Mining Firms

S&P upgrades Vedanta Resources' rating on reduced refinancing risk

Vedanta Resources has seen its rating being upgraded in recent months after seeking to lower its debt and improve its capital structure

Lakshmi Mittal discusses mill closure plans with South African officials

AMSA plans to close three plants - including two steel mills that the auto-making, mining and construction industries depend on - at the end of the month

Vedanta Resources secures $300 million loan commitment for debt refinancing

In September 2024, Vedanta Resources raised $900 million in its first dollar bond issue in more than two years and later raised $800 million through another dollar bond issue in November

Caliber Mining files draft IPO papers with Sebi, aims to raise Rs 600 crore

Caliber Mining and Logistics, a Nagpur-based coal mining and logistics provider, has filed preliminary papers with the capital markets regulator Sebi to mobilise Rs 600 crore through an initial public offering. The initial public offering (IPO) is a combination of fresh issue of equity shares worth up to Rs 500 crore and an offer-for-sale (OFS) of shares aggregate to Rs 100 crore by the promoters, according to the draft red herring prospectus (DRHP). As part of the OFS, Mohit Satishkumar Chadda, Anuj Krishanlal Chadda, Manish Krishanlal Chadda and Rahul Roshanlal Chadda will be offloading their shares worth Rs 25 crore each in Caliber Mining and Logistics. The company may consider a pre-IPO placement of shares worth up to Rs 100 crore. If the pre-IPO placement is completed, the size of the fresh issue will be reduced. As per the draft papers filed on December 30, the net proceeds worth Rs 175 crore will be utilised by the company towards repayment of debt, Rs 200 crore for funding

SC ruling on royalties to affect profitability of mining companies: Moody's

Moody's Ratings has said the Supreme Court ruling on royalties and taxes will be credit negative for mining companies like Tata Steel, UltraTech Cement, and Vedanta Resources Ltd, as it will dent their cash flows and affect their profitability. In a major victory for mineral-rich states, the Supreme Court had on August 14 allowed them to seek dues from April 1, 2005 on royalty and tax on mineral rights and mineral-bearing land from the Centre in a staggered period of 12 years. "The retrospective taxes are credit negative for companies with mining operations in India such as Tata Steel Ltd (Baa3 stable), UltraTech Cement Ltd (Baa3 stable), JSW Steel Ltd (Ba1 stable) and Vedanta Resources Ltd (Caa3 negative) because the instalment payments will dent their cash flows," Moody's Ratings said in a statement. "These companies will have to pay state taxes going forward that will hurt their profitability," it said. "While the companies' retrospective taxes could be significant, the effect o

Vedanta estimated to have raised Rs 3,200 cr from OFS of subsidiary HZL

Mining conglomerate Vedanta Ltd is estimated to have raised around Rs 3,200 crore from the offer for sale (OFS) of subsidiary Hindustan Zinc Ltd. The offer for sale (OFS) of Vedanta group firm Hindustan Zinc Ltd received a strong response from retail and institutional investors, sources said. Vedanta is estimated to have received around Rs 3,200 crore from the OFS, they said. Vedanta will utilise the proceeds generated from the OFS for deleveraging its balance sheet and investment in its growth projects. This, coupled with the Rs 8,500 crore qualified institutional placement, will help bring down debt at the company as well as at the group level. Base issue size for retail investors was 51.44 lakh shares while total retail subscription is 93.82 lakh shares, or 1.8 times of the base issue size. For institutional investors, the base issue was 4.62 crore shares while total institutional subscription is 6.36 crore, or 1.4 times, sources said, adding that the total shares sold through

Mining companies' operating costs could surge after SC ruling, says Fitch

India's top court late last month upheld the right for state governments to levy taxes on minerals extraction and last week allowed them to do so retrospectively

Vedanta's QIP receives bids for Rs 23,000 cr against offer of Rs 8,000 cr

Mining conglomerate Vedanta Ltd's (Vedanta) qualified institutions placement (QIP) of Rs 8,000 crore got around three times subscription around Rs 23,000 crore, institutional brokers said. The QIP witnessed significant interest from Foreign Institutional Investors (FIIs), mutual funds, insurance companies and other investors. Prominent mutual funds like Nippon, ICICI Prudential, SBI, Mirae, and White Oak have put in bids in the offer, an institutional broker said. Apart from MFs, other investors include foreign portfolio investors and UHNIs from India. The QIP, which is likely to close on Friday, will enable the company to deleverage its balance sheet and fund growth projects. Vedanta's Committee of Directors authorised the opening date of QIP on July 15 with a floor price of Rs 461.26 per share for this issue. The company had in its May 15 stock exchange disclosure said the proceeds may be used for prepayment of the borrowings as well as funding growth opportunities. The mining

Canada's policies to protect mining sector to shield takeover targets

The move appears to insulate domestic companies from takeovers when the world's biggest mining firms are hunting for metals that underpin the global transition away from fossil fuels

From Tata Steel to Hindustan Zinc, metal firms yet to deliver on hope

Though buoyant on bourses, their earnings, sales have lagged overall listed universe in past 2 yrs

Govt launches 2nd round of critical, strategic mineral blocks auction

The first round of auctions was launched in November last year, in a move to drive the nation's clean energy push

NTPC signs agreement to hive off mining business to its subsidiary

State-owned power giant NTPC on Thursday inked a business transfer agreement (BTA) to hive off its mining business, comprising six coalfields, to its arm NTPC Mining Ltd. "NTPC Ltd and NTPC Mining Ltd (NML) have executed the BTA on August 17, 2023, in New Delhi. The BTA shall become effective upon completion of the conditions precedent mentioned in the BTA," a BSE filing stated. On July 29, 2023, the company informed the bourses about the approval of the Board of Directors of NTPC Ltd for hiving off its coal mining business, consisting of 6 coal mines, to its wholly-owned subsidiary NTPC Mining Ltd through a Business Transfer Agreement. The coal mining business, comprising 6 coal mines, and all related assets and liabilities are being hived-off from NTPC books to NML, it had said. The deal was approved by the Audit Committee and Board of Directors. The consideration of this transaction is Rs 7,794.99 crore, based on book value as per the Audited Financials as of March 31, 2023, ..

Vedanta promoters pledge shares to raise about Rs 6,000 crore

Promoter group firms pledged 242.26 crore or 65.18 per cent shareholding in Vedanta Ltd in three facility agreements to raise the money, a Vedanta Ltd's filing showed

Illegal mining scam: CBI carries out searches at 15 locations

The CBI carried out searches at 15 locations on Wednesday in connection with illegal mining in Eastern Coalfields Limited (ECL) in West Bengal, the agency said.

Vedanta to invest Rs 6,600 cr on Balco expansion over 18-24 months

This would be first major investment after a long gap by Vendanta in the entity it acquired by purchasing majority government shareholding nearly two decades back.

Rio Tinto: Indigenous Australian scores board seat after sacred cave blasts

The 47-year-old ex-lawmaker will become a non-executive director at Rio Tinto Group, the world's second-biggest miner, from September.

India's omission from Fraser survey to shrink foreign funds into mining

Calendar 2019 marked the third straight year in which India did not feature; country may also lose access to state-of -the-art technology due to exclusion from benchmark study

Mining waste is an environmental time bomb and the industry its creator

The industry has consistently displayed a cavalier approach to safety when it comes to disposing of waste

Mining firms to contest Odisha's Rs 2,900-cr demand notice

Mining companies in Odisha are gearing up to challenge a demand notice amounting to Rs 2900 crore clamped by the state government. The notice pertains to realize cost of excess production beyond the limits approved under Mining Plan endorsed by the Indian Bureau of Mines (IBM), consent to operate granted by the State Pollution Control Board (SPCB) and violation of Forest (Conservation) Act, 1980.The notice, the second in a row by the state government since the Supreme Court order in a case of rampant illegal mining in Odisha filed by the NGO Common Cause, has the miners livid. The miners argue the apex court order did not point to recovering penalties for other violations save the environment clearance (EC). For iron and manganese ore production limits exceeding the EC limits, the state government had sent a demand notice, seeking Rs 17576.17 crore- a figure worked out by the court appointed central empowered committee (CEC)."The second demand notice raised by the state government is .