NMDC raises FY22 output target to 47 mt

“NMDC has made IT and digitalisation a strategic priority, synergising its efforts to significantly enhance competitive advantage and efficiency. We expect technology, automation and data analytics will reinvent all aspects of our business – from mineral exploration to mining, processing of ore to the sales and distribution of the product.” Sumit Deb, CMD, NMDC

In the current fiscal, NMDC Ltd expects to achieve production of 47 million tons and will also begin mining coal from the two blocks it has been allotted by Q4 of FY22, CMD Sumit Deb said.

The state-run iron ore miner had earlier told analysts that it is targeting at least 44 mt productions in FY22, up from 35 mt last year with a contribution of about 7 mt from restarting Donimalai mine while 2-3 mt would be incremental output from other mines. The company has a capital expenditure of ₹3,720 crores planned for FY22, he said.

The first quarter of FY22 was an extremely rewarding one, NMDC achieved production of 8.91 mt and sales of 9.45 mt respectively - its best Q1 since inception.

Total revenue from operations stood at ₹6,512 crore and PAT at ₹3,193 crore in Q1, also the best ever.

Sharing the progress of the company’s projects - additional screening plant, doubling of the railway line, and up-gradation of conveyor pipeline and slurry pipelines, Deb also stresses on the digital transformation of the company.

“NMDC has made IT and digitalisation a strategic priority, synergising its efforts to significantly enhance competitive advantage and efficiency. We expect technology, automation, and data analytics will reinvent all aspects of our business – from mineral exploration to mining, the processing of ore to the sales and distribution of the product,” he said.