HEVL to set up bio-fertilizers plant

Jan 26: 8Hindusthan Eco Ventures Limited (HEVL), a contract farming company, has decided to set up a plant for manufacture of bio-fertilizers and bio-pesticides in Tamilnadu.
 8The company is aiming to commission the proposed Rs 13.93 crore plant in December 2012. The plant would be set up by HEVL’s wholly owned subsidiary named Basarass Bio Con (India) Private Limited.
 8The company has disclosed this in its draft Red Herring Prospectus filed with the Securities and Exchange Board of India (SEBI).
 Visit our report section for the details.

DFPCL’s fertilizer business excels in Q3

Jan 26: 8Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL) has boosted the profit before interest and tax (PBIT) of its fertilizers business by 574% to Rs 28.65 crore in Q3 (Oct-Dec 2011) of current financial year from Rs 4.25 crore in the corresponding period of previous year.
 8This performance was facilitated by strong growth in the sale of both in-house manufactured and outsourced fertilizers.
 8A company release says: “own manufactured fertilisers recorded 155% growth from Rs. 48.79 crores in Q3, FY11 to Rs.124.64 crores in Q3 FY 12, aided by improved phosphoric acid availability. The overall fertilisers business, including outsourced fertilisers, grew 130% from Rs. 120.27 crores in Q3 FY11 to Rs. 276.40 crores in Q3 FY12. The specialty fertilisers business, which includes water solubles, bio-fertilisers, micro nutrients, etc., also grew 25% for Q3 FY12 over Q3 FY11.”
 8The release quoted DFPCL Vice Chairman and Managing Director Mr. Sailesh Mehta as saying “Our growth in the own-manufactured fertilisers business should propel us to move forward strongly in this sector.”
 Visit our reports section to view DFPCL’s results and release.

CIL’s Q3 net slides despite robust growth in sales

Jan 26: 8Coromandel International Limited (CIL) has suffered 11.13% decline in net profit in spite of 24.57% growth in net sales during third quarter of current fiscal.
8An erroneous comparison of Q3 results with the performance during previous quarter led to a wrong analysis on this website on 23 January.
8CIL suffered only 11.13% decline in its net profit to Rs 133.56 crore in Q3 (Oct-Dec 2011) of current financial year from Rs 150.29 crore in the corresponding period of previous year
 According to the stand-alone results, net sales shot up to Rs 2550.09 crore from Rs 2047.07 crore.

Sale of defunct ammonia-urea plant by FACT runs into trouble

Jan 24: FACT's deal for sale of its defunct ammonia-urea plant for Rs 33.50 crore to Annam Steels Pvt Ltd after a bidding process seems to have run into trouble.
 8A letter from Padma Cargoes & Fertilizers claiming that the bid was highly undervalued set the cat among the pigeons.
 8Based on the complaint, FACT stayed the deal with Annam, forcing the latter to file a writ in the High Court.
 8Subsequently, a letter was received from J3 Vision, offering a minimum of Rs 45 crore for the plant.
 8A legal opinion obtained by FACT made it clear that the agreement with Annam Steels was a completed contract and it would be illegal to back out at this juncture
 8The High Court subsequently asked the FACT management to take a decision either to award the contract to Annam or cancel it.
 8No decision has been taken as of date.
 Click on Details for more   Details

Offer to set up a power plant: FACT doesn't know how to deal with it

Jan 24: The FACT board is at a loss on how to deal with an offer from Delhi-based Inden Technologies Pvt Ltd for 100 acre of land from within the company's campus to set up a 2x 680 MW at Kochi. They require 100 acres of land for the said project close to the source of gas in Udyogamandal area.
 8The lease rent offered is Rs 1.2 crores per acre for a 30 year lease period ie A total of Rs 120 crores for 100 acres of land. For higher lease periods of 45 and 60 years the possibility of increased lease rents at Rs 1.44 crore per acre and Rs 1.74 crore per acre respectively is also indicated.
 850% of the total land value would be payed by them on completion of all legal formalities for transfer/lease of 100 acres of land in their favour. The balance 50% of the total value of land is to be converted as FACT''s share of equity in the project indicated as equivalent to 2.5%.
 8FACT is not really clear how to deal with the offer. Doing a deal on a nomination basis with a private company is likely to raise eyebrows. The JV concept will also have to go through adequate due diligence.
 Click on Details for more.   Details

MOEF refers two SSP projects to States for consideration

Jan 24: 8The Ministry of Environment and Forests (MOEF) might well fully delegate the responsibility for environmental clearance of single super phosphate (SSP) projects to the states, if its stance in two recent cases is any indication.
8At its meeting held last month, a project appraisal committee of the ministry decided the expansion projects of Liberty Phosphate Ltd and Madhyabharat Phosphate Private Limited should be considered by respective State Level Level Environment Impact Assessment Authority (SEIAA).
8It took this decision citing relevant procedure under the Environment Impact Assessment notification.
 Visit our reports section for the details.

ONGC seeks EOIs for Urea JV in Tripura

Jan 24: 8Oil and Natural Gas Corporation (ONGC) has invited expression of Interest (Eol) for setting up a joint venture urea project in Tripura.
 8In its notice soliciting EOIs, ONGC says it, along with Tripura Government, is exploring the possibility of this gas-based fertilizer project. “Subject to allocation by Government, approx. 3.0 MMSCMD of Natural Gas is projected to be available as feed stock on long term basis from the Year 2016-17 onwards at Khubal in Tripura about 145 km North-East of Agartala along NH-44,” it adds.
 8The last date for submission of EOIs is 7 February. After processing responses to EOIs, ONGC intends to short-list prospective partners for next round of selection.
 Visit our reports section to EOI invitation.

MFL update

Jan 23: For reference purposes, the website carries here the full performance profile of Madras Fertilizers Ltd for the month of November, 2011.
8The information is provided in terms of performance for the month and cumulatively from April, 2011.
8The data includes detailed production and sales performance in relation to target.
8Also given are energy consumption parameters and detailed financial performance
 Click on Details for more.   Details

SIIL records marginal rise in its Q3 phos acid profit

Jan 23: Sterlite Industries (India) Limited (SIIL) has marginally increased the profit before interest and tax (PBIT) of its phosphoric acid segment to Rs 30.76 crore in the third quarter (October-December 2011) of current financial year from Rs 29.29 crore in the corresponding period of previous year.
8This segment improved its sales to Rs 234.46 crore from Rs 224.70 crore.
8SIIL produces sulphuric acid and downstream phosphoric acid at its copper smelter complex at Tuticorin in Tamil Nadu. It sells a part of sulphuric acid output to fertilizer and chemical companies and uses the balance output for production of phosphoric acid which is then sold to fertilizer plants.
 Click our reports section to access SIIL’s results.

Coromandel Q3 net profit plummets 52%

Jan 23: 8Coromandel International Limited (CIL) has suffered a 52.09% decline its net profit to Rs 133.56 crore in the third quarter (Oct-Dec 2011) of current financial year from Rs 278.82 crore in the corresponding period of previous year.
 8Though the company did not give any reason for this downslide, it is obviously due to decline in both the net sales and other operating income during the period.
 Click our reports section to view CIL results.

PDIL update (December, 2011)

Jan 22: 8The website carries here the information related to physical performance, business development and financial results of various divisions of PDIL for the month of December, 2011.
 8PDIL secured a total business of Rs 6.39 cores in December, 2011. The main jobs were consultancy services for raw water pumping facilities worth Rs 0.93 crore. The other jobs involve detailed engineering services for feedstock conversion from naphtha to gas for an oxo-alcohol plant at Andhra Pradesh and consultancy services for capacity enhancement in Ammonia-II and Urea-II plant at NFL Vijaipur.
 8Also enclosed is the production and financial performance of the company and the utilization of plan outlay during the 11th five year plan (2007-12) and closing stocks of catalysts as on 31.11.2011.
 Click on the reports section for more   Details

Production data: January, 2012

Jan 22: For reference purposes, the website carries here a sample copy of production of urea, DAP and complexes.
 The data is provided in the following manner:
 8Name of plant
 8Production target for January, 2012.
 8And Production up to the target date.
 Click on Details for more information.   Details