NLC India Limited A “Navratna” – Government of India Enterprise
Corporate Presentation October - 2020
NLC India Limited Corporate Presentation October 2020 1 Disclaimer
This presentation is for distribution only under such circumstances as may be permitted by applicable law. It is published solely for information purposes, it does not constitute an advertisement and is not to be construed as a solicitation or an offer to buy or sell any securities or related financial instruments of NLC India Limited (the “Company” or “NLCIL“) in any jurisdiction. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the future proposals , strategies and projections referred to in the report. This presentation does not constitute a prospectus, offering circular or offering memorandum or an offer, or a solicitation of any offer, to purchase or sell, any shares and should not be considered as a recommendation that any investor should subscribe for or purchase any of the Company’s equity shares. Securities of the Company may not be offered or sold in the United States absent registration under the U.S. Securities Act of 1933, as amended, or an exemption from the registration requirements of that Act. Any public offering or sale of securities of the Company to be made in the United States will be made by means of a prospectus that may be obtained from the Company or the selling security holder and that will contain detailed information about the Company and its management, as well as financial statements. NLCIL does not undertake that investors will obtain profits, nor will it share with investors any investment profits nor accept any liability for any investment losses. Investments involve risks and investors should exercise prudence in making their investment decisions.
The report should not be regarded by recipients as a substitute for the exercise of their own judgment. Past performance is not necessarily a guide to future performance. The value of any investment or income may go down as well as up and investor may not get back the full amount invested. Any opinions expressed in this report are subject to change without notice and may differ or be contrary to opinions expressed by other business groups of NLCIL as a result of using different assumptions and criteria. This presentation report may contain certain “forward- looking statements”. These forward-looking statements generally can be identified by words or phrases such as “aim”, “anticipate”, “believe”, “expect”, “estimate”, “intend”, “objective”, “plan”, “project”, “shall”, “will”, “will continue”, “will pursue” or other words or phrases of similar import, in each case, their negative or other variations or comparable terminology or discussions statements that describe strategies, objectives, plans or goals.
All forward-looking statements are subject to risks, uncertainties and assumptions about us that could cause actual results to differ materially from those contemplated by the relevant statement. These forward looking statements are based on our current plans and expectations. Actual results may differ materially from those suggested by the forward-looking statements due to risks or uncertainties associated with our expectations with respect to, but not limited to, regulatory changes pertaining to the industries ability to respond to them, our ability to successfully implement our strategy, our growth and expansion, technological changes, our exposure to market risks, general economic and political conditions which have an impact on our business activities or investments, the monetary and fiscal policies of India, inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices, the performance of the financial markets in India and globally, changes in Indian laws, regulations and taxes and changes in competition in our industry etc. These forward-looking statements include all matters that are not historical facts. They appear in a number of places throughout this presentation and include statements regarding the Company’s intentions, beliefs or current expectations concerning, amongst other things, its results or operations, financial condition, liquidity, prospects, growth, strategies and the industry in which the Company operates. No representation, warranty or undertaking, express or implied, is made or assurance given that such statements, views, projections or forecasts, if any, are correct or that the objectives of the Company will be achieved
NLCIL reserves the right to alter, modify or otherwise change the presentation without notifying any person of such changes or revision. Neither the author or NLCIL shall be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any reliance placed or guidance taken from this presentation report. Further, NLCIL is under no obligation to update or keep current the information contained herein. The disclosures contained in this presentation report produced by NLCIL shall be governed by and construed in accordance with laws of India. NLCIL specifically prohibits the redistribution of this material in whole or in part without the written permission of NLCIL and NLCIL accepts no liability whatsoever for the actions of third parties in this respect. Images may depict objects or elements which are protected by third party copyright, trademarks and other intellectual property rights. All rights reserved. The Company, as such, makes no representation or warranty, express or implied, as to, and does not accept any responsibility or liability with respect to, the fairness, accuracy, completeness or correctness of any information or opinions contained herein. The information contained in this presentation, unless otherwise specified is only current as of the date of this presentation. The Company assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis of any subsequent development, information or events, or otherwise. This presentation has been prepared based on the information available in the public domain and internal management information and estimates. The information contained herein is subject to change without notice. Past performance is not indicative of future results. This document has not been and will not be reviewed or approved by a regulatory authority in India or by any stock exchange in India.
NLC India Limited Corporate Presentation October 2020 2 Contents
1 Company Overview & Performance Highlights
2 Financial & Operational Performance
3 Market Opportunity
4 Growth Plans
5 Corporate Social Responsibility
NLC India Limited Corporate Presentation October 2020 3 1 Company Overview & Performance Highlights
NLC India Limited Corporate Presentation October 2020 4 NLC India Ltd | Introduction
A ‘Navratna’ CPSE incorporated in 1956. Under the administrative control of Ministry of Coal Paid up Equity Share Capital - Rs. 1,386.64 Crore (GoI holding – 79.20% as on 31.10.2020) Mining , Power Generation and Trading of Power Regional Presence to National Level Presence Advanced Technology
Robust Financial Performance in Revenue, Profit and Net worth. Highest domestic credit rating . Consistent track record of Dividend. Skilled Manpower
Present Composition of Board – Total 11 Directors (6 Functional Directors including CMD, 2 Government Nominee and 3 Independent Directors).
Government of India has sanctioned totally 16 directors, but the present composition of the board is 11.The vacancy of 5 Independent Directors including 1 Woman Director
NLC India Limited Corporate Presentation October 2020 5 Vision & Mission
Vision: To emerge as a leading Mining and Power Company, with social responsiveness accelerating Nation’s growth
Continue to develop and sustain expertise in Power and Mining with focus on growth and financial strength
Be socially responsive, achieve sustainable development and be sensitive to emerging environmental issues Mission Strive to achieve excellence in processes and practices
To nurture talent, encourage innovation and foster collaborative culture
N- National Orientation
L – Learning and Development Values C- Commitment for Excellence
I – Innovation and Speed
NLC India Limited Corporate Presentation October 2020 6 Evolution & Key Milestones
TN Solar 200 MW
TPS II TN Solar 709 MW Mine II : Formation Expn : Wind 51 of NLC Received 500MW Andaman Solar Mine I : 10.5 MTPA Listed on MW Tamil Nadu Navratna BESS 2.5 MW 6.5 MTPA NSE Solar : 10 Power Status TPS II : 1470 MW Solar 130 *500 MW of MW Limited MW NNTPS NTPL : 1000MW TPS-I - 150MW retired
1956 1970 1994 2003 2010 2012 2016 2018 2020
1962 1993 2000 2005 2011 2015 2017 2019
Started Allocation of Mine I A : 3 Solar 300 Productio Mine II Coal Blocks MW MTPA Barsingsar n of Coal Expn : 4.5 Pachwara (TN)) TPS : 250 South (11.0 (Talabira)^ MTPA Solar 1.06 TPS 1 Listed on Mine I Expn : MW MTPA)- for **TPS-I - Incorporation MW –Roof BSE 4 MTPA NUPPL 350 MW 600 MW Barsingsar Top Formation retired Mine : 2.1 Talabira II & TPS-I ( Unit- TPS I Expn : of NUPPL Andaman MTPA III (20 MTPA) 7) 100 MW 420MW 17.5 MW for NLC retired Solar
* Unit – I (500 MW) out of 1000 MW of NNTPS commissioned on 28.12.2019 ^Coal Production for Talabira Project started on 26th April 2020. Achievement of Full Capacity expected by Jan 2027 * TPS –I fully decommissioned on 30.09.2020
NLC India Limited Corporate Presentation October 2020 7 Pan India Presence
Barsingsar, Rajasthan Ghatampur, Uttar Pradesh Neyveli, Tamil Nadu
Mines Neyveli Uttar Pradesh Corporate Office Power Limited (JV with TPS Uttar Pradesh Rajya Lignite Mines Vidyut Utpadan Nigam Mine I Ltd) Mine IA Mine II New Delhi
Barsingsar Power Stations Lucknow TPS I* Mines TPS I Expn Pachwara Ranchi Kolkata TPS II Jharkhand Talabira, Odisha TPS II Expn Tirunelveli, Tamil Nadu Mumbai Bhubaneshwar NNTPS # * Hyderabad Mines Wind & Solar Renewable Energy Andaman Solar
Bangalore Chennai Solar Neyveli Tuticorin, Tamil Nadu Tirunelveli Virudhunagar, Tamil Nadu NTPL (JV with Tamil Nadu Tuticorin Ramanathapuram, Tamil Nadu Generation and Distribution Solar Solar Corporation Limited)
Solar Registered Office Liaison Offices Project Liaison Offices
Note:- Map not to scale; TPS = Thermal Power Station. # Unit -1 commissioned on 28th Dec 2019 and Unit – II is under construction. * TPS 1 fully decommissioned on 30.09.2020
NLC India Limited Corporate Presentation October 2020 8 NLCIL’s Core Business
Mining Power Generation Capacity
Total Mining Capacity – 50.60 MTPA* Thermal Power Station – Capacity 3,140MW*
1,470
20
500 500 420 250 15.00
TPS I Exp TPS II TPS II Exp BTPS NNTPS Power Mining 10.50 Generation Renewable Energy Capacity 1421.06 MW*
1,370.06
3.00 2.10
Mine I Mine IA Mine II Barsingsar Talabira 51 Mine (Coal)**
Wind Solar Note : Source from NLCIL Annual Reports and figures representing NLCIL Standalone financial statements *Existing Capacity as on 31.10.2020 . All units of TPS-I were retired on 30.09.2020 ** Coal Production for Talabira Project started on 26th April 2020. Achievement of Full Capacity expected by Jan 2027
NLC India Limited Corporate Presentation October 2020 9 Details of Investments in Various Assets
Rs in Crore Segment wise Net Fixed Assets
8,711
5,968
4,819
3,391 3,172 3,326
302 300
2018-19 2019-20
Mines Thermal Renewable Others
Note : Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone; NLC India Limited Corporate Presentation October 2020 10 Strong In-House Capabilities
Expertise in Open Cast Mining & Power Lignite Resources for Nodal Agency for Generation Captive Consumption Lignite Mining
Mining Captive fuel source with power plants Nodal Agency for Lignite database located at the pit heads of Lignite appointed by Ministry of Coal Long experience in operation, maintenance and project mines management in open- cast mining Market share * of 59.04 % in Lignite Greater flexibility in terms of adjusting mining in India during FY 2019-20 as Asset bank of specialised mining equipments for open the lignite production to adjust for compared to 54.72% in FY 2018-19 cast mining: variations in power demands and German excavation technology power generation at thermal power 31 Bucket Wheel Excavators plants Conveyor length – 103.41 KMs Out of total measured lignite reserves of 6969.10 (Proved) MT in India as on Power Generation 01.04.2020, Neyveli lignite field, Barsingsar, Bithnok and Hadla of Experience in operating lignite based thermal power NLCIL accounts for 3248.72 MT.* station. Average Thermal PLF of NLCIL is higher than All India average Thermal PLF. Company has crossed 1 GW of renewable energy, which is highest ever achieved by any CPSE.
*Source : Geological Survey Report (provisional) as on 01.04.2020.
NLC India Limited Corporate Presentation October 2020 11 Experienced Management and Board of Directors as on 31.10.2020
Shri Rakesh Kumar, Chairman-cum-Managing Director
Shri Vinod Kumar Tiwari Shri S K Prabakar Part-time Official Additional Secretary, Principal Secretary Director Ministry of Coal, GoI. Govt. of Tamil Nadu
Shri R. Vikraman, Shri N.N.M.Rao, Director (Human Resource) Director (Planning & Projects)
Shri Shaji John Functional Directors Shri Prabhakar Chowki Director (Mines ) Director (Power)
Shri Jaikumar Srinivasan Director (Finance)
Dr P.Vishnu Dev, Shri N.K.Narayanan Namboothiri Independent Director Independent Director
Independent Directors Dr.V.Muralidhar Goud Independent Director
NLC India Limited Corporate Presentation October 2020 12 Note : Composition of the board as on 30.06.2020 2 Financial & Operational Performance
NLC India Limited Corporate Presentation October 2020 13 Financial Performance
Total Income (Rs in Crore) EBITDA* & EBIT* (Rs in Crore)
9,327 9,083 9,133 3,987 709 3,647 651 8,059 3,307 372 373 1,275 3,186 3,028 7,177 962 517 2,786 2,561 554 579 2,503 401 8,246 8,059 1,808 7,341 6,222 6,518 1,166
2015-16^ 2016-17 2017-18 2018-19 2019-20 2015-16 ^ 2016-17 2017-18 2018-19 2019-20 Power Mine Other EBITDA EBIT # PBT & PAT (Rs in Crore) Key Financial Ratios
2,641 2015-16^ 2016-17 2017-18 2018-19 2019-20 2,369 2,154 2,136 2,205 OPM* (%) 32.91 39.12 36.60 21.47 35.04 1,849 NPM (%) 3.18 25.40 20.35 15.72 15.48 1,414 1,267 950 ROCE (%) 1.69 18.95 12.16 8.28 5.98
RONW (%) 1.79 19.66 14.07 10.22 11.30 228 Current Ratio 1.70 1.41 1.39 1.57 1.83 2015-16^ 2016-17 2017-18 2018-19 2019-20 Quick Ratio 1.47 1.15 1.20 1.35 1.63 PBT PAT ^ Restated as per Ind AS * EBITDA, EBIT & OPM computed considering Net Movement in Regulatory Expenses / Income and without considering Exceptional Item. # PBT considering Net Movement in Regulatory Deferral Income / Expenses. Note : Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone;
NLC India Limited Corporate Presentation October 2020 14 Financial Performance
Networth & Loans Outstanding (Rs in Crore) Credit Ratings (Long Term Borrowings)
Net Worth Loans Outstanding Agency Rating Status
CRISIL AAA/Stable Highest
ICRA AAA/Stable Highest
CARE AAA/Stable Highest
16,780 13,166 Brickwork AAA/Stable Highest 8,720 6,959 3,540 India Rating AAA/Stable Highest
Credit Ratings ( Commercial Paper)
12,721 12,047 13,136 12,394 12,512 Agency Rating Status CARE A 1+ Upper Medium 2015-16 ^ 2016-17 2017-18 2018-19 2019-20 ^ Restated as per Ind AS India Rating A 1+ Upper Medium
On 29.05.2019, the company has allotted 14,750 Nos of bonds of Rs.10 Lakh each aggregating to Rs.1,475 Crore at a coupon rate of 8.09%. On 27.01.2020 the company has allotted 5,250 No's of bonds of Rs 10 Lakh each aggregating to Rs 525 Crore at a coupon rate of 7.36%. On 31.07.2020 the company has allotted 5,000 No's of bonds of Rs 10 Lakh each aggregating to Rs 500 Crore at a coupon rate of 5.34%. The company has issued commercial paper on various dates and outstanding amount of commercial paper as on 31.10.2020 is Rs.4000 crore
Note : Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone
NLC India Limited Corporate Presentation October 2020 15 Financial Performance
Earnings Per Share (Rs.) Capital Employed (Rs in Crore)
23,648 14.14 12.09 10.20 15,198 15,304 8.54 13,505 12,501
1.36
2015-16^ 2016-17 2017-18 2018-19 2019-20 2015-16^ 2016-17 2017-18 # 2018-19 2019-20
Debt-Equity ratio Dividend Trend (Rs in Crore)
Dividend Dividend % 73.4% 1.34 70.6%
1.06 45.0% 45.3% 0.66 0.58 30.0% 1,122 0.28 979 688 628 503
2015-16^ 2016-17 2017-18 2018-19 2019-20 2015-16 2016-17 2017-18 2018-19 2019-20
# Total Assets excluding CWIP and Asset under Development less Current and Regulatory Liability from FY 2017-18 onwards. Note : Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone; ^ Restated as per Ind AS
NLC India Limited Corporate Presentation October 2020 16 Operational Performance – Power Segment
Power Generation (MU) PLF (%) Comparison - Thermal
NLCIL NLCIL Group 27,286 26,154 26,163 26,767 * NLCIL All India 22,838 76 74 21,923 * 72 72 70 19,182 21,033 20,741 20,676 62 60 61 61 56
2015-16 2016-17 2017-18 2018-19 2019-20 2015-16 2016-17 2017-18 2018-19 2019-20
Revenue from Operations (Rs in Crore) EBIT (Rs in Crore)
8,844 8,653 1379 7,834 1237 6,768 7,045
757 682 516
2015-16^ 2016-17 2017-18 2018-19 2019-20 2015-16^ 2016-17 2017-18 2018-19 2019-20
* Includes Infirm power – NNTP -264.74 Mu and Solar 709 MW – 21.37 Mu Source: Annual Report, Central Electricity Authority– Executive Summary July-20 Report ^ Restated as per Ind AS
NLC India Limited Corporate Presentation October 2020 17 Operational Performance – Mining Segment
Lignite Production (LT) Capacity Utilization (%)
276 90%
83% 82% 81% 255 79% 252 249 242
2015-16 2016-17 2017-18 2018-19 2019-20 2015-16 2016-17 2017-18 2018-19 2019-20
Revenue (Rs in Crore) EBIT (Rs in Crore)
6,574 1423 1670 1656 5,941 5,603 5,349 5,093
1012
286
2015-16^ 2016-17 2017-18 2018-19 2019-20 2015-16^ 2016-17 2017-18 2018-19 2019-20
Note : Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone financial statements ^ Restated as per INDAS
NLC India Limited Corporate Presentation October 2020 18 Quarter 2 - Performance - Segment (2019-20 vs 2020-21)
Mining Power
Lignite Production (LT) Power Generation (MU) 5,273 62
3,791 40
Q2 Q2 2019-20 2020-21* 2019-20 # 2020-21
Revenue (Rs in Crore) Revenue (Rs in Crore)
1,198 1,876 864 1,487
Q2 Q2 2019-20 2020-21 2019-20 2020-21
* Includes Coal production of 0.79 LT # Includes infirm power of 103.53MU
NLC India Limited Corporate Presentation October 2020 19 Source: Quarterly financial results Half Year (H1)- Performance - Segment (2019-20 vs 2020-21)
Mining Power Lignite Production (LT) Power Generation (MU) 10,332 105 9,490 88
H1 H1 2019-20 2020-21* 2019-20 * 2020-21
Revenue (Rs in Crore) Revenue (Rs in Crore)
2,448 2,326 3,544 3,586
H1 H1 2019-20 2020-21 2019-20 2020-21
* Includes Coal production of 1.03 LT # Includes infirm power of 103.53 MU
NLC India Limited Corporate Presentation October 2020 20 Source: Quarterly financial results Performance - Segment (2018-19 vs 2019-20)
Mining Power Lignite Production (LT) Power Generation (MU)
249 242 20,676 21,923 *
Apr- Mar Apr- Mar 2018-19 2019-20 2018-19 2019-20
Revenue (Rs in Crore) Revenue (Rs in Crore)
5,941 7,834 5,093 7,045
Apr- Mar Apr- Mar 2018-19 2019-20 2018-19 2019-20 * Includes infirm power NNTPS – 264.74 Mu and Solar 709 MW – 21.37 Mu
NLC India Limited Corporate Presentation October 2020 21 Source: Quarterly financial results Quarter - 2 Standalone Performance - (2019-20 Vs 2020-21)
Total Income (Rs in Crore) Earning Per Share – EPS
2,218 1,849 2.43
0.15
Q2 Q2 2019-20 2020-21 2019-20 2020-21
Profit After Tax (Rs in Crore) Quarterly Income Statement (Rs in Crore)
337 Particulars Dec-19 Mar-20 Jun-20 Sep-20
Total Income 2,436.75 2,574.65 2386.86 1,849.00
EBITDA * 1089.91 1,231.49 1075.48 728.90
EBITDA Margin (%) 20 44.73% 47.83% 45.06% 39.42% PAT Q2 361.55 392.48 292.54 20.39
2019-20 2020-21 PAT Margin (%) 14.84% 15.24% 12.26% 1.10% * EBITDA computed considering Net Movement in Regulatory Expenses/Income and without considering Exceptional Item.
NLC India Limited Corporate Presentation October 2020 22 Source: Quarterly financial results Efficiency Parameters
Output per Man Shift - Power (KWhr)* Output per Man Shift – Lignite (in Tonne)*
29311 15.99
24755 13.14 26197 14.11 13.67 24341 13.08 22889
2015-16 2016-17 2017-18 2018-19 2019-20 2015-16 2016-17 2017-18 2018-19 2019-20
* Source from NLCIL Financial Results & Annual Reports and figures representing NLCIL Standalone
NLC India Limited Corporate Presentation October 2020 23 Shareholding Pattern
Shareholding Pattern No. of Shareholders
5.25% 3.42% (A) Promoter & Promoter Group
7.83% Govt. of India 1
(B) Public 4.31%
State Govt. - Sponsored Institutions 5
Mutual Funds, Financial Institutions & Banks 27
Insurance 7
Others 1,17,342
79.20% Total 1,17,382 Total No. of Shares – 138,66,36,609 Govt. of India State Govt.Sponsored Institutions Market Cap – Rs.6766.79 Crore* Mutual Funds , Financial Institutions & Banks Insurance Companies Others
Shareholding Pattern as on 30.10.2020 *Market Cap as on 30.10.2020 (Closing Price of NSE @ Rs. 48.80)
NLC India Limited Corporate Presentation October 2020 24 3 Market Opportunity
NLC India Limited Corporate Presentation October 2020 25 Power Demand & Renewable Potential
All India Electricity Requirement (in BU) Untapped Solar Power Potential
Electrical Energy Requirement 2,047
1,566
1,160
2016-17 2021-22 2026-27 Targeted Renewable Energy by 2022 (175 GW)
10 5
60 100
Solar (57%) Wind (34%) Biomass (6%) Small Hydro (3%)
Source :National Electricity Plan January 2018; Map not to scale
NLC India Limited Corporate Presentation October 2020 26 Lignite Reserves in India
Barsingsar Lignite Kupwara lignite field State wise Geological resources in MT as on 01.04.2020* (Provisional) Field Bikaner lignite field Barmer lignite field STATE Proved Indicated Inferred Total % Jaisalmer lignite field Rakshitpur lignite field Jalore lignite field Puducherry 0.00 405.61 11.00 416.61 0.91 Nagaur & Pali lignite Tamil Nadu 4521.92 22307.22 9400.69 36229.83 79.18 field Jammu & Rajasthan 1168.53 3029.78 2150.77 6349.08 13.87 Kashmir Gujarat 1278.65 283.70 1159.70 2722.05 5.95 J&K 0.00 20.25 7.30 27.55 0.06 Kerala 0.00 0.00 9.65 9.65 0.02 West Bengal 0.00 1.13 2.80 3.93 0.01 Rajasthan Total 6969.10 26047.69 12741.91 45758.70 100.00
West Gujarat Bengal Lignite Reserves (MT)* Market Share of Lignite Production
2,722 458
Surat lignite Mannargudi lignite field field 6,349 59.04% Bharuch lignite Ramanathapuram 53.93% 54.72% field lignite field 46.07% 45.28% Bhavnagar Jayamkondam 40.96% lignite field Tamil lignite field Kachchh Kerala Nadu Neyveli lignite Puducherry lignite field field 36,230
Kannanur lignite field Kayyur lignite field Tamil Nadu Rajasthan Bahur lignite field 2017-18 2018-19 2019-20 Gujarat Others NLCIL Others Map not scale *Source : Indian Coal and Lignite Resources - 2020 by GSI as on 01.04.2020 (Provisional )
NLC India Limited Corporate Presentation October 2020 27 Power Sector in India
Installed Capacity as on 30.09.2020* Per Capita Consumption (kWhr)
3,73,029 MW
Installed Capacity
15,055 1,208
1,181
1,149
1,122
1,075
957 1,010
38,124 914
884
819 779
36,051
2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20*
45,699 All India Energy Requirement & Supply All India Plant Load Factor of Thermal Plants(Excluding Gas Based (MU) * : Apr-20 to Sep-20 Plants) %
6,780 1,99,594 627,634 625,526
25,466 63.63
63.12
62.89
62.41
60.35 59.87
6,260 59.65
57.87
57.61
55.66
52.92
52.55
51.36
49.58
49.52 49.01
Coal Lignite 47.90 42.40 Gas & Diesel Nuclear Hydro Solar Wind Other Resources Jan Feb Mar Apr May Jun Jul Aug Sep Required Supplied 2019 2020
Source :Central Electricity Authority – Executive Summary Sep-2020 Report * Provisional #For Coal and Lignite based Power Plants and Provisional based on Actual-Cum- Assesment
NLC India Limited Corporate Presentation October 2020 28 4 Growth Plans
NLC India Limited Corporate Presentation October 2020 29 NLCIL Growth Plan – Vision 2025
Sl. No Project Existing Capacity* Addition Proposed Total
1 Lignite (MTPA) 30.60 31.55 62.15
2 Coal (MTPA) 20.00^ 11.00 31.00
Total Mining (MTPA) 50.60 40.55 93.15
3 Power - Lignite Based (MW) 3,140 3,640 6,780
4 Power - Coal Based (MW) 1,000 5,980 6,980
5 Power - Renewable (MW) 1421 2,830 4,251
6 Acquisition of Power Assets (MW) - 3,000 3,000
Total Power (MW) 5,561 15,450 21,011
* Existing Capacity as on 31.10.2020; ^ Coal Production for Talabira Project started on 26th April 2020. Achievement of Full Capacity expected by Jan 2027 Source : NLCIL Corporate Plan 2025. The Corporate Plan 2025 includes investments through subsidiaries and Joint Ventures
NLC India Limited Corporate Presentation October 2020 30 Growth Plan over 3 Years
Sl. No Project Existing Capacity * Addition Proposed Total
1 Lignite (MTPA) 30.60 - 30.60
2 Coal (MTPA)^ 20.00^ 9.00 29.00
Total Mining (MTPA) 50.60 9.00 59.60
3 Power - Lignite Based (MW) 3,140 500# 3,640
4 Power - Coal Based (MW) 1,000 1,980 2,980
5 Power - Renewable (MW) 1421 - 1,421
6 Acquisition of Power Assets (MW) - - -
Total Power (MW) 5,561 2480 8,041
* Existing Capacity as on 31.10.2020 # NNTPS of 1000 MW(Two units of 500 MW each, out of which one unit commissioned on 28.12.2019 ^Coal Production for Talabira Project started on 26th April 2020. Achievement of Full Capacity expected by Jan 2027 Source : NLCIL Corporate Plan 2025. The Corporate Plan 2025 includes investments through subsidiaries and Joint Ventures
NLC India Limited Corporate Presentation October 2020 31 On going / Upcoming Mining Projects
Rs. in Cr On Going Projects Rs. in Cr
Estimated Expected Upcoming Projects Lignite Projects MT Cost COD Estimated Expansion of Mine-IA from 3 Lignite Projects MT Expected COD 4.00 709.06 On Hold Cost MTPA to 7 MTPA Bithnok Lignite Mine, Rajasthan 2.25 513.63 On Hold Palayamkottai & Vellar^ 11.50 - Project is under Hadla Lignite Mines, Rajasthan 1.90 522.45 On Hold Barsingsar Expansion, Rajasthan 0.40 - Formulation Project is Mine III Neyveli 11.5 2,130.30 under Total 11.90 - Formulation Total 19.65 3,875.44
Total Lignite: 31.55 MT Rs. in Cr
Coal Projects
Estimated Expected Coal Projects MT Cost COD
Talabira II & III Coal Blocks 20.00 2401.07 Jan 2027*
South Pachwara Coal Block ** 11.00 1795.00 Mar 2028
Total 31.00 4196.07
Total Coal: 31.00 MT
Source : NLCIL Corporate Plan 2025, ^ Under approval, *Coal Production started on 26th April 2020. Achievement of Full Capacity expected by Jan 2027 ** Allotted for NUPPL NLC India Limited Corporate Presentation October 2020 32 On going / Upcoming Power Projects
On Going Projects Upcoming Projects
Estimated cost Expected Lignite based TPS: MW (Rs. in Cr) COD Estimated cost Expected Renewable MW (Rs. in Cr) COD Neyveli New Thermal Power Project 500* 7,980.79* U-II Dec 20 Solar – in various States 2,630 - Project is under Bithnok TPS^ 250 2,196.30 On Hold Wind Power – TN 200 - Formulation Barsingsar TPS Expn^ 250 2,112.59 On Hold Total 2,830 - Apr-26 TPS-II 2nd Exp Phase I 1,320 8,733.49 Oct- 26 Total 2,320 21023.17 Estimated cost Lignite based TPS MW Expected COD Estimated cost (Rs. in Cr) Coal based TPS MW Expected COD (Rs. in Cr) Project is TPS-II 2nd Exp Phase II 1,320 - under Unit I – May 21 Formulation NUPPL - UP 1,980 17,237.80 Unit II – Aug 21 Unit III – Nov 21 Estimated cost Coal based TPS MW Expected COD (Rs. in Cr) Odisha Pit head TPS phase I Apr-26, Oct 26 2400 19,422.44 ( 3 X 800 MW) Apr 27 Odisha TPP Phase II 800 - Project is under Total 4,380 36,660.24 Odisha TPP Phase III 800 - Formulation Total 1600
Power Assets Acquisition MW Expected COD
Power Assets Project is under 3000 Acquisition Formulation Total 3000
*Note: NNTPS of 1000 MW(Two units of 500 MW each, out of which one unit commissioned on 28.12.2019 , capitalised at cost of Rs.4313.67 crores. The above stated estimated cost includes the capitalised cost. ^ These projects are on hold. ^^ Source : NLCIL Corporate Plan 2025 NLC India Limited Corporate Presentation October 2020 33 5 Corporate Social Responsibility
NLC India Limited Corporate Presentation October 2020 34 CSR Initiatives
Details of CSR expenditure (Rs. Cr) % of amount spent on CSR Activities in 2019-20
Year Norm Actual
2017-18 37.32 43.59# 17.24% 2018-19 45.17 49.46 27.98%
2019-20 46.78 75.66 1.15% 0.22%
Green belt development
Neyveli Township Overview Green Cover with 191 lakh trees. 21.86%
30.72% 0.82%
Education Promoting gender equality Protection of national heritage Rural Development Sports Paddy field on Swachh Bharat Kosh & Health Care Reclaimed Mined land Others at Neyveli
#Includes unspent carry forward of 2016-17 amounting to Rs.6.27 Crore
NLC India Limited Corporate Presentation October 2020 35 New Initiatives – Sustainable Development
Formed 14 industrial / service units for adoption of energy conservation measures Replacement of conventional lights with Contemporary energy saving LED lights. Adoption of Multifarious Methods to inculcate and imbibe the energy conservation Introduction of capacitor Bank in motors of conveyors, SME and Transformers to improve Energy Conservation power factor thereby reducing reactive power energy losses. Introduction of Dynamic loading system in conveyors in Mines. Measures to reduce the consumption of diesel in various sectors ( surface transport, mining equipment and cranes etc.) Integrated Solar street light.
Trail and characterization of solar lignite drying is in process. Development of Micro Hydel power generation Development of Micro hydro power generation Technology Absorption through Pilot project of Floating Solar PV plant of 200 Kw at thermal lake is in progress Research and Electrification of GWC bore wells & Conveyor systems. Development Studies on Solar Cold storage at CARD , the effects of Humic on aquaculture and Zeolite based catalyst for mitigation of exhaust gas pollution Extraction of construction grade sand from overburden materials Exploring alternate use of lignite is in progress.
NLC India Limited Corporate Presentation October 2020 36 Major Risks and Concerns
Delay in realisation of Power Dues.
Power Surrender by the Beneficiaries.
Denial of agreed tariff due to delay in commissioning of projects within the control period prescribed by the Regulator.
Compliance to the stringent New Environmental Emission norms for Thermal Power Stations.
Resistance from the Land owners against Land acquisition and its restricted availability lead to delaying the operations.
Competition consequent to de – regulation in Indian power sector.
Stringent Norms prescribed by regulatory authority affecting power tariff.
Cost and time overrun of projects under execution.
Higher cost of lignite Mining.
NLC India Limited Corporate Presentation October 2020 37 Thank You
NLC India Limited Corporate Presentation October 2020 38