Companies

Neyveli Lignite posts marginal rise in Q4 net

Our Bureau Chennai | Updated on May 28, 2013 Published on May 28, 2013

B. Surender Mohan (left), CMD, Neyveli Lignite Corporation Ltd and R. Kandasamy, Director ( Planning and Projects), at a press conference, in Chennai on Tuesday. - Photo : Bijoy Ghosh   -  Business Line

Overdues from State utilities burden the power PSU

Neyveli Lignite Corporation has reported a nominal increase in net profit for the fourth quarter of 2012-13 as compared with the corresponding period in the previous year.

Net profit increased 1.5 per cent to Rs 614.7 crore (Rs 605.21 crore), on a turnover of Rs 1,653.35 crore (Rs 1,509.92 crore).

Delayed payments from power distribution companies continue to weigh down Neyveli Lignite, according to B. Surender Mohan, Chairman and Managing Director.

Annual results

The overdues amount to about Rs 3,457 crore, with the Tamil Nadu Electricity Board alone owing it Rs 2,728 crore, he said. The balance is owed by other States in the south but these are within normal limits.For 2012-13, the central public sector company has reported a 3.43 per cent increase in net profit to Rs 1,459.75 crore (Rs 1,411.33 crore) on sales of Rs 5,590.07 crore (Rs 4,866.85 crore), Mohan said, addressing media persons.

Its lignite mining capacity across three mines in Neyveli and one in Barsingsar, Rajasthan is 30.60 million tonnes a year and four lignite-based power plants at these locations have a total capacity of 2,740 MW.

The power plant is the latest addition to capacity with 250 MW, which contributed to the 14 per cent growth in turnover, he said.

Neyveli Lignite is also diversifying into coal-based power projects and coal mining overseas.

The company plans to set up a 1,980 MW coal-based power project at Ghatampur, UP, in a joint venture with the State utility. It has also announced plans for a 4,000 MW coal-based thermal power project at Sirkazhi, apart from the 1,000 MW plant planned at Tuticorin, both in TN.

It is seeking allotment of coal blocks to feed these power proposed power plants apart from options for coal assets abroad. It has called for bids and nearly 25 offers have been received.

Renewable Energy

Preliminary work on nearly 80 MW of wind and solar power projects have commenced. It plans to set up a 50 MW wind farm and a 10 MW solar farm each in Neyveli and Barsingsar with an option to double the capacity at Barsingsar.

Published on May 28, 2013
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