The Comptroller and Auditor General of India (CAG) has asked state-owned NMDC to factor in market trends while fixing production targets and conduct proper due diligence to the risk factors before embarking on national and international investment ventures.
NMDC Limited and NLC India Limited (formerly Neyveli Lignite Corporation) may invest over USD 26 million for setting up an R&D facility for developing innovative technologies in iron and steel making.
Financial Express reported that to cater to the steel industry’s growing appetite for iron ore, state owned miner NMDC has decided to raise production capacity to 67 million tonnes per annum by 2021-22. The company is producing nearly 30 million tonnes of iron ore from three fully mechanised mines two in Chhattisgarh and one in Karnataka its homepage showed.
Government-owned miner NMDC might cut iron ore prices by Rs 500-700 a tonne for the month of April, to align prices of the steelmaking raw material in India and abroad.
Ten days after the board of NMDC decided not to issue an interim dividend, the board met again on Monday to review its decision. This time it rewarded shareholders with a bumper dividend of 430 per cent or Rs 4.30, for each share of face value of Rs 1 for 2017-18.
NMDC has moved a step closer to commissioning the Coke Oven Battery at its upcoming three million tonne greenfield steel plant at Nagarnar by charging the Coal Handling System to initiate the commissioning of the coalroute of the plant’s raw material handling system.
Often trailing their privately owned peers for most of the year, stocks of government companies become star buys as the financial year draws to a close. The reason? Dividends.
The government’s 2.52 per cent stake sale in state-owned miner NMDC saw robust response from investors with the retail portion getting over-subscribed by 5.40 times today.
NMDC was trading 4% lower at Rs 155 on BSE in early morning trade as the government 1.5% stake sale programme in mining company commenced today.
From doubling its iron ore output in five years to seeking more diamond mines in Madhya Pradesh as well as planning a joint venture foray in Vietnam for tungsten mines, NMDC Ltd is pursuing a multiple-pronged growth strategy.