Group Companies
Sarda Energy & Minerals Hong Kong Limited (SEMHL) is a wholly owned subsidiary, functioning as global investment and trading arm of SEML. During 2019-20, the Company reported a net loss of Rs. 30.22 crore as against net profit of Rs.7.20 crore in the previous year. The loss was mainly related to mark-to-market losses on investments held by the company due to global meltdown on fears of COVID-19 pandemic. The company has paid a dividend of USD 2.50 Mn during the year (Pr. Year USD 2.60 Mn) to the parent entity.

Sarda Global Venture Pte Limited a wholly owned subsidiary, has acquired economic interest incoal mines in Indonesia. The company is having JV with Indorama group for the coal mine in Indonesia. During 2019-20, SEML has made further equity contribution of USD 2.00 Mn in the company. During 2019-20, the venture extracted 5,79,316 MTs (PY 5,00,004 MTs) of coal. The company reported a net profit of Rs. 0.08 crore as against net profit of Rs. 0.09 crore in the previous year.

Sarda Global Trading DMCC a wholly owned subsidiary, has been incorporated in 2018 with the object of trading in metal ores and firewood. During 2019-20, SEML has made further equity investments of United Arab Emirates Dirham 0.80 Mn to meet its establishments expenses. The company reported a net loss of Rs. 8.36 crore as against net loss of Rs. 1.23 crore in the previous year. The losses mainly related to mark-to-market loss on investments held in the company due to global melt-down triggered by COVID-19 pandemic.

Sarda Metals & Alloys Limited a wholly owned subsidiary, operating 2 x 33 MVA Ferro Alloys plant backed by 80 MW captive thermal power plant enjoys a Two Star Export House status. During 2019-20, power generation was 453.40 MU as compared to 524.28 MU in the previous year. The ferro alloys production stood at 68,596 MTs as against 79,585 MTs in the previous year. Relining works in one of the furnaces was carried out during the year which resulted in production loss. Post relining, the furnace has demonstrated increased availability and reduced specific consumptions. Captive consumption of Power was 292.20 MU as against 331.71 MU in previous year. The above was coupled with low demand of power due to overall sluggishness in economy and prolonged monsoon. As a result the company was able to achieve PLF of 64.52% against PLF of 74.81% in previous year. During 2019-20, the Company exported 41,773 MTs ferro alloys against 69,844 MTs in the previous year valuing Rs.281.11 crore and Rs. 512.19 crore respectively. The fall in export was attributed mainly to trade war and subdued market conditions. However, the company was able to capture the domestic market achieving sales of 26,956 MTs against 10,414 MTs in the PY. During 2019-20, the Company has reported a net profit of Rs. 2.86 crore as against Profit of Rs.5.92 crore in P.Y. The fall in the profit was on account of the production loss because of time taken for overhaul and relining of furnaces. The company has met all its financial obligations on time.

Sarda Energy Limited a wholly owned subsidiary was incorporated as an SPV to put-up 1320 MW super critical IPP thermal power project in Chhattisgarh. As reported earlier, the company has abandoned the project. The funds lying idle with the company have been invested in acquisition of share in Chhattisgarh Hydro Power LLP (CHP LLP) and Madhya Bharat Power Corporation Limited as part of promoters’ contribution. During 2019-20, the company earned a net profit of Rs. 3.27 crore mainly from share of profit from investment in Chhatisgarh Hydro Power LLP as against net profit of Rs. 0.43 crore in the previous year.

Parvatiya Power Private Limited is operating 4.8 MW Loharkhet Hydro Power project in Bageshwar district of Uttarakhand. The Company has supplied 264.03 lakh KWh (Previous Year 217.18 lakh KWh) to the state grid. The Plant has achieved highest ever generation in the current financial year. The plant enjoys debt free operations since financial year 2017-18. The capacity of the Plant is proposed to be enhanced by installing additional unit of 3 MW. The Detailed Project Report has been submitted for approval of Uttarakhand Jal Vidyut Nigam Limited. During the year, the Company has earned profit after tax of Rs. 4.52 crore (Previous Year Rs.2.76 crore). SEML continues to hold 51% stake in PPL.

Madhya Bharat Power Corporation Limited is implementing run of the river 96 MW Rongnichu HEP in East Sikkim. It is a CDM registered project. The construction works of the project are nearing completion. 12.60 kms long underground tunnel has been fully excavated except 13.39 metres left intentionally to be excavated at the end. The concrete lining works is almost complete. Civil works of Barrage and Powerhouse Complex is largely completed. Hydro-Mechanical works of Gate erection and penstock steel lining is underway. Supply of power plant equipments is largely complete and half of erection works have been completed. All transmission line towers have been erected and stringing work is nearing completion. The project commissioning has been delayed due to effect of COVID-19 pandemic on project activities. Now project is expected to be commissioned in next quarter. During 2019-20 the parent entity has infused Rs.153.37 crore in the Company (Rs.95.74 crore by way of equity contribution and Rs. 57.63 crore by way of unsecured loan). The parent entity holds 82.96% stake in the project (73.84% directly and 9.12% through its wholly owned subsidiary Sarda Energy Limited).

Chhattisgarh Hydro Power LLP is operating 24 MW Gullu Small Hydro Electric Project in Chhattisgarh. The Plant has been earning cash surplus from the very first year of its operation. It has generated healthy returns. During 2019-20, the Plant has generated and supplied highest ever 885.39 lakh units (PY 631.13 Lakh units) and has earned profit of Rs.17.46 crore (PY Rs.10.01 crore). The LLP has licenses for implementation of four more small hydel power projects with installed capacity of 97.80 MW. Amongst these, 24.90 MW Rehar-I SHP is in the most advance stage of take-off. Various statutory clearances including Second stage (Final) forest clearance is in place. Pre-construction activities like construction of labour camps, stores and guest house is complete. The civil construction works will kick off after improvement of conditions posed by COVID 19 pandemic. SEML has increased its stake in the LLP to 100%.

Sarda Hydro Power LLP formerly, M/s Sarda Hydro Power Private Limited has been converted into LLP during the financial year 19-20. SEML continues to hold 60% stake in LLP. The LLP is implementing two small hydro projects namely, 24 MW Kotaiveera and 9 MW Ganeshpur, which are under planning and approval stage.

Shri Ram Electricity LLP. was incorporated as a special purpose vehicle (SPV) for setting up a captive thermal power plant of 40 MW in the State of Chhattisgarh. In view of the changed power scenario and cancellation of coal linkage for the power project, the LLP has dropped the project. The entity reported a net profit of Rs.0.12 crore as against net profit of Rs.0.09 crore in the previous year. SEML continues to hold 51% stake in SRELLP. The firm will be dissolved once coal allocation related matters are closed.

Natural Resources Energy Pvt. Ltd is an SPV to carry on the business of development of mines and minerals, generation and trading of power and infrastructure development. The entire share capital of the company is held by the parent entity and its wholly owned subsidiary SMAL.

Raipur Infrastructure Company Ltd. was operating a private Railway Siding in Mandhar, Raipur. As already reported, railways has turned down request of the company for renewal of the existing lease agreement in view of requirement of loopline at the station. The company is pursuing with the Railways for getting refund of Rs. 5 crore deposited as security for siding at Odisha. Your Company holds one third share in the Joint Venture. During the year 2018-19 the Company had incurred net loss of Rs. 3.70 crore as against net profit of Rs. 3.76 crore in the previous year.

Madanpur South Coal Co.Ltd. a SPV was allotted Madanpur South Coal Block in consortium. The Supreme Court had cancelled all coal block allotments. Consequent to cancellation of coal mines, there is no business left in the company and no other activity has been planned. MSCCL holds certain assets, including land, acquired for the project. MSCCL would be wound-up after disposal of these assets. Your Company holds 20.13% in the Joint Venture.