Lloyd Metals and Energy Limited (LMEL), a leading iron and steel company, produced 0.76 million tonnes (mnt) of iron ore in Q1FY’23 (April-June, 2022), the company announced in its quarterly results.
As reported by SteelMint, LMEL obtained clearance to dispatch mined iron ore out of Maharashtra. In line with the above clearance, the company has thus far dispatched to major steel mills in the nearby states of Odisha and Chhattisgarh. The company is also exploring other markets, including Telangana, as per reports.
Iron ore sales at 1.15 mnt in Q1FY’23
LMEL’s iron ore sales stood at 1.15 mnt in the quarter under review.
The company reported a sharp 379% q-o-q increase in iron ore sales compared to 0.24 mnt in the previous quarter. Sales have been strong due to strategic geographical location and high utility of the ore extracted.
DRI production, sales up y-o-y
In Q1FY’23, the company’s direct reduced iron (DRI) production stood at 46,000 t, a considerable rise of 96% y-o-y as against 23,450 t in the same period last year. As per reports, LMEL is currently using imported coal for DRI production and also looking at other sources. However, the availability and pricing of coal continue to be a concern.
Sales, too, increased by 77% to 45,520 t compared to 25,660 t in Q1FY22.
EBIDTA up y-o-y
The company’s EBIDTA was recorded at INR 2,619 million in Q1FY23 as against INR 19 million in the year-ago period.
Mining plan approved for expansion till 10 mnt, EC awaited
With Thriveni Earth Movers recently coming on board as LMEL’s mine developer and operator (MDO) and co-promoter, there has been an exponential improvement in the company’s mining performance. Exploration and the essential measures for achieving 10 mnt/year of mining output are now underway. The company expects a multifold revenue and profitability expansion in the coming years.
Leave a Reply