Chairman's Speech at the 103rd Annual General Meeting 29thSeptember 2021
Ladies & Gentlemen Very Good Morning!
On behalf of the Board of Directors of the Company it is a great honour and privilegefor me to extend a very warm welcome to all of you at the 103rd Annual General Meeting ofYour Company.
The Directors' Report and the Audited Statement of the Accounts for the year FY 2020-21and the Notice to the Shareholders have already been circulated and with your permissionI take them as read.
1) Operating Performance of Your Company:
As you knowOMDC has been working towards resumption of mining operations in BagiaburuBelkundi& Bhadrasahi mines. OMDC achieved significant progress as follows:
a. Payment of compensation along with interest of Rs. 876.22 Cr. has been made byavailing loan of Rs.310 Cr.
b. Extension of mining lease validity period has been received from Govt. of Odisha forall the 3 mines.
c. Clearance has been received from Hon'ble Supreme Court of India for resumption ofmining operation for all the 3 mines.
d. Terms of Reference (TOR) has been received from MoEF for Bagiaburu Belkundi andBhadrasahi mines. Public Hearing is to be conducted.
e. Ward Sabha was conducted successfully on 08.02.2021. Certificate under FRA has beenissued by Collector Keonjhar on 26.08.2021 for Bagiaburu mines.
f. Stage-II Forest Clearance for Bagiaburu mine received from Integrated Eastern ZoneRegional MoEF.
g. Hon'ble Supreme Court vide order dated 11.08.2020 allowed sale of undisposed stockof minerals at Bhadrasahi mines. The sale proceeds till 31.08.2021 is Rs. 43.30 crores.
As mines remained inoperative your company could not earn any revenue from sales inthis year. However by prudent cash planning taking into consideration the GovernmentGuidelines your Company has earned interest& other income of Rs. 10.75crores duringthe year on its Surplus funds parked in Term Depositswith different banks.The Loss beforetax was Rs. (52.41)croresas compared to loss before tax of Rs.(48.36)crores in theprevious year.The Loss after tax stood at (Rs. 39.65) crores as compared to loss of (Rs76.69)crores during the previous year. The gross realisation from undisposed stock ofminerals at Bhadrasahi mines isRs. 43.30 crores inclusive of royalty DMF NMET& GSTetc.
2) Looking Ahead
The company is committed for renewal of mining operations and also geared up to moveforward towards growth and better future by resolving the pending issues and effectivelydefending against litigation.
3) Dividend for the year FY 2020-21
Based on the financial results the company did not declaredividend for theFinancialYear 2020-21.
4) Corporate Governance
OMDC as a responsible Corporate cifizen strongly believes in complying with the basicprinciples of Corporate Governance i.e. accountability transparency fairness andresponsibility. Your company being a Central Public Sector Enterprise (CPSE) has beencomplying in toto with various guidelines issued by DPE/DoPT/DOE and various othergovernment organizafions.
Your Company has been adhering to the principles of good Corporate Governance so as toensure ethical and efficient conduct of the affairs of the Company. OMDC aims at not onlyits own growth but also maximizafion of benefits to the shareholders employeescustomers government and also the general public at large. For this purpose the companyis confinuously striving to improve its level of overall efficiency through good corporategovernance pracfices in all its operafions which are vital to achieve its Vision.
5) Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) has been an integral part of our businessphilosophy and your Company has been following it much before it became a norm for thecorporate sector in India. The Company has been allocafing CSR budget in line withguidelines circulated by DPE from fime to fime and as per provisions of Companies Act2013 amended from fime to time.
Your Company's CSR activities are focused in areas such as Health EducafionEmployment generation Empowerment of women and Drinking Water etc. which are enumeratedunder schedule VII of Companies Act 2013.
On behalf of your Company's Board of Directors I wish to convey my sincere thanks tothe valued Shareholders for their continuous support and reposing trust on us. Thismotivates us to excel in all our pursuits and constant endeavour to create value for thestakeholders.
I take this opportunity to thank the Government of India Ministry of Steel Ministryof Mines Ministry of Environment and Forest & Climate Change Ministry of CorporateAffairs other Departments of Government of India Government of Odisha and all otherAuthorities and Regulatory bodies for their unstinted support and valuable guidance.
I thank you all once again and offer my best wishes for a very joyous festive seasonahead.
Thank you and Jai Hind.
|Dated: 29th September 2021 |
|Place: Bhubaneswar |