward, E&P will continue to pursue its
disciplined approach and remain focused on production, appraisal, and
utilization, as well as assessing exploration and acquisition opportunities in
a diligent manner.
• Renewables
The Company has a total installed capacity
of 123.23 MW of alternative energy; out of which 118 MW is wind and 5.23 MW is
solar energy plants. The Company
is setting up a 5.76 MW grid connected roof-top captive solar power plant at
Pata Petrochemical Complex, Uttar Pradesh. Further, roottop solar units are
being installed at your Company's offices/ work centers for captive use.
STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED 31.12.2017
(INR IN MILLION)
|
|
|
Particulars |
Quarter ended |
Nine months ended |
|
|
|
|
|
31.12.2017 (Unaudited) |
30.09.2017 (Unaudited) |
31.12.2017 (Unaudited) |
|
1 |
|
Income from
Operations |
|
|
|
|
|
(a) |
Revenue from
operation |
144143.400 |
124096.500 |
383948.000 |
|
|
(b) |
Other Income |
3027.400 |
2928.500 |
7114.200 |
|
|
Total Income from
Operations (Net) |
147170.800 |
127025.000 |
391062.200 |
|
|
2 |
Expenses |
|
|
|
|
|
|
a) |
Consumption of raw materials |
10024.200 |
9232.800 |
26591.000 |
|
|
b) |
Purchase of Stock-in-trade |
97171.400 |
80259.200 |
256114.400 |
|
|
c) |
Changes in inventories of finished goods, work-in-progress and
stock-in-trade |
659.500 |
1447.700 |
167.700 |
|
|
d) |
Employee benefit expenses |
3999.400 |
3434.100 |
9487.300 |
|
|
e) |
Finance Costs |
478.900 |
925.500 |
2418.100 |
|
|
f) |
Depreciation and amortization expense |
3667.700 |
3424.500 |
10543.000 |
|
|
g) |
Excise Duty |
--- |
--- |
1639.100 |
|
|
h) |
Other expenses |
12590.100 |
9028.400 |
30561.900 |
|
|
Total Expenses |
128591.200 |
107752.200 |
337522.500 |
|
|
|
|
|
|
|
|
|
|
Profit /(Loss) before
exceptional items and tax |
18579.600 |
19272.800 |
53539.700 |
|
|
|
Exceptional Items |
|
|
|
|
|
|
Add: Profit on sale of investment |
--- |
--- |
--- |
|
|
|
Less: Impairment of investment |
--- |
--- |
--- |
|
|
|
Profit /(Loss)
before tax |
18579.600 |
19272.800 |
53539.700 |
|
|
|
Tax Expense |
|
|
|
|
|
|
Current tax |
4472.700 |
4969.400 |
12834.200 |
|
|
|
Deferred Tax |
1564.700 |
1207.100 |
4810.600 |
|
|
|
Adjustment of tax relating to earlier periods |
(80.000) |
--- |
(80.000) |
|
|
|
Total Tax Expenses |
5957.400 |
6176.500 |
17564.800 |
|
|
|
Net Profit /(Loss) for
the period from continuing operations |
12622.200 |
13096.300 |
35974.900 |
|
|
|
Other Comprehensive
Income |
|
|
|
|
|
|
Items to be
reclassified to profit or loss in subsequent periods |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net(Loss)/gain on FVTOCI Equity Securities |
(2162.900) |
--- |
(2162.900) |
|
|
|
Income tax effect thereon |
748.500 |
--- |
748.500 |
|
|
|
|
(1414.400) |
--- |
(1414.400) |
|
|
|
|
|
|
|
|
|
|
Items not to be
reclassified to profit or loss in subsequent periods |
|
|
|
|
|
|
Re-measurement gains (Losses) on defined benefit plans |
92.700 |
163.800 |
278.100 |
|
|
|
Income tax effect thereon |
32.000 |
56.700 |
96.200 |
|
|
|
|
60.700 |
107.100 |
181.900 |
|
|
|
Net(Loss)/gain on FVTOCI Equity Securities |
7403.000 |
4121.800 |
2976.900 |
|
|
|
Less: Income tax effect thereon |
--- |
--- |
--- |
|
|
|
|
740.300 |
4121.800 |
2976.900 |
|
|
|
|
|
|
|
|
|
|
Net other
comprehensive |
6049.300 |
4228.900 |
1744.400 |
|
|
|
|
|
|
|
|
|
|
Total Comprehensive Income for the period (Profit and loss and OCI) net of tax |
18671.500 |
17325.200 |
37719.300 |
|
|
|
|
|
|
|
|
|
|
Paid up equity capital (Face value INR 10/- each) |
16913.000 |
16913.000 |
16913.000 |
|
|
|
|
|
|
|
|
|
|
Reserve excluding revaluation reserves as per Balance Sheet of previous accounting year |
--- |
--- |
--- |
|
|
|
|
|
|
|
|
|
|
Earnings per share for continuing operations |
|
|
|
|
|
|
(a) Basic |
7.46 |
7.74 |
21.27 |
|
|
|
(b) Diluted |
7.46 |
7.74 |
21.27 |
|
|
|
|
|
|
|
|
|
|
Earnings per share for continuing and discontinued operations |
|
|
|
|
|
|
(c) Basic |
7.46 |
7.74 |
21.27 |
|
|
|
(d) Diluted |
7.46 |
7.74 |
21.27 |
|
Segment wise Revenue,
Results, Assets and Liabilities for the quarter ended 31.12.2017
|
Particulars |
Quarter ended |
Nine months ended |
|
|
|
31.12.2017 (Unaudited) |
30.09.2017 (Unaudited) |
31.12.2017 (Unaudited) |
|
Segment Revenue |
|
|
|
|
|
|
|
|
|
Transmission
Services |
|
|
|
|
Natural Gas |
13313.100 |
13122.600 |
37863.000 |
|
LPG |
1406.100 |
1363.200 |
4133.100 |
|
Natural Gas Trading |
110691.300 |
93781.100 |
289678.000 |
|
Petrochemicals |
14431.600 |
14319.400 |
42169.400 |
|
LPG and Liquid Hydrocarbons |
12114.100 |
9234.400 |
31229.300 |
|
Other Segment* |
2405.000 |
1342.700 |
5290.300 |
|
Unallocated |
2.000 |
2.800 |
5.900 |
|
Total |
154363.200 |
133166.200 |
410369.000 |
|
|
|
|
|
|
Less : Inter Segment Revenue (Net of Excise) |
10219.800 |
9069.700 |
26421.000 |
|
|
|
|
|
|
Sales / Income from
Operations |
144143.400 |
124096.500 |
383948.000 |
|
|
|
|
|
|
Segment Results |
|
|
|
|
(Profit/(Loss)
before Interest and Tax) |
|
|
|
|
|
|
|
|
|
Transmission
Services |
|
|
|
|
Natural Gas |
6738.500 |
8534.800 |
22070.400 |
|
LPG |
583.400 |
693.000 |
2050.100 |
|
Natural Gas Trading |
3415.600 |
4197.400 |
10977.700 |
|
Petrochemicals |
939.800 |
888.100 |
2300.800 |
|
LPG and Liquid Hydrocarbons |
6578.300 |
4580.400 |
16472.500 |
|
Other Segment* |
445.500 |
657.800 |
1826.400 |
|
|
|
|
|
|
Total |
18701.100 |
19551.500 |
55697.900 |
|
|
|
|
|
|
Other Un-allocable Income |
2603.800 |
2221.500 |
5414.200 |
|
Other Un-allocable Expenditure |
(2246.400) |
(1574.700) |
(5154.300) |
|
Finance Cost |
(478.900) |
(925.500) |
(2418.100) |
|
|
|
|
|
|
Total Profit Before
Tax |
18579.600 |
19272.800 |
53539.700 |
|
|
|
|
|
|
Segment Assets |
|
|
|
|
Natural Gas Transmission / Marketing |
287882.600 |
285031.400 |
287882.600 |
|
LPG Transmission |
9103.100 |
9040.300 |
9103.100 |
|
Petrochemicals |
100961.400 |
102354.000 |
100961.400 |
|
LPG and Liquid Hydrocarbons |
9706.200 |
9488.600 |
9706.200 |
|
Other Segment* |
19116.100 |
19421.800 |
19116.100 |
|
Un-allocable |
157026.700 |
145371.700 |
157026.700 |
|
Total Assets |
583796.100 |
570707.800 |
583796.100 |
|
|
|
|
|
|
Segment Liabilities |
|
|
|
|
Natural Gas Transmission / Marketing |
62772.800 |
53265.000 |
62772.800 |
|
LPG Transmission |
899.500 |
732.800 |
899.500 |
|
Petrochemicals |
6937.800 |
6417.300 |
6937.800 |
|
LPG and Liquid Hydrocarbons |
1664.700 |
1933.700 |
1664.700 |
|
Other Segment* |
2868.900 |
2259.100 |
2868.900 |
|
Un-allocable |
94945.400 |
111059.500 |
94945.400 |
|
Total Liabilities |
170089.100 |
175667.400 |
170089.100 |
Notes:
1. The above financial results were reviewed by the Audit
Committee and approved by
the Board of Directors at its meetings held on 12th February 2018.
2. Limited review of the financial results for the quarter and nine months
ended 31st December 2017, as required under regulation 33 of the SEBI (Listing
Obligation and Disclosure Requirements) Regulations, 2015 as amended, has been
carried out by the Statutory Auditors of the Company.
3. Petroleum and Natural Gas Regulatory Board (PNGRB) has issued various
provisional transportation tariff orders in respect of natural gas pipeline
tariff. Some of these orders have been contested by the Company with Competent
Authority, i.e., Appellate Tribunal for Electricity (APTEL), which were remanded
back by APTEL to PNGRB for review. PNGRB had issued final tariff orders in
respect of some of those natural gas pipeline networks. However, these final
tariff orders have also been contested by the Company with Competent Authority
APTEL. Further, adjustment on account of revision, if any, is being recognized
as and when the matters are decided.
4. As per the provision of IND AS 109 (Financial instruments), the Company has
adopted Hedge Accounting for derivative contracts entered on or after 1st
October 2017 due to substantial increase in commodity transactions. Derivative
contracts prior to 1st October 2017 will continue to be accounted as
Derivative. Pursuant to changes as referred above, Mark to Market losses of?
216.29 crore pertaining to derivate contracts entered during the quarter has
been recognized in the Other Comprehensive Income during the quarter ended 31st
December 2017.
5. Company's claim for Ship or Pay charges of INR 2553.600 Million on account
of shortfall in Annual Contracted Quantity from one of the customers has been
settled during the quarter. Pursuant to such settlement a sum of INR 803.600
Million has been provided for in statement of profit and loss for the quarter.
6. Pending agreement on terms of Settlement and execution of Indenture
agreement in
respect of certain dues with one of the customers, amount of INR 1329.800
Million received in this regard has been kept as advance received from
customers.
7. In line with the Accounting Policy, the Company has made provision amounting
to INR 860.000 Million towards Impairment of one of the Gas field of E&P
Block during the Quarter ended 31st December 2017.
8. The pay and allowance of the Officers of the Company became due w.e.f 1st
January 2017 in terms of 3rd Pay revision Committee. The presidential
directives issued on 23rd November 2017 towards implementation of the same.
Accordingly, the Company has implemented the pay revision during the Quarter
ended 31st December 2017 for which provisions had been made in prior quarters.
9. Consequent upon implementation of Goods and Services Tax (GST) Act w.e.f 1st
July 2017, total income for the quarter ending September 2017 and December 2017
is disclosed net of GST. Total income for previous periods upto June 2017 are
reported inclusive of Excise duty.
10. The Board of Directors, in its meeting held on 12th January 2018, had
declared an interim dividend of INR 7.65 per equity share (face value INR 10
each) amounting to ? 1293.85 crore.
11. Previous period figures have been regrouped / reclassified, wherever
required.
CONTINGENT
LIABILITIES: [As on 31.03.2017]
(a) Claims against the Company not
acknowledged as debts:
(i) Legal cases for claim of INR
16226.100 Million (Previous Year: INR 19088.000 Million) by
vendors/suppliers/contractors etc. on account of liquidated damages/price
reduction schedule, natural gas price differential etc. and by customers for
natural gas transmission charges etc.
(ii) Income tax demand of INR
11282.600 Million (net of provision) (Previous Year INR 13036.700 Million
against which the Company has filed appeals before appellate authorities/court.
Further, the Income Tax Department has also filed appeals before ITAT against
the relief granted to the company by CIT (Appeals) amounting to INR 6280.900
Million (including interest) (Previous Year: INR 3543.300 Million).
(iii)
Disputed Indirect tax demands are as under:
|
Particulars |
As at 31st March 2017 |
As at 31st March 2016 |
|
Custom
Duty |
85.500 |
0.600 |
|
Excise
Duty |
32963.400 |
31353.200 |
|
Sales
Tax / VAT |
3589.100 |
4407.700 |
|
Entry
Tax |
114.200 |
161.600 |
|
Service
Tax |
13639.900 |
12729.100 |
|
|
|
|
|
Total |
50392.100 |
48652.200 |
(iv) Miscellaneous claims of INR 1628.400 Million (Previous Year: INR 2382.900 Million)
FIXED ASSETS:
Tangible Assets
· Land: Freehold
· Land: Leasehold
· Building: Office/Others
· Residential
· Bunk Houses
· Plant and Machinery
· Railway Lines and Sidings
· Electrical Equipments
· Furniture and Fixtures
· Transport Equipments
· Office Equipments
PRESS RELEASE :
INDIA AIMS TO SPLIT GAIL WITHIN A YEAR TO OPEN UP GAS SECTOR
Apr 27, 2018
MUMBAI/NEW DELHI: India plans to split state-run gas utility GAILNSE -2.68 % by March next year to create two companies: one marketing gas, and another operating pipelines that can be used by consumers who buy direct from producers, the head of the sector's regulator told Reuters.
GAIL (India) Ltd is the country's biggest gas marketing and trading firm and
owns most of the nation's pipelines, giving it a stranglehold on the market for
the fuel.
By splitting GAIL, the regulator of India's oil and gas sector hopes to
increase the number of gas consumers and attract the billions of dollars needed
to expand the pipeline network and build more liquefied natural gas (LNG)
terminals.
"All this un-bundling should be done within this fiscal year (to March 31,
2019)," D.K. Sarraf, chairman of India's Petroleum and Natural Gas Board,
told Reuters.
GAIL already keeps separate accounts for its gas pipeline and marketing
businesses, making it easier to split them into two entities before a change of
ownership, he said.
Sarraf did not
say which business GAIL would retain. India's Oil Minister Dharmendra Pradhan
in January said the company should focus on laying pipelines, suggesting it is
the marketing side that would be hived off.
By unbundling GAIL and opening the sector, the government hopes to increase gas use and meet its objective of raising the share of a cleaner, cheaper fuel as a part of the energy mix to 15 percent, from 6.2 percent, in the next 12 years.
Many power plants and small industries like ceramic, glass and cement makers rely heavily on more expensive or dirtier fuels such as naphtha, diesel and coal. In future, though, even small companies will be able to buy gas via pipelines, without having to go through GAIL.
Only a handful of companies - including Petronet LNG Ltd , Indian OilNSE -0.64 % Corp Ltd and Gujarat State Petroleum Corp - currently import and sell gas in India.
The gas regulator hopes by July, however, to draft norms for allowing end-users to bid for using LNG terminals to import gas.
"We are planning to put LNG terminals on public access to the extent of 20 percent," Sarraf said.
The regulator was also looking at how to open access to the pipeline network for smaller buyers.
India's gas demand is constrained by low domestic output, a small number of LNG terminals - just four - and a pipeline network that does not reach enough customers.
GAIL owns more than two-thirds of India's existing 15,000 km (940 miles) of pipelines, but the government wants to more than double the network to expand gas deliveries.
While the new pipeline company created by the division of GAIL would be expected to lead the way, the government also wants other companies to bid for rights to build and operate pipelines.
Three LNG import facilities are also under construction, and there are proposals for many more. Domestic gas production is also expected to rise.
Sarraf
estimated an investment of nearly $20 billion would be needed over the next
several years for laying pipelines.
Only the western state of Gujarat has an extensive city gas distribution
network, though some other major cities, including New Delhi and Mumbai have
been hooked up to gas.
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 records 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 records 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
|
INR |
|
US Dollar |
1 |
INR 67.96 |
|
UK Pound |
1 |
INR 91.88 |
|
Euro |
1 |
INR 80.28 |
INFORMATION DETAILS
|
Information
Gathered by : |
SAV |
|
|
|
|
Analysis Done by
: |
VIV |
|
|
|
|
Report Prepared
by : |
IND |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--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 |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on
secured terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.