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FAQ
| 1. |
What
is the size of the Gujarat NRE group? How big is Gujarat NRE ? |
| Ans: |
Gujarat NRE Coke is a company with a net worth as on 31.03.2009
of Rs.1,162 crores and a turnover in excess of Rs.1500 crores.
The market Capitalisation at BSE as on 30.6.2009 was approx Rs.2,158
crores.
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| 2. |
What
is the promoter's holding in the company? |
| Ans: |
The promoters
hold 45.56 % of the equity as on 31.03.2009.
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| 3. |
What
is the holding of FII, Mutual Funds & Financial Institutions/Banks
in the company as on 31.03.2009? |
| Ans: |
Foreign Financial Institutions
have long identified the company as a mid-cap with a very bright
prospect on the upside and have invested accordingly. As on 31.03.2009,
the FII investment in the company is for 8,12,13,820 shares which
translates to 17.21% of the equity. Mutual Funds & Financial
Institutions/Banks hold 64,71,418
shares comprising 1.37% of the
equity.
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| 4. |
What
is the holding of individuals in the company as on 31.03.2009? |
| Ans: |
Individuals hold 12,01,49,784
shares as on 31.03.2009 which translates to 25.46%
of the equity signifying the confidence enjoyed by the Company
from indivudual investor.
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| 5. |
What
is LAM Coke? |
| Ans: |
LAM Coke is Low Ash Metallurgical
Coke (LAMC), which is charecterised by very high calorific value
and low ash content among others. LAMC is produced by burning
low ash coking coal in the absence of air. LAMC is a critical
component for the manufacture of steel and is used in blast furnaces
to aid the process of iron ore smelting into steel.
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| 6. |
Which
industry segment does the company belong to? |
| Ans: |
In India typically LAMC is produced by integrated steel plant for
their captive consumption. There are a few non captive producers,
of which GNCL is the largest producer in the non captive sector
in the country and is the only listed entity in the segment. Being
one of its kind, it is generally included I the other manufacturing
segment. Considering the mines the company owns in Australia and
the basket of minerals it is prospecting, the company should be
termed as a "Resource Entity" albeit, with the primary focus on
LAMC.
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| 7. |
Where
are the company's plants and mines located? |
| Ans: |
Gujarat NRE Coke's operations are spread
over :
|
In
India
| Coke
Batteries : |
| Khambhalia,
Gujarat |
0.358
MMTPA |
| Bhachau,
Gujarat |
0.324 MMTPA |
| Dharwad,
Karnataka (BNCL) |
0.324 MMTPA |
Total
Capacity |
1.006
MMTPA |
| Under
Commissioning |
| Dharwad,
Karnatakat |
0.248 MMTPA |
| Coal
Washery : |
| Khambhalia,
Gujarat |
0.750
MMTPA |
| Bhachau,
Gujarat |
0.750 MMTPA |
Total
Capacity |
1.500
MMTPA |
| Steel
Plant : |
| Bhachau,
Gujarat |
0.311
MMTPA |
Total
Capacity |
0.311
MMTPA |
| Power
Project : |
| Wind
Mill |
87.5
MW |
Total
Capacity |
87.5 MW |
| Under
Commissioning - Waste Heat |
| Dharwad,
Karnataka |
30 MW |
| Khambhalia,
Gujarat |
15 MW |
| Bhachau,
Gujarat |
15 MW |
Total
Capacity |
60 MW |
|
In
Australia (through subsidiaries)
| Coal
Mines : |
Resources
of hard Coking Coal (NSW Australia)
|
560 MMT |
| NRE
No1 Colliery, New South Wales, Australia |
300 MMT |
| NRE
Wongawilli Colliery, New South Wales, Australia |
260 MMT |
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| 8. |
What
is the composition of the Company's Board of Directors? |
| Ans: |
The
company is managed by a professional board of directors under the
leadership of Mr Arun Kumar Jagatramka, Chairman and Managing Director.
The other members of the board are:
Ms Mona Jagatramka, Director
Mr Subodh Kumar Agrawal, Director
Mr Chinubhai R Shah, Director
Dr Basudeb Sen, Director
Dr Mahendra Kumar Loyalka, Director
Mr S Murari, Director
Mr R P Jain, Executive Director
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| 9. |
Is
the company's performance linked to the Steel Cycle? If so, how
does the company hedge itself? |
| Ans: |
While the company's products
are indeed linked to the steel cycle, the major customers are
soda ash plants and foundries. Thus, while the company enjoys
the fruits of an upswing in the steel cycle, it is naturally hedged
against the downside. This unique feature ensures that the performance
of the company does not swing to extremes.
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| 10. |
With increasing
concerns about global warming, is the company's business
threatened? |
| Ans: |
Global
warming is caused, to a very great extent by the burning of fossil
fuels, like petroleum and thermal coal. Thermal coal is low quality
and with high ash contents, primarily used in coal fired electricity
plants.
On the other hand the company's
product LAMC, because of its unique nature, is a cleaner option
to the fossil fuels, and in fact actually helps in reduction of
carbon emission because of its efficiency as compared to fossil
fuels. Hence the global warming concerns is not a business threat.
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| 11. |
Why
has the company purchased ships? |
| Ans: |
GNCL has not purchased any ships, what it has done is that it
has taken ship on long term time charters. Gujarat NRE is dependent
on imported coking coal for manufacturing LAMC, and going forward
has to regularly ship raw materials from its own mines in Australia
to the production units in India. As such, the move into vessel
time charters is aimed at not only to ensure supply stability
but also to hedge against the fluctuations in the freight market.
Besides, the logistical benefits of in house vessels are obvious.
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| 12. |
What
are the future plans of the company? |
| Ans: |
To become a global resources company.
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| 13. |
When will the communication
for final dividend payout @ 25% for the year 2007-08 and an issue
of Bonus Shares at the rate of 2 Shares of every 5 Shares as per
the record date? Please clarify.
|
| Ans: |
Please note that the payment of Final Dividend
would be made after the same is approved by the members at the
AGM convened to be held on 17th Sept,08. Further, please also
note that the record date for bonus issue would be decided by
the Board only after it is approved by the members at the AGM.
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14. |
What
is the rate of Final Dividend and when will members receive the
same?
|
| Ans: |
Final dividend has been recommended at
the rate of Rs.2.50 per share and its payment would be made
within 30 days of its approval by the members at the AGM
convened to be held on 17th September 2008.
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| 15. |
What
is the ratio of Bonus Issue and when is the Record Date for Bonus
Issue?. |
| Ans: |
Bonus issue has been recommended at the
rate of 2 Shares for every 5 shares held. Its record date would
be decided by the Board after the members approve this Bonus
issue at the AGM convened to be held on 17th September 2008.
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| 16. |
Record
date of Right issue of DVR and the shares will be counted after
bonus or pre bonus? |
| Ans: |
Please note that presently postal ballot
exercise has been undertaken for taking shareholders approval
to issuance of DVR shares. This exercise would be over by middle
of November. Thereafter, the Board would decide on its issue
and fix the record date. Please also note that the proportion
of issue of DVR share would be ascertained on post bonus
capital.
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| 17. |
What
is the cutoff date for postal ballot to the entitled shareholders
for DVR issue, i.e. the date that the company will decided which
shareholders can get the postal ballot forms and thus participate
in the postal ballot? |
| Ans: |
Please note that 19th September, 2008
was taken as cut-off date for deciding the shareholders who would
be entitled to receive postal ballot forms and the forms have
already been despatched to such shareholders.
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| 18. |
Transfer of all dividends to my bank account? |
| Ans: |
You are requested to have the following
details registered with your Depository Participant so that the
data gets updated in the records of NSDL and you start receiving
dividends directly in your bank account.
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| 19. |
I
have still not received the Annual Report for 2007/08? |
| Ans: |
We had already sent the Annual Report
for 2007-08 to all our shareholders sometime back. You can
also get the Annual Report from our website site or by clicking
the following link http://www.gujaratnre.com/annual.html.
We would request you to please have your address
updated with your Depository Participant in case there is any
recent change in your address.
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| 20. |
Are
Gujarat NRE Minerals Limited (which is listed in ASX) and Gujarat
NRE Mineral Resources Limited different companies? I am little bit
confused. |
| Ans: |
Gujarat NRE Mineral Ltd is an Australian
Company listed in Australian Stock Exchange and Gujarat NRE Mineral
Resources Ltd is an unlisted Indian Company.
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| 21. |
What
is the working/progress of GNMRL? |
| Ans: |
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| 22. |
Repeated
questions by shareholders on different dates & issues? |
| Ans: |
Please appreciate that we have more than
1 lac shareholders and can’t respond to multiple emails
from a single shareholder. It would be appreciated if you
send us a single email with your consolidated queries, since
most of the information is part of public domain available through
various notices and announcements made by the company.
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| 23. |
When
Dividend for 2008-09 will be paid? |
| Ans: |
Dividend for the year 2008-09 has been
recommended by the Board at its meeting held on 27th June, 2009.
This is subject to the approval of the shareholders at the AGM
to be held on 19th September, 2009. The dividend would be paid
after 19th September, 2009.
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| 24. |
Clarification
on bonus issue of B equity shares as per announcement by the Company
in Sep'09 |
| Ans: |
Board of Directors at its meeting to
be held on 19th September, 2009 would consider and decide on the
proposal for issue of “B” Equity Shares of Rs.10 each
(Shares carrying lower voting rights) to the shareholders of the
Company. The record date (i.e. date for identifying the shareholders
who would be eligible for such bonus shares) would be fixed only
after it is decided by the Board at its meeting to be held on
19th September, 2009.
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| 25. |
What
is the meaning of ‘B’ shares? |
| Ans: |
Please note that B Equity Shares of the
Company are equity Shares with differential voting rights i.e.
100 B Equity Shares of the Company would carry 1 voting right
as compared to 1 Equity Share carrying 1 voting right. Apart from
this, "B" Equity Shares would be pari-passu in all respect
with the existing equity shares of the Company.
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| 26. |
What
is the Status of DVR Shares or record date of DVR bonus 08-09 and
when it will be credited? |
| Ans: |
Please note that the bonus issue of "B"
Equity Shares (Equity Shares with Differential Voting rights)
of the Company as recommended by the Board at its meeting held
on 19.9.2009 and approved by the shareholders through postal ballot
as per its results declared on 16th November, 2009 was subject
to certain exemptions from Securities & Exchange Board of
India to enable the company to list those shares. We are pleased
to inform you that the Company has received the requisite exemptions
and accordingly, the Board has fixed Friday, 7th May, 2010 as
record date for the bonus issue of "B" Equity Shares.
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| 27. |
Let
us know about DVR shares announced by the company and is that also
to be listed? |
| Ans: |
Please note that the bonus issue of 1
"B" Equity Share comprises of issue of equity shares
with differential voting rights (lower voting rights to be specific).
Apart from differential voting rights (i.e. 100 "B"
Equity Shares would carry 1 voting right instead of 1 Equity Share
carrying one voting right) all other rights of "B" Equity
Shares are similar to the Equity Shares of the Company i.e. they
would carry the same dividend rights etc. Presently a record date
has been fixed by the Board of Directors on 7th May, 2010 for
ascertaining the entitlement rights and after the record date
these shares would be allotted and the procedure for its listing
would be complied. These shares would be listed at Bombay Stock
Exchange and National Stock Exchange and they would carry separate
ISIN.
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| 28. |
What
is dvr bonus issue and dvr bonus share have any new isin number
or not and when i receive bonus shares? |
| Ans: |
Please note that DVR shares are shares
with differential voting rights. In the case of our Company, we
are issuing B Equity Shares which are DVR shares with lower voting
rights i.e. 100 B Equity Shares will carry 1 voting right as bonus
shares to the equity shareholders of the company. These B Equity
shares would carry new ISIN number and would be traded separately
at Stock Exchanges. These B Equity Shares of the Company would
be listed at Bombay Stock Exchange and National Stock Exchange
of India Ltd once all the formalities are complied with.
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| 29. |
Please
let me know about GNML AND GNMRL? When GNMRL will be listed? |
| Ans: |
Please note that there are two difference
companies, one in the name of Gujarat NRE Mineral Resources Ltd
which is an Indian Company and one in the name of Gujarat NRE
Coking Coal Ltd (earlier known as Gujarat NRE Minerals Ltd) which
is an Australian Company. Please also note that the shares of
the Australian Company i.e. Gujarat NRE Coking Coal Ltd are listed
at Australian Stock Exchange and the Indian company i.e. Gujarat
NRE Mineral Resources Ltd is unlisted company. It appears from
your mail that you have acquired the shares of Gujarat NRE Mineral
Resouces Ltd., the Indian Company.
With regard to your query on IPO of Gujarat NRE
Mineral Resources Ltd., please note that we are actively considering
listing of GNMRL soon given the all round appreciation in its
asset valuations achieved. For regular updates, please visit our
website www.gujaratnre.com/GNMRL/Index.html
In case you are holding shares in Gujarat NRE
Mineral Resources Ltd., presently there is no lock in on these
shares. However, the same shall be subject to the lock in requirements
of SEBI Regulations once the Company goes for an IPO and lists
its shares.
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