23 AUGUST 2012Moneycontrol.com
NALCO blames heavy rains for damaged Coal stocks
Edited by : AL CIRCLE
2 min read
National Aluminium Company (NALCO) has declared its first quarter results. The company’s net profit stands at Rs 223 crore versus Rs 377 crore on year-on-year (YoY) basis.
In an interview to CNBC-TV18, BL Bagra, chairman and director-finance at NALCO says, the aluminium segment has been lagging. “It has not been contributing in an expected manner. The only reason is that LME prices have stabilised at a very low level, between the band of USD 1,800 and 1,900 per tonne over the last six months,” he elaborates.
He clarifies that the coal availability has not been a problem for the last two quarters. "Since January, the supply of coal has been on expected lines from Coal India’s subsidiary Mahanadi Coalfields. In the Q1, we were very fortunate that we did not have to depend too much on imported coal or expensive coal,” he adds.
For the last two months, he says, particularly July and August, the company is struggling with seasonal problems of rain. "The coal stocks, which are available or which we are receiving, are getting wet due to the heavy rains in catchment areas as well as our plant. So, the problem we are facing right now is not availability or the stock of coal, it is only the wet coal getting chocked in the shoots and in the bunkers," he asserts.
In an interview to CNBC-TV18, BL Bagra, chairman and director-finance at NALCO says, the aluminium segment has been lagging. “It has not been contributing in an expected manner. The only reason is that LME prices have stabilised at a very low level, between the band of USD 1,800 and 1,900 per tonne over the last six months,” he elaborates.
He clarifies that the coal availability has not been a problem for the last two quarters. "Since January, the supply of coal has been on expected lines from Coal India’s subsidiary Mahanadi Coalfields. In the Q1, we were very fortunate that we did not have to depend too much on imported coal or expensive coal,” he adds.
For the last two months, he says, particularly July and August, the company is struggling with seasonal problems of rain. "The coal stocks, which are available or which we are receiving, are getting wet due to the heavy rains in catchment areas as well as our plant. So, the problem we are facing right now is not availability or the stock of coal, it is only the wet coal getting chocked in the shoots and in the bunkers," he asserts.
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