NLC India

Neyveli Lignite Corp, the PSU mining lignite and generating power posted very good numbers for Q4 and FY15. Net profit for the quarter came in at Rs.677 crore, up 37% (YoY) though total income was down 2% at Rs.1710 crore.

The consolidated net profit for FY15 increased to Rs 1,580 crore, up 5% (YoY) on a  2% rise in total income at Rs.6088 crore. This was the highest net profit recorded in the company’s history since its inception, 59 years ago. It achieved more than 100% production its lignite mine production and power generation. Typical of PSUs where Govt owns 90% stake, reserves is very healthy at Rs.13,193 crore at end of FY15 and cash balance is at Rs.3578 crore.

The PSU has a lignite capacity of 30.60 MTPA and power generation is at 2990 MW.  Looking ahead, the company is putting up a Lignite mine at Bithnok, linked to a thermal plant with a 250 MW at a cost of Rs.2700 crore. It is also setting up a Barsingsar Thermal Power Station and lignite mine in Hadla at a total cost of #8377;2,628 crore. The PSU is also looking at the option of reviving its lignite mining and power plant at Jayankondam in Tamil Nadu, though on a smaller scale – 500 MW power capacity v/s earlier envisaged 1500 MW.

The company will be soon commissioning two power projects at a total cost of Rs 10,000 crore, taking its total generation capacity to 4,240 MW.