Coal India Ltd. · NSE:COALINDIA
Coal India — Investor Presentation (September 2022)
47 slides from Coal India's investor presentation, Sep 8, 2022
Slide 1: Coal India Limited corporate presentation cover letter
कोल इि डया िलिमटेड Coal India Limited महार कं पनी A Maharatna Company 3 त ला, कोर-2, ेिमसेस-04-एमआर, लॉट-ए एफ- (A Govt.of India Enterprise) III, Regd. Office:3rd floor, Core-2 Premises no-04-MAR, Plot no-AF-III, Action Area-1A, ए शन ए रया-1A, यूटाउन, रजरहट, कोलकाता-700156 Newtown, Rajarhat,Kolkata-7
Slide 2: Committed to fulfil the energy aspirations of the Nation
…Committed to fulfil the energy aspirations of the Nation • Highest ever Q1 Coal Production , Offtake & OB removal in Q1 2022-23 Q1 FY 22-23 Coal India Limited • Highest ever Quarterly PBT , PAT & Net Sales in Q1 FY 22-23 • Growth in Capex for Nine Consecutive Quarters www.coalindia.in www.facebook.
Slide 3: Vision & Mission, Key Value Propositions, Our Genesis
Coal India –Vision & Mission , Key Value Propositions , Our Genesis To emerge as a global player in the primary energy sector To produce and market the planned quantity of coal and coal Mission Vision committed to provide energy security to the country by attaining products efficiently and economica
Slide 4: Location of the Subsidiary Companies
Location ofLocation of theCompanies the Subsidiary Subsidiary Companies A. CIL - Coal Producing Subsidiaries (1) Eastern Coalfields Ltd.(ECL) (2) Bharat Coking Coal Ltd.(BCCL) (3) Central Coalfields Ltd.(CCL) (4) Northern Coalfields Ltd.(NCL) (5) Western Coalfields Ltd.(WCL) (6) South Eastern Coalfi
Slide 5: Key Company Highlights – Record Breaking Q1 22-23
Key Company Highlights – Record Breaking Q1 22-23 Highest ever Q1 Production , Offtake & OBR Highest ever Quarterly PBT , PAT & Net Sales Highest ever Q1 Coal Highest Implementation ever Q1 for mitigation of FireOfftake of and rehabilitation schemes 177.6 of BCCL houses MT inis the Q1responsibility
Slide 6: Key Company Highlights
Key Company Highlights High focus on social, environmental and health & safety initiatives . Organizational Commitment Documented CSR policy . to Sustainable Development Committed to improve on all ESG parameters – CIL’s Business Responsibility & Sustainability Report, 2021-22 is available in our We
Slide 7: Global Primary Energy Consumption
Global Primary Energy Consumption* Share of global primary energy (%) Regional consumption pattern (%) Coal is the second largest fuel for primary energy Coal is the dominant fuel in the Asia Pacific region. consumption. At a global level, Coal remained the dominant fuel for power generation in 2021
Slide 8: Increasing Power Demand in Q1 22-23
PEAK DEMAND (MW) Thermal PLF % (%) 0 50000 100000 150000 200000 250000 30 35 40 45 50 55 60 65 70 75 Apr-20 42 May-20 48 Jun-20 50 Jul-20 52 Aug-20 49 Sep-20 56 Oct-20 56 Nov-20 53 Dec-20 57 Jan-21 61 Feb-21 63 Mar-21 67 FY 21-22 Apr-21 67 May-21 54 Jun-21 55 Thermal PLF Jul-21 57 Aug-21 60 Thermal
Slide 9: Demand for Coal increased: Production and Offtake Trend
Consequently, Demand for Coal increased Coal Production Trend Coal Offtake Trend Offtake (mn tons) Growth YoY (%) Production (mn tons) Growth YoY (%) 70 50% 100 40% 40% Million Tonnes 60 30% Million Tonnes 80 50 30% 20% 20% 60 10% 40 10% 0% 30 40 0% -10% 20 -10% 20 10 -20% -20% 0 -30% 0 -30% Apr-19
Slide 10: EC, FC, Land & PR
EC, FC, Land & PR Environment Clearance (EC) Forest Clearance (FC) • In FY22, Stage-I FC for five (05) no. proposal for 51.42 Ha of • In FY22 20 no. of proposals with incremental EC forest land secured and in Q1 of FY 2022-23, two (2) proposals capacity of 21.94 MTY has been secured of FC (Stage-I)
Slide 11: Railway Lines for Coal Evacuation – Key to Capacity Building
Railway Lines for Coal Evacuation – Key to Capacity Building • In order to have a seamless evacuation system for the projected production, an action plan to enhance and strengthen the infrastructure of coal evacuation for existing, ongoing and future projects of subsidiary companies is in place. Rai
Slide 12: Railway Lines for Coal Evacuation – Under Construction
Railway Lines for Coal Evacuation – Key to Capacity Building Under Construction • Chhattisgarh East Rail Ltd (CERL) - East Rail Corridor in the state of Chhattisgarh – CERL Phase – I – Main corridor between Kharsia to Dharamjaigarh (0-74 KM) commissioned on 21st June’2021. Balance work of feeder lin
Slide 13: Infrastructure Building – First Mile Connectivity
Infrastructure Building – First Mile Connectivity and Other Coal Evacuation Infra Improvement Projects First Mile Connectivity Projects • CIL has taken steps to upgrade the mechanized coal transportation and loading system under 'First Mile Connectivity' projects . • Phase-I: 35 projects of 414.5 MT
Slide 14: Quality Control
Quality Control As per Third Party Sampling results in terms of quantity sampled and analyzed, Grade conformity The difference between weighted average of during the period from Apr’21 to Mar’22 was 66% as declared Gross Calorific Value (with reference to compared to 63% for the same period last yea
Slide 15: Import Substitution
Import Substitution • Under the backdrop of ‘Aatma Nirbhar Bharat’ mandate to promote usage of domestic coal in the country, it has been observed that import of coal in India has reduced substantially. • In the current fiscal, as per the information available in Coal Import Monitoring System(CIMS) i
Slide 16: Cost Control Measures
Cost Control Measures Attrition of manpower: Around 5% reduction in 01 manpower annually for the next 5-10 years (FY22 base of 2,48,550 employees) 03 First mile connectivity & infrastructure creation to reduce costs. Closure of unviable mines: 141 underground mines employ 38% of the workforce wherea
Slide 17: Cost Control Measures – Closure of Unviable Mines
Cost Control Measures – Closure of Unviable Mines Open Cast & Underground Production Open Cast & Underground Manpower 700 200 Coal Production (Mill. Te.) 180 Manpower (in ‘000s) 600 160 500 140 400 120 100 300 80 200 60 40 100 20 0 0 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 15 FY 16 FY 17
Slide 18: Moving towards Clean Coal
Moving towards Clean Coal Coal Gasification Coal Bed Methane Washeries • 4 Surface Coal Gasification (SCG) projects • Tenders floated for 3 projects for CBM • 13 coal washeries, (11 coking coal and 2 non- identified at Shilpanjal Pariyojana in ECL Development through CBMD (Coalbed coking coal) with
Slide 19: Diversification and foray into Renewables
Diversification and foray into Renewables #1 #2 Solar Generation Aluminium Value Chain •Aim to set up 3GW capacity of solar power projects by FY24 • Third party feasibility studies completed •Participated and won 100MW capacity at Rs 2.2/kWh in GUVNL Tender. Project under commissioning . CIL also co
Slide 20: Diversification – Solar Power Generation
Diversification – Solar Power Generation CIL is implementing overall 430 MW (including 100 MW Solar Plant for GUVNL) of ground mounted 1 solar projects and 11.5 MW of rooftop solar projects. Out of 430 MW, CIL is implementing 195 MW in its own land. Work has been awarded for execution of 140 MW SPV
Slide 21: Maximizing Shareholder Value and Returns
Maximizing Shareholder Value and Returns Dividend per Share Payout ratio 18 146% 160% CIL intends to payout maximum dividend post capex out of the cash 16 140% profits 14 78% 120% 12 • CIL is regularly paying considerable dividend to its shareholders. 60% 100% 10 80% • CIL intends to pay free cash f
Slide 22: Coal India's Commitment on Carbon Emission and Climate Change
Coal India’s Commitment on Carbon Emission and Climate Change Despite absolute growth in India’s demand for coal as per the IEA, Coal India is committed to support India’s journey to achieve its Intended Nationally Determined Contributions (INDCs) by 2030 and utilize the opportunity to devise our ow
Slide 23: Carbon Emission and Climate Change – Coal India's Objectives
Carbon Emission and Climate Change – Coal India’s Objectives Support and contribute towards India’s INDCs Reduce emissions in the most cost effective manner to reduce emissions while ensuring India’s energy security Coal India’s Objectives Expedite move towards better, Continue to responsibly play o
Slide 24: How CIL aims to move towards a Net Zero Emission Company
Carbon Emission and Climate Change – How CIL aims to contribute and move towards a ‘Net Zero Emission’ Company • Both for captive and non-captive power requirement. • Higher OBR to improve quality of coal with lower Aim at 3GW of RE capacity by FY24. impurities producing lower pollutants when burnt
Slide 25: Q1 FY 22-23 Results
Q1 FY 22-23 Results Pulkit Kanan Children’s Park at Bina, NCL 24
Slide 26: Q1 FY 22-23 Operational Highlights
Q1 FY 22-23 Operational Highlights Strong performance on all fronts Scripting a new record, CIL achieved highest ever Q1 Coal Production , Offtake & OBR during Q1 FY 22-23 Production Offtake OBR (Raw coal) (Raw coal) 159.8 million tons 177.6 million tons 385.3 Million CuM (124.0 million tons in Q1 2
Slide 27: Q1 FY 22-23 Financial Highlights
Q1 FY 22-23 Financial Highlights CIL achieved highest ever Quarterly PBT , PAT & Net Sales in Q1 FY 22-23 Sales (Net) EBITDA* PBT INR 32,498 crores INR 12,779 crores INR 12,077 crores (INR 23,294 crores in Q1 21-22) (INR 5,279 crores in Q1 21-22) (INR 4,336 crores in Q1 21-22) EPS EBITDA margin Cape
Slide 28: Consolidated Statement of Sales
Consolidated Statement of Sales Q1 FY 22-23 Q1 FY 21-22 Quantity Net sales Avg. realization Quantity Net sales Avg. realization Particulars (million tons) (INR crores) (INR per ton) (million tons) (INR crores) (INR per ton) FSA 153.80 22,188.14 1442.67 127.48 17,771.21 1394.06 E-Auction 20.91 9,074.
Slide 29: Consolidated Financial Performance – Statement of Profit & Loss
Consolidated Financial Performance – Statement of Profit & Loss Particulars Q1 FY 22-23 Q1 FY 21-22 % change (in INR crore) Revenue from operations 35,092.17 25,282.15 38.80% Other income 994.51 680.98 46.04% Total income 36,086.68 25,963.13 38.99% Cost of materials consumed 3,057.33 1,843.75 65.82%
Slide 30: Consolidated Financial Performance – Balance Sheet
Consolidated Financial Performance – Balance Sheet Particulars As at 30.06.2022 As at 31.03.2022 % change (in INR crore) Assets Non current assets Property, Plant & Equipment 42,784.54 42,697.79 0.20% Capital Work in Progress 13,847.94 12,713.73 8.92% Exploration and Evaluation assets 4,507.40 3,873
Slide 31: Consolidated Financial Performance – Balance Sheet
Consolidated Financial Performance – Balance Sheet Particulars (in INR crore) As at 30.06.2022 As at 31.03.2022 % change Equities and liabilities Equity Equity share capital 6,162.73 6,162.73 -- Other equity 46,394.64 36,980.31 25.46% Equity attributable to equity holders 52,557.37 43,143.04 21.82%
Slide 32: Peek into our ESG initiatives
Peek into our ESG initiatives A view of Worked Opencast Mine converted into Water Reservoir. 31
Slide 33: ESG – Committed to continuous improvement
ESG – Committed to continuous improvement Environment initiatives Social initiatives Governance initiatives • Coal evacuation and FMC projects will help • Last year in 2021-22, total injuries (fatalities & serious • With an objective of becoming an efficient and reduce air pollution and environmenta
Slide 34: Environmental Highlights
Environmental Highlights 2826.75 Lakh KL discharged mine water was supplied for In FY 2021-22, out of discharged community use in FY 21-22 and 6047.03 Lakh KL, 89.61% water was 639.58 Lakh KL mine water has utilized for own use and community been shared for community use use and remaining 10.39% is
Slide 35: Social and CSR Initiatives
Social and CSR Initiatives Social Highlights CSR Goals Good Health & Decent work & Female employees working in CIL and 19610 its Subsidiary companies Well Being Clean Water & Economic growth No Poverty Sanitation Remuneration at CIL for Women & Reduce 1:1 Men, focusing on gender equality Gender Equa
Slide 36: Committed to a Cleaner Environment
Committed to a Cleaner Environment Production of Coal by Surface Miners Rail and Road share of Coal Transportation Rail Road Total Production by Surface Miner Total production from Open cast Mines 572 570 597 416 500 600 350 347 Million Tonnes Million Tonnes 400 500 280 313 300 400 269 300 200 115 1
Slide 37: Emissions – Scope 1 & 2
Emissions – Scope 1 & 2 (in tCO2) Scope-1 Emissions (tCO2) Scope-2 Emissions (tCO2) 2021-22 11,92,393 2021-22 37,64,291 2020-21 11,62,727 2020-21 38,45,529 2019-20 10,94,711 2019-20 37,01,252 0 2,00,000 4,00,000 6,00,000 8,00,000 10,00,000 12,00,000 0 10,00,000 20,00,000 30,00,000 40,00,000 Our GHG
Slide 38: Biodiversity Management and Occupational Health & Safety
Biodiversity Management and Occupational Health & Safety PLANTATION WITHIN MINE LEASEHOLD • In 2022-23, CIL has targeted for plantation over 1510 Ha. of land area. AREA(HA) During 2021-22, CIL has planted 30.42 Lakh saplings in an area over 1,468 Ha out of which around 1180 Ha was planted within min
Slide 39: Corporate Social Responsibility
Corporate Social Responsibility Training of 3000 persons in plastic engineering trades through Central Institute of Plastic Engineering & Technology (CIPET) School cum hostel for Divyang children being constructed at Singrauli, MP by NCL Second phase of Thalassemia Bal Sewa Yojana running successful
Slide 40: Notable CSR Projects in recent years
Notable CSR Projects in recent years MCL has constructed Mahanadi Institute of Medical Sciences & Research (MIMSR) at Talcher, Angul district, Odisha which is a 500 bedded hospital cum 100 seater medical college SECL has supported procurement and installation of CT scan machine and 3M Tesla MRI mach
Slide 41: Notable CSR Projects in recent years (Contd…)
Notable CSR Projects in recent years (Contd…) NCL is empowering tribal women of Singrauli through its Small Holder Poultry Project. Women are given financial assistance for poultry shed and buying chicken initially and the units become self- sufficient after 2/3 cycles. The project has helped women
Slide 42: Initiatives to mitigate COVID – 19
Initiatives to mitigate COVID – 19 • CIL and subsidiaries have spent Rs. 734 cr. in total on COVID-19 relief during FY 19-20 to FY 21-22 • CIL had contributed Rs. 221 crores to PM-CARES fund for supporting COVID-19 relief measures. • In addition, Rs. 90 crores in total have been contributed to the d
Slide 43: Initiatives to mitigate COVID – 19 (Contd…)
Initiatives to mitigate COVID – 19 (Contd…) • MCL has funded a 1250 bed COVID hospital in Bhubaneswar for COVID treatment and a 150 bed hospital at Talcher • CIL has converted 100 general beds into ICU beds at Karnataka Institute of Medical Sciences (KIMS), Hubbali, Karnataka • SECL has provided 100
Slide 44: Environmental Highlights
Environmental Highlights CIL undertook extensive plantation along avenues, on OB dumps, around mines & residential colonies to maintain the ecological balance in & around its operations. CIL (HQ) along with its Subsidiaries celebrated Vriksharopan Abhiyaan (VA)-2021 on 19.08.2021 in which more than
Slide 45: Environmental Highlights
Environmental Highlights Dhandadihi Water Treatment Patansaongi, WCL Pisciculture cum recreation site, Plant, ECL Bishrampur OCP of SECL Mine Water discharge from Pipla UG in WCL to Dahegaon benefitting 16,890 local populace Drip Irrigation in Nigahi OC 44
Slide 46: Environmental Highlights
Environmental Highlights A reclamation drive, using grassing/cropping method, was carried out over the external OB dump on an area of 75 Ha in Bhubaneswari OCP during FY 2021-22. The grassing/cropping was carried out by planting and sprinkling red grams bamboo seeds over the OB dump. To promote mine
Slide 47: Thank You
Thank You