2021 22

CMD Shri Sumit Deb inaugurates the Training, Security and Environment Building at BIOM, Bacheli
NMDC celebrates 64 years of public service on Formation Day 2022

Table of contents
CORPORATE INFORMATION
Strategic FY22 Highlights 04
Report Chairman's Message 05 Statutory Auditors
About us 08 M/s. Sagar & Associates
Hyderabad, Telangana
Vision / Mission and Objectives 11
How We Create Value 12 Branch Auditors
Financial Highlights 14 M/s. Agasti & Associates
Durg, Chhattisgarh
Board of Directors 16 M/s.Yoganandh & Ram LLP
Senior Management 17 Bengaluru, Karnataka
M/s. Neeraj Prakash & Associates
Allahabad, UP
Statutory Directors’ Report 21
Reports Management Discussion & Analysis Report 58 Secretarial Auditors
M/s. D.Hanumanta Raju & Co.
Report on Corporate Governance 73 Hyderabad, Telangana
Business Responsibility Report 101
Cost Auditors
M/s. B. Mukhopadhyay & Co.
Financial Standalone Statements Kolkata, West Bengal
Statements Independent Auditor’s Report 155
Main Banker
Balance Sheet 171 State Bank of India
Statement of Profit and Loss 172
Regd. Office:
Notes 176
NMDC Limited
Consolidated Statements “Khanij Bhavan”,
Independent Auditor’s Report 237 10-3-311/A, Castle Hills
Masab Tank, Hyderabad - 500 028
Balance Sheet 246
Telangana State
Statement of Profit and Loss 247 CIN : L13100TG1958GOI001674
Notes 251 Website : www.nmdc.co.in
Share Transfer Agent

Notice 310 M/s Aarthi Consultants Pvt Ltd
D.No. 1-2-285, Domalguda
Hyderabad - 500 029.
Telangana State
Phone Nos. 040-27638111/27634445
Fax No. 040-27632184
Email: info@aarthiconsultants.com
Annual Report 2021-22 1

FY22 a year of
performance
405.64
Sales ( LT) + 22 % Year on Year
421.88
Production ( LT) + 24 % Year on Year
` 25,882
Revenue from
Crore
operations + 68%
2 NMDC LIMITED
` 9,398
PAT + 50%
Crore
“NMDC has achieved a record-breaking

physical performance for FY22 on the back of a
propelling expansion and investment strategy,
we are entering the new fiscal with a valuable
head start. Our digitalisation drive is beginning
to contribute to our improved performance and
we are excited to see this transformation in
how we do business and share the benefits with
our stakeholders. As the Government of India
seeks to ramp up the domestic per capita steel
consumption in our country, NMDC will take on
an enhanced role to strengthen raw material
supply and give impetus to self-reliance in the
sector”
Sumit Deb
Chairman and Managing Director

FY22 HIGHLIGHTS
24 %
YOY Increase in Production
421.88 LT
22 %
YOY Increase in Sales
405.64 LT
68
YOY Increase in
%
Revenue from Operations
37
YOY Increase in
%
Avg. Sales Realisation
` 25882 Cr ` 6298/T
46
YOY Increase in PBT
` 12981 Cr
% 50 %
YOY Increase in PAT
` 9398 Cr
`
BVPS
119 32.07 `
EPS
73 %
RoCE* as aganist 76% in FY21
27
ROE/RONW
%
* RoCE = PAT / (PPE + ROU +

Intangible Assets + WC)
4 NMDC LIMITED
Chairman's Message
Your company
continues to
aggressively pursue
capacity augmentation
and technology up-
gradation initiatives
across its projects for
quantum increase in
output and improve
overall efficiency

Dear members with war that affected the availability India’s situation, however, is not
While FY22 was a mixed bag, with of crude oil, edible oil and food as grim. Despite the ongoing
some lows and some highs for the grains. Supply chain disruptions geopolitical conflict, we have been
global economy and your company, hindered the international trade able to import crude oil from Russia
new variants of COVID-19 and of these goods with far reaching helping the country to keep the
infections like monkeypox had cast a consequences and pushed inflation average price of imported crude oil
shadow on the initial months of FY23. to new highs. down. The government’s proactive
However, the economic situation is policies such as Production Linked
Concerned by the unabated rise
expected to normalise in the 2nd half Incentives (PLI), its thrust to creation
in prices of daily goods, Central
of the FY23. of infrastructure, and expansion
banks across the globe have
of capital expenditure have been
Wishing you and your families good been increasing interest rates in attracting large amounts of
health, I write to you to share the a move to curb inflation. Under investments from the private sector.
year that was for your company and these circumstances, the IMF, the These factors provide comfort that
what to look forward to. World Bank, and all major financial India can sail through the current
Economic scenario institutions have also downgraded challenges with minimal impact and
Somewhat unexpectedly war broke growth projections for the world this is also reflected in the higher
out in February 2022 this year economy for CY2022. than world average growth rates
between Russia and Ukraine, a In India, inflation has been hovering assigned to India by global financial
conflict that replaced COVID-19 in around 7% - at 7.01% in June 2022 institutions.
headlines across the world. and 6.71% in July 2022 – well above Global output and reserves of iron
Already reeling from the devastating the RBI’s target of 6% forcing the ore
impact of a new strain of the Covid19 regulator to raise interest rates by 40 The global output of iron ore in the
pandemic, the world had to deal bps in April and 50 bps in June 2022. calendar year 2021, as estimated by
6 NMDC LIMITED
the U.S. Geological Survey (USGS), long time to come, carrying with it Renewal of Kumaraswamy mine: Our
was 2,600 million tonnes, a 5.3% demand for iron ore its primary input lease for the Kumaraswamy mine in
increase over the 2,470 million material. Karnataka was renewed by the state
tonnes produced in 2020. It is Financial performance government in June 2022, ending
noteworthy that 2022 registered 6% a period of uncertainty. This mine
Despite the continued impact of
growth over 2,450 million tonnes has a production capacity of 70 lakh
produced in 2019, pre-pandemic. COVID-19 in FY22, we recorded our tonnes of iron ore per annum.
best ever financial performance.
In terms of country-wise output Our production reached 421.88 Dismantling of e-auctions: NMDC
in 2021, with 900 million tonnes lakh tons, recording a 24% jump along with other miners in Karnataka
Australia continued to be the also welcomed the Supreme Court’s
over production in FY21. Operating
largest producer of iron ore. India’s recent judgement allowing iron
revenue on a consolidated basis
production at 240 million tonnes ore producers to enter into direct
for the year was ` 25,881.73 cr,
ranked it as the fourth largest iron contracts with buyers. All these
68.3% increase over ` 15,370.06 cr
ore producer, after Brazil (380 mt) year sales were routed through a
operating revenue in FY21. Net profit
and China (360 mt). Supreme Court appointed Monitoring
increased by 50.3%, from ` 6,247
Australia continues to top the iron Committee that conducted auctions
cr to ` 9,391 cr. The huge increase
ore reserves chart, with 51,000 of material retaining 10% of the
is significant given that we have
million tonnes, followed by Brazil sales proceeds for reclamation and
absorbed an additional royalty of
with 34,000 mt, Russia with 25,000 rehabilitation plans. The Monitoring
` 5,084 cr following amendments to
mt, China with 20,000 mt, Ukraine Committee would further receive the
the Mines and Mineral Regulation sales proceeds and then transfers
with 6,500 mt, and Canada with 6,000 (Development) Act.
mt followed by India with reserves of it to us in a roundabout process
5,500 mt. The government’s reforms The company paid the highest ever that sometimes led to cash being
in the mining sector is expected to dividend of ` 14.74 per share which stuck with the Committee for a
give a fillip to this number and help works out to a 46% payout against an considerable time. The Supreme
India tap its true mineral potential. EPS of ` 32.07. Court’s recent judgement doing away
Major developments in the company with this system, brings the state at
Demand drivers for Iron ore
almost at par with practices in other
Demand for iron ore moves in Demerger of steel plant: Our
parts of the country and shortens
tandem with demand for steel. strategic reorganisation of business
our working capital cycle.
Global production of crude steel in the form of a demerger of the
3 million tonnes NMDC Iron & Going forward
in 2021 stood at 1,951 million
tonnes, an increase of 3.8% over Steel Plant (NISP), at Nagarnar, On the back of these developments,
2020 figures. The Russia-Ukraine Chhattisgarh into NMDC Steel we are targeting a production of 460
conflict and production guidelines Limited is progressing well. We have lakh tonnes of iron ore in FY23. This
by the Government in China have received a No Objection Certificate volume is 10% higher than what we
dampened steel demand in 2022. from the stock exchanges and our produced FY22 and would provide
Consequently, demand for iron ore application for the demerger has a cushion against any possible
has been declining with volatile been approved by the Ministry of pressure on pricing. We hope to
prices suffering a downward bias Corporate Affair. As directed by the surpass the top line again in FY23.
in June and July 2022. The outlook Ministry, we have held the meetings Dismantling the e-auctions through
for the iron ore market is not with unsecured creditors and Monitoring Committee in Karnataka
encouraging in the short term. shareholders of the company in June would contribute positively to both
2022 and expect to complete the the top line and bottom line.
However, long-term demand is
expected to be positive. As per a demerger within FY23. I am grateful to all the
2018 report of the United Nations, Expansion at Bacheli mine: Delays shareholders, Board members,
an additional 2.5 billion people are in the development of a fifth employees, customers, suppliers,
expected to live in urban areas. It line of screening and a downhill banks, regulatory bodies, state
is projected that India will add 416 conveyor that would significantly governments and the Government at
million urban dwellers, China 255 augment Bacheli’s production, the Centre and all our stakeholders
million and Nigeria 189 million. This has been tackled by appointing a for supporting the company in its
macro factor will require enormous new consultant. Project work has journey of growth progress.
construction activity. resumed and is progressing in Yours Sincerely
Being the most widely used as earnest speed. We expect these
material for building houses, facilities to be ready in FY23, adding Sumit Deb
machinery, and vehicles, steel about 25 lakh tonnes per annum to
demand is expected to grow for a the mine’s production.

ABOUT US
NMDC Ltd., a Navratna PSE under Ministry of Steel, Govt. of India is
the single largest producer of iron ore in India, owns and operates
highly mechanized iron ore mines in CG & Karnataka. NMDC is
considered to be one of the low-cost producers of iron ore in the world.
It also operates the only mechanized diamond mine in India at Panna,
MP. The company is diversifying into steel making and has undertaken
several capital intensive projects to modernise and increase capacities
to retain its domestic leadership and has also forayed overseas
successfully.
Our Products
IRON ORE Iron ore pellets: Produced at Donimalai with
Baila ROM: 10 mm to 150 mm size with Fe 65.5%. around 64% Fe.
Baila lump: 6.3 mm to 40 mm size with Fe 65.5%
DR CLO: 10 mm to 40 mm size with Fe 67%.
10-20 mm Baila Sized Lump: 10-20 mm with Fe 65.5%
Baila Fine: -10mm with Fe 64%.
Doni lump: 6.3 mm to 31.5 mm size with Fe 65%.
Kumaraswamy Lump: 6.3 mm to 31.5 mm size with Fe 64.5%.
10-20 mm sized Kumaraswamy Lump: 6.3 mm to 31.5 mm size
with Fe 64.5%.
Doni Fines: - 10 mm with Fe 64%.
Kumaraswamy Fine: -10 mm with Fe 64%.
Slimes: Produced during wet screening of iron ore having nearly
less than 0.5 mm size and mostly less than 61%Fe. Suitable for
pellet making Rough Diamonds
8 NMDC LIMITED
Our Geographical Foot Prints
Panna Diamond Mine
Steel SPV and Mining JV

Coal Mines (Rohne & Tokisud)
Nagarnar Steel Plant
Bacheli Mining Complex
Kirandul Mining Complex

Sponge Iron Unit, Paloncha
Donimalai Mining Complex
Donimalai Pellet Plant
Steel SPV
Mozambique
26% stake in ICVL which
owns coking coal deposit in
Mozambique.
ICVL had acquired Rio Tinto
Coal Mozambique (RTCM) by
which ICVL has 65% ownership
in Benga Coal Project and 100%
interest in Zambeze, Tele East
and other coal exploration
projects.
Australia
92.32% stake in Legacy Iron Ore
Limited, ASX listed entity based
in Perth, Australia.
Legacy is presently carrying out
exploration in its 21 exploration
tenements in Western Australia
in Iron Ore, Gold, Tungsten and
Base metals. Spon
10 NMDC LIMITED Don
Donim
VISION / MISSION AND
OBJECTIVES
Mission
Vision To maintain its leadership as the largest iron
ore producer in India, while establishing itself
To emerge as a global environment friendly
as a quality steel producer and expanding
mining organisation and also as a quality
business by acquiring and operating various iron
steel producer with a positive thrust on social
ore, coal and other mineral assets in India and
development.
abroad, rendering optimum satisfaction to all its
stakeholders.
Macro Objectives Micro Objectives

To expand the operations in the areas of Mining Achieve growth by:
and Mineral Processing to meet the growing (a) Expansion of existing mines
demands from domestic and international
Markets. (b) Operating new mines fully owned by NMDC
or in Joint Venture
Achieve international standards in per capita
Give thrust to exploration and exploitation of iron
productivity, value addition and cost effectiveness.
ore and other strategic & critical minerals.
Setting up of Steel Plant at Nagarnar.
To maintain environment protection.
To conserve mineral resources through scientific
mining.
To maintain high level of customer satisfaction.
To improve the quality of life of people in general
and socio economic environment in and around
the mines in particular.

HOW WE CREATE VALUE
OUR INPUTS NMDC is engaged in mining of iron ore which is crucial for the
steel industry. NMDC produces around 42 million tonnes per
annum of iron ore from three mechanized mining complexes,
two in Chhattisgarh and one in Karnataka which supply ore
6 Capitals in the form of lumps and fines for production to various steel
Financial Capital: industries using blast furnace / DRI route.
Profit Making PSU. The core business of our operations produces mineral
resources, jobs and infrastructure. The resources we
Strong Balance Sheet. develop create a global value chain that includes exploration,
development, extraction, processing, transportation,
Operation/Business Capital marketing and logistics, through which we generate economic
3 Iron Ore Mines and 1 Diamond Mine. value.
Intellectual Capital KEY STRENGTHS

60 years of legacy capabilites and unique
processess. • Competitiveness, profitability and growth
• Efficient mining by deployment of state-of-the-art
People Capital technology.
NMDC
Experienced Board of Directors, Senior • Lean ore utilization and tailings management
Managment and Staff. • Strong backward and forward integration
• Diversified board and experienced senior management
Environment Capital • Ability to attract, develop and retain talent
Environment Friendly Mining • Advanced Research & Development
PRODUCT PROFILE
Relationship Capital
• Business model engrained with environment and social
sustainability
Ministry
NMDC isof Steel in mining of iron ore which is crucial for the steel industry. NMDC
engaged
Central and
produces State
around Govt.
34.0 millionAuthorities
tonnes per annum of iron ore from three mechanized
mining complexes, two in Chhattisgarh and one in Karnataka which supplies ore in
Customers
form of lumps and fines for production to various steel industries using blast furnace
Suppliers
/ DRI route.
NMDC also produces diamonds
Investors
For sustainable mining and conservation of iron ore resources, NMDC produces
from its Diamond Mining Project
at Panna, Madhya Pradesh which
Society
lumps and fines which are used for making steel and caters to the needs of all the is the only mechanized operating
technological routes being used by steel industries in India. Further, NMDC is forward mine in South Asia.
integrating into pellets and steel making.
What
What wewe
do do
Exploration Development Processing & Loading & Marketing & Contributing

& Estimation & Excavation Beneficiation Despatch Sales to Society
12 NMDC
YEARS NMDC LIMITED
SIXTY YEARS OF EXCELLENCE 120
OUR VALUE CHAIN
Exploration & Estimation Processing & Beneficiation Marketing & Sales
Development & Excavation Loading & Despatch Contributing to Society
ECONOMIC
Turnover R&D Expenses
AND
SOCIAL ` 25882 crores ` 31.13 crores
OUTPUTS
CSR Spent Employee Benefit Dividend

Expenses
`287 crores
` 1334 crores
` 4320 crores

FINANCIAL HIGHLIGHTS
Turnover (` Crore)
FY22 25882
FY21 15370
FY20 11699
FY19 12153
FY18 11615
PBT (` Crore)
FY22 12981
FY21 8902
FY20 6123
FY19 7199
FY18 6179
PAT (` Crore)
FY22 9398
FY21 6253
FY20 3610
FY19 4642
FY18 3806
14 NMDC LIMITED
EBITDA (` Crore)
FY22 13306
FY21 9146
FY20 6427
FY19 7519
FY18 6472
Dividends Distributed (` Per Share)

FY22 14.74
FY21 7.76
FY20 5.29
FY19 5.52
FY18 4.3
Networth (` Crore)
FY22 34844
FY21 29756
FY20 27534
FY19 25952
FY18 24354

Board of DIRECTORS
Shri Sumit Deb

FUNCTIONAL DIRECTORS
Shri Amitava Mukherjee Shri Somnath Nandi Shri Dilip Kumar Mohanty
Director (Finance) Director (Technical) Director (Production)
GOVERNMENT NOMINEE DIRECTORS
Smt. Rasika Chaube, IDAS Smt. Sukriti Likhi, IAS

Director, NMDC Ltd., & Director, NMDC Ltd., and Additional Secretary &
Additional Secretary, Ministry of Steel Financial Advisor, Ministry of Steel
Independent Directors
Shri Sanjay Tandon Dr. Anil Sadashivrao Kamble Shri Vishal Babber Shri Sanjay Singh
Director Director Director Director
Chief Vigilance Officer COMPANY SECRETARY
Shri B. Vishwanath, IRSS Shri A.S. Pardha Saradhi

Chief Vigilance Officer Executive Director and Company Secretary
16 NMDC LIMITED
SENIOR MANAGEMENT
M. Shiva Shunmuganathan B. Sahoo A.K. Prajapati A.K. Padhy K. Praveen Kumar

Executive Director Executive Director (PC & S) Executive Director Executive Director Executive Director
(Corporate Affairs) Head Office, Hyderabad Coal Division, Ranchi (Commercial) Head Office, (Per & Law) Head Office,
New Delhi Hyderabad Hyderabad/Head, NISP
M. Jayapal Reddy K.S.N. Murthy Sanjeev Sahi Pranab Kumar Mazumdar

Chief General Manager Chief General Manager Chief General Manager Chief General Manager
(Resource Planning) (Estate & Arb.) Donimalai Bacheli, CG
Head Office, Hyderabad Head Office, Hyderabad
P. Laxman Rao J.P. Singh Suresh Kumar Jain Pankaj Kumar Sharma B. Mohan Kumar
Chief General Manager Chief General Manager Chief General Manager Chief General Manager Chief General Manager
(Engg. & Projects) (Materials Management) (Mining) GEC, Raipur (Materials Management)
Head Office, Hyderabad Head Office, Hyderabad Head Office, Hyderabad Head Office, Hyderabad
N. Ramakrishna Prasad I. Soma Sekhara Rao Satyender Rai Rabindra Narayan Kishan Ahuja
(IE) (Projects) (ERP) (Mechanical) (Contracts & Steel)
Head Office, Hyderabad Head Office, Hyderabad Head Office, Hyderabad Head Office, Hyderabad Head Office, Hyderabad
G. Priyadarshini Vinay Kumar B. Venkateswarlu Padmanabha Naik K. Mohan

(Personnel) BIOM, Kirandul Complex (Mining) (IE) (Pesonnel)
NISP, Jagdalpur BIOM, Bacheli Complex BIOM, Bacheli Complex Head Office, Hyderabad

Azadi Ka Amrit Mahotsav at NMDC Celebrating India@75
18 NMDC LIMITED
Azadi Ka Amrit Mahotsav at NMDC Celebrating India@75

Programmes and Events
20 NMDC LIMITED
Directors’ Report
Dear Members,
Your Directors are pleased to present the 64th Annual Report on the
performance of your Company, together with the Audit Report and Financial
Statements for the year ended 31st March 2022 and the Report thereon by
the Comptroller and Auditor General of India.

1.0 (A) STATE OF COMPANY AFFAIRS & PERFORMANCE • The Board of Directors at its 539th meeting held
HIGHLIGHTS on 13.07.2021 inter alia, approved the Scheme of
Arrangement between the Company and NMDC
During the year under review, the Company has recorded
Steel Limited and their respective creditors and
turnover of ` 25,882 crores, achieved Profit Before Tax
shareholders, entailing inter-alia demerger of
(PBT) of ` 12,981 crores and achieved Profit after Tax
Nagarnar Iron & Steel Plant (NISP).
(PAT) of ` 9,398 crores.
• The Promoter (President of India, acting through
The major performance highlights are summarized as
and represented by the Ministry of Steel,
under:-
Government of India) has sold 21,95,02,378 (7.49%)
• The company achieved production of 42.19 MT and equity shares @ ` 165/- per share and raised an
sales of 40.56 MT. aggregate net amount of ` 3651.37 crores through
offer for sale.
• Turnover for the year under review was ` 25,882
crores as against ` 15,370 crores in the previous • The Promoter (President of India, acting through
financial year 2020-21 – an increase of 68.39%. and represented by the Ministry of Steel,
Government of India) has sold 1,47,942 (0.005%)
• Profit before tax (PBT) from continuing operations
equity shares @ ` 165.50 per share and raised
was ` 12,981 crores compared to ` 8,901 crores in
an aggregate amount of ` 244.84 crores through
the previous financial year 2020-21– an increase of
Employee Offer For Sale.
45.84%.
(B) Scheme of Arrangement between NMDC Limited
• Profit after tax (PAT) was ` 9,398 crores compared
and NMDC Steel Limited and their respective
to ` 6,253 crores in the previous financial year
shareholders and creditors (Demerger of NISP).
2020-21 – an increase of 50.30%.
The Board of Directors at its 532nd meeting has
• Net worth of the Company stood at ` 34,844 crores
inter alia accorded in-principle approval for
as on 31.03.2022 – 17.10% higher than the previous
demerger of NMDC Iron & Steel Plant (NISP),
financial year 2020-21 to ` 29,756 crore.
Nagarnar.
• The Company declared an Interim Dividend of
A 100% subsidiary company by the name NMDC
` 14.74 per share for FY 2021-22.
Steel Ltd. having its registered office at Nagarnar,
• Capital expenditure of ` 2,849 crore has been CG has been incorporated on 02.01.2015 as a
incurred during the year under review. Private Limited Company. The transfer of NISP
shall be by way of a scheme of demerger into the
22 NMDC LIMITED
wholly owned subsidiary company as incorporated
by the name NMDC Steel Ltd.
The Board of Directors at its 539th meeting held
on 13.07.2021 inter alia, approved pursuant to the
provisions of Section 230 to 232 of the Companies
Act, 2013 and the Companies (Compromises,
Arrangements and Amalgamations) Rules, 2016
and other applicable provisions, if any, of the
Companies Act, 2013, and / or any statutory
modification(s) or re-enactment thereof to the
Scheme of Arrangement between the Company and
NMDC Steel Limited and their respective creditors
and shareholders, entailing inter-alia demerger of
the Demerged Undertaking (as defined under the
Scheme) of the Company into Resulting Company
on a going concern basis, as per the terms and
conditions mentioned in the Scheme.
Rationale for the Scheme of Arrangement To this effect, in October 2020, the Cabinet
Committee on Economic Affairs gave its ‘in-
Government of India has charted a road map to
principle’ approval to the demerger of NISP from
augment India’s steel production to 300 MTPA
NMDC Limited and strategic disinvestment of the
by 2025. To fulfill this vision, green-field steel
NMDC Steel Limited by selling entire Government
plants are being promoted through Special
of India stake in the NMDC Steel Limited to a
Purpose Vehicles (“SPVs”) in mineral rich states
strategic buyer.
of Chhattisgarh, Jharkhand, Karnataka and
Odisha. It has been envisaged that the SPV being Accordingly, to achieve the above objective,
set up at these states would act as a facilitator the Board of Directors of NMDC Limited have
and developer for the steel plant. It would acquire decided to make requisite applications and/or
the required land, obtain statutory clearances petitions before the Ministry of Corporate Affairs,
for setting up the plant, organize water & power Government of India under Sections 230 to 232
allocation for the site, along with dedicated raw of the 2013 Act (hereinafter defined) and other
material supply agreement. On completion of the applicable provisions for the sanction of the
above activities, the SPV would invite for suitable Scheme.
investor/s, who would construct, develop and
The broad contours of the scheme of demerger are
operate the steel plant.
briefly outlined as under:-
As part of expansion, value addition and forward
• Appointed Date: April 01, 2021 or any such
integration programme, and also in consonance
other date as may be decided by the Ministry
with the desire of the Government of India and
of Corporate Affairs, Government of India
Government of Chattisgarh, NMDC Limited is
(“MCA”);
setting up a 3 MTPA capacity Greenfield integrated
steel plant (“NMDC Iron & Steel Plant” or “NISP”) • Effective Date: Date on which the certified
at Nagarnar, located 16 km from Jagdalpur in copies of the order of the MCA sanctioning
Chhattisgarh State. the Scheme are filed with the concerned
Registrar of Companies;
The decision to construct the NISP was taken
keeping in view with linkage with iron ore reserves • Scheme: Transfer of Demerged Undertaking:
and availability of investable surplus. NISP has Under the Scheme, the NMDC Iron & Steel
progressed significantly further than the other Plant at Nagarnar, Chhattisgarh ( “Demerged
Steel SPVs. The only difference is that NISP is Undertaking”) shall be demerged from NMDC
being developed and constructed within NMDC Limited (“NMDC”) into NMDC Steel Limited
Limited as opposed to being developed in an SPV. (“NSL”), which is currently a wholly owned
Also, NMDC Vision 2025, whilst mentioning forward Subsidiary of NMDC;
integration has specifically stated that its role
• Scheme: Transfer of Assets and Liabilities:
would be that of a developer for steel plants and at
All assets and liabilities of the Demerged
suitable time invite investors to commission and
Undertaking, except certain assets/liabilities
operate the plants. NMDC is therefore considering
as specified under the Scheme, will be
proposed scheme to add more value to Company’s
transferred to NSL at book value appearing in
stakeholders by demerging NISP into a separate
accounts of NMDC on the Appointed Date;
company and subsequently inviting investors.

• Consideration: As a consideration for will ‘mirror’ that of NMDC; Accordingly,
transfer of Demerged Undertaking to NSL, upon the scheme being effective, the issued,
NSL shall, without any further application, subscribed and fully paid-up equity share
act, instrument or deed, issue and allot to capital of the resulting company, NMDC Steel
all the equity shareholders of NMDC, whose Ltd. shall be 293,06,05,850 equity shares of
names appear in the register of members INR 10/- to reflect the same / equal number
as on the Record Date (defined below), 1 of equity shares as NMDC and mirror
(One) equity share of NSL of INR 10 each shareholding pre the proposed demerger.
fully paid-up for every 1 (One) equity shares
• Listing: The new shares of NSL which are
held in NMDC of INR 1 each fully paid-up.
issued and allotted to the shareholders
No cash consideration will be paid to NMDC
of NMDC shall be listed on BSE Limited,
on account of the transfer of Demerged
National Stock Exchange of India Limited
Undertaking and related assets / liabilities.
and Calcutta Stock Exchange Limited, after
Accordingly, demerger of the Demerged
obtaining the requisite approvals;
Undertaking from NMDC into NSL will be tax
neutral on NMDC as NMDC will not receive • Employees: All staff / workmen / employees
any cash consideration; engaged or employed in relation to Demerged
Undertaking as identified by the board of
• Record Date: Date to be fixed by the Board of
NMDC shall be deemed to have become staff
Directors of NSL and NMDC for determining
/ workmen / employees of NSL from the
the shareholders of the NMDC to whom
Appointed Date;
fully paid up equity shares of the NSL will be
issued pursuant to the Scheme; • Shared Assets: NMDC and NSL shall enter
into shared services agreements and long-
• Increase in Authorized Share Capital:
term supply agreement, as may be necessary,
Upon the Scheme becoming effective,
on terms and conditions that may be agreed
the authorized share capital of NSL will
between NMDC and NSL and on payment of
automatically stand increased to INR
consideration on an arm’s length basis and
30,00,00,00,000 (Indian Rupees Three
which is in the ordinary course of business;
Thousand Crores);
• Costs, Charges and Expenses: All costs,
• Cancellation of existing shares of NSL: All
charges, taxes including duties, levies and
the existing shares of NSL, currently held by
all other expenses, if any of NMDC and NSL,
NMDC, shall stand cancelled;
arising out of or incurred in connection with
• Mirror Shareholding: After the Scheme implementing this Scheme, shall be borne by
becomes effective, the shareholding of NSL NMDC;
24 NMDC LIMITED
• Conduct of Business: From the Appointed Chhattisgarh and Jurisdictional Income Tax
Date and up to the Effective Date, NMDC shall Department.
be deemed to have been carrying on and shall
MCA after considering the prayers and submissions
carry on business and activities with respect
made by the Resulting Company, directed that the
to the Demerged Undertaking, for and on
meeting of equity shareholders of the Resulting Company
account of, and in trust for NSL.
is dispensed with since the Resulting Company has
The Scheme of Arragement has been filed with National furnished the requisite consent affidavit(s) of all the
Stock Exchange of India Ltd, BSE Ltd and The Calcutta equity shareholders.
Stock Exchange Ltd.
The Demerged Company has submitted that there was
Joint Petition dated 18.01.2022 between NMDC Ltd., only one secured creditor as on 30.09.2021 in the name
(Applicant / Demerged Company) and NMDC Steel Ltd. of State Bank of India and the said Bank has furnished
(Applicant / Resulting Company) has been filed before its consent affidavit for the proposed scheme. Hence, the
the Ministry of Corporate Affairs, Govt. of India vide File meeting of secured creditor of the Demerged Company
No.24/1/2022-CL-III u/s 230 – 232 of the Companies Act, was also dispensed.
2013 read with Govt. of India, Notification No.GSR.582(E)
The Resulting Company has submitted a certificate from
dated 13.06.2017. Pursuant to an application by the
an independent Chartered Accountant stating that there
Authorized Signatories of both the companies.
are no/nil secured creditor as on 30.09.2021. With regard
The Demerged Company M/s NMDC Limited and to the unsecured creditor, the Resulting Company has
Resulting Company M/s NMDC Steel Limited have furnished a certificate from an independent Chartered
broadly prayed for relief (s) as detailed below:- Accountant stating that there are two unsecured
creditors as on 30.09.2021 and both the unsecured
(i) To give directions for convening the meeting
creditors of the Resulting Company have furnished their
of the equity shareholders of the Demerged
consent affidavit to this ministry. Hence, the meeting of
Company, to consider and, if though fit, to approve,
the secured and unsecured creditors of the Resulting
with or without modifications(s), the Scheme of
Company was also dispensed.
Arrangement between NMDC Ltd. and NMDC
Steel Ltd. and their respective shareholders and Pursuant to the Ministry of Corporate Affairs Order
creditors (the Scheme) dated 11.04.2022, a meeting of the Equity Shareholders
of the Demerged Company has been convened on
(ii) To dispense with the requirement of convening
07.06.2022 for considering the Scheme of Arrangement
the meeting of secured creditors of the Demerged
and Smt. Rasika Chaube, Additional Secretary, Ministry
Company
of Steel, Government of India has been appointed as the
(iii) To give directions for convening the meeting of the Chairperson of the Equity Shareholders meeting. Due to
unsecured creditors of the Demerged Company unforeseen circumstances (unavailability of Chairperson)
to consider and, if thought fit, to approve, with or and due to unavailability of quorum, the meeting has
without modifications(s), the scheme been adjourned to 28.06.2022.
(iv) To dispense with the requirement of convening Pursuant to the Ministry of Corporate Affairs Order dated
the meeting of equity shareholders of Resulting 11.04.2022, a meeting of the unsecured creditors of
Company. the Demerged Company whose debt is of a value more
than rupees one (1) crore as on 30.09.2021 has been
(v) To dispense with the requirement of convening the
convened on 07.06.2022 for considering the Scheme of
meeting of the unsecured creditors of the Resulting
Arrangement. Smt. Rasika Chaube, Additional Secretary,
Company.
Ministry of Steel, Government of India has been
(vi) Directing issuance of notice of meetings of equity appointed as the Chairperson of the unsecured creditors
shareholders and unsecured creditors of the meeting. The meeting was duly convened on 07.06.2022
Demerged Company. for seeking the approval of the unsecured creditors
in the matter of Scheme of Arrangement and due to
(vii) Directing publications of advertisement of the unavailability of the Chairperson appointed by MCA, the
notices of the meeting of the equity shareholders meeting of the unsecured creditors is duly adjourned to
and unsecured creditors of the Demerged Company 28.06.2022.
in the newspapers namely Times of India (English
Edition), Dainik Bhaskar (Hindi Edition) and Eenadu The Demerged Company, NMDC Ltd. published the
(Telugu Edition) newspaper advertisement regarding the adjournment
of the meetings of Equity Shareholders and Unsecured
(viii) Directing service of Notice of the application on the Creditors in Times of India, Eenadu and Dainik Bhaskar,
Regional Director (South East Region), Regional stating the adjourned meetings to be held on Tuesday,
Director (North Western Region) Registrar of 28.06.2022 at the same time and through the same
Companies, Hyderabad, Registrar of Companies, means (i.e. VC / OAVM).

(C) Extension of Mining Lease of Donimalai Iron Ore Hon'ble Mines Tribunal heard the submissions
Mine (ML No. 2396) for 20 years from 04.11.2018 and stayed the Order dated 17.08.2019 issued by
to 03.11.2038 as per the provision of the Mineral the Government of Karnataka withdrawing the
(Mining by Government Company) Rules, 2015 extension of lease and any consequent action
thereon until the next date of hearing.
The Government of Karnataka, while renewing the
lease of NMDC's Donimalai Iron Ore Mine, had On 28.08.2020, a high-level meeting was conducted
imposed a new condition asking for a premium at Bengaluru between the Hon’ble Chief Minister
of 80% on the average sale value. As the demand of Karnataka and Union Minister of Coal & Mines,
of the State Govt. was not as per the provisions in the presence of the CMD – NMDC Ltd. and
of the MMDR Act -1957 and Mineral (Mining by senior officers of Centre and State Governments.
Government Company) Rules, 2015, the company In the meeting it was decided to extend the
requested the State Govt. to reconsider its decision. Mining Lease of Donimalai Iron Ore Mine with a
temporary premium of 22.5 % of the average sale
Since there was no positive response from the value published by IBM. It was also decided in the
State Govt, the company has suspended its meeting that Ministry of Mines, GoI will review the
operations from 4th November 2018 and moved to “Mineral (Mining by Government Company) Rules,
the Hon'ble High Court of Karnataka praying for a 2015” for suitable amendments to decide the
suitable direction in the matter. The Hon'ble High additional amount payable apart from the royalty /
Court of Karnataka in its judgement dated 10th other statutory levies in respect of Mining Leases of
July 2019 has passed an order setting aside the Government Companies granted prior to 12.01.2015
condition imposed for levying 80 % premium. On and a High-Level Committee shall be constituted to
the basis of the judgement, NMDC has requested examine the modalities in this respect.
the State Govt. to consider the execution of Lease
Deed of Donimalai Mine. Subsequently, on 29.11.2020, Ministry of Mines,
Government of India has given its approval for
The Government of Karnataka issued an Order extension of Mining Lease of Donimalai Iron Ore
dated 17.08.2019 withdrawing the approval for Mine in terms of the proceeding of the meeting
extension of the Donimalai mining lease and with a held on 28/08/2020. On 01.12.2020, Government of
direction to the Director of DMG to auction the said Karnataka, permitted NMDC to commence mining
block. In this regard, the Company on 19.08.2019 operations, as an interim measure with immediate
filed 'Revision application' before The Hon'ble effect at Donimalai Iron Ore Mine for which NMDC
Mines Tribunal, Government of India. Meanwhile, shall unconditionally pay to the State Government
the State Government issued a notification 22.5% of the IBM Sale Price (for Karnataka) apart
dated 20.08 .2019 inviting tender for auction from the Royalty and other statutory levies.
of the Donimalai Mining block. 0n 21.08.2019
26 NMDC LIMITED
On 17.12.2020, Govt. of Karnataka ordered for (D) Impact of the Hon’ble Supreme Court of India
execution of conditional mining lease deed Judgement with reference to the Writ Petition
of Donimalai Iron Ore Mine with effect from (Civil) No.114/2014, dated 02.08.2017
03.11.2018 for a period of 04 years or till the
implementation of High-Level Committee report, State Govt. of Chhattisgarh had been seeking
whichever is earlier. compensation to be paid on the basis of the
Common Cause Judgement of Hon’ble Supreme
Subsequently on representation of NMDC Ltd., on court (Writ Petition Civil No 114 of 2014, dated 2nd
10.02.2021 Govt. of Karnataka issued a modified August 2017) related to the mines in the State of
order for execution of conditional mining lease Odisha. Show-cause notices were issued by the
deed for a period of 20 years i.e., up-to 03.11.2038 Chhattisgarh State Govt. for which the company
subject to the conditions in the Govt. Order dated: has all along been reiterating the fact of non-
01.12.2020 and 17.12.2020. NMDC executed the applicability of the said judgement of the Hon’ble
conditional Mining Lease deed on 12.02.2021 and Supreme Court in the state of Chhattisgarh.
same has been registered on 16.02.2021.
However, notwithstanding with the replies
Donimalai Iron Ore Mine of NMDC Ltd. has submitted by the company, Chhattisgarh State
resumed mining operations since 18.02.2021. Govt. issued Demand notices on 15.11.2019 for an
amount of ` 1,623.44 Crore (Bacheli - ` 1,131.97
Further, it may be noted that Govt. of India has
Crore & Kirandul ` 491.47 Crore) to be deposited
amended the MMDR Act – 1957 on 28.03.2021 and
within 15 days.
as per amended provisions all such Government
companies or corporations whose mining lease The Company paid an adhoc amount of ` 600 Crore
has been extended after the commencement under protest and filed writ petitions in the Hon'ble
of the MMDR Amendment Act, 2015, shall pay High Court of Bilaspur, Chhattisgarh and a Revision
such additional amount as specified in the Fifth application with Mines Tribunal, Ministry of Mines,
Schedule of the Act for the mineral produced after Government of India, New Delhi praying to set
the commencement of the MMDR Amendment aside the demand notices.
Act, 2021. For such Mining Leases of Iron Ore an
additional amount equivalent to 150 percent of Hon’ble High Court of Bilaspur has heard the WPs
the royalty will be payable. The additional amount on 19.02.2020. Hon’ble High Court sought certain
shall be in addition to royalty or payment to the clarifications from the respondent & directed no
District Mineral Foundation and National Mineral coercive action and listed the case for further
Exploration Trust or any other statutory payment hearing. Due to COVID-19 situation, no further
and the same is applicable to Donimalai Iron Ore hearings could take place.
Mine also.

Revision application with Mines Tribunal, Ministry (b) Commercial
of Mines, Government of India, New Delhi has been
There was a limited impact of Covid-19 during
heard on 09.03.2022, in which representatives
the FY 21-22. During the second wave, a partial
of the State Government are directed to file
lockdown was imposed which affected the demand
comments/para wise reply within two weeks.
supply dynamics of iron & steel sector, the same
NMDC is pursuing the matter.
affected the demand of raw materials e.g., iron ore
(E) Impact of Covid-19 Pandemic during Q-1 FY 21-22. As the restrictions were lifted
in subsequent quarters, NMDC volumes increased
(a) Production
exponentially & as a result company could achieve
The production performance of NMDC Ltd. during more than 20% growth in terms of volume over
the FY 2021-22 was not impacted due to Covid-19 previous year.
as the company has taken adequate precautions to
(c) Finance
ensure safety of the employees and workers. The
company has undertaken an elaborate exercise The COVID-19 had not impacted the operations of
of administering vaccines to all our eligible the company during the FY 2021-22.
employees as per the guidelines of Ministry of
Health & Family Welfare.
28 NMDC LIMITED
2.0 PHYSICAL PERFORMANCE
2.1 Production
Achievement
Product Percentage of change
2020-2021 2021-2022
Iron Ore (Million tonnes) 34.15 42.19 (+) 23.54 %
Diamond (Carats) 13,681 0.00 -
Pellets (Tonnes) 83,751 1,82,298.77 (+)117.67 %
3.0 SALES OF IRON ORE
Physical (in Million Tones) Value (Rs. in crore)

Particulars Achievement Achievement
% of change % of change
2020-21 2021-22 2020-21 2021-22
Domestic 30.96 40.56 31.00 % 13,484.01 25,537.47 89.39%
Export through MMTC 2.29 0.00 % 1,749.69 9.19 (-) 99.47%
Total Sales 33.25 40.56 21.98% 15,233.70 25,546.66 67.70 %
3.1 Other Sales
Achievement
Products
2020-21 2021-22
a) Diamond
Sales (carats) 22,249 25219
Value (` in crore) 21.10 62.93
b) Sponge Iron
Sales (tonnes) - -
Value (` in crore) - -
c) Wind Power
Sales (lakh units) 1.59 1.47
Value (` in crore) 5.17 4.99
d) Pellet (In WMT)
Sales (In WMT) 92,773 1,96,972
Value (` in crore) 73.50 222.11
4.0 FINANCIAL PERFORMANCE

4.1 Operating Results
Achievement Percentage of
Parameter
2020-2021 2021-2022 change
Profit Before Tax (PBT) (` in crore) 8,901 12,981 (+) 45.84 %
Profit After Tax (PAT) (` in crore) 6,253 9,398 (+) 50.29 %
Net Worth (Rs. in crore) 29,756 34,844 (+) 17.10 %
Book value per share (`) 101.53 118.89 (+) 17.10 %
Earnings per Share (`) 20.62 (*) 32.07 (+) 55.53 %
(*) Adjusted on account of buyback)
There has been no change in the nature of business for the year under review.

4.2 Profit & Dividend 4.6 NON-CONVERTIBLE DEBENTURES (NCDs)
During the year under review, your Company has During the year under review, the company has not
earned profit before tax from continuing operations issued any Non-Convertible Debentures (NCDs).
of ` 12,981 crores on a turnover of ` 25,882 crores
5.0 INTERNAL CONTROL SYSTEMS W.R.T. FINANCIAL
in comparison with previous year’s achievement of
STATEMENTS
` 8,901 crores and ` 15,370 crores respectively.
Necessary disclosure in respect of Internal Control
The Company has declared 1st Interim Dividend
Systems and their adequacy has been made in
for FY 2021-22 @ ` 9.01 per share in the month of
Annexure-C to the Independent Auditors’ Report
Dec 2021 and 2nd Interim Dividend for FY 2021-
dated 26th May, 2022 which forms part of the Annual
22 @ ` 5.73 per share in the month of Feb 2022
Report.
resulting an outgo of ` 4,319.72 crores. The share
of Government with equity stake of 60.79 % is 6.0 (a) PARTICULARS OF LOANS, GUARANTEES AND
` 2,626 crores. INVESTMENTS UNDER SECTION 186 OF THE
COMPANIES ACT, 2013
4.3 TRANSFER TO RESERVES
Necessary details in this regard have been
The company proposed to transfer ` 5,000 crore
disclosed in the financial statements.
from net profit to General Reserve.
(b) PARTICULARS OF CONTRACTS OR
4.4 MATERIAL CHANGES AND COMMITMENTS, IF ANY,
ARRANGEMENTS WITH RELATED PARTIES
AFFECTING THE FINANCIAL POSITION OF THE
DISCLOSURES
COMPANY WHICH HAVE OCCURRED BETWEEN
THE END OF FINANCIAL YEAR OF THE COMPANY Disclosure on related party transactions forms
TO WHICH THE FINANCIAL STATEMENTS RELATE part of the Notes to the Balance Sheet both of
AND THE DATE OF THE REPORT: NIL Standalone and Consolidated.
4.5 DEPOSITS (c) MAINTENANCE OF COST RECORDS
The company has not accepted any deposits Section 148(1) of the Companies Act, 2013 specifies
covered under Chapter-V of the Companies Act, the provisions of maintenance of Cost Records
2013 during the year under review. of the company. The company is maintaining
such records as per Rule 4(2) of the Companies
(Cost Records and Audit) Rules 2014 under both
regulatory and non-regulatory services.
30 NMDC LIMITED
7.0 (a) STATUTORY AUDITOR’S REPORT The upcoming scheme in Donimalai Complex includes
a Second Screening Plant of 10.0 MTPA capacity for
The Audit Report for both Standalone and handling the ROM from both Donimalai & Kumaraswamy
Consolidated Financial Statements for the year mines in addition to the existing Screening Plant.
2021-22 is unmodified and does not contain any Statutory clearances for 10.0 MTPA Screening Plant-ll
qualification, reservation or adverse remark. are awaited.
(b) SECRETARIAL AUDIT REPORT Projects / Schemes to enhance evacuation capacity
The Secretarial Audit Report for the FY 2021-22 To augment the evacuation capacity from Bailadila
as done by M/s Hanumanta Raju & Co., Company sector, many projects & schemes are taken up like
Secretary in whole time practice contains doubling of KK line.
qualifications and does not contain reservation or
adverse remark. Doubling of KK line between Kirandul & Jagdalpur
(150.462 kms) is being executed by Railways as a
NEW PROJECTS & BUSINESS DIVERSIFICATIONS: Deposit work and overall progress for this work is 76 %.
In line with the Vision plan of augmenting its Production Doubling of 85 Km rail line is already completed and is in
& Evacuation capacity, technology upgradation, operation. Another 21 km rail line doubling is expected
diversification & value-added products, NMDC has taken to be completed by August-22. Works are in progress
up many ambitious projects. Action for new projects have in other reaches and are expected to be completed
been initiated. During the financial year 2021-22, the progressively by FY 2023-24. The completion of this
details of Projects undertaken by NMDC are summarized project will augment the evacuation capacity of Bailadila
as under: sector through railway line from 28 to 40 MTPA.
A. Ongoing Projects: NMDC has taken up an ambitious project of laying Slurry
pipeline from Bailadila to Nagarnar and further up to
1. Screening Plant III – Kirandul Complex
Visakhapatnam. The Capacity of the line is 15 MTPA and
2. Slurry Pipeline Project which includes this will be associated with facilities like beneficiation
facilities like 15 MTPA Slurry Pipeline from plants at Kirandul & Bacheli, pellet plant at Nagarnar.
Bacheli to Nagarnar along with 2.0 MTPA Ore Laying of slurry pipeline between Bacheli and Nagarnar
Processing Plant at Bacheli and 2.0 MTPA , 2.0 MTPA Ore Processing plant at Bacheli and 2.0 MTPA
Pellet Plant at Nagarnar Pellet Plant at Nagarnar is taken up in Phase-1 for
3. Doubling of KK line between Kirandul & implementation.
Jagdalpur Site development works of Ore Processing Plant (OPP)
4. Additional Screening Line & up gradation of at Bacheli and Pellet Plant at Nagarnar are completed
existing downhill conveyor at Dep-5, Bacheli. along with soil investigation studies. Works orders
are already issued for packages like Main Receiving
B. Projects in pipeline: Substation, Slurry Pumping system, Slurry pipeline
1. Screening Plant II- Donimalai Complex laying package, technological package of Pellet plant and
Enabling works of Ore Processing Plant & Pellet plant
2. New crushing Plant and Downhill Conveyor
and construction activities are in progress at site.
system at Dep-14 &11C
3. Town ship project at Kirandul Solar Power Projects
4. Township project at Donimalai As a part of Govt. thrust to tap renewable energy sources,
1 MW capacity grid connected Roof Top Solar (RTS)
Projects / Schemes for capacity expansion power plants are installed in various production units of
To augment the production and to improve the quality of NMDC (Bailadila Iron Ore Mine, Kirandul Complex & Bacheli
product mix from Bailadila Sector, the schemes like SP– Complex and Donimalai Iron Ore Mine, Donimalai Complex)
III Kirandul, New Crushing Plant of Dep.14 & 11/C and and are in operation. With this, NMDC has joined other
Downhill conveyor, additional screening lines in Bacheli, major corporates in harnessing solar power which has
Rapid Wagon Loading System (RWLS) etc. are envisaged. assumed a greater significance in recent times. Further
Waste mining and increase in evacuation capacity being tender for Supply, Installation, and Commissioning of
a major area of focus for enhancing the life of mines, the 425 kWp Roof Top Solar Power Plant in Bacheli Complex,
schemes like beneficiation plant at Bacheli & Kirandul Dantewada, CG was also awarded in Feb-22.
and Slurry pipeline from Bacheli to Nagarnar has been Steel Plant Project at Nagarnar, Chhattisgarh:
taken up.
The State of the art 3.0 MTPA steel plant at Nagarnar
In Screening Plant-III project at Kirandul the site work is at advanced stage of construction completion and
in packages like site development package, MRSS reaching its commissioning phase. Conducting cold trial,
packages, Dry circuit (major technological package) and preliminary Acceptance Test etc of individual as well as
RWLS are in progress.

integrated test of equipment under various Technological
packages are in progress as pre-commissioning
activities. Pre-commissioning activity has been started
with heating of Coke-Oven battery. MECON has been
awarded with the job of O&M (Operation & Maintenance)
of plant during commissioning and subsequent operation
of the plant.
The plant will produce an impressive array of products
viz. HR Plates, API - 5L Quality Plates Sheets, HR Coils,
High Carbon Steel, Silicon Steel and Automotive Steel.
Initiatives for Technological upgradation
1. Development of Vision Enhancement System
for Foggy weather for Bailadila Complex (In
Collaboration with CSIR-CIMFR)
To overcome the production loss due to foggy
weather in the mine where visibility will be
around 1 to 2 meters during monsoon season,
NMDC and CSIR- CIMFR has made an agreement
on 22.07.2019 for R&D collaborative project
“Development of Vision Enhancement System
for Foggy Weather” at BIOM Bacheli Complex and integration with ERP (SAP HANA). The features
Deposit 5 with total project cost of ` 509.75 Lakhs of the system are High & Low Precision Guidance
of which ` 230.51 lakhs was funded by Ministry of System, Proximity Awareness, Health Monitoring,
Electronics and Information Technology (MeitY) for Fuel Management, Tire Pressure & Temperature,
technology development. Fatigue Monitoring and Crusher Management
“Vision Enhancement System” is an intelligent NMDC has issued Letter of Intent (LoI) to
driver assistance technique for effective M/s. Amnex Infotechnologies Private Limited
visualization of haul road i.e., dump truck Ahmedabad for the work of “Implementation
transportation path in the mine as well as loading / of Fleet Management System at BIOM-Bacheli
unloading areas during foggy weather. Complex and BIOM-Kirandul Complex of NMDC
The System was installed last year (FY 21-22) Limited” at a total contract price of ` 47.08 Cr, on
during rainy season and it was found that the vision 27.09. 2021.Letter of award of Contract has been
for dumper operation needs further improvement. issued on 04.10.2021 and Contract Agreement has
Accordingly, further intensive lab test and R & D been signed on 14.10.2021.
activities have been undertaken for improvement in M/s Amnex has started the work of survey of
the system which will be tested during forthcoming Mining Machineries for implementation of Fleet
monsoon in the month of July-Aug’22. Management System at Bacheli and Kirandul
2. Fleet Management System for BIOM Bacheli & Complex & preparation of Implementation Plan.
Kirandul Complex The time line for completion of all modules except
As part of digital transformation to set the legacy in Health Monitoring System is 9 Months. For Health
mining sector and increase efficiency, productivity Monitoring Modules, additional 6 Months’ time will
and safety, State of the Art Technology driven Fleet be given for implementation.
Management System (FMS) is being implemented 3. Fully Automated dispatch Iron ore Sampling and
for BIOM Bacheli Complex and BIOM Kirandul Analysing System for BIOM, Bacheli, Kirandul
Complex. Complex and DIOM Donimalai
Fleet Management solution includes complete In order to reduce customer dissatisfaction,
software and hardware structure which is designed eliminate human errors in collection, preparation
for online monitoring and control of tracking and analysis of samples, transparency & accuracy
devices, installed on the vehicle being used for in quality analysis, digitalization, storage and
carrying out production activity in the mine. The retrieval of large records along with integration in
effective outputs from the system are available to ERP (SAP HANA) and also as part of overall ramp
the user(s) online for quick monitoring and decision up in production & dispatch of iron ore the proposal
making also long-term statistical reports can be has been taken up and is under process for issuing
extracted for long-term management, planning tender.
32 NMDC LIMITED
4. Automated Capturing of Production & Dispatch In a similar way implementation was completed at
data on real time basis from OCSL Plant Belt NMDC Bacheli mechanized siding on 25.03.2022
Scales of Kirandul, Bacheli & Donimalai Complex. and the system is working satisfactorily.
As part of first phase of digital ERP initiative in 6. Replacement of existing Relay Logic Circuit (RLC)
mining sector and to reduce human interference, with Automation System in Crushing Plant &
increase productivity, utilize man power efficiently, Downhill D-14 of BIOM Kirandul Complex
storage of historic data in easily retrievable format,
Crushing Plant & DH-14 of Kirandul Complex was
improve reliability of operation, having diagnostics,
commissioned in the year 1966 and the existing
centralized control and integration with ERP (SAP
electrical control system for process is based
HANA), it is proposed to integrate all the relevant
on Relay Logic Circuit (RLC). The system was
belt scales of each OCSL Plant of Kirandul, Bacheli
initially supplied by M/s YASKAWA, Japan and is in
& Donimalai Complex with a centralized web based
operation till date and has become obsolete.
SCADA server for on line collection & display of
production & dispatch data on real time basis in all In view of the digital transformation drive, in mining
control rooms of OCSL plants and integration with sector and to increase the efficiency, productivity,
ERP dashboard. storage of historic data in easily retrievable format,
improve reliability of operation, having diagnostics,
The work has been awarded to M/s Prudent
centralized control and integration with other
Automation Pvt. Ltd on 07.05.2022 with a
plants & ERP (SAP HANA) it is proposed to upgrade
completion period of 60 days from the date of
the system from RLC to latest automation system.
approval of drawings i.e., 19.05.2022.
The proposal is in approval stage and further
5. Implementation of Integrated Print Facility System implementation will be taken up after award of
with Freight Online Information System (FOIS) of work.
railways at Loading Plant BIOM Bacheli Complex
7. Replacement of existing Relay Logic Circuit
As part of the drive towards reduction of (RLC) System, LTMCC, control & communication
turnaround times for rakes and to increase cables etc with E-House, Automation System, &
dispatches and various other benefits, railways IMCC (Intelligent MCC) for Loading Plant of BIOM
(ECoR) had made it mandatory for implementation Kirandul Complex
of integration of wagon loader print facility with
Loading Plant, Kirandul Complex was
FOIS at private railway sidings including BIOM
commissioned in the year 1966 and the existing
Kirandul & Bacheli Complex.
electrical control system for process is based on
The work was awarded to M/s Prudent Automation Relay Logic Circuit which is operated continuously
Pvt Ltd and the implementation of the above in 24 x 7, 365 days a year for dispatch of iron ore
NMDC Ltd was taken up and completed first at through rakes and direct feeding through conveyor
NMDC Kirandul mechanized railway siding on BC 614 to M/s AMNS. The system was initially
15.06.2021. supplied by M/s YASHKAWA, Japan.
Complete refurbishment of all Switchgears,
different types of cables, control room, LTMCC,
upgradation of RLC with latest automation has
been taken up in two phases. In the first phase
replacement of medium voltage switchgears
and cables and in the second phase the present
proposal has been taken up.
The present proposal caters to increase in the
efficiency, productivity, storage of historic data
in easily retrievable format, improving reliability
of operation, having diagnostics, centralized
control and integration with other plants & ERP
(SAP HANA). The proposal also includes supply
and commissioning of E-House for automation
& IMCC and is in approval stage and further
implementation will be taken up after award of
work.

8.1 OVERSEAS PROJECTS / NMDC GLOBAL Gold project with an aim to develop viable gold
mining project.
Australia
Joint Development of Mt Bevan: To progress
Legacy Iron Ore, Perth, Australia
Mt Bevan iron ore project and conduct the pre-
Legacy Iron Ore Ltd is an ASX listed entity based feasibility studies, Legacy (60% stake) along with
in Perth, Australia with a focus on Gold, Iron ore its partner Hawthorn Resources (40% stake) had
and base metals. NMDC has 90.02% equity in the signed JV agreement with M/s Hancock Magnetite
company. Prospecting Ltd. Pursuant to this arrangement,
M/s Hancock will invest and undertake the
Legacy Iron holds significant interest in Mt Bevan,
developmental works in Mt Bevan. After completion
Magnetite project in Western Australia with
of the pre-feasibility studies, Legacy will have
1.17 billion tonnes of JORC Inferred & Indicated
29.4% stake in Mt Bevan JV.
resource (@30.6% Fe). Legacy Iron also has Gold,
Base metals & Tungsten tenements in Western International Coal Ventures Pvt. Ltd. (ICVL)
Australia. Legacy has 22 tenements-Iron ore (01
ICVL, a joint venture company of SAIL, RINL
tenement), Gold (17 tenements), Base Metals and
&NMDC, acquired a coking/thermal coal mine in
Tungsten (04 tenements). All these tenements are
Mozambique in 2014 and operation of the same
in different exploration stages. Mt Celia is reaching
was taken over by ICVL. NMDC holds 26% stake
Pre-feasibility Stage and Mt Bevan has defined Iron
in ICVL. Benga mine, one of the operational asset
Ore resources. Other projects have valid targets of
of ICVL, has produced about 1.747 Million tons in
different commodities.
FY’22 (Both low ash & high ash) and exported 1.54
Exploration: So far Legacy has conducted 19,111m Million Tons.
of RC and 2850m of diamond drilling in Mt Beven
8.2 Leases for minerals
Magnetite Project, 2429 Mts RC drilling for Mt
Bevan Nickel exploration, 30,173 Mts RC drilling lron Ore
and 1150 Mts diamond drilling in gold tenements
lron Ore Mining Leases:
and 2133 Mts drilling in Base metal tenements.
Your Company is having Five Iron Ore Leases
JORC resource at Mt. Celia Gold project now stands
in Chhattisgarh and two Iron Ore Leases in
at 312,600 ounces @1.39 g/t gold. Legacy Iron is
Karnataka. The present status is as under:-
conducting Pre-feasibility studies in its Mt Celia
34 NMDC LIMITED
In Chhattisgarh
Sl. No. Name of Mining Lease Area in Ha ML Validity

1 Bailadila Deposit-11 (A,B & C) 874.924 10/09/2037
2 Bailadila Deposit-14 322.368 11/09/2035
3 Bailadila Deposit-14NMZ 506.742 06/12/2035
In Karnataka
Sl. No. Name of Mining Lease Area in Ha ML Validity

1 Donimalai Iron Ore Mines 597.54 03/11/2038
2 Kumaraswamy Iron Ore Mines 639.80 17/10/2022
Kumaraswamy ML No. 1111- Extension of Secretary, Dept. of Industries Mines & Geology,
Kumaraswamy ML which is expiring in Oct-2022. Govt. of Jharkhand for reservation of Ghatkuri
Iron ore deposit, West Singhbum District, under
Your Company submitted application to
Section 17A(2A) of MM(D&R) Amendment Act
Government of Karnataka on 22-02-2021 for
2015 for Prospecting and Mining operation in
extension of Mining Lease of Kumaraswamy
favour of JNMDC. As per carrying capacity studies
Iron Ore Mines M.L. No. 1111 for a period of 20
of Saranda Region conducted by MOEF&CC the
years. Director (Mines) Department of Mines and
applied area falls under Elephant Coridor which
Geology, Government of Karnataka forwarded the
is no mining zone. Your Company requested Addl.
application on 05-01-2022 for the extension of
Sec. MoS, GoI on 01-02-2021 to take up the matter
Kumaraswamy Iron Ore Mining Lease (M.L. No.
with MOEF &CC for exempting the Ghatkuri Iron
1111) to the Secretary (MSME & Mines), Commerce
Ore area from conservation zone and keep it under
and Industries Department, Govt of Karnataka.
Mining Zone so that this block can be reserved for
Extension of Kumaraswamy ML is awaited.
NMDC. The Matter is being pursued with GoJ and
Iron ore: In Jharkhand MoS, GOI.
Sasangada Gold: In Jharkhand
A JV Company (NMDC 60% & JSMDC 40%), Gold & associated mineral Deposit:
Jharkhand National Mineral Development
Your company submitted application to the
Corporation Limited (JNMDC) has been
Secretary cum Commissioner, DMG, GoJ on 01-
incorporated at Ranchi. DMG, Govt of Jharkhand
01-2019 for proposal to reserve 24.80 Sq. Km.
has granted PL for iron ore & Manganese in
area in Kuchai Tehsil, District Saraikela-Kaswan,
Sasangada NE area in favour of JNMDC Ltd for a
Jharkahnd, under Section 17A (2A) of MM(D&R)
period of 3 years. Detailed Geological mapping and
Amend. Act, 2015 for prospecting and mining
topographical survey completed. Due to delay in
operation of Gold & associated minerals. The
grant of forest permission, drilling could not be
matter is being pursued with Govt. of Jharkhand for
carried out in the lease period. As suggested by
reservation.
Ministry of Mines, Govt of India, JNMDC requested
the Secretary, Dept of Industries Mines & Geology, Various minerals: In Jharkhand
GoJ, for reservation of Sasangada Iron ore and
Tambadungri Copper, Nickel, cobalt and
Manganese deposit under Section 17A(2A) of
molybdenum mineral –
MM(D&R) Amendment Act 2015 for grant of
Prospecting and Exploitation. Your Company submitted the proposal to the
Secretary-cum-Commissioner, Dept. of Mines
Director (Mines), DMG, GoJ suggested that, JNMDC
& Geology, Govt. of Jharkhand, vide letter dated
to submit Fresh Composite Licence application
30.01.2019 to reserve an area of 16.70 Sq. Km in
after approval from JNMDC Board as per Section
Saraikela-Kharswan district, Jharkhand under
17A of MM(D&R) Amendment Act,2021.The matter
Section 17A(2A) of MM(D&R) Amendment Act 2015
is being pursued with Govt. of Jharkhand for
for grant of Prospecting and Mining operation
reservation.
of Copper, Nickel, cobalt and molybdenum
Ghatkuri mineral. The matter is being pursued with Govt. of
Jharkhand for reservation.
Your Company has submitted a proposal to the

In Karnataka Status of Exploration Works:
Iron ore lron Ore Prospective Blocks:
Ramandurg Iron Ore Mine- Your company Sidhi Block in Sidhi & Singrauli, Districts
requested to Ministry of Steel, Govt of India on
a) Identified 5 iron ore sub blocks. Geological
20-06-2020 to take up the matter with MoM, GoI
mapping, Geophysical Surveys and
to reserve Ramandurg Iron ore deposit (area -
Geochemical Mapping completed in 5
5.17 sq. km) in favour of NMDC Ltd under section
potential sub-blocks. Topographic Surveys
17A(1A) of MM(D&R) Act,1957. Matter is being
using SP2 60 GNSS completed. To establish
pursued with MoS, Govt. of India and Govt. of
the quantity and grade, a total of 964 meters
Karnataka.
of core drilling carried out. Chemical analysis
Other Minerals of core samples is under process.
Your company has submitted a proposal to the b) Dhaurra block - Based on Geophysical survey,
Director, DMG, Govt of Karnataka to reserve 24.95 Geological mapping and surface geochemical
Sq. Km. area for lithium and other associated sampling, one low grade iron ore body has
elements in Raichur District, Karnataka under been identified.
Section 17A (2A) of MM (D&R) Amendment Act,
c) Dulchipur-Bagroda block- Based on
2015 for grant of prospecting and mining operation.
Geological field traverses and surface
Sr. Geoologist, DMG, Raichur has submitted his
geochemical sampling, one low grade iron
recommendation along with Technical Report to
ore body has been identified.
Director, DMG, GoK for reservation of applied area
in favour of NMDC for Prospecting and Mining Diamond Prospective Blocks (3 Large Block,
Operations. The matter is being pursued with Govt. 5 Small Blocks and 12 Additional Blocks):
of Karnataka. Remote Sensing Studies have been completed in
collaboration with NRSC. Chhattarpur Panna Block
In Odisha
1, Chhattarpur Panna Block 2 and Damoh Block,
lron & Manganese Ore Panna (5 Prospective Blocks) and Additional 12
Diamond Blocks.
Your Company is pursuing for reservation for
Malangtoli, Mankadnacha, Khandadhar (A & ¾¾ Established several target areas after
B Blocks), & Rakma iron ore deposits and conducting ground magnetic, VLF-EM
Panduliposi lron Ore & Manganese Deposit and & Gravity surveys and stream sediment
Kansa block for Nickel. NMDC has carried out sampling. Also demarcated several additional
detailed exploration of Malangtoli Iron ore deposit, anomalous areas in the diamond blocks
Odisha during 1972-77 and established mineable by processing the Raw Aeromagnetic Data
reserve of 340 Million tonnes. obtained from GSI in Diamond Blocks.
Your Company is putting efforts and persuing ¾¾ APCCF (LM), Bhopal granted permission
the matter with Ministry of Mines, Govt of India for drilling in 5 Blocks (2 Large Blocks & 3
through MoS, GoI for reservation of Malangtoli Iron Additional Blocks). Drilling party selected
Ore Block in favour of NMDC. Due to continuous through open ternder. Total 3882 meters of
persuasion of your Company, Ministry of Mines, drilling completed in 5 blocks and balance
Govt of India sent a letter to Govt of Odisha on 04- drilling in revenue areas is under progress.
01-2022 regarding their comments on the instant
¾¾ Matter is being pursued with Forest Dept.
proposal and observation made by IBM, Nagpur.
for obtaining permission for drilling in 4
The matter is being pursued with Govt of Odisha for
Additional Blocks.
reservation in favour of NMDC Ltd.
Prospective block for various minerals:
In Madhya Pradesh
After Remote Sensing Studies and detailed
Tripartite MoU among GoMP (MRD, through DGM),
Geological traverses one Ferro -Manganese
MPSMCL & NMDC was signed for geological and
block identified in Jabalpur -Katni Block. Large
geophysical exploration in various Districts of M.P.
scale geological mapping, surface Geochemical
In this regard, Govt. of Madhya Pradesh issued
Mapping and Ground Geophysical Survey (Magnetic
Gazette Notifications of 3 iron ore prospective
survey) and Topographical survey completed in
blocks, 20 diamond prospective blocks and 1 for
one identified Ferro -Manganese sub block. Core
various minerals prospective which are applied
drilling planned to establish the quantity and grade.
under MoU for exploration and subsequent
Forest Permission obtained for core drilling in
reservation.
one Manganese Block (14 BHs) from APCCF (LM),
36 NMDC LIMITED
Bhopal. Exploratory drilling will be conducted Chigargunta-Bisanatham gold block-
shortly.
Your Company has become preferred bidder for
Govt. of M.P. granted working permission for Chigargunta-Bisanatham gold block for Mining
reconnaissance survey for various minerals in Lease (ML area 263.01 Ha.) located in Chittoor
Jabalpur, Katni and Mandla Districts and NMDC Dist. in Andhra Pradesh through e-auction route
identified areas for Manganese, Ferro-Manganese with a final bid offer of 38.25%. The matter is
and Bauxite for further exploration. Geological subjudice due to pendency of Writ Petition filed by
mapping completed in 2 identified bauxite sub M/s Bharath Gold Mines All Employees Industrial
blocks and chemical analysis is under progress. Cooperative Society Ltd. before Hon’ble High Court
of Andhra Pradesh. The matter is being pursued
In Andhra Pradesh
with Govt. of Andhra Pradesh for issuing LOI in
Your Company has applied for Ramgiri prospective favour of NMDC.
block for lron Ore in Anantapur district. NMDC has
Drone based Mineral Exploration NMDC-IIT,
requested State Govt. to reserve this block in favour
Kharagpur.
of NMDC under 17A (2A) of MM (D&R) Amendment
Act, 2015. Your Company has signed Contract research
agreement on 16/03/2022 with Geology &
Your Company has applied for Peravali – Betapalli
Geophysics Dept. & Mining Dept. of IIT, Kharagpur.
in Kurnool & Anantapur Districts; Rajagollapalli
in Chittoor district and Konetirajupalem -Kundam NMDC-CMDC Limited (NCL) a JV Company of
block in Nellore district for Gold and associated NMDC Limited & CMDC Ltd:
elements. NMDC has requested State Govt. to
NMDC-CMDC Limited (NCL) is a Joint venture
reserve these blocks in favour of NMDC under
Company of NMDC Limited and CMDC Limited with
17A (2A) of MM (D&R) Amendment Act, 2015 for
a share capital ratio of 51% and 49% respectively.
Prospecting & Mining. The matter is being pursued
The present status of all the projects of the
with Govt of AP.
Company is as follows:-
In Bihar
Bailadila Deposit-4
Your Company requested Chief Secretary, Govt.
Ministry of Mines, GOI has reserved Bailadila Iron
of Bihar (GoB) for provision of free area/ block for
Ore Deposit-4 an area of 646.596 ha in favour
exploration for Gold & Associated Elements in
of NMDC-CMDC limited (NCL) under section
Jamui Dist., Bihar. Chief Secretary forwarded the
17A (1A) of MMDR Act, 1957 vide their Gazette
application to Prin. Sec, Mines & Geology Dept.,
Notification no. 697(E) dated 30/09/2019 for a
GoB for further necessary action. The matter is
period of 05 years for prospecting and mining
being pursued with Govt of Bihar.
operation. MRD, GoCG has issued LOI for grant
Exploration under Sub-section (1) of section (4) of of ML vide letter dated 26/06/2021 in favour of
MM (D&R) Act, 1957 in MoM, GoI allotted Blocks NCL for five years. The Mining Plan of Dep-4 has
Under NMET. been approved by IBM, Raipur on 24/09/2021. NCL
has applied for obtaining environment clearance
Your company was allocated 5 blocks (one iron ore
under Environment Protection Act, 1986 and Forest
block each in Jharkhand & Maharashtra; and 2
Clearance under Forest Conservation act, 1980.
Gold blocks in Karnataka & 1 Gold block in M.P.) by
MoM, GoI for G4 level exploration. Bailadila Deposit -13
All the blocks were explored successfully and Mining Lease was granted for Bailadila Iron Ore
Geological Reports were submitted to NMET & Deposit-13 over an area of 413.745 Ha in favour
concerned State Governments. NMET reimbursed of NMDC Limited for 50 years by State Govt. of
an amount of ` 3.42 Crores to NMDC as per Chhattisgarh vide order no. F3-84/05/12 dated
Schedule of Charges fixed by MoM, GoI and claim 07/01/2017 and Lease deed for the same has been
made by NMDC. executed on 10/01/2017.
Your Company is putting efforts to get approval As per JV agreement dated 27th March 2007 by and
from NMET, Ministry of Mines , Govt of India for the between CMDC and NMDC Ltd., mining lease for
project proposal entitled “Reconnaissance Survey Bailadila Iron Ore Deposit-13 had to be transferred
(G4) for Genesis of BIF hosted high grade iron ore in the name of NMDC-CMDC Limited (NCL) and
of Bailadila Deposits with special reference to then NCL would undertake all the required steps
geological controls on mode of occurrence of ORE- for development and operation of the Mine. Further,
BENEATH-ORE and implication on future game Mining Lease Grant Order No. F3-84/95/12 dated
changing exploration in India”. 07/01/2017, in respect of Deposit-13 issued by
State Government of Chhattisgarh, stipulate that

‘after the execution of the lease deed, NMDC will NCL vide letter no. NCL/HO/Dep-13/
transfer the Mining Lease to the JV Company ML/2020/833/01 dated 25.03.2021 has submitted
NMDC-CMDC limited’. ` 1,00,000/- (Rs. One Lakh) towards revival of
mining Lease of Bailadila Iron Ore Deposit-13
Mineral Resource Department, Government
under Rule 20(5) of MCR (other than atomic and
of Chhattisgarh, has issued an order no. F3-
hydro carbons energy minerals) 2016 vide Challan
84/1995/12 dated 06/11/2017 for transferring
no: 146803648 dated 23.03.2021.
the mining lease of Bailadila Iron Ore Deposit-13
in favor of NMDC-CMDC Limited. Mining Lease NCL vide letter no. NCL/HO/Dep-13/ML/2022/1014
of Deposit-13 has been transferred in favour of dated 14.02.2022 has again requested Under
NMDC-CMDC Limited (NCL) on 04.12.2017. On Secretary, MRD, GoCG for providing suitable
02.07.2018 M/s Adani Enterprises Limited has been decision in the matter of lapsing of mining lease,
appointed as MDO for Bailadila Iron Ore Deposit-13. so as to start the development and operation of
Deposit-13. Also, NCL vide letter no. NCL/HO/Dep-
MoEF&CC, GOI, has accorded transfer of
13/ML/2022/1015 dated 14.02.2022 has requested
Environmental Clearance in name of NMDC-CMDC
Dy. Secretary (Forest), GoCG for providing suitable
Limited from NMDC on 12.12.2019. Final FC under
decision in the matter of cancelling the Stage-II
Section 2(ii) of Forest Conservation Act 1980 was
Forest clearance of Deposit-13, so as to start the
granted over an area of 315.813 Ha. in favour of
development and operation of Deposit-13.
NMDC Limited by MoEF&CC on 09.01.2017. Action
has been initiated for transfer of existing FC in Baloda - Belmundi Diamond Block
favour of NCL. CECB granted approval to NCL for
The Company has submitted the proposal to
consent to Operate 2MTPA on 27.04.2019.
the Secretary, MRD, Govt. of Chhattisgarh for
The Revised Mine Plan of NCL was approved by Baloda - Belmundi Diamond Block over an area
IBM, Raipur on 06.03.2019 for a capacity of 10 of 156.80 sq km in Saraipali Tehsil, Mahasamund
MTPA. The validity of the Mining Plan of Deposit-13 Dist. for reservation under section 17A (2A) of MM
was up to March 2021. Hence, Revised Mining Plan (D&R) Amendment Act, 2015 for prospecting and
for the period 2021-26 has been prepared by NMDC exploitation.
and the same was approved by IBM Raipur on
Ministry of Mines, GOI vide G.S.R.744(E) dt
12.01.2021.
14.10.2021 granted reservation of Baloda-Belmundi
District administrator, Dantewada issued orders to Diamond Block for PL or ML in favour of NMDC-
stop all project activities of Dep-13 on 11.06.2019 CMDC limited under section 17A(1A) of MMDR Act,
due to protest by local villagers against MDO 1957. NCL vide letter dated 13.01.2022, submitted
and demanding enquiry against FRA certificate application to Secretary, MRD, GoCG for grant of
issued by Gram Sabha. Forest Department, GOCG, Prospecting License for Baloda-Belmundi Diamond
Raipur has issued show cause notice to NMDC Block.
for cancelling the Stage-II Forest clearance of
Bailadila Deposit No.1 and 3 & 8
Deposit-13 on 06.03.2020 considering the report
of District Administrator, Dantewada to nullify The Company has submitted proposal to the
the Gram Sabha proceedings. NMDC-CMDC Secretary, MRD, GoCG dated 06/10/2021 &
Limited (NCL) has submitted the reply to the forest 25/10/2021 to reserve Dep. No. 1, 3&8 respectively
Department, Govt. of Chhattisgarh against the in favour of NMDC-CMDC Limited (NCL) under
show cause notice issued for cancelling the Stage- section 17A (2) of MM (D&R) Act, 1957.
II Forest clearance of Deposit-13.
MRD, GoCG vide letter dated 24.11.2021 has
MRD, Govt. of Chhattisgarh has issued a notice to recommended to MoM, GOI for reservation of 21.3
NMDC-CMDC Limited (NCL) for lapsing the Mining Sq.km area of Dep-1 mine in favour of NMDC-
Lease of Deposit-13 for non-commencement CMDC Limited under rule 17A(2) of MMDR Act 1957
of mining operation within 2 years from grant (as amended) for undertaking prospecting followed
of mining lease under Rule 20(3) of MCR 2016 by mining operations.
on 05.03.2020. NMDC-CMDC Limited (NCL) has
submitted the reply to the MRD, GOCG against
the notice issued for lapsing the Mining Lease
of Deposit-13 for non-commencement of mining
operation within 2 years from grant of mining lease
under Rule 20(3) of MCR 2016.
38 NMDC LIMITED
9.0 SUBSIDIARY / ASSOCIATE / JOINT VENTURE (JV) COMPANIES MONITORING FRAMEWORK
a) As on 31.03.2022, NMDC has 6 subsidiaries and stake in 5 Associate and 5 JV Companies. The names of these
Companies and percentage of NMDC stake in these companies are as follows:
NMDC Ltd.
Subsidiaries JV Companies Associate Companies
95.86% J&KMDC Ltd. Krishnapatnam

6.40%
Railway Co. Ltd.
Legacy Iron Ore Ltd.,

90.02%
Australia International Coal
25.94%
Ventures Pvt. Ltd.
Karnataka Vijaynagar
100%
Steel Ltd.
Neelachal Ispat Nigam
10.10%
Ltd.
100% NMDC Steel Ltd.
Romelt-SAIL (India)
25%
NMDC CSR Ltd.*
100%
Foundation
Chhattisgarh Mega
100% NMDC SARL* 26%
Steel Ltd.
100% NMDC Power Limited#
Jharkhand Kolhan
100% 51% NMDC-CMDC Ltd.
Steel Limited##
*Under closure.
Jharkhand National
#
Voluntary Liquidation - NCLT, Hyderabad bench dissolved NMDC 60% Mineral Development
Power Limited vide order dated 14.10.2021. Corporation Ltd.
##
Voluntary Liquidation - NCLT, Kolkata bench disposed of
Jharkhand Kolhan Steel Limited vide order dated 17.12.2021 Bastar Railway
52%
###
Govt. of India, Ministry of Corporate Affairs vide its letter dated Private Ltd.
16.08.2021 inter alia, communicated that pursuant to sub-section (5)
of section 248 of the Companies Act, 2013, the name of M/s. NMDC-
51% NMDC-SAIL Limited###
SAIL Ltd. has been struck off by Registrar of Companies and the
said company is dissolved.
The subsidiaries of NMDC are Board managed with the primary 50% KopanO-NMDC
interest to manage such Companies in the best interest of the Minerals (pty) ltd*
shareholders. The framework for Subsidiary / Associate / JV
Companies are as under:-
i) All investments in these Companies are approved by the Board of Directors.
ii) The Company nominates its representatives on the Board of these Companies.
iii) The minutes of the Board meeting of these Companies are placed before the Board of NMDC Limited.
Notes:
Subsidiary / Associate / Joint Venture Companies have been categorized in line with disclosures as made in the financial statements.

10.0 ENVIRONMENT MANAGEMENT: Deposit-5 from 10 to 12 MTPA of ROM Iron Ore.
QCI/NABET accredited consultant has been
NMDC has obtained the Environmental Clerance appointed for preparation of EIA/EMP report in line
(EC) under EIA notification 2006 from MOEF&CC for with the MOEF&CC circular issued on 11.4.2022
regularisation of Deposit-11 ML for the production upto 20% based on the environmental safeguard
capacity of 11.30 MTPA ROM Iron Ore. Amendment conditions. The baseline studies are under
of existing Environmental Clerance of 14/11C by progress covering pre-monsoon’2022.
excluding 11C part (1.5 MTPA Iron Ore Production),
modifying to Deposit-14&14NMZ for the production Your company has got valid operating consents
capacity of 10.5 MTPA ROM production obtained from State Pollution Control Boards for all
from MOEF&CC on 1.12.2021. production projects. The Company obtained
renewal of Consent to Operate under Air
Your company has also obtained TOR from (Prevention & Control of Pollution) Acts 1981 and
MOEF&CC on 22/3/2022 for capacity expansion of Water (Prevention & Control of Pollution) Act 1974
Deposit-14 ( from 5 to 10 MTPA ROM Iron Ore) & for all projects.
Deposit-14 NMZ (from 5.5 to 8.5 MTPA ROM Iron
Ore). The work order was issued for appointment Your company also obtained the consent for
of QCI/NABET consultant for preparation of EIA/ operation of 100 bedded Hospital at Bacheli and is
EMP report. The baseline studies are under valid till 27/8/2026.
progress covering pre-monsoon season’2022.
Your company also obtained authorization under
Your company is in the process of enhancing the Hazardous Waste Management & Transboundary
ROM Iron ore production capacity of Kumaraswamy movement Rules 2016 from CECB for Bailadila
Iron Ore Mine from 7 to 10 MTPA. The public Deposit-5 for handling 100 KL used oil. The
hearing was successfully held on 22.3.22 at KIOM. authorization is valid till 2/8/2025.
The action plan is under progress for the public
Your company obtained final forest clearance from
hearing demands. The final EIA/EMP report, Form-
MoEF&CC, Integrated Regional Office, Raipur on
II etc will be uploaded in PARIVESH shortly for
21/12/2021 for diversion of 7.116 Ha of forestland
Expert Appraisal Committee for obtaining of EC.
for associated facilities for Iron Ore Beneficiation
Your company is in the process of enhancing the Plant at Bacheli.
ROM Iron Ore production capacity of Bailadila,
40 NMDC LIMITED
The sub-committee comprising of Expert Appraisal corrective actions related to work atmosphere.
Committee, representatives of MOEF&CC, Delhi,
Man days lost per 100000 man days worked for the
Representatives of MOEF&CC, Nagpur & Bhopal
year 2021-22 is 2.16 and 3.69 for the year
and Field Director (Panna Tiger Reserve) visited the
2020-2021.
Panna Diamond Mining Project, Panna on 29th-31st
October’2021. Integrated Management System (IMS)
Your Company has amended Tripartite agreement Comprising of Quality Management System (QMS) -
and released ` 699 Lakhs in December 2021 for ISO 9001:2015; Environmental Management System
implementation of Dhurli Samuh Gramin Jal (EMS) – ISO 14001:2015; Occupational Health
Praday Yojana in 24 no.s villages under Dantewada & Safety Management System (OHSMS) – ISO
District, Chhattisgarh. The total revised cost for 45001:2018 & Social Accountability - SA 8000:2014
implementation of the above water supply scheme Certification Standards.
is ` 5453.85 Lakhs.
All the NMDC Production Projects viz. Bailadila Iron
Your company is taking utmost care for Ore Mine, Kirandul Complex (BIOM, KC); Bailadila
environmental protection and ecological Iron Ore Mine, Bacheli Complex (BIOM, BC);
restoration work that includes plantation in and Donimalai Iron Ore Mine & Kumarswamy Iron Ore
around the lease areas, construction and repair of Mine, Donimalai Complex (DIOM & KIOM); Diamond
buttress walls, check dams, check bunds, garland Mining Project, Panna (DMP, Panna) including
drains, rainwater harvesting pits, broadcasting Research & Development Centre (R&D Centre) are
of seedlings and laying of geo-coir matting accredited with Integrated Management System
on the inactive waste dumping sites are being (IMS).
implemented.
OHS Activities:
Your Company is carrying out greenhouse gas
Occupational Health Services have been provided
(GHG) accounting studies for the three iron ore
with adequate manpower and infrastructure and
mining projects, environmental monitoring studies
are functioning in full-fledged manner at all the
covering all environmental attributes, ground water
Projects, headed by Qualified Doctors trained in
quality & water levels by recognized laboratories.
OHS at Central Labour Institute, Mumbai.
The studies indicated that all environmental
parameters are found well within the limits. Periodical Medical Examination under statute is
carried out regularly in all the projects.
11.0 SAFETY
Safety Management System:
Mine Safety – Activities
Safety Management system has been implemented
NMDC has its training centers in all its projects.
in all our mines. Risk Assessment studies are
They are equipped with infrastructure as required
being conducted regularly.
under Mines Vocational Training Rules. These
centers cater to the needs of basic training, 12.0 IMPLEMENTATION OF INTEGRITY PACT:
refresher training and training for skilled workers
and also for those injured on duty. With the objective of improving transparency
in procurement, NMDC had entered into MOU
In each mining project of NMDC sufficient number with Transparency International India for
of workmen inspectors are nominated/appointed implementation of Integrity Pact Programme
for mining operations, mechanical and electrical during September 2007. NMDC is the first Mining
installations as per statutory requirements. Navratna Company which entered into Integrity
Pact Programme in the year 2007.
Mine Level Tripartite Safety Committee Meetings
(MLTSCM) are being conducted once in a year Initially, the threshold value for procurement &
at Project Level with Senior Officials, Union contracts for entering into the Integrity Pact have
Representatives and DGMS Officials in which Safety been fixed as follows:-
Performance and its appraisal are made and the
recommendations are implemented. Contracts : ` 50.00 crores
Corporate Level Tripartite Safety Committee Procurements : ` 15.00 crores

Meeting is being held regularly once in a year To widen the coverage of procurements / contracts
at Head Office after completing the Mine Level under Integrity Pact, the threshold limits have been
meetings at all Mines. revised during 2009 as under:
Safety Committees have been constituted in every Contracts : ` 20.00 crores
operating mine and pit safety meetings are held
every month for discussing the safety matters and Procurements : ` 10.00 crores

Subsequently, to cover majority of cases under 13.0 NMDC’S R&D CENTRE AT HYDERABAD
Integrity Pact, the threshold limits have been
reduced to ` 1.00 crore for procurements / NMDC R&D centre is dedicated to undertake
contracts w.e.f September 2018. product and technology development projects
related to ores, minerals and steel making to
During 2021-22,137 tenders valuing ` 2862.68 maintain its excellence in process performance.
crores were covered under this category. R&D centre has made significant contribution
not only to NMDC operating projects but also to
12.1 Transparency in procurements handled
Indian industries and is recognized by Department
In order to enhance transparency in procurements of Scientific and Industrial Research (DSIR).
& increasing competitiveness, our company R&D centre undertakes works related to mineral
adopted the following modes of tendering:- processing, flow sheet development, mineralogical
studies, material handling & storage, metallurgical
¾¾ e-Procurement:
studies of iron ore and coal, chemical analysis
• All procurements of value above ` 2 etc. It is a pioneer in the field of beneficiation
lakh are tendered through e-mode at and continuously working for development of dry
HO & Projects. Reverse e-auctions beneficiation technology for different ores and
are conducted for high value spares minerals. It is endowed with state of art laboratory
& consumables, wherever possible, equipment to analyze different minerals, coals,
by declaring upfront in the tender metals and non-metals. For further details
document reference may be made to Annexure-II attached to
the Directors’ Report.
• Broad basing of vendors done for high
value items viz. Milled Ferro Silicon,
Crusher Spares, Under Carriage parts
of Excavators, TCRR bits, conveyer
belts and plant items which resulted in
substantial savings in cost.
¾¾ Mode of Tendering: Efforts are continuously
taken to minimize proprietary & single
tender purchases. Instead, open/global
tenders are resorted to by giving generalized
specifications & drawings, wherever possible
or with OEM Part Numbers. Single Tender
/ Proprietary purchases have been reduced
from ` 1579.15 lakhs (85 cases) during
2017-18 to ` 287.67 lakhs (34 cases) during
2018-19. ` 271.85 lakhs (26 cases) during 14.0 GLOBAL EXPLORATION CENTRE, RAIPUR
2019-20, ` 3975.96 Lakhs (33 cases) during
2020-21, ` 13939.95 Lakhs (56 cases) during NMDC’s Global Exploration Centre at Raipur is
2021-22.The Increase during FY 2021-22 is continuously doing exploration in the mines of
due to implementation of MII Policy in NMDC. NMDC and adding new reserves every year. NMDC
has offered to State Governments to undertake free
¾¾ Pre-qualifying conditions: PQC for conveyor exploration to quantify mineral resources in the
belts & HEM equipments tenders have been State.
reviewed and structured PQCs have been
made keeping in view wider participation. 15.0 IMPLEMENTATION OF OFFICIAL LANGUAGE
POLICY
¾¾ GeM Portal: Procurement through GeM portal
as per the guidelines of GOI, is being done for NMDC effectively continued the implementation
the Materials which are available in the GeM and compliance of the Official Language Policy of
Portal. Total 1713 orders valuing ` 172.42 the Government of India at headquarters, projects
crores were placed during the year 2021-22. and units.
¾¾ CPP Portal: MM Dept. is posting tenders All-India Seminar of Official Language Officers
in the CPP portal except Single tender was organized on 28th March, 2022 at NMDC
and proprietary items. All the bidders Headquarters, Hyderabad under the aegis of
approaching through CPP portal for entering Ministry of Steel. The seminar was held on the
in NMDC are invited for registration with themes of (1) The role of Microsoft Tools in the
NMDC or conducting trial with NMDC for promotion of Official Language and (2) Hindi – Lok
ensuring their quality product. Bhasha vs. Rajbhasha”.
42 NMDC LIMITED
The Government of India, Ministry of Steel
conferred “Ispat Rajbhasha First” award on
NMDC Ltd, Headquarters for the year 2020-21.
NMDC received “Official Language Shield” as the
‘First Prize’ for the year 2020-21 in the category
of Mid- Sized Undertakings for the outstanding
implementation of official language from Town
Official Language Implementation Committee
(Undertaking), Hyderabad-Secunderabad. “Khanij
Bharati” received the First prize of Town Official
Language Implementation Committee (TOLIC),
Hyderabad-Secunderabad. Khanij Bharati
Magazine also received the National First Award of
The Public Relations Society of India.
16.0 DETAILS REQUIRED TO BE FURNISHED IN
TERMS OF MICRO, SMALL AND MEDIUM
ENTERPRISES DEVELOPMENT ACT, 2006
(MSMED).
The company has taken the following steps to
procure goods and services from MSE firms,
“Hindi Parangat” training continued unabated MSE SC/ST & Women entrepreneurs. NMDC has
through teams app, following all the safety conducted exclusive MSE SC / ST vendor meets
measures in view of the COVID-19 pandemic. at its projects in Chhattisgarh and Karnataka
During the year, Hindi Workshops were organized to understand the tender process and our
online in every quarter at headquarters and requirement. NMDC has participated in the various
various projects. Meetings of the Official Language vendor meets organised by Ministry of Micro, Small
Implementation Committee were held on-line every & Medium Enterprises in association with FICCI.
quarter at headquarters and projects. Besides NMDC has organised 08 Nos. Vendor
Meets / programmes at various places in total
Hindi week/fortnight was organized at NMDC during 2021-22. NMDC interacted with prospective
Headquarters and all the projects and offices. MSE entrepreneurs encouraging them for supply of
During this, some Hindi competitions were held goods for various plants at Bailadila & Donimalai.
online and some with physical presence. CMD’s
messages were circulated through social media For encouraging MSE SC/ST firms, exclusive trials
channels like Twitter, Facebook, YouTube. are being conducted and after successful trials the
firms are given tender enquiry in Limited Tender.
Rajbhasha half yearly house journal of Headquarter
“Khanij Bharati” and various Hindi/bilingual/tri- Moreover, against the qualification criteria in
lingual magazines namely, Baila Samachar, Bacheli tenders we have not received any complaint /
Samachar, Doni Samachar, Heera Samachar were request with regard to relaxing tender terms &
also published from the projects and units of conditions. For the last 3 years NMDC is achieving
NMDC. the targets as per Public Procurement Policy. The
results of 2021-22 are given below:-
Monthly Hindi competitions were held in all
production projects to promote the use of official Category of MSE Firm Norms Achievement
language.
Procurement from
25% 44.67 %
A short documentary film on “Journey of Rajbhasha MSE firms
Implementation” in NMDC was made and screened Procurement from SC /
at the meeting of the Hindi Advisory Committee of 4% 4.90 %
ST MSE firms
the Ministry of Steel.
Procurement from
Diamond Mining Project, Panna organized Women Entrepreneurs 3% 3.07 %
various programs as the Convenor of Town MSE firms
Official Language Implementation Committee.
The project also organized Hindi Kavi Sammelan. NMDC also received the Best Performer under
Official Language Technical Seminars were held at the Navratna Category during the year 2019 for
Kirandul Complex, Bacheli Complex and Diamond our exemplary work towards promotion of SC/
Mining Project, Panna and magazines of technical ST entrepreneurs based on the performance
articles were published in Hindi. parameters namely (i) procurement from SC/ST

entrepreneurs, (ii) No. of Vendor Development 17.7 Disclosure under Section 22 of the Sexual
Programs for SC/ST and (iii) Number of SC/ST Harassment of Women at Workplace (Prevention,
entrepreneurs benefitted as per the data uploaded Prohibition and Redressal) Act 2013
on Sambandh Portal.
No complaint has been received and no case
17.0 MANPOWER has been filed under the Sexual Harassment of
Women at Workplace (Prevention, Prohibition and
17.1 Employee-Employer relations
Redressal) Act 2013 during the financial year 2021-
The overall industrial relations situation was 2022.
peaceful and cordial during the year. There was
18.0 HUMAN RESOURCES DEVELOPMENT
no strike / lockout against the Company’s policies
affecting production and productivity. At NMDC, we believe in building a learning culture
to foster high performance and an agile workforce.
17.2 Scheduled Castes & Scheduled Tribes
A robust Learning culture is imperative in NMDC
01 candidates belonging to Scheduled Caste was which seeks to be defined by its performance
appointed in the year 2021-22 against 10 posts capabilities.
filled by direct recruitment.
• We believe that business sustainability has
17.3 Strength of SCs & STs as on 31st March 2022 become a crucial component of long-term
business goals. It involves figuring out newer
1. Total number of employees : 5539 ways to remain productive in a fast-changing
2. Scheduled Castes : 827 landscape. But as both technological change
and employee preferences evolve, keeping up
3. Scheduled Tribes : 1395 to date with the required skills and more holistic
4. Other Backward Class : 1137 ways of addressing such changes becomes an
5. PwDs (Divyangjan) : 100 important means to ensure businesses remain
sustainable. At the core of addressing such
17.4 Particulars of employees drawing remuneration business needs, a robust learning culture is
of ` 8.5 lakhs per month or ` 1.02 crores per need of the hour.
annum under Section 197 of the Companies Act, • At NMDC we have created high impact
2013 read with the Companies (Appointment and learning culture which reflects both in the
remuneration of Managerial Personnel) Rules, rising size of the learning needs and its
2014 as amended. demands within the business as an important
NIL part of our future goals.
17.5 Staff Welfare activities • NMDC Corporate HRD department plays

a vital role in enabling its workforce to
Adequate facilities for education, health, deal with market uncertainty and ensure
accommodation and recreation were in place. its businesses can continuously innovate.
Various Bipartite fora have been functioning Throughout, our learning and development
satisfactorily. programs have always played a pivotal
17.6 Promotion of Sports role in helping business by fine-tuning our
employee’s capabilities.
Sports tournaments were arranged by respective
Projects for the employees, the wards of employees • NMDC strongly believes in a strong learning
and also for the local youth apart from promoting mechanism which can impart skills in a
sports events under CSR. timely and effective manner and minimize
the impact of the various threats posed by
external forces and uncertainties.
• Keeping in mind the need to have a robust
learning mechanism in NMDC, Corporate
HRD function at the forefront is playing an
important role in ensuring the organizational
workforce is trained and equipped with
requisite skills and can face future
challenges.
44 NMDC LIMITED
Productivity today in NMDC, is related to how B. WEB BASED LEARNING INITIATIVES
efficiently and effectively our employees can use
Successfully organised and conducted various
new-age digital technologies to make their work
specialised programme during the year viz. Web
more efficient, impactful and meaningful. And
based learning programmes, Professional Residential
to do so, knowledge and skills play an important
programme with Premier Institutions, Specialised
role. Keeping this in view, NMDC is investing on
Curated programmes, Technical, Managerial &
its workforce by means of various learning and
Behavioural and also on Health and Wellness.
development programmes to retain and add its
value. Bolstering this, NMDC spent ` 15 Crores C. STRENGTHENING OF QUALITY CIRCLES
(approx.) on Learning and Development during the
Strengthened the Quality Circles Movement in
year 2021-22.
NMDC, by giving more thrust on Quality Circles
For a high-performance organization, it’s activities by adding 5% more QCs this year. We have
imperative that these knowledge and skills are bagged 18 Gold Awards in CCQC. Also, Excellence
continuously replenished by virtue of imparting new and Par Excellence award in National Convention
age learning technologies. on Quality Concepts (NCQC)-2021. NMDC also
participated in Internal Convention on Quality
It is pertinent to mention here that, towards
Controls Circles (ICQCC-2021).
2021-22 Learning and Development initiatives we
were aligned with our business goals. Despite D. TALENT MANAGEMENT
the pandemic, the on-going core programmes
¾¾ Corporate HRD has drawn a plan to conduct
were revitalised to reflect the emerging capability
various Training Programme on Talent
requirements. In addition to core programmes,
Management.
customised e-learning programmes were also
offered to address the needs expressed by ¾¾ New Learning and Development Intervention
businesses, aimed at building specific capabilities Induction Training Programme for Young
at various levels of the organisation. Executive Trainees (Finance) & Executive
Trainees (GATE) with Indian Business School
A. TRAINING PROGRAMMES (In-House / External)
(ISB) one of its kind done by any of the PSU in
Corporate HRD has organised customized In House Country.
Training as well as External Training programmes
E. TRAINING ON PREVENTIVE VIGILANCE
covering 3575 Executives during 2021-22.
Corporate HRD Conducted several specialized & ¾¾ Conducted Preventive Vigilance Training
curated Programmes on: Module for mid-career Executives by covering
a total of 400 plus executives sensitising them
¾¾ Reservation Policy for SC/ST, OBC, Ex
on various Preventive vigilance aspects.
Servicemen, PWD and EWS in PSE
F. CULTURE BUILDING & HAPPINESS WORKSHOPS
¾¾ Sexual Harassment of Women at Work Place
(Prevention, Prohibition & Redressal ACT 2013) COVID-19 has thrown unprecedented challenges
before us alongside Fear, Stress & Anxiety. To
¾¾ Online Training programme for Inquiry Officers
overcome and tackle this, happiness programme
(IOs) & Presenting Officers (POs) by CBI
was conducted by NMDC for the employees not
Academy
only to be better equipped to identify the level of
¾¾ Curated Business Leader Programme by Art of happiness within organisation and help employees
Living. at various levels to understand why happiness is
worthwhile goal for achieving high performance in
¾¾ Workshop on Arbitration and Contract
life and work.
Management Negotiation Skills.
Covered 240 executives DGM & above executives
¾¾ Workshop on Recent Amendments in Arbitration
in a unique tailored programme namely “IKIGAI- A
and Conciliation Act 1966.
Happy Workforce Programme- Phase 1”. Keeping
¾¾ Communication Skills for Managers. in view the feedback from the phase-1 participants,
the programme is the further extended to 500
No executives were sent abroad for Foreign
executives (AGM & Sr Manager level)“IKIGAI- A
Training Programmes during 2021-22 /AMP/Visits
Happy Workforce Programme- Phase 2”
due to COVID-19 pandemic.
These types of programmes equipped our people to
support engagement and productivity within NMDC
and strengthen their sense of belongingness,
purpose, meaning and satisfaction -not only at the
offices but in their life as a whole.

G. SKILL DEVELOPMENT TRAINING Development received on 10.04.2021, Further
NMDC was also conferred cash prize towards the
NMDC and NSDC has entered into MoU on
same.
01.11.2021 for imparting training and RPL
certification for 1600 employees in 4 years (400 19.0 VIGILANCE
each) in mining and steel sector.
Vigilance department has taken several initiatives
Your Company is also playing a pivotal role to during the year. Emphasis was laid on adequate
support the National Skill Development Mission checks and balances in the form of well-defined
through active participation in the activities of Skill systems and procedures. Various programmes
Council for Mining Sector (SCMS) and providing were conducted for awareness on vigilance
Training and Recognition of Prior Learning (RPL) in matters for the employees of the Corporation.
all Projects. The vigilance functionaries at the projects have
conducted regular training classes for the
H. DIGITAL INITIATIVES
employees on vigilance matters. Executives of the
Introduction of SAP Learning Solutions & HRD Vigilance Department were nominated for training/
Dash Board. workshops being organized in India.
Lifelong learning is a challenge that learners, The systems and procedures including the
employees, and employers are equally faced with. document handling, maintenance of records are
Traditional classroom training ties up time and done to ensure that the Vigilance Department is
resources, takes employees away from their day- conforming to the Quality Management Systems as
to-day tasks, and drives up expenses. per ISO 9001:2015 Standards.
This situation calls for new strategies leading Vigilance Department in NMDC has upgraded to
directly to the work space and centers of ISO 9001:2015 standards of Quality Management
employees. The employee’s PC at work or at home System (QMS) for which M/s Vexil Business
becomes a personal training center. E-learning can Process Services Private Limited, Delhi was
be used in a wide variety of areas. It can help to cut engaged for routine surveillance audits and Quality
the cost of training by providing more learners with Certification.
easier access to training measures.
During the year (April 2021 – March 2022), 55
In this line, keeping under the ambit of ERP-SAP surprise checks, 68 regular inspections, was
implementation in NMDC, Corporate HRD working conducted by Vigilance Department. Complaints
on the SAP Learning Solution Module which received were taken up for investigation and
paves the way for this development. It opens up necessary suggestions for system improvement/
new learning possibilities for learners, trainers, disciplinary action wherever required were
companies, and educational institutions. recommended. A total of 57 complaints were
received through various source information during
I. REWARDS & RECOGNITION
the period which were handled / disposed off as per
NMDC was conferred 2nd prize for innovative CVC guidelines / complaint handling procedure.
training practices at National level for the year
As part of the implementation of “Leveraging
2019-20 by Indian Society for Training and
46 NMDC LIMITED
of Technology for transparency” in all the received during the month of August / September
transactions, details of contracts concluded above 2020, a 02 days module and Road map for
` 10 lakhs, all works awarded on nomination basis, imparting training on Preventive Vgilance Module
single tender basis above ` 1 lakh, information separately for Induction level (new entrants) and
regarding bill payments to the contractors, Mid-career level Executives were drawn up and
etc. are provided on the company’s website. was integrated with our HRD’s regular training
Vigilance department made allout efforts for plan. The said training programs on Preventive
E-Procurements through online e-procurement Vigilance is being arranged every month at
platforms like MSTC, GeM etc. and it has now been NMDC in compliance of CVC guidelines, covering
ensured at NMDC that all tenders of value Induction level and mid-career level executives
2 lakhs and above shall be floated / issued through of HO, ROs and all Projects. Keeping in view the
E-Procurement platform. In this regard, Vigilance present scenario of the pandemic, the sessions for
dept. is regularly creating awareness by intimating training on PV has been arranged through Hybrid
fresh guidelines issued by statutory authorities mode, i.e., through off line class-room mode at
/ agencies and advising/ involving the concerned few locations like Head office and through online
departments for compliance. relay under the concept of extended classrooms at
remote locations & Projects. A total of 56 trainees/
NMDC has adopted the Integrity Pact since
new inductees(executives) were covered for the
November 2007. As per the suggestions given by
Induction level training and 408 trainees/mid-level
Vigilance Department, the threshold value has
executives were covered under mid-career level
been decreased to 1.0 Crore w.e.f. 07.09.2018
training in the training programmes conducted
for both Procurement and Contracts as against
under the Preventive Training Module as suggested
the earlier threshold limit of ` 20 crores in case
by CVC.
of Civil works and Contracts and ` 10 crores in
case of Procurement on approval of NMDC Board. System improvements undertaken /
The Integrity Pact has been entered into in 476 implemented During the Year 2021-22
contracts with a value of ` 28,918.77 Crores for the
As per the Action Plan of the Vigilanec dept., viz-a-viz
period April 2021-March 2022. All the contracts
the action plan of individual vigilance officers for the year
wherein the Integrity Pact was to be signed as per
2021-22, surprise and regular checks were conducted
the threshold limit was adhered to and more than
besides the study of files. Irregularities and omissions
90% of the total values of the contracts are covered
under the provisions of the rules were identified and
under Integrity Pact.
improvements in the systems were suggested wherever
To ensure transparency in vigilance works, required.
necessary action has been initiated for rotation /
The initiatives/system improvements studies/
repatriation of vigilance officers, and for inducting
suggestions/recommendations made during the period
of new officers in Vigilance department for
are briefed as below:-
compliance of CVC guidelines by 30.06.2022. The
rotational transfer of officers of other departments 1. Write-off of Handling Losses against the issue of
was also effected during the period, in compliance Motor Spirit (MS) and High-Speed Diesel (HSD):
of CVC guidelines and a total of 95 officers were
A study was conducted to evaluate the
rotated / transferred.
effectiveness of the current write-off technique
The Quarterly Review-cum-Coordination meeting for reconciling the handling losses against the
of the Vigilance dept. with CVO was held in June issue of Motor Spirit (MS) and High-Speed Diesel
2021 at Hyderabad, in September 2021 at Raipur, at Projects. It was observed that the conventional
in December 2021 at Hospet and in March 2022 at method of recording and calculating the losses
Hyderabad for the first quarter, second quarter, was incongruent with recent technological
third quarter and fourth quarter respectively. The developments. The vigilance department advised
said meeting was attended by all the Vigilance revising the internal circular on write-offs and
Officers posted at Head Office and Projects like employing an IT-based solution such as FMS to
Kirandul, Bacheli, Donimalai, Panna & NISP. record fuel levels, or for receipt of fuel, etc.
Project-wise presentations were made and matters
2. System improvements suggested in the Contract
pertaining to vigilance inspections and system
Award Process:
improvements recommended / implemented
etc. were discussed. Few common matters An online/offline demonstration for evaluating
were also discussed in open-house wherein all techno-commercial proposals of any specialty
VOs exchanged their views and gave valuable software may be required at the procurement
suggestions. stage. Nonetheless, a vigilance investigation
revealed that the existing MM Manual contains
In pursuance of CVC directions / guidelines

no guidelines or provisions to be followed in such Governance and Technology, and Whistle Blower
cases. The Vigilance department has suggested Mechanism in PSUs’ was organized on 28.10.2021 at HO
recording Online/Offline demonstrations and wherein Ms. Praveen Kumari Singh, Addl. Secretary,
drafting SOPs/Guidelines to be followed in CVC was the keynote speaker and CMD, NMDC was the
instances where Online/Offline demonstrations chief guest. In addition to this, workshops on E-Tendering
were included in tender documents for evaluating and use of GeM Portal and Statutory compliances and
techno-commercial offers. Contract labour management were conducted as a part
of VAW-2021. Awareness and sensitization programmes
3. System improvements suggested in Empanelment
on use of PIDPI for employees, school / college children
of Contractor:
and other stakeholders were conducted at Head Office/
The contractors were empaneled for various types Regional Offices & all Projects. All the winners /
and values of works based on eligibility criteria participants of various activities / competitions were
at respective projects of the Corporation. During given away the prizes during the Valedictory Function
one of the investigation, it was discovered that held on the concluding day of VAW-2021 on 1st Nov, 2021
most of the new contractors visited the office to at HO and all Projects.
inquire about the empanelment procedure since
During the observance of VAW-2021, all the precautions
they were unaware of its existence. The vigilance
as per COVID-19 guidelines were strictly followed.
department suggested standardizing the format for
empanelment across all projects and putting it in 20.0 DIRECTORS’ RESPONSIBILITY STATEMENT
public domain.
Pursuant to Section 134(5) of the Act, the Board of
4. System improvements suggested for PMC for large Directors, to the best of its knowledge and ability,
contracts: confirm that:
The vigilance department suggested for i) in the preparation of the annual accounts,
appointment of PMC for large projects and for the applicable accounting standards have
developing a proper SOP in cases where PMC been followed and there are no material
consultant withdraws from project for any reason. departures;
The same has been implemented by the concerned
ii) they have selected such accounting policies
departments.
and applied them consistently and made
5. As per the CVC guidelines, all the companies judgments and estimates that are reasonable
coming under the category of Navratna or having and prudent so as to give a true and fair view
the turnover of ` 10,000 crores and above are of the state of affairs of the Company at the
required to have three IEMs in their panel. Vigilance end of the financial year and of the profit of
department ensured the compliance of the above the Company for that period;
guidelines and appointment of third IEM at NMDC
iii) they have taken proper and sufficient care
was made on 29.04.2022.
for the maintenance of adequate accounting
6. A Complaint Handling Policy was prepared and records in accordance with the provisions
uploaded in Vigilance Portal of NMDC with SOP / of the Act for safeguarding the assets of the
guidelines for lodging Vigilance complaints. It got Company and for preventing and detecting
implemented w.e.f. 01.01.2022. fraud and other irregularities;
Vigilance Awareness Week iv) they have prepared the annual accounts on a
going concern basis;
As per CVC Circular No. 05/09/2021 dt. 01/09/2021,
Vigilance Awareness week-2021 was observed at NMDC v) they have laid down internal financial controls
Limited from 26th Oct – 1st Nov, 2021 on the theme to be followed by the Company and such
“Independent India @75 “ Self Reliance with Integrity”. internal financial controls are adequate and
operating effectively;
On the Inaugural day of VAW-2021, Integrity Pledge was
administered to the employees of NMDC at HO by CMD vi) they have devised proper systems to ensure
and by respective Project Heads / Regional Managers in compliance with the provisions of all
the Projects and ROs respectively. applicable laws and that such systems are
adequate and operating effectively.
Various activities including sensitization programmes
and individual/inter-departmental competitions Based on the framework of internal financial
like Slogan writing, Essay writing, Elocution, Quiz controls and compliance systems established and
competition, inter-departmental House-keeping maintained by the Company, the work performed by
competition and Drawing of e-posters on the VAW theme the internal, statutory and secretarial auditors and
were arranged for the employees during the Vigilance external consultants, including the audit of internal
Awareness Week-2021. A workshop on ‘Corporate financial controls over financial reporting by the
48 NMDC LIMITED
statutory auditors and the reviews performed by speciality steel capacity by 25 million tonnes (MT)
management and the relevant board committees, to 42 MT by FY’27. NMDC is also reviewing its
including the audit committee, the Board is of long-term plan based on the increase in demand
the opinion that the Company’s internal financial & growth in the iron & steel industry after the
controls were adequate and effective during FY pandemic. As per National Steel Policy, the country
2022. has envisaged increasing its steel production
capacity to 300 MTPA by FY’31. The wide range of
21.0 DECLARATION ON MEETING THE CRITERIA OF
continuing infrastructure projects could support
INDEPENDENCE AS PER THE COMPANIES ACT,
growth in steel demand to reach our envisaged
2013 AND SEBI (LISTING OBLIGATIONS AND
target of per capita steel consumption of 158 Kg by
DISCLOSURE REQUIREMENTS) REGULATIONS,
FY’31 in the long term. NMDC is actively pursuing
2015.
an Iron Ore Production ramp-up plan to further
The Independent Directors have given a declaration increase its iron ore production capacity to 100
on meeting the criteria of independence as MTPA by FY’30.
stipulated in Section 149(6) of the Companies
In FY’22, the Company has progressed significantly
Act, 2013 and Regulation 25(8) of SEBI (Listing
on various activities to enhance its production
Obligations and Disclosure Requirements)
capacity with the start of full-scale operation of
Regulations, 2015 in the FY 2021-22.
Donimalai Mine and laying of the foundation stone
22.0 COMPANY’S POLICY ON DIRECTORS for a 7.0 MTPA Screening and Beneficiation Plant
APPOINTMENT AND REMUNERAITON at NMDC’s Donimalai Iron Ore Mine by Hon’ble
Minister of Steel, Government of India. There
All Directors are appointed by Govt. of India
is also progress in the construction of the fifth
including fixation of their remuneration.
line in Screening Plant Dep-5 & up-gradation of
23.0 NUMBER OF BOARD MEETINGS HELD the downhill conveyor system in BIOM Bacheli
Complex. Rapid Wagon Loading System (RWLS-I)
During the year under review 9 meetings of the and New Screening Plant (SP-III) at BIOM Kirandul
Board were held. For further details, reference may Complex are under construction. Further, NMDC is
kindly be made to Corporate Governance Section of planning to enhance the EC capacities of mines in
the Annual Report. the mining complexes of Bailadila and Donimalai.
24.0 NMDC STRATEGIC MANAGEMENT PLAN (NMDC To augment the evacuation capacity from the
VISION 2025). Bailadila sector, many projects & schemes are
A long-term strategic management plan (SMP), being taken up like doubling of KK line, Rowghat-
‘Vision 2025’ has been formulated which envisages Jagdalpur line, Slurry Pipeline, etc. Doubling of
an iron ore production capacity of 67 MTPA. This KK line is being executed by Railways as deposit
expansion plan includes brownfield expansion work is in full swing and few completed sections
of existing mines and developing greenfield have been opened for traffic. Out of 150 km of
mines in partnership with Chhattisgarh Mineral planned doubling of railway line, 76% of work has
Development Corporation. A joint venture of NMDC already been completed & the project is likely to
& CMDC (NCL) is in process of starting operations be completed by FY’24. The completion of this
from Dep-13 Iron Ore Mine in the Bailadila Region. project will augment the evacuation capacity of the
The Government of Chhattisgarh has notified Bailadila sector through the Railway line from 28
the allocation of Dep-4 to NMDC in Sep’19 for MTPA to 40 MTPA.
prospecting and mining operations. Activities for Phase-1 of Slurry Pipe Line including
India is presently the world’s second-largest 2 MTPA capacity Ore Processing Plant (OPP) at
producer of crude steel. In FY’22, the production Bacheli, 15 MTPA capacity Slurry Pipeline System
of crude steel stood at 120 MT with a growth of (130 km) from Bacheli to Nagarnar and 2 MTPA
18% over the previous year. The growth in the capacity Pellet Plant at Nagarnar, have also been
Indian steel sector has been driven by the domestic initiated. The project is likely to be completed in
availability of raw materials such as iron ore and FY’24.
cost-effective labour. Consequently, the steel Ministry of Coal has allocated two Coal Blocks
sector has been a major contributor to India’s namely Tokisud North Coal block & Rohne Coal
manufacturing output. Block on 17th March 2020 for commercial sale &
The Government of India announced a production- captive purposes. NMDC has appointed MDO for
linked incentive (PLI) scheme for speciality steel. Tokisud North Coal Block and plans to start its
The scheme is expected to attract investment operations in FY’23.
worth ~Rs. 400 billion (US$ 5.37 billion) and expand NMDC is in the advanced stages of setting up a

3.0 MTPA greenfield Steel Plant at Nagarnar in 25.0 DETAILS OF DIRECTORS OR KMP APPOINTED
Chhattisgarh, which is expected to operationalize OR RESIGNED DURING THE YEAR.
in FY’23. Commissioning activities started with the
start of coke oven heating in Jan’2022. Testing & The following Directors ceased to be Directors on
trials are in progress in each package. Packages the Board of the Company:-
like operational power facilities, operational water
upto
packages and plant & instrument air packages are
commissioned. i) Shri P.K. Satpathy, Director 31.08.2021
(Production)
Besides the expansion plan, the SMP also
envisaged the introduction of systemic ii) Shri Alok Kumar Mehta, 30.09.2021
interventions in six strategic transformation areas Director (Commercial)
- Business, Operations, Sustainability, Capital
Projects, Human Resource and IT. NMDC has The following Directors were appointed on the
implemented an ERP system across all projects Board of the Company:-
& steel plant in FY’21, License-to-Operate (the w.e.f.
computer-based model in which all the statutory i) Shri Dilip Kumar Mohanty, 05.10.2021
approvals will be brought under one umbrella). Director (Production)
Implementation of Mines Transport Surveillance
System (MTSS)- Weighbridge automation/ Virtual ii) Smt. Sukriti Likhi, Govt. 23.04.2021
Fencing/ Geo-Fencing/ GPS/ Proximity Warning Nominee Director
Device for dumpers/ CCTV Surveillance/ Wireless iii) Shri Sanjay Tandon, 01.11.2021
Networking has been completed at Donimalai. Independent Director
NMDC has further taken initiative to venture into iv) Dr. Anil Kamble, Independent 01.11.2021
the fleet management system and it is being Director
implemented in Bailadila Sector. Efforts are being
made to install an automatic (robotic) sampling v) Shri Vishal Babber, 01.11.2021
& analysis system, vision enhancement system, Independent Director
conveyor monitoring system and 3D Volumetric vi) Shri Sanjay Singh, 29.12.2021
and Laser Scanner System to enhance its digital Independent Director
strength.
The Board places on record its deep appreciation
NMDC is publishing Sustainability Report as per for the valuable contribution made by Shri P K
the Global Reporting Initiative (GRI) Standards, Satpathy and Shri Alok Kumar Mehta during their
capturing initiatives taken by NMDC over the years tenure on the Board of the Company.
in Economic, Environmental and Social aspects. As
26.0 AUDIT
the world is now traversing more uncertainty than
ever, NMDC is focusing on building sustainable and a. Statutory Auditors
resilient businesses to survive in the long run and
On the advice of the Comptroller and Auditor
to make a meaningful contribution to the battle
General of India, New Delhi, your Company
against climate change through an increasing
appointed the following firms of Chartered
investment in environment, social and governance
Accountants as Statutory Auditors of the Company
(ESC) initiatives. All Mines of NMDC have been
for the year 2021-2022:
Awarded 5 Star Rating by the Ministry of Mines.
50 NMDC LIMITED
M/s SAGAR & ASSOCIATES b. Cost Auditors
Head Office Chartered Accountants M/s B Mukhopadhyay & Co,
R & D Center House No.6-3-244/5 Cost Accountants
1
SIU & Saradadevi Street, Premnagar, B 20, Amarabati,
Consolidation Hyderabad
Telangana: 500 004 Sodepur
Kiradul Complex M/s AGASTI & ASSOCIATES Kolkata – 700 110.

Bacheli Complex Chartered Accountants c. Secretarial Auditors
2
NISP, Jagdalpur C-37, Sector-1, Raipur M/s D. Hanumanta Raju & Co.
Vizag Office Chhatishgarh: 492007
Company Secretaries
M/s YOGANANDH & RAM LLP
B-13, F1, P.S. Nagar
Chartered Accountants
Third Floor, Shri Narasimha Vijaynagar Colony
Nilaya Hyderabad – 500 057
Donimalai
3 No. 263/1, Second Cross,
Complex 27.0 IMPLEMENTATION OF RIGHT TO INFORMATION
T. Mariappa Road
Second Block, Jayanagar, ACT, 2005
Bengaluru All the provisions of the RTI Act 2005 are being
Karnataka : 560 011 complied with by the Company. In order to ensure
M/s Neeraj Prakash & timely disposal of RTI applications, PIOs have
Associates been appointed in each of NMDC’s Units. A close
Chartered Accountants monitoring of the RTI applications received is done
328/208, Lukerganj to ensure that the replies are sent in time.
4 Panna Project
Purosottam Kunj The details of RTI applications received in Head
Near Dr. Banerjee, Office and all the Units of the Company during the
Allahabad period 01.04.2021 to 31.03.2022 are as follows:
Uttarpradesh : 211 001
Information
Opening balance Applications received Balance as on
Provided/denied/
as on 01.04.2021 during the year 31.03.2022
forwarded
Online applications 34 373 386 21
Offline applicaitons 04 158 158 04
TOTAL 38 531 544 25
28.0 DETAILS OF SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR
TRIBUNALS IMPACTING THE GOING CONCERN STATUS AND COMPANY’S OPERATION IN FUTURE – NIL
29.0 AWARDS RECEIVED BY THE COMPANY
The details of awards received by the Company are as follows:-
1. NMDC bagged Runners Award in 30th National Award for Innovative Training Practices Award 2019-20
held at SCOPE Complex New Delhi on 10.04.2021.
2. NMDC sweeped eight awards at the Governance Now 8th PSU Awards Ceremony conducted virtually
on 29.07.2021. Under the Leadership Category, the company won the CMD Leadership and Emerging
Communication Leader of the Year awards, besides six awards under the Organization Category for CSR
Commitment, Nation Building, Digital PSU, Research and Innovation, HR Excellence and Communication
Outreach.
3. NMDC received “Rajbhasha Kirti Award” on 14.09.2021 for implementation of Rajbhasha for the year
2019-20 at a function held at Vigyan Bhawan, New Delhi. NMDC has been winning this accolade for the
last three years in a row, which goes on to show its dedication towards the implementation of Hindi as the
Official Language.

4. NMDC received runner up award and 12. The Director (Finance), Shri Amitava
another thirteen Corporate Communication Mukherjee, was awarded the ‘FE CFO of the
Excellence Awards on 20.09.2021 at the Year Award’ by Financial Express for the year
Global Communication Conclave organised 2022.
by Public Relations Council of India (PRCI) in
30.0 VIGIL MECHANISM
Goa.
NMDC being a PSU, the guidelines of Central
5. NMDC is bestowed with best PSE for CSR
Vigilance Commission (CVC) are applicable which
initiatives award at D&B’s India’s top PSU
provides adequate safeguard against victimization
awards on 27.09.2021.
of the employees. The Board of Directors at its
6. Donimalai Complex, NMDC Ltd. has been 451st meeting held on 20.09.2012 approved the
awarded for “PLATINUM AWARD” in “10th internal Whistle Blower Policy of NMDC. NMDC has
Exceed Environment Award 2021” under effectively implemented its internal Whistle Blower
“Environment Preservation” Category in Policy under CVO NMDC, the designated Nodal
Mining & Metallurgy Oil Sector on 07.10.2021 Officer for the purpose.
at Dehradhun.
31.0 DETAILS IN RESPECT OF FRAUDS REPORTED
7. NMDC has bagged Gold Award in BY AUDITORS UNDER SECTION 143(12) OTHER
Environmental Sustainability category THAN WHICH ARE REPORTABLE TO CENTRAL
and Kumaraswamy Iron Ore Mine bagged GOVT – NIL
Platinum Award in Environment Management
32.0 Offer for Sale (OFS) in F.Y. 2021-22
category. The function was organised by
Sustainable Development Foundation (a unit Pursuant to the Offer for Sale (OFS), the President
of EK KAAM DESH KE NAAM) and the awards of India (acting through and represented by
were presented in the 10th conference held the Ministry of Steel, Government of India), the
on 08.10.2021 at Dehradun. Promoter of NMDC Limited sold equity shares
aggregating to 21,95,02,378 (nos.) on 6th July 2021
8. NMDC Head Office received First Prize of
and 7th July 2021 representing 7.49% of the total
TOLIC (U) under mid-sized Central PSU
paid up equity share capital of the company. The
category. Rajbhasha Shield for 2019-20
Floor Price for the Offer was ` 165.00 per equity
and 2020-21 were received for the sixth
share. The Transaction value of the OFS was of
year consecutively and “Khanij Bharati”
` 3651,37,22,349.08. Post completion of the said
Rajbhasha Patrika of Head Office was also
OFS, the equity stake of the Promoter in NMDC
awarded First Prize for 2020-21 among the
Limited stands reduced from 68.29% to 60.80% as
Published Magazine category on 25.10.2021
on 8th July 2021.
at Hyderabad.
Employee OFS in F.Y. 2021-22:
9. NMDC received nine 5-star ratings for three
years for all its operating iron ore mines viz. In accordance with the approval given by Alternative
Kumaraswami, Bacheli Deposit-5, Deposit 14 Mechanism on 5th July 2021, the President of India,
NMZ and Deposit No 10 at the acting through Ministry of Steel, Government of
5th National Conclave on Mines and Minerals India offered up to 89,108,907 equity shares of
on 24.11.2021. face value of ` 1/- each to the eligible employees
of the Company at a price ` 165.50 per equity
10. SIU, Paloncha received First Prize of
share. Accordingly, the Promoter of NMDC Limited
Southern Region for implementation of
sold 1,47,942 (no.s) equity shares to the eligible
Rajbhasha in the Conference organized at
employees of the Company on 20th July 2021 at an
Hyderabad on 04.12.2021 by GoI, Ministry of
offer price of ` 165.50 per equity share. Transaction
Home Affairs, Rajbhasha Department.
value of the Employee OFS is of
11. NMDC received 1st prize in the Ispat ` 24,484,401.00 (Gross of stock exchange
Rajbhasha Award for 2018-19 and 2020-21 transaction charges and all applicable taxes and
and the Ispat Rajbhasha Prerna Award for charges). Post completion of the employee OFS,
2019-20 in the meeting of the Hindi Salahakar the equity stake of the Promoter in NMDC Limited
Committee of the Ministry of Steel held in stands reduced from 60.80% to 60.79% as on
Madurai on 03.03.2022. The Honourable 23rd July 2021.
Union Minister of Steel, Shri Ram Chandra
33.0 FORMAL ANNUAL EVALUATION OF BOARD,
Prasad Singh, presented the accolades to
COMMITTEES AND INDIVIDUAL DIRECTORS.
Shri Sumit Deb, Chairman and Managing
Director, NMDC. NMDC being a Government Company, the terms
and conditions of appointment and remuneration
52 NMDC LIMITED
of Functional Directors and Independent Directors core business requirements through a strong ERP
are determined by the Government through its backbone, which will provide a fully integrated
administrative Ministry, Ministry of Steel. solution encompassing all the business functions
of the organization. It is a transformational
In terms of notification dated 5th June, 2015 and
advancement in the digital journey of NMDC and
13th June, 2017 issued by Ministry of Corporate
will improve the overall business process of the
Affairs, Govt. of India, Government Companies have
company. This will also act as a lighthouse project
been exempted from applicability of some of the
for the domestic mining sector ushering into an era
provisions /sections of the Companies Act, 2013
of automation and digitalization driven growth.
inter alia Sub-sections (2),(3) & (4) of Section 178
regarding appointment, performance evaluation The modules / functionalities implemented are
and remuneration. Production Planning (PP), Plant Maintenance (PM),
Quality Management (QM), Sales & Distribution
34.0 IMPLEMENTATION OF RISK MANAGEMENT
(SD), Material Management (MM), Human Capital
POLICY
Management (HCM), Finance & Control (FICO),
The Board at its 442nd meeting held on 19.01.2012 Environment Health & Safety (EHS), Project System
has approved the Risk Assessment and Risk (PS), Industry Solution for Mining.
Mitigation Policy / Enterprise Risk Management
FY 2021-22 is the first year when the entire account
(ERM) of the Company. Accordingly, the Company
closing activity has been done in SAP.
has constituted a Board level Risk Management
Committee comprising of Functional Directors Post Go-Live, SAP Digital Compliance Solution
(excluding CMD). The Company as a part of its (DCS) have been implemented for generation
current Risk Management Policy has identified of E-Invoicing, E-Way Bill transactions in real
top Risks That Matters (RTMs) and documented time and filing of GST returns. HR functionalities
Mitigation Plan / Strategy for the same have been made available to employees through
Employee Self Service (ESS). Management
During the year under review, two meetings of the
Dashboard for Production, Iron Ore Sales/
Board level Risk Management Committee were held.
Dispatches and CSR has been launched and
35.0 DIVIDEND DISTRIBUTION POLICY the same for other functionalities will be made
functional shortly.
The Board of Directors has approved Dividend
Distribution Policy which has been uploaded on All the transactions are happening smoothly and
the website of the company under the link https:// the focus now is to increase the digital footprint,
www.nmdc.co.in/cms-admin/Upload/Policies- bringing in more and more of automation for
Document/ ae4bb5f07e7e4654a3f881ccec7b9163_ automated data capture in real time like integrating
20210920060806207.pdf. Belt Scale and PLC system for Plant Data and
integration of Fleet Management System(FMS) with
36.0 ERP Implementation, Digitalization and IT
SAP for Mining field operation data leading to IT/
Infrastructure
OT integration.
NMDC went Live on SAP S/4 Hana in January, 2021.
Roll out of functionalities like Supplier Relationship
ERP Project, christened Kalpataru made NMDC
Management (SRM) for E-Tendering and Vendor
the first CPSE in India to implement Enterprise
Invoice Management (VIM) solution for automated
Resource Planning on the SAP S/4 HANA platform.
capture of payment invoices into SAP and parking
This Project was undertaken to address NMDC’s
for payment is underway. Vendor through this

system will be able to know the status of their 3. The email mailboxes of top management and
invoice and payment thru the portal. Ex-Employee common departmental mail ids have been
portal will also be made functional soon. Focus moved to the cloud (Microsoft O’365). This
will be also on utilizing the full potential of provides enhanced mailbox size of 50 GB and
Document Management and Mobility Solutions. it is hosted in the cloud.
ERP solution will be rolled out in the Coal Division
4. Facial Biometric Attendance Recording
of NMDC in next few months. Technology refresh
System has been recently implemented
of IT infrastructure to support ERP and future
at HO, R&D, Panna, NISP and Ros.
digital initiative alongwith best in class IT security
Implementation is in progress at Bacheli,
solutions will also be our top priority.
Kirandul and Donimalai.
36.1 COMPUTER & INFORMATION TECHNOLOGY
5. Microsoft Teams is being used extensively
INITIATIVES
to conduct virtual meetings, webinars. One
1. The corporate website, tender website, ex- conference room at HO and Donimalai have
employees portal and intranet website of the been revamped with large display, PTZ
company has been revamped and launched camera, Wi-Fi ceiling mics etc. The same
on 26.01.2022. This has been developed setup is being implemented at Bacheli and
using the latest technologies and responsive Kirandul also.
design. It is GIGW compliant, security audited
37.0 REPORT ON MANAGEMENT DISCUSSIONS AND
and very user friendly. It has a video header
ANALYSIS
and uses CDN to deliver it. It also has SEO
friendly CMS. The press release section also A Report on Management discussions and Analysis
has integration with social media. as required in terms of Regulation 34 of SEBI
(Listing Obligations and Disclosure Requirements)
2. A Virtual Data Room (VDR) has been
Regulations, 2015 is at Annexure-I.
commissioned for NISP Demerger activity.
This facilitates the various stakeholders 38.0 REPORT ON CONSERVATION OF ENERGY,
like Legal Advisor, Transaction Advisor, TECHNOLOGY ABSORPTION, FOREIGN
User Departments to share and exchange EXCHANGE EARNINGS AND OUTGO UNDER
information. THE COMPANIES (ACCOUNTS) RULES, 2014 IS
AT – Annexure-II.
54 NMDC LIMITED
39.0 CORPORATE GOVERNANCE Director and 2 (Two) Government Nominee
Directors and 4 (Four) Independent Directors. At
Report on Corporate Governance is at Annexure-III present there is a vacancy of 2 (Two) Independent
40.0. EXTRACT OF ANNUAL RETURN UNDER SECTION Directors including vacancy of atleast one Woman
92(3) OF THE COMPANIES ACT, 2013. Independent Director needs to be filled in by
Ministry of Steel, Govt. of India. All the observations
As required under the provisions of the Companies are due to not having requisite number of
Act, 2013, the Annual Return is hosted on the Independent Directors. The Company is regularly
Company’s website and can be accessed from the following up with Ministry of Steel, Govt. of India for
link https://www.nmdc.co.in/investors/financial- appointment of requisite number of Independent
details/annual-return Directors on the Board of the Company. The Board
41.0 BUSINESS RESPONSIBILITY REPORT of the Company has also been informed in this
regard at regular intervals.
In compliance with Regulation 34 of SEBI (Listing
Obligations and Disclosure Requirements) 43.0 GLOBAL COMPACT – COMMUNICATION ON
Regulations, 2015, Business Responsibility Report PROGRESS
(BRR) is at Annexure-IV. Report on compliance with principles of Global
42.0 SECRETARIAL AUDIT REPORT Compact is at Annexure-VI.
Secretarial Audit Report in Form No.MR-3 pursuant 44.0 STATEMENT CONTAINING SALIENT FEATURES
to Section 204(1) of the Companies Act, 2013 and OF THE FINANCIAL STATEMENT / HIGHLIGHTS
Regulation 24A of SEBI (Listing Obligations and OF PERFORMANCE OF SUBSIDIARIES /
Disclosure Requirements) Regulations, 2015 is at ASSOCIATE COMPANIES / JOINT VENTURES
Annexure-V. (FORM AOC-1) IS ENCLOSED AT ANNEXURE-VII.
The Observations of the Secretarial Auditors 45.0 REPORT ON CSR ACTIVITIES

are relating to the Composition of the Board of Report in terms of the Companies (Corporate
Directors with respect to the requisite number of Social Responsibility Policy) Rules, 2021 is at
Independent Directors of the Company, Constitution Annexure-VIII. The Report on CSR inter alia,
of the committees and quorum for the meeting, outlines details of CSR Policy and various CSR
which is not as per the requirements of SEBI initiatives of the company for the year under review.
(LODR) Regulations, 2015 and the Companies Act,
2013 during the financial year 2021-22. 46.0 RECOMMENDATIONS MADE BY THE
COMMITTEE ON PAPERS LAID ON THE TABLE
In this regard it is stated that NMDC Limited (RAJYA SABHA) IN ITS 150TH REPORT – DETAILS
being a Central Public Sector Enterprise under TO BE PROVIDED IN THE ANNUAL REPORT.
administrative control of Ministry of Steel, Govt.
of India and as per Articles of Association, the Details to be provided in the Annual Report in
President of India shall appoint all members on the terms of recommendations made by the Committee
Board of Directors. The present composition of the on Papers laid on the Table (Rajya Sabha) in its
Board of NMDC Ltd. consists of 4 (Four) Executive 150th Report is enclosed at Annexure-IX.
Directors including Chairman and Managing

47.0 ACKNOWLEDGEMENT do everything possible to provide our customers
better, timely and value added services.
Your Directors gratefully acknowledge the support,
cooperation and guidance received from the The success of your Company is due to the
Ministry of Steel, Ministry of Mines and Ministry of commitment and dedicated efforts of the managers
Forests & Environment and other Departments of and employees at all levels. Your Directors place
Government of India and the State Governments of on record their appreciation and also acknowledge
Andhra Pradesh, Chhattisgarh, Karnataka, Madhya the support and co-operation of All India NMDC
Pradesh, Jharkhand and Telangana. Workers’ Federation and their members for the
smooth functioning of the Company’s operations.
Your Directors acknowledge the support extended
by the valued and esteemed international and
domestic customers, Shareholders stakeholders,
MMTC, Chennai Port Trust, Visakhapatnam Port Place : New Delhi
Trust, Railways and other Departments of the Date : 27.06.2022
Central and State Governments. We believe that our SUMIT DEB
long-term success is dependant on our domestic Chairman and Managing Director
customer relationship and responsiveness. We will DIN: 08547819
56 NMDC LIMITED
csr@NMDC

Annexure – I
Management Discussion & Analysis
Report for the year 2021-22
1. NMDC: An overview The company immensely focusses on productivity
improvement as well as cost optimization which
1.1 Introduction
results in high profitability for the organization.
NMDC Limited, operating in the Mining and NMDC has made highest ever revenue of ` 25882
Mineral sector since November 1958, is one of the crores, with a growth of 68.39% over last year.
highest profit-making ‘Navratna’ public sector NMDC recorded a Profit (before tax) of ` 12981
companies under the Ministry of Steel. NMDC crores in FY’21 and a net worth of ` 34,844 crores
has extensive experience in the exploration of a (as on 31st March 2022). NMDC has a strong history
variety of minerals including iron ore, copper, rock of rewarding investors with an average dividend
phosphate, limestone, dolomite, gypsum, bentonite, payment of around 752.19% in the last 5 years,
magnesite, diamond, tin, tungsten, graphite, beach which is the testimony to consistently creating
sands etc. value for its stakeholders.
NMDC Ltd is the largest iron ore mining company NMDC continues to pursue policies and
in India, with an average annual production programmes to deliver long term value to all
ramping up to over 40 MT over the year. With its stakeholders. NMDC has also invested
iron-ore production of around 42.19 million tonnes substantially in the socio-economic development of
in FY’22, it contributed to around 18% of domestic the local communities, especially near its mining
production (excluding captive iron ore production). projects.
At an average of 64% Fe, NMDC sells one of the
1.2 Operating Projects
best grade Iron ore globally. The organization
produces different variety of ores in terms of grade NMDC operates three highly-mechanised iron
& size, to suit the requirement of its customers. ore mine complexes in the states of Chhattisgarh
and Karnataka. Two of the complexes are
NMDC has plans to increase the production
located in Dantewada (Chhattisgarh) namely
capacity from its three mining complexes from the
Kirandul Complex and Bacheli Complex, that
existing 46 MTPA to 67 MTPA in the near future
produce around 30 MTPA. The third complex in
to meet the growing requirements of iron ore of
Bellary (Karnataka), namely, Donimalai Iron Ore
the Indian Steel Sectors. The Company is also
Complex produces 12 MTPA (from the two pits-
focused to diversify from the existing business
Kumaraswamy & Donimalai). NMDC also has a 1.2
of exploration and mining. NMDC has invested
MTPA pellet plant at Donimalai.
in the construction of a 3 MTPA integrated steel
plant in Jagdalpur (Chhattisgarh) and a 1.2 MTPA NMDC also operates the Diamond Mining Project,
pellet plant in Donimalai (Karnataka). NMDC has Panna (M.P.), which is the only mechanized
also ventured into the mining of coal through diamond mine in Asia.
the allocation of two coal blocks in Jharkhand
on nomination basis by the Government of India.
NMDC is planning to start Tokisud North Coal Mine
in Jharkhand in FY’23.
58 NMDC LIMITED
Apart from the above, NMDC has wide presence across the country as shown in the map.
1.3 Global Presence • NMDC is in the process of setting up a

slurry pipeline, along with an associated
NMDC has Global presence in Australia and
beneficiation plant & pellet plant, in phases
Mozambique through its Subsidiaries and associate
for economical transportation of iron ore to
companies. NMDC has over 90% equity holding
locations from where the pellets /ore can be
in Legacy Iron Ore Ltd, based in Perth, Australia
supplied to the industry. The construction
with a focus on Gold, Iron ore and base metals.
of the Beneficiation Plant at Bacheli and
NMDC holds about 26% stake in ICVL and Benga
15 MTPA Slurry Pipeline from Bacheli
mine is one of the operational asset of ICVL in
to Nagarnar and 2 MTPA Pellet Plant at
Mozambique.
Nagarnar is likely to be completed by FY’24.
1.4 Growth plan
• Efforts to increase evacuation capacity
• NMDC has made a comprehensive strategic through doubling of Kirandul-Kothavalasa
management plan Vision 2025 to enhance iron (KK) line is also in full swing and few
ore production capacity to 67 MTPA to meet the completed sections have been opened for
growing requirements of iron ore in the Indian Steel traffic. Out of 150 km of planned doubling of
sector. The strategy focuses on growth largely railway line, 76% of work has already been
through brownfield expansion of existing mines and completed.
improving the evacuation infrastructure.
• NMDC has developed an intermediate
• NMDC is also actively pursuing an Iron Ore iron ore stockyard at Kumarmaranga in
Production ramp-up plan to further increase Chhattisgarh for uninterrupted supplies to
its iron ore production capacity to 100 MTPA customers.
by FY’30 from its existing mines and further
• NMDC is pursuing the allocation of new iron
to 100 MTPA from the acquisition of new
ore deposits both through participation in
mines through the reservation route.
auction and reservation through government
• NMDC also envisages expanding through dispensation route (section 17A(2A) of
the development of Deposit-13 & Deposit-4 the revised MMDR Act, 2015) for further
(greenfield projects), under a Joint Venture expansion in capacity.
company of NMDC Limited and Chhattisgarh
Mineral Development Corporation (NCL).

• NMDC had emerged as a preferred bidder for air, and patent for same was filed in the year
Chigargunta-Bisanatham gold block, Andhra 2020 with application no 202041006098. The
Pradesh in the auction process conducted in R&D Centre undertakes different projects
July’18, for which activities will be initiated to mitigate the operational challenges of
post-issuance of LOI. different units of NMDC and provide solutions
in terms of improvement in the system or
• Ministry of Coal has allocated two Coal
change in technology, to achieve a continual
Blocks namely Tokisud North Coal block &
enhancement in its processes & operations.
Rohne Coal Block on 17th March 2020 for
The Centre provides solutions to external
commercial sale & captive purposes. NMDC
agencies as well. NMDC holds 21 patents
has appointed MDO for Tokisud North Coal
for its innovations at R&D centre. NMDC
Block and planned to start its operations in
innovation and incubation centre (NICE)
FY’23.
launched with i-TIC foundation, IIT, Hyderabad
• NMDC is in the advanced stages of setting and running successfully for last two years.
up a 3.0 MTPA greenfield Steel Plant at
2. Industry Structure and Developments
Nagarnar in Chhattisgarh, which is expected
to operationalize in FY’23. Commissioning Market Environment:
activities started with the start of coke oven
2.1 Economy:
heating in Jan’2022. Testing & trials are in
progress in each package. Packages like 2.1.1 Global:
operational power facilities, operational water
• After facing the unprecedented impact of first
packages, plant & instrument air packages
wave of Covid-19, global economy has started
are commissioned.
recovering at a faster pace owing to the
1.5 Exploration & Reserve Estimation: resumption in household spending, fiscal and
monetary policy measures and extraordinary
• NMDC has a dedicated exploration wing
measures taken to fight new waves of Covid.
at Raipur, fully equipped to undertake the
exploration of minerals. NMDC has conducted • World output growth has been 6.1% in
more than 18,300 meters of core drilling 2021, highest growth rate since 1976. The
in FY’22, at existing mines and surpass all global output has grown beyond 2019 level
time drilling performance. NMDC is also after contracting by 3.4% in 2020. Advance
conducting exploration in different blocks economies grew by 5.2% whereas emerging
of Iron ore, Manganese, & Diamond in M.P. market and developing economies grew by
under MOU route. NMDC conducted 964 6.8% with India and China driving the overall
meters of drilling for Iron ore in Sidhi Block, growth with their high growth rate of 8.7%
Sidhi & Singrauli, Districts and 3882 meters and 8.1% respectively.
drilling for Diamond in Madhya Pradesh.
• The global economy recovered rapidly
Besides, it has also established a well-
in the first two quarters of FY 2022 due
equipped Centre for Geostatistics and has
the impact of fiscal and monetary policy
a Remote sensing lab at Corporate Office,
stimulus, pent-up demand and ease in supply
Hyderabad. NMDC has full-fledged mine
side restrictions. However, in the last two
planning wings at Corporate office as well as
quarters, the economic recovery slowed down
at project sites for otebody modeling, reserve
as the stimulating effect of policy stimulus
estimation, pit design & scheduling, with
began to dissipate, inflationary pressure
advanced software like Surpac, Whittle &
increased, geopolitical conflict intensified and
Mineshed
supply side constraints grew.
1.6 Research & Development:
• The prices of almost all the commodities
• NMDC operates a state-of-the-art Research grew in the first two quarters of FY 2022.
& Development (R&D) Centre at Hyderabad, This was mainly due to the increase in
which has been declared as a "Centre of demand – combined effect of increase in
Excellence" by the United Nations Industrial household demand and policy stimulus along
Development Organisation (UNIDO). Recently with vaccine led reopening, and supply side
R&D center has developed technology for dry constraints due to resurgence of new Covid
beneficiation of iron ore using compressed waves, extreme weather events and logistical
issues.
60 NMDC LIMITED
• Global economy has entered into 2022 in The economy has recovered past the pre-
a weaker position than anticipated. Global pandemic levels. As per the Economic Survey
growth is projected to decline from an report of 2021-22, Agriculture and allied
estimated 6.1% in 2021 to 3.2% in 2022 sectors were estimated to grow by 3.9% in FY
and 2.9% in 2023. Advance economies are 2021-22 after growing at 3.6% in the previous
estimated to slow down from 5.2% in 2021 to financial year. Industry growth (including
2.5% and 1.4% in 2022 and 2023 respectively. mining and construction) is estimated to be
Whereas, emerging market and developing 11.8% in FY 2021-22 after a contraction of 7%
economies are expected to grow at 3.8% and in FY 2020-21. The service sector is estimated
3.9% in 2022 and 2023 respectively much to grow by 8.2% in FY 2021-22 after showing a
lower than 6.8% growth rate of 2021. India is negative growth of 8.4% in FY 2020-21.
expected to grow at 7.4% and 6.1% in 2022
Total consumption has been estimated to
and 2023 whereas China can face a slowdown
grow by 7% in FY 2021-22. Export of both
with growth declining from 8.1% in 2021 to
goods and services have been extraordinarily
3.3% and 4.6% in 2022 and 2023 respectively.
strong. However, the import has also
• Factors that will drive the near-term growth recovered due to increase in domestic
outlook are monetary tightening to curb demand and higher commodity prices.
inflationary pressure, volatility in financial
Overall, the macroeconomic indicators
market, fiscal withdrawal as space for
suggest Indian economy to remain stable.
government expenditure has been eroded in
The emphasis on the supply side reforms
many countries, Chinese slowdown, impact of
through policies and programmes such as
new Covid variants, geopolitical conflicts and
PM Gati Shakti, simplification of regulatory
easing supply side constraints.
and approval processes etc. and demand
Overview of World Economic Outlook Projections management through increasing capex by
35.4% in the recent budget, PLI scheme,
Region/Country
Make-in-India campaign etc. is expected to
drive the future economic growth.
Projections
Region/Country As per Economic Survey report of 2021-
2022 2023
22, the growth of mining and quarrying is
World 3.20 2.90 estimated to be 14.3% in FY 2021-22 after a
Advanced Economies 2.50 1.40 contraction of 8.5% in FY 2020-21. The share
of mining and quarrying in the Nominal GVA
US 2.30 1.0 is estimated to improve to 2.3% in FY 2021-22
EU 2.60 1.20 from 1.6% in FY2020-21.
UK 3.20 0.50 As per National Statistical Office (NSO),
Index of Industrial Production (IIP) grew by
Canada 3.40 1.80 11.4% in FY 2021-22 after contracting 8.4%
Emerging market & developing in the previous financial year. Of the three
3.60 3.90 sectors, mining sectoral IIP has registered
economies
highest growth at 12.2% in FY 2021-22 after a
Russia -6.00 -3.50 contraction of 7.8% in FY 2020-21.
China 3.30 4.60 There are few risks including the high
India 7.40 6.10 inflation, impact of geopolitical conflict
escalation, resurgence of more severe new
Brazil 1.70 1.10
Covid variant etc., which can affect the future
Source: IMF economic growth of India. Moreover, the
rising fiscal deficit of Centre as well as States
2.1.2 India and limitations on the monetary policy side
Indian economy, despite the recurrent waves leaves limited space to manage the economy
of Covid, has grown at a rate of 8.9% in 2021 in case of any further severe disruptions.
making it the fastest growing major economy However, in near term the recovery of Indian
in the world. The trend is expected to economy is expected to remain strong.
continue in future as well, as per the reports The government’s vision and well-planned
of IMF, which projects the growth to be 7.4% initiatives are expected to drive the overall
and 6.1% in 2022 and 2023 respectively. economic growth and control the downward
risks that poses threat to Indian economy.

2.2 Iron Ore Industry Outlook: 2022, a slower pace than last year increase
of 2.7%. The major reasons behind the
Global: Steel & Iron Ore
slowdown includes Russia-Ukraine conflict
¾¾ In 2021, even though many locations had which has led to contraction in demand
Covid restrictions, most countries around the from Russia, Ukraine and Europe, higher
world have registered an increase in steel inflationary pressure causing many countries
production as well as consumption. to move towards fiscal tightening which is
expected to impact investments, continued
¾¾ Total world crude steel production was 1951
slowdown in Chinese economy – real estate
MT in 2021, a growth of 3.8% from last year's
and urbanization etc. However, the demand
production of 1879 MT. The average growth
from India, South East Asia and USA, majorly
in crude steel production between 2015 and
because of the infrastructure stimulus
2020 remained at 3%. China, with around
packages such as Gati Shakti in India,
53% share in global steel output in 2021,
Bipartisan Infrastructure Law in USA etc., is
has produced 1032.8 MT of steel in 2021,
expected to compensate the contraction from
~3% lower than 2020 level. Rest of the major
China, Russia, Ukraine and Europe.
producers increased their production to
compensate for the gap created by Chinese ¾¾ Iron ore demand is expected to remain
steel mills in the export market. rangebound following the consumption
growth of steel in 2022. However, the demand
¾¾ In 2021, China, to restrict carbon emissions of
for good quality ore is expected to increase
the steel sector, has placed cap on the steel
further with countries more focused on
production to keep the steel output below
cutting down emissions. On the supply side,
2020 production level. However, the steel
contraction from Russia, Ukraine and India
output of Chinese Steel mills was 12% higher
(increase in export duty) is expected whereas
in the first half of 2021 making the decrease
supply from Australia and Brazil is expected
in the second half significant as the overall
to rise.
steel production in 2021 declined by ~3%.
India:
¾¾ Due to rise in the demand of steel in the
first half of 2021, owing to the government ¾¾ After a significant fall in 2020, India’s crude
stimulus through increased infrastructure steel production reached 118 MT, the highest
spending and faster economic recovery ever production, showing a growth of 17.8%
across many countries, and supply over the production in 2020. The capacity of
constraints due to Covid restrictions, increase domestic crude steel expanded to 154 MT in
in logistics costs etc., the prices of steel 2021. Consumption has also grown to 106 MT
soared in the H1 CY 2021 peaking up in June and net export to 7.8 MT in 2021.
2021. The higher steel production resulted in
¾¾ As per the Economic Survey report for 2021-
higher demand for iron ore and coal whereas
22, the cumulative growth rate for Steel
the supply disruption in Australia and other
sector in the Index of Eight Core Industries
major raw material supplier due to extreme
was 16.9% in FY 2022 over FY 2021 showing a
weather events and Covid restriction placed,
significant increase.
has resulted in their prices also registering
a similar rise in the first half with prices ¾¾ The major reason for the rise in demand was
peaking up in June 2021. opening up of economy after Covid related
disruptions, increase in Government as
¾¾ However, the demand for steel fell in the
well as private consumption, rise in export
second half of 2021 due to tough measures
especially in the first half of FY 2022 owing
taken by Chinese government on their
to global steel price rise and reduction in
real estate sector, decline in demand from
supply from China. Moreover, the Russia-
the automotive sector facing chip supply
Ukraine conflict has led to increase in steel
shortage and increase in fiscal deficit in
prices at the end of FY 2022 and provided an
many countries stalling their infrastructure
opportunity to Indian steel players to increase
stimulus packages etc. and supply improved
their export to Europe and other countries.
as other major steel producers increased
their output to compensate for Chinese steel ¾¾ The production of crude steel rose
supply shortage causing the prices fall in H2 significantly due to expansion of steel
CY 2021. capacity, increased plant utilization rate
etc. to meet the inflated domestic as well
¾¾ As per world Steel Association, steel
as global demand amid the supply cut from
consumption is expected to rise by 0.4% in
China.
62 NMDC LIMITED
¾¾ Iron ore mining sector also registered highest • Supply gap created for Steel & Iron ore
ever production figure of 251 MT in FY 2022, a in the international market due to steel
growth of ~23% over the 203.8 MT production production curb in China, sanctions on
in FY 2021. Two top iron ore producers in FY Russia and damage to Ukraine in the
2022 included NMDC (42.18 MT) and OMC war.
(26.05 MT). Export of iron ore in FY 2022 was • Government initiatives for Self-Reliant
15.25 MT of which 98% of consignment went India creating new avenues to set-up
to China. new industries leading to demand in
¾¾ Steel prices in India followed global trend to steel
a certain extent. Both global and domestic • Numerous foreign companies are
steel prices increased to touch the top around setting up their facilities in India
May 2021. While the global prices peaked at on account of various Government
that time and then showed a gradual decline, initiatives like Make in India and Digital
domestic steel prices showed a gradual India. This will further add up with the
increase with periodic ups and down to reach government initiatives for 100% FDI.
another top in April 2022. However, both
global and domestic iron ore prices followed a • The government envisages bringing
similar trend which is coherent with the trend India’s GDP to US$ 5 trillion by FY25 and
of global steel prices. achieve upper-middle income status on
the back of digitization, globalization,
¾¾ India, being in the globalized world, has also favorable demographics, and reforms
been facing the impact of high inflation rate that will create demand for steel in the
impacting the steel demand. Moreover, the domestic market.
increase in export duties on Steel, iron ore
and pellet would impact the export. However, • Increase in demand for high-grade ore
the increase in domestic demand due to worldwide considering environmental
increase in government expenditure through concerns. NMDC’s iron ore is one of the
schemes such as Gati Shakti, National best grades of ore in the world.
Infrastructure Pipeline (NIP), PM Awas Yojana • Continuous thrust by the government
and increase in CAPEX by 35.4% in the recent to use domestically manufactured
budget is expected to compensate for the iron and steel products in government
decline in export. procurement.
¾¾ On the supply side, measures such as
• Further capacity addition by steel
PLI scheme, FAME etc. are also expected
players in near future, along with
to attract more investment in the steel
planned commissioning of NMDC’s
sector. The expansion in steel capacity
steel plant in Nagarnar.
and improvement in profit margins of steel
players would be a major driver. However, ii) IMF projections of 7.4% GDP growth in 2022.
the present trend of low profit margin has Proposed CAPEX growth of 35.4% year on
led to contraction in the plant utilization. The year to 7.5 trillion rupees. Production Linked
situation can improve in future depending Incentive scheme for specialty steel sector
upon the relative decline in the input cost of expected to attract addition investment of
iron ore and coal – peak demand from power ` 40,000 Cr. PM Gati Shakti – National Master
sector has pulled the prices up, and steel and Plan for multi-modal connectivity to reduce
how the progress in the various government the logistic costs. All are expected to drive
schemes drives the demand up. the steel demand vis-à-vis iron ore demand
in future.
3. NMDC – Opportunities & Threats
i) Envisaged growth in domestic steel iii) Allowing the export of iron ore from
production on account of the factors Karnataka and granting permission to the
mentioned below would lead to higher miners in Karnataka to enter into direct
demand for Iron Ore in the country: contracts without resorting to e-Auction will
help NMDC increase its sales.
• Infrastructure stimulus of the
government to drive the growth and iv) Provisions under MMDR Act, 2021 such
growth potential of the construction, as grant/extension of mining lease for the
automotive, consumer durables sectors government companies on the payment of
etc. will drive the demand for the iron additional revenue, transfer of statutory
and steel sector. clearances valid till the expiry of ML will give

NMDC competitive advantage over others. vi) New iron ore leases being auctioned and the
recent amendments to MMDR Act allowing
v) Development of National Mineral Index could
sale of 50% of the iron ore production of
help in further driving the profitability and
captive mines in open market may lead to
investments in metal mining sector.
increase in supply of iron ore and increase
a) Threats the competition in the market.
i) Rising inflation can impact consumption and vii) Backward integration by Steelmakers into
lead to fiscal tightening increasing the cost of iron ore mining after the start of auctioned
borrowings affecting investments. mines will affect the demand from the
customers of the Company.
ii) Resurgence of new more severe variants of
Covid can cause disruptions in the iron and viii) Indian iron ore industry will continue to be
steel market as well. uncompetitive on a global level due to higher
rates of royalty and other levies such as DMF,
iii) Intensification of geopolitical tension in
NMET, Export duty etc. as well as significantly
Europe can disrupt the whole market
higher logistic costs.
dynamics.
ix) Increasing regulatory pressure on
iv) Increase in export duties of iron ore, pellets
environment, health & safety and
can lead to decline in the prices of iron ore
sustainability.
due to increase in domestic availability.
Moreover, increase in export duties of some x) Disturbances due to Maoist activities in
categories of finished steel can reduce the Bailadila region from where the majority
iron ore demand. of NMDC’s production comes. At the same
time, the location of Bailadila has a logistic
v) Demand for Iron ore may fall in the
disadvantage.
international market in long term due to the
decline in the Chinese steel production, shift NMDC’s business would continue to be affected
towards EAF/IF route for recycling scrap steel by developments impacting the demand-supply
and development of new techniques such as scenario & price fluctuations of iron ore in both the
hydrogen steel. global and domestic markets.
4. Segment-wise or Product-wise performance

4.1 Physical Performance of NMDC
Details 2017-18 2018-19 2019-20 2020-21 2021-22

Production:
Production of Iron Ore WMT (In lakh
355.76 323.61 314.89 341.50 421.88
tonnes)
Production of Sponge Iron
NIL 2,475.37 NIL NIL NIL
(tonnes)*
Production of Diamonds
39,393.72 38,148.77 28,537.23 13,681.01 NIL
(carats)
Production Pellets (in tonnes) 58,070 1,15,622.89 1,10,481.19 83,751.32 1,82,298.77
Sales:
Sale of Iron Ore (in lakh tonnes) 360.75 323.56 315.14 332.52 405.64
Sale of Diamonds (carats) 33,175.34 29,345.54 33,722.99 22,248.84 25,219
Sale of Sponge Iron (tonnes) Nil 495.58 1,943.88 NIL NIL
Sale of Pellets (tonnes) 42,948 1,12,010 85,793 92,773 1,96,972
64 NMDC LIMITED
4.2 Financial Performance of NMDC (` in Cr.)
Details 2017-18 2018-19 2019-2020 2020-21 2021-22
Sale of Iron Ore 11,490.93 11,997.98 11,569.00 15,233.70 255,46.66
Sale of Diamonds 35.17 38.86 34.29 21.10 62.93
Sale of Wind Power 6.50 5.51 5.40 5.17 4.99
Sale of Sponge Iron 0.00 0.94 4.39 NIL NIL
Sales- Pellet 25.40 76.52 55.55 73.50 222.11
Sales – Others 56.91 32.86 30.59 36.59 45.10
Turnover 11,614.91 12,152.67 11,699.22 15,370.06 25881.73
EBITDA 6,472.13 7,518.91 6,426.69 9,146.27 13,306.41
PBT 6,179.66 7,199.06 6,123.48 8,901.10 12,981.41
PAT 3,805.88 4,642.11 3,610.12 6,253.05 9,398.48
Dividend 1,676.86 1,690.14 1,619.72 2,274.15 4,319.72
Dividend as % of PAT 44% 36% 45% 36% 46%
5. Outlook for NMDC
NMDC proposes to augment its production capacity of iron ore to 67 million tonnes by FY’25. It has also
embarked on value addition projects by setting up a 1.2 MTPA pellet plant utilizing slimes in Karnataka and a
3.0 MTPA integrated steel plant in Chhattisgarh. NMDC-CMDC Limited (NCL), a JV company of NMDC Limited
& CMDC Limited, will also start production from Dep-13 through MDO in the near future. Dep-4 has been also
allocated to NMDC in Sep’19, which will add further value to NMDC production & profit numbers. NMDC has
also developed an intermediate stockpile at Kumarmaranga near Jagdlapur to ensure an uninterrupted supply
of ore to the customers. To augment evacuation capacity, NMDC is supporting on Doubling of K-K line (Kirandul-
Kotvatsala), Rowghat-Jagdalpur line, Slurry Pipeline, etc
To diversify further its business, NMDC is planning to start one of the Coal Mine, namely Tokisud North,
Jharkhand in FY’23. NMDC will also start actions to operationalize the other allocated Coal Block, Rohne, in
the next 2-3 years. NMDC also participated in the auction of the Gold mine & declared as preferred bidder for
Chigugunta-Bisanatham Gold Block in A.P. NMDC will take action to start the gold mine after LOI will be issued
by the state government.
NMDC has recently prepared its Internationalisation Strategy to venture into various identified minerals &
geographies & will continue to look for opportunistic assets based on the recommendation & strategy in the
formulated report.
NMDC is committed to focusing on maintaining cost competitiveness in the global and domestic markets in
a scenario where prices are expected to remain subdued. Further, NMDC is taking various initiatives towards
automation & digitization of its operation to further improve its cost competitiveness.
Along with robust strategic planning to support its growth agenda, NMDC continues to enhance organizational
capabilities and other enablers to achieve its short-term and long-term objectives.
6. Risks and Concerns
NMDC is exposed to sharp fluctuations in demand for its products and volatility in prices. Falling prices of iron
ore, specially in international market will support the import by the steel players & exert pressure on domestic
supply & prices.
Introduction of Auction rule has increased risks for NMDC as its major customers have acquired captive mines
in mineral-rich states, mainly JSW & AM-NS. Both JSW & AM-NS has already started production from newly
acquired mines & planned to increase it further in the near future. New tranches of auction is likely to add
further capacity of iron ore to steel players as well as other merchant players in near futyre. This is likely to
adversely impact the market for NMDC over the medium to long term.
Kumarswamy mine is due for extension of lease in Oct’22, which will again impact the EBITDA of the company.

One of the major risks that NMDC is facing is the employees, NMDC has launched medical insurance
disturbances due to Maoist activities in Bailadila facility for wider coverage of hospitals.
region. The Company is in contact with the
During Covid time, NMDC has taken various
Government agencies at all levels for support and
initiative to give the health & safety of the
protection of its employees and installations.
employees utmost priority. Apart from supporting
Although NMDC is entering in to Coal Mining, the the employees in various sanitaisation & health
opening of the Coal sector for Commercial mining measures, Ex-Gratia of ` 15 Lakhs for deceased
will increase the competition for NMDC in the short employees’ family has been also started, which is
to medium term. over and above the existing facility of payment of
last Basic + DA every month for family of deceased
Timely enhancement of evacuation capacity in line
employees. Various additional facilities for families
with production plans also remains a potential risk.
of deceased employees have also been extendded
This could impact production and inventory levels
for NMDC. Training and skill up-gradation forms an important
area where assessment is first made to understand
7. Internal control systems and their adequacy
employee needs and concerns and then,
Necessary disclosure in respect of Internal Control appropriate training programmes are organized
Systems and their adequacy has been made in throughout the year. Even during Covid time,
Annexure-C to the Independent Auditors’ Report NMDC continued its training programmes through
dated 26th May, 2022 which forms part of the Web-based learning initiatives. To enhance the
Annual Report. training further, NMDC has initiated the process
of purchasing 100 comprehensive world-class
8. Discussion on financial performance with respect
E-Learning Licenses through M/s Udemy. NMDC
to operational performance
has further associated with reputed institutes like
During the year under review, the Company’s IIM, IIT and ISB for imparting training.
revenue from operations increased by 68.39%
NMDC has also started happiness building initiative
from ` 15,370 crores to ` 25,882 crores mainly on
by imparting specific training in line with IKIGAI,
account of:
on happy worlplace. As a result of the all-round
• Increase in Iron ore Sales quantity by 21.99 % measures being taken by the company, attrition
from 332.52 Lakh Tons to 405.64 Lakh Tons. from NMDC has been marginal, despite remote
locations of the NMDC mines.
• Realization was higher by 37.48% during this
period from ` 4,581/- per ton to ` 6,298/- per It is worth highlighting that industrial relations
ton. have been cordial all along during the year.
Any difference is sorted out through bipartite
Details on financial performance with respect to discussions at appropriate fora. The cooperation
operational performance are given in detail in the and support of workmen represented by All India
Directors' Report. NMDC Workers Federation (AINMDCWF) in this
9. Material developments in Human Resources/ regard are praiseworthy.
Industrial Relations front, including number of Keeping in view the various diversification projects
people employed. viz. Steel Plant and Pellet Plant, & expansion of
The human capital of NMDC has been its key existing projects, the company has taken initiative
driving factor and its greatest asset. The company to train /retrain its existing manpower and also to
has made concerted efforts in keeping the go for fresh induction.
workforce highly engaged and motivated. Further, about 67 executives have been recruited
On one hand, continuous improvement is made in Finance in FY’22021-22. All were provided on-
to improve the quality of life at the townships the-job and off-the-job training in order to prepare
with investments in parks, community halls, up- them for taking up the challenges of working in
gradation/construction of new quarters, clubs, NMDC’s production projects, upcoming Steel Plant
gymnasium, facilities for different sports such as well as any new venture that Company may like
as tennis, badminton, table-tennis, cricket, etc. to take up. The further recruitment process is in
NMDC has also taken revisions in various welfare progress for upcoming projects.
measures & advance from time to time. It also
focuses on various types of insurances beneficial to
the employees. To give a further support to retired
66 NMDC LIMITED
During the last five years, the number of people on 11. Details of any change in Return on Net Worth as
rolls as on 31st March is as follows: compared to the immediately previous financial
year along with a detailed explanation thereof (For
2016-17 : 5,572 Standalone Basis)
2017-18 : 5,382
(% of
2018-19 : 5,887 2021-2022 2020-2021
Change)
2019-20 : 5,722
Net Worth (+) 17.09
2020-21 : 5,569 34,844 29,756
(` In crore) %
2021-22 : 5,539
PAT (` in (+) 50.30
9,398 6,253
10. Details of significant changes in Key Financial crore) %
Ratios: Return on
26.97(%) 21.01(%)
Details of significant changes (i.e. changes in 25% Net Worth
or more as compared to the immediately previous
Interim Dividend paid during the current year
financial year in key financial ratios:
` 14.74 per share, total consideration of ` 4,319.72
10.16 (P.Y. 7.04) crore.
Increase in revenue 12. Sustainability
Debtors Turnover from operation by 68%
i) NMDC is publishing Sustainability Report as per
Ratio (Current year Turnover
the Global Reporting Initiative (GRI) Standards,
is ` 25,882 crore from
capturing initiatives taken by NMDC over the years
` 15,370 crore against
in Economic, Environmental and Social aspects. As
previous year)
the world is now traversing more uncertainty than
There is no significant ever, NMDC is focusing on building sustainable and
ii) Inventory Turnover
change in the ratio resilient businesses to survive in the long run and
127 (P.Year 232) to make a meaningful contribution to the battle
against climate change through an increasing
EBITDA increase 45%
Interest Coverage investing environment, social and governance (ESC)
iii) (Current year EBITDA
Ratio initiatives. All Mines of NMDC has been Awarded 5
is ` 13,306 crore
Star Rating by the Ministry of Mines.
against previous year
` 9146 crore) 12.1 Environment:
There is no significant • The environmental monitoring studies are
iv) Current Ratio
change in the ratio conducted through recognized laboratories of
0.10 (P.Year, 0.07) MoEFCC/ CPCB, covering all environmental
New term loan Trust & parameters. Based on the results of
v) Debt Equity Ratio Retention Accounts of monitoring studies, it is concluded that all
` 1,144.42 crore taken environmental parameters are well within
of @ 7.10% P.A the limits during FY 21-22. A total of six
Continuous Ambient Air Quality Monitoring
Operating Profit There is no significant Stations (CAAQMS) have been installed at
vi)
Margin (%) change in the ratio Bacheli project (2 nos), Kirandul project
Net Profit Margin There is no significant (2 nos) and Donimalai Project (2 nos) for
vii)
(%) change in the ratio recording of Ambient air quality parameters
Current Year 27 % (P.Y such as PM10, PM2.5, SO2, NOx and CO in
21.22%) real time. Procurement of 2 no.s CAAQMS are
Return on Net
viii) in progress for installation in Kumaraswamy
Worth (%) Increase in PAT BY Iron Ore Mines.
50.30%
Or Sector Specific • Every year Carbon Footprint studies are being
equivalent ratios as NIL conducted for disclosure of Greenhouse
applicable Gas Emissions under Carbon Disclosure
Project (CDP). Water Audit is conducted at

regular intervals at all projects of NMDC • A total of 22,000 saplings planted in the FY
and recommendations of audit are being 2021-22 in and around NMDC projects. Since
implemented to conserve water and to inception of Mining activities in Bailadila and
improve the efficiency of motors / pumps, Karnataka, more than 25.42 Lakh trees have
arrest leakages, etc. Apart from this regular been planted in and around leases of NMDC
maintenance of water appurtenances is being Limited. NMDC is actively contributing funds
done. to Government of Chhattisgarh flagship
programme “Hariyar Chhattisgarh” for
• Sustainable Mining Initiative audit is being
undertaking block plantation in the state of
done at all Iron Ore Mining projects of
C.G by CGRVVN Limited.
NMDC and recommendations are being
implemented. NMDC received 5-star ratings 12.2 Health & Safety
for all its operating iron ore mines viz.
Health & Safety continue to be our priority with
Kumaraswami, Bacheli Deposit-5, Deposit 14
employees & contractual workmen at our projects
NMZ and Deposit No 10.
adhering to the SOPs & safety norms. NMDC
• The R&R works suggested by M/s Indian appreciate that safety is a journey & is committed
Council of Forest Research and Education to continually improve its performance and set high
(ICFRE, Dehradun) in the Environmental standards.
Management and Reclamation &
In each mining project of NMDC sufficient number
Rehabilitation Plan for Kirandul Complex,
of Workmen Inspectors are nominated/appointed
Chhattisgarh and in Donimalai Complex,
for Mining operations, Mechanical and Electrical
Karnataka are under implementation stage.
installations as per statutory requirements for
The R&R plan for Bacheli complex is under
carrying safety inspections.
final stage of submission and the reclamation
measures suggested by ICFRE will be Mine Level Tripartite Safety Committee Meetings
implemented. have been conducted in each of the operating
mines. This meeting is conducted once in a
• R&D works in the field of air, water, solid
year at project level with senior officials, Union
waste etc. are being undertaken by engaging
Representatives and DGMS Officials in which Safety
institutes of repute such as ISM Dhanbad, NIT
Performance and its appraisal are made and the
– Raipur and VNIT – Nagpur.
recommendations are implemented.
• The environmental pollution control works
Corporate Level Tripartite Safety Committee
are undertaken such as de-silting of
Meetings are being held regularly once in a year
check dams / check bunds, tailing dams,
at Head Office and the recommendations are
construction of buttress walls at toe of waste
implemented.
dumps and geo-coir matting for stabilization
of waste rock dumps. Safety Committees have been constituted in every
operating mine and pit safety meetings are held
• About 96 no.s wells are being monitored at
every month discussing the safety matters and
NMDC projects to monitor underground water
corrective actions related to work atmosphere.
quality and water levels for all 4-seasons in
a year. Studies are revealed that there has In order to ensure that safety systems are up
been an increasing trend in the ground water to date & also comply with the latest safety
level due to hydraulic loading by the existing regulations, a cross-project internal safety audit
check dams and check bunds. Limited usage has been started in NMDC. Safety Management
of ground water and continuous recharge system has been implemented in all our mines.
helped in the process. Risk Assessment studies are being conducted
regularly.
• NMDC has set-up Sewage Treatment Plant
(STP) with advanced treatment technology NMDC provides extensive safety training
(Sequential Batch Reactor) at Bacheli (2 programmes to inculcate safety habits & mindset
MLD) and at Donimalai (3 MLD) for treatment at work to its employees. Behavioral based safety
of domestic waste water. STP works are in trainings are also given to the employees.
progress at Kirandul (3 MLD) township. The
Severity Rate for the year 2021–22 is 2.16
treated water will be reused for green belt
development. (Severity Rate = Mandays lost per 100000 Mandays
worked).
68 NMDC LIMITED
OHS Activities: socio-economic needs. It is only because
of its strong focus on social responsibility
Occupational Health Services have been provided
programmes aiming at enhancing the quality
with adequate manpower and infrastructure and
of life of the local communities that NMDC
are functioning in full-fledged manner at all the
has been successfully mining in these areas.
projects, headed by Qualified Doctors trained in
OHS at Central Labour Institute, Mumbai. • NMDC is the model PSE in the field of CSR
and its model of stakeholder consultation
Periodical Medical Examination under statute is
mechanism for implementation of its CSR
carried out regularly in all the projects.
has been recommended by Department of
NMDC strives to ensure that workers are not Public Enterprises, Government of India for
exposed to occupational hazards that negatively emulation by all other CPSEs.
affect their health. NMDC also has well equipped
• The Company is investing substantially
hospitals with capable medical teams available
in promoting education, development of
24/7 to support the health & well being of the
physical infrastructure, providing healthcare
workers & the surrounding community.
services & clean drinking water along with
12.3 Corporate Social Responsibility imparting technical skill sets aimed at
enhancing employability & income generation
• CSR is raison d'être of NMDC and not just
etc. among other initiatives primarily in
a part of business strategy. NMDC’s CSR
surrounding areas of its operations.
programmes are carried out in areas which
are remote, backward and face serious • Apart from the above, NMDC has been at the
law and order problems due to left-wing forefront of CPSEs contributing to the fight
extremism. The area is among the most against COVID-19 pandemic by assisting Govt.
backward regions of India and inhabited Authorities in the States, wherein it operates
predominantly by Scheduled Tribes and or has Units/Establishments.
Scheduled caste population who are
Detailed disclosure on CSR forms part of the
poor, underprivileged, deprived, suffer
Annual Report.
malnutrition and devoid of support for their

Annexure – II
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN
EXCHANGE EARNINGS AND OUTGO UNDER COMPANIES ACT, 2013
About NMDCs’ R&D Centre: Addition of external agent to wet & sticky Iron ore to
improve flowability and screen efficiency
NMDC R&D centre is committed to maintain its
excellence in undertaking product and technology Utilization of mines waste for value added product like
development projects related to ore and minerals development of building materials.
through continual improvement in process performance
¾¾ Technology Absorption:
for enhanced customer’s satisfaction. R&D centre
has the capability and capacity to undertake project • Development of Vision Enhancement System
associated to mineral beneficiation & processing, for foggy Weather at Bacheli
mineralogical studies, material handling and storage,
• Utilizing 100% iron ore fines in the existing
metallurgical studies of iron ore and coal, chemical
beneficiation circuit at pellet plant Donimalai
analysis etc.
• Designing of jamming free Rapid wagon
R&D centre extends its vital support to NMDC’s existing loading system in Kirandul complex
and upcoming projects. Expertise of R&D centre is also
being extensively used by other organizations (in both • Development of technology for dry processing
public and private sector) engaged in iron ore, coal and and beneficiation
other allied sectors globally. Apart from the above thrust areas, R&D centre
also undertakes collaborative projects with reputed
The R&D centre is endowed with state of art laboratory
organizations and institutes across the globe
equipments to analyze different minerals, coal, metal
having expertise in the field of waste utilization,
and non-metals. Some of the facilities includes XRD,
mining, beneficiation and other allied areas.
WD-XRF, ICP-AES, GFAAS, SEM, RUL, CS, Pilot coke
oven, Blast furnace simulation (Softening & melting NMDCs’ Innovation & Incubation Program (NICE)
furnace), Dilatometer & Plastometer, TGA, Dry air & APIC for Promoting Start-Ups:
Jig, WHIMS, Ring shear tester, Abrasion tester, Vickers
hardness tester, Advanced Rheometer, Friction angle “Startup India” is a flagship initiative of
tester, Zeta potential, Automatic mineral analyzer, Stereo the Government of India, intended to
microscope, Batch & Pilot plant facilities for Mineral catalyze startup culture and build a strong
processing and Agglomeration. and inclusive ecosystem for innovation and
entrepreneurship in India. In tune with “Startup
NMDC R&D has implemented Integrated Management India” initiative, NMDC has decided to support
System comprising ISO 9001: 2015 (Quality Management the budding startup companies to nurture new
System), ISO 14001: 2015 (Environment Management ideas and concepts. After studying the various
System), OHSAS 18001: 2007 (Occupational Health and entrepreneurial eco systems existing in the
Safety Assessment System) and SA 8000: 2014 (Social country, NMDC has established NMDC Innovation
Accountability). & Incubation Centre (NICE) in association with
i-TIC Foundation at IIT- Hyderabad premises,
R&D centre is also recognized by Department of with a focus to nurture and incubate start-up
Scientific and Industrial Research (DSIR). The Chemical companies with new and innovative ideas in Deep
laboratory has been accredited by National Accreditation Technology. i-TIC Foundation, IIT Hyderabad (i-TIC),
Board for Testing and Calibration Laboratories (NABL is a registered society, hosted by Indian Institute of
ISO 17025:2017) in the field of chemical analysis. Technology Hyderabad which has established the
Technology Business Incubator (TBI).
The thrust of NMDC Limited’s R&D Centre is towards
NMDC contributes up to ` 10 Crore for this five-
¾¾ Conservation of Energy: year joint incubation program to support at
Minimizing the production loss due to flowability least 15 start-ups. The objective of the program
related issues in handling and storage of bulk is to promote the spirit of Innovation and
solids (like iron ore, coal, flyash etc) Entrepreneurship in the country. The program
offers working space, maker’s lab, networking with
Use of alternate and better screening media to mentors & experts apart from financial support
achieve better productivity to start-ups. The program was launched on 04th
70 NMDC LIMITED
November 2020 by CMD, NMDC in presence of 3. Utilization of mining waste (Slime) to
Directors of NMDC and IIT Hyderabad. A dedicated produce building materials
website was created and launched for the NICE
4. Investigate the effect of Alumina
program (www.niceprogram.in).
content on flow properties of iron ore
For second year, 05 start-ups for grants program
5. Development of comprehensive report
and 01 for fellowship program were selected in
on the flow characteristics of different
the first round by a designated committee (PRC).
types of Coal
A total of 08 start-ups for grants program and 05
fellows for fellowship program are currently getting ii) Strategic Technology Absorption:
incubation support under the umbrella of NMDC
6. Beneficiation of low-grade coal after
Innovation & Incubation Centre.
removal of volatile matters
Various research projects completed /In progress by
7. Preparation of sodium base silica and
R&D Centre:
recovery of TiO2from Kimberlite
1.0 Projects of NMDC Mines/Projects
8. Study of making of value added product
i. Physical and metallurgical characterization from mines slimes/tailings
of iron ore samples received from Bailadila
3.0 Collaborative Programmes under progress
sector
ii. Various samples received for characterization Collaborating
and chemical analysis from Investigation Title and Nature of Work
Institutes
department
Characterization and beneficiation
iii. Exploring possibilities of utilising 100% iron
studies on laterite/goethite iron ore.
ore fines in the existing beneficiation circuit CSIRO,
Development of dry beneficiation
at pellet plant Donimalai Australia
technology for processing of hydrated
iv. Evaluation of indigenous wear liner to be iron ore.
used in NMDC mines- An import substitution
i. Modeling & Optimization of high
initiative for ATMANIRBHAR BHARAT
concentration Iron ore fines/
v. Development of vision enhancement system Concentrate slurry pipe line
for foggy weather at Bacheli (In collaboration for Indian Iron Ore Processing
with CSIR-CIMFR) Industry (Final report submitted
in Sep 2021).
vi. Design inputs for Rapid wagon loading CSIR-IMMT,
system at Kirandul complex Bhubaneswar ii. Development of application of
Nano Iron oxide obtained from
2.0 In-house Developmental Research Projects
blue dust in energy & sensors
i) Process Improvement: devises
1. Development of high-grade pellets or iii. Dry beneficiation of Iron ore and
ultra pure grade pellet. coal using VSK Separator
2. Develop a process for 100% utilization Development of Vision enhancement
of ultra fines iron ore in sinter making CSIR-CIMFR
system for foggy weather

4.0 R&D Investment
Investment on R&D (` Crs) Turnover (%) of Profit after (%) of

Year
Revenue Capital Total (` Crs) Turnover tax (` Crs) PAT
2017-2018 22.03 3.10 25.13 11,615 0.22 3,806 0.66

2018-2019 23.81 7.50 31.31 12,153 0.26 4,642 0.68
2019-2020 23.79 7.00 30.79 11,699 0.26 3,610 0.87
2020-2021 27.40 1.80 29.20 15,370 0.20 6,253 0.47
2021-2022 27.16 3.97 31.13 25,882 0.12 9,398 0.33
In addition to the above, expenditure on Innovations Initiatives during the year 2021-22 is ` 295.97 crores.
5.0 Foreign Exchange earnings and outgo.
i) Foreign Exchange Earning NIL
ii) Foreign Exchange outgo ` 49.88 crore
72 NMDC LIMITED
Annexure – III
Report on Corporate Governance
1. A brief statement on Company’s philosophy on iii) Shri Vishal Babber (w.e.f. 01.11.2021)
code of Governance
iv) Shri Sanjay Singh (w.e.f. 29.12.2021)
NMDC, a Navaratna Company, believes in financial
The Chairman-Cum-Managing Director and
prudence, customer satisfaction, transparency,
Functional Directors are appointed by Government
accountability and commitment to values. The
of India for a period of five years or till the age of
good governance it practices is based on its stated
superannuation or until further orders whichever
belief and the guidelines of the Government of
is earlier. The Directors are initially appointed
India issued from time to time should go a long
by the Board as Additional Directors in terms of
way in enhancing value for all those who are
the provisions of the Companies Act, 2013 and
associated with the Company: shareholders,
thereafter by the shareholders in the Annual
customers, suppliers, creditors, Government of
General Meeting. The appointment may, however,
India, State Governments, Governmental agencies/
be terminated by either side on three months
departments and the society at large. The Board of
notice or on payment of three months salary in lieu
Directors have approved the Policy on Corporate
thereof.
Governance.
Government Nominee Directors representing
2. Board of Directors
Ministry of Steel, Government of India retire from
As on 31st March 2022, the Board of NMDC the Board on ceasing to be official of Ministry of
comprises of Chairman and Managing Director, Steel, Government of India.
three Whole time / Functional Directors, two
Non Executive Directors (Independent) are
Government Nominee Directors and four
normally appointed for a tenure of 3 years by Govt.
Independent Directors.
of India.
a. Composition and category of Directors:
b. BOARD MEETINGS
Whole-time / Functional Directors
Board Meeting Procedure:
i) Shri Sumit Deb, Chairman and Managing
The Board Meetings are convened by giving
Director
appropriate advance notice after seeking approval
ii) Shri Amitava Mukherjee, Director (Finance) of the Chairman of the Board / Committee as the
case may be. In order to address specific urgent
iii) Shri Somnath Nandi, Director (Technical)
needs, meetings are also convened at a shorter
iv) Shri Dilip Kumar Mohanty, Director notice. Resolutions are also passed by way of
(Production) (w.e.f. 05.10.2021) circulation in the eventuality of exigencies or
urgency.
v) Shri Alok Kumar Mehta, Director
(Commercial) (upto 30.09.2021) Detailed agenda note are circulated in advance to
the Board Members for facilitating meaningful,
vi) Shri P.K. Satpathy, Director (Production) (upto
informed and focused decision at the meeting. In
31.08.2021)
case of special and exceptional circumstances,
Government of India Nominee Directors additional / supplemental agenda item(s) are also
permitted.
i) Smt. Rasika Chaube Additional Secretary,
Ministry of Steel Information placed before the Board of Directors
ii) Smt. Sukriti Likhi, Additional Secretary & The Board of Directors has complete access to
Financial Advisor, Ministry of Steel (w.e.f. information within the Company. The information
23.04.2021) inter alia regularly supplied to the Board includes:
Independent Directors (Non-Executive) • Annual Operating Plans and Budgets and any
updates.
i) Shri Sanjay Tandon (w.e.f. 01.11.2021)
• Capital Budget, Revenue Budget and any
ii) Dr. Anil Sadashivrao Kamble (w.e.f. updates.
01.11.2021)

• Quarterly / Annual Results of the Company. • Disclosure of Interest by Directors and other
statutory items.
• Minutes of Meeting of Audit Committee and
other Committees of the Board. • Major expansion plans of the Company.
• Minutes of the Meeting of Board of Directors • Any significant development in Human
of Subsidiary Companies. Resources / Industrial Relations.
• Major Investments in Subsidiaries, Joint
Ventures and Strategic Alliances.
Attendance of each Director at the Board Meeting and the last AGM
No. of Board
No. of Board Last AGM
Sl. No. Name of the Director Meetings
Meetings held Attended
attended
Shri Sumit Deb
1 9 9 YES
Shri P.K. Satpathy
2 5 5 NA
Director (Production) (upto 31.08.2021)
Shri Alok Kumar Mehta
3 6 6 YES
Director (Commercial) (upto 30.09.2021)
Shri Amitava Mukherjee
4 9 9 YES
Director (Finance)
Shri Somnath Nandi
5 9 9 YES
Director (Technical)
Shri Dilip Kumar Mohanty
6 3 3 NA
Director (Production) (w.e.f. 05.10.2021)
Smt. Rasika Chaube
7 9 9 NO
Govt. Nominee Director
Smt Sukriti Likhi
8 9 9 NO
Govt. Nominee Director (w.e.f. 23.04.2021)
Shri Sanjay Tandon
9 3 2 NA
Independent Director (w.e.f. 01.11.2021)
Dr. Anil Sadashivrao Kamble
10 3 3 NA
Shri Vishal Babber
11 3 3 NA
Shri Sanjay Singh
12 1 1 NA
74 NMDC LIMITED
c. Number of other Boards or Board Committees in which he / she is a Member or Chairperson
No. of Directorship and Committee

Membership / Chairmanship
Sl. Other Board Committee Committee Names of Others
Name of the Director
No. Directorship* Membership# Chairpersonship Listed entity
(Excluding (Excluding # (Excluding and category of
NMDC) NMDC) NMDC) directorship
Shri Sumit Deb
1 3 -- -- --
Shri P.K. Satpathy
2 Director (Production) (upto 5 -- -- --
31.08.2021)
Shri Alok Kumar Mehta
3 Director (Commercial) (upto 6 -- -- --
30.09.2021)
Shri Amitava Mukherjee
4 6 -- -- --
Director (Finance)
Shri Somnath Nandi
5 3 -- -- --
6 Director (Production) (w.e.f. 5 3 -- --
05.10.2021)
Smt. Rasika Chaube
7 1 1 -- --
Govt. Nominee Director
Nominee Director
Smt. Sukriti Likhi
in KIOCL Ltd., Steel
8 Govt. Nominee Director 5 -- --
Authority of India
(w.e.f. 23.04.2021)
Ltd. and MOIL Ltd.
Shri Sanjay Tandon
9 Independent Director 2 4 -- --
(w.e.f. 01.11.2021)
10 Independent Director 2 3 -- --
(w.e.f. 01.11.2021)
Shri Vishal Babber
11 Independent Director -- 3 -- --
(w.e.f. 01.11.2021)
Shri Sanjay Singh
12 Independent Director -- -- -- --
(w.e.f. 29.12.2021)
Notes:
* Directorship held by Directors on all other Boards (Private & Public)
# Committee membership is in line with Regulation 26 of the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015.

d. No. of Board Meetings held, dates on which held.
During the year 2021-22, nine (9) Board meetings were held, the details of which are given below:
Sl.No. Board Meeting Sl. No. Board Meeting Date Board Strength No. of DirectorsPresent
1 537 17.06.2021 7 7
2 538 22.06.2021 7 7
3 539 13.07.2021 7 7
4 540 12.08.2021 7 7
5 541 31.08.2021 7 7
6 542 27.09.2021 6 6
7 543 11.11.2021 9 9
8 544 03.12.2021 9 8
9 545 08.02.2022 10 10
Brief Resume / profiles of the Directors appointed / re-appointed and expertise in specific functional areas
forms part of the Annual Report.
e. Directors are not inter se related to each other.
f. No. of Equity Shares of the Company held by Directors as on 31st March, 2022.
No. of Shares of
S.No. Name of the Director
the Company
1 Shri Sumit Deb, Chairman-cum-Managing Director NIL
2 Shri P.K. Satpathy, Director (Production) (upto 31.08.2021) 320
3 Shri Alok Kumar Mehta, Director (Commercial) (upto 30.09.2021) NIL
4 Shri Amitava Mukherjee, Director (Finance) NIL
5 Shri Somnath Nandi, Director (Technical) NIL
6 Shri Dilip Kumar Mohanty, Director (Production) (w.e.f. 05.10.2021) NIL
7 Smt. Rasika Chaube, Govt. Nominee Director NIL
8 Smt. Sukriti Likhi, Govt. Nominee Director (w.e.f. 23.04.2021) NIL
9 Shri Sanjay Tandon, Independent Director (w.e.f. 01.11.2021) NIL
10 Dr. Anil Sadashivrao Kamble, Independent Director (w.e.f. 01.11.2021) NIL
11 Shri Vishal Babber, Independent Director (w.e.f. 01.11.2021) NIL
12 Shri Sanjay Singh, Independent Director (w.e.f. 29.12.2021) NIL
g. Web link of Familiarization Programme:
Ministry of Steel, Govt. of India, the controlling ministry of the company has appointed Independent Directors
on the Board of the company on 01.11.2021 and 29.12.2021. Hence, the company is in the process of providing
Familiarization Programmes to the newly inducted Independent Directors. The weblink for the same is provided
under Investors section.
h. Chart or matrix setting out skills/expertise/competence of the Board of Directors:
NMDC being a Government Company under the control of its administrative Ministry viz. Ministry of Steel, the
Board members are appointed / reappointed by the Administrative Ministry. The skills / expertise / competence
as required in the context of business and areas pertaining to the company is identified by Govt. of India and
accordingly selection of Directors on the Board is made by Govt as per its own procedures and rules.
76 NMDC LIMITED
Existing Skills / expertise /
competence
Management, Personnel, HR,
1 Shri Sumit Deb, Chairman and Managing Director
Commercial
2 Shri P.K. Satpathy, Director (Production) (upto 31.08.2021) Mining
Commercial, Marketing &
3 Shri Alok Kumar Mehta, Director (Commercial) (upto 30.09.2021)
Projects
4 Shri Amitava Mukherjee, Director (Finance) Finance, Costing, Taxation
5 Shri Somnath Nandi, Director (Technical) Steel, Projects
6 Shri Dilip Kumar Mohanty, Director (Production) (w.e.f. 05.10.2021) Steel
7 Smt. Rasika Chaube, Govt. Nominee Director IDAS officer
8 Smt. Sukriti Likhi, Govt. Nominee Director (w.e.f. 23.04.2021) IAS Officer
9 Shri Sanjay Tandon, Independent Director (w.e.f. 01.11.2021) Chartered Accountant
Dr. Anil Sadashivrao Kamble, Independent Director (w.e.f. Doctor, Administration of
10
01.11.2021) Hospital
11 Shri Vishal Babber, Independent Director (w.e.f. 01.11.2021) Chartered Accountant
12 Shri Sanjay Singh, Independent Director (w.e.f. 29.12.2021) Social Service, CSR
i. Confirmation that in the opinion of the board, ~~ Matters required to be included in the
the independent directors fulfill the conditions Director’s Responsibility Statement
specified in these regulations and are independent to be included in the Board’s report in
of the management: terms of clause (c) of sub-section 3 of
section 134 of the Companies Act, 2013;
The Independent Directors have given a declaration
on meeting the criteria of independence as ~~ Changes, if any, in accounting policies
stipulated in the Companies Act, 2013 and the SEBI and practices and reasons for the same;
(LODR) Regulations, 2015 in the FY 2021-22.
~~ Major accounting entries involving
j. Detailed reasons for the resignation of an estimates based on the exercise of
independent director who resigns before the judgment by management;
expiry of his / her tenure along with a confirmation
~~ Significant adjustments made in the
by such director that there are no other material
financial statements arising out of audit
reasons other than those provided: NA
findings;
3. Audit Committee
~~ Compliance with listing and other
i. Brief description of terms of reference legal requirements relating to financial
statements;
The role of the Audit Committee shall include the
following:- ~~ Disclosure of any related party
transactions;
¾¾ Oversight of the Company’s financial
reporting process and the disclosure of ~~ Modified opinion(s) in the draft audit
its financial information to ensure that the report.
financial statement is correct, sufficient and
¾¾ Reviewing, with the management, the
credible;
quarterly financial statements before
¾¾ Recommendation for appointment, submission to the board for approval;
remuneration and terms of appointment of
¾¾ Reviewing, with the management, the
auditors of the Company;
statement of uses / application of funds
¾¾ Approval of payment to statutory auditors for raised through an issue (public issue,
any other services rendered by the statutory rights issue, preferential issue, etc.), the
auditors; statement of funds utilized for purposes other
than those stated in the offer document /
¾¾ Reviewing, with the management, the annual
prospectus / notice and the report submitted
financial statements and auditor’s report
by the monitoring agency monitoring
thereon before submission to the board for
the utilisation of proceeds of a public or
approval, with particular reference to:
rights issue, and making appropriate

recommendations to the Board to take up ¾¾ Provide an open avenue of communication
steps in this matter; between the independent auditor, internal
auditor and the Board of Directors.
¾¾ Reviewing and monitoring the auditor’s
independence and performance, and ¾¾ Review all related party transactions in
effectiveness of audit process; the Company. For this purpose, the Audit
Committee may designate a member who
¾¾ Approval or any subsequent modification of
shall be responsible for reviewing related
transactions of the Company with related
party transactions.
parties;
¾¾ Scrutiny of inter-corporate loans and ¾¾ Review with the independent auditor the
investments; co-ordination of audit efforts to assure
completeness of coverage, reduction of
¾¾ Valuation of undertakings or assets of the redundant efforts, and the effective use of all
Company, wherever it is necessary; audit resources.
¾¾ Evaluation of internal financial controls and ¾¾ Consider and review the following with the
risk management systems; independent auditor and the management:
¾¾ Reviewing, with the management, ~~ The adequacy of internal controls
performance of statutory and internal including computerized information
auditors, adequacy of the internal control system controls and security.
systems;
~~ Related findings and recommendations
¾¾ Reviewing the adequacy of internal audit of the independent auditor and internal
function, if any, including the structure auditor, together with the management
of the internal audit department, staffing responses.
and seniority of the official heading the
department, reporting structure coverage and ¾¾ Consider and review the following with
frequency of internal audit; the management, internal auditor and the
independent auditor:
¾¾ Discussion with internal auditors of any
significant findings and follow-up thereon; ~~ Significant findings during the year,
including the status of previous audit
¾¾ Reviewing the findings of any internal
recommendations.
investigations by the internal auditors /
auditors / agencies into matters where there ~~ Any difficulties encountered during
is suspected fraud or irregularity or a failure audit work including any restrictions
of internal control systems of a material on the scope of activities or access to
nature and reporting the matter to the board; required information.
¾¾ Discussion with statutory auditors before ¾¾ Reviewing the utilization of loans and/ or
the audit commences, about the nature advances from/investment by the holding
and scope of audit as well as post-audit company in the subsidiary exceeding rupees
discussion to ascertain any area of concern; 100 crore or 10% of the asset size of the
subsidiary, whichever is lower including
¾¾ To look into the reasons for substantial
existing loans / advances / investments
defaults in the payment to the depositors,
existing as on the date of coming into force of
debenture holders, shareholders (in case
this provision.
of non-payment of declared dividends) and
creditors; ¾¾ Carrying out any other function as is
mentioned in the terms of reference of the
¾¾ To review the functioning of the Whistle
Audit Committee.
Blower mechanism;
¾¾ Approval of appointment of Chief Financial ¾¾ Consider and comment on rationale, cost-
Officer after assessing the qualifications, benefits and impact of schemes involving
experience and background, etc. of the merger, demerger, amalgamation etc., on the
candidate; listed entity and its shareholders.
¾¾ To review the follow up action on the audit ii. Composition, names of Members and Chairperson
observations of the C&AG audit. The Audit Committee consists of the following
¾¾ To review the follow up action taken on the Directors #:
recommendations of Committee on Public ¾¾ Shri Sanjay Tandon, Independent Director and
Undertakings of the Parliament. Chairman (w.e.f. 06.11.2021)
78 NMDC LIMITED
¾¾ Dr. Anil Sadashivrao Kamble, Independent ¾¾ Director (Finance), Representatives of
Director and Member (w.e.f. 06.11.2021) Statutory Auditors, Internal Auditors,
Functional Directors, besides, Head of
¾¾ Shri Vishal Babber, Independent Director and
Finance and Executives of other Departments
Member (w.e.f. 29.11.2021)
are invited on need basis.
¾¾ Shri Somnath Nandi, Director (Technical) and
iii. Meetings and attendance during the year
Member
During the year under report, 3 meetings of
# Consequent upon the appointment of
the Audit Committee were held. The details of
Independent Directors on the Board of the company
attendance of the Members are indicated below:
by the controlling Ministry, Ministry of Steel,
the Audit Committee has been reconstituted on Strength No. of
Sl. Meeting Meeting
06.11.2021. of Audit Members
No. No. Date
Committee Present
¾¾ The Company Secretary acts as the
Secretary to the Audit Committee pursuant 1 120 11.11.2021 3 3
to Regulation 18(1)(e) of the SEBI (Listing 2 121 30.11.2021 4 4
3 122 08.02.2022 4 4
Regulations, 2015.
iv. Attendance of each Director at the Audit Committee meetings
Sl. No. of meetings No. of meetings

No. held attended
Shri Sanjay Tandon, Independent Director & Chairman
1 3 3
(w.e.f. 06.11.2021)
Dr. Anil Sadashivrao Kamble, Director (Commercial)
2 3 3
(w.e.f. 06.11.2021)
Shri Vishal Babber, Independent Director & Member
3 2 2
(w.e.f. 29.11.2021)
4 Shri Somnath Nandi, Director (Technical) 3 3
4. Nomination, Remuneration & HR Committee
(a) Brief description of terms of reference:
The Board of Directors at its 411th meeting held on 24.04.2009 had constituted a Remuneration Committee of
Directors in line with the DPE OM dated 26.11.2008.
Subsequently, keeping in view OM No.18(8)/2005-GM dated 14.05.2010 issued by DPE, the Board of Directors
at its 430th meeting held on 01.02.2011 re-constituted the Remuneration Committee. In compliance with
Section 178 of the Companies Act, 2013, the Board at its 474th meeting held on 30.05.2014 reconstituted the
Remuneration Committee as Nomination & Remuneration Committee. The said Committee has been renamed
as “Nomination, Remuneration & HR Committee.
The scope, powers and terms of reference of the Nomination and Remuneration Committee are as per the
directives issued by DPE, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the
Companies Act, 2013 etc.
(b) Composition of the Nomination, Remuneration & HR Committee is as under:

1 Shri Sanjay Tandon, Independent Director and Chairman (w.e.f. 06.11.2021)
2 Dr. Anil Sadashivrao Kamble, Independent Director and Member (w.e.f. 06.11.2021)
3 Shri Vishal Babber, Independent Director and Member (w.e.f. 06.11.2021)
(c) Meetings and attendance during the year:
During the year under review, 1 meeting of the Nomination, Remuneration & HR Committee was held on
01.12.2021.

Attendance of each Director at the Nomination, Remuneration & HR Committee meetings
Sl. No. of meetings No. of meetings

No. held attended
Shri Sanjay Tandon, Independent Director & Chairman
1 1 1
(w.e.f. 06.11.2021)
Dr. Anil Sadashivrao Kamble, Director (Commercial)
2 1 1
(w.e.f. 06.11.2021)
Shri Vishal Babber, Independent Director & Member
3 1 1
(w.e.f. 06.11.2021)
(d) Performance Evaluation
Performance Evaluation Criteria for Independent Directors: Necessary disclosures made in Directors’ Report.
5. Shareholders'/Investors' Grievance/Stakeholders Committee
Composition: The Board has constituted the Shareholders'/Investors' Grievance/Stakeholders Committee
comprising Chairman of Audit Committee, Shri Sanjay Tandon (Chairman of the Committee) and Director
(Production) and Director (Finance) as Members.
During the year under report, four (4) meetings of the Committee were held. The details of attendance of the
Members are indicated below #:
Sl. No. Meeting No. Meeting Date Strength of the Committee No. of Members Present
1 49 # 17.06.2021 2 -
2 50 # 12.08.2021 2 -
3 51 11.11.2021 3 3
4 52 08.02.2022 3 3
# The Company could not constitute the Shareholders' / Investors' Grievance Committee due to non-availability
of Independent Directors on the Board of the company.
# However, the Shareholders' / Investors' Grievance Committee was reconstituted on 06.11.2021 consequent
upon appointment of Independent Directors on the Board of the company. As there was no valid Committee
during the 49th & 50th meeting, being a statutory compliance, the same was placed before the Board of
Directors of the Company as an information item to the Board.
Attendance of each Member at the Shareholders' / Investors' Grievance Committee meetings

Sl. No. Composition No. of meetings held No. of meetings attended
1 Chairman, Audit Committee 2 2
2 Director (Production) 2 2
3 Director (Finance) 2 2
M/s KFin Technologies Ltd., Hyderabad (formerly KFin Technologies Pvt. Ltd.) was appointed as Registrar to the
offer for sale by Government of India. All grievances / complaints relating to offer for sale made by Government
of India are exclusively dealt by M/s KFin Technologies Ltd., Hyderabad.
(a) Name of the Non-Executive Director heading the Committee – Shri Sanjay Tandon, Independent Non-
Executive Director of the company has been appointed as Chairman of the Committee w.e.f. 06.11.2021.
(b) Name and designation of the Compliance Officer: Shri A.S. Pardha Saradhi, Company Secretary
(c) Number of shareholders complaints received during the financial year - 25
(d) Number of complaints not solved to the satisfaction of the shareholders - Nil.
(e) Number of pending complaints - 1.
(f) During the year, under SCORES, 09 investor complaints were received & resolved and no complaint was
pending as on 31.03.2022.
80 NMDC LIMITED
6. Share Transfer Committee
The Board has constituted the Share Transfer Committee (STC) to consider and approve all related issues of
Shares and Share transfers. The Members of the Committee are as under:
i) Chairman-cum-Managing Director
ii) Director (Production)
ii) Director (Finance)
iv) Director (Commercial)
Company Secretary acts as Secretary to the Committee.
During the year under report, NIL meetings of the Committee were held.
7. Risk Management Committee
(a) Brief description of terms of reference
The Board at its 442nd meeting held on 19.01.2012 has approved the Risk Assessment and Risk
Mitigation Policy / Enterprise Risk Management (ERM) of the Company. The terms of reference of the
Risk management Committee is outlined in Risk Assessment and Risk Mitigation Policy / Enterprise Risk
Management (ERM) of the Company.
(b) Composition, name of members and chairperson
The following Directors are members of the Risk Management Committee:-
1. Shri Amitava Mukherjee, Director (Finance) & Chairperson
2. Shri Vishal Babber, Independent Director (w.e.f. 17.12.2021)
3. Shri Somnath Nandi, Director (Technical)
4. Shri Dilip Kumar Mohanty, Director (Production) (w.e.f. 17.12.2021)
5. Shri Alok Kumar Mehta, Director (Commercial) (upto 30.09.2021) – Vacant from 01.10.2021
6. Director (Personnel) – Presently vacant
Director (Finance) chairs the Risk Management Committee.
(c) Meetings and attendance during the year
During the year under review, two meetings of the Board level Risk Management Committee were held on
22.06.2021 and 11.02.2022
Sl. No. Name of the Director No. of meetings held No. of meetings attended
1 Shri Vishal Babber, Independent Director 1 1
2 Director (Finance) 2 2
3 Director (Technical) 2 2
4 Director (Production) 2 2
5 Director (Commercial) 1 1
6 Director (Personnel) - -
8. Remuneration of Directors
NMDC being a Government Company, the terms and conditions of appointment and remuneration of Functional
Directors are determined by the Government through its administrative Ministry, Ministry of Steel. Non-
executive Part-time Official Directors (Independent) do not draw any remuneration. The non-executive Directors
are paid sitting fee as approved by the Board within the ceiling fixed under the Companies Act, 2013 and as
per the guidelines issued by the Government of India. The Company has not adopted any mechanism for
performance evaluation criteria for Independent Directors.

The details of remuneration paid to Functional Directors during the financial year 2021-22 are as follows:
(`in lakhs)
Salary & Perquisites
Sl. as per Section 17(1) Retirement &
Name of the Director Total
No. & (2) of Income Tax Other Benefits
Act, 1961
Shri. Sumit Deb
1 64.33 5.92 70.25
CMD
Shri. Amitava Mukherjee
2 52.67 7.95 60.62
Director (Finance)
Shri. SOMNATH NANDI
3 54.26 6.31 60.57
Shri. Dilip Kumar Mohanty
4 29.30 0.73 30.03
Director (Production)
Shri. P.K Satpathy
5 69.79 3.88 73.67
Ex_Director (Production)
Shri. Alok Kumar Mehta
6 68.03 4.78 72.81
Ex_Director (Commercial)
Total 338.38 29.57 367.95
Notes:-
1. The Salary of Whole Time Directors is governed by pay scales and rules of the Government. No variable
incentive is being paid to Directors except Performance Related Pay being paid to them on annual basis as
per DPE guidelines
2. Notice period of 3 months or salary in lieu thereof is required for severance from the service.
3. The Company has not introduced any stock option scheme.
4. The remuneration does not include the provision made on actuarial valuation of retirement benefit
schemes and provision made for post retirement medical benefits as the same is not separately
identifiable for individual Directors.
During the year, the part-time non-official Directors (Independent Directors) received sitting fees for attending
the meetings of the Board / Committees as follows:
S.No. Name of the Director Sitting Fees (in `)

1 Dr. Anil Sadashivrao Kamble 320000
2 Shri. Vishal Babber 215000
3 Shri. Sanjay Tandon 235000
Total 770000
Notes:-
During the year under review, the part-time Directors (Independent Directors) were paid sitting fees of `
30,000/- per meeting. In respect of Board level Committee Meeting, sitting fees was ` 25,000/- per meeting.
Govt. Directors and Functional Directors are not paid sitting fees for attending the meeting of the Board or any
Committee meeting thereof.
Other Board level Sub-Committees of Directors
Apart from the above mentioned Committees, the Board also constituted various other Sub-Committees with
specific terms of reference as per requirement. The minutes of such Board level Sub-Committees are placed
before the Board.
82 NMDC LIMITED
9. General Body Meetings
(a) Location and time where last three AGMs held.
The details of the General Meetings held for the past three years are as under:
AGM No. Venue Date & time Special Resolutions passed
61 AGM
st
The Park, Hyderabad 30.08.19 at 1130 hrs Nil
62nd AGM Video Conferencing 29.09.20 at 1130 hrs Yes*
63rd AGM Video Conferencing 30.09.21 at 1130 hrs Nil
*Authorization to offer, issue and allot secured or unsecured non-convertible debentures (NCDs) or bonds on
private placement aggregating ` 5,000 crores.
(b) Whether any special resolution passed in the previous 3 AGMs – Yes.
(c) whether any special resolution passed last year through postal ballot – details of voting pattern – Nil
(d) person who conducted the postal ballot exercise – NA
(e) whether any special resolution is proposed to be conducted through postal ballot – NA
(f) procedure for postal ballot – NA
10. Means of communication
Quarterly Results:
The Company publishes quarterly Un-audited / Annual Audited financial results through leading National
Daily Commercial / Economic newspapers and also Local language Daily newspapers including Hindi Daily
newspaper.
These results are also posted on Company's website: www.nmdc.co.in. The Company’s website also contains
a dedicated section on 'Investors' where shareholders information is available viz. Annual Reports, Financial
Details, Corporate Investor Presentation etc.
In addition, the Company communicates major achievements and important events taking place in the Company
through Press, Electronic Media and also on its Website. Presentation made to institutional investors / analysts
are uploaded on Company’s website. Conference call conscripts are also uploaded on the website of the
company.
11. General Shareholders Information
(a) AGM date, time and venue
The 64th AGM of the Company shall be held on 29th August 2022 at 1130 hrs. via Video Conferencing(VC)/Other
Audio Visual means (OAVM)in line with General Circulars issued by Ministry of Corporate Affairs/SEBI as per
details and process set out in the Notice convening the meeting
Webcast of the AGM :
The Company will be providing a facility to view the live streaming of the AGM Webcast on the website of the
Company at www.nmdc.co.in and on the NSDL website and the access of the same is at https://www.evoting.
nsdl.com by using your remote e-voting credentials. The link will be available in shareholder login where the
EVEN of Company will be displayed.
(b) Financial Year: 1st April – 31st March
(c) Dividend Payment date:
(i) Dividends as declared were paid within 30 days of declaration as per the provisions of the Companies Act,
2013.
(ii) Details of interim dividend paid during the year under review are as under: (` in crores)
Particulars GOI Share Others Total Dividend % of Share Capital
Interim Dividend 2,626 1,694 4,320 1,474
Final - - - -
Total 2,626 1,694 4,320 1,474
Pervious Year (Including Final Dividend) 1,553 721 2,274 776
* No final dividend was recommended by the Board.

Date of Book Closure: from 24th August 2022 to 29th August 2022 (both days inclusive)
d. Listing on Stock Exchanges
Equity shares of NMDC Limited are listed on the following Stock Exchanges:-
(i) BSE Ltd.
Phiroze Jeejeebhoy Towers,
Dalal Street,
MUMBAI – 400 001
(ii) National Stock Exchange of India Ltd.
Exchange Plaza,
Plot No. C/1, G Block,
Bandra - Kurla Complex,
Bandra (E),
MUMBAI - 400 051
(iii) Calcutta Stock Exchange Ltd.
7, Lyons Range,
KOLKATA - 700 001
Listing Fees for the year 2021-22 has been paid to the three Stock Exchanges.
e. Stock Code:
Security Code /
Sl.No. Name of the Stock Exchange where Company’s equity shares are listed
Symbol
i) BSE Ltd., Mumbai 526371
ii) National Stock Exchange of India Ltd., Mumbai NMDC
iii) The Calcutta Stock Exchange Ltd., Kolkata 24131
f. Market price data: High, Low during each month in the financial year 2021-22
Market High & Low prices at BSE Ltd. (BSE) & National Stock Exchange of India Ltd. (NSE)
BSE NSE
Month and Year
Highest Lowest Highest Lowest
Apr-21 158.7 133.15 158.70 133.15
May-21 213.15 151.4 213.20 151.30
Jun-21 195.6 171.55 195.20 171.60
Jul-21 187 165.3 186.50 165.25
Aug-21 184.25 145.25 184.25 145.25
Sep-21 156.7 133.4 156.75 133.55
Oct-21 159.6 133.25 159.50 133.10
Nov-21 148.5 130.8 148.50 130.80
Dec-21 150.05 127.8 150.10 125.00
Jan-22 146.9 132.8 146.90 132.80
Feb-22 161.2 133.85 161.40 133.80
Mar-22 163.5 142.55 163.55 142.70
84 NMDC LIMITED
g. Performance in comparison to broad based indices such as BSE Sensex, CRISIL Index etc.
(i) BSE / Sensex and NMDC Share Price
(ii) NIFTY and NMDC Share Price

h. In case the securities are suspended from trading, the directors report shall explain the reason thereof –
NA
i. Registrar & Share Transfer Agent
The Company has appointed Aarthi Consultants Pvt. Ltd., Hyderabad as Share Transfer Agent for looking
after the works relating to share transfer/transmission etc., and dematerialization / rematerialization of
shares of the Company with CDSL and NSDL.
j. Share Transfer System
The Company has a Share Transfer Committee comprising of Chairman-cum-Managing Director, Director
(Production), Director (Finance) and Director (Commercial) and Company Secretary which considers the
request for Transfer / Transmission of shares, rematerialization, dematerialization of shares etc. The
share transfer committee considers request for issue of share certificates. Transfers in physical form are
registered after ascertaining objections, if any, from the transferors; and no valid transfer applications are
kept pending beyond the stipulated period of fifteen days. Requests for dematerialization of shares are
processed and confirmation is given to the respective depositories viz, NSDL and CDSL within 15 days.
86 NMDC LIMITED
k. Distribution of Shareholding:
(i) Shareholding Pattern of the Company as on 31.03.2022
Number
Number of Voting Rights held in each
Shareholding of Shares
class of Securities (ix) Number of
as a % pledged or
Locked in
No.of assuming full otherwise
Shareholding shares (Xii)
No .of No. of No. of No.of Voting Rights Shares conversion of encumbered Number
No. of as a % of total
Category of fully paid Partly shares Underlying convertable (Xiii) of equity
Total nos. no. of shares
Category shareholder share up equity paid-up underlying shares held (calculated Outstanding securities (as shares held
(i) holders Total as convertible a percentage in demate-
(ii) shares held equity Depository (vii = iv+v+vi) as per SCRR,
(iii) shares Receipts a % of securities of diluted As a %
As a % rialized form
(iv) 1957)(viii) As a of total
held (v) (vi) (A+B+C) (including share capital) No. of total No. (XIV)
% of (A+B+C2) Class eg:X* Class Total shares
eg:Y Warrant) (x) (xi)=(vii)+(x) (a) Shares (a)
as a % of held
held (b)
(A+B+C2) (b)
Promoter &
(A ) Promoter 1 1781633571 0 0 1781633571 60.79 1781633571 0 1781633571 60.79 0 60.79 0 0 0 0 1781633571
Group
(B ) Public 612386 1148972279 0 0 1148972279 39.21 1148972279 0 1148972279 39.21 0 39.21 0 0 N.A N.A 1148876092
Non
(C) Promoter-
Non Public
Shares
(C1) underlying 0 0 0 0 0 N.A 0 0 0 0 0 0 0 0 N.A N.A 0
DRs
Shares held
(C2) by Employee 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N.A N.A 0
Trusts
Total 612387 2930605850 0 0 2930605850 100 2930605850 0 2930605850 100 0 100 0 0 0 0 2930509663
Annual Report 2021-22

87
(ii) Distribution of Shareholding by size as on 31.03.2022
HOLDERS AMOUNT
SL NO CATEGORY HOLDERS SHARES AMOUNT
PERCENTAGE PERCENTAGE
1 1-5000 605583 98.89 142619278 142619278 4.87
2 5001-10000 3766 0.61 27527880 27527880 0.94
3 10001-20000 1490 0.24 21331450 21331450 0.73
4 20001-30000 491 0.08 12120730 12120730 0.41
5 30001-40000 212 0.03 7451627 7451627 0.25
6 40001-50000 170 0.03 7843404 7843404 0.27
7 50001-100000 270 0.04 20058382 20058382 0.68
8 100001 & Above 405 0.07 2691653099 2691653099 91.85
Total: 612387 100.00 2930605850 2930605850 100.00
(iii) Top ten shareholders of the Company as on 31.03.2022

Sl.
Shareholder No. of Shares % Group Category
No.
Central Government/
1 PRESIDENT OF INDIA 1781633571 60.79 Pro
State Government(s)
2 LICI HEALTH PLUS NON UNIT FUND 414885432 14.16 pub Insurance Companies
NIPPON LIFE INDIA TRUSTEE LTD-
3 79508174 2.71 pub Mutual Funds
A/C NIPPON INDIA ETF JUNIOR BEES
ADITYA BIRLA SUN LIFE TRUSTEE
PRIVATE LIMITED A/C ADITYA BIRLA
4 22517901 0.77 Pub Mutual Funds
SUN LIFE NIFTY NEXT 50 INDEX
FUND
KOTAK MAHINDRA TRUSTEE CO LTD
5 A/C KOTAK NIFTY NEXT 50 INDEX 20715541 0.71 Pub Mutual Funds
FUND
SBI CAPITAL PROTECTION ORIENTED
6 FUND - SERIES A (PLAN 6) (1350 12250060 0.42 Pub Mutual Funds
DAYS)
Foreign Portfolio
7 SOCIETE GENERALE 11159568 0.38 Pub
Investor
Financial Institutions/
8 CANARA BANK-MUMBAI 11069767 0.38 Pub
Banks
PRINCIPAL FUNDS, INC. - ORIGIN Foreign Portfolio
9 10767000 0.37 Pub
EMERGING MARKETS FUND Investor
VANGUARD EMERGING MARKETS
STOCK INDEX FUND, A SERIES OF Foreign Portfolio
10 10635764 0.36 Pub
VANGUARD INTERNATIONAL EQUITY Investor
INDEX FUNDS
TOTAL : 2375142778 81.05
88 NMDC LIMITED
(iv) Geographical Distribution of Shareholders as on 31.03.2022
Sl No city No. of Share Holders % to Total No.of Shares % to Total
1 AHMEDABAD 17797 2.84 13035554 0.44
2 BANGALORE 27388 4.37 15655839 0.53
3 BHUBANESWAR 2169 0.35 758496 0.03
4 CHANDIGARH 2274 0.36 780014 0.03
5 CHENNAI 20143 3.21 24798963 0.85
6 GUWAHATI 1777 0.28 384476 0.01
7 HYDERABAD 21134 3.37 8762102 0.30
8 JAIPUR 9908 1.58 4000342 0.14
9 KANPUR 3543 0.57 1041434 0.04
10 KOLKATA 21975 3.50 23345788 0.80
11 MUMBAI 74921 11.95 907206085 30.96
12 NAGPUR 4820 0.77 2025073 0.07
13 NEW DELHI 36367 5.80 1813576781 61.88
14 PATNA 3248 0.52 2777575 0.09
15 TRIVANDRUM 1779 0.28 521410 0.02
16 OTHERS 377719 60.25 111935918 3.82
TOTAL 626962 100.00 2930605850 100.00
(v) Shareholding Profile as on 31.03.2022
10.53
6.86
President of India
Mutual Funds
FI
Insurance Companies
FPI
15.19 Others
1.04
5.59
60.79
l. Dematerialization of shares and liquidity 28th Floor, Dalal Street

The shares of the Company are Mumbai - 400 023
dematerialized with Central Depository No. of Shares held in dematerialized and
Services (India) Ltd and National Securities physical mode as on 31st March, 2022 are as
Depository Limited. The addresses of the under:
Depositories are as under:
No. of % of total
(i) National Securities Depository Limited Particulars
Shares capital issue
Trade World, 4th Floor
Held in dematerialized
Kamala Mills Compound 2724988372 92.984
form in NSDL
Senapati Bapat Marg
Held in dematerialized
Lower Parel, Mumbai - 400 013 205521291 7.013
form in CDSL
(ii) Central Depository Services (India) Physical 96187 0.003
Limited
Total: 2930605850 100.000
Phiroze Jeejeebhoy Towers

m. Outstanding GDRs/ADRs/Warrants or During the current financial year company
warrants or any Convertible instruments, has borrowed an amount of ` 523.80 Crore
conversion date and likely impact on equity : by issuing Unsecured Non-Convertible
NIL Debentures. Further company has availed
fund and non-fund based limit. Credit Rating
n. Commodity price risk or foreign exchange
for the instruments are as below:
risk and hedging activities.
Fund and Non Fund Based Limits:
NMDC has discontinued exports owing to the
non-renewal of Long-Term agreement with a) Fund Based Limit (India Ratings &
Japan / S. Korean Steel mills during FY 21-22 Research) IND AAA Stable/IND A1+ (for
(w.e.f. 1st April’21). Presently NMDC does INR 0.5 Billion)
not have any exposure of Export of iron ore,
b) Non-Fund Based Limit (India Ratings &
so there is no need to hedge against foreign
Research) IND AAA Stable/IND A1+ (for
exchange risk.
INR 24.5 Billion)
o. Plant / Mine Locations:
c) Fund and Non-Fund Based Limit
The mines / units of the Company are located (CRISIL) AAA/Stable (Reaffirmed) (for
in the following locations: INR 105.0 Billion)
a. Bailadila Iron Ore Mine Unsecured Non-Convertible Debentures:
Kirandul Complex
a) India Ratings & Research – Affirms IND
P.O. Kirandul
AAA/Stable; Maintains NCDs on RWN
Distt: Dantewada (Chhattisgarh)
(for INR 50 Billion)
b. Bailadila Iron Ore Mine
b) ICRA - [ICRA] AAA placed Rating
Bacheli Complex
continues to remain under Watch
P.O. Bacheli
with Negative Implications (for INR 50
Dist: Dantewada (Chattisgarh)
Billion)
c. Donimalai Complex:-
Rating Action Total Bank Loan Facilities Rated
(a) Donimalai Iron Ore Mine ` 10500 Crore (Enhanced from ` 7500 Crore) Long
(b) Kumaraswamy Iron Ore Mine Term Rating CRISIL AAA/Stable (Reaffirmed)
Long Term Rating CRISIL AAA/Watch Negative
(c) Pellet Plant
(Continues on ‘Rating Watch with Negative
Dist: Bellary - 583 118, Karnataka
Implications’) Short Term Rating CRISIL A1+
d. Diamond Mining Project (Reaffirmed) 1 crore = 10 million Refer to Annexure
Majhgawan for Details of Instruments & Bank Facilities.
Panna - 488 001 (MP)
12. Other Disclosures:
e. Sponge Iron Unit, NMDC Limited
(a) Disclosures on materially significant related
SIIL Campus,
party transactions that may have potential
Paloncha - 507 154
conflict with the interests of listed entity at
Dist. Khammam(A.P.)
large – Nil
p. Address for Correspondence:
(b) Details of non-compliance by the listed entity,
NMDC Limited penalties, strictures imposed on the listed
Regd. Office: 10-3-311/A entity by stock exchange(s) or the board or
Khanij Bhavan, any statutory authority, on any matter related
Castle Hills, Masab Tank to capital markets, during the last three
Hyderabad - 500 028 years;
E-mail: ims@nmdc.co.in
Penalties/Punishment/Compounding of offences:
q. List of all credit ratings obtained by the
entity along with any revisions thereto Fines levied by the Stock Exchanges as per SEBI
during the relevant financial year, for all circular no. SEBI/HO/CFD/CMD/CIR/P/2020/12
debt instruments of such entity or any dated 22nd January 2020 (Erstwhile SEBI circular
fixed deposit programme or any scheme no. SEBI/HO/CFD/CMD/CIR/P/2018/77 dated May
or proposal of the listed entity involving 03, 2018):
mobilization of funds, whether in India or 1) Notices received in the financial year
abroad: 2019-2020:
90 NMDC LIMITED
a. The Company is in receipt of BSE letter 2020, for non-compliance with the
and NSE notice dated 2nd May 2019 for provisions of Regulation 17(1) and
non-compliance with the provisions Regulation 19(1) /19(2) of SEBI (LODR)
of Regulation 17(1) of SEBI (LODR) Regulations, 2015 for the quarter ended
Regulations, 2015 for the quarter ended 30th September 2020, imposing a fine
31-03-2019. In terms of the said letters of ` 7,59,920 including GST payable to
a fine of ` 1,06,200/- each has been each exchange.
imposed by BSE and NSE towards non-
d. The Company is in receipt of BSE email
compliance with Regulation 17(1) of
and NSE notice dated 15th February
SEBI (LODR) Regulations, 2015.
2021 for non-compliance with the
b. The Company is in receipt of BSE letter provisions of Regulation 17(1) and
and NSE notice dated 19th August 2019 Regulation 19(1) /19(2) of SEBI (LODR)
for non-compliance with the provisions Regulations, 2015 for the quarter ended
of Regulation 17(1) of SEBI (LODR) 31st December 2020, imposing a fine of
Regulations, 2015 for the quarter ended ` 7,59,920/- including GST payable to
30-06-2019 levying a fine of ` 5,36,900/- each exchange.
(inclusive of GST) payable to each
3) Notices received in the financial year 2021-
exchange.
2022:
c. The Company is in receipt of BSE letter
a. The Company is in receipt of BSE email
and NSE notice dated 31st October 2019
and NSE email notice dated
and 1st November /2019 respectively
17th May 2021 for non-compliance with
for non-compliance with the provisions
the provisions of Regulations 17(1),
of Regulation 17(1) of SEBI (LODR)
17(2A), 18(1), 19(1)/19(2), 20(2)/(2A)
Regulations, 2015 for the quarter ended
of SEBI (LODR) Regulations, 2015 for
30-09-2019 levying a fine of ` 5,42,800/-
the quarter ended 31st March 2021,
imposing a fine of ` 9,62,880/- including
exchange.
GST payable to each exchange.
d. The Company is in receipt of BSE letter
b. The Company is in receipt of BSE email
and NSE notice dated 3rd February 2020
and NSE email notice dated
for non-compliance with the provisions
20th August 2021 for non-compliance
with the provisions of Regulations 17(1),
Regulations, 2015 for the quarter ended
17(2A), 18(1), 19(1)/19(2), 20(2)/(2A) of
31-12-2019 levying a fine of ` 2,12,400/-
SEBI (LODR) Regulations, 2015 for the
quarter ended 30th June 2021, imposing
exchange.
a fine of ` 12,04,780/- including GST
2) Notices received in the financial year 2020- payable to each exchange.
2021:
c. The Company is in receipt of BSE email
a. The Company is in receipt of BSE email and NSE notice dated 22nd November
and NSE notice 8th September 2020 for 2021 for non-compliance with the
non-compliance with the provisions of provisions of Regulations 17(1), 17(2A),
Regulation 17(1) and Regulation 19(1) 18(1), 19(1)/19(2), 20(2)/(2A) and 21(2)
/19(2) of SEBI (LODR) Regulations, 2015 of SEBI (LODR) Regulations, 2015 for
for the quarter ended 31st March 2020, the quarter ended 30th September
imposing a fine of ` 3,63,440/- including 2021, imposing a fine of ` 13,75,880/-
GST payable to each exchange. including GST payable to each
exchange.
b. The Company is in receipt of BSE email
and NSE notice dated 20th August 2020 d. The Company is in receipt of BSE email
for non-compliance with the provisions and NSE notice dated 21st February
of Regulation 17(1) and Regulation 19(1) 2022 for non-compliance with the
/19(2) of SEBI (LODR) Regulations, 2015 provisions of Regulations 17(1), 18(1),
for the quarter ended 30th June 2020, 19(1)/19(2), 20(2)/(2A) and 21(2) of
imposing a fine of ` 7,51,660 including SEBI (LODR) Regulations, 2015 for the
GST payable to each exchange. quarter ended 31st December 2021,
imposing a fine of ` 9,79,400/- including
c. The Company is in receipt of BSE email GST payable to each exchange.
and NSE notice dated 17th November

4) Notices received in the financial year 2022-23: NMDC. NMDC has effectively implemented
its internal Whistle Blower Policy under CVO
a. The Company is in receipt of BSE email
NMDC, the designated Nodal Officer for the
and NSE notice dated 20.05.2022 for
purpose. No personnel has been denied
non compliance with the provisions
access the Audit Committee in respect of
Whistle Blower Mechanism.
Regulations 2015 for the quarter ended
31st March 2022, imposing a fine of (d) Details of compliance with mandatory
` 5,31,000/- including GST payable to requirements and adoption of the non-
each Exchange. mandatory requirements – Necessary
disclosure has been made.
The Company has replied to BSE and NSE
requesting condonation of fine on the (e) Web link where policy for determining
grounds that being a Central Public Sector ‘material’ subsidiaries is disclosed;
Enterprise under administrative control of
Ministry of Steel, Govt. of India and as per https://www.nmdc.co.in/investors/policies-
Articles of Association, the President of India and-documents
shall appoint all members on the Board of (f) Web link where policy on dealing with related
Directors. The letters/ emails received from party transactions;
BSE and NSE were placed before the Board
of Directors of the Company in its meetings https://www.nmdc.co.in/investors/policies-
for their comments / advise. Comments / and-documents
Advise made by the Board has been informed (g) Disclosure of commodity price risks and
to the exchanges. The Company is regularly commodity hedging activities – Necessary
following up with Ministry of Steel, Govt. of disclosure has been made.
India for appointment of requisite number of
Independent Directors on the Board of the (h) Details of utilization of funds raised through
Company. preferential allotment or qualified institutions
placement as specified under Regulation 32
Waiver of fine levied pursuant to SEBI (7A) – Nil
circular SEBI/HO/CFD/CMD/CIR/P/2018/77
dated 3rd May 2018 for non-compliance with (i) A certificate from a company secretary in
SEBI Listing Regulations: practice that none of the directors on the
board of the company have been debarred
i) NSE waived off fines for non- or disqualified from being appointed or
compliance with Regulation 17 of SEBI continuing as directors of companies by the
Listing Regulations for the quarters Board/Ministry of Corporate Affairs or any
ended 31st March 2019, 30th June 2019, such statutory authority – CERTIFICATE OF
30th September 2019 and 31st December NON-DISQUALIFICATION OF DIRECTORS -
2019. Pursuant to Regulation 34(3) and Schedule
ii) BSE waived off fines for non- V Para C clause (10)(i) of the SEBI (Listing
compliance with Regulation 17 and Obligations and Disclosure Requirements)
19 of SEBI Listing Regulations for the Regulations, 2015 is enclosed at Annexure-
quarters ended 31st March 2019, III(A)
30th June 2019, 30th September 2019, (j) Where the board had not accepted any
31st December 2019, 31st March 2020, recommendation of any committee of the
30th June 2020, 30th September 2020 and board which is mandatorily required, in
31st December 2020. the relevant financial year, the same to be
(c) Details of establishment of vigil mechanism disclosed along with reasons thereof:
whistle blower policy, and affirmation that Provided that the clause shall only apply
no personnel has been denied access to the where recommendation of / submission by
audit committee; the committee is required for the approval
NMDC being a PSU, the guidelines of of the Board of Directors and shall not
Central Vigilance Commission (CVC) apply where prior approval of the relevant
are applicable which provides adequate committee is required for undertaking any
safeguard against victimization of the transaction under these Regulations – Not
employees. The Board of Directors at its Applicable
451st meeting held on 20.09.2012 approved (k) Total fees for all services paid by the listed
the internal Whistle Blower Policy of entity and its subsidiaries, on a consolidated
92 NMDC LIMITED
basis, to the statutory auditor and all entities company is non-compliant with the following:-
in the network firm/network entity of which
(i) Non-compliance with composition of the
the statutory auditor is a part – ` 1.01 crore.
Board.
(l) Disclosures in relation to the Sexual
(ii) Non-Compliance with appointment of women
Harassment of Women at Workplace
Independent Director.
(Prevention, Prohibition and Redressal) Act,
2013: The Company is regularly following up with Ministry
of Steel, Govt. of India for appointment of requisite
a. number of complaints filed during the
number of Independent Directors on the Board of
financial year – Nil
the Company. The Board of the company has also
b. number of complaints disposed of been informed in this regard at regular intervals.
during the financial year – Nil
14. The corporate governance report shall also
c. number of complaints pending as on disclose the extent to which the discretionary
end of the financial year – Nil requirements as specified in Part E of Schedule II
have been adopted.
(m) Details of Presidential Directives issued by
Central Government and their compliances In respect of discretionary requirements as
during the year and also in the last 3 years: prescribed in Part-E of Schedule-II to SEBI
(Listing Obligations and Disclosure Requirements)
The Company is following the Presidential
Regulations, 2015 the extent of compliance are as
Directives and guidelines issued by the
under:
Government of India from time to time
regarding reservation for SCs, STs and OBCs, A. The Board:
implementation of wage revision etc. It has
The Chairman cum Managing Director of
complied with all Presidential Directives
the Company is the Chairman of the Board.
applicable to it during the year and also
Therefore, there is no need for maintenance
during the last three years.
of a separate Chairman’s office.
(n) Items of expenditure debited in books of
B. Shareholder Rights:
accounts, which are not for the purposes of
the business. The Quarterly Financial Results of the
Company are published widely in leading
Nil.
newspapers. The said results are also hosted
(o) Expenses incurred which are personal in on the website of the Company.
nature and incurred for the Board of Directors
C. Modified opinion(s) in Audit Report:
and Top Management.
The Audit Report for both standalone and
Nil
consolidated Financial Statements for the FY
(p) Details of Administrative and Office expenses 2021-22 is unmodified. The Company always
as a percentage of total expenses was 3.45%. aims to present financial statements with
unmodified audit opinion.
13. Non-compliance of any requirement of corporate
governance report with reasons thereof shall be D. Reporting of Internal Auditor:
disclosed.
Necessary mechanism / framework in
NMDC being a Central Public Sector Enterprise respect of reporting of Internal Auditor
under administrative control of Ministry of Steel, directly to Audit Committee is being explored.
Govt. of India and as per Articles of Association,
E. Training of Board Members:
the President of India shall appoint all members
on the Board of Directors. The present composition The Directors of the Company are nominated
of the Board of NMDC Ltd. consists of four (4) for suitable training / programmes / seminars
Functional Directors including CMD, two (2) / mines visit from time to time. The Board
Government Nominee Directors and four (4) of Directors has also approved a policy on
Independent Directors. There is a vacancy of four training.
(4) Independent Directors; including vacancy of
15. The disclosures of the compliance with corporate
one woman Independent Director and two (2)
governance requirements specified in regulation
Functional Directors i.e., Director (Personnel) and
17 to 27 and clauses (b) to (i) of sub-regulation
Director (Commercial), which needs to be filled in
(2) of regulation 46 shall be made in the section
by Ministry of Steel, Govt. of India. In absence of
on corporate governance of the annual report –
Independent Directors on the Board of NMDC, the

Necessary disclosure has been made in the section on Corporate Governance.
16. Declaration signed by the chief executive officer stating that the members of board of directors and senior
management personnel have affirmed compliance with the code of conduct of board of directors and senior
management
A copy of the Code of Conduct of Board of Directors and Senior Management is posted on the website of the
Company. Declaration as required under SEBI (Listing Obligations and Disclosure Requirements) Regulations,
2015 is annexed at Annexure-III (B).
17. Compliance certificate from either the auditors or practicing company secretaries regarding compliance of
conditions of corporate governance shall be annexed with the directors’ report.
In Compliance with Part-E of Schedule-V of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, certificate from the Company Secretary in whole-time practice regarding compliance of
conditions of Corporate Governance is annexed at Annexure III (C).
18. Compliance Certificate of CEO and CFO
As required in terms of Regulation 17(8) of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, Compliance Certificate duly signed by CEO, NMDC [CMD], Director (Finance) and CFO, NMDC
has been taken on record by the Board.
19. Disclosures with respect to demat suspense account/ unclaimed suspense account
Pursuant to an offer for sale, Government of India has disinvested 8.38% of its holding in the Company
aggregating 33,22,43,200 equity shares of ` 1/- each in the financial year 2009-10. During this period, two demat
accounts were opened with NSDL & CDSL for crediting unclaimed / suspense equity shares. As per Schedule-V
Part F of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, disclosures with respect to
unclaimed suspense account are as follows:-
NSDL CSDL
Sl.
Particulars Equity Equity
No. Shareholders Shareholders
Shares Shares
1 Opening balance as on 01.04.2010 403 46,400 174 24,460
2 Requests received during the year 2010-11 361 41,760 174 24,460
3 Requests resolved during the year 361 41,760 174 24,460
4 Pending as on 31.03.2011 42 4,640 Nil Nil
5 Requests received during the year 2011-12 8 1,100 Nil Nil
7 Requests received during the year 2012-13 7 1,060 Nil Nil
9 Requests received during the year 2013-14 Nil Nil Nil Nil
10 Pending as on 31.03.2014 27 2480 Nil Nil
11 Requests received during the year 2014-15 1 320 Nil Nil
13 Requests resolved during the year 2015-16 0 0 Nil Nil
16 Pending as on 27.03.2018 * 23 1840 Nil Nil
* The pending shares of 1840 were transferred to IEPF account on 27.03.2018.
The voting rights on these equity shares mentioned in the closing balance shall remain frozen till the rightful
owner of such shares claims the shares.
94 NMDC LIMITED
20(a).Transfer of Dividend and corresponding Ordinary Shares to the Investor Education and Protection Fund
During the financial year 2021-22, unclaimed dividend for the financial year 2013-14 2nd Interim & 2014-15
1st interim dividend aggregating ` 37,65,713/- and the corresponding 5,197 Ordinary Shares in respect of which
dividend entitlements remained unclaimed for seven consecutive years or more, have been transferred by the
Company to the Investor Education and Protection Fund established by the Central Government (IEPF), pursuant
to the provisions of Section 124 of the Companies Act, 2013 read with the Investor Education and Protection
Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016.
Shareholders may claim their unclaimed dividend for the years prior to and including the financial year 2013-14
2nd Interim & 2014-15 1st Interim dividend and the corresponding shares, from the IEPF Authority by applying in
the prescribed Form No. IEPF5. This Form can be downloaded from the website of the IEPF Authority
www.iepf.gov.in, the access link of which is also available on the Company’s corporate website nmdc.co.in under
the section ‘Investor Relations’.
The unclaimed dividend for the undernoted years and the corresponding shares will be transferred by the
Company to IEPF in accordance with the schedule given below. Communication has been sent to the concerned
Shareholders advising them to write to the Investor Service Centre of the Company (ISC) to claim their
dividend. Notices in this regard have also been published in newspapers. Details of such unclaimed dividend
and corresponding shares are available on the Company’s corporate website under the section ‘Investor
Relations’. Attention in particular is drawn that the unclaimed dividend for the financial year 2014-15 and the
corresponding shares will be due for transfer to IEPF on 02.11.2022 and 21.03.2023.
Date of Unclaimed Dividend as Due date for

Financial Dividend on 31.03.2022
declaration Total Dividend (`) transfer to
Year Identification No.
of Dividend ` % IEPF
2014-15 2014-15 2nd Interim 06.02.2015 16850063857.00 1701003 0.0100949 15.03.2022
2014-15 2014-15 Final 29.09.2015 5154142052.00 807227 0.0156617 05.11.2022
2015-16 2015-16 1st Interim 12.02.2016 37664819874.00 5282057 0.0140238 21.03.2023
2015-16 2015-16 2 Interim
nd
19.03.2016 5947091716.00 1480390 0.0248927 26.04.2023
2016-17 2016-17 Interim 07.03.2017 13130168437.00 2483527 0.0189147 13.04.2024
2016-17 2016-17 Final 22.09.2017 3163890474.00 704977 0.0222820 29.10.2024
2017-18 2017-18 Interim 26.03.2018 13604741375.00 2825246 0.0207666 02.05.2025
2018-19 2018-19 Interim 12.03.2019 16901412082.00 3658998 0.0216491 18.04.2026
2019-20 2019-20 Interim 06.02.2020 16197198449.00 3334225 0.0205852 15.03.2027
2020-21 2020-21 Interim 11.03.2021 22741509724.00 4008323 0.0176256 16.04.2028
2021-22 2021-22 1st Interim 03.12.2021 26404769975 6599180 0.0249924 10.01.2029
2021-22 2021-22 2 Interim
nd
08-02-2022 16792499274 7513579 0.0447437 14.03.2029

(b) Investors having any complaints relating to Corporate Presentation, details of provisional
Company “other than Offer for Sale made by the production & sales, prices of iron ore and other
Government of India” may register the complaint material information are informed to Stock
with M/s Aarthi Consultants Pvt. Ltd. at the Exchanges and are uploaded on the Company’s
following address: website.
M/s Aarthi Consultants Pvt Ltd., (e) Nodal Officer for coordinating with IEPF Authority
D.No. 1-2-285, Domalguda – Company Secretary, NMDC Limited
Hyderabad - 500 029.
Phone Nos. 040-27638111/27634445, (f) Name of Debenture Trustee with full contact
Fax No. 040-27632184 details:
Email : ims@nmdc.co.in, Beacon Trusteeship Ltd
info@aarthiconsultants.com 4C & D, Siddhivinayak Chambers,
Web site : www.aarthiconsultants.com Gandhi Nagar, Opp. M.I.G. Cricket Club,
Contact Person: Mr. G. Bhaskara Murthy, General Bandra (East), Mumbai - 400 051.
Manager T +91 (0)22 2655 8759
W https://beacontrustee.co.in
(c) Investors having any grievance relating to “Offer
for Sale made by the Government of India in March 21. NMDC’s Code for Prevention of Insider Trading
2010” may register the complaint with M/s KFin
In pursuance of SEBI (Prohibition of Insider
Technologies Ltd. at the following address:
Trading) Regulations, 2015 and its amendments,
KFin Technologies Ltd. the Board of NMDC has approved the Internal
Karvy Selenium, Tower B, Code of Conduct for Prevention of Insider Trading
Plot No.31-32, Gachibowli, in dealing with Securities of NMDC Limited. The
Financial District, Nanakramguda, Code is framed with an aim that the employees of
Hyderabad – 500 032 the Company and his/her Dependents shall not
Tel: 040-23420815 derive any benefit or assist others to derive any
Fax: 040-23431551 benefit from the access to and possession of Price
Email: nmdc.ipo@karvy.com Sensitive Information about the Company which is
Contact Person: Mr. M. Murali Krishna, General not in the public domain.
Manager
22. Meeting of Non-official (Independent) Directors
(d) Investor Relation Cell:
In compliance with DPE vide Office Memorandum
The Investor Relation Cell is also looked after by No. F. No. 16(4)/2012-GM dated 28th Dec 2012 and
the Board & Company Affairs Department. The the Companies Act, 2013 a separate meeting of
Company organizes Investors / Analysts / Brokers Non-official (Independent) Directors was held on
meet / Conference Call as per requirement. 01.12.2021.
96 NMDC LIMITED
Annexure-III(A)

98 NMDC LIMITED
Annexure - III(B)
DECLARATION AS REQUIRED UNDER REGULATION 26(3) READ WITH

SCHEDULE-V OF SEBI (LISTING OBLIGATIONS AND DISCLOSURE
REQUIREMENTS) REGULATIONS, 2015
In compliance with Regulation 26(3) read with Schedule-V of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, all the Members of the Board and senior management personnel have affirmed compliance with
the Code of Conduct for Board Members and Senior Management personnel of NMDC Limited for the year ended
31st March 2022.
Place : New Delhi Sumit Deb

Date : 27.06.2022 Chairman and Managing Director
DIN: 08547819

ANNEXURE-III(C)
100 NMDC LIMITED

Annexure – IV
Business Responsibility Report
Section A: General Information about the Company
1. Corporate Identity Number (CIN) of the L13100TG1958G0I001674

Company
2. Name of the Company NMDC Limited (NMDC)
3. Registered address Khanij Bhavan, 10-3-311/A, Castle Hills, Masab Tank,
Hyderabad – 500 028
4. Website www.nmdc.co.in
5. E-mail id ims@nmdc.co.in
6. Financial Year reported April 1, 2021 – March 31, 2022
7. Sector(s) that the Company is engaged in (industrial activity code-wise): The Company is engaged in
exploration and production of Iron Ore along with Diamond, production and sale of Sponge Iron and
generation and sale of Wind Power.
Description Group Class Sub Class

Mining of Iron Ore 071 0710 07100
Mining of Diamond 089 0899 08991
Manufacture of Sponge Iron 241 2410 24102
Electric power generation (wind) 351 3510 35106
Iron Ore Pellets 241 2410 24101
8. List three key products/services that the Company manufactures/provides (as in balance sheet):
Iron Ore, Diamond and Pellets
9. Total number of locations where business activity is undertaken by the Company
Number of National Locations : Four (4) - Chhattisgarh , Karnataka, Madhya Pradesh and Andhra Pradesh
10. Markets served by the Company – Local/State/National/International: NMDC serves the National market
and also the International market by exporting iron ore to countries like Japan and South Korea
Section B: Financial Details of the Company

1. Paid up Capital (INR) 293.07 crores
2. Total Turnover (INR) (Total Income) 25,882 crores
3. Total profit after taxes (INR) 9,398 crores
4. Total Spending on Corporate Social Responsibility (CSR) as ` 287.33 Crore [(3.06% on CY Profits)
percentage of profit after tax. (3.88% of average PBT of three preceding
Years)].
5. List of activities in which expenditure in 4 above has been incurred:
NMDC has framed a comprehensive CSR policy for addressing its objectives, focus areas, organizational
mechanism, guidelines for identifying the CSR activities along with the implementation and monitoring
strategies. This policy also addresses in detail the budgetary allocation, approval methodology and fund
utilization mechanism. The major areas in which expenditure has been incurred are as listed below:
Focus Areas
Prime Focus Areas
• Employment enhancing Vocational Skills including Skill Up-gradation
• Drinking Water including integrated water shed development & Sanitation
• Promotion of Education- special Education in primary schools with special focus on Districts in which

NMDC projects are located
• Health & Nutrition, with special thrust on the fight against COVID 19 Pandemic
• Rural Development Projects
• Ensuring Environmental Sustainability
• Sustainable Natural Resource Management
Other Focus Areas
• Promoting gender equality and empowering women - Setting up Homes & Hostels for women and
Orphans; Setting up Homes, day-care centre and such other facilities for senior citizens and measures for
reducing inequalities faced by Socially and Economically backward groups
• Eradicating Hunger, Poverty & Malnutrition
• Reducing Child Mortality & Improving Maternal Health
• Promotion of Sports
Section C: Other Details
1. Does the Company have any Subsidiary Company / Companies?
Yes. NMDC has following Indian subsidiary companies, viz;
¾¾ J&KMDC Limited
¾¾ Karnataka Vijaynagar Steel Limited
¾¾ NMDC Steel Limited
¾¾ NMDC CSR Foundation
2. Do the Subsidiary Company / Companies participate in the BR initiatives of the parent Company? If yes, then
indicate the number of such subsidiary Company(s).
NMDC keeps all its subsidiaries informed about the Business Responsibility initiatives. It also encourages its
subsidiaries to participate in such initiatives.
3. Do any other entity / entities that the Company does business with participate in the BR initiatives of the
Company? If yes, then indicate the percentage of such entity/entities? [Less than 30%, 30-60%, More than
60%]
No.
Section D: Business Responsibility Information
1. Details of Director / Directors responsible for BR
a) Details of the Director/Director responsible for implementation of the BR Policy /Policies
DIN Number 09296720
Name Dilip Kumar Mohanty
Designation Director (Production)
b) Details of the BR head

S.No Particulars Details
1 DIN Number (if applicable) NA
2 Name Shri A.S. Pardha Saradhi
3 Designation Executive Director & Company Secretary
4 Telephone number 040-23538757
5 Email-id cs_pardha@nmdc.co.in
102 NMDC LIMITED

2. Principle-wise (as per NVGs) BR Policy / policies (Reply in Y / N)
The National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business (NVGs)
released by the Ministry of Corporate Affairs has adopted nine areas of Business Responsibility. These briefly
are as under:
P1 Businesses should conduct and govern themselves with Ethics, Transparency and Accountability
Businesses should provide goods and services that are safe and contribute to sustainability throughout
P2
their life cycle
P3 Businesses should promote the wellbeing of all employees
Business should respect the interests of, and be responsive towards all stakeholders, especially those
P4
who are disadvantaged, vulnerable and marginalized.
P5 Businesses should respect and promote human rights
P6 Business should respect, protect, and make efforts to restore the environment
Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible
P7
manner
P8 Business should support inclusive growth and equitable development.
Businesses should engage with and provide value to their customers and consumers in a responsible
P9
manner
engagement & CSR
Customer relations
Business ethics
Human Rights
responsibility
Public Policy
Environment
Wellbeing of
Stakeholder
Employees
Product
CSR
No Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
1 Do you have policy/policies for Y* Y* Y* Y* Y* Y* Y* Y* Y*
2 Has the policy been formulated in Y Y Y Y Y Y Y Y Y
consultation with the relevant stakeholders?
3 Does the policy conform to any national / Y Y Y Y Y Y Y Y Y
international standards? If yes, specify?
4 Has the policy been approved by the Board? Y Y Y Y Y Y Y Y Y
If yes, has it been signed by MD/ owner/ CEO/
appropriate Board Director?
5 Does the Company have a specified Y Y Y Y Y Y Y Y Y
committee of the Board/ Director/Official to
oversee the implementation of the policy?
6 Indicate link for the policy to be viewed online Yi Yii Yiii Yiv Yv Yvi Yvii Yviii Yix
7 Has the policy been formally communicated Y Y Y Y Y Y Y Y Y
to all relevant internal and external
stakeholders?
8 Does the Company have in-house structure Y Y Y Y Y Y Y Y Y
to implement the policy/policies?
9 Does the Company have a grievance Y Y Y Y Y Y Y Y Y
redressal mechanism related to the policy/
policies to address stakeholders’ grievances
related to the policy/policies?
10 Has the Company carried out independent Y# Y# Y# Y^ Y# Y^ Y# Y# Y#
audit/evaluation of the working of this policy
by an internal or external agency?

* All the policies are embedded and aligned to ISO 14001:2004 (Environmental management systems), ISO 9001:2008
(Quality management systems) and OHSAS 18001:2007 (Occupational health and safety), United Nations Global
Compact, Corporate Environmental Policy and CSR policy.
# The comprehensive Studies commissioned by NMDC aimed at developing a clearer understanding of the impact
of NMDC’s CSR activities reached its conclusion with the submission of the final Reports pertaining to Impact
Assessment & Social Audit and the relevant Reports are displayed on the Official website of the Company at the
following link: https://www.nmdc.co.in/csr/csr-activities/impact-assessment
# NMDC has published its CSR Policy and also publishes monthly update on all CSR activities on its website. Please
see below hyperlinks for more information.
https://www.nmdc.co.in/csr/csr-regulations
https://www.nmdc.co.in/csr/csr-activities/details-of-csr-activities
# Internal; ^ External
2a. if answer to S. No. 1 against any principle is ‘No’, provide explanation:
Sl. No Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
1 The Company has not understood the
Principles
2 The Company is not at a stage where
it finds itself in a position to formulate
and implement the policies on
specified principles.
3 The Company does not have financial
or manpower resources available for Not Applicable
the task
4 It is planned to be done within next 6
months
5 It is planned to be done within the next
1 year
6 Any other reason (please specify)
3. Governance related to BR:
Indicate the frequency with which the Board of Directors, Committee of the Board or CEO to assess the BR
performance of the Company. Within 3 months, 3-6 months, Annually, More than 1 year.
NMDC assesses its BR performance on regular basis. Also, the Chairman-cum-Managing Director of NMDC
communicates the performance of the NMDC on the ten principles of the International framework ‘United
Nations Global Compact’ annually.
Does the Company publish a BR or a Sustainability Report? What is the hyperlink for viewing this report? How
frequently it is published?
NMDC has published its second Sustainability Report “Expanding Horizons” as per the Global Reporting
Initiative (GRI) Standards. The report captures the initiatives taken by NMDC over the years in Economic,
Environmental and Social aspects. The report also ushers in a new resolve in the organization to take
Sustainable Development to greater heights. The report highlights the efforts done by NMDC in transforming
people and societies in the vicinities of its operating mines. Please see the below hyperlink for more information
on NMDC Sustainability Report
https://www.nmdc.co.in/Docs/NMDC-Sustainability/NMDC_Sustainability_Report_2018%20Final.pdf
NMDC also publishes its Corporate Environmental policy along with six monthly environmental progress reports
for its project sites on its website. Please see the below hyperlink for more information on the environmental
progress reports.
https://www.nmdc.co.in/EnvironmentalMgmt.aspx
104 NMDC LIMITED

Section E: Principle-wise Performance tailing dams for treatment of process effluents,
effluent treatment plant for treatment of industrial
Principle 1: Ethics, transparency and accountability effluents and sewage treatment plant for treating
1. Does the policy relating to ethics, bribery and of domestic effluents. Towards safeguarding the
corruption cover only the Company? Yes/No. Does environment, NMDC also supports the Hariyar
it extend to the Group/Joint Ventures/ Suppliers/ Chhattisgarh plantation program of CG Govt.
Contractors/NGOs /Others? Company has a well-defined CSR policy run by the
Yes, NMDC and its subsidiaries are committed to CSR department for peripheral and community
working with stakeholders in government, business development. The CSR team consults the local
and civil society to promote good governance, community around its mining belts and identifies
responsible use of mineral wealth and to prevent the major focus areas for implementing various
corruption. NMDC has also signed the integrity CSR activities. It has contributed to the society by
Pact (IP) with Transparency International India (TII). implementing activities like roads, bridges, building
Also, the Vigilance Department at NMDC guides of residential schools and hostels, operating
and facilitates for impartial, fair and transparent ‘hospitals on wheels, conducting medical camps
decision making and gives priority to preventive and providing free treatment to local tribal’s,
vigilance, with proactive attitude. electrification of villages and many more such
initiatives.
2. How many stakeholder complaints have been
received in the past financial year and what NMDC also supports natural habitation and wild
percentage was satisfactorily resolved by the life protection by implementing bio-diversity
management? conservation plan through State Forest Dept to
maintain the ecological balance of the area.
About 9 shareholder complaints have been
received in the financial year 2020-21 and all of 2. For each such product, provide the following
them have been successfully resolved. NMDC has details in respect of resource use (energy, water,
formulated its Whistle Blower Policy to achieve raw material etc) per unit of product (optional):
the highest possible standards of ethical, moral i. Reduction during sourcing / production /
and legal business conduct and also to strengthen distribution achieved since the previous year
its commitment to open and transparent
communication. NMDC utilize optimum consumption of
resource such as electricity, fuel oil, lubricant
Principle 2: Businesses should provide goods and oil, raw material and water. The targets are
services that are safe and contribute to sustainability fixed for specific consumption of resource
throughout their life cycle usage. The achievements of the same are
1. List up to 3 of your products or services whose reviewed in internal and external audits
design has incorporated social or environmental of quality and environment management
concerns, risks and / or opportunities. system. Water and energy audits are
conducted at all project sites. These audits
NMDC adopted sustainable mining practices and
also help to identify and prioritize energy
production processes for all its three products viz;
efficient technological measures and savings
Iron Ore, Diamond and Sponge Iron. It ensures to
opportunities.
implement appropriate environmental measures
in all its mining operation to protect and safeguard The specific energy consumption at the
the environmental parameters such as air, water, project sites is seen to be improving with
land, noise and biodiversity. the implementation of few of the energy
NMDC wishes to embark on low carbon growth efficient measures. Even though the specific
trajectory in its operations and water conservation water consumption is low as compared
measures. Few of the measures taken-up in this to electricity, NMDC implementing water
respect are recycle and reuse. The treated waste conservation and management measures by
water reused for beneficiation of ore process, installing secondary waste water treatment
construction of ameliorative measures like buttress systems at most of the project sites. The
walls, check dams, green belt development in the treated water is recycled and reused for
project premises. Digging contour trenches and various purposes.
biological reclamation of rock waste dumps to ii. Reduction during usage by consumers
minimize land erosion. (energy, water) achieved since the previous
Towards water pollution, the environmental year
measures adopted includes construction of The volume of NMDC’s final product is
check dams for treatment of surface runoff, bulk in nature and gets complex to track

the reduction during usage by consumer. Present Rate Contract at Bailadila Project and
However, it sensitizes the use of water and Panna is with the following 02 Firms:
energy where ever possible.
1) M/s ARC Limited-Bacheli
3. Does the Company have procedures in place for
2) M/s Balan Trasport-Bacheli
sustainable sourcing (including transportation)? If
yes, what percentage of your inputs was sourced NMDC Donimalai is concluding transportation
sustainably? Also, provide details thereof, in about Rate Contract with other Transporters available at
50 words or so. Donimalai site or area and they are concluding Rate
Contract for Donimali Project.Approximate value of
NMDC Projects at Bailadila and Panna is
both the transportation Rate Contract at Bailadila &
concluding Rate Contract for transportation of all
Panna and Donimali Complex is around ` 7.0 Crore.
incoming and outgoing materials from Projects and
vise versa. All the material is transported as per 4. Has the Company taken any steps to procure goods
transportation Rate Contract terms & conditions and services from local and small producers,
and complete procedure is followed for sustainable including communities surrounding their place
sourcing (transportation). of work? If yes, what steps have been taken to
improve the capacity and capability of local and
small vendors?
The company has taken various steps to procure goods and services from MSE firms as well as MSE SC/ST
Enterpreneurs and Women Enterpreneurs.The achievement of Procurement from MSME firms are as below:
Sl. No. From 1st April 2021 to 30th March 2022 Value in ` lakhs Targets 2021-22
I Total annual procurement 78428.00
I(A) Total annual procurement after deductions 27698.00
Total value of Procurement from MSEs (including MSEs
II 12373.00
owned by SC/ST Entrepreneurs)
III % of Procurement from MSEs out of total procurement at I(A) 44.67% 25%
IV Procurement from SC/ST Entrepreneurs 1356.00
% of Procurement from SC/ST Entrepreneurs out of total
V 4.9% 4%
annual procurement at I(A)
VI Procurement from WOMEN Entrepreneurs 851.00
% of Procurement from WOMEN Entrepreneurs out of Total
VII 3.07% 3%
Annual Procurement at I(A)
Due to the continuous efforts made by projects, various MSE meets specially for SC/ST Category were arranged
at projects sites as well as in various cities as detailed below:
Sl. No. Project Place of meeting Date of meeting

1. Bailadila Projects Raipur 04th & 05th Dec'21
2. Head Office Hyderabad 29th Sep’21 & 11th Dec’21
3. Donimalai Project Mysore 12th Jan'22
As a result of the above efforts following increase is recorded in no. of MSE as well as SC/ST MSE firms against
each project:
Kirandul Bacheli Donimalai Panna

Sl No. Description
2020-21 2021-22 2020-21 2021-22 2020-21 2021-22 2020-21 2021-22
1 No. of MSE Firms 505 517 389 391 255 260 85 87
2 No. of MSE SC/ST Firms 17 19 20 22 13 15 3 4
3 No. of MSE Women firms 18 20 09 11 18 19 9 10
106 NMDC LIMITED

Procurement through GeM Portal:
As per directives of Ministry, the Company tried its level best to procure maximum items available in GeM
through GeM portal. Details are furnished below:
2019-20 2020-21 2021-22

No. of Orders 1017 948 1713
Total Value of Orders (` Crores) 16.00 38.97 172.42
Above details shows that due to continuous efforts of MM department value of total orders placed through GeM
portal has been increased from
` 38.97 Crores to ` 172.42 Crores.
Further, we have started to float Custom Bids through GeM Portal for the non-available items as per GeM
Authority instruction and same has been communicated to all NMDC Projects, which will improve to procure
maximum items through GeM
5. Does the Company have a mechanism to recycle products and waste? If yes, what is the percentage of
recycling of products and waste? (Separately as <5%, 5-10%, >10%). Also, provide details thereof, in about 50
words or so.
Yes, NMDC employs safe, scientific and environment friendly methods of mining and mineral processing. It
strives to apply the 3R policy (reduce, re-use and recycle) to its waste management plan with the aim of avoiding
potentially harmful environmental and social impacts, during both the operational and post-closure phases.
NMDC mining projects are implementing productivity improvement mechanism and waste reduction
initiatives along with exploring the possibility for re-use of byproducts. One of the waste reduction and mineral
conservation is blending of low-grade ore is set for achievement for blending of low-grade ore (less than 55%
Fe) is < 16% towards mineral beneficiation. The same is also reviewed periodically. Different lubricants in
NMDC projects are disposed of to the agencies duly authorized for recycling. It has also set its target to treat,
recycle and reuse the secondary waste water from the mining operations.
Principle 3: Businesses should promote the well-being of all employees

1. Please indicate the total number of employees (as on 31.03.2022):
Total: 5539 Category wise breakup is shown below:
Executives: 1468, Jr. Officers: 138, Workmen: 3933
2. Please indicate the total number of employees hired on temporary / contractual / casual basis:
Contract Labour: 6247 (NMDC) + 4220 (NISP)
On Contract basis at NISP: 611
3. Please indicate the number of permanent women employees:
There are 360 permanent women employees.
4. Please indicate the number of permanent employees with disabilities:
There are 100 permanent employees with disabilities
5. Do you have an employee association that is recognized by Management?
Yes,
¾¾ Majority of the unions at project level have formed an independent apex body called All India NMDC
workers federation (AINMDCWF).
¾¾ Supervisors have their own association (NMDC Supervisors’ Association) at unit level and at corporate
level.
¾¾ Executives have their own association (NMDC Officers’ Association) at unit level and at the corporate level.
6. What percentage of your permanent employees are members of this recognized employee association?
All our permanent employees (100%) are members of their respective recognized employee association.

7. Please indicate the number of complaints relating to child labour, forced labour, involuntary labour, sexual
harassment in the last financial year and pending as on the end of the financial year.
There have been nil complaints with regard to child labour, forced labour, involuntary labour, discriminatory
employment and sexual harassment in the FY 2021-22. The requisite information in the prescribed proforma is
furnished hereunder:-
No. of complaints filed No. of complaints

Sl.No. Category during the financial pending as on end of
year the financial year
1 Child labour / forced labour / involuntary labour Nil Nil
2 Sexual harassment Nil Nil
3 Discriminatory employment Nil Nil
8. What percentage of your under mentioned employees were given safety and skill up-gradation training in the
last year?
The safety training of the employees is a vital component of the Occupational Health and Safety Policy at NMDC.
As the motto of NMDC goes ‘A Safe Mine is a Productive Mine’, the target is to achieve Zero Accident with
optimum use of human resources, materials & machines with higher production / dispatches.
The percentage of employees given Safety and Skill Up-gradation Training for the FY 2021-22:
Percentage
Sl.No. Particulars
Safety Training Skill Upgradation Training
1 Permanent Employees 16.57 24.91
2 Permanent Women Employees 12.50 10.66
3 Casual / Temporary / Contractual Employees 49.66 2.55
4 Employees with disabilities 13.08 0.00
Principle 4: Businesses should respect the interests of, and be responsive towards all stakeholders, especially those
who are disadvantaged, vulnerable and marginalized
1. Has the Company mapped its internal and external stakeholders? Yes / No
Yes, NMDC has mapped its internal and external stakeholders for the purpose of stakeholder engagements. The
key categories are as below:
• Local Community
• Investors
• Employees
• Customers
• Government and Regulatory Authorities
• NGO’s and other stakeholders
NMDC engages with the identified stakeholders and communicates its major CSR initiatives in different forms
and considers the feedback in planning future initiatives.
2. Out of the above, has the Company identified the disadvantaged, vulnerable and marginalized stakeholders?
Yes, NMDC has identified the disadvantaged, vulnerable and marginalized stakeholders with the help of socio-
demographic data of the community through baseline surveys conducted as the part of its CSR policy objectives
and through consultation with State Authorities.
3. Are there any special initiatives taken by the Company to engage with the disadvantaged, vulnerable and
marginalized stakeholders? If so, provide details thereof, in about 50 words or Yes, most of the major CSR
activities implemented by NMDC have benefitted the disadvantaged, vulnerable and marginalized stakeholders
and are given below:
• During the academic year 2021-22, 40 Tribal girl students under the ‘NMDC Balika Siksha Yojana’, were
given sponsorship for Nursing Courses, which is a unique initiative in State of Chhattisgarh to benefit
Tribal girls of Bastar Division.
108 NMDC LIMITED

• Continued operation of NMDC Shiksha Principle 6: Businesses should respect, protect, and
Shayog Yojana- A scheme providing make efforts to restore the environment
Scholarships to upto 18,000 SC/ST students
1. Does the policy related to Principle 6 cover only
for encouraging them to pursue education
the Company or extends to the Group / Joint
beyond 8th class up to Graduation.
Ventures / Suppliers / Contractors / NGOs /
• Support to Mid-Day Meal Scheme to provide Others?
nutritious & wholesome meals in Govt.
Businesses should respect, protect, and
Schools around Donimalai mines, Karnataka,
make efforts to restore the environment. The
covering 8000 students..
environmental management at NMDC is governed
• NMDC has taken up a Skill Development by its Corporate Environmental Policy. The policy
Programme for training 60 tribal youth extends to NMDC and its subsidiaries.
around NMDC Projects in Bailadila region
2. Does the Company have strategies / initiatives
of Dantewada District, Chhattisgarh in
to address global environmental issues such as
partnership with a leading University in
climate change, global warming, etc? Y / N. If yes,
Odisha. 28 of these trainees have already
please give hyperlink for webpage etc.
been trained in Phlebotomy (Blood collection
technician), with all of them having got Yes, NMDC understands and recognizes the
gainful employment & the remaining trainees implications that climate change would have on
are undergoing training in Operation Theater its business, environment and community. NMDC
Technician skills. has framed policies around the climate change and
other global environmental challenges. It stands
• NMDC has successfully completed a
committed in promoting greater environmental
Recognition of Prior Learning (RPL) based
responsibility in mining and processing of
skill development training in Bastar Division,
minerals for sustainable development. The
which was taken in partnership with
environmental management at NMDC is governed
Chhattisgarh Swami Vivekanand Technical
by its Corporate Environmental Policy. The
University (CSVTU), Bhilai. Under the above
Policy outlines its commitment to prevention
initiative 393 trainees underwent the requisite
and control of environmental pollution, conserve
training for receiving certification for their
the natural resources, monitor and ensure
Skills.
compliance, continual environmental performance
Principle 5: Businesses should respect and promote improvement, safeguarding the environment,
human rights educating its employ¬ees and communities about
the environmental commitments and applying
1. Does the policy of the Company on human rights proven management prac¬tices to prevent or
cover only the Company or extend to the Group / mitigate negative environmental impacts.
Joint Ventures / Suppliers / Contractors / NGOs /
Others? NMDC believes that Greenhouse gas emissions are
one of the key concerns of “cost to environment”
NMDC supports the Universal Declaration on for modern business, it wishes to embark on low
Human Rights and the United Nations Global carbon growth trajectory in its operations. NMDC
compact. It owes allegiance to the constitution of measures, records, calculate and reports its
India, which resolves to secure to all its citizens GHG’s every financial year. The possible mitigation
justice, liberty, equality and fraternity, also measures proposed for the thrust areas of mining,
encompasses the fundamental human rights as mechanical and electrical services are being looked
envisioned in the Universal Declaration of Human into for abatement. Also, NMDC being a signatory
rights. It stands committed to protecting human to the ‘United Nations Global Compact, it reports
rights in its workplaces and of its subsidiaries. Also its environmental performance annually under the
a separate committee for redressal of grievances defined principles of UNGC. The hyperlink to view
of women employees in particular has been the Environmental related details is given below:
constituted. https://www.nmdc.co.in/important-links/
2. How many stakeholder complaints have been environment-clearances
received in the past financial year and what 3. Does the Company identify and assess potential
percent was satisfactorily resolved by the environmental risks? Y / N
Management?
Yes, NMDC has defined methods of identifying
There have been Nil cases of human right violation and assessing potential environmental risks. It
during the FY 2021-22. carries out Environmental Impact Assessment

of operations/activities to identify impacts on the 4. Electric Shovels: NMDC is using electrically
surrounding environment and initiate mitigation operated shovels and drills at the projects.
measures accordingly. EIA for all its mines and A total of 17 electric drills and 10 electric
industrial activities has been conducted and shovels are being used at all the mining
mitigation measures are been implemented projects of NMDC as a replacement of diesel
accordingly. Regular monitoring of environmental operated drills and shovels.
parameters is carried out to ensure the
5. Fuel efficiency: In order to reduce GHG
effectiveness of the measures implemented and to
emissions by optimizing diesel consumption,
comply with the CPCB /MOEFCC guidelines.
NMDC conducted trial tests for diesel
NMDC project sites are certified to Integrated consumption by adding additives to conduct
Management System including SA-8000: 2014 trial test of diesel additive THERMOL-D
and as a part of requirements of EMS carries out at BIOM Kirandul Complex. This additive
aspect–impact studies for all the activities and THERMOL-D improves the combustion
operations for identification of critical activities efficiency of the diesel engine. THERMOL-D
for setting objectives and targets. The system is is an eco-friendly, multifunctional
audited biannually through third party auditors diesel additive which helps in complete
(apart from the periodic audits carried out by consumption of Diesel and also helps in
certified internal auditors) to verify adequacy maintaining cleanliness of the entire fuel
and effectiveness of the system and to identify system components. NMDC will be using
changes if any required in objectives, targets and THERMOL-D for achieving the reduction in
management plan. year wise diesel consumption.
4. Does the Company have any project related to 6. Development of carbon sinks: Since,
Clean Development Mechanism? If so, provide inception of mining operations, NMDC has
details thereof in about 50 words or so. Also, if yes, planted more than 2.5 million trees in and
whether any environmental compliance report is around its mining leases in Bailadila region
filed? in Chhattisgarh State. NMDC regularly
contributed to CG state flagship ‘Chhattisgarh
Yes, NMDC has a taken up many initiatives to
Harihar Tree Plantation Programme’. The
contribute to the Clean Development Mechanism.
afforestation carried out and proposed to be
Some examples are:
carried out will create a long-term carbon
1. Installation of Wind Mill project: NMDC has sink. Also, NMDC, in coordination with Forest
commissioned seven wind energy generators Departments has prepared comprehensive
in Mar 2009 with installed capacity of 10.5 Bio-diversity conservation plans which
MWH at a total cost of ` 65.55 Cr near includes soil and water conservation,
Chittradurga, Karnataka. The project has grassland development, habitat development
been registered with the United Nations for endangered species, water body
Framework Convention for Climate Change development, identification of endangered
(UNFCCC). species and species of high significance,
captive breeding facilities etc. The biodiversity
2. Electricity regeneration in the Downhill
conservation plans will help revive population
Conveyor system: NMDC has implemented
of endangered species.
electricity regeneration in the Downhill
Conveyor system at Bailadila and Donimalai. 5. Has the Company undertaken any other initiatives
The electricity generated in the downhill on - clean technology, energy efficiency, renewable
conveyors is fed back into the grid, thereby energy etc? Y / N. If yes, please give hyperlink to
reducing the draw of electricity from the main web page etc.
grid at its projects.
Yes, NMDC being a signatory to UNGC, it stands
3. Solar Power projects: With the green energy committed in encouraging the development of
initiative of Govt. of India focusing more environment-friendly technologies along with its
on renewable energies, NMDC has set up Corporate Environmental Policy. Also, NMDC’s
Solar Power projects at its Office premises. research and development Centre has earned
This includes 30 KW rooftop solar power rare distinction of competence of undertaking
generations at Head Office and 1 MW rooftop technology development mission related to efficient
solar power generation at production units of mineral processing. To know more about the
NMDC. initiatives, please see the hyperlink given below:
https://www.nmdc.co.in/important-links/
environment-clearances
110 NMDC LIMITED

6. Are the Emissions / Waste generated by the 2. Have you advocated / lobbied through above
Company within the permissible limits given by associations for the advancement or improvement
CPCB / SPCB for the financial year being reported? of public good? Yes / No; if yes, specify the broad
areas (drop box: Governance and Administration,
Yes. All emissions & wastes generated by NMDC
Economic Reforms, Inclusive Development Polices,
are monitored on a regular basis and are within
Energy Security, Water, Food Security, Sustainable
permissible limits as specified by CPCB/SPCB.
Business Principles, Others)
Also, the returns are filed regularly to the statutory
authorities as per requirement. To know more Yes, following are the broad areas:
about the initiatives, please see the hyperlink given
¾¾ Sustainable Mining Practices
below:
https://www.nmdc.co.in/important-links/ ¾¾ Energy Conservation
environment-clearances
¾¾ Inclusive Development
7. Number of show cause / legal notices received
from CPCB / SPCB which are pending (i.e. not Principle 8: Businesses should support inclusive growth
resolved to satisfaction) as of end of financial year. and equitable development
Regional Officer, Chhattisgarh Environment 1. Does the Company have specified programmes /
Conservation Board has filed a complaint under initiatives / projects in pursuit of the policy related
section 41, 43 & 47 of Water Act 1974 against to Principle 8? If yes, details thereof.
NMDC, Kirandul Project in Hon'ble court of Bacheli Yes, NMDC has a host of programmes / initiatives /
on 3/12/2016. The matter is under sub-judice. projects in its identified focus sectors defined in the
CSR Policy. Some of the major CSR initiatives are
Principle 7: Businesses, when engaged in influencing
listed below:
public and regulatory policy, should do so in a
responsible manner Literacy and Education
1. Is your Company a member of any trade and • NMDC’s Siksha Sahayog Yojana
chambers or association? If yes, name only those
major ones that your business deals with. • NMDC Balika Siksha Yojana
Yes. NMDC is a member of various trade and • Operation of Polytechnic College at

chambers / associations. Few of the major ones are Dantewada
listed below: • Operation of ITIs at Dantewada and Nagarnar
¾¾ Federation of Indian Mineral Industries, New • Operation of Residential School at Nagarnar
Delhi (FIMI)
Health Care
¾¾ Skill Council for Mining Sector (SCMS)
• Free medical treatment at Project hospitals
¾¾ Mining Engineers Association of India (MEAI)
• Hospital on Wheels (How) – providing health
¾¾ The Mining, Geological & Metallurgical services in remote villages, operating 13 Vans
Institute of India (MGMI) (10 in Bellary in Karnataka & 3 in Bailadila
¾¾ Indian Institute of Mineral Engineers (IIME) in Chhattisgarh) covering 165 villages in
Chhattisgarh & Karnataka.
¾¾ All India Management Association, New Delhi
• NMDC has partnered with the Govt. of
¾¾ Federation of Indian Chamber of Commerce
Chhattisgarh for installation of solar power-
and Industry, New Delhi
based electrification facility in health centers
¾¾ Standing Conference of Public Enterprises, and providing solar maternity cum mother
New Delhi care kits in health centers of 6 Districts of
Bastar division.
¾¾ Confederation of Indian Industry (CII)
• NMDC has provided support to Sri Satya Sai
¾¾ Indian Iron and Steel Sector Skill
Sanjeevani Hospital, Naya Raipur, for setting
Development Council
up a 500 KW Solar Power Plant and thereby
¾¾ Federation of Indian Export Organization, save resources for extending Cardiac care to
Chennai more needy children.
¾¾ The Associated Chambers of Commerce & • Construction of Shelters and providing other
Industry of India) necessary facilities for attendants in District
Hospital Dantewada
¾¾ Global Compact, UN

• Financial support to reduce the prevalence of 2. Are the programmes / projects undertaken
Malnutrition & Anemia among children and through in-house team / own foundation /
Adolescent girls & women of reproductive external NGO / government structures / any other
age group in Bastar Division organization?
• Drilling and installation of 115 Handpumps in NMDC takes up various CSR activities through an
High API (Animal Parasite Index) 94 villages internal team as well as in partnership with State /
of Bijapur District Authorities and NITI AAYOG registered non-
governmental organization (NGO’s) and Trusts, who
• Initiative for addressing the issue of
are also registered with Registrar of Companies
malnutrition among children in Chhattisgarh.
for implementing CSR activities, depending on
NMDC’s contribution towards Fight against the specifications of the activity proposed. The
COVID -19 CSR initiatives taken up through partnerships
are evaluated and monitored jointly by the CSR
• In the National effort in the Battle against the
department and partnering organization.
COVID 19 Pandemic, the following were some
of NMDC’s noteworthy contributions during 3. Have you done any impact assessment of your
the year 2021-22: initiative? Give details
i. Contribution of ` 150.00Crore to the Yes, a comprehensive Impact assessment Study
PMCARES Fund. connected with the CSR Programme of the
ii. As a contribution to the National Company commissioned in the recent past was
vaccination programme initiated by concluded in 2021-22, with the submission of
the Govt. of India, NMDC has provided the final Report and, the relevant Report can be
Cold Chain Equipment for storage of accessed at the following link:
COVID19 vaccinations in the states of https://www.nmdc.co.in/csr/csr-activities/impact-
Chhattisgarh & Telangana in the form assessment
of Deep Freezers, Ice line Refrigerators
4. What is the Company’s direct contribution to
and walk-in Coolers
community development projects - Amount in INR
iii. NMDC is setting up of a 100 bedded and the details of the projects undertaken?
COVID-19 Hospital in Panna Dist.
Madhya Pradesh NMDC has spent an amount of ` 287.33 Crores
on development projects as under in FY 2021-22
iv. Setting up temporary COVID-19 care
broadly under the following heads, which also form
centre cum Hospital with 230 fully
part of Schedule VII of the Companies Act.
oxygenated beds at Naya Raipur,
Chhattisgarh (1) Education (2) Drinking Water (3) Health and
v. Provided 04 Medical Oxygen Generating Hygiene (4) Free Medical Treatment (5) Nutrition
Plants: 02 each in Karnataka & (6) Infrastructure (7) Skill Development (8) Rural
Chhattisgarh Development (9) Sanitation (10) Environment.
Rural Development & Infrastructure 5. Have you taken steps to ensure that this
community development initiative is successfully
In spite of the challenges associated with the adopted by the community? Please explain in 50
COVID 19 Pandemic, NMDC’s commitment to words, or so.
Rural Development initiatives around its Projects
was continued. Besides meeting its commitment Yes, the CSR team at NMDC takes feedback from
w.r.t. completion of various Rural Development/ the beneficiaries to know its impact or scope for
infrastructure development works already improvements if any. Also, the impact assessment
underway, NMDC took up the following activities: carried out by a third party along with the NMDC’s
CSR team for its major CSR initiatives and captures
• Construction of various rural CC roads, the effectiveness of the community development
culverts, retaining wall and a Dome shed projects and responses of the community people
in the Gram Panchayat areas in District towards the initiative.
Dantewada,
NMDC takes all the requisite measures to ensure
• Assisted in procurement of tipper cum
that its community development initiatives are
dumper/ for door to door wastage removal &
successfully adopted by the community by way
disposal in these areas.
of initiating dialogue with the community to
• Successfully completion of seven out of assess their need and by seeking a firm & written
the ten bus shelters being constructed in commitment from the beneficiary stakeholders
partnership with the State Govt. of Karnataka. during the pre-implementation consultation/need
112 NMDC LIMITED

assessment process w.r.t. post implementation 3. Is there any case filed by any stakeholder against
maintenance and up keep of the infrastructure the Company regarding unfair trade practices,
and support to instill a sense of ownership among irresponsible advertising and / or anti-competitive
the beneficiaries for initiating the activity. Hence, behaviour during the last five years and pending
sustainability has become an integral part of as of end of financial year? If so, provide details
NMDC’s CSR initiatives. thereof, in about 50 words or so.
Principle 9: Businesses should engage with and No case is pending against NMDC as at the end of
provide value to their customers and consumers in a financial year 2021-22.
responsible manner 4. Did your Company carry out any consumer survey /
1. What percentage of customer complaints / consumer satisfaction trends?
consumer cases are pending as on the end of No consumer survey has been carried out in FY
financial year? 2021-22. However, regular customer meets are
All the customer complaints are being dealt in being conducted at Hyderabad / Raipur / NMDC
time bound manner and there are no complaints Projects to assess customer satisfaction trends.
pending at our end as of end of FY 2021-22.
Cautionary Statement
2. Does the Company display product information
on the product label, over and above what is The statements in the Directors’ Report and Management
mandated as per local laws? Yes / No / N.A. / Discussion and Analysis Report are forward looking
Remarks (additional information) statements and progressive within the meaning of
applicable laws and regulations. Actual results may
Not Applicable. Our product being a bulk vary from those expressed or implied, depending upon
commodity, it is not feasible to put product labels. economic conditions, Government Policies and other
The product specifications are being displayed incidental factors that may arise. Shareholders / Readers
on the Company’s website. To know more about are cautioned not to place undue reliance on the forward
the product specifications. Please see the below looking statements.
hyperlink: https://www.nmdc.co.in/Products.aspx

ANNEXURE-V
114 NMDC LIMITED

116 NMDC LIMITED
118 NMDC LIMITED
ANNEXURE-VI
GLOBAL COMPACT – COMMUNICATION ON PROGRESS
ED/EPS/GC/03
24.06.2022
Dear Stakeholder,
The United Nations Global Compact (UNGC), with a spread of over 161 countries, 16100 Corporate participants, is the
World’s largest corporate sustainability initiative.
UNGC is a call to companies to align strategies and operations with universal principles on human rights, labour,
environment and anti-corruption (ten principles) and take strategic actions to advance broader societal goals, such as
the 17 UN Sustainable Development Goals (SDG), with an emphasis on collaboration and innovation.
The world today is facing unprecedented environmental challenges in areas including climate change, clean water,
biodiversity etc. New efforts are needed to increase stewardship of natural resources, implement innovative solutions,
and contribute to sustainable development. As the world looks to recover better from the global pandemic and
implement the transformative change necessary to limit the global temperature rise to 1.5°C, collective action will be
critical to assess environmental risks and opportunities, set and deliver ambitious environmental targets and adopt
responsible practices for a transition to the net-zero, resilient economy.
The quality of a Company’s relationships and engagement with its stakeholders is critical. Companies affect what
happens to employees, workers in the value chain, customers and local communities, and it is important to manage
impacts proactively. Businesses’ social license to operate depends greatly on their social sustainability efforts. In
addition, a lack of social development, including poverty and inequality can hamper business operations and growth.
In Today’s business landscape, good governance is a critical challenge, which requires efforts that are mutually
reinforcing. Companies have to enhance good governance by integrating corporate sustainability principles into their
own operations and relationships, allowing for greater transparency, accountability and inclusiveness.
At NMDC, we have been following the principles of the UN Global Compact and have adopted many frameworks
developed by UNGC. We have embedded sustainability into our strategies and have been taking proactive action to
secure a resilient future. Our efforts address the linkages among various environmental issues — climate, water,
biodiversity — as well as the social and governance dimensions. In this Decade of Action, NMDC has scaled up its
efforts to towards the Sustainable Development Goals and the ambitious targets set in the Paris Agreement.
Our efforts, be it the CSR initiatives, or sustainable – eco-friendly mining or putting the societal interests ahead
of NMDC’s own, have been appreciated by the stakeholders. As we go forward, I reiterate NMDC’s commitment to
ensure that the 10 principles and the 17 SDGs of UNGC are adhered to, not only by NMDC, but also encourage those
with whom it does business to adhere to them. I call upon all the stakeholders to partner us in achieving these noble
goals.
With warm regards,
Yours sincerely
Sumit Deb
Chairman-cum-Managing Director

Principle 1: Business should support and respect the • Periodical medical examinations of employees are
protection of internationally proclaimed human rights. done in accordance with the prescribed schedule.
Commitment • Safety appliances such as safety shoes, helmets,

rain suits, goggles, etc, are provided to employees
Being a company registered in India, NMDC owes periodically.
allegiance to the Constitution of India, which resolves
• Every month safety committee meetings are
to secure to all its citizens justice, liberty, equality and
conducted and accident analysis is discussed and
fraternity and which also encompasses the fundamental
remedial measures implemented.
human rights as envisioned in the Universal Declaration
of Human Rights. NMDC stands committed to support Housing
and respect the protection of internationally proclaimed
human rights. • NMDC provides accommodation for the employees
and the members of their families on nominal
Systems rents.
Though there is no specific provision as such for human • NMDC provides house building advances for its
rights in the Manual on Personnel Management of the employees to build their own houses at such
company, the sub-stratum of the Manual ensures that its locations in India as suitable to them.
employees enjoy the fundamental human rights.
Education
NMDC has in its management system provisions for • NMDC trains its employees regularly to update
health, safety, housing and education. Comprehensively themselves, professionally, managerially and
covering all these aspects, NMDC has appropriate technically.
systems in place.
• NMDC encourages its employees to better their
Actions educational and professional qualification by giving
suitable incentives, study leave, etc.
Health
• NMDC takes care of the school education of the
• NMDC gives full and free medical care to its employees’ children in its projects and gives
employees and the eligible members of their incentives and scholarships for their higher
families. education. As its projects are located in remote
• Under the NMDC Contributory Scheme for areas, NMDC has arranged for quality schooling
post-retirement medical facilities, the retired facilities at the projects itself.
employees, their spouses, dependent parents • The schooling facilities available at the project are
and dependent children below 25 years age, get extended to the children of the surrounding villages
medical care for a nominal life-time membership. as well.
Safety Performance during the year 2021-2022
• Being basically a mining organization, NMDC • NMDC is providing complete health care to its
attaches great importance for safety of the employees and the members of their families.
employees. In its mining projects, NMDC has
its own Training Centre’s equipped with the • The injury frequency rate was 4.57.
infrastructure as required under the Mines • Housing has been extended to all its employees. In
Vocational Training Rules. These centre’s cater to addition, house building advances were given to 08
the needs of basic training, refresher training, and employees (cumulatively to 2319 employees)
training for skilled trades and also for those injured
on duty. • Training coverage is 64.54% of employees. Training
mandays as % of working mandays is 6.32.
• Sufficient number of workmen inspectors are
nominated/appointed for mining operations, • Basic education has been extended to 100% of the
mechanical installations and electrical installations employees’ children.
in terms of the statutory requirement • Recognizing the meritorious service rendered
• Occupational Health Centre’s have been provided in by the employees, NMDC has awarded suitable
the projects. mementos to (a) 26 employees (cumulatively
8232) who have rendered 20 years’ service; (b) 182
• Doctors have been given specialized training in employees (cumulatively 6983) who have rendered
occupational health. 25 years’ service; (c) 94 employees (cumulatively
120 NMDC LIMITED

6245) who have rendered 30 years’ service (d) 105 Systems
employees (cumulatively 2211) who have rendered
35 years’ service by organizing suitable function. NMDC has three layers of employees: workmen,
supervisors and executives.
• 141 employees (cumulatively 5632) who retired
from the Company were given service certificates 1. Workmen, who are mostly location specific, have
and suitable mementos during farewell parties, their own Unions. More than one Union are
specially arranged in their honour, in appreciation functioning in each of the main units. Besides
of their service to NMDC. 120 employees their affiliations to national bodies, cutting across
(cumulatively 2563) who retired after putting in such affiliations to central organizations, majority
30 years’ service in Government/ PSUs were of the Unions at project level have formed an
awarded special mementos. independent apex body called All-India NMDC
Workers’ Federation (AINMDCWF) positioned at the
Principle 2: Business should ensure that they are not corporate office at Hyderabad. All these Unions
complicit in human rights abuses. have been given assistance by the Management as
considered necessary for their functioning.
Commitment
The details of such affiliated Unions, unit-wise, are given
Being a Government of India company, NMDC owes below:
allegiance to the Constitution of India, which resolves
to secure to all its citizens justice, liberty, equality and a Bailadila Iron Ore Mine, Kirandul Complex
fraternity and which also supports the fundamental
i Samyuktha Khadan Mazdoor Sangh (SKMS)
human rights as envisioned in the Universal Declaration
affiliated to All India Trade Union Congress
of Human Rights. NMDC stands committed to protecting
(AITUC).
human rights in its workplaces.
ii Metal Mine Works Union (MMWU) affiliated
Systems to Indian National Trade Union Congress
• NMDC, being a Government company, has come to (INTUC)
inherit the Government regulations and, therefore, b Bailadila Iron Ore Mine, Bacheli Complex
protecting human rights and ensuring that it is
not complicit in human rights abuses, is a natural i Samyuktha Khadan Mazdoor Sangh (SKMS)
extension to all its policies and programmes. affiliated to AITUC
• The security arrangement in the mines of the ii. Metal Mine Workers Union (MMWU) affiliated
company is given to the Central Industrial Security to INTUC
Force (a Government arm), who owes equal c Donimalai Iron Ore Mine
allegiance to the Constitution of India and is duty
bound to protect human rights. i. Donimalai Iron Ore Project Employees
Association (DIOPEA) affiliated to AITUC
• A Grievance Redressal procedure is in vogue.
ii Metal Mine Workers Union (MMWU) affiliated
• A separate Committee for redressal of grievances to INTUC
of women employees in particular has been
constituted. d Diamond Mining Project.
• NMDC has recognized Scheduled Caste/Scheduled i Panna Hira Khadan Mazdoor Sangh (PHKMS)
Tribe Associations in each of its units and corporate affiliated to BMS
office. ii Madhya Pradesh Rashtriya Heera Khani
Mazdoor Sangh (MPRHKMS) affiliated to
Actions & Performance during the year 2021-2022
INTUC
No case of human rights violation has been reported 2. NMDC is totally committed to workers’
during the year. participation in the management. In pursuit of such
Principle 3: Business should uphold the freedom of commitment, Committees/Councils, both statutory
association and the effective recognition of the right to and non-statutory, are functioning at the shop
collective bargaining. level, project level and at corporate level with equal
number of representatives of the management and
Commitment the Unions.
3. Supervisors and Executives have their own
NMDC stands committed to the protection of freedom of
associations at unit level and at the corporate
association among its employees and business partners.
office.

Actions Performance during the year 2021-2022
Decisions related to workmen such as wage settlement, No form of forced or compulsory labour was resorted to.
incentives, bonus, line of promotions, working conditions,
welfare measures, etc are taken in consultation with the Principle 5: Business should support the effective
representatives of unions/ Associations, both at the unit abolition of child labour.
level and at the corporate level.
Commitment
Performance during the year 2021-2022
NMDC stands committed not to engage any child labour
• All the workmen are subject to collective and do all that it can to abolish it from its surroundings.
bargaining agreements and the supervisors
and executives are governed by understanding/ Systems
consultations.
• For appointment in the company, the minimum age
• No man days were lost during the year because of prescribed and scrupulously followed is 18 years.
rift or strike by employees due to the effectiveness
of Collective Bargaining. • Age verification is done with reference to approved
documents in accordance with the practices
• The unanimous decisions taken at the Joint prescribed by the Government of India.
Committees are implemented and monitored.
• All employees are paid much above the minimum
Principle 4: Business should support the elimination of wages prescribed from time to time. Free and
all forms of forced and compulsory labour. complete health care is given to all the employees
Commitment and the members of their families. Free schooling
facilities are provided at projects. Scholarships and
NMDC stands committed not to resort to any form of hostel accommodation allowance, etc, are given for
forced and compulsory labour. children’s higher education.
Systems • Skill development programme has been launched
• No employee is required to deposit any sum of for training and increasing the employability
money for employment in NMDC. of local qualified youth of adjoining villages of
Bailadila projects by providing monetary and other
• A service bond is insisted upon from only such of assistance.
those employees who have been posted abroad.
The bond period is for two years or a nominal Actions
amount of ` 2,00,000/- • All contractors are forbidden to engage child
• Any employee joining the company should declare labour.
that he or she is not an insolvent. • Government enforcement agencies like Inspectors
Actions from Labour Department inspect the sites of
construction to check for employment of child
• Appointment orders issued by the company very labour. Those found guilty are liable for punitive
specifically state the various important conditions action by the Government.
of appointment.
• Records of the labourers engaged by the
• Printed copies of Service Regulations and other contractors are kept at worksites.
rules are distributed to all Units for reference and
use by every employee. Performance during the year 2021-2022
• The workmen in particular are given a copy of the • No child labour was employed by NMDC.
certified Standing Orders precisely containing their
general terms and conditions governing service • No child labour was allowed to be employed by the
conditions. contractors working for NMDC.
• The Personnel Manual is available in the Intranet • NMDC does not promote trade with organizations
site for reference. engaging child labour.
• Employees are given incentives for achieving higher Principle 6: Business should support the elimination of
levels of output. discrimination in respect of employment and occupation.
• Workmen have the additional facility of over- Commitment

time payment for working beyond the prescribed
working hours. NMDC, by itself and as a Government company, stands
committed to follow the policy of non-discrimination
122 NMDC LIMITED

in all matters – recruitment, employment opportunity, Principle 7: Business should support a pre-cautionary
promotion, etc. approach to environmental challenges.
Systems Commitment
• The Constitution of India, under Article 15, As a responsible corporate citizen, NMDC Ltd believes in
unambiguously prohibits discrimination on grounds maintaining ecological balance and NMDC is committed
of religion, race, caste, sex or place of birth. to ensure that its environmental systems and practices
• As a Government company, NMDC is bound to are aligned with international best practices such as
follow the Government directives, which are the ISO: 14001-Environmental Management System
abundantly clear against any discrimination in any standard. All major production projects of NMDC i.e
matters. Bailadila Deposit-5,10/11A, Bailadila Deposit-14/11C and
11B, Donimalai Iron Ore Project and Diamond Mining
• As a measure of protecting and improving the Project, Majhgawan, Panna have accreditation with
conditions of the downtrodden, special provisions Integrated Management System including SA-8000. This
have been made in terms of the Government standard enables NMDC to manage its environmental
directives in respect of candidates belonging to impacts while adhering to the requirements not only
Scheduled Caste, Scheduled Tribe and Backward of the standard itself but also to those of national and
class, both in recruitment and promotion. international norms, legislation, and regulations. It also
• NMDC Recruitment and Promotion Rules provide forms the foundation for continuous improvement in
for qualifications, skill and experience required environmental performance.
for candidates for recruitment and promotion at
Sustainable Development Policy
various levels.
1. We, at NMDC, aim at being responsible miners
• The grievance procedure in the company is
with commitment to sustainable development in
designed in a very simple and easy to handle way
all our locations. We ensure that the sustainable
for the employees to get grievances, if any, to be
development ethos are considered and integrated
resolved quickly.
in all our decision-making processes and business
• Unions and Associations representing the planning.
various levels of employees have easy access
2. We believe that market competitiveness on a long
to the management to discuss and resolve
run can be achieved only by adopting the best
discriminations, if any, quickly and effectively.
practices of health, safety and environmental
Actions management, community management, and
actively engaging our stakeholders in addition to
• The company periodically assesses and evaluates the economic performance of the organization.
job contents and job requirements.
3. We comply in full with the laws and regulations
Performance during 2021-2022 where we operate. We aspire to be a benchmark
by adopting international standards in the field of
No discrimination was resorted to in respect of Sustainable Development.
employment and occupation.
4. NMDC Sustainability Policy is integrated with
The Government directives against discrimination was Environmental Policy, Occupational Health and
adhered to in all matters. Safety Policy, Corporate Social Responsibility Policy
and together they provide the broad framework for
The special provisions in respect of candidates belonging driving business in a responsible manner.
to Scheduled Castes, Scheduled Tribes and Backward
classes made by the Government by way of Directives System:
have been adhered to.
In order to ensure pollution-free environment, NMDC
As on 31st March, 2022 the manpower position was: has built the following programmes into the day-to-day
working of the mines:
• Total number of employees 5539
• Environmental norms as laid down by the Ministry
• Scheduled Caste employees 827 (14.93%) of Environment and Forests, and the State and the
• Scheduled Tribe employees 1397 (25.22%) Central Pollution Control Boards are meticulously
followed.
• Backward Class employees 1137(20.53%)
• Regular physical monitoring for all environmental
• Men : Women ratio 6.95:1 parameters, like micro-meteorology, ambient
air quality, surface and ground water quality and

ground water levels, work zone and ambient • Regular water sprinkling and grading of haul roads,
noise levels and soil quality through recognised scientific and massive afforestation for abating air
environmental laboratories of MoEFCC/CPCB. pollution.
• Detailed Bio diversity conservation studies, carbon • Create green belts, densify open scrublands,
foot print, Energy audits, Water audit, SMI audit, good arboriculture, and follow avenue plantation
etc. practices for improving the overall environment as
well as aesthetic value.
• Environment up gradation works like afforestation
at project sites, participating in C.G. Hariyar • Importance of value index of the region is
programme, reclamation of waste rock dumps. envisaged and also to eradicate effects of visual
intrusion by proper landscaping.
• Disaster Management Plans for the tailing dams
at the projects. Industrial Risk insurance for tailing • Regular maintenance of Heavy Earth Moving
dams constructed at NMDC projects. Machineries and OCSL Plant equipment and
adopting good housekeeping practices there by
• Expert organisations have been carried out safety
reducing noise pollution.
audit and design of remedial measures of tailing
dams at Bacheli and Kirandul Projects for ensuring • Monitor all environmental parameters such
health of the dams. as PM10, PM2.5, SO2, NOx, CO, Fugitive dust
emissions in ambient air, water quality as per IS
• Protection measures for explosives’ magazines at
standards, discharge water from auto shops and
the projects. Public Liability Insurance towards
service centres, tailing dam discharge water etc.,
handling explosives and other hazardous material.
on regular basis following the statutory acts and
Actions their amendments of the Gol viz.,
• A separate department for environment • Continuous Ambient Air Quality Monitoring Stations
management, headed by a General Manager (CAAQMS) have been installed at mines. The
has been positioned to extensively monitor and results are recorded live and results are available
effectively implement environment management on CPCB website.
programmes. • Regular monitoring of ground water levels and
• Separate Cells at production projects have been quality by engaging laboratories of repute.
set up with qualified and experienced Environment • Preparation and timely submission of six-monthly
Scientists/Engineers. reports to MOEF, GOI Regional offices and annual
• Expert organizations in the area are being engaged environmental audit reports to respective state
to measure and report periodically the various pollution control boards.
parameters. • Creating environment awareness amongst
Pollution Control Measures Covered all the employees and their children and the
local population through celebration of Mines
• Judicious and scientific planning of direct Environment & Mineral Conservation (MEMC) week
excavation, waste rock dumping and sitting under the aegis of Indian Bureau of Mines & World
infrastructure areas. Environment Day celebrations.
• Restricting use of forestlands to the barest • Basic and refresher Training of employees for
minimum level. environmental consciousness by conducting
• Constructing ameliorative measures like buttress regular classes under mines Vocational Training
walls, check dams, digging contour trenches, Rules.
biological reclamation of waste rock dumps, etc. to • Undertake of peripheral village community
minimize land erosion. Various soil bio-engineering development works like improving roads,
and dump stabilisation measures terrace dumping, constructing school buildings, community halls,
geo-coir matting is being taken up to ensure distributing books and stationery, extending
minimum surface run off in the neighbouring forest schooling and medical facilities available in the
and water bodies. project townships to the local people including
• Effluent Treatment Plant for treating effluents from adivasis as well.
service centres, Sewage Treatment Plant, Auto • Providing safe drinking water to the township
shops, etc to avoid water pollution. dwellers and extending drinking water supply to
• Sewage Treatment Plants with SBR technology population of neighbouring villages.
have been constructed at Bacheli and proposed • Obtaining consents for establishment and
to be constructed at Kirandul & Donimalai for operation of mines / plants from the respective
treatment of township domestic wastewater. state pollution control boards.
124 NMDC LIMITED

• Obtaining environmental clearances for new / Avifauna Scheme in lieu of the Slurry Pipeline
expansion projects from central Govt. Project (83.831 Ha).
• Obtaining forestland clearances for renewal / fresh 5. Terms of reference obtained from MoEFCC,
grant of mining leases. New Delhi (Ind – 1 division) for the proposal of
M/s NMDC – CMDC Limited for construction of
• Massive afforestation drive through social forestry
Screening cum beneficiation plant over an area
division of the local forest department.
195.537 Ha located outside the ML area of Deposit
• Scientific stabilization of all the passive waste rock 4 on 21/2/2022.
dumps and mined out areas.
6. Renewal of permission for water abstraction for
Performance during the year 2021-22 Slurry Pipeline project of NMDC obtained from
CG Government on 1/9/2021 for a period up to
Environmental clearance: 18/6/2023.
1. Bailadila Iron Ore Deposit-11 ML (11.30 MTPA ROM 7. Working permission obtained from Forest
iron ore): EC obtained on 1/12/2021. Department, Chhattisgarh for Slurry Pipeline
project (83.831 Ha) on 31/7/21.
2. Bailadila Iron Ore Mine, Amendment in EC for
Deposit-14/11C ML by excluding Deposit 11C. Consent to operate approvals:
Modifying to Deposit 14 & 14 NMZ (829.11 Ha, 10.5
MTPA): EC obtained on 1/12/2021. 1. Deposit 11B: Renewal obtained on 1/1/2022 for a
period of 2 years up to 31/12/2023.
3. Bailadila Iron Ore Mine, Deposit 14 & 14 NMZ,
Terms of reference for the proposal for obtaining 2. Deposit 11A: Renewal obtained on 27/9/2021 for a
capacity expansion from existing 10.5 to 18.5 MTPA period of two years i.e., from 5/9/21 to 4/9/23.
obtained on 22/03/2022. 3. NISP, Nagarnar: Renewal of consent obtained
4. Public Hearing for the proposal of capacity on 20/9/2021 for a period of one year from up to
expansion of Kumaraswamy Iron Ore Mine (from 31/08/2022.
7 to 10 MTPA) was conducted successfully on 4. DIOM: Consent to Operate under Air (P&CP) Act
22/03/2022. 1981 and Water (P&CP) Act 1974 obtained from
5. Bailadila Iron Ore Mine, Deposit 4 ML of M/s NCL KSPCB, Bangalore for Donimalai Iron Ore Mine
(NMDC-CMDC Limited), Terms of reference for (DIOM) project as well as on 28/5/21 for a period
proposal of obtaining Environment Clearance for 7 from 1/7/2021 to 31/3/2023.
MTPA ROM Iron Ore obtained on 11/3/2022. 5. KIOM: Consent to Operate under Air (P&CP) Act
6. The transfer of EC to NMDC for Rohne Opencast 1981 and Water (P&CP) Act 1974 obtained from
Coal Mine has been obtained on 28/10/2021. KSPCB, Bangalore for Kumarswamy Iron Ore
Mine (KIOM) project on 28/5/21 for a period from
7. No Objection certificate for abstraction of 1/7/2021 to 31/3/2022.
Groundwater at Bacheli Complex obtained on
24/11/2021 from Central Groundwater Authority, 6. Renewal of authorizations under Hazardous waste
New Delhi from 24/11/2021 to 23/11/2021. from KSPCB, Bangalore: Obtained authorization for
handling 89 KLT used oil and 0.5 MT waste residue
8. Corrigendum (in transfer of EC) letter for Tokisud for Donimalai Iron Ore Mine (DIOM) project as well
North Sub Block Coal Mine project of NMDC as Kumarswamy Iron Ore Mine (KIOM) 3/9/2021 for
Limited on 1/4/21. a period up to 31/3/2023.
Forest clearance: 7. Renewal of authorization under Rule 10 of the Bio-
medical waste Management Rules, 2016 obtained
1. 2nd Stage Forest Clearance accorded for 7.116 on 18/8/2021 from CECB, Raipur for Project
Ha Forest Land for construction of Slurry pipeline Hospital at Bacheli Complex from 20/7/2021 to
Project by MoEF&CC, New Delhi on 21/12/2021. 19/7/2023.
2. The transfer of first stage 1 FC in respect of Rohne 8. Consent under Air (P&CP) Act 1981 and Water
Coal Mine (exploration) has been obtained on (P&CP) Act 1974 for 100 bed hospital in Bacheli
15/11/2021. Complex on 31/7/2021 from CECB, Raipur from
3. The transfer of first stage 1 FC in respect of 28/8/2021 to 27/8/2026.
Rohne Opencast Mine Coal has been obtained on 9. Consent under Air (P&CP) Act 1981 and Water
18/11/2021. (P&CP) Act 1974 and Authorisation renewal under
4. PCCF (Wildlife), Chhattisgarh Forest Dept, vide Biomedical waste for Diamond Mining Project,
letter dated 17/2/2022 accorded approval on the Panna (Majhgawan) for 20 Bed Project hospital

on /2021 from CECB, Raipur from 28/8/2021 to Performance during the year 2021-22
27/8/2026.
• As against the permissible limit of 80 microns per
Principle 8: Business should undertake initiatives to cu m of SO2 and Nox in ambient air, the values
promote greater environmental responsibility. actually encountered at NMDC’s mines were less
than 30 microns per cu.m and carbon monoxide
Commitment were observed to be below the detectable limit of
the approved instruments.
NMDC stands committed to promoting greater
environmental responsibility in mining and processing • About 25% of the annual consumption of different
of minerals in its mines for sustainable development. lubricants in NMDC mines was disposed to
NMDC’s Sustainable Development Policy states, we shall agencies duly authorized for recycling as per HWM
therefore endeavour to: Rules and its amendments issued by the Ministry of
Environment and Forests, Government of India.
1. We, at NMDC, aim at being responsible miners
with commitment to sustainable development in Principle 9: Business should encourage the
all our locations. We ensure that the sustainable development and diffusion of environmentally friendly
development ethos is considered and integrated in technologies.
all our decision-making processes and business
planning. Commitment
2. We believe that market competitiveness on a long NMDC stands committed to encouraging the
run can be achieved only by adopting the best development and diffusion of environment-friendly
practices of health, safety and environmental technologies,
management, community management, and
actively engaging our stakeholders in addition to NMDC’s Environmental Policy stairs,
the economic performance of the organization. • Prevent and control environmental pollution due to
3. We comply in full with the laws and regulations mining and associated activities by adopting safe,
where we operate. We aspire to be a benchmark scientific and environmentally friendly methods of
by adopting international standards in the field of mining and mineral processing for applicable legal
Sustainable Development. requirements like forest, environmental and other
statutory clearances.
4. NMDC Sustainability Policy is integrated with
Environmental Policy, Occupational Health and • Maintain the machineries in excellent condition
Safety Policy, Community Development Policy and to ensure minimum impact of their operation on
together they provide the broad framework for environment.
driving business in a responsible manner.
Systems/Actions
Systems • Dust collectors are provided to the drills to control
• Environmental aspects are carefully considered fugitive emissions at source.
and appropriately incorporated at the planning • Wet drilling is adopted to mitigate the effect of dust
stage of a project itself. on the work force.
• Training programmes are arranged for employees • Main mine haul roads are regularly graded and
on environmental awareness. water mixed with additives is sprinkled to suppress
dust.
Actions
• Jet sprinklers are provided at all strategic and
• NMDC has implemented IMS covering ISO 14001:
transverse points to control dust during crushing
EMS, 9001 and OSHAS 180001 and SA-8000 in its
and transportation of ore at the plant.
major production mines.
• Closed conveyor belt system is provided to
• Water used for washing of ore is reclaimed for re-
control dust generation and spreading during ore
use.
transportation.
• The electricity generated in the downhill conveyors
• Rubber screens and rubber linings are provided
is fed back into the grid, thereby reducing the draw
at transfer points and along conveyor system to
of electricity from the main grid at its projects in
control noise and dust generation.
Bailadila and Donimalai.
• Copies of the Environmental Policy Distributed/
displayed printed of the company among its
employees and local communities.
126 NMDC LIMITED

Sustainable Development Performance • NMDC engaged Visveswaraya National Institute of
Technology (VNIT), Nagpur for conducting a study
• Under S.D. programme, construction of Sewage
on ‘Metal Ion Contamination in mine run off’ in
Treatment Plant with SBR technology at Bacheli
Bailadila Iron Ore. The sample collection work has
at a cost of ` 6.61 Cr has been constructed. Siilar
been done successfully. Work is under progress.
treatment plant at Kirandul at a cost of ` 8.0
Cr for treatment of domestic effluents is under • Water audit was conducted at all the production
construction stage. projects for evaluation of water consumption.
The recommendations of the audit are being
• NMDC has planted more than 2.5 Million trees in
implemented by replacing the worn out and leaking
and around its mining leases in Bailadila region
pumps. Apart from this regular maintenance
in Chhattisgarh State. Apart from that, NMDC has
of water appurtenances is being done. This will
contributed an amount of ` 14.15 Cr to CG state
reduce the wastage of water and ensure optimum
flagship ‘Chhattisgarh Harihar Tree Plantation
water use.
Programme’ in the FY 2020-21. Total amount
released till date is ` 69.15 Cr. • SMI audit was done by FIMI at all Iron Ore Mining
projects of NMDC and recommendation are being
• Every year Carbon Footprint studies are being
implemented to obtain 5-star rating for all mines.
conducted for disclosure of Greenhouse Gas
Emissions in Carbon Disclosure Project (CDP). Principle 10: Business should work against corruption
in all its forms, including extortion and bribery.
• Every year the Company is undertaking
environmental pollution control work such as Commitment
de-silting of check dams / check bunds, tailing
dams, construction of buttress walls at toe of waste Vigilance Department guides and facilitates impartial,
dumps and geo-coir matting on waste rock dumps fair and transparent decision making and gives priority to
for stabilization of dumps. preventive vigilance, with proactive measures.
• M/s Indian Council of Forest Research and Systems
Education, Dehradun was recently engaged for
preparation of EMP & R&R plans for Deposit 5 and • The Vigilance Dept. at the Corporate Office is
10 of the Bacheli Complex. The firm has prepared headed by Chief Vigilance Officer and assisted by
the EMP and Rehabilitation & Reclamation Plan Vigilance Officers drawn from various branches.
for waste dumps, mined out areas, surface water Vigilance officers have been deputed at all NMDC
pollution measures, etc for Kumarswamy and production projects, NISP and Corporate office.
Donimalai Iron Ore Mine and Bailadila Iron Ore
• The Chief Vigilance Officer has the equal status
Complex. The studies have been successfully
of Functional Director of the Company. He
completed for Deposit 14 ML, Deposit 11B and
is appointed by the Government of India on
11C of Kirandul Complex. In this regard, an MoU
deputation.
has been signed on 1/2/21 with Dantewada Forest
Division for carrying out the R&R works mentioned • Vigilance Studies are monitored by the Vigilance
in the report for an amount of ` 16.15 Crore. The Officers under the guidance of CVO.
total cost of implementation of civil and biological
• Surprise, regular checks, CTE type inspections and
works under R&R works at Donimalai and
other major vigilance investigations are carried
Kumarswamy Mines is ` 120 Crores for a period of
out based on the veracity of complaint / source
20 years. The works include construction of check
information.
dams / check bunds, tailing dams, construction of
buttress walls at toe of waste dumps etc. • All the executives of the Corporation have to submit
Annual Property Returns every year as on 31st
• In order to gainfully utilize slimes (low grade
December.
rejects), beneficiation & Pellet plant has been set
up in Karnataka at the mine site itself. Larger • Foreign travels by employees are monitored.
scale similar plant is being set up in Bailadila
• Continuously following up for updating/reviewing of
sector also along with 15 MTPA slurry pipeline,
Manuals.
which is a green and a cost-effective way of iron ore
transportation. Actions
• Indian Council for Forestry Research and • Various Studies were carried out by vigilance
Environment (ICFRE) was engaged for carrying officers at different locations/area. The
out R&R and Environment Management studies at reports received were discussed in detail and
Kirandul and Donimalai projects. The protection improvements in systems / procedures were
measures suggested are being implemented at suggested wherever required.
Kirandul and Donimalai Projects.

• Surprise and regular checks were carried out in Vigilance Department in NMDC has upgraded to ISO
every quarter during the year. The deficiencies 9001:2015 standards of Quality Management System
and deviations wherever noticed were brought to (QMS) for which M/s Vexil Business Process Services
the knowledge of the Management for corrective Private Limited, Delhi was engaged for routine
action. surveillance audits and Quality Certification.
• Pending disciplinary / CTE / CBI cases were During the year (April’2021 – March 2022), 55 surprise
reviewed in the quarterly meetings of VOs held at checks, 68 regular inspections, was conducted by
Head Office, and follow-up actions were taken for Vigilance Department. Complaints received were taken
timely completion of inquiries. up for investigation and necessary suggestions for
• Vigilance Awareness week 2021 was observed system improvement/ disciplinary action wherever
in the Corporate Office and all units of NMDC. required were recommended. A total of 57 complaints
Various competitions, seminars, workshops and were received through various source information during
lecture programmes were arranged to create the period which were handled/ disposed off as per CVC
awareness of Vigilance amongst the employees guidelines / complaint handling procedure.
during the week.
As part of the implementation of “Leveraging of
• No. of Training Programmes were conducted for Technology for transparency” in all the transactions,
Employees / Executives Trainees on preventive details of contracts concluded above ` 10 lakhs, all
vigilance. works awarded on nomination basis, single tender basis
above ` 1 lakh, information regarding bill payments
• System for lodging of online complaints and
to the contractors, etc. are provided on the company’s
submission of Annual Property Returns through
website. Vigilance department made allout efforts
online mode by all the executives is in place.
for E-Procurements through online e-procurement
• The Vigilance Department recommends for rotation platforms like MSTC, GeM etc. and it has now been
of staff posted in sensitive posts in order to ensure ensured at NMDC that all tenders of value 2 lakhs and
that no vested interests are developed. above shall be floated / issued through E-Procurement
platform. In this regard, Vigilance dept. is regularly
• Engineering Works Manual in place and put on
creating awareness by intimating fresh guidelines issued
NMDC website.
by statutory authorities / agencies and advising/ involving
• Contracts Manual in place and put on NMDC in the concerned departments for compliance.
website.
NMDC has adopted the Integrity Pact since November
• Materials Management Manual in place. The 2007. As per the suggestions given by Vigilance
Manual is under updation. Department, the threshold value has been decreased
• NMDC Recruitment and Promotion Policy – 2018 is to 1.0 Crore w.e.f. 07.09.2018 for both Procurement
in place and put on NMDC website. and Contracts as against the earlier threshold limit of
` 20 crores in case of Civil works and Contracts and `
• Fraud Prevention Policy and NMDC Whistle Blower 10 crores in case of Procurement on approval of NMDC
Policy is in place. Board. The Integrity Pact has been entered into in 476
contracts with a value of ` 28,918.77 Crores for the
Performance during the year 2021-22 period April 2021-March 2022. All the contracts wherein
the Integrity Pact was to be signed as per the threshold
Vigilance department had taken several initiatives
limit was adhered to and more than 90% of the total
during the year. Emphasis was laid on adequate checks
values of the contracts are covered under Integrity Pact.
and balances in the form of well-defined systems and
procedures. Various programmes were conducted for To ensure transparency in vigilance works, necessary
awareness on vigilance matters for the employees of action has been initiated for rotation / repatriation of
the Corporation. The vigilance functionaries at the vigilance officers, and for inducting of new officers in
projects have conducted regular training classes for Vigilance department for compliance of CVC guidelines
the employees on the vigilance matters. Executives of by 30.06.2022. The rotational transfer of officers of other
Vigilance Department were nominated for training / departments was also effected during the period, in
workshops being organized in India. compliance of CVC guidelines and a total of 95 officers
were rotated / transferred.
The systems and procedures including the document
handling, maintenance of records is done so as to The Quarterly Review-cum-Coordination meeting of
ensure that the Vigilance Department is conforming to the Vigilance dept. with CVO was held in June 2021 at
the Quality Management Systems as per ISO 9001:2015 Hyderabad, in September 2021 at Raipur, in December
Standards. 2021 at Hospet and in March 2022 at Hyderabad for the
first quarter, second quarter, third quarter and fourth
128 NMDC LIMITED

quarter respectively. The said meeting was attended 2. System improvements suggested in the Contract
by all the Vigilance Officers posted at Head Office and Award Process:
Projects like Kirandul, Bacheli, Donimalai, Panna
An online/offline demonstration for evaluating
& NISP. Project-wise presentations were made and
techno-commercial proposals of any specialty
matters pertaining to vigilance inspections and system
software may be required at the procurement
improvements recommended / implemented etc. were
stage. Nonetheless, a vigilance investigation
discussed. Few common matters were also discussed in
revealed that the existing MM Manual contains
open-house wherein all VOs exchanged their views and
no guidelines or provisions to be followed in such
gave valuable suggestions.
cases. The Vigilance department has suggested
In pursuance of CVC directions / guidelines received recording Online/Offline demonstrations and
during the month of August / September 2020, a 02 drafting SOPs/Guidelines to be followed in
days module and Road map for imparting training on instances where Online/Offline demonstrations
preventive vigilance separately for Induction level (new were included in tender documents for evaluating
entrants) and Mid-career level Executives were drawn techno-commercial offers.
up and was integrated with our HRD’s regular training 3. System improvements suggested in Empanelment
plan. The said training programs on Preventive Vigilance of Contractor:
is being arranged every month at NMDC in compliance of
CVC guidelines, covering Induction level and mid-career The contractors were empaneled for various types
level executives of HO, ROs and all Projects. Keeping in and values of works based on eligibility criteria
view the present scenario of the pandemic, the sessions at respective projects of the Corporation. During
for training on PV has been arranged through Hybrid one of the investigation, it was discovered that
mode, i.e., through class room mode at few locations like most of the new contractors visited the office to
Head office and through online relay under the concept inquire about the empanelment procedure since
of extended classrooms at remote locations & Projects. they were unaware of its existence. The vigilance
A total of 56 trainees / new inductees were covered for department suggested standardizing the format
the Induction level training and 408 trainees / mid- for empanelment across all projects and putting it
level executives were covered under mid-career level public domain.
training in the training programmes conducted under the 4. System improvements suggested for PMC for large
Preventive Training Module as suggested by CVC. contracts:
System improvements suggested/implemented during The vigilance department suggested for
the year 2021-22: appointment of PMC for large projects and for
developing a proper SOP in cases where PMC
As per the Action Plan of the Vigilance dept., viz-a-viz consultant withdraws from project for any reason.
the action plan of individual vigilance officers for the year The same has been implemented by the concerned
2021-22, surprise and regular checks were conducted departments.
besides the study of files. Irregularities and omissions
under the provisions of the rules were identified and 5. As per the CVC guidelines, all the companies
improvements in the systems were suggested wherever coming under the category of Navaratna or having
required. the turnover of ` 10,000 crores and above are
required to have three IEMs in their panel. Vigilance
The initiatives/system improvements studies / department ensured the compliance of the above
suggestions/ recommendations made during the period guidelines and appointment of third IEM at NMDC
are briefed as below: - was made on 29.04.2022.
1. Write-off of Handling Losses against the issue of 6. A Complaint Handling Policy was prepared and
Motor Spirit (MS) and High-Speed Diesel (HSD): uploaded in Vigilance Portal of NMDC with SOP /
guidelines for lodging Vigilance complaints. got
A study was conducted to evaluate the
it implemented after obtaining approval of the
effectiveness of the current write-off technique
Competent Authority w.e.f. 01.01.2022.
for reconciling the handling losses against the
issue of Motor Spirit (MS) and High-Speed Diesel Vigilance Awareness Week:
at Projects. It was observed that the conventional
method of recording and calculating the losses As per CVC Circular No. 05/09/2021 dt. 01/09/2021,
was incongruent with recent technological Vigilance Awareness week-2021 was observed at NMDC
developments. The vigilance department advised Limited from 26th Oct – 1st Nov, 2021 on the theme
revising the internal circular on write-offs and “Independent India @75” “Self Reliance with Integrity”.
employing an IT-based solution such as FMS to
record fuel levels, or for receipt of fuel, etc. On the Inaugural day of VAW-2021, Integrity Pledge was
administered to the employees of NMDC at HO by CMD

and by respective Project Heads / Regional Managers in chief guest. In addition to this, workshops on E-Tendering
the Projects and ROs respectively. and use of GeM Portal and Statutory compliances and
Contract labour management were conducted as a part
Various activities including sensitization programmes of VAW-2021. Awareness and sensitization programmes
and individual/inter-departmental competitions on use of PIDPI for employees, school / college children
like Slogan writing, Essay writing, Elocution, Quiz and other stakeholders were conducted at Head Office/
competition, inter-departmental House-keeping Regional Offices & all Projects. All the winners /
competition and Drawing of e-posters on the VAW theme participants of various activities / competitions were
were arranged for the employees during the Vigilance given away the prizes during the Valedictory Function
Awareness Week-2021. A workshop on ‘Corporate held on the concluding day of VAW-2021 on 1st Nov, 2021
Governance and Technology, and Whistle Blower at HO and all Projects.
Mechanism in PSUs’ was organized on 28.10.2021 at HO
wherein Ms. Praveen Kumari Singh, Addl. Secretary, During the observance of VAW-2021, all the precautions
CVC was the keynote speaker and CMD, NMDC was the as per COVID-19 guidelines were strictly followed.
130 NMDC LIMITED

ANNEXURE-VII
STATEMENT CONTAINING SALIENT FEATURES OF THE FINANCIAL STATEMENT OF SUBSIDIARIES / ASSOCIATE COMPANIES / JOINT VENTURES
(FORM AOC-1)
Part "A": Subsidiaries
Information in respect of each subsidiary to be presented with amounts in `
Sl.No Particulars Details
1 1 2 3 4 5 6 7 8
J&K Mineral
Karnataka Jharkhand
Development NMDC Power Legacy Iron Ore NMDC Steel
NMDC SARL* Vijaynagar Kolhan Steel NMDC CSR
2 Name of the subsidiary Corporation Limited, Limited, Perth, Limited,
Madagascar Steel Limited, Limited, Foundation(**)
Limited Hyderabad Australia. Chhattisgarh
Karnataka Jharkhand
Jammu
Date since when subsidiary was
3 19.05.1989 27.07.1999 12.12.2011 20.04.2007 29.12.2014 02.01.2015 24.09.2015 10.05.2018
acquired
Reporting period for the subsidiary
4 concerned, if different from the April- March Jul-June April- March April- March April- March April- March April- March April- March
holding company's reporting period
Reporting currency and Exchange
rate as on the last date of the
5 Rupees MGA Rupees AUD@57.96 Rupees Rupees Rupees Rupees
relevant Financial year in the case of
foreign subsidiaries.
6 Share Capital 297,400,300 1,000,000 - 4,313,135,827 1,000,000 1,100,000 - 20,000,000
7 Reserves & Surplus (219,064,070) - (2,961,720,973) (20,144,959) (683,470) - 40,373,401
8 Total Assets 323,980,716 764,072,266 - 1,368,253,734 6,404,149,787 463,730 - 61,274,312
9 Total Liabilities 244,289,336 763,072,266 - 13,600,133 6,423,294,746 47,200 - 900,911
10 Investments
11 Turnover
12 Profit before taxation (9,048,102) - - (55,577,685) (7,005,432) (91,635) - 10,203,517
13 Provision for taxation
14 Profit after taxation (9,048,102) - - (55,577,685) (7,005,432) (91,635) - 10,203,517
15 Proposed Dividend
16 % of Shareholding 95.86% 100% 100% 90.02% 100% 100% 100% 100%
* Amount is taken as MGA
** NMDC CSR Foundation is a Not-for-Profit company (incorporated under Sec 8 of Companies Act, 2013. The company is not being considered for consolidation in preparation of Consolidated Financial
statements as per Ind-AS 110
Notes: The following information shall be furnished at the end of the statement:
1. Names of subsidiaries which are yet to commence operations - All the subsidiary companies are yet to commence operations

2. Names of subsidiaries which have been liquidated or sold during the year: i) NMDC Power Limited - Voluntary Liquidation - NCLT, Hyderabad bench dissolved NMDC Power Limited vide order dated
14.10.2021. ii) Jharkhand Kolhan Steel Limited - Voluntary Liquidation - NCLT, Kolkata bench disposed of Jharkhand Kolhan Steel Limited vide order dated 17.12.2021
3. Names of subsidiaries which have been under liquidation: Nil
131
Part "B": Associates and Joint Ventures
132
Statement pursuant to Section 129 (3) of the Companies Act, 2013 related to Associate Companies and Joint Ventures
Associates Joint Venture

Jharkhand
* Kopano-
Name of Associates/Joint Ventures Krishnapatnam Chhattishgarh Romelt- National Mineral
International Coal Neelachal Ispat NMDC Minerals NMDC CMDC Bastar Railway
Railway Company Mega Steel Sail (India) Development
Ventures (Pvt) Ltd. Nigam Limited (Proprietary) Limited, Raipur Pvt. Limited
Limited Limited Limited Corporation
Limited
NMDC LIMITED
Limited, Ranchi
1. Latest audited Balance Sheet
31.03.2022 31.03.2021 31.03.2022 31.03.2022 28.2.2018 31.03.2022 31.03.2022 31.03.2022
Date
2. Shares of Associate/ Joint
Ventures held by the company 378,859,405 74,799,878 40,000,000 13,000 105,000 50 98,347,236 6,000 152,674,600
on the year end
3. Date on which the Associate
or Joint Venture was 14.01.2009 08.12.2004 13.10.2006 14.7.2016 02.09.1999 01.09.2010 19.06.2008 06.08.2012 05.05.2016
associated or acquired
4. Amount of Investment in
3,788,594,050 1,005,997,560 400,000,000 130,000 1,050,000 324 983,472,360 60,000 1,526,746,000
Associates / Joint Venture
Extent of Holding % 25.94% 10.10% 6.40% 26% 25% 50% 51% 60% 52.00%
5. Description of how there is
signficant influence
6. Reason why the associate
/ joint venture is not
consolidated
7. Networth attributable to share
holding as per latest audited 616.81 - 30.74 0.00 - - 92.65 - 152.73
Balance sheet (` In Crore)
8. Profit /Loss for the year - - - - - - - - -
i. Considered in
- - - - - - - - -
Consolidation
ii. Not Considered in
- - - - - - - - -
Consolidation
1. Names of associates or joint ventures which are yet to commence operations.
· International Coal Ventures (Pvt) Ltd. - Post acquisition of Benga Mines ICVL has been deemed to have commenced business.
· Neelachal Ispat Nigam Ltd. - Commenced operations. (Un-Audited Accounts as on 31.3.2021)
· Romelt-SAIL (India) Ltd. - Under closure.
· Kopano-NMDC Minerals (Proprietary) Limited - Under closure.
2. Names of associates or joint ventures which have been liquidated or sold during the year- NIL
ANNEXURE-VIII
ANNUAL REPORT ON CSR ACTIVITIES TO BE INCLUDED IN BOARD’S REPORT
1. A brief outline of the Company’s CSR policy
NMDC has been continuously refining the CSR Policy and Strategy to meet the ever-changing needs of the
stakeholders and the aspirations of the country to become a fully developed society. As part thereof NMDC
has revised its CSR Policy which outlines its commitment through Vision, Mission, Objectives, Scope,
Guiding Principles, Coverage, Mechanism, Process, Focus Areas, Fund allocation & Expenditure, Planning &
Implementation, Monitoring & Evaluation and Reporting & MIS and got approved by the Board on 08.02.2021 and
the same is uploaded on the NMDC website (https://www.nmdc.co.in/csr/csr-regulations) for a transparent and
effective communication on various facets of its CSR activities to the stakeholders, partner organizations and all
the concerned individuals or agencies.
2. Composition of CSR Committee.
Designation/ No. of Meetings of CSR No. of meetings of CSR

SL.
Name of Director Nature of Committee held during Committee attended
No.
Directorship the year during the year
1 Director (Fin) Chairman 2 Attended
2 Director (Prodn) Member -Do-
3 Independent Director Member -Do-
3. Provide the weblink where composition of CSR Committee, CSR Policy and CSR project approved by the Board
are disclosed on the website of the Company?
Weblink for CSR Policy on NMDC’s website is given below:
https://www.nmdc.co.in/csr/csr-regulations
4. Provide the details of impact assessment of CSR projects carried out in in pursuance of Sub Rule (3) of Rule 8
of the Companies CSR Policy Rules 2014 for the Financial Year, if any.
Not Applicable. However, prior to the amendment of aforesaid Rule a comprehensive CSR impact assessment
study of NMDC’s CSR activities was carried out. The relevant Report is available at https://www.nmdc.co.in/csr/
csr-activities/impact-assessment
5. Details of the amount available for set off in pursuance of Sub Rule (3) of Rule 7 of the Companies CSR Policy
Rules 2014 and amount required for set off for the Financial Year, if any.
Not Applicable
6. Average Net Profit of the Companyas per Section 135(5)
The average net profit of the preceding three years is ` 7407.49Cr
7. (a) Two percent of average net profit of the company as per section 135(5)
2 % of PBT of preceding three years calculates to ` 148.15Crores
(b) Surplus arising out of the CSR projects or programmes or activities of the previous financial years.
NIL
(c) Amount required to be set off for the financial year, if any
NIL
(d) total CSR obligation for the financial year (7a +b+c)
While 2 % of PBT of preceding three years calculates to ` 148.15 Crores, NMDC had allocated an amount of
` 244.12 Crore calculating to 3.30% of Average PBT of preceding 3 years. Apart from this an amount of ` 5.88 Cr
of unutilized CSR Budget of 2020-21 has been carried forwarded to 2021-22. Thus, the total annual CSR Budget
for 2021-22 was ` 250.00 Cr.

8. (a) CSR Spent or unspent for the financial year
Amt. unspent (in `)

Amt. transferred to any fund specified under
Total amount spent Total Amt. transferred to unspent CSR
Schedule VII as per second provision to
for the financial accounts as per section 135 (6)
Section 135 (5)
year (In `)
Date of Name of the
Amount Amount Date of Transfer
transfer Fund
` 287.33 Cr NIL
(b) Details of CSR amount spent against ongoing projects for the financial year
Details at Annexure-VIII (b)
(c) Details of CSR amount spent against other than ongoing projects for the financial year
Details at Annexure-VIII (c)
(d) Amount spent in administrative overheads
` 3.58 Cr.
(e) Amount spent on impact assessment, if applicable
NIL
(f) Total Amount spent for the financial year (8 b,c,d,e)
` 287.33 Cr.
(g) Excess amount set off, if any
Sl.No. Particulars Amount in `

(i) Two percent of average net profit of the Company as per Section 135 (5) ` 148.15 Cr.
(ii) Total amount spent for the financial year ` 287.33 Cr.
(iii) Excess amount spent for the Financial year (ii-i) ` 139.18 Cr.
Surplus arising out of the CSR projects or programmes or activities of the
(iv) NIL
previous financial years, if any
(v) Amount available for set off in succeeding financial years ` 139.18 Cr.
9. (a) Details of unspent CSR amount for the preceding three financial years
Amt. transferred Amt. transferred to any fund

Amt. spent in specified under Schedule VII Amt. remaining
Preceding to unspent CSR
Sl. the reporting as per section 135 (6), if any to be spent in
Financial account under
No. Financial Year succeeding F.Y.
year Section 135 (6) Name of Amt. (in Date of
(in `) (in `)
(in `) the Fund `) Transfer
1
2 NIL NIL NIL NIL NIL NIL
3
Total
134 NMDC LIMITED

(b) Details of CSR amount spent in the financial year for ongoing projects of the preceding financial year (s)
1 2 3 4 5 6 7 8 9
Financial Total Amount Cumulative
Name Year in amount spent on the amount spent Status
Sl. Project Project
of the which the allocated project in at the end of the
No. ID duration
Project Project was for the the reporting of reporting Project
commenced Project financial year financial year
1
2
3
Total
Details are available at the following link : https://www.nmdc.co.in/csr/csr-regulations
Details at Annexure III
10. In case of creation or acquisition of capital assets furnish the details relating to the asset so created or
acquired through CSR spent in the financial year
(a) Date of acquisition of the capital asset (s) – NIL
(b) Amt. of CSR spent for creation or acquisition of capital asset – NIL
(c) Details of the entity or Public Authority or Beneficiary under whose name such capital asset is registered,
their address etc. – NIL
(d) Provide details of the capital assets created or acquired (including complete address & location of the capital
assets)- Nil
11. Specify the reason(s) if the Company has failed to spent 2% of the average net profit as per section 135 (5)
Nil
[Person specified under clause (d) of the

(Chief Executive Officer or sub-section (1) of section 380 of the Act]
(Chairman CSR Committee)
Managing Director or Director)
(wherever applicable)

136
Annexure VIII (B)
8 (b) Details of CSR amount spent against ongoing Projects for the financial year 2021-22 ` In lakh
1 2 3 4 5 6 7 8 9 10 11
Item Amt. Mode of implementation
NMDC LIMITED
from the Location of the Project Amount transferred to Mode of through implementating
Local Project
list of allocated Amount spent Unspent CSR Implemen- Agency
S. Area Duration
Name of the Project activities for the in the Financial Account for tation
No. (Yes/ (in
in project year the project as -Direct (Yes/ CSR
No) months)
Schedule State District (Budget)* per Section No) Registration Name
VII 135 (6) No.
Conduction of smart classes to provide
1 (ii) Yes CG Dantewada 24 275.00 221.76 Yes
quality education in Dantewada Block
Construction of Additional room in 13
2 primary school at 13 closed schools in (ii) Yes CG Sukma 36 87 74.52 Yes
Remote Area of District
Infrastructure development works,
COVID Treatent, equipment purchase and
3 other activities at Dist. Hospital Sukma (i) Yes CG Sukma 12 250 175.03 Yes
(excluding medicines, consumables,
manpower)
Strengthening of Health Services in
District Dantewada, arrangement of
4 Doctors in Medical Dept. and Veterinary (i) Yes CG Dantewada 24 420 280.00 Yes
Dept.and other infrastructure related
facilities NIL
Provision of COVID-19 related equipment Bijapur,

5 to the state authorities of C.G.- Bijapur, (i) Yes CG Dantewada & 12 601.85 432.75 Yes
Dantewada & Bastar Districts Bastar
Provision of COVID-19 related equipment
Durg &
6 infrastructure, essential medicines etc. in (i) Yes CG 12 475 475 Yes
Raipur
Durg & raipur Dists. Of Chhattisgarh
Construction of Multipurpose Sports
7 (vii) Yes KTK Dharward 12 1422.86 1146 Yes
Complex at Dharward
Local
Various
& 0 to more
Other CSR Projects taken up during the Schedule Across
8 other Across India than 3 21678.85 4304.52
year vii India
areas years
Activities
both
Grand Total 25210.56 7109.58
*As per an established practise NMDC takes up commitments w.r.t.CSR works/activities 2.5 times the Annual CSR Budget
Note : Break up of details of CSR amount spent against ongoing projects for the financial year 2021-22 is available at the following link: https://www.nmdc.co.in/
csr/csr-regulations
Annexure VIII (C)
8 (c ) Details of CSR amount spent against other than ongoing Projects for the financial year 2021-22 ` In lakh
1 3 4 5 6 7 8
Item from Mode of Mode of implementation through
Location of the Project Amount
S. the list of Local Area Implemen- implementating Agency
Name of the Project spent for
No. activities in (Yes/No) tation -Direct CSR Registration
State District the project Name
Schedule VII (Yes/No) No.
Bastar
1 Scholarship Scheme (ii) Yes CG 642.48 Yes
Division
Apollo Health
& Education
Bastar
2 Balika Shiksha Yojana (ii) Yes CG 227.55 No CSR000133324 Research
Division
Foundation,
Hyderabad
3 Operation of Polytechnic at Dantewada (i) Yes CG Dantewada 283.44
Dantewada,
Free Medical Treatment at Project
4 (i) Yes CG bastar & 902.70
Hospitals across NMDC
Panna
Infrastructure Development of
5 Anganbadi Centres (ICDS) and nutrient (i) Yes CG Bastar 150.00
food to women & children
Acquisition of Covid 19 related
6 (i) Yes KTK Bellary 833.00
equipment in ballari Dist.
7 Donation to PM CARES Fund Delhi Delhi 15000.00
Various
Local &
Other CSR Projects taken up durting Schedule Across Across
8 other areas 3584.07
the year vii India India
both
Activities
GRAND
21623.24
TOTAL
Note : Break up of details of CSR amount spent against ongoing projects for the financial year 2021-22 is available at the following link: https://www.nmdc.co.in/
csr/csr-regulations

137
ANNEXURE-IX
RECOMMENDATIONS MADE BY THE COMMITTEE ON PAPERS LAID ON
THE TABLE (RAJYA SABHA) IN ITS 150TH REPORT – DETAILS TO BE
PROVIDED IN THE ANNUAL REPORT.
I. Details to be provided in the Annual Report in terms of recommendations made by the Committee on
Papers laid on the Table (Rajya Sabha) in its 150th Report are as under:-
Details of the vigilance cases for the FY 2021-22
Opening balance as on Vigilance cases received during
Disposed off Balance
01.04.2021 01.04.2021 to 31.03.2022
01 NIL 01 NIL
Details of 01 vigilance case disposed off:
A Disciplinary Enquiry was initiated on the advice of Vigilance against a complaint received regarding alleged
irregularities in the recruitment of Diploma holders at DIOM, Donimalai. DE for major penalty proceedings was
initiated against 03 employees. The DE has been completed and Enquiry Report has been submitted by the
Inquiry Officer. The file has been put up to the Disciplinary Authority for taking decision on imposition of penalty.
In this case, warning letters have also been issued to another 03 employees connected with this case.
II. Status of Pending CAG Paras and Management Replies
Name of the
Brief of the Para Reporting status
Audit Para
1 Para No. 14.1 Idle Investment With regard to compensation claim from Suzlon Energy Limited (SEL) towards revenue
of C&AG no of ` 65.55 crore loss from Windmills for non-operating period of 38 months (from Oct 2010 to Dec
13 of 2013 Failure to secure 2013), arbitration proceedings was initiated.
for the year forest clearance As per the arbitral award dated 14.12.2018, NMDC claim is allowed to the extent of
2011-12. led to idling ` 17.80 crores being principal and ` 6.80 crores, being interest amount from 22.08.2014
of the entire to 31.01.2018, totaling to ` 24.80 crores with 12% per annum interest thereon from 1st
investment of Feb 2018 till the date of realization. The counter claim of the respondent (Suzlon) is
` 65.55 cr made allowed to the extent of ` 4.62 crores being the principal and ` 60.02 lakhs being the
on wind energy interest from 01.01.2017 to 31.01.2018, totaling to ` 5.22 crores with interest @12% per
farm for over annum thereon from 01.02.2018 till the date of realization.
24 months and Internal approval for arbitral award obtained on 15.02.2019 and the same was
consequential communicated to Project. Subsequently, notice of intimation regarding challenge of
non-realization' arbitral award was received from “Counsel of SEL” on 16.03.2019.
of revenue of
` 13.20 crore. In this regard, , after verifying the details of assets of M/s Suzlon in four locations
i.e. Pondichery, Coimbatore, Padubidri & Anantpur, NMDC has filed an execution
petition before the Honorable Commercial Court, Hyderabad on 26.11.2019, seeking
execution of award and same was numbered as Sl. no 6182 of 2019. The section office
of the Hon’ble Additional Chief Judge cum Commercial Court, Hyderabad has sought
for some additional information, i.e. Bank Statement of M/s Suzlon to number the
Commercial Petition and to verify if the Bank Account is in operation and is having
money to freeze the same. The file is kept pending by Hon’ble Commercial Court for
want of the said additional information. NMDC has been informed to furnish the said
information. On receiving the information, the matter will be filed in the court and said
Execution Petition will be numbered and consequential steps will be taken. However,
the above information is pending as due to confidentiality, Bank do not provide the
details of their customers.
In view of the unwillingness of bank for sharing the desired information, it is proposed
to request the Court to direct M/s Suzlon to furnish the asset details to the Court and to
realize the claim through execution petition.
138 NMDC LIMITED

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Brief of the Para Reporting status
Audit Para
Present Status/ATN
The Executive Petition is still pending before the Hon’ble Commercial Court at
Hyderabad and the next date for hearing is on 13.06.2022 for filing of counter by M/s
Suzlon. Further, the following is proposed
“As the above matter is under subjudice and all judicial proceedings normally take long
period for settlement and the present pandemic situation further adding to the delay,
Audit may be kindly requested not to pursue the above para further”.
The last ATN forwarded to the Ministry vide letter dated 27.04.2022
2 Para no: Avoidable The company has filed writ petition no: 9859/2017 dated 4th Mar 2017 in the Hon’ble
15.2 of CAG Expenditure of ` High Court of Karnataka challenging the demand notice issued by the Director, Mines
Report no 34.34 cr towards and Geology Department, Bangalore (DMG) demanding the interest on the alleged
9 of 2017 Interest on delayed payment of royalty.
for the year delayed payment The Honorable High Court of Karnataka has directed to list the matter on 27th March
2015-16. of Royalty. 2018, which was further adjourned to 26th April 2018. On 26.04.2018, the Hon’ble High
Failure of the Court was informed that Director, DMG had issued a notice to parties to appear on
company to 03.05.2018. In the said meeting on 03.05.2018, NMDC was asked to submit certain
compute royalty information / records by 16.05.2018.
correctly and On 16.05.2018, the Director, DMG had recorded views of DDMG, Hospet and adjourned
pay the same the meeting to 12.06.2018 to submit information / records by 12.06.2018 for onward
on timely basis submission to the Hon’ble High Court. The said meeting was postponed on 29.06.2018
during the period and in the said meeting, NMDC had submitted the documents and requested to waive
from 2009-10 to off the interest. It was informed by Director, DMG, Bangalore that since NMDC is a PSU,
2011-12 resulted they will peruse the issue in detail and pass suitable orders accordingly. The matter
in avoidable was listed for hearing on 03.01.2019, 10.01.2019 & 21.01.2019.
payment
of interest During the hearing on January 2019, the Counsel of Govt. of Karnataka informed the
amounting to Hon’ble Court that the DMG had passed the order on the representations of NMDC on
` 34.34 cr in 07.12.2018 and rejected the request of NMDC. Accordingly, NMDC has to file a fresh
Mar’16. Writ Petition challenging the orders dated 07.12.2018.
The Standing Counsel informed to Hon’ble Court that as there is no change in the
stand of Govt. of Karnataka, there is no need to file a fresh Writ Petition.
The matter was adjourned and the case was listed for hearing on 23.04.2019 and later
on 27.05.2019.
During the hearing, Hon’ble High Court of Karnataka in their order dated 06.06.2019
had cancelled/disposed the writ petition filed by NMDC Ltd and also granted liberty to
NMDC to challenge the order passed by Respondent on 07.12.2018. Writ Petition filed
by NMDC with Hon’ble High Court of Karnataka on 25.10.2019 and numbered as WP no
51121/2019.
The hearing was adjourned to later dates. Meanwhile, Govt Advocate had sought time
for filing statement of objections. The Hon’ble Court granted and proposed to list the
matter for hearing on 02.07.2020. However, the matter/case could not be listed for
hearing due to COVID-19 pandemic.
Present Status/ATN
The case is still pending to be listed for hearing.
Further, the following is proposed.
“As the above matter is under subjudice and all judicial proceedings normally take long
period for settlement and the present pandemic situation further adding to the delay,
Audit may be kindly requested not to pursue the above para further”.
The last ATN forwarded to the Ministry vide letter dated 17.11.2021.

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3 7.2 of Avoidable extra expenditure towards Operations and Point wise reply of the further observations
CAG Maintenance - Extension of Operation and Maintenance made by Audit is indicated below :
Report contract of the Beneficiation and Pelletisation Plants at a) NMDC being a Mining sector, in the process
14 of Donimalai on nomination basis by NMDC Limited, without of diversification had set up 1.2 MTPA
2021 for considering condition of the Plants and actual scale of
Capacity Pellet plant for utilizing the existing
the year operations resulted in avoidable extra expenditure of ` 36.65
slimes and fines for value addition.
2019-20. crore.
As Pellet plant is the first process plant
NMDC Limited (the Company) awarded a contract
of NMDC, to find and recruit around 200
(January,2015) to M/s KIOCL Limited (KIOCL) on nomination
basis for providing Operations and Maintenance (O&M) personnel with right experience at a time
services for its 1.89 million tonne per annum Beneficiation during commissioning and integrating them
and 1.2 million tonne per annum Pelletisation Plant at within a short span was difficult, engaging
Donimalai, Karnataka. As per terms of O&M contract, an agency for O&M who had the experience
besides providing O&M services for three years, KIOCL was in this field was the only an option.
also required to assist in pre-commissioning (trial run/ Meanwhile, KIOCL expressed their interest
provisional acceptance tests) and integrated commissioning to provide O&M services to NMDC Pellet
of both the plants. Load trial runs of both Beneficiation plant Plant. Considering that they are experienced
as well as Pelletisation plant were conducted in June/July in successfully running Pellet Pant with
2015 and it was mutually agreed between NMDC and KIOCL Straight Grate Technology for a long time,
to consider 1 August 2015 as date of start for O&M services. it was ascertained that it would not be
This contract was awarded at a value of ` 81.93 crore plus difficult for them to adjust to the Grate Kiln
taxes. Integrated commissioning of both the Plants was done Technology adopted by NMDC for Donimalai
in June 2017. Pellet Plant.
On expiry of the O&M contract in July 2018, the Company
As, NMDC had no expertise in Pellet Plant
extended this O&M contract for 1 year and 3 months in two
and therefore considered initially to get
spells. The first extension was given in December 2018 for
the O&M work through an established
one year i.e., from 1 August 2018 to 31 July 2019 (for
organization those are having experience
` 45.38 crore plus GST). The contract was further extended
the second time in August 2019 for three months i.e., from in critical processes like proportioning
1 August 2019 to 31 October 2019 (for ` 11.34 crore plus & mixing of feed material/additives for
GST). Thereafter. O&M works were awarded (October 2019) green ball/pellet formation, operation of
through Open Tender Enquiry for a period of one year from balling/pelletizing disc, induration machine,
1 November 2019 to 31 October 2020 for ` 5.75 crore and Induration hood & furnace, process fans,
` 7.53 crore plus GST in respect of Beneficiation Plant rotary kiln and cooler, Electro Static
and Pelletisation Plant respectively to the lowest bidder. precipitators etc. and found that KIOCL has
These outsourced contracts were extended for two months all requisite experience/expertise in the
(November and December 2020) on the same terms. above field.
Subsequently after Open Tender Enquiry, contract for one As such, KIOCL had deployed 177 nos.
year was awarded to same contractors at ` 6.36 crore and of its own manpower for operation &
` 8.31 crore plus GST respectively. maintenance of the plant and also deployed
Scrutiny of the records revealed the following: semiskilled manpower through different
(i) Contract for O&M services was awarded to KIOCL local contractors for mechanical, electrical,
initially on nomination basis in 2015.The Beneficiation instrumentation and maintenance works.
Plant constantly encountered problems like failure Subsequently, NMDC team and the local
of Pressure Filter and non-availability of slimes for contractors enhanced their degree of skills
producing the concentrate. The integrated Pellet Plant under KIOCL guidance and developed
had not produced any pellets during 29 of the 36 months required experience to operate/maintain the
of the O&M contract period (August 2015 to July 2018) process equipment of Pellet Plant.
and during the remaining 7 months, the production of
pellets ranged between 0.56 and 29.70 per cent of the
rated capacity (One lakh tonne per month). However,
despite actual scale of operations being minimal due to
machinery breakdown and raw material non-availability,
the company extended O&M contract with KIOCL on
nomination basis twice for the period of 15 months (in
December 2018 for one year from 1 August 2018 to 31
July 2019 and in August 2019 for a period of three months
from 1 August 2019 to 31 October 2019).Audit observed
that both these extensions were given on the same terms
as contained in contract of January, 2015 at a cost of
` 56.72 crore plus GST, which show award of contract
without having regard to actual scale of operations.
140 NMDC LIMITED

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(ii) The contract signed in January 2015 envisaged b) The proposal for recruitment of manpower
deployment of 53 executives and 124 non-executives by for Pellet Plant operation had been initiated
KIOCL for the services being rendered under the 1st year for catering the manpower needs of Pellet
of the O&M contract. Contract also envisaged imparting Plant, but did not materialize.
training and induction of NMDC employees progressively Thereafter, an internal committee was
so that after acquiring necessary expertise complete formed during Dec’2015 to assess the
operation and maintenance activities may be taken over. manpower requirement for O&M works of
However, as training could not be imparted as envisaged Pellet Plant based on visit to similar plants.
due to non-induction of manpower by the company, Accordingly, the committee had visited other
KIOCL deployed manpower as per the contract terms plants and submitted the report. However,
even during second and third year of the O&M contract. the proposal to recruit manpower did not
This necessitated extension of contract and reliance on materialize.
outsourcing of works.
c) During the O&M contract period, in spite of
(iii) Subsequently, the Company analysed the current NMDC manpower not recruited as envisaged
production levels and outsourced the O&M works originally, existing NMDC manpower in
through Open Tender Enquiry and awarded the same Pellet Plant trained themselves under
(October 2019) for a total value of ` 13.28 crore plus the guidance of KIOCL and developed
GST to M/s Sri Saipriya Enterprises, Hospet (` 5.75 confidence in supervising the O&M of
crore – O&M contract for Beneficiation Plant) and M/s MRSS, Beneficiation & Pelletisation Plant.
Vishal Enterprises, Hospet (` 7.53 crore – O&M contract During the period many local contractors/
for Pelletisation Plant) for a period of one year from 1 technicians also gained workable experience
November 2019. from KIOCL’s manpower.
Had the Company exhibited this due diligence on time It is to be noted that, even though there was
and outsourced the works after competitive bidding a provision of extending the contract for two
from 1 August 2018 onwards i.e., immediately after end years with KIOCL beyond the initial three
of three years period of O&M contract with KIOCL, the years i.e., after July 2018, the contract was
company could have saved ` 36.65 crore during 1 August extended only for one year (4th year) i.e.,
2018 to 31 October 2019. up to July 2019. Meanwhile NMDC started
The Management (August 2020) and Ministry (December exploring the possibilities to go for open
2020), while accepting the fact that manpower tender enquiry for outsourcing the operation
deployment by K1OCL remained constant due to non- and maintenance of Pellet Plant for reducing
induction of manpower by NMDC stated that: the cost of hiring KIOCL manpower and
(i) O&M contract was awarded to KIOCL as they were initiated the proposal for issue of OTE in
pioneers in Pellet Plant operation in India and has the April, 2019. Further, in spite of KIOCL’s
expertise to carry out O&M in such Beneficiation and repeated request for extending the contract
Pellet Plants. Skilled and experienced manpower are further for one more year (5th year) i.e.,
generally not available on “ On and Off” basis/temporary from Aug’2019, the contract was extended
need basis and hence, to operate any process plant like only for 03 months till Oct’2019.
Pellet Plant, specially skilled manpower is required and Since O&M Contract for Operating Plant
hence they are to be deputed on continuous basis which by outsourcing was unique and was being
were provided by KIOCL. done for the first time in NMDC, due to
(ii) As O&M contract for operating Plant by outsourcing was which multiple reviews were carried out
unique and was being done for the first time in NMDC, and all due care and precautions were taken
multiple reviews/ opinions were carried out and all due prior to the tender, so that the tender to be
care and precautions were taken prior to floating the successful. Accordingly, it was deemed fit to
tender, so that tender floating becomes successful. The extend the KIOCL contract period only for 03
process of floating tender and inviting competitive bids, months i.e., from 01/08/19 to 31/10/19.
seeking clarifications, etc., took around three months'
time, and accordingly, contract period with KIOCL had
been extended for only three months i.e., from 1st
August 2019 to 31st October 2019 so that the separate
O&M Contract of Pelletisation and Beneficiation Plant
could be finalized. Hence, the company could save `
40.16 crore (` 4.46 crorex9) by not extending the KIOCL
contract for another 9 months.

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Reply of the Management /Ministry needs to be seen in light Present Status/ATN

of the following facts: Considering the above fact that NMDC had
a) While awarding the contract to KIOCL on nomination initially outsourced the O&M contract to
basis in 2015, only due-diligence exercised by NMDC KIOCL for successful running of Pellet Plant
was to compare option of carrying out the work in- who has noticeable performance in Pellet
house by NMDC vis-à-vis outsourcing to KIOCL. No plant operation in India. Subsequently,
other alternatives were explored. Further, M/s KIOCL NMDC team and the local contractors
had deployed the same contractors, M/s Sri Saipriya enhanced their degree of skills under
Enterprises and M/s Vishal Enterprises, for the supply
KIOCL guidance and developed required
of skilled, semi-skilled and unskilled workers, for
experience to operate/maintain the process
mechanical, electrical, instrumentation and maintenance
works at Pellet Plant, Donimalai during July 2017 to equipment of Pellet Plant. Hence, Audit may
October 2019, who were awarded works directly through be requested not to pursue the para further
open tender enquiry by the Company subsequently from The last ATN forwarded to the Ministry vide
1 November 2019, Hence, the contention regarding non- letter dated 15.02.2022.
availability of skilled and experienced manpower does
not hold ground.
b) As per Clause 15.3 of the O&M contract with KIOCL, the
Company was to induct 34 personnel annually and get
them trained by KlOCL. For this. NMDC was to pay ` 4.69
crore to KIOCL as training and capacity building fee and
in return it could get a discount of ` 12.73 crore from
the O&M charges payable. As per this provision, by the
end of three years, 102 personnel of the Company could
have been trained. However, no manpower of NMDC was
inducted during 2nd and 3rd year. This led to award of
O&M contract of Plant for extended period to KIOCL, on
the grounds of lack of skilled manpower to operate and
supervise the Plant and subsequently the contract was
outsourced to other contractors as mentioned above.
c) As the contract with KIOCL was concluding by 31
July 2018, the Company should have taken note of the
capacity utilization and constraints in operation of the
Plants and taken pro-active measures by the end of
3rd year of O&M contract to bring economy in the O&M
expenses. The Company in its note (November 2018)
seeking extension of the O&M contract for fourth year,
stated that an Open Tender Enquiry will he floated for
fifth year for availing competitive rates linked to scale
of operations. The Company initiated the proposal for
issue of Open Tender Enquiry in May 2019 stating that
even recovery of O&M contract cost placed on KIOCL
was not feasible at that point of time. Thereafter, Open
Tender Enquiry was issued on 8 July 2019 and contracts
for outsourcing of O&M services were awarded only in
October 2019. Hence, the Company could not even award
contract from start of the fifth year (1 August 2019) on
competitive terms and O&M contract with KIOCL had
to be extended by another three months (1 August to
31 October 2019) at ` 11.34 crore excluding GST. So
far as savings of ` 40.16 crore mentioned in the reply
of Ministry/ Management is concerned, this has been
worked out from November 2019 to July 2020 for not
extending the KIOCL contract for another nine months,
instead of considering the savings of ` 36.65 crore, the
Company could have made for the period August 2018
to October 2019, had it acted timely and outsourced the
works on competitive terms.
Thus, lack of due diligence on the part of the Company
in extending O&M contract without reference to the
actual scale of operations resulted in avoidable extra
expenditure of ` 36.65 crore.
142 NMDC LIMITED

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4 7.3 of Payment of Registration Charges and Stamp Duty twice for Point wise replies are indicated below:
CAG the same Mining Lease- Avoidable expenditure of ` 48.36 a) Since neither NMDC-CMDC Limited was in
Report crore on account of failure of NMDC Limited in obtaining
existence during the following events i.e., at
14 of specific assurance from the Government of Chhattisgarh
the time of making application in 1984, while
2021 for regarding waiver from payment of registration charges and
stamp duty twice within a year, once by NMDC Limited and recommendations were made by the State
the year Government in 2006, during prior approval
2019-20. subsequently by its Joint Venture company NMDC – CMDC
Limited. by the Central Government in 2007, issue of
LOI by the State Government in 2007 nor did
NMDC Limited (NMDC) was sanctioned in 1991, prospecting
it fulfil the conditions as per section 5(1) of
license in respect of 631.34 hectares of land for Deposit
13 at Bailadila, Chhattisgarh. After conduct of prospecting MMDR Act 1957.
activities (December 1991 to December 1993), NMDC applied b) Hence.it was not possible for NMDC to
for mining lease in 1994 and became the first applicant for impress upon the State Government of
631.34 hectares. The mining lease area was later (June Chhattisgarh to allocate the Mining Lease
2005) revised to 413.745 hectares. NMDC signed (July 2006) directly in favour of NMDC-CMDC Ltd. The
a Memorandum of Understanding (MoU) with Chhattisgarh Shareholder’s Agreement is between NMDC
Mineral Development Corporation Limited (CMDC), a State and CMDC and the State Government was
Public Sector Undertaking of Government of Chhattisgarh, to not a party to the Agreement. Neither NMDC
develop the Deposit 13 mines. The MoU provided for creation
nor CMDC were in position to make any
of a joint venture company (NMDC-CMDC Limited) by NMDC
such commitment on behalf of the State
and Chhattisgarh Mineral Development Corporation Limited
(equity holding in the ratio of 51 per cent and 49 per cent Government.
respectively). It also envisaged the transfer of the mining c) However, it is pertinent to note that both
lease granted to NMDC to the joint venture company and NMDC and CMDC vis a vis NCL has taken
that further required steps would be undertaken by the all steps to get the refund of the Stamp Duty
joint venture company. The Mineral Resources Department, and Registration Charges.
Government of Chhattisgarh approached (10 November 2006)
d) Mineral Resource Department, Govt.
the Ministry of Mines, Government of India for prior approval
for grant of mining lease in favour of NMDC in Deposit 13 of Chhattisgarh has forwarded a letter
mines. The proposal also cited the additional condition that from Director General Registrar, Raipur
the mining lease awarded to NMDC would be transferred addressed to Director General Audit, Raipur
to the joint venture between NMDC and Chhattisgarh dated 16.06.2021, to NMDC-CMDC Limited
Mineral Development Corporation Limited. The joint venture by which it is clarified that the refund of
company NMDC-CMDC Limited was formed in June 2008. double stamp duty and registration charges
NMDC meanwhile, applied (January 2003) for statutory towards transfer of mining lease is not
clearances and permissions which got delayed. The Stage applicable in the present case (Annexure-I).
II Forest Clearance was finally granted by Ministry of e) Vide the said letter it is clarified that the
Environment, Forest and Climate Change (MOEF&CC) on stamp duty for the said transfer of lease is
9 January 2017 and thereafter NMDC got the mining lease applicable as per Article 63 of Schedule-1 A
registered in its favour by payment of `44.26 crore towards of stamp Act. Moreover, section 3 of stamp
registration charges (`18.44 crore) and stamp duty (`25.82 Duty Act 1899, clearly states that stamp
crore) in January 2017. After a period of only 10 months in
duty is not chargeable on instruments
December 2017, this mining lease was transferred in the
executed by or on behalf of or in favour of
name of the joint venture company NMDC-CMDC Limited, as
per the terms of the MoU, and payment of `52.30 crore was the Government. (Annexure-II).
made, towards registration charges (`21.79 crore) and stamp
duty (`30.51 crore).
In this regard, Audit noted the following:
i) NMDC incurred avoidable expenditure on account of
payment made twice for registering the same mining area
first in its own name and then subsequently transferring
it to the joint venture company after a gap of only 10
months (January 2017 and December 2017).
ii) NMDC failed to protect its financial interest while
agreeing to incur expenditure twice for a mining lease
that was finally meant to be transferred to its joint
venture company. The State Government of Chhattisgarh,
collected the charges of registration and stamp duty
on two occasions for the same mining area although
Chhattisgarh Mineral Development Corporation Limited
was a public sector undertaking of Government of
Chhattisgarh and held 49 per cent shareholding in the
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iii) NMDC, before agreeing to such a transaction, could f) Further, as per Indian Stamp Act
have obtained specific assurance from the Government (Chhattisgarh Prevention of undervaluation
of Chhattisgarh, through CMDC, regarding waiver from of Instruments) Rules 1975, Article 3 A, in
payment of registration charges and stamp duty twice, the case of any property which is the subject
once by NMDC Limted and subsequently by its joint of a lease by the State Government or an
venture company NMDC-CMDC Limited. undertaking of the State Government, the
iv) It could have been ensured inclusion of a specific clause market rent shall be the average annual rent
granting protection from payment of registration and and the market value shall be the amount or
stamp duty twice, in the shareholders cum Joint Venture value of such fine, or premium or advance
agreement which included the obligations of both the as set forth in the instrument. Therefore,
parties to the Joint Venture. Stamp Duty cannot be waived as the
transferee in Audit para is a Government
The failure of NMDC to obtain such assurance, resulted in Undertaking and not the Government.
the payment of registration charges and stamp duty twice (Annexure-III).
for registering the same mine (Deposit 13), first by NMDC
and then for the second time by the joint venture company g) Moreover, it is stated in the above said letter
NMDC-CMDC Limited. NMDC incurred avoidable expenditure that since NMDC has paid the stamp duty
to the extent of Z48.36 crore (49 per cent of Z44.26 crore plus charges during the lease deed, the same
51 per cent of Z52.30 crore), assuming that the joint venture rate shall be applicable in case of transfer
company would have borne the registration charges and of lease as per Article 63 of Schedule 1 A of
stamp duty in the first instance itself. Stamp Act of Chhattisgarh (Annexure-IV).
Management stated (August 2021 and September 2021) h) As regards non-inclusion of the clause
that the Shareholders Agreement is between NMDC and relating to waiver of stamp duty in the
CMDC and the State Government was not a party to the shareholder agreement, it may be noted
Agreement. Therefore, neither NMDC nor CMDC were in that the agreement was signed between
a position to make any such commitment on behalf of the NMDC and CMDC on 01.07.2006 and no
State Government. It was also stated that NMDC-CMDC record is available for the reasons for not
was pursuing with the Government of Chhattisgarh for including the specific condition regarding
adjustment/ refund of the amount. waiver of Registration Charges and Stamp
duty for registering the same mine twice is
Reply of the Management is to be viewed in light of the not known and is not recorded. However, It
fact that CMDC is a public sector undertaking of the may be noted that in view of the reply given
Government of Chhattisgarh and has Secretaries of the by the Registrar of Stamps, Government
Finance Department, the Mineral Resources Department and of Chhattisgarh to the CAG, it is ample
other senior State Government officers of the Government clear that if it cannot be legally waived off,
of Chhattisgarh as members of its Board. Further, the inclusion or non-inclusion of the same in the
Government of Chattisgarh in a specific clarification obtained agreement hardly matters.
by Audit in this regard, stated (June 2021) that the stamp
duty paid in the second instance was not refundable. i) Further, with reference to the letter from
Director General Registrar, Raipur it is clear
Thus, failure of NMDC to include a specific assurance from that the stamp duty and registration charges
Government of Chhattisgarh, through CMDC, regarding paid by NMDC-CMDC limited is as per the
waiver of registration charges and stamp duty in the Article 63 of Schedule 1 A of Stamp Act, and
Shareholders cum Joint Venture Agreement resulted in cannot be refunded. However, NMDC are still
avoidable expenditure of Z48.36 crore. pursuing with the Govt of CG for refund of
The Audit paragraph was issued to the Ministry in August double stamp duty and registration charges.
2021; their response was awaited. The latest letter issued on 25.11.2021 is
attached as Annexure-V.
The last ATN forwarded to the Ministry vide
letter dated 02.03.2022 .
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5 Para No. Return on Capital Employed (ROCE): Return on Capital Employed is a derivative of Average Selling
1.4.2 in ROCE is a ratio that measures a company’s Price (ASR) of Iron Ore and Sales Quantity.
C&AG profitability and the efficiency with which its In FY 2019-20, average selling price of Iron Ore was reduced
Report capital is employed. ROCE is calculated by from ` 3, 708/Ton to ` 3, 671/Ton and sales quantity was
No.12 of dividing a company’s earnings before interest reduced from 323.57 LT to 315.14 LT due to non-renewal
2021 for and taxes (EBIT) by the capital employed33. of mining lease of Donimalai Complex by Government of
the year The CPSE wise details of ROCE are given in Karnataka.
2019-20. Annexure-IX. However, in 2020-21 ROCE has increased as compared to
The consolidated ROCE of 425 Government 2019-20 from 23.82% to 31.98% due to increase in average
companies and corporations34 during the selling price from ` 3,671/Ton to ` 4,581/Ton and also due
period from 2017-18 to 2019-20 is given in to increase in sales quantity from 315.14 LT to 332.52 LT as
Table 1.16. shown in the below table:
Table 1.16: Return on Capital Employed
Capital Sales
EBIT ROCE ASR
Capital Year Employed Qty
EBIT ROCE (` In Cr) (%) (Rs/T)
employed (` In Cr) (LT)
Year (` in (in per
(` in
crore) cent) 2017-18 6216.32 23327.83 26.65 3185 360.75
crore)
2017-18 291064 2469196 11.79 2018-19 7238.83 25951.53 27.89 3708 323.57
2018-19 307096 2933856 10.47 2019-20 6132.31 25745.93 23.82 3671 315.14
2019-20 210823 3304146 6.38 2020-21 8918.44 27889.22 31.98 4581 332.52
A consistent decreasing trend in ROCE of In addition to the above mentioned reply, it is to mention here
Government companies and corporations was that ROCE has improved in 2020-21 compared to 2019-20.
observed during the last three years from
2017-18 to 2019-20. ROCE in the year 2019-20
decreased significantly in comparison to that
for the year 2018-19 due to decrease in EBIT
and increase in capital employed.
ROCE in respect of Monopoly and Non-
monopoly CPSEs is given in Table 1.17.

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Table 1.17: ROCE of Monopoly vs. Non -monopoly CPSEs In view of the above findings, Audit may be requested not to
pursue the above para further.
Monopoly Non-monopoly
The last ATN forwarded to the Ministry vide letter dated
Year ROCE ROCE 19.05.2022.
No. of Capital No. of Capital
NMDC LIMITED
EBIT (in EBIT (in
CPSEs Employed CPSEs Employed
percent) percent)
2017-18 57 1,16,170 6,72,097 17.28 340 1,74,894 17,97,099 9.73
2018-19 58 1,14,218 8,73,884 13.07 347 1,92,878 20,59,972 9.36
2019-20 61 67,689 973,990 6.95 364 1,43,134 23,30,156 6.14
It was observed that ROCE of monopoly Government companies and corporations
was higher than that of non-monopoly Government companies and corporations
during the last three years from 2017-18 to 2019-20. ROCE of monopoly
Government companies and corporations decreased significantly in the year
2019-20 in comparison to that for the year 2018-19 mainly due to decrease in EBIT
and increase in capital employed.
6 Para No. Return on Equity (ROE): Return on Equity is a derivative of Average Selling Price (ASR)
1.4.3 in of Iron Ore and Sales Quantity.
ROE is a measure of financial performance of companies calculated by dividing
C&AG net income by shareholders' equity. The CPSE wise details of ROE are given in In FY 2019-20, average selling price of Iron Ore was reduced
Report from ` 3, 708/Ton to ` 3, 671/Ton and sales quantity was
Annexure-X. The consolidated ROE of 425 Government companies and corporations
No.12 of reduced from 323.57 LT to 315.14 LT due to non-renewal
during the period from 2017-18 to 2019-20 is given in Table 1.18. of mining lease of Donimalai Complex by Government of
2021 for
Table 1.18: Return on Equity Karnataka.
the year
2019- However, in 2020-21 ROE has increased as compared to 2019-
Net Profit after tax & preference Equity ROE 20 from 14.01% to 22.36% due to increase in average selling
20 . Year
dividend (` in Crore) (` In Crore) (in percent) price from ` 3,671/Ton to ` 4,581/Ton and also due to increase
in sales quantity from 315.14 LT to 332.52 LT as shown in the
2017-18 124449 902640 13.79 below table:
2018-19 135660 963594 14.08 Sales
PAT Equity ROE ASR
2019-20 72182 958191 7.53 Year Qty
(` In Cr) (` In Cr) (%) (Rs/T)
(LT)
It was observed that ROE of 425 Government companies and corporations slightly
increased in the year 2018-19 in comparison to that for the year 2017-18. However, 2017-18 3805.88 23290.18 16.34 3185 360.75
ROE of Government companies and corporations decreased significantly in the year 2018-19 4641.98 25903.81 17.92 3708 323.57
2019-20 in comparison to that for the year 2018-19 mainly due to decrease in net 2019-20 3610.12 25773.25 14.01 3671 315.14
profit.
2020-21 6253.05 27959.51 22.36 4581 332.52
ROE in respect of Monopoly and Non-monopoly CPSEs is given in Table 1.19.
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Table 1.19: ROE of Monopoly Vs. Non-monopoly CPSEs In addition to the abovementioned reply ,it is to mention
here that ROE has improved in 2020-21 compared to
Monopoly Non-monopoly
2019-20 .
Year ROCE ROCE
No. of Capital No. of Capital In view of the above findings, Audit may be requested
EBIT (in EBIT (in
CPSEs Employed CPSEs Employed not to pursue the above para further.
percent) percent)
2017-18 57 4,41,820 67,349 15.24 340 4,60,820 57,101 12.39 The last ATN forwarded to the Ministry vide letter dated
19.05.2022 .
2018-19 58 4,77,224 68,567 14.37 347 4,86,370 67,093 13.79
2019-20 61 5,07,535 32,779 6.46 364 4,50,656 39,403 8.74
It was observed that ROE of monopoly Government companies and corporations
was higher than that of non-monopoly Government companies and corporations
during the years 2017-18 and 2018-19, however the same was lower in 2019-20.
ROE of monopoly Government companies and corporations decreased significantly
in the year 2019-20 in comparison to that for the year 2018-19 mainly due to
decrease in net profit but increase in equity.
Sector wise ROE of Government companies and corporations where total equity of
the sector is more than `10,000 crore during 2019-20 is depicted in Table 1.20.
Table 1.20: ROE of sectors with total equity of `10,000 crore and
Sl ROE during ROE during ROE during

Sector
No. 2019-20 2018-19 2017-18
1 Petroleum 3.40 15.99 16.77

2 Power 12.88 13.22 12.95
3 Transportation services -17.65 -18.04 -5.69
4 Financial services 18.33 24.46 25.96
5 Coal & Lignite 65.40 72.46 43.02
6 Minerals & Metals 10.22 17.95 15.33
7 Insurance -17.19 -3.34 8.61
8 Heavy Industry -5.85 3.77 3.68
9 Steel -15.27 16.04 -11.73
10 Transport Equipment 22.89 24.87 17.12

147
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7. Para No. Allocation of funds The Companies Act 2013 inter alia specifies that the Board
4.5.2.1 As per Section 135(5) of the Act, the Board shall ensure that the company of every Company shall ensure that the Company spends at
in C&AG spends annually two per cent of average net profit of three immediate least 2% of average net profit of preceding three years on
Report preceding financial years in pursuance of its CSR policy. In this regard, Audit CSR .
NMDC LIMITED
No.12 of observed that the selected 95 CPSEs allocated ` 4,298.13 crore against NMDC as a responsible Corporate Citizen has been
2021 for the minimum ` 3,949.70 crore required in terms of two per cent of average allocating more than the minimum stipulated 2% based on
the year net profit calculated as per Section 198 of the Act. Thus, there was excess the requirement of development needs of the surrounding
2019- allocation of ` 348.43 crore compared to the minimum requirement (Annexure areas of its Projects, which are located in some of the most
20 . XXVIII A). Twenty-nine CPSEs allocated more than the minimum two per cent, underdeveloped areas of the Country
the excess allocation being ` 351.95 crore and three CPSEs allocated less DPE Guidelines on CSR dtd. 1st November,2011 has advised
than two per cent, the shortfall in allocation being ` 3.53 crore. Sixty CPSEs that administrative Ministries /Department/CPSEs may
allocated the minimum required two per cent CSR funds (Annexure XXVIII seek advise on CSR Models from NMDC(Copy enclosed) .
B). Three CPSEs viz. Air India Express Limited, India Infrastructure Finance
In view of the above findings, Audit may be requested not to
Company Limited and Fertilizers & Chemicals Travancore Limited did not
pursue the above para further.
allocate funds on account of negative net profit under Section 198 but incurred
CSR expenditure. Audit noticed the following cases on improper determination The last ATN forwarded to the Ministry vide letter dated
of the CSR expenditure under Section 198 of the Act. 19.05.2022.
Further Query : Reason for allocation of more than 2% CSR fund as mentioned
in the C&AG Report No. 12 of 2021 may be furnished .
8 Para No. Adding back of CSR expenditure while calculating the net profit under Section NMDC is complying with requirements of Section 198 of the
4.5.2.1(a) 198 Companies act regarding the manner of calculation of net
in C&AG profit which is adopted for determining the CSR expenditure
Section 198 of the Act elaborates the manner of calculation of net profit which for a year which is 2% of PBT (as per the average of three
Report is adopted for determining CSR expenditure for a year. Audit observed that preceding financial year). The PBT and CSR thereon after
No.12 of while the section mentions particularly the expenses and incomes which are adding CSR to PBT is given as under:
2021 for allowed as deduction, it does not explicitly state whether the CSR expenditure
the year Year PBT CSR PBT (after adding back of CSR)
incurred in the preceding three years and already deducted while drawing the
2019-20 . financial statements of the company is allowed to be deducted or not from the 2016-17 4292.92 174.18 4467.10
net profit. If it is not allowed as deduction, then it has to be added back while 2017-18 6178.99 169.37 6348.36
calculating net profit for the preceding three financial years. Audit observed 2018-19 7198.42 167.24 7365.66
that CPSEs are following different practices in respect of CSR expenditure while
Average 6060.37
calculating the net profit under Section 198 of the Act. As per the information
received in respect of 26 CPSEs out of 95 CPSEs, nine CPSEs have added back CSR (2%) 121.21
the CSR expenditure while calculating the net profit resulting in allocation of As it can be observed from the above table, that even after
CSR expenditure higher by ` 11.95 crore whereas, 17 CPSEs have not added revising the PBT i.e. after adding back the CSR expenditure
to the PBT, NMDC has spent an amount of ` 199.99 crore i.e.
back the CSR expenditure resulting in allocation of CSR expenditure less by more than 2% of the average revised PBT for immediately
` 23.47 crore (Annexure XXIX). The clarification given by the CSR committee preceding three financial years.
of the ICAI in April 2020 stated that the net profit is to be calculated after The last ATN forwarded to the Ministry vide letter dated
deducting CSR expenditure. 22.04.2022 .
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9 Para No Utilisation of Funds The Companies Act 2013 inter alia specifies that
4.5.2.2 Section 135(5) of the Act states that the the Board of every Company shall ensure that the
in C&AG Board shall ensure that the company Company spends at least 2% of average net profit of
Report spends, in every financial year, at least two preceding three years on CSR .
No.12 of per cent of average net profit of preceding NMDC as a responsible Corporate Citizen has been
2021 for three years. DPE also advised (August spending more than the minimum stipulated 2%
the year 2016) that all efforts should be made by based on the requirement of development needs
2019-20 . CPSEs to fully utilize the allocated CSR of the surrounding areas of its Projects, which are
funds for the year. located in some of the most underdeveloped areas of
Audit observed that against the prescribed the Country .
two per cent amount of `3,949.70 crore DPE Guidelines on CSR dtd. 1st November,2011 has
and allocation of `4,298.13 crore, 95 advised that administrative Ministries /Department/
CPSEs incurred CSR expenditure of CPSEs may seek advise on CSR Models from NMDC
`5,033.96 crore. (Copy enclosed).
Thus, the CPSEs incurred additional In view of the above findings, Audit may be requested
`1,084.26 crore, over the prescribed not to pursue the above para further.
minimum two per cent during the year. The last ATN forwarded to the Ministry vide letter
Sixty-seven CPSEs incurred `1,174.38 dated 19.05.2022 .
crore more than minimum required two
per cent, of which four CPSEs viz. Coal
India Limited (`163.24 crore), Bharat
Petroleum Corporation Limited (`146.59
crore), Power Grid Corporation of India
Limited (`136.29 crore) and Rural
Electrification Company Limited (`101.71
crore) contributed `547.83 crore to the
excess spending (Annexure XXVIII A).
• 10 CPSEs incurred prescribed
minimum expenditure of two per cent
CSR funds (`557.45 crore) during the
financial year.
• Shortfall was reported by18 CPSEs71
amounting to `90.13 crore, which was
in the range of 2.4 per cent to 100
per cent. Power Finance Corporation
Consulting Limited did not spend the
allocated amount of `1.17 crore (100
per cent shortfall).The Company replied
that the shortfall in CSR expenditure
was due to COVID 19 lockdown.
Audit observed that the lockdown was
imposed only at the end of the year
2019-20, which should not have impacted
CSR expenditure for the entire year.

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10 Para No Implementation of DPE guidelines on It is to affirm that NMDC has achieved the prescribed
4.5.2.8 common theme 60% of CSR expenditure on the Common Theme Area
in C&AG DPE issued (December 2018) guidelines of School Education and Health & Nutrition w.r.t
Report for utilization of CSR funds in a focused 2019-20.
No.12 of manner towards national priorities by The last ATN forwarded to the Ministry vide letter
2021 for adopting theme based approach every dated 22.04.2022.
the year year. The guidelines envisaged around 60
2019-20. per cent of annual CSR expenditure on
common theme and preference was to
be given for incurring expenditure in the
aspirational districts. DPE communicated
common theme, ‘School Education, Health
care and Nutrition’ for the year 2019-20
vide OM dated 29 May 2019.
While 53 CPSEs could achieve the
prescribed target of 60 per cent CSR
expenditure on common theme, 29 CPSEs
incurred CSR expenditure less than the
target and 8 CPSEs did not incur any
amount on the common theme. Data
for the remaining five CPSEs was not
available. CPSEs incurred `3,052.75 crore
on the common theme during the year
(Annexure XXXII).
As regards preference while incurring
CSR expenditure on common theme at
aspirational districts, data in respect
of 85 CPSEs was available, of which 34
CPSEs incurred less than 25 per cent in
the aspirational districts, 19 CPSEs did
not incur any amount and expenditure
incurred by 32 CPSEs was above 25 per
cent at the aspirational districts. Data in
respect of 10 CPSEs was not furnished.
150 NMDC LIMITED

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11 Para No Conduct of base line survey and In relation to the above observation it is to mention
4.5.3.1 assessment that a majority i.e. more than 75% of NMDC’s CSR
in C&AG Out of 95 CPSEs, 50 CPSEs had activities are taken up in partnership with the State
Report undertaken baseline survey and need Authorities. These activities are undertaken based
No.12 of assessment studies for identifying the on a detailed consultative process, which starts at
2021 for CSR project/ activity in respect of 8,264 the grass root Panchayat level, extends upto the
the year projects. 37 CPSEs did not conduct level of the District Administrative and even the
2019-20 . baseline survey and need assessment Chief Secretary in the case of Chhattisgarh State,
studies and 8 CPSEs did not furnish the where more than 80% of the CSR activities are being
data (Annexure XXXIII). implemented. It is also to be mentioned that the above
works/activities are in line with District Development
Plan of the districts concerned, as per relevant
State Authorities. As far as the activities undertaken
through NGOs/VOs/Service providers (which is less
than 5% of the total No. of activities) is concerned,
the need assessment is done through a due diligence
process, which is incorporated in the Company’s CSR
policy and in so far as activities directly implemented
by the company is concerned, the laid down procedure
is adopted for selection of initiatives.
It is to submit that in view of the existence of the
above established processes, no specific Base line
study was undertaken.
The last ATN forwarded to the Ministry vide letter
dated 22.04.2022.

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12 Para No Manner of Implementation of CSR In relation to the activities undertaken in the year
4.5.3.2 activities under discussion i.e. 2019-20, it is to submit that as
in C&AG Rule 4 of Companies (CSR) Rules, 2014 indicated in the reply to the Para No 4.5.3.1, NMDC
Report exclusively deals with the manner in which has undertaken more than 75% of its CSR activities
No.12 of the CSR activity is to be undertaken under in partnership with the State Authorities, around
2021 for Section 135(1) of the Act. The Board may 20% of the works were implemented directly by
the year decide to undertake its CSR activities as NMDC and less than 5% of the balance activities
2019-20. recommended by CSR committee through were implemented through Niti Aayog Darpan
a registered trust/ society or a company portal registered NGOs/VOs etc after examination
established by the CPSE or its holding, of proposals through an established due diligence
subsidiary, or associate company under process.
Section 8 of the Act or otherwise. As per The last ATN forwarded to the Ministry vide letter
the information available for 80 CPSEs, dated 22.04.2022 .
the manner of implementation of 12,914
CSR projects (3,533 projects implemented
directly/ in-house and 9,381 projects
executed through Government/ external
agencies, NGOs, Society) were as follows:
• 5 CPSEs undertook in-house projects
only;
• 17 CPSEs outsourced CSR projects to
external agencies;
• 58 CPSEs had undertaken both, in-
house projects as well as outsourced
CSR projects to external agencies; and
• 7 CPSEs did not undertake any projects
but contributed entire amount to the
funds.
Out of 9,381 projects implemented
through external agencies, CPSEs
had resorted to tendering in respect
of 1,258 projects; 1,015 projects were
undertaken on nomination basis and 7,108
projects were undertaken either through
Government agencies/ institutions, local
bodies/ community based organisations
or on the basis of proposals received
from NGOs/ implementing agencies etc.
Remaining eight CPSEs did not furnish the
information (Annexure XXXIV).
152 NMDC LIMITED

Ten Year Performance
(` In crore)
Ind_ AS Ind_ AS Ind_ AS Ind_ AS Ind_ AS Ind_ AS Ind_AS
2021-2022 2020-2021 2019-2020 2018-19 2017-18 2016-17 2015-16 2014-15 2013-14 2012-13 2011-12
Operating Statistics:
Production
1 Iron Ore (WMT) (in lakh 421.88 341.50 314.89 323.61 355.76 340.05 285.74 304.41 300.25 271.84 272.60
tonnes)
2 Diamonds (Carats) - 13,681.01 28,537.23 38,148.77 39,393.72 35,635.99 35,558.31 35,085.46 37,081.70 31,533.39 18,043.44
3 Sponge Iron (in tonnes) - - - 2,475.37 - 5,474.11 6,614.26 28,993.96 29,734.36 36,289.00 37,259.54
4 Pellets(in Tonnes) 182,298.77 83,751.32 110,481.19 115,622.89 58,070
Sales
1 Iron Ore (WMT) (in lakh 405.64 332.52 315.16 323.56 360.75 356.21 288.39 305.16 305.00 262.74 273.01
tonnes)
2 Diamonds (Carats) 25,218.95 22,248.84 33,722.90 29,345.54 33,175.34 25,631.46 36,682.93 38,788.58 43,487.63 17,863.00 8,085.00
3 Sponge Iron (in tonnes) - - 1,943.88 495.58 - 8,579.42 8,364.52 25,191.38 30,572.34 37,600.00 33,732.00
4 Pellets(in Tonnes) 196,971.93 92,773.00 85,793.07 112,010 42,948 -
Financial Statistics:
Income
1 Sales Iron Ore 25,546.66 15,233.70 11,569.00 11,997.98 11,490.93 8,708.90 6,327.93 12,197.69 11,899.52 10,558.71 11,167.56
i) Sales Sponge Iron - 4.39 0.94 - 13.13 13.14 48.09 56.01 73.50 65.93
ii) Sales Diamonds 62.93 21.10 34.29 38.86 35.17 41.91 52.61 50.06 49.85 28.51 9.84
iii) Sale of Power 4.99 5.17 5.40 5.51 6.50 7.48 6.30 5.96 1.05 - -
iv) Sales Others - 0.01 0.43 0.52 0.74 0.38 1.78 8.75 5.91 5.60 1.36
v) Sales of Pellet 222.11 73.50 55.55 76.52 25.40
vi) Income from services 45.04 36.58 30.16 32.34 56.17 57.84 55.51 45.86 45.86 37.95 17.20
2 Sales: Other Products and 335.07 136.36 130.22 154.69 123.98 120.74 129.34 158.72 158.68 145.56 94.33
Services ( i to vi)
3 Net Revenue from Operation 25,881.73 15,370.06 11,699.22 12,152.67 11,614.91 8,829.64 6,457.27 12,356.41 12,058.20 10,704.27 11,261.89
4 Other Income 718.33 349.88 513.79 588.30 519.73 908.81 1,809.25 2,265.40 2,094.52 2,238.87 2,016.49
PROFIT
1 EBDITA 13,306.41 9,146.27 6,426.69 7,518.91 6,472.13 4,509.86 4,374.21 9,930.07 9,865.98 9,616.84 10,891.12
2 Depreciation 286.85 227.83 294.38 278.89 256.04 196.18 216.60 162.23 104.93 138.52 130.17
3 Interest 39.06 16.81 9.88 40.32 37.10 20.76 65.59 - 1.85 13.20 1.48
4 PBT 12,980.50 8,901.63 6,122.43 7,198.42 6,178.99 4,292.92 4,092.02 9,767.84 9,759.20 9,465.12 10,759.47
5 Taxes 3,444.16 2,316.59 1,555.33 2,752.48 2,141.39 1,619.92 1,566.06 3,345.98 3,339.12 3,122.75 3,494.08
6 PAT 9,398.48 6,253.05 3,610.12 4,642.11 3,805.88 2,589.14 2,712.22 6,421.86 6,420.08 6,342.37 7,265.39
7 Dividend 4,319.72 2,274.15 1,619.72 1,690.14 1,676.86 1,313.01 4,361.19 3,389.83 3,370.01 2,775.30 1,784.12
8 Dividend % of PAT 46% 36% 45% 36% 44% 51% 161% 53% 52% 44% 25%
FINANCIAL POSITION
1 Equity (^) 293.07 293.07 306.19 306.19 316.39 316.39 396.47 396.47 396.47 396.47 396.47
2 Reserves & Surplus 34,550.90 29,463.07 27,227.76 25,645.34 24,037.44 22,202.55 28,721.12 31,935.27 29,591.83 27,114.49 24,009.89
3 Gross Fixed Assets 5,920.74 4,795.71 4,479.41 3,681.38 3,368.53 2,406.26 2,170.98 2,944.65 2,769.91 2,581.95 2,388.12
4 Net Fixed Assets 3,966.03 3,118.45 3,016.73 2,720.69 2,671.70 1,952.81 1,918.45 1,333.69 1,362.28 1,264.66 1,188.80
5 Other Assets(intangible) - - - - - 5.37 5.37 6.24 10.07
6 Capital Work-in-Progress 18,299.69 17,128.10 15,501.20 13,792.45 12,519.90 11,831.36 9,722.88 7,710.03 5,276.89 3,236.09 1,494.16
7 Current Assets 15,775.06 10,548.12 6,874.30 7,963.98 8,839.45 8,584.95 18,764.55 23,889.76 23,861.19 25,592.18 23,195.21
8 Current Liabilities 6,931.62 5,402.26 2,776.60 3,062.06 3,541.17 2,571.92 3,200.32 1,989.00 1,340.82 3,235.68 2,105.13
9 Deferred Tax Asset 530.95 408.28 397.06 582.73 385.71 453.36 263.17 (98.40) (107.25) (104.49) (100.09)
10 Net Worth 34,843.97 29,756.14 27,533.95 25,951.53 24,353.83 22,518.94 29,117.59 32,326.37 29,982.93 27,504.72 24,396.29
11 Book value per share (`) (^) 118.89 101.53 89.92 84.76 76.97 71.17 73.44 81.54 75.62 69.37 61.53
12 Earning per share (`) (^) 32.07 20.62 11.79 14.70 12.03 7.22 6.84 16.20 16.19 16.00 18.33
13 Valued added per emp 300.30 212.46 155.11 173.89 167.76 117.46 86.89 182.23 178.54 159.04 167.10
(` In lakhs)
(^) During 2008-09, Equity share splitted from ` 10/- per share to ` 1/- per share and Bonus shares issued in the ratio of 1:2

154 NMDC LIMITED
REVISED INDEPENDENT AUDITOR’S REPORT
(Issued consequent to Audit enquiry dated: 20th July generally accepted in India, of the state of affairs of
2022 by office of the Director General of Commercial the Company as at March 31, 2022, and its profit, other
audit, AG’s Office Complex, Saifabad, Hyderabad, and it comprehensive income, changes in equity and its cash
supersedes our Independent audit report dated: 26th May, flows for the year ended on that date.
2022)
Basis for Opinion
To
We conducted our audit in accordance with the standards
The Members
on Auditing (SAs) specified under section 143(10) of the
NMDC Limited Act. Our responsibilities under those Standards are
Report on the Audit of the Standalone Financial further described in the Auditor’s Responsibilities for
Statements the Audit of the Standalone financial statements section
of our report. We are independent of the Company in
Opinion accordance with the Code of Ethics issued by the Institute
We have audited the accompanying standalone financial of Chartered Accountants of India (“ICAI”) together
statements of NMDC Limited (hereinafter referred to as with the ethical requirements that are relevant to our
“the Company”), which comprise the Standalone Balance audit of the standalone financial statements under the
Sheet as at March 31, 2022, the Standalone Statement of provisions of the Act and the Rules made
Profit and Loss (including Other Comprehensive Income), thereunder, and we have fulfilled our other ethical
the Standalone Statement of Changes in Equity and the responsibilities in accordance with these requirements
Standalone Cash flow statement for the year then ended, and the ICAI’s Code of Ethics. We believe that the audit
and notes to the Standalone financial statements, evidence we have obtained is sufficient and appropriate
including a summary of significant accounting policies to provide a basis for our audit opinion on the standalone
and other explanatory information (hereinafter referred financial statements.
to as the “standalone financial statements”).
Key Audit Matters
In our opinion and to the best of our information and
according to the explanations given to us, the aforesaid Key audit matters are those matters that, in our
standalone financial statements give the information professional judgment, were of most significance in
required by the Companies Act, 2013 (“the Act”) in our audit of the standalone financial statements of
the manner so required and give a true and fair view the current period. These matters were addressed
in conformity with the Indian Accounting Standards in the context of our audit of the standalone financial
prescribed under section 133 of the Act read with the statements as a whole, and in forming our opinion
Companies (Indian Accounting Standards) Rules, 2015, thereon, and we do not provide a separate opinion on
as amended, (“Ind AS”) and other accounting principles these matters.
Sr. No Key Audit Matter How our audit addressed the key audit matter
1 Capital Work-in progress (NISP): Our audit procedures included the following:
(Refer Note No.2.2, 2.2.1, 2.2.2, 2.2.3 & 2.2.4 of the We obtained an understanding and evaluation of the
standalone financial statements) system of internal control over the capital work in
Capital Work-in progress (CWIP) as on 31.03.2022 progress with reference to identification and testing
in the books of the unit is ` 17,045.14 Crores, out of of key controls.
which Incidental expenditure during Construction We have assessed the progress of the project and
(IEDC) amounts to ` 2610.44 Crores. examined the management view on delay in project
Since the amount involved is substantial and the completion.
original schedule date of completion has passed, We also assessed the intention and ability of the
inappropriate classification of IEDC could result in management to carry forward and bring the asset to
material misstatement of CWIP and hence this is a its state of intended use.
key audit matter. Based on the above procedures performed, we
did not identify any significant exceptions in the
management’s assessment of Capital Work in
Progress of NISP.

2 Trade Receivables from Monitoring Committee: Our audit procedures included the following:
(Refer Note No.2.8.1 & 2.34.6 of the standalone We analyzed the ageing of trade receivables.
financial statements) We obtained the list of long outstanding receivables
As at 31st March 2022, current financial assets in from the monitoring committee and assessed
respect of trade receivables includes receivables the recoverability of these through inquiry
from monitoring committee as specified in aforesaid with management and by obtaining sufficient
notes. corroborative evidence to support these conclusions.
Trade receivables from Monitoring committee is a Based on the above procedures performed, we
key audit matter due to the size of the receivable did not identify any significant exceptions in the
and involvement of management judgement in management’s assessment and presentation of
determining the impairment provision trade receivables and impairment provision thereof.
3 Mine Closure Obligation (MCO): Our audit procedures included the following:
(Refer Note-1(x) and Note no. 2.14.4 to the We have reviewed the recommendations of the
standalone financial statement) committee for mine closure obligations.
The company creates Mine closure obligation (MCO) We have reviewed the methodology to arrive at the
liability based on the present cost of closure of liability for mine closure obligation at a rate per MT
mining project of the latest mine. The rate of closure on the cumulative RoM quantity for mine closure
arrived at based on such cost is uniformly applied to obligations.
other mines for arriving at the total MCO liability. We have verified the arithmetical accuracy of the
The matter was considered to be a key audit mine closure obligation provision based on the
matter because there is estimate involved as per recommendation of the committee.
management’s policy Based on the above procedures performed, we
management’s assessment in Mine closure
obligation provision
4 Investment in Legacy Iron Ore Ltd., Australia (LIOL) Our audit procedures included the following:
(Refer Note No. 2.4.1 & 2.34.10 of the standalone We performed inquiries of management about the
financial statements) current market conditions supporting the evaluation
The Company accounts for equity investments in of potential impairment indicators, tested the key
subsidiaries, associates and joint ventures at cost assumptions used, and performed procedures on
(subject to impairment assessment) and other LIOL’s stage of exploration.
investments at fair value. We evaluated the review conducted by LIOL on the
The company has equity investments in LIOL as Exploration and Evaluation assets for impairment
referred in above notes. and the conclusion derived after testing of
compliance of certain critical conditions.
The accounting for investments in LIOL is a Key
Audit Matter as the determination of recoverable We have also considered the averment that the
value for impairment assessment/fair valuation Market capitalization is more than its Net asset
involves significant management judgement. Based on the above procedures performed, we
management’s assessment in relation to the
carrying value of equity investments in LIOL
Emphasis of Matter of ` 600 Crores under protest and filed writ petition
in the Hon’ble High court of Bilaspur, Chhattisgarh
We draw your attention to the followings forming part of and a Revision application with Mines Tribunal,
the financial statements without modifying our opinion in Ministry of mines, Government of India and
respect of: disclosure of contingent liability as mentioned in
i. Note No: 2.34.7, regarding show cause notice the said note.
having been served on Baildilla Project by the ii. Note no.2.34.15(ii) of Notes forming part of
District collector, South Bastar, Dantewada accounts for the period ended 31st March 2022
pursuant to judgment of Honorable Supreme which describes balance of trade receivables
court of India with the demand of ` 1623.44 Crores payables are subject to confirmation/reconciliation
against which company has paid an adhoc amount and consequential adjustment, if any.
156 NMDC LIMITED

iii. Note No: 2.34.11, regarding test of impairment of fair view of the financial position, financial performance
investment and Loan to Neelachal Ispat Nigam including other comprehensive income, cash flows and
Ltd (NINL), Cabinet Committee on Economic changes in equity of the Company in accordance with the
Affairs (CCEA) had accorded in principle approval Indian Accounting Standards (Ind-AS) prescribed under
for strategic disinvestment of 100% shareholding section 133 of the Act, read with the Companies (Indian
of NMDC and other Public Sector Undertakings Accounting Standards) Rules, 2015, as amended, and
(PSUs) along with transfer of Management other accounting principles generally accepted in India
control to a Strategic Buyer and as per the loan
This responsibility also includes maintenance of
agreement dated 30th December 2019, the loan
adequate accounting records in accordance with the
amount outstanding along with interest shall
provisions of the Act for safeguarding of the assets of
be paid back to NMDC as first charge from the
the Company and for preventing and detecting frauds
disinvestment proceeds as per the applicable laws
and other irregularities; selection and application of
before payment of other liabilities of NINL. TATA
appropriate accounting policies; making judgments
Steel Long Products (TSLP) has purchased the
and estimates that are reasonable and prudent; and
NINL at a price of ` 12,100 Crores and Govt has
design, implementation and maintenance of adequate
already signed share sale and purchase agreement
internal financial controls, that were operating effectively
on 10th March 2022. Total assets of NINL is more
for ensuring the accuracy and completeness of the
than the total liabilities. In view of high bid by TSLP,
accounting records, relevant to the preparation and
management has felt no impairment of investment
presentation of the standalone financial statements
and Loan to NINL is necessary as explained in the
that give a true and fair view and are free from material
said note.
misstatement, whether due to fraud or error.
iv. Note No:2.34.3, regarding the demerger of NMDC
In preparing the financial statements, the Board of
Iron & Steel Plant (NISP) which is in progress.
Directors is responsible for assessing the Company’s
Our opinion is not modified in respect of these matters. ability to continue as a going concern, disclosing, as
applicable, matters related to going concern and using
Information Other than the Standalone Financial
the going concern basis of accounting unless the Board
Statements and Auditor’s Report Thereon
of Directors either intends to liquidate the Company or
The Company’s Management and Board of Directors to cease operations, or has no realistic alternative but to
are responsible for the other information. The other do so.
information comprises the information included in the
The Board of Directors are also responsible for
Management Discussion and Analysis, Board’s Report
overseeing the Company’s financial reporting process.
including Annexures to Board’s Report, Business
Responsibility Report, Corporate Governance Report, Auditor’s Responsibility for the Audit of the Standalone
and Shareholder Information, but does not include the Financial Statements
standalone financial statements and our auditor’s report
Our objectives are to obtain reasonable assurance
thereon.
about whether the financial statements as a whole
Our opinion on the standalone financial statements does are free from material misstatement, whether due to
not cover the other information and we do not express fraud or error, and to issue an auditor’s report that
any form of assurance conclusion thereon. includes our opinion. Reasonable assurance is a high
level of assurance, but is not a guarantee that an audit
In connection with our audit of the standalone financial
conducted in accordance with SAs will always detect a
statements, our responsibility is to read the other
material misstatement when it exists. Misstatements can
information and, in doing so, consider whether the
arise from fraud or error and are considered material if,
other information is materially inconsistent with the
individually or in the aggregate, they could reasonably
standalone financial statements or our knowledge
be expected to influence the economic decisions of
obtained during the course of our audit or otherwise
users taken on the basis of these standalone financial
appears to be materially misstated.
statements.
If, based on the work we have performed, we conclude
As part of an audit in accordance with SAs, we exercise
that there is a material misstatement of this other
professional judgment and maintain professional
information, we are required to report that fact. We have
skepticism throughout the audit. We also:
nothing to report in this regard.
• Identify and assess the risks of material
Management’s Responsibility for the Standalone
misstatement of the standalone financial
Financial Statements
statements, whether due to fraud or error, design
The Company’s Management and Board of Directors and perform audit procedures responsive to those
are responsible for the matters stated in section 134(5) risks, and obtain audit evidence that is sufficient
of the Act, with respect to the preparation of these and appropriate to provide a basis for our opinion.
standalone financial statements that give a true and The risk of not detecting a material misstatement

resulting from fraud is higher than for one should not be communicated in our report because the
resulting from error, as fraud may involve collusion, adverse consequences of doing so would reasonably be
forgery, intentional omissions, misrepresentations, expected to outweigh the public interest benefits of such
or the override of internal control. communication.
• Obtain an understanding of internal financial Other Matter
controls relevant to the audit in order to design
We did not audit the financial statements and other
audit procedures that are appropriate in the
financial information of 6 branches included in the
circumstances. Under section 143(3)(i) of the Act,
accompanying standalone financial statements of
we are also responsible for expressing our opinion
the Company whose financial statements/financial
on whether the Company has adequate internal
information reflect total assets of ` 31,820.72 Crores
financial controls system in place and the operating
as at March 31, 2022 and total revenues of ` 26,221.39
effectiveness of such controls.
Crores for the year ended on that date. The financial
• Evaluate the appropriateness of accounting statements and other financial information of these
policies used and the reasonableness of accounting branches have been audited by the branch auditors
estimates and related disclosures made by whose reports have been furnished to us, and our opinion
management. in so far as it relates to the amounts and disclosures
included in respect of these branches, is based solely
• Conclude on the appropriateness of management’s
on the report of such branch auditors. Our opinion is not
use of the going concern basis of accounting and,
qualified in respect of this matter.
based on the audit evidence obtained, whether a
material uncertainty exists related to events or Report on Other Legal and Regulatory Requirements
conditions that may cast significant doubt on the
1. As required by Section 143 (3) of the Act, based on
Company’s ability to continue as a going concern.
our audit we report that;
If we conclude that a material uncertainty exists,
we are required to draw attention in our auditor’s a) We have sought and obtained all the
report to the related disclosures in the standalone information and explanations which to
financial statements or, if such disclosures are the best of our knowledge and belief were
inadequate, to modify our opinion. Our conclusions necessary for the purposes of our audit;
are based on the audit evidence obtained up to the b) In our opinion, proper books of account
date of our auditor’s report. However, future events as required by law have been kept by the
or conditions may cause the Company to cease to Company so far as it appears from our
continue as a going concern. examination of those books and proper
• Evaluate the overall presentation, structure and returns adequate for the purposes of our
content of the standalone financial statements, audit have been received from the branches
including the disclosures, and whether the not visited by us.
standalone financial statements represent the c) The reports on the accounts of the branch
underlying transactions and events in a manner offices of the Company audited under Section
that achieves fair presentation. 143(8) of the Act by branch auditors have
We communicate with those charged with governance been sent to us and have been properly dealt
regarding, among other matters, the planned scope with by us in preparing this report.
and timing of the audit and significant audit findings, d) The Standalone Balance Sheet, the
including any significant deficiencies in internal control Standalone Statement of Profit and Loss
that we identify during our audit. (including other comprehensive income),
We also provide those charged with governance with Standalone Statement of changes in equity
a statement that we have complied with relevant and the Standalone Statement of Cash Flow
ethical requirements regarding independence, and to dealt with by this Report are in agreement
communicate with them all relationships and other with the books of account and with the
matters that may reasonably be thought to bear on our returns received from the branches not
independence, and where applicable, related safeguards. visited by us.
From the matters communicated with those charged with e) In our opinion, the aforesaid standalone
governance, we determine those matters that were of financial statements comply with the Indian
most significance in the audit of the standalone financial Accounting Standards specified under
statements of the current period and are therefore the Section 133 of the Act, read with Rule 7 of the
key audit matters. We describe these matters in our Companies (Accounts) Rules,2014.
auditor’s report unless law or regulation precludes f) The provisions of Section 164(2) of the Act,
public disclosure about the matter or when, in extremely in respect of disqualification of directors
rare circumstances, we determine that a matter are not applicable to the company, being a
158 NMDC LIMITED

Government company in terms of notification manner whatsoever (“Ultimate
no:- G.S.R.463(E) dated 5th June 2015 issued Beneficiaries”) by or on behalf of
by Ministry of Corporate Affairs, Government the Company or
of India.
• Provide any guarantee, security
g) With respect to the adequacy of the internal or the like to or on behalf of the
financial controls over financial reporting of Ultimate Beneficiaries.
the Company and the operating effectiveness
ii. The management has represented, that,
of such controls, refer to our separate Report
to the best of its knowledge and belief,
in “Annexure -A”.
no funds have been received by the
h) With respect to the other matters to be Company from any persons or entities,
included in the auditor’s report in accordance including foreign entities (“Funding
with the requirements of Section 197(16) of Parties”), with the understanding,
the Act, as amended: whether recorded in writing or
otherwise, that the Company shall:
We are informed that the provisions of
section 197 read with Schedule V of the • Directly or indirectly, lend
Act, relating to managerial remuneration or invest in other persons
are not applicable to the company, being a or entities identified in any
Government Company, in terms of Ministry manner whatsoever (“Ultimate
of Corporate Affairs notification no- G.S.R.(E) Beneficiaries”) by or on behalf of
5th June 2015. the Funding Party or
i) With respect to the other matters to be • Provide any guarantee, security or
included in the Auditor’s Report in accordance the like form or on behalf of the
with Rule 11 of the Companies (Audit and Ultimate Beneficiaries; and
Auditors) Rules, 2014, as amended, in our
iii. Based on such audit procedures as
opinion and to the best of our information and
considered reasonable and appropriate
according to the explanations given to us:
in the circumstances, nothing has come
a. The Company has disclosed the impact to our notice that has caused us to
of pending litigations on its financial believe that the representations under
position in its Standalone Financial sub-clause (d) (i) and (d)(ii) contain any
Statements – Refer Note 2.31to the material mis-statement.
financial statements
e. The Dividend declared or paid during the year
b. The company has made provisions, by the Company is in compliance with Section
as required under the applicable law 123 of the Act.
or accounting standards, for material
2. As required by the Companies (Auditor’s Report)
foreseeable losses, if any, on long-term
Order, 2020 (“the Order”) issued by the Central
contracts.
Government of India in terms of Section 143(11) of
c. There has been no delay in transferring the Act, we give in “Annexure B” a statement on
amounts, required to be transferred, to the matters specified in paragraphs 3 and 4 of the
the Investor Education and Protection Order, to the extent applicable.
Fund by the company.
3. We are enclosing our report in terms of section
d. i. The management has represented 143(5) of the Act, on the basis of such checks of
that, to the best of its knowledge and books and records of the company as we consider
belief, no funds have been advanced appropriate and according to the information and
or loaned or invested (either from explanations given to us, in “Annexure-C” on the
borrowed funds or share premium or directions issued by the Comptroller & Auditor
any other sources or kind of funds) General of India.
by the Company to or in any other
persons or entities, including foreign
entities (“Intermediaties”) with the For Sagar & Associates
understanding, whether recorded Chartered Accountants
in writing or otherwise, that the (Firm’s Registration No: 003510S)
Intermediary shall:
CA. B. Srinivasa Rao
• Directly or indirectly lend Partner
or invest in other persons Place: Hyderabad Membership No.202352
or entities identified in any Date: 25.07.2022 UDIN: 22202352ANPBHL9428

“Annexure – A” to the Independent Auditors’ Report
(Referred to in paragraph 1(g) under ‘Report on Other operating effectiveness. Our audit of internal financial
Legal and Regulatory Requirements’ section of our controls over financial reporting included obtaining an
report to the Members of NMDC Limited of even date) understanding of internal financial controls over financial
reporting, assessing the risk that a material weakness
Report on the Internal Financial Controls Over Financial
exists, and testing and evaluating the design and
Reporting under Clause (i) of Sub-section 3 of Section
operating effectiveness of internal control based on the
143 of the Companies Act, 2013 (“the Act”)
assessed risk. The procedures selected depend on the
We have audited the internal financial controls over auditor’s judgment, including the assessment of the risks
financial reporting of NMDC Limited (“the Company”) as of material misstatement of the financial statements,
of March 31st, 2022 in conjunction with our audit of the whether due to fraud or error.
standalone financial statements of the company for the
We believe that the audit evidence we have obtained is
year ended on that date.
sufficient and appropriate to provide a basis for our audit
Management’s Responsibility for Internal Financial opinion on the Company’s internal financial controls
Controls system over financial reporting.
The Board of Directors of the Company is responsible for Meaning of Internal Financial Controls over Financial
establishing and maintaining internal financial controls Reporting
based on the internal control over financial reporting
A company’s internal financial control over financial
criteria established by the Company considering the
reporting is a process designed to provide reasonable
essential components of internal control stated in the
assurance regarding the reliability of financial reporting
Guidance Note on Audit of Internal Financial Controls
and the preparation of financial statements for external
over Financial Reporting issued by the Institute
purposes in accordance with generally accepted
of Chartered Accountants of India (‘ICAI’). These
accounting principles. A company’s internal financial
responsibilities include the design, implementation and
control over financial reporting includes those policies
maintenance of adequate internal financial controls that
and procedures that (1) pertain to the maintenance of
were operating effectively for ensuring the orderly and
records that, in reasonable detail, accurately and fairly
efficient conduct of its business, including adherence
reflect the transactions and dispositions of the assets
to the respective company’s policies, the safeguarding
of the company; (2) provide reasonable assurance
of its assets, the prevention and detection of frauds and
that transactions are recorded as necessary to permit
errors, the accuracy and completeness of the accounting
preparation of financial statements in accordance
records, and the timely preparation of reliable financial
with generally accepted accounting principles, and
information, as required under the Act
that receipts and expenditures of the company are
Auditors’ Responsibility being made only in accordance with authorizations of
management and directors of the company; and (3)
Our responsibility is to express an opinion on the
provide reasonable assurance regarding prevention or
internal financial controls over financial reporting of
timely detection of unauthorised acquisition, use, or
the Company based on our audit. We conducted our
disposition of the company's assets that could have a
audit in accordance with the Guidance Note on Audit of
material effect on the financial statements.
Internal Financial Controls over Financial Reporting (the
“Guidance Note”) issued by the Institute of Chartered Inherent Limitations of Internal Financial Controls over
Accountants of India and the Standards on Auditing Financial Reporting
prescribed under section 143 (10) of the Companies
Because of the inherent limitations of internal financial
Act, 2013, to the extent applicable to an audit of internal
controls over financial reporting, including the possibility
financial controls. Those Standards and the Guidance
of collusion or improper management override of
Note require that we comply with ethical requirements
controls, material misstatements due to error or fraud
and plan and perform the audit to obtain reasonable
may occur and not be detected. Also, projections of any
assurance about whether adequate internal financial
evaluation of the internal financial controls over financial
controls over financial reporting was established and
reporting to future periods are subject to the risk that
maintained and if such controls operated effectively in all
the internal financial control over financial reporting may
material respects.
become inadequate because of changes in conditions,
Our audit involves performing procedures to obtain audit or that the degree of compliance with the policies or
evidence about the adequacy of the internal financial procedures may deteriorate.
controls system over financial reporting and their
160 NMDC LIMITED

Opinion
In our opinion, to the best of our information and
according to the explanations given to us, the Company
has in all material respects, an adequate internal
financial controls system over financial reporting and
such internal financial controls over financial reporting
were operating effectively as at March 31, 2022, based
on the internal control over financial reporting criteria
established by the Company considering the essential
components of internal control stated in the Guidance
Note on Audit of Internal Financial Controls Over
Financial Reporting issued by the Institute of Chartered
Accountants of India.
For Sagar & Associates

(Firm’s Registration No: 003510S)

Partner
Place: Hyderabad Membership No.202352
Date: 25.07.2022 UDIN: 22202352ANPBHL9428

“Annexure – B” to the Independent Auditors’ Report
(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory Requirements’ section of our report to the
Members of NMDC Limited of even date)
(1) (a) (A) The Company has maintained proper records showing full particulars, including quantitative details and
situation of Property, Plant & Equipment.
(B) The Company has maintained proper records showing full particulars of Intangible assets.
(b) According to the information and explanations given to us and on the basis of our examination of the
records of the Company, the Company has a regular programme of physical verification of its Property,
Plant and equipment by which all the Property, Plant and equipment are physically verified by the
management over a period of three years. In our opinion the periodicity of the physical verification is
reasonable having regard to the size of the company and the nature of fixed assets. In accordance with
this program, certain Property, Plant and equipment were verified during the year and no material
discrepancies have been noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our examination of the records
of the company as to whether the title deeds of immovable properties (other than immovable properties where
the Company is the lessee and the lease agreements are duly executed in favour of the lessee) disclosed in the
financial statements are held in the name of the company, our observations are listed below:
Gross Whether
Period held
carrying promoter,
Description of Held in – indicate Reason for not being held in name of
value director or
property name of range, where company*
(In their relative
appropriate
Crores) or employee
KIRANDUL
Not in the Panchnama done by Railway, Revenue
Land at Madadi
- name of No 31-03-2006 NMDC officials is available with the
Village
Company Project.
Not in the Panchnama done by Railway, Revenue
Railway Land - name of No 29-10-2014 NMDC officials is available with the
Company Project.
Sale Deed available with the
management for total 19.09 Hectares.
Not in the Appeal against the order issued by the
Freehold Land 0.0023 name of No 31-03-1966 Tahsildar, Bade Bacheli is being prepared
Company by the advisor (Revenue) and same will
be submitted before the SDM, Bade
Bacheli.
File has been sent to Head Office for
Not in the approval so that proper application
Revenue Land - name of No can be submitted before district
Company Administration for the allotment of Land.
It is under Progress.
Bacheli
Forest Land This is Forest Land. (MOEF Letter
Forest
for Uniflow Rly. 0.124 No 07-06-2002 No. 8B/007/2002/FCW/1313 dated
Department
Dispatch system 07.06.2002)
Land for Shankhni
Forest This is Forest Land (MOEF clearance
pump House & 0.0103 No 14-03-2002
Department Letter dated 14.03.2002).
pipeline hect 4.68
Lease of Dep- Forest This is Forest Land (MoEF letter dated 10
13.92 No 10-07-2019
10(FO) Department July 2019).
Note :
The Area of Land of 1668.08 Acres i.e 1015.29 Govt Land,569.58 Acre Forest Land and 83.2 Acre Railway Land has been
162 NMDC LIMITED

taken from Govt, Forest and Railway authorities .These land are not in company’s name.
PANNA
Plot No. 1236/3 No comments could be offered for the reason no document were made available for
0.027
Land at Panna our verification.
0.0005
0.0003
0.00074
0.0030
NISP
Requested District Collector Bastar,
to calculate the value from the date of
Land 0.80 Govt. of CG NA 25-05-2010 allotment. However, allotment order dt.
17.05.2010 is in the name of NMDC for
Construction of CSR School
Presently the case is in Hon’ble
Supreme Court of India, in the revenue
Land 0.07 Petitioners NA 01-04-2001 record the land is in favour of 05
petitioners, however the land is in the
possession of NISP
The Area of Land of 22.39 Hectares
(GOVT.LAND) has taken over from
District Industries Centre, Jagdalpur
which is not included in the above
Land Schedule as on 31.03.2022. This
is utilised for construction of Steel
Land - Govt. of CG NA 17-05-2010
Plant near Nagarnar and has been
alloted in the name of NISP , however
the same has not been brought into
the books as the amount payable is not
yet ascertainable in the absence of any
demand from the concerned authorities.
25.720 Hect. The Permission has been obtained from
dt. 25.07.2014, the Govt. Of Chhattisgarh (Forest Dept.)
10.763 Hect dt. for use of Forest land having Area 62.619
Land - Forest Land NA
27.02.2015 & hectares for construction of Steel Plant
26.136 Hect dt. at Nagarnar. But the Land is not in the
24.05.2018 name of NMDC.
HEAD OFFICE
R&D Centre
Lease period completed but lease
(Leased 9.12 Acres
agreement to be extended.
Premises)
PALONCHA
SIU NMDC Ltd,
11.35 Acres Not yet registered
Paloncha
During the survey 2.08 Acres found
SIU NMDC Ltd,
2.08 Acres shortage out of 13.43 Acres is pending
Paloncha
confirmation from APIIC.

(d) According to the information and explanations given to us and on the basis of our examination of the
records of the Company, the Company has not revalued its Property, plant and equipment (including
Right-of-use assets) or Intangible assets or both during the year.
(e) According to the information and explanations given to us and on the basis of our examination of the
records of the Company, there are no proceedings initiated or pending against the Company for holding
any benami property under the Prohibition of Benami Property Transactions Act, 1988 and rules made
thereunder.
(ii) (a) The inventory has been physically verified by the management during the year in our opinion the
frequency of such verification is reasonable and procedures and coverage as followed by management
were appropriate. No discrepancies were noticed on verification between the physical stocks and the book
records that were 10% or more in the aggregate for each class of inventory
(b) According to the information and explanations given to us and on the basis of our examination of the
records of the company, the Company has been sanctioned working capital limits in excess of five crore
rupees, in aggregate, from banks on the basis of security of current assets. In our opinion, the quarterly
returns or statements filed by the company with such banks are in agreement with the unaudited books
of account of the Company of the respective quarters.
(iii) According to the information and explanations given to us and on the basis of our examination of the
records of the Company, the Company has made investments, stood guarantee, granted advances in the
nature of loans, secured or unsecured and the details are given below:
(` In Crores)
S No Particulars Guarantees Investments Loans Advances

A. Aggregate amount granted/provided during the Year:
Subsidiaries --- 0.05 1.24
Joint ventures --- --- 0.01
Associates --- 2.50 2.67
Balance outstanding as at balance sheet date in
B.
respect of above cases:
Subsidiaries --- 216.91 642.22
Joint ventures 504.22 251.03 43.18
Associates --- 519.47 80.52 ---
(b) The Company has not provided any advances in the nature of loans or security to any other entity during
the year.
According to the information and explanations given to us and based on the audit procedures conducted
by us. We are of the opinion that the terms and conditions of the loans given are prima facie, not
prejudicial to the interest of the Company.
(c) According to the information and explanations given to us and on the basis of our examination of the
records of the company, the company has granted loans to one of its associates Neelachal Ispat Nigam
Ltd. The repayment of principal and payment of interests are not received as per due dates stipulated in
loan agreement and the details of which are given below:
Name of entity : Neelachal ispat Nigam Ltd
Amount
S.No Particulars Due date Extent of delay Remarks
(` in crores)
1 Loan 1 50.57 01st Jan 2021 to 31Mar 2022 30 days to 455 days Note 1
2 Loan 2 5.07 01st Jan 2022 to 31Mar 2022 30 days to 90 days Note 2
3 Loan 3 0.52 01st Sept 2021 to 01st Feb 2022 30 days to 60 days Note 3
Note 1 : 15 Monthly installments(principal ` 40.82 crores and interest ` 9.75 crores) are overdue.
164 NMDC LIMITED

(d) According to the information and explanations given to us and on the basis of our examination of the
records of the Company, there is overdue amount for more than ninety days in respect of loans given to
one of associates, Neelalchal Ispat Nigam Ltd and the details of which are given below:
(` In Crores)
No of cases Principal amount Interest overdue Total overdue
1 32.39 9.25 41.64
(e) According to the information and explanation given to us and on the basis of our examination of the
records of the Company, there is no loan given falling due during the year, which has been renewed or
extended of fresh loan given to settle the over dues of existing loans given to the same party.
(f) According to the information and explanation given to us and on the basis of our examination of the
records of the Company, the Company has granted loans or advances in the nature of loans either
repayable on demand or with out specifying any terms or period of repayment to wholly owned
Subsidiaries, Joint venture and Associate companies, which are repayable on demand and the details of
which are given below:
(` In Crores)
Particulars All other parties Related parities Promoters
Aggregate amount of loans/ advances in nature of
loans
A). Repayable on demand 468.70 88.73 ---
B). Agreement does not specify any terms or
-- 688.40 ---
period of repayment
Total (A+B) 468.70 777.13 ---
%age of loans /advances in the nature of loans to
--- 88.58% ---
the total loans
(iv) According to the information and explanation given to us and on the basis of our examination of the
records the Company has not given any loans, or provided any guarantee or security as specified under
section 185 of the Companies Act, 2013 and the Company has not provided any guarantee or security
as specified under section 186 of the Company has compiled with the provisions of section 186 of the
Companies Act, 2013 in relation to loans given and investments made.
(v) The Company has not accepted any deposits or amounts which are deemed to be deposits form the
public. Accordingly, clause 3(v) of the order is not applicable.
(vi) According to the information and expiations given to us, Central Government has prescribed the
maintenance of cost records under section 148(1) of the Companies Act, 2013 for the products
manufactured by it (and or services provided by it). Accordingly, Company is generally maintaining
proper cost records as specified by the Central Government under sub-section (1) of section 148 of the
Companies Act, 2013.
(vii) (a) The Company does not have liability in respect of sales tax. Service tax, Duty of excise and value added tax
during the year since effective 1 July 2017, these statutory dues has been subsumed into GST.
According to the information and explanation given to us and on the basis of our examination of the
records the Company, amounts deducted/ accrued in the books of accounts in respect of undisputed
statutory dues including Goods and Services Tax (‘GST’), provident fund Employees State Insurance,
Income- tax, Duty of customs, Cess and other material statutory dues have generally been regularly
deposited with the appropriate authorities except the following:
i). Donimalai Unit does not collect/remit GST on:
a). Liquidated damage/penalty collected from the suppliers and
b). Interest received from monitoring committee.
ii). Also the branch could not deduct/remit TDS on commission charges levied by Monitoring Committee.
According to the information and explanation given to us, no undisputed amounts payable in respect of
GST, provident fund, Employees State Insurance, Income- tax, Duty of customs, Cess and other material

statutory dues were in arrears as at 31 March 2022 for a period of more than six months from the date
they became payable.
(b) According to the information and explanation given to us, there are no dues of GST, provident fund,
employees State Insurance, Income- tax, Sales tax, Service tax, Duty of Customs, Value added tax, Cess
or other statutory dues which have not been deposited by the Company on accounts of disputes, except
for the following:
Amount
Forum where
Unit Statute Nature of Dues Period (In `
Dispute is Pending
Crore)
1995-96, 1996-97, Hon’ble High Court
Kirandul Export Tax Export Tax 5.83
2008-09 To 2020-21 of Bilaspur
Interest on Export 1995-96, 1996-97, Interest on Hon’ble High Court
14.25
Tax 2008-09 To 2020-21 Export Tax of Bilaspur
1997-98 to 2005-
Conservancy Hon’ble High Court
Conservancy Tax 062014-15 to 1.72
Tax of Bilaspur
2017-18
Hon’ble High Court
Property Tax 2013-14 to 2016-17 Property Tax 77.51
of Bilaspur
The Finance Act,
Service Tax 2017 – 2018 CESTAT, New delhi 0.65
1994
The Finance Act, July’2012 – Service Tax
Service Tax 20.09
1994 June’2014 Appellate Tribunal
2002- 03, Dy. Commissioner
MP Commercial
Commercial Tax 2005-06, of Commercial Tax 1.60
Tax Act,1994
2008-09 (Appeal)
Goods & Services 201718to Hon’ble High Court
GST 8.85
Tax 2019-20 of Bilaspur
DFO, Dantewada Bilaspur bench of
14.06.2002to
and State of Forest Permit Fee Hon’ble High Court, 63.64
31.10.2012
Chhattisgarh Chhattisgarh
Common Cause Hon’ble High Court
MMDR Act 2018-19 317.47
Notice Of Bilaspur
Karnataka Forest Forest 2008-09 to Hon’ble Supreme
Donimalai 243.69
Act 1963 Development Tax 2010-11 Court of India
Central Excise, Service tax on Commissioner
2012 – 13 to
Customs and services provided of Central Excise 0.27
2017-18
Service Tax to CISF (Appeals)
Central Excise, Commissioner
Service Tax on LD 2013 – 14 to
Customs and of Central Excise 0.96
and penalty 2017-18
Service Tax (Appeals)
Super indent of
Indirect taxes and
Trans-1 Credit FY 2017-18 central tax (CGST), 0.49
customs
Hospet
Panna Commercial Tax Sales & Entry tax 2016 – 2017 DCIT, Sagar 0.05
Commercial Tax Sales & Entry tax 2013-14 DCIT, Sagar 0.23
March’2010
Nagarpalika, Hon’ble High Court
Bacheli Export tax to 1.34
Bacheli of Bilaspur
March’2021
Nagar Palika, Hon’ble High Court,
Property Tax 2015-16 26.12
Bacheli Bilaspur
166 NMDC LIMITED

Amount
Forum where
Unit Statute Nature of Dues Period (In `
Dispute is Pending
Crore)
DFO, Dantewada Bilaspur Bench of
14.06.2002 to
and State of Forest Permit Fee Hon’ble High Court, 80.51
31.10.2012
Chhattisgarh Chhattisgarh
Interest on GST for 01.07.2017 to
GST Authority GST Authority 9.30
DMF and NMET 28.02.2020
March’2010
Nagarpalika, Interest on Export Hon’ble High Court
to 1.69
Bacheli tax of Bilaspur
March’2021
Common Cause Hon’ble High Court
High Court 2018-19 705.97
Notice of Bilaspur
Demand cum show
cause Notice for
Service Tax 2007-08 to Service tax
RO Vizag service Tax on 3.35
Authority 2011-12 appellate tribunal
Screening of ore
2007-08 to 2011-12
Service Tax cases
of MMTC for which
amount has to be
Service Tax The matter is in
borne by NMDC 2017-18 2.97
Authority Appeal stage
as per agreement
between MMTC &
NMDC
Custom Duty cases
The case is being
of MMTC for which
heard by Appellate
amount has to be
Commissioner of Authority and is
borne by NMDC 2021-22 1.59
Customs in the process of
as per agreement
going to CESTAT
between MMTC &
Hyderabad
NMDC
DRI cases of
MMTC for which
The case is pending
Directorate amount has to be
with Appellate
of Revenue borne by NMDC 2012-13 2.31
tribunal Hyderabad
Intelligence as per agreement
(CESTAT)
between MMTC &
NMDC
DRI cases of
MMTC for which
Directorate amount has to be
The case is pending
of Revenue borne by NMDC 2011-12 4.18
with AP High Court.
Intelligence as per agreement
between MMTC &
NMDC
(viii) According to the information and explanations give to us and on the basis of our examination of the
records of the Company, the Company has not surrendered of disclosed any transactions, Previously
unrecorded as income in the books of account, in the Tax assessments under the Income-tax Act, 1961 as
income during the year.
(ix) (a) According to the information and explanations give to us and on the basis of our examination of the
records of the Company, The Company has not defaulted in repayment of loans or other borrowings or in
the payment of interest thereon to any lender during the year. Accordingly, clause 3 (ix) (a) of the order is
not applicable.

(b) According to the information and report that no fraud by the Company or on
explanations give to us and on the basis the Company has been noticed or reported
of our examination of the records of the during the course of the audit.
Company, the Company has not been
(b) According to the information and
declared a willful defaulter by any bank
explanations given to us, no report under
of financial institution or government of
sub-section (12) of section 143 of the
government authority.
Company Act, 2013 has been filed by the
(c) According to the information and auditors in Form ADT -4 as prescribed under
explanations give to us by the management, Rule 13 of Companies (Audit and Auditors)
in our opinion, term loans availed by the Rules, 2014 with the central Government.
Company were, applied by the Company
(c) We have taken in to Consideration the
during the year for the purposes for which
whistle blower complains received by the
the loans were obtained.
Company during the year while determining
(d) According to the information and the nature, timing and extent of our audit
explanations given to us and on an overall procedures.
examination of the balance sheet of the
(xii) According to the information and
Company, we report that no funds have been
explanations given to us, the Company is not
raised on short- term basis by the Company.
a Nidhi Company, Accordingly, Clause 3(xii) of
Accordingly, Clause 3(ix) (d) of the Order is
the order is not applicable.
not applicable.
(xiii) In our opinion and According to the
(e) According to the information and
information and explanations given to us,
explanations given to us and on an overall
the transactions with related parties are in
examination of the financial statements of
complains with section 177 and 188 of the
the company. We report that the Company
Companies Act, 2013, where applicable, and
has not taken any funds from any entity
the details of the related party transactions
or person on account of or to meet the
have been disclosed in the standalone
obligation of its subsidiaries as defined
financials statements as required by the
under the Companies Act, 2013. Accordingly,
applicable Indian Accounting Standards.
Clause 3(ix) (e) of the order is not applicable.
(xiv) (a) Based on information and explanations
(f) According to the information and
provided to us and our audit procedures, in
explanations given to us and procedures
our opinion, the company has an internal
performed by us, we report that the
audit system commensurate with the size
Company has not raised loans during the
and nature of its business.
year on the pledge of securities held in its
subsidiaries as defined under the Companies (b) We have considered the internal audit
Act, 2013. Accordingly, Clause 3(ix) (f) of the reports of the company issued till date for
order is not applicable. the period under audit.
(x) (a) The Company has not raised any moneys (xv) In our opinion and according to the
by way of initial public offer or further information and explanations given us, the
public offer (including debt instruments). Company has not entered in to any non-cash
Accordingly, Clause 3(x) (a) of the order is not transactions with its directors or persons
applicable. or persons connected to its directors and
hence, provisions of section 192 of the
(b) According to the information and
Companies Act, 2013 are not applicable to
explanations given to us and on the basis
the Company.
of our examination of the records of the
Company, The Company has not made any (xvi) (a) The Company is not required to be registered
preferential allotment or private placement under section 45-IA of the Reserve Bank of
of shares of fully of partly convertible India Act, 1934, Accordingly, Clause 3(xvi) (a)
debentures during the year Accordingly, of the order is not applicable.
Clause 3(x) (b) of the order is not applicable.
(b) The Company is not required to be registered
(xi) (a) Based on examination of the books and under section 45-IA of the Reserve Bank of
records of the Company and according to India Act, 1934, Accordingly, Clause 3(xvi) (b)
the information and explanations given to of the order is not applicable.
us, Considering the principles of materiality
outlined in Standards on Auditing, we
168 NMDC LIMITED

(c) The Company is not a Core Investment as on the date of the audit report that the
Company (CIC) as defined in the regulations Company is not Capable of meeting its
made by Reserve Bank of India. Accordingly, liabilities existing at the date of balance
Clause 3(xvi) (c) of the order is not sheet date. We however, state that this is
applicable. not an assurance as to the futures viability
of the Company. We further state that our
(d) According to the information and
reporting is based on the facts up to the
explanations provided to us during the
date of the audit report and we neither give
course of audit, the Group does not have any
any guarantee nor any assurance that all
CIC, Accordingly, the requirements of Clause
liabilities falling due within a period of one
3(xvi) (d) are not applicable.
year from the balance sheet date. Will get
(xvii) The company has not incurred cash losses in discharged by the Company as and when
the current and in the immediately preceding they fall due.
financial year.
(xx) In our opinion and according to the
(xviii) There has been no resignation of the information and explanations given to us,
statutory auditors during the year, there is no unspent amount under sub-
Accordingly, Clause 3(xviii) of the order is not section (5) of section 135 of Companies Act,
applicable. 2013 Pursuant to any project. Accordingly,
Clause 3(xx) (a) and 3(xx) (b) of the order is
(xix) According to the information and
not applicable.
explanations given to us and on the basis
of the financial ratios, ageing and expected
dated of realisation of financial assets
and payments of financial liabilities, other
information accompanying the financial
statements, our knowledge of the Board
of Directors and management plans and
based on our examination of the evidence
Partner
supporting the assumptions, nothing has
come to our attention, which causes us to
Date: 25.07.2022 UDIN: 22202352ANPBHL9428
believe that any material uncertainty exists

“Annexure – C” to the Auditors’ Report
(Referred to in paragraph 3 under ‘Report on Other Legal and Regulatory Requirements’ section of our report to the
Members of NMDC Limited of even date)
Report on the Directions of the Comptroller and Auditor General of India required under sub section 5 of Section 143
of the Companies Act, 2013 (“the Act”)
S No. Point Reply

Yes, the Company had an FAS System upto 31 December
2020 to process all the accounting transactions. From
Whether the company has system in place to 01 January 2021, the company has migrated from
process all the accounting transactions through legacy system (oracle-based FAS) to SAP-ERP package
IT system? If yes, the implications of processing in a phased manner.
1
of accounting transactions outside IT system
on the integrity of the accounts along with the The Units has system in place to process all the
financial implications, if any, may be stated. accounting transactions through IT system. However
some process such as inventory valuation and costing is
done manually.
Whether there is any restructuring of an existing
loan or cases of waiver /write off of debts / loans
2 / interest etc. made by a lender to the company Not Applicable
due to the company's inability to repay the loan?
If yes, the financial impact may be stated.
Whether funds received /receivable for specific
schemes from central/ state agencies were
3 Not Applicable
properly accounted for/ utilized as per its term
and conditions? List the cases of deviation.

D. Manohar
Partner
Date: 25.07.2022 UDIN: 22202352ANPBHL9428
170 NMDC LIMITED

BALANCE SHEET
As at 31st March 2022
(` In Crore)
Figures as at the end of Figures as at the end of
Particulars Note No. current reporting year previous reporting year
31st March 2022 31st March 2021
Assets
Non-Current Assets
a) Property plant & equipment 2.1.1 3,513.98 2,670.66
b) Right- of -Use Assets 2.1.2 8.15 6.62
c) Capital work-in- progress 2.2 18,294.69 17,076.68
d) Other intangible assets 2.3 443.90 441.17
e) Intangible assets under development 2.4 5.00 51.42
f) Financial assets
i) Investments 2.4.1 987.43 984.88
ii) Loans 2.4.2 682.99 753.69
iii) Other Finanial Assets 2.4.3 181.82 147.47
g) Deferred tax assets (Net) 2.5 530.95 408.28
h) Other non-current assets 2.6 4,267.97 3,695.91
Total non-current assets 28,916.88 26,236.78
Current Assets :
a) Inventories 2.7 2,164.90 921.72
b) Financial assets
i) Trade receivables 2.8.1 2,954.30 2,139.89
ii) Cash and cash equivalents 2.8.2 83.69 408.67
iii) Bank balances other than (ii) above 2.8.3 7,856.48 5,397.34
iv) Other financial assets 2.8.4 617.60 461.70
c) Current tax assets (Net) 2.9 900.12 257.04
d) Other current assets 2.10 1,197.16 961.13
e) Assets held for disposal 2.11 0.81 0.63
Total current assets 15,775.06 10,548.12
Total Assets 44,691.94 36,784.90
EQUITY AND LIABILITIES
Equity
a) Equity share capital 2.12 293.07 293.07
b) Other equity 2.13 34,550.90 29,463.07
Total equity 34,843.97 29,756.14
Liabilities
Non- Current Liabilities
a) Financial liabilities
i) Borrowings 2.14.1 1,668.22 523.80
ia) Lease Liability 2.14.2 5.85 4.57
ii) Other Financial liabilities 2.14.3 150.28 150.28
b) Provisions 2.14.4 1,092.00 947.85
Total non-current liabilities 2,916.35 1,626.50
Current Liabilities
i) Borrowings 2.15.1 1,815.13 1,470.67
ii) Trade payables 2.15.3
a) Total Outstanding dues of Micro Enterprises
26.70 12.66
and Small Enterprises
b) Total Outstanding dues of Creditors other than
940.52 347.60
Micro Enterprises and Small Enterprises
iii) Other financial liabilities 2.15.4 1,493.49 1,624.00
b) Other current liabilities 2.16 2,639.94 1,850.91
c) Provisions 2.17 14.39 95.31
Total current liabilities 6,931.62 5,402.26
Total liabilities 9,847.97 7,028.76
Total equity and liabilities 44,691.94 36,784.90
Significant Accounting Policies and notes on accounts : 1 & 2
Subject to our Report of even date For and on behalf of the Board
For M/s Sagar & Associates
Firm Regn No: 003510S
(CA B. SRINIVASA RAO) (AMITAVA MUKHERJEE) (SUMIT DEB)
Partner Director (Finance) Chairman-cum -Managing Director
Membership No: 202352 DIN :08265207 DIN: 08547819
Place : New Delhi (A S PARDHA SARADHI)

Dated : 26th May 2022 ED & Company Secretary
STATEMENT OF PROFIT AND LOSS
For Year Ended 31st March 2022
(` In Crore)
Figures for the Figures for the

Particulars Note No current reporting previous reporting
year 31st March 2022 year 31st March 2021
I. Revenue from operations 2.18 25,881.73 15,370.06
II. Other Income 2.19 718.33 349.88
III. Total Income (I+II) 26,600.06 15,719.94
IV. Expenses :
Consumption of raw materials 2.20 106.95 42.01
Consumption of stores & spares 396.53 257.41
Changes in inventories of finished goods/ 2.21 (1,200.50) (161.81)
work in progress
Employee benefit expense 2.22 1,333.68 1,081.81
Power and electricity 2.23 122.51 110.79
Repairs & maintenance 2.24 192.16 135.87
Royalty & other levies 9,986.76 2,969.38
Selling expenses 2.25 227.74 695.27
Finance cost 2.26 39.06 16.81
Depreciation and amortization expense 2.1 & 2.3 286.85 227.83
Other expenses 2.27 2,126.91 1,443.47
Total expenses 13,618.65 6,818.84
V. Profit before exceptional items and tax (III-IV) 12,981.41 8,901.10
VI. Exceptional items (Income)/Expenditure 2.28 - -
VII. Profit before tax (V-VI) 12,981.41 8,901.10
VIII. Extraordinary Items - -
IX. Profit before tax (VII-VIII) 12,981.41 8,901.10
X. Tax expense :
(1) Current year 2.29 3,444.39 2,316.46
(2) Earlier years (net) 260.53 343.20
(3) Deferred tax 2.29 (122.67) (11.21)
3,582.25 2,648.45
XI. Profit for the year from continuing operations (IX-X) 9,399.16 6,252.65
XII. Profit/(Loss) from discontinued operations (0.91) 0.53
XIII. Tax expense of discontinued operations 2.29 (0.23) 0.13
XIV Net Profit/(loss) from discontinued operations(XII-XIII) (0.68) 0.40
XV Profit for the year (XI +XIV) 9,398.48 6,253.05
Other Comprehensive Income
(i) Item that will not be reclassified to profit or loss
(Re-measurements of post-employment benefit 12.14 (74.95)
obligations)
(ii) Income tax relating to these items 2.29 (3.07) 18.86
XVI Other Comprehensive income net of tax 9.07 (56.09)
Total Comprehensive income for the year (XV+XVII) 9,407.55 6,196.96
(Comprising Profit (Loss) and Other Comprehensive
Income for the year)
Earnings per equity share (for continuing operation)
i) Basic 2.32.6 32.07 20.62
ii) Diluted 2.32.6 32.07 20.62
Earnings per equity share (for discontinued operation)
i) Basic 2.32.6 - -
ii) Diluted 2.32.6 - -
Earnings per equity share (for discontinued &
continuing operation)
i) Basic 2.32.6 32.07 20.62
ii) Diluted 2.32.6 32.07 20.62
Significant Accounting Policies and notes on accounts : 1 & 2


172 NMDC LIMITED

STATEMENT OF CHANGES IN EQUITY
a) Equity Share Capital (` In Crore)
Note.no. Amount
Balance as at 1st April 2020 2.12 306.19
Changes in Equity share capital (13.12)
Balance as at 31 March 2021
st
2.12 293.07
Changes in Equity share capital (*) -
st
293.07
(*) Buyback of Equity shares refer to note No. 2.12
b) Other Equity - 2.13

General Retained
Particulars CRR OCI Total
Reserve earnings
Balance as at 1st April 2020 25,467.06 1,788.02 90.28 (117.60) 27,227.76
Profit for the year 6,253.05 6,253.05
Other Comprehensive Income net of tax (56.09) (56.09)
Transfer to Capital Redempion Reserve (CRR) (13.12) - 13.12 -
Buyback of shares (including transaction charges) (1,687.50) - (1,687.50)
Interim dividend (2020-21) (2,274.15) (2,274.15)
Transfer to General Reserve 3,900.00 (3,900.00) -
Total 2,199.38 78.90 13.12 (56.09) 2,235.31
st
27,666.44 1,866.92 103.40 (173.69) 29,463.07
Other Comprehensive Income net of tax 9.07 9.07
Total 5,000.00 78.76 - 9.07 5,087.83
Balance as at 31st March 2022 32,666.44 1,945.68 103.40 (164.62) 34,550.90



Cash Flow Statement
(` In Crore)
Figures as at the Figures as at the
end of current end of previous
Particulars
reporting year reporting year
CASH FLOW FROM OPERATING ACTIVITIES
Profit/(Loss) before income tax from
Continued Operations 12,981.41 8,901.10
Discontinued Operations (0.91) 0.53
Profit before income tax including discontinued operations 12,980.50 8,901.63
Adjustments for non cash/non operational expenses:
Depreciation & amortisation expense 286.85 227.83
Loss on disposal of property, plant & equipment 1.87 0.74
Expenditure on enabling facilities 125.22 147.79
Provision for bad & doubtful advances 559.70 234.47
Interest Income classified as investing cash flow (428.82) (238.77)
Finance Costs 39.06 16.81
Operating Profits before working capital changes 13,564.38 9,290.50
Adjustments for working capital changes:
(Increase)/Decrease in short term investment - -
(Increase)/Decrease in trade receivables (1,374.11) (150.65)
(Increase)/Decrease in inventories (1,243.18) (198.21)
(Increase)/Decrease in other financial assets (181.21) (100.18)
(Increase)/Decrease loans to employees and related parties 70.70 (28.06)
(Increase)/Decrease in other non current assets (198.62) (572.31)
(Increase)/Decrease in other current assets (236.03) 200.29
(Increase)/Decrease in assets held for disposal (0.18) 0.03
Increase/(Decrease) in trade payables 606.96 134.71
Increase/(Decrease) in provisions 146.13 97.12
Increase/(Decrease) employee benefit obligations (74.02) (160.58)
Increase/(Decrease) in other financial liabilities 95.24 (152.14)
Increase/(Decrease) in other current liabilities 789.03 1,457.52
Cash generated from operations 11,965.09 9,818.04
Income Taxes paid (4,347.77) (2,487.68)
Net Cash Flow from operating activities 7,617.32 7,330.36
174 NMDC LIMITED

Cash Flow Statement (CONT...)
(` In Crore)
Figures as at the Figures as at the
end of current end of previous
Particulars
reporting year reporting year
CASH FLOW FROM INVESTING ACTIVITIES
Expenditure on acquisition of tangible and intangible assets and towards
(3,032.69) (1,598.05)
capital work in progress (net of sale proceeds)
Purchase of investments (2.55) 0.71
Interest received 419.78 241.24
Investment in term deposits with more than three months (2,410.72) (3,035.41)
Net Cash Flow from investing activities (5,026.18) (4,391.51)
CASH FLOW FROM FINANCING ACTIVITIES
Amount paid on buyback of Shares (including transaction charges) - (1,700.62)
(Repayment)/Proceeds from borrowings 344.46 905.10
Lease Liability 1.62 0.17
(Repayment)/Proceeds from borrowings (Non-Current) 1,144.42 523.80
Deposits paid towards LCs and BGs (towards non fund based facilities) (48.22) (29.59)
Interest paid (38.88) (16.63)
Dividends paid (including tax thereon and net off balances for unpaid
(4,319.52) (2,273.28)
dividends)
Net Cash Flow from financing activities (2,916.12) (2,591.05)
Net increase/(decrease) in cash and cash equivalent (324.98) 347.80
Cash & Cash equivalents at the beginning of the year 408.67 60.87
Cash & Cash equivalents at the end of the year 83.69 408.67
Details of the Cash and Cash Equivalents( Note No. 2.8.2)
Cash in hand - 0.01
On Current Accounts 83.69 407.66
On Deposit Accounts (Original Maturity less than 3 months) - 1.00
Total Cash & Cash equivalents at the end of the year 83.69 408.67
Restricted Cash Balance - -



Notes
1. Significant accounting policies estimates are revised and in any future
periods affected.
1.1 Basis of preparation
1.2 Summary of significant accounting policies
(a) Statement of compliance
i. Functional and presentation currency
The standalone financial statements
have been prepared in accordance with Items included in the financial
Indian Accounting Standards (“Ind AS”) statements of the Company are
notified under the Companies (Indian measured using the currency of the
Accounting Standards) Rules, 2015 primary economic environment in
and Companies (Indian Accounting which these entities operate (i.e. the
Standards) Amendment Rules, 2020 and “functional currency”). The standalone
other relevant provisions of the Act. financial statements are presented in
Indian Rupee, the national currency of
(b) Basis of measurement
India, which is the functional currency
The standalone financial statements of the Company.
have been prepared on a historical cost
ii. Foreign currency transactions and
convention and on an accrual basis,
balances
except for the following material items
that have been measured at fair value Transactions in foreign currency are
as required by relevant Ind AS: translated into the respective functional
currencies using the exchange rates
i) Certain financial assets and
prevailing at the dates of the respective
liabilities measured at fair value
transactions. Foreign exchange
(refer accounting policy on
gains and losses resulting from the
financial instruments);
settlement of such transactions and
ii) Defined benefit and other long- from the translation at the exchange
term employee benefits. rates prevailing at reporting date
of monetary assets and liabilities
(c) Functional and presentation currency
denominated in foreign currencies are
The standalone financial statements recognized in the statement of profit
are presented in Indian rupees, which is and loss and reported within foreign
the functional currency of the Company exchange gains/ (losses).
and the currency of the primary
Non-monetary assets and liabilities
economic environment in which the
denominated in a foreign currency
entity operates. All financial information
and measured at historical cost
presented in Indian rupees has been
are translated at the exchange rate
rounded to the nearest crore except
prevalent at the date of transaction.
share and per share data.
iii. Investment in Subsidiaries, Joint
(d) Use of estimates and judgement
Venture and Associates.
The preparation of standalone financial
Investment in Subsidiaries, Joint
statements in conformity with Ind
Ventures and Associates are measured
AS requires management to make
at cost. Dividend income is recognised
judgments, estimates and assumptions
when its right to receive the dividend is
that affect the application of accounting
established”.
policies and the reported amounts of
assets, liabilities, income and expenses. iv. Financial instruments
Actual results may differ from these
All financial instruments are recognized
estimates.
initially at fair value. Transaction costs
Estimates and underlying assumptions that are attributable to the acquisition of
are reviewed on a periodic basis. the financial asset (other than financial
Revisions to accounting estimates are assets recorded at fair value through
recognized in the period in which the profit or loss) are included in the fair
176 NMDC LIMITED

value of the financial assets. Purchase subsequently carried at amortized
or sales of financial assets that require cost using the effective interest
delivery of assets within a time frame method, less any impairment loss.
established by regulation or convention
Amortized cost is represented by
in the market place (regular way trade)
security deposits, cash and cash
are recognized on trade date. While,
equivalents, employee and other
loans and borrowings and payable are
advances and eligible current and
recognized net of directly attributable
non-current assets.
transactions costs.
Cash and cash equivalents
For the purpose of subsequent
comprise cash on hand and in
measurement, financial instruments
banks and demand deposits with
of the Company are classified in the
banks which can be withdrawn at
following categories: non-derivative
any time without prior notice or
financial assets comprising amortized
penalty on the principal.
cost; non derivative financial liabilities
at amortized cost. For the purposes of the cash
flow statement, cash and cash
The classification of financial
equivalents include cash on hand,
instruments depends on the objective
in banks and demand deposits
of the business model for which it
with banks, net of outstanding
is held. Management determines
bank overdrafts that are repayable
the classification of its financial
on demand and are considered
instruments at initial recognition.
part of the Company’s cash
Financial instrument is derecognized management system.
only when the company has transferred
b) Non-derivative financial
its right to receive/extinguish its
liabilities
obligation to pay cash flow from such
financial instruments. Financial liabilities at amortized
cost
a) Non-derivative financial assets
Financial liabilities at amortized
Financial assets at amortized cost
cost represented by trade and
A financial asset shall be other payables are initially
measured at amortized cost if recognized at fair value, and
both of the following conditions subsequently carried at amortized
are met: cost using the effective interest
method.
• the financial asset is held
within a business model v. Property plant and equipment:
whose objective is to hold
a) Recognition and measurement:
financial assets in order
Normally Property, plant and
to collect contractual cash
equipment are measured at cost
flows and
less accumulated depreciation
• the contractual terms of the and impairment losses, if any.
financial asset give rise on Cost includes expenditures
specified dates to cash flows directly attributable to the
that are solely payments acquisition of the asset. The
of principal and interest Company has elected to apply
on the principal amount the optional exemption to use the
outstanding previous GAAP value as deemed
cost at 1 April 2015, the date of
They are presented as current
transition.
assets, except for those
maturing later than 12 months Spare parts, stand by equipment
after the reporting date which and service equipment meeting
are presented as non-current the definition of PPE and having
assets. Financial assets are value of more than ` 20 lakh in
measured initially at fair value each case, are capitalized as and
plus transaction costs and when available for use.

Depreciation: Normally the and condition necessary to
Company depreciates property, be capable of operating in
plant and equipment over the the manner intended by the
estimated useful life of the assets management, shall be capitalized
as prescribed in Schedule II of the as a part of the overall cost of the
Companies Act 2013 on a straight- said asset/project. Else the same
line basis. Depreciation is charged shall be charged to revenue.”
on pro-rata basis on additions
vi. Intangible assets :
/ disposals of assets during
the year. Wherever the useful Intangible assets are stated at cost
life is determined by technical less accumulated amortization and
assessment for certain assets, impairment. Intangible assets are
such assets are depreciated as amortized over their respective
per their assessed life. Assets estimated useful lives on a straight-
acquired under finance lease line basis, from the date that they are
and leasehold improvements available for use. The estimated useful
are amortized over the lower of life of an identifiable intangible asset is
estimated useful life and related based on a number of factors including
term. Depreciation methods, the effects of obsolescence, demand,
useful lives and residual values competition and other economic factors
are reviewed at each reporting (such as the stability of the industry
date. and known technological advances) and
the level of maintenance expenditures
When parts of an item of
required to obtain the expected future
property, plant and equipment
cash flows from the asset.
have different useful lives, they
are accounted for as separate Mining rights are accounted as
items (major components) of Intangible assets and amortised over
property, plant and equipment. the period of life of the mining lease.
Subsequent expenditure relating
vii. Inventory
to property, plant and equipment
is capitalized only when it is a) Raw materials, Stores and
probable that future economic spares (including loose tools and
benefits associated with these implements), work in process and
will flow to the Company and the finished products are valued at
cost of the item can be measured lower of cost and net realizable
reliably. Repairs and maintenance value of the respective units.
costs are recognized in the
statement of profit and loss when b) The basis of determining the cost
incurred. The cost and related is
accumulated depreciation are Raw materials : Weighted average
eliminated from the standalone cost
financial statements upon sale
or disposition of the asset and Stores and spares : Weighted
the resultant gains or losses are average cost
recognized in the statement of Stores in Transit : At cost
profit and loss.
Work in process and finished
Fixed Assets costing ` 5,000 or goods : Material cost plus
less are fully depreciated in the appropriate share of labour,
year of purchase. related overheads and levies.
b) Treatment of Enabling Assets: c) In case of identified Obsolete/
“Expenditure incurred on any Surplus/Non-moving items
facility, the ownership of which necessary provision is made and
is not vested with the company, charged to revenue.
but the incurrence of which is d) Stationery, Medical, Canteen,
essential in bringing an asset/ School Stores, Cotton Waste,
projects of NMDC to the location
178 NMDC LIMITED

Hospital Stores and Lab stores ECL is the difference between all
(excluding for R & D Lab) charged contractual cash flows that are
off to Revenue on procurement. due to the Company in accordance
with the contract and all the
e) No credit is taken in respect
cash flows that the entity expects
of stock of run of mine ore,
to receive(i.e. all shortfalls),
embedded ore, Iron ore slimes.
discounted at the original EIR.
viii. Impairment When estimating the cash flows,
an entity is required to consider:
a) Financial assets
i) All contractual terms of the
In accordance with Ind AS 109,
financial instrument (including
the Company applies expected
prepayment, extension etc.) over
credit loss (ECL) model for
the expected life of the financial
measurement and recognition of
instrument. However, in rare
impairment loss.
cases when the expected life of
The Company follows 'simplified the financial instrument cannot be
approach' for recognition of estimated reliably, then the entity
impairment loss allowance on is required to use the remaining
trade receivables. contractual term of the financial
instrument.
The application of simplified
approach does not require the ii) Cash flows from the sale of
Company to track changes in collateral held or other credit
credit risk. Rather, it recognises enhancements that are integral to
impairment loss allowance based the contractual terms.
on lifetime ECLs at each reporting
ECL impairment loss allowance
date, right from its initial
(or reversal) recognised during
recognition
the period is recognised as
For recognition of impairment income/expense in the statement
loss on other financial assets of profit and loss. The balance
and risk exposure, the Company sheet presentation for various
determines that whether there financial instruments is described
has been a significant increase below:
in the credit risk since initial
Financial assets measured at
recognition. If credit risk has
amortised cost, contractual
not increased significantly,
revenue receivable: ECL is
12-month ECL is used to provide
presented as an allowance,
for impairment loss. However,
i.e. as an integral part of the
if credit risk has increased
measurement of those assets in
significantly, lifetime ECL is used.
the balance sheet. The allowance
If in subsequent period, credit
reduces the net carrying amount.
quality of the instrument improves
Untill the asset meets write off
such that there is no longer a
criteria, the Company does not
significant increase in credit risk
reduce impairment allowance
since initial recognition, then
from the gross carrying amount.
the entity reverts to recognising
impairment loss allowance based b) Non-financial assets
on 12 month ECL
The Company assesses at each
Lifetime ECLs are the expected reporting date whether there is
credit losses resulting from all any objective evidence that a non
possible default events over financial asset or a group of non
the expected life of a financial financial assets is impaired. If
instrument. The 12 month ECL is any such indication exists, the
a portion of the lifetime ECL which Company estimates the amount of
results from default events that impairment loss.
are possible within 12 months
An impairment loss is calculated
after the reporting date
as the difference between an

asset’s carrying amount and trust towards contributions and
recoverable amount. Losses are other demands are made on the
recognised in profit or loss and basis of actuarial valuation.
reflected in an allowance account.
The company’s contribution to
When the Company considers that
the provident fund is remitted
there are no realistic prospects
to a separate trust based on a
of recovery of the asset, the
fixed percentage of the eligible
relevant amounts are written
employees’ salary. Further,
off. If the amount of impairment
the company makes good the
loss subsequently decreases
shortfall, if any, between the
and the decrease can be related
return from investments of trust
objectively to an event occurring
and the notified rate of interest on
after the impairment was
actuarial valuation basis.
recognised, then the previously
recognised impairment loss is c) Pension Fund
reversed through profit or loss.
Defined contributions to NMDC
The recoverable amount of an Employees’ Contributory Pension
asset or cash-generating unit (as Scheme are made on accrual
defined below) is the greater of basis at a rate as approved from
its value in use and its fair value time to time to a fund which is
less costs to sell. In assessing administered by a separate Trust.
value in use, the estimated future
d) Accrued Leave Salary:
cash flows are discounted to
their present value using a pre- Liability towards Accrued Leave
tax discount rate that reflects Salary, as at the end of the
current market assessments of year is recognized on the basis
the time value of money and the of actuarial valuation and the
risks specific to the asset. For the amount is administered by a
purpose of impairment testing, separate trust.
assets are grouped together into
the smallest group of assets e) Other Benefits :
that generates cash inflows from Liability towards Long Service
continuing use that are largely Award, Settlement Allowance and
independent of the cash inflows of Post Retirement Medical Facilities
other assets or groups of assets to employees as at the end of the
(the “cash-generating unit”). year is recognized on the basis
ix. Employee benefits of actuarial valuation. Such
amounts towards Settlement
a) Payments under Employees’ Allowance and Post Retirement
Family Benefit Scheme: Medical Benefits are administered
by a separate trust.
Under the NMDC Employees’
family benefit scheme, monthly Actuarial gains or losses
payments are made till the normal are recognized in other
date of retirement to the family comprehensive income. Further,
members of those employees who the profit or loss does not include
are discharged from service due an expected return on plan assets.
to medical reasons or death, on Instead net interest recognized
deposit of the amount envisaged in profit or loss is calculated by
in the scheme and liability for the applying the discount rate used
payments are accounted for on to measure the defined benefit
the basis of actuarial valuation obligation to the net defined
and the amount is administered benefit liability or asset. The
by a separate Trust. actual return on the plan assets
above or below the discount
b) Gratuity & Provident fund:
rate is recognized as part of
Gratuity payable to eligible re-measurement of net defined
employees is administered by a liability or asset through other
separate Trust. Payments to the comprehensive income.
180 NMDC LIMITED

Re-measurements comprising actuarial entitled in exchange for transferring
gains or losses and return on plan the goods to the customer. The variable
assets (excluding amounts included in consideration is estimated at contract
net interest on the net defined benefit inception and constrained until it
liability) are not reclassified to profit or is highly probable that a significant
loss in subsequent periods. revenue reversal in the amount of
cumulative revenue recognised will not
x) Provisions
occur when the associated uncertainty
All the provision are recognized as with the variable consideration is
per Ind AS 37. Provisions (including subsequently resolved.
mine closure) are recognized when
All revenue from sale of goods is
the Company has a present obligation
recognised at a point in time. Revenue
(legal or constructive) as a result of a
from wind power and services is
past event, it is probable that an outflow
recognised over time.
of economic benefits will be required
to settle the obligation, and a reliable The timing of transfer of control in
estimate can be made of the amount of case of sale of goods varies depending
the obligation. upon individual transfer terms of the
contract.
The amount recognized as a provision is
the best estimate of the consideration Export sales: In Export sales control
required to settle the present passes to the customer on the date of
obligation at the end of the reporting Bill of Lading.
period, taking into account the risks
Domestic sales: Control passes to the
and uncertainties surrounding the
customer on the date of delivery which
obligation.
is generally the forwarding note (rail
When some or all of the economic dispatches)/ lorry receipt/ delivery
benefits required to settle a provision challan. However, in case of spot
are expected to be recovered from a auction under electronic mode, control
third party, the receivable is recognized passes to the customer on conclusion
as an asset, if it is virtually certain that of the auction and receipt of money.
reimbursement will be received and
Obsolete stores & scrap: Control
the amount of the receivable can be
passes to the customer on the date of
measured reliably.
realisation.
Provisions for onerous contracts are
Contract asset
recognized when the expected benefits
to be derived by the Company from a A contract asset is the right to
contract are lower than the unavoidable consideration in exchange for goods or
costs of meeting the future obligations services transferred to the customer. If
under the contract. Provisions for the Company performs by transferring
onerous contracts are measured at the goods or services to a customer before
present value of lower of the expected the customer pays consideration or
net cost of fulfilling the contract and before payment is due, a contract
the expected cost of terminating the asset is recognised for the earned
contract. consideration that is conditional.
xi) Revenue recognition: Trade receivables
Revenue from contracts with customers A receivable represents the Company’s
is recognized when control of the right to an amount of consideration that
goods or services is transferred to the is unconditional (i.e., only the passage
customer at an amount that reflects the of time is required before payment of
consideration to which the Company the consideration is due).
expects to be entitled in exchange for
Contract liability
those goods or services.
A contract liability is the obligation
If the consideration in a contract
to transfer goods or services to a
includes a variable amount, the
customer for which the Company
Company estimates the amount
has received consideration (or an
of consideration to which it will be

amount of consideration is due) from current tax assets and current tax
the customer. If a customer pays liabilities, where it has a legally
consideration before the Company enforceable right to set off the
transfers goods or services to the recognized amounts and where
customer, a contract liability is it intends either to settle on a net
recognised when the payment is made basis or to realize the asset and
or the payment is due (whichever liability simultaneously.
is earlier). Contract liabilities are
b) Deferred income tax
recognised as revenue when the
Company performs under the contract. Deferred income tax is recognized
using the balance sheet approach.
xii) Finance income and expense
Deferred income tax assets and
Finance income consists of interest liabilities are recognized for
income on funds invested, dividend deductible and taxable temporary
income and gains on the disposal differences arising between the
of Fair value through profit and loss tax base of assets and liabilities
account financial assets. Interest and their carrying amount in
income is recognized as it accrues in financial statements, except when
the statement of profit and loss, using the deferred income tax arises
the effective interest method. from the initial recognition of
goodwill or an asset or liability
Dividend income is recognized in the
in a transaction that is not a
statement of profit and loss on the date
business combination and affects
the Company’s right to receive payment
neither accounting nor taxable
is established.
profits or loss at the time of the
Finance expenses consist of interest transaction. Deferred income
expense on loans and borrowings. tax asset are recognized to the
Borrowing costs are recognized in the extent that it is probable that
statement of profit and loss using the taxable profit will be available
effective interest method. against which the deductible
temporary differences, and the
Foreign currency gains and losses are
carry forward of unused tax
reported on a net basis. This includes
credits and unused tax losses can
changes in the fair value of foreign
be utilized. Deferred income tax
exchange derivative instruments, which
liabilities are recognized for all
are accounted at fair value through
taxable temporary differences.
profit or loss.
The carrying amount of deferred
xiii) Income tax income tax assets is reviewed at
each reporting date and reduced
Tax comprises current and deferred to the extent that it is no longer
tax. Income tax expense is recognized probable that sufficient taxable
in the statement of profit and loss profit will be available to allow
except to the extent it relates to items all or part of the deferred income
directly recognized in equity or in other tax asset to be utilized. Deferred
comprehensive income. income tax assets and liabilities
a) Current income tax are measured at the tax rates
that are expected to apply in the
Current income tax for the current period when the asset is realized
and prior periods are measured or the liability is settled, based on
at the amount expected to be tax rates (and tax laws) that have
recovered from or paid to the been enacted or substantively
taxation authorities based on the enacted at the reporting date.
taxable income for the period.
The tax rates and tax laws used to xiv) Earnings per share
compute the current tax amount Basic earnings per share is computed
are those that are enacted or using the weighted average number of
substantively enacted by the equity shares outstanding during the
reporting date and applicable for year.
the period. The Company offsets
182 NMDC LIMITED

Diluted EPS is computed by dividing loan or assistance is initially recognized
the net profit after tax by the weighted and measured at fair value and the
average number of equity shares government grant is measured as the
considered for deriving basic EPS and difference between the initial carrying
also weighted average number of equity value of the loan and the proceeds
shares that could have been issued received.
upon conversion of all dilutive potential
Grant related to income are presented
equity shares. Dilutive potential equity
as part of profit or loss, as a deduction
shares are deemed converted as of the
to the related expenses.
beginning of the year, unless issued at
a later date. Dilutive potential equity xvii) Lease:
shares are determined independently
a. Lease liability is initially
for each year presented. The number
recognised and measured at
of equity shares and potentially dilutive
an amount equal to the present
equity shares are adjusted for bonus
value of minimum lease payments
shares, as appropriate.
during the lease term that are not
xv) Borrowing costs yet paid.
Borrowings costs directly attributable to b. Right of use asset is recognised
acquisition or construction of an asset and measured at cost, consisting
that necessarily takes a substantial of initial measurement of lease
period of time to get ready for its liability plus any lease payments
intended use or sale are capitalised as made to the lessor at or before
part of the cost of the asset. All other the commencement date less
borrowing costs are expensed in the any lease incentives received,
period in which it occur. Borrowing initial estimate of the restoration
costs consists of interest and other costs and any initial direct costs
costs that an entity incurs in connection incurred by the lessee.
with the borrowing of funds.
c. The lease liability is measured
xvi) Government grants: in subsequent periods using the
effective interest rate method. The
Grants from the government are
right-of-use asset is depreciated
recognised when there is reasonable
over the lease term.
assurance that:(i) the Company will
comply with the conditions attached to d. Low Value leases up to ` 20 lakhs
them; and (ii) the grant will be received. p.a. per lease and Short term
Government grants related to revenue leases of 12 months or less are
are recognised on a systematic basis fully charged to expense.
in the statement of profit and loss over
xviii) Exploration and Evaluation:
the periods necessary to match them
with the related costs which they are Exploration and evaluation expenditure
intended to compensate. Such grants comprise costs that are directly
are deducted in reporting the related attributable to:
expense. When the grant relates to an
asset, it is recognized as income over – researching and analysing existing
the expected useful life of the asset. exploration data;
Where the Company receives non- – conducting geological studies,
monetary grants, the asset is accounted exploratory drilling and sampling;
for on the basis of its acquisition cost.
In case a non-monetary asset is given – examining and testing extraction
free of cost it is recognised at a fair and treatment methods; and/or
value. When loan or similar assistance – compiling pre-feasibility and
are provided by government or related feasibility studies.
institutions, with an interest rate below
the current applicable market rate, Exploration expenditure relates to
the effect of this favorable interest is the initial search for deposits with
recognized as government grant. The economic potential.

Evaluation expenditure relates to a a. It is probable that the future
detailed assessment of deposits or economic benefits associated
other projects that have been identified with the stripping activity will be
as having economic potential. . All realized.
evaluation and exploration expenses till
b. The component of the ore body for
high degree of confidence is achieved
which access has been improved
are expensed.
can be identified; and
Evaluation expenditure are capitalised
c. The costs relating to the stripping
as Intangible assets when there is a
activity associated with the
high degree of confidence that the
improved access can be reliably
Company will determine that a project
measured.
is commercially viable, that is the
project will provide a satisfactory return To the extent the current period
relative to its perceived risks, and stripping ratio exceeds the planned
therefore it is considered probable that stripping ratio as per mine plan, shall
future economic benefits will flow to the be considered as “Stripping Activity
Company. Asset’
The carrying values of capitalized The “Stripping Activity Asset” is
evaluation expenditure are reviewed for subsequently depreciated on a unit of
impairment every year by management. production basis over the life of the
identified component of the ore body
xix) Stripping cost:
that become more accessible as a
Development stripping cost: result of the stripping activity and is
then stated at cost less accumulated
Overburden and other mine waste
depreciation and impairment loss, if
material removed during the initial
any.
development of a mine in order to
access mineral deposit are capitalized xx) Prepaid Expenses:
as Intangible Asset. Amortization of
Expenses are accounted under prepaid
the same is done based on the life
expenses only when the amount
estimated by the management.
relating to the unexpired period
Production stripping cost: exceeds rupees Two crore in each case.
During the Production phase, the xxi) Restatement of earliest prior period
stripping activity cost is charged to financials on material error/omissions
revenue to the extent the benefit from
The value of error and omissions is
the stripping activity is realized in the
construed to be material for restating
form of inventory produced.
the opening balances of assets and
To the extent the benefit is improved liabilities and equity for the earliest
access to ore, the entity shall recognise prior period presented if the amount
these costs as a non-current asset ie in each case of earlier period income/
Stripping Activity Asset, if and only if all expenses exceeds 1.00% of the previous
the following conditions are met: year turnover of the company.


184 NMDC LIMITED

Note - 2.1.1 : PROPERTY, PLANT & EQUIPMENT (` In Crore)
GROSS BLOCK DEPRECIATION BLOCK NET BLOCK
Tra- Inter- As at As at Deduc- Tra- upto As at As at
ASSETS Additions Ded/Adj For Asset Internal
As at 1st nsfer nal 31st 1st tions/ nsfer 31st 31st 31st
during during the Impair- tran-
Apr, 2021 to/ tra- March Apr, adjust- to/ March March March
the year the year year ment sfers
from nsfer 2022 2021 ments from 2022 2022 2021
A. General
Land :
- Free hold 271.88 - - - - 271.88 - - - - - - - 271.88 271.88
- Lease hold 5.99 32.35 - - - 38.34 1.51 5.80 - - - - 7.31 31.03 4.48
Buildings 325.50 95.23 (0.60) - - 420.13 56.52 16.66 0.17 (0.60) - - 72.75 347.38 268.98
Plant & Machinery 1,319.22 70.05 (18.31) - (2.31) 1,368.65 338.49 80.76 4.70 (15.75) - (0.79) 407.41 961.24 980.73
Heavy Mobile Equipt. 595.47 122.29 (11.21) - 2.31 708.86 346.72 56.70 1.11 (11.20) - 0.79 394.12 314.74 248.75
Furniture & fittings 17.72 2.17 - - - 19.89 10.55 1.86 0.12 - - - 12.53 7.36 7.17
Vehicles 43.97 4.77 (2.36) - - 46.38 22.82 4.47 0.13 (2.11) (0.01) - 25.30 21.08 21.15
Office Equipment 73.33 12.94 (0.55) 0.02 3.51 89.25 44.77 12.43 0.46 (0.39) 0.01 1.27 58.55 30.70 28.56
Others :
Roads, bridges etc. 156.06 6.09 - - - 162.15 107.89 20.01 0.15 - - - 128.05 34.10 48.17
Dams, Wells & Pools 14.11 4.16 - - - 18.27 2.83 1.60 0.58 - - - 5.01 13.26 11.28
Adit & tunnel 2.05 - - - - 2.05 0.06 0.03 - - - - 0.09 1.96 1.99
Railway sidings 34.34 - - - - 34.34 19.33 2.53 - - - - 21.86 12.48 15.01
Locomotives 89.98 17.54 - - - 107.52 10.53 6.80 - - - - 17.33 90.19 79.45
Electrical Installations 290.31 6.38 - - (3.51) 293.18 128.73 25.32 0.16 - - (1.27) 152.94 140.24 161.58
Sanitary & W. S. Installations 33.96 128.70 - - - 162.66 6.61 3.35 0.04 - - - 10.00 152.66 27.35
TOTAL 'A' 3,273.89 502.67 (33.03) 0.02 - 3,743.55 1,097.36 238.32 7.62 (30.05) - - 1,313.25 2,430.30 2,176.53
Previous year 2020-21 3,193.36 104.96 (24.34) (0.09) 3,273.89 917.22 204.06 (23.84) (0.08) - 1,097.36 2,176.53 2,276.14
B. Social Facilities
Land :
- Free hold 0.29 10.35 - - - 10.64 - - - - - - - 10.64 0.29
- Lease hold - - - - - - - - - - - - - - -
Buildings 482.11 583.40 - - - 1,065.51 31.43 14.05 1.55 - - - 47.03 1,018.48 450.68
Plant & Machinery 5.54 1.12 - - - 6.66 0.69 0.30 - - - - 0.99 5.67 4.85

Furniture & fittings 12.46 5.48 (5.09) - - 12.85 5.54 1.62 0.02 (3.08) - - 4.10 8.75 6.92
Vehicles 2.16 0.37 (0.27) - - 2.26 1.22 0.20 0.04 (0.22) - - 1.24 1.02 0.94
Office Equipment 28.96 7.72 (6.77) (0.01) - 29.90 18.35 3.43 0.30 (6.50) - - 15.58 14.32 10.61
185
(` In Crore)
186
Tra- Inter- As at As at Deduc- Tra- upto As at As at
ASSETS Additions Ded/Adj For Asset Internal
As at 1st nsfer nal 31st 1st tions/ nsfer 31st 31st 31st
during during the Impair- tran-
Apr, 2021 to/ tra- March Apr, adjust- to/ March March March
the year the year year ment sfers
from nsfer 2022 2021 ments from 2022 2022 2021
Others : - - - - - - -
NMDC LIMITED
Cess fund quarters 6.57 - - - - 6.57 1.00 0.15 - - - - 1.15 5.42 5.57
Dams, Wells & Pools 0.95 - - - - 0.95 0.21 0.14 - - - - 0.35 0.60 0.74
Electrical Instaln. 6.03 4.64 - (0.01) - 10.66 2.41 0.61 0.04 - - - 3.06 7.60 3.62
Sanitary & W.S.Instlns. 6.85 2.35 - - - 9.20 1.53 0.32 0.34 - - - 2.19 7.01 5.32
Cess fund other assets - - - - - - - - - - - - - -
TOTAL 'B' 560.49 615.53 (12.13) (0.02) - 1,163.87 66.36 21.32 2.31 (9.80) - - 80.19 1,083.68 494.13
Previous year 2020-21 389.69 175.54 (4.83) 0.09 560.49 55.57 15.10 - (4.39) 0.08 - 66.36 494.13 334.12
TOTAL 'A + B' 3,834.38 1,118.20 (45.16) - - 4,907.42 1,163.72 259.64 9.93 (39.85) - - 1,393.44 3,513.98 2,670.66
Previous year 2020-21 3,583.05 280.50 (29.17) - - 3,834.38 972.79 219.16 - (28.23) - - 1,163.72 2,670.66 2,610.26
Note - 2.1.2 : Right of use assets

GROSS BLOCK AMORTISATION BLOCK NET BLOCK
Assets st st st As at As at As at
As at 1 Additions/ Deductions/ As at 31 As at 1 Deductions/
For the Year 31st March 31st March 31st March
April, 2021 Adjustments Adjustments March 2022 April, 2021 adjustments
2022 2022 2021
A. General:
Land (SP-RO- Vizag) 0.59 - - 0.59 0.59 - - 0.59 -
Buildings
Delhi - PTI- Building 7.41 - - 7.41 1.66 0.86 - 2.52 4.89 5.75
Delhi - KG Marg Surya
0.26 - - 0.26 0.26 - - 0.26 - -
Kiran Building
REGIONAL OFFICE-
1.19 - - 1.19 0.32 0.04 - 0.36 0.83 0.87
Vizag
Ranchi-Office Building_
- 2.63 - 2.63 - 0.20 - 0.20 2.43
JSFC
TOTAL (A) 9.45 2.63 - 12.08 2.83 1.10 - 3.93 8.15 6.62
Previous year 8.20 1.19 (0.06) 9.45 1.62 1.21 - 2.83 6.62 6.58
B. Social Amenties:
Buildings - - - - - - - - - -
TOTAL (B) - - - - - - - - - -
Previous year - - - - - - - - - -
Grand Total (A)+(B) 9.45 2.63 - 12.08 2.83 1.10 - 3.93 8.15 6.62
Previous year 8.20 1.19 (0.06) 9.45 1.62 1.21 - 2.83 6.62 6.58
NON-CURRENT ASSETS
Note: 2.2 Capital Work in Progress (` In Crore)
Figures as at the end Figures as at the end

Particulars
of 31st March 2022 of 31st March 2021
Construction work in progress 15,391.29 14,555.12
Less : Impairment provided/(reversed) 5.32 -
15,385.97 14,555.12
Construction Stores - 2.32
Capital Assets in stores awaiting installation or in transit 66.27 53.94
Less : Provision - -
66.27 53.94
Expenditure incidental to construction awaiting allocation (See
2,842.45 2,465.30
note 2.2.2)
Total 18,294.69 17,076.68
Note - 2.2.1: Movement of Capital work in progress (` In Crore)

Capital asset Expenditure
Construction in stores Incidental to
Construction
Particulars Work in awaiting construction Total
Stores
Progress installation awaiting
or in transit allocation
Year ended 31st March 2021
Gross carrying amount 13,429.44 1.77 65.69 1,974.66 15,471.56
Additions 2,881.24 4.42 69.62 490.64 3,445.92
Disposals/Capitalisation to PPE 1,755.56 3.87 81.37 - 1,840.80
Closing gross carrying amount 14,555.12 2.32 53.94 2,465.30 17,076.68
Accumulated amortization - - - - -
Amortization charge during the year - - - - -
Closing accumulated amortization - - - - -
Closing net carrying amount 14,555.12 2.32 53.94 2,465.30 17,076.68
Year ended 31 March 2022
st
Gross carrying amount

Opening gross carrying amount 14,555.12 2.32 53.94 2,465.30 17,076.68
Additions 1,738.26 (2.32) 270.66 774.98 2,781.58
Adjustment/Disposals/Capitalisation
902.09 - 258.33 397.83 1,558.25
to PPE
Closing gross carrying amount 15,391.29 0.00 66.27 2,842.45 18,300.01
Accumulated amortization
Amortization charge during the year 5.32 - - - 5.32
Closing accumulated amortization 5.32 - - - 5.32
Closing net carrying amount 15,385.97 0.00 66.27 2,842.45 18,294.69

Note : 2.2.2 Expenditure Incidental to Construction Awaiting Allocation (` In Crore)
Particulars
a. Opening balance 2,465.30 1,974.65
b. Net Expenditure incurred during the year
Consumption of stores and spares 0.59 0.22
Employee Benefit expense :
Salaries, Wages & Bonus 150.90 152.12
Contribution to Provident fund, EPS, DLI 11.54 8.08
Contribution to Gratuity fund 0.77 4.33
Staff Welfare expenses 7.87 13.29
171.08 177.82
Power, Electricity & Water 67.70 69.11
Repairs and Maintenance 8.99 64.38
Depreciation and amortisation 35.77 14.87
Other expenses :
Rent, Insurance, Rates and taxes 3.88 4.62
Interest on Borrowings 65.54 22.63
Payment to auditors : As auditors 0.07 0.06
Payment to auditors : For Other Services 0.08 0.05
Reimbursement of expenses - -
69.57 27.36
Travelling and Conveyance expenses 0.99 0.51
Consultancy expenditure 34.72 46.15
CISF/Security expenditure 8.06 6.27
Environmental Development 4.46 0.02
Other expenditure 390.44 90.03
792.37 496.74
Less : Recoveries/Income
Interest Received 1.89 4.95
Other income 16.51 1.14
Total (b) 773.97 490.65
Sub-total (a+b) 3,239.27 2,465.30
Less : Amount allocated to Fixed assets/ Capital W I P 396.82 -
Total 2,842.45 2,465.30
188 NMDC LIMITED

Note: 2.2.3 Capital Work in Progress aging Schedule (` In Crore)
Amount in CWIP for a period of

PARTICULARS Less than More than
1-2 years 2-3 years Total
1 years 3 years
Project in Progress 1,989.41 2,037.32 1,529.84 12,735.01 18,291.58
Project temporarily suspended - - - 3.11 3.11
Total 1,989.41 2,037.32 1,529.84 12,738.12 18,294.69
Note: 2.2.4 Capital Work in Progress Completion Schedule (` In Crore)
To be completed in
1 years 3 years
NISP 17,045.14 - - - 17,045.14
Slury Pipe Line 518.62 - - - 518.62
SP - III at Kirandul Unit, Chhatishgarh 145.89 - - - 145.89
SP - II at Donimalai Project, Karnataka - - - 0.79 0.79
Others 4.76 - - 4.76
Total 17,714.41 - - 0.79 17,715.20
Note: Details of the project where activities has been suspended shall be given separately
Note 2.3 INTANGIBLE ASSETS (` In Crore)

Ded/
As at As at As at As at
ASSETS As at Additions Adj As at
31st For the Asset 31st 31st 31st
1st Apr, during the during 1st Apr
March year Impairment March March March
2021 year the 2021
2022 2022 2022 2021
year
GENERAL
Computer
8.29 49.36 - 57.65 7.50 10.20 - 17.70 39.95 0.79
software
Mining rights 943.59 - - 943.59 503.21 35.13 1.30 539.64 403.95 440.38
Total 951.88 49.36 - 1,001.24 510.71 45.33 1.30 557.34 443.90 441.17
Previous Year
888.16 74.27 (10.55) 951.88 488.27 22.44 510.71 441.17 399.89
2020-21
Additional notes to 2.1.1, 2.3 and 2.4 : PPE (Property Plant and Equipment), Intangible Assets and Intangible Assets
under Development.
1. Lease hold land measuring 3021.35 sq.mtrs. (previous year 3021.35 sq.mtrs.) is taken from Vizag Port Trust
Authorities for construction of Regional Office building for a period of 30 years i.e. up to 01.01.2044. Action is on
hand to execute the lease deed. However, rent have been accounted till 31.03.2022.
2. The Extent of land of 22.39 hectares taken over from CG Government, which is in favor of District Industries
Centre, Jagdalpur for construction of Steel Plant near Nagarnar has not been brought into the books as the
amount payable is not ascertainable in the absence of any demand from the concerned authorities.
3. Formal agreements / Transfer deeds remain to be executed in respect of the following:
(a) Renewal of Mining Leases at Deposit 10 (Float Ore).
(b) Lease deeds in respect of parts of land for township at Bacheli Complex, Kirandul Complex and Panna
Project.

(c) Mining lease to the extent of 33.58 hectares 4. Reconciliation of Depreciation and Amortisation as
(Mining area) and 19.42 hectares (Plant area) per Statement of Profit and Loss:
of Silica Sand Plant near Lalapur (Allahabad). (` In Crore)
(d) Lease in respect of a portion of the total land Note no Particulars 2021-22 2020-21
at R&D Center measuring 9.12 acres has 2.1 Depreciation on PPE 259.64 219.16
expired during Feb 2007 (6.66 acres) and the
2.1 Impairments of PPE 9.93 -
balance in Feb 2010 (2.46 acres). The process
of vacating the lease hold area is under Amortisation of
2.3 46.63 22.44
progress. Intangible Assets
Amortisation of ROU
(e) Provisional allotment letters were issued for 2.1.2 1.10 1.21
Assets
the land allotted by M/s APIIC at Industrial
2.2 Impairment of CWIP 5.32 -
park, Paloncha to the extent of 13.43 acres.
However, on physical survey found only 11.35 Total 322.62 242.81
acres of land. No effect is given in books, 2.2.2 Transferred to IEDC (-)35.77 (-)14.87
pending confirmation from M/s APIIC. Shown under
2.28 - -
Exceptional item
(f) Land at Raipur to the extent of 57,432.99 Sq.
Ft. has been acquired from Chhattisgarh Transferred to
2.33.8 - (-)0.11
Housing Board, however as per the actual Discontinue Operation
land measurement taken by surveyor the Depreciation, Amortisation and
total land comes to 62,205.96 Sq. Ft. The Impairment as per Statement of 286.85 227.83
registration formalities are in the process for Profit and Loss
the total land.
190 NMDC LIMITED

5 Additional note to 2.1.1,2.3 and 2.4:PPE (Property Plant and Equipment)
Whether title
deed holder is
a promoter or
Property
Relevant Line Title Deed relative (#) of
Gross Carrying Held since Reason for not being held in the
Item in the Description of item on Property held in the promoter(*)/
Value which name of the company
Balance Sheet name of director or
date
employee of
promoter/
director
Forest Land for Uniflow Rly. This is Forest Land (MOEF Letter
Dispatch Systems (4.94 Acre)- 1,240,000.00 Forest Dept. No 6/7/2002 No.8B/007/2002/fcw/1313 dated
Bacheli Unit 07.06.2002)
Land for Shankhni Pump House
This is Forest Land (MOEF
& Pipeline (11.56 Acre) : Bacheli 103,528.00 Forest Dept. No 14/03/2002
Clearence Letter dated 14.03.2002)
Unit
Lease of Dep-10 (FO) (352.87 This is Forest Land (MOEF Letter
PPE 139,164,937.00 Forest Dept. No 10/07/2019
Acre) : Bacheli Unit dated 10.07.2019)
Panchnama done by Railway,
Land at Madadi Village (2.4
67,899.00 No 31/03/2006 Revenue NMDC officials is available
Acre): Kirandul Unit
with the Project.
"Land Lease hold For Township Panchnama done by Railway,
(51.4 Acre): - No 31/03/1986 Revenue NMDC officials is available
Kirandul Unit" with the Project.
Sale Deed available with the
management for total 19.09
Hectares. Appeal against the order
Freehold Land (47.18 Acre): issued by the Tahsildar, Bade
22,569.00 No 31/03/1966
Kirandul Unit Bacheli is being prepared by the
advisor (Revenue) and same will be
submitted before the SDM, Bade
Bacheli.
Investment
Land
Property
Building
PPR Retired from Land

Building
191
6. During the year 2021-22 a review of residual and
useful life of PPE was done and as per the review
there is no change recommended. The Useful
life of all the PPE is as per schedule II except for
the following PPE whose life as given under is
determined as per technical assessment.
Useful
Equipment Capacity life (in
Years)
Dumper 85-100 T 10
50-60 T 9
Water Sprinkler 28 KL 9
Rope Shovel 8-10 Cu m 20
Hydraulic Shovel 5-7.5 Cum 9
>7.5 Cum 10
Blast Hole Drill 165mm Diesel 9
165mm Electric 12
250mm single pass 16
250 mm multiple pass 10
Top Hammer Drill <160mm 9
Front End Loader < 300 HP to >600HP 10
Track Dozer <500 HP to >500HP 10
Wheel Dozer <500 HP 12
Grader <200HP 12
Mobile Crane <12 ton 9
12 – 40 ton 12
>40 ton 15
Boom Stacker 2000 – 3000 TPH 30
Reclaimer 2000-3000 TPH 30
192 NMDC LIMITED

Note: 2.4 Intangible assets under development (` In Crore)
Particulars
Intangible assets under development (ERP) 5.00 51.42
Total 5.00 51.42
Note: 2.4.(a) Intangible Assets under development aging Schedule (` In Crore)

1 years 3 years
Project in Progress 5.00 5.00
Project temporarily suspended - - - - -
Total 5.00 - - - 5.00
Note: 2.4.(b) Intangible Assets under development completion schedule (` In Crore)
To be completed in
1 years 3 years
ERP Implementation 5.00 - - - 5.00
Total 5.00 - - - 5.00
Note : 2.4.1 Investments (` In Crore)

Particulars
In Equity Shares:
Investments in Subsidiary Companies carried at cost :
Trade & Quoted at cost:
i) 576,72,53,980 (Previous year 576,72,53,980) Equity shares
fully paid up in Legacy Iron Ore Ltd. Australia, No face value in 214.70 214.70
Australia
Unquoted at cost:
i) 28,51,002 (previous Year 28,51,002) Equity shares of ` 100
each fully paid up in Subsidiary company J &K MDC Ltd., 28.51 28.51
Jammu.
Less: Investment deration 28.51 28.51
- -
ii) 41,85,590 (previous Year 41,85,590) Equity shares of FMG
2500/- each fully paid up in wholly owned subsidiary company 7.20 7.20
NMDC SARL, Madagaskar
- -
iii) 5,50,000 (Previous Year 5,50,000 ) Equity shares of ` 10/- each
0.55 0.55
fully paid up in NMDC Power Ltd.
- -

Particulars
iv) 1,00,000 (Previous Year 1,00,000) equity shares of ` 10/- each
0.10 0.10
fully paid up in Karnataka Vijayanagar Steel Limited (KVSL)
v) 1,10,000 (previous year 60,000) equity shares of ` 10/- each
0.11 0.06
fully paid up in NMDC Steel Limited (NSL)
vi) 1,60,000 (previous year 1,60,000) equity shares of ` 10/- each
0.16 0.16
fully paid up in Jharkhan Kolhan Steel Limited (JKSL)
- -
vii) 20,00,000 (previous year 20,00,000) equity shares of 10 each in
2.00 2.00
NMDC CSR Foundation (NCF)
Investment in Joint Ventures :
Unquoted at cost:
i) 9,83,47,236 (Previous Year 9,83,47,236) Equity shares of ` 10/-
98.35 98.35
each fully paid up in NMDC CMDC Ltd.
ii) 6,000 (Previous year 6,000) equity shares of ` 10/- each in
Jharkhand National Mineral Development Corporation Ltd. 0.01 0.01
(JNMDC)
iii) 15,26,74,600 (previous year 15,26,74,600) equity shares of `
152.67 152.67
10/- each in Bastar Railway Pvt. Ltd. (BRPL)
iv) 50 (Previous year 50) equity shares of South african Rand 1/-
each in Kopano-NMDC Minerals (Proprietary) Limited - -
(` 324/- only)
Less: Investment deration - -
- -
v) 25,500 (previous year 25,500) equity shares of ` 10/- each in
- 0.03
NMDC-SAIL Ltd.
Less: Investment deration - 0.03
- -
Investments in Associates :
Unquoted at cost:
i) 1,05,000 (previous year 1,05,000) Equity shares) of ` 10/-
0.11 0.11
each fully paid up in Romelt SAIL India Ltd., New Delhi
- -
ii) 37,88,59,405 (Previous year 37,63,57,143) Equity shares of
378.86 376.36
` 10/- each fully paid in International Coal Ventures (P) Ltd.
iii) 4,00,00,000 (P.Y 4,00,00,000) equity shares of ` 10/- each in
40.00 40.00
fully paid up in Krishnapatnam Railway Co. ltd.
iv) 7,47,99,878 (previous year 7,47,99,878) equity shares of ` 10/-
100.60 100.60
each fully paid up in NINL, Bhubaneswar
v) 13,000 (previous year 13,000) equity shares of ` 10/- each
0.01 0.01
fully paid up in Chhattisgarh Mega steel Ltd
Unquoted shares in co-operative societies
i) 150 Shares (previous year 150 Shares) of ` 1,000/- each 0.02 0.02
fully paid up in Whole-sale Consumers Co-operative Stores,
194 NMDC LIMITED

Particulars
Kirandul ` 1,50,000/- (Previous year ` 1,50,000/-)
-
ii) 500 Shares (previous year 500 Shares) of ` 10/- each -
fully paid up in NMDC Employees Co-operative Society
Ltd, Bacheli ` 5,000/- (previous year ` 5,000/-)
iii) 25 Shares (previous year 25 Shares) of ` 100/- each
fully paid up in NMDC Employees Co-operative Society - -
Ltd, Donimalai ` 2,500/- (previous year ` 2,500/-) 0.02 0.02
Total 987.43 984.88
1. Aggregate amount of Quoted Investments 214.70 214.70
(Market value of quoted Investments) 622.09 321.25
2. Aggregate amount of Unquoted Investments 809.26 806.74
3. Aggregate amount of provision for diminution in value of
36.53 36.56
investments:
4. Net amount of Un quoted Investments 772.73 770.18
Note: 2.4.2 : Loans (` In Crore)

Particulars
Loans to employees and outsiders 40.77 30.11
Loan to Subsidiaries 642.22 723.58
TOTAL 682.99 753.69
i) Considered Good, Secured 40.77 30.11
ii) Considered Good, Unsecured 642.22 723.58
iii) Which have significant increase in Credit risk - -
iv) Credit Impaired - -
Note: With respect to the accounting policy note no. 1. (b) ii, the long term Loans & advances to employees was to be
measured at amortised cost. The same was carried out and considering the materiality, no effect has been made in
the accounts.
Note: 2.4.3 : Other Financial Assets (` In Crore)

Particulars
Deposit with Others 181.82 147.47
TOTAL 181.82 147.47
i) Considered Good, Secured - -
ii) Considered Good, Unsecured 181.82 147.47
iii) Which have significant increase in Credit risk
iv) Credit Impaired - -

Note: 2.5 Deferred tax assets (Net) (` In Crore)
Particulars
A. Deferred tax assets :
1. Provision for bad & doubtful debt and advances 744.82 606.44
2. Intangible Assets (20.96) (15.40)
3. Asset retirement obligation and spares 4.39 4.39
4. Investments 9.19 9.20
5. Others 31.50 37.14
Total Deferred Tax Assets 768.94 641.77
B. Deferred tax liabilities :
1. Related to PPE (235.94) (231.82)
2. Right-of-use Assets (2.05) (1.67)
Total Deferred Tax Liabilities (237.99) (233.49)
Net Deferred Tax Assets 530.95 408.28
Note: 2.6 Other Non-Current Assets (` In Crore)

Particulars
Capital Advances (*) 838.69 465.25
ITC Receivables 1,675.51 1,586.64
Mines Closure Fund with Life Insurance Corporation 965.10 859.20
Other Advances (**) 788.67 784.82
Total 4,267.97 3,695.91
(*) Capital Advances includes an amount of ` 3.01 crore ( P.Y ` 4.57 crore) towards doubling of railway lines between
Jagdalpur and Ambagoan, also inclued payment of ` 246.51.(P.Y ` 241.27 crore) towards Tokisud Coal Block and
payment of ` 73.16 crore (P.Y. ` 72.62) crore towards Rohne Coal Block.
(**) Inclueds an amount of ` 600 crore(P.Y.Rs. 600 crore), paid to South Bastar Dantewada under protest against the
demand notice for Common Cause.
196 NMDC LIMITED

Note: 2.7 Inventories
(As Valued and Certified by the Management) (` In Crore)
Particulars
Raw materials -
Iron Ore 1.42 4.44
Lime Stone 0.12 0.09
Bentolite 0.15 0.27
Total R M 1.69 4.80
Work-in-Process :
Pellets 1.37 3.29
Diamonds - -
Sponge Iron 0.93 0.93
Total WIP 2.30 4.22
Finished Goods:
Iron Ore 1,887.19 672.47
Pellets 12.98 27.25
Diamonds & Precious Stones 0.04 39.17
Total Finished Goods 1,900.22 738.90
Inventories are valued at cost or NRV whichever is lower.
Total (A) 1,904.21 747.92
Note: 2.7 Inventories (` In Crore)

Particulars
Stores & Spares 257.37 172.19
Loose tools and Implements 3.32 1.61
Total (B) 260.69 173.80
G. Total (A+B) 2,164.90 921.72
1. Stores and Spares include:
a) Stores-in-transit 4.16 3.65
b) Obsolete stores & spares valued at
Re1 per unit of their original value of ` 3.79 crore 0.01 0.01
(previous year ` 3.65 crore )

Notes: 2.8.1 Trade Receivables (` In Crore)
Particulars
Considered Good, Secured - -
Considered Good, Unsecured, 2,954.30 2,480.99
Which have significant increase in Credit Risk - -
Credit impaired 2,932.14 2,043.33
Total(*) 5,886.44 4,524.32
Less: Provision for bad & doubtful trade receivables 84.45 17.87
Less: Provision for bad & doubtful (Monitoring Committee) 2,847.69 2,366.56
Total Provision 2,932.14 2,954.30 2,384.43 2,139.89
TOTAL 2,954.30 2,139.89
(*)
i) Trade Receivables includes ` 4555.27 crore (Previous year ` 3,242.51 crore) dues from Monitoring Committee.
ii) Based on the arrangements between Company and Customers, the bills of the Customers amounting to ` 1236.17
crore (Previous year – Nil) have been discounted during the year. Accordingly, Trade receivables have been shown
net of bills discounted.
iii) Trade receivables includes:
a) For ` 681.43 crore ( P.Y Nil) related to RINL which is not due as on 31st March 2022
b) For ` 987.23 crore related to Monitoring Committee which is not due as on 31st March 2022
Note: 2.8.1.1 Trade Receivables (Aging) (` In Crore)
Outstanding for following periods from due date of payments

PARTICULARS Less than 6 months More than
6 months - 1 years 3 years
i) Undisputed Trade Receivables-
2,426.08 402.20 19.40 20.82 85.80 2,954.30
Considered good
ii) Undisputed Trade Receivables- Which
have significant increase in credit -
risk.
iii) Undisputed Trade Receivables- Credit
-
Impaired
iv) Disputed Trade Receivables-
-
Considered good
v) Disputed Trade Receivables- Which
have significant increase in credit -
risk.
vi) Disputed Trade Receivables- Credit
225.43 255.70 221.92 188.27 2,040.82 2,932.14
Impaired
Total 2,651.51 657.90 241.32 209.09 2,126.62 5,886.44
Note: Due date is the Date on which the amount of sales proceeds is due for claimed from the customer/ Monitoring
Committee
198 NMDC LIMITED

Notes: 2.8.2 Cash And Cash Equivalents (` In Crore)
Particulars
Cash in hand - 0.01
Balance with Banks
on current Accounts 83.69 407.66
On Deposit Accounts - 1.00
(Original Maturity less than 3 months)
Total 83.69 408.67
Notes: 2.8.3 Bank Balances Other than Note no. 2.8.2 (` In Crore)
Particulars
Balances with bank on 'Deposits accounts ( Original maturity
7,768.85 5,358.13
more than 3 months but less than 12 months ) (*)
Balances with banks for Unpaid Dividend 3.84 3.64
Balance with banks TDS on Dividend 41.10 34.51
Bank deposits offered as security for Bank guarantees and letter
42.69 1.06
of credit
Total 7,856.48 5,397.34
(*) Fixed Deposits of ` 1,114.80 crore (P.YRs. 2,138 crore) pleaged for avaling OD Facilities.
Note: 2.8.4 Other Financial Assets (` In Crore)

Particulars
Related Parties
Advances to Directors 0.06 -
Loans/ Advances to Subsidiaries/ Jv's/ Associates 149.91 68.37
Less: Provision 23.21 16.62
126.70 51.75
Employees and outsiders
Advances to Employees and outsiders (*) 427.93 356.53
Interest Accrued
Accrued interest on deposits with banks 32.05 27.80
Accrued interest on Other 8.21 3.42
Other Receivables 22.65 22.20
Total 617.60 461.70
(*) Advance received by Monitoring Committee on behaf of NMDC ` 293.40 crore ( P.Y ` 161.62 crore) against advance
auction.

Note: 2.9 Current Tax Asset (Net) (` In Crore)
Particulars
Advance Income tax & TDS 8,803.58 4,444.26
Less : Provision 7,903.46 4,187.22
900.12 257.04
Total 900.12 257.04
Note: 2.10 Other Current Assets (` In Crore)

Particulars
Advances to Employee and outsiders 711.44 726.99
Less: Provision for bad and doubtful advances 4.03 8.54
707.41 718.45
ITC Receivables 489.75 242.68
Total 1,197.16 961.13
Note: 2.11 Assets Held for Disposal (` In Crore)

Particulars
Assets held for disposal 0.81 0.63
Total 0.81 0.63
Note: 2.12 Equity Share Capital (` In Crore)

Particulars
Authorised:
400,00,00,000 Equity Shares of Re. 1/- each
(Previous year 400,00,00,000 Equity Shares of Re.1/- each) 400.00 400.00
Issued, Subscribed & Paid up:
Opening Balance
2,93,06,05,850 Equity Shares of Re.1/- each fully paid up (Previous 293.07 306.19
year 3,06,18,49,659 of Re.1/- each fully paid )
Add: issue of shares during the year
Less: Buyback of shares during the year Nil (Previous year
- 13.12
13,12,43,809 Equity shares of Re.1/- each fully paid up )
2,93,06,05,850 Equity Shares of ` 1/- each fully paid up (Previous
293.07 293.07
year 2,93,06,05,850 of ` 1/- each fully paid )
Total 293.07 293.07
200 NMDC LIMITED

Addl. Notes :
1) No new shares were issued, during the current year.
2) Terms/Rights attached to equity shares :
The company has only one class of equity shares having par value of Re.1/- each and each holder of equity
shares is entitled to one vote per share.
3) The details of shares in the company held by each shareholder holding more than 5% shares :
% of change in
Name of the Share holder no of shares
%of Holding No. of Shares %of Holding No. of Shares %
i) President of India 60.79 1,781,633,571 68.29 2,001,283,891 (10.98)
ii) LIC of India (incl all schemes) 14.16 414,885,432 13.46 394,591,074 5.14
Note: 2.13 Other Equity (` In Crore)

General Retained
Particulars CRR OCI Total
Reserve earnings
Transfer to Capital Redempion Reserve (CRR) (13.12) - 13.12 -
Buyback of shares (including transaction charges) (1,687.50) - (1,687.50)
Total 2,199.38 78.90 13.12 (56.09) 2,235.31
st
27,666.44 1,866.92 103.40 (173.69) 29,463.07
Total 5,000.00 78.76 - 9.07 5,087.83
Balance as at 31st March 2022 32,666.44 1,945.68 103.40 (164.62) 34,550.90

NON-CURRENT LIABILITIES
Note 2.14.1 Borrowings (Non Current) (` In Crore)
Particulars
7.30% Non Convertible Debentures Series - 1 523.80 523.80
Trust & Retention Accounts 1,144.42 -
Total 1,668.22 523.80
Note 2.14.2 Lease Liability (` In Crore)

Particulars
Lease Liabilties 5.85 4.57
Total 5.85 4.57
Note 2.14.3 Other Financial Liabilities (Non- Current) (` In Crore)

Particulars
Other Financial Liabilities 150.28 150.28
Total 150.28 150.28
Note 2.14.4 Provisions (Non- Current) (` In Crore)

Particulars
Employee Benefits :
Long Service Reward 45.37 47.54
Mine closure obligation 1,043.75 897.62
Provisions for de-commissioning liability (ARO Obligation) 2.88 2.69
Total 1,092.00 947.85
Note: 2.15.1 Borrowings (` In Crore)

Particulars
Interest Accrued on 7.30% Non Convertible Debenture Series - 1 22.63 22.63
Loan against FD/ Working Capital Loan (*) 1,788.05 1,448.04
Interest on Working Capital Loan 4.45
Total 1,815.13 1,470.67
(*) Over Drafts availed by pledging Fixed Deposits is ` 1114.80 crore (P.Y ` 2,138 crore) and ` 1249 crore short term
working capital loan from SBI.
Note: 2.15.2 Lease Liability (` In Crore)

Particulars
Total 1.45 1.11
202 NMDC LIMITED

Note: 2.15.3 Trade Payables (` In Crore)
Particulars
Total outstanding dues of micro and small enterprises 26.70 12.66
Other than micro and small enterprises 940.52 347.60
Total 967.22 360.26
Disclosure Relating to Micro and Small Enterprises 31st March 2022 31st March 2021
i) (a). The principal amount remaining unpaid to the supplier as
26.70 12.66
at the end of the year
ii) (b). The interest due on the above amount, remaining unpaid
Nil Nil
to the supplier as at the end of the year
iii) the amount of interest paid in terms of section 16, along with
the amount of the payment made to the supplier beyond the Nil Nil
appointed day during each accounting year;
iv) the amount of interest due and payable for the period of
delay in making payment (which have been paid but beyond
the appointed day during the year) but without adding the Nil Nil
interest specified under Micro,Small and Medium Enterprises
Development Act,2006;
(v) the amount of interest accrued and remaining unpaid at the
Nil Nil
end of each accounting year; and
(vi) the amount of further interest remaining due and payable
even in the succeeding years, until such date when the
interest dues as above are actually paid to the small
Nil Nil
enterprise, for the purpose of disallowance as a deductible
expenditure under section 23 of Micro,Small and Medium
Enterprises Development Act,2006.
Note: 2.15.3.(I) Trade Payable (Aging) (` In Crore)
Outstanding for following periods from due date of payments

PARTICULARS
Less than 1 years 1-2 years 2-3 years More than 3 years Total
i) MSME 26.45 0.15 - 0.10 26.70
ii) Others 732.47 186.53 7.39 14.14 940.53
iii) Disputed Dues: MSME - - - - -
iv) Disputed Dues: Others - - - - -
Total 758.92 186.68 7.39 14.24 967.23
Note: Due date is the Date on which the amount to be paid to the vendor, for supply of goods and services, upon
receipt and acceptance.

Relationship with Struck off Companies (` In Crore)
Transaction Balance Relationship with

Nature of
Name of the Struck Off Company During the Year Outstanding As at the Struck off
transaction
2021-22 31-Mar-2022 companies
Hima Marketing (P) Ltd Payable - 11,330.00 Vendor
Noice Elevators and Engineering
Payable - 700.00 Vendor
Work
PG Power System (P) Ltd Payable - 188,553.00 Vendor
Pioneer Tech Engineering Services Payable 44,777.00 229,145.00 Vendor
Pratah India Payable - 3,242.00 Vendor
Techtrix Controls Chennai (P) Ltd Payable - 17,446.00 Vendor
Total 44,777.00 450,416.00
Note: 2.15.4 Other Financial Liabilities (` In Crore)

Particulars
Unpaid Dividend 3.84 3.64
Deposits from Suppliers, Contractors and Others 318.58 308.43
Capital Creditors 756.44 982.59
Other financial Liabilities 414.63 329.34
Total 1,493.49 1,624.00
Note : 2.16 Other Current Liabilities (` In Crore)

Particulars
Contract Liabilities (*) 1,068.65 606.59
Other Payables 46.59 154.39
(like withholding and other taxes payable, amounts payable to
employees and others)
Statutory Dues 1,524.70 1,089.93
Total 2,639.94 1,850.91
(*) Advance deposited by cutomers with Monitoring Committee (on behaf of NMDC ) ` 293.40 crore (P. Y ` 161.62
crore) against advance auction.
Note: 2.17 Provisions (` In Crore)

Particulars
Employee Benefits :
i) Long Service Reward 2.35 2.50
ii) Provision for gratuity, leave salary, family benefit scheme and
12.04 92.81
post employment medical benefits
Total 14.39 95.31
204 NMDC LIMITED

Note: 2.18 Revenue from Operations (` In Crore)
Particulars
Sale of Products :
a) Iron Ore
i) Export through MMTC 9.19 1,749.69
ii) Domestic
Basic price 20,899.81 10,914.92
Royalty 3,605.94 1,960.16
Development Cess 65.26 52.92
Forest Permit Fee 43.51 35.28
District Mineral Fund (DMF) 865.27 467.40
National Mineral Exploration Trust (NMET) 57.68 53.33
Total Domestic Sales 25,537.47 13,484.01
Total Iron Ore Sales 25,546.66 15,233.70
b) Sponge Iron - -
c) Diamonds 62.93 21.10
d) Sale of Power 4.99 5.17
e) Sale of Services 45.04 36.58
f) Sale of Pellets 222.11 73.50
g) Other operating revenue - 0.01
Total 25,881.73 15,370.06
Note: 2.19 Other Income (` In Crore)

Particulars
a) Interest Income:
i) Deposits with Banks 289.03 155.96
ii) Others 139.79 82.81
428.82 238.77
b) Gain in Exchange 0.96 0.01
c) Profit on sale/adjustment of assets 0.12 0.26
d) Profit on sale of Current investments( MF) 16.74 19.66
e) Other non operating income 271.69 91.18
Total 718.33 349.88
Note: 2.20 Consumption of Raw Materials (` In Crore)

Particulars
Iron ore 105.07 41.16
Internal handling of raw materials 1.02 0.40
Total 106.95 42.01

Note: 2.21 Changes in Inventories of Finished Goods and Work in Progress (` In Crore)
Particulars
Work-in-process:
Balance as at the beginning of the Year 4.22 2.79
Less: Balance as at close of the Year 2.30 4.22
1.92 (1.43)
Finished Goods:
Less: Balance as at close of the Year 1,887.25 711.66
Less- Balance in Capital Inventory 41.11
(1,216.69) (161.25)
Finished Goods: (Pellets)
14.27 0.87
Total (1,200.50) (161.81)
Note: 2.22 Employee Benefit Expense (` In Crore)

Particulars
Contribution to Provident fund and other funds
Provident Fund, FPS & DLI 49.04 51.17
Pension Fund 42.89 36.95
Group Gratuity Fund 5.45 11.47
Staff Welfare Expenses(*) 330.32 176.02
Total 1,333.68 1,081.81
(*) Current period amount includes the compensation of ` 109,81 crore paid to NMDC EPF Trust towards investment
defaults
Note: 2.23 Power, Electricity and Water Charges (` In Crore)

Particulars
Power charges 100.73 91.79
Electricity charges 18.09 15.61
Water charges 3.69 3.39
Total 122.51 110.79
Note: 2.24 Repairs & Maintenance (` In Crore)

Particulars
Buildings 32.30 30.36
Plant and Machinery 61.89 38.08
Vehicles 3.86 1.78
Others 94.11 65.65
Total 192.16 135.87
206 NMDC LIMITED

Note: 2.25 Selling Expense (` In Crore)
Particulars
Railway freight - 293.88
Export duty 0.96 182.55
Infrastructure Development cess 32.75 29.11
Environmental Development cess 32.75 29.11
Other selling expenses 161.28 160.62
Total 227.74 695.27
Note: 2.26 Finance Cost (` In Crore)

Particulars
i) Interest on Short term Borrowings (*) 32.26 10.13
ii) Interest - Others 6.62 6.50
iii) Interest on deposit from contractors, suppliers & others 0.18 0.18
Total 39.06 16.81
(*)The Short term Borrowings is for meeting working capital requirement.
Note: 2.27 Other Expenses (` In Crore)

Particulars
Rent 2.06 2.41
Insurance 7.84 7.69
Rates & Taxes 7.07 3.44
Directors' Travelling expenses 0.39 0.46
Directors' Sitting Fees 0.08 0.10
Payment to Auditors:
As audit Fee 0.55 0.46
For taxation matters 0.04 0.03
For Management Services - 0.03
For Other Services 0.42 0.38
For reimbursement of expenses 0.01 0.01
1.02 0.91
Loss on sale/adjustment of Assets 1.99 1.00
Miscellaneous losses written off 1.04 0.20
Provision for doubtful debts/advances 559.70 234.47
Mine closure Obligation 146.11 97.10
Raising and Transportation 130.80 52.73
Local Area Development (Towards SPV in Karnataka) 481.13 221.92
Compensation paid to Statutory Agencies - -
Entertainment 2.90 1.40
Donations - 150.00
Travelling & Conveyance 37.61 21.63

Particulars
Advertisement & Publicity 21.83 12.37
Postage, Telephone & Telex 3.87 4.37
Stationery & Printing 2.25 2.34
Consultancy charges 10.88 17.15
CISF/Security guards 216.95 191.28
Safety expenses 0.23 0.34
Corporate Social Responsibility (*) 287.33 158.62
Loss in Exchange variation (net) 0.04 0.06
Other expenses 57.11 77.36
Expenditure on enabling facilities for the company 125.22 147.79
Total 2,126.91 1,443.47
(*) CSR Expenditure During the Year 287.33 158.62
CSR Expenditure as per Statutory obligation 148.15 130.00
CSR Expenditure made Voluntarly 139.18 28.62
Note: 2.28 Exceptional Items (` In Crore)

Particulars
Expenditure
Total Expenditure - - - -
Less: Income
Total Expenditure/(Income) - - -
(*)There was a demand from CISF for payment of 'Risk and Hardship allowance for the periods 2009 onwards. An
amount of ` NIL (` 68.01 Cr previous year) provided in the acccounts pertaining to previous years is shown under
exceptional items above.
Note: 2.29 Tax Expenses

Reconciliation of Effective Tax rate and Statutory tax Rate as on 31st March 2022 (` In Crore)
Particulars
CURRENT TAX
Current Tax on profit for the year 3,447.23 2,297.73
Adj. of current tax for prior period 260.53 343.20
Total current tax expenses 3,707.76 2,640.93
DEFERRED TAX
Decrease/(increase) in deferred tax assets (132.73) (32.34)
Decrease/(increase) in deferred tax liabilities 10.06 21.13
Total deffered tax expenses/(benefit) (122.67) (11.21)
Total Expenditure 3,585.09 2,629.72
208 NMDC LIMITED

Amount Tax -
Particulars Tax %
` In crore ` In crore
Accounting profit before tax from continuing operations 12,981.41
Profit/(loss) before tax from discontinued operations (0.91)
Accounting profit before income tax 12,980.50
Tax at Income tax rate(INR in crore)/Income tax rate(%) 3266.93 25.168
Tax effect of amount not deductible in calculating taxable
income
CSR exp. 287.33 72.32 0.557
Prov. For bad & doubtful exp. 559.70 140.87 1.085
Change in Depreciation (124.70) (31.38) (0.242)
OCI due to Actuarial Gain/Loss 12.14 3.05 0.023
Deduaction U/S 80G - -
Other items (18.10) (4.56) (0.035)
Taxable income 13,696.87
Current Tax on Profit for the year 3,447.23 3,447.23 26.556
NOTE 2.30 ADDITIONAL INFORMATION (` In Crore)

Figures as at the end of Figures as at the end
31st March 2022 of 31st March 2021
2.30.1. Value of imports calculated on CIF basis:
i. Components & Spare parts 1.65 2.22
ii. Capital Goods 46.08 2.94
2.30.2. Expenditure in foreign currency:
i. Consultancy charges - -
ii. Others 0.08 4.28
2.30.3. Particulars of consumption of raw material
Raw material Value Percentage Value Percentage
a) Imported - - - -
b) Indigenous 106.95 100.00 42.01 100.00
106.95 100.00 42.01 100.00
2.30.4. Particulars of consumption of Stores & spares:
Components & spare parts (including consumable stores) Value Percentage Value Percentage
a) Imported 2.07 0.52 6.01 2.33
b) Indigenous 394.46 99.48 251.40 97.67
396.53 100.00 257.41 100.00
2.30.5. Foreign Exchange earnings : - - - -

2.31. Contingent liabilities and Commitments (to the extent not provided for)
A. Contingent liabilities (` In Crore)
As at As at
Particulars Additions Deletions
31-Mar-2021 31-Mar-2022
1.1 Claims against the company not acknowledged as debts
consisting of:
a Disputed claims under Property tax, Export tax, 2,398.50 19.29 26.42 2391.37
Conservancy Tax, Sales tax, Service Tax, Income tax etc.,
b Claims by contractors under arbitration
i. On capital account 910.35 353.01 38.06 1225.30
ii. On revenue account 5.24 1.03 6.27
c Other claims on company not acknowledged as debts 365.83 18.31 136.67 247.47
Total 3,679.92 391.65 201.15 3870.41
31-Mar-2022 31-Mar-2021
1.2 Contingent liability on bills discounted/ LCs/BG’s 2,640.73 1,269.30
The Company has issued letter of comfort in favour of International Coal Venture (P) Limited (ICVL) in furtherance
for providing Corporate Guarantee of US$ 30 Mn by them to EXIM Bank on behalf of Minas De Benga Limitada,
Mozambique (Borrower), a downstream operating subsidiary of ICVL, New Delhi in respect of short term working
capital loan. The said letter of comfort does not in any way constitute the guarantee or security by the Company of the
duties of the borrower to meet its obligation under the said facility.
1.3 : Disputed claims under ‘ Karnataka Forest Act:

Government of Karnataka had introduced Forest Development Tax (FDT), to pay @ 12% on the sale value of iron
ore with effect from 27.08.2008. NMDC preferred an appeal before Hon’ble High Court of Karnataka and the court
passed an interim order directing the Company to pay 50% of FDT, consisting of 25% in cash and balance 25% in the
form of Bank Guarantee. As against the total FDT demand of ` 487.37 Crore ( from August 2008 to Sep-2011), the
Company has deposited an amount of ` 121.84 Crore (25%) in cash which has been shown as amount recoverable and
submitted a bank guarantee for similar amount. An amount of ` 365.53 Crore (balance 50% amount of ` 243.69 Crore
plus 121.84 Crore paid and accounted as amount recoverable) is included under disputed claims at 1.1.A. The amount
of ` 121.84 Crore for which BG was given is included under contingent liability on BGs’ at 1.2.
Hon'ble High Court of Karnataka vide order dated 03.12.2015 has quashed the orders of Government of Karnataka
levying the FDT and ordered refund of the tax collected within three months and accordingly the Company has lodged
refund claims. However, Government of Karnataka has filed a Special Leave Petition with Hon'ble Supreme Court of
India, challenging the orders of Hon'ble High Court of Karnataka. Hon'ble Supreme Court of India has accepted the
same and imposed stay on refund of the FDT amount.
Meanwhile Karnataka State Govt. had enacted Karnataka Forest (Amendment) Act 2016 vide Gazette notification
dated 27.07.2016. The amendment substituted the word ‘Tax’ in the principal act to ‘Fee’ w.e.f 16th day of Aug 2008.
Based on this the Monitoring Committee had started billing the Forest Development Fee in its invoices. Meanwhile
consumers in Karnataka had filed separate Writ Petitions in Hon’ble High Court of Karnataka on the above. Karnataka
High Court vide its order dated 20th Sept. 2016, had ordered that State Govt may restrain from collecting FDF during
the pendency of the writ petition, subject to the condition of furnishing bank guarantee in respect of 25% of the
demand in relation to future transactions. Karnataka State Govt. had approached Hon’ble Supreme Court on this.
Hon’ble Supreme Court vide its order dated 13.02.2017 modified the order of High Court of Karnataka and ordered for
payment of 50% of the demanded amount and furnish Bond for balance amount.
The amount billed by the monitoring committee amounting to ` 93.85 crore towards FDF has been accounted under
sales revenue during the Financial year 2017-18. As, the Karnataka High Court vide its judgement dated 4th October
2017 has declared the Karnataka Forests (Amendment) Act, 2016 which was introduced for collection of Forest
Development Fee (FDF) as unconstitutional, No FDF was collected nor paid with effect from 5th October 2017.
210 NMDC LIMITED

B. Commitments: (` In Crore)
As at As at
Particulars
31-Mar-2022 31-Mar-2021
Estimated Amount of contracts remaining to be executed
1.1 5,272.42 4,846.63
on Capital account
1.2 Other commitments- commitments to subsidiaries and JV Nil Nil
2.32 DISCLOSURES UNDER ACCOUNTING STANDARDS

2.32.1 EMPLOYEE BENEFITS AS PER Ind - AS-19
GENERAL DESCRIPTION OF DEFINED/CONTRIBUTORY BENEFIT PLANS :
PLAN DESCRIPTION
The company’s contribution to the provident fund is remitted to a separate trust based
on a fixed percentage of the eligible employees’ salary. Further, the company makes
1. Provident fund
good the shortfall, if any, between the return from investments of trust and the notified
rate of interest on actuarial valuation basis.
2. Gratuity Eligible amount is paid to the employees on separation by NMDC Group Gratuity Trust.
Encashment of accumulated leave payable as per the rules of the Company to the
3. Accrued Leave Salary employees on separation is made by NMDC Employees Superannuation Benefit Fund
Trust.
Employees are paid eligible amount at the time of retirement for their settlement by
4. Settlement Allowance
the NMDC Employees Superannuation Benefit Fund Trust.
Retired employees opting for the Post Retirement Medical Benefit Scheme on
5. Post Retirement
contribution of prescribed amount can avail medical benefits as per the Scheme and
Medical Facilities
the liability is funded to NMDC Employees Superannuation Benefit Fund Trust.
Monthly payments to disabled separated employees/legal heirs of deceased employees

6. Family Benefit Scheme on deposit of prescribed amount, till the notional date of superannuation and the
liability is funded to NMDC Employees Superannuation Benefit Fund Trust.
Employees are presented with an award in kind on rendering prescribed length of
7. Long Service Award
service.
8. Contribution to
The company’s contribution to the defined contribution pension scheme is remitted to
Defined Contribution
a separate trust based on a fixed percentage of the eligible employees’ salary.
Pension scheme
OTHER DISCLOSURES :
i) Provident fund :
The company has conducted Actuarial valuation of its PF trust and the trust do not have any deficit as on 31st March
2022
ii) Other defined benefit plans : (` In Crore)
Post
Accrued Settle- Family Long
retirement
Particulars Gratuity Leave ment Benefit Service
medical
Salary Allowance Scheme Award
facilities
A. Changes in the present value of obligation as on
31st March 2021
Present value of obligation at the beginning of
359.54 224.12 13.77 526.28 36.69 30.37
the year
Interest cost 23.46 15.25 - 35.79 - -
Current service cost 9.44 25.50 - 28.20 - -

(` In Crore)
Post
retirement
medical
facilities
Past service cost - - - - - -
Benefits paid/payable (28.96) (0.32) (0.57) (36.53) (7.90) (3.13)
Actuarial gain/loss on obligation (6.51) (26.99) 5.53 38.47 14.64 22.80
Present value of obligation at the end of the 356.97 237.56 18.73 592.21 43.43 50.04
period
31st March 2022
Present value of obligation at the beginning of
356.97 237.56 18.73 592.21 43.43 50.04
the year
Interest cost 23.46 15.89 - 40.74 - 3.43
Current service cost 10.43 32.98 - 26.64 - (1.48)
Actuarial gain/loss on obligation (1.71) (23.77) 0.67 (42.36) 31.71 (0.45)
Present value of obligation at the end of the 359.37 253.32 18.91 559.43 51.41 47.71
period
B. Changes in the fair value of the Plan Assets
as on
31st March 2021
Fair value of plan assets at the beginning of the
307.64 162.95 41.59 432.88 40.26 -
year
Expected return on plan assets 19.95 4.25 2.85 36.91 3.78 -
Contributions 50.49 61.18 - 93.40 - -
Benefits paid/payable (28.96) (0.32) (0.57) (36.53) (7.90) -
Actuarial gain/loss on plan assets (0.01) - - - - -
Fair value of plan assets at the end of the period 349.11 228.05 43.87 526.66 36.14 -
31st March 2022
Fair value of plan assets at the beginning of the
349.11 228.05 43.87 526.66 36.14 -
year
Contributions 6.03 9.52 - 65.55 7.29 -
Actuarial gain/loss on plan assets - - - - - -
Fair value of plan assets at the end of the period 353.02 257.98 47.00 591.22 39.37 -
C. Amounts recognised in the Balance sheet as
on
31st March 2021
Present value of the obligations at the end of the
356.97 237.56 18.73 592.21 43.43 50.04
year
Fair value of plan assets at the end of the year 349.11 228.05 43.87 526.66 36.14 -
Liability(+)/Asset (-) recognised in the balance 7.86 9.51 (25.14) 65.55 7.29 50.04
sheet
212 NMDC LIMITED

(` In Crore)
Post
retirement
medical
facilities
31st March 2022
Present value of the obligations at the end of the
359.37 253.32 18.91 559.43 51.41 47.71
year
Fair value of plan assets at the end of the year 353.02 257.98 47.00 591.22 39.37 -
Liability(+)/Asset (-) recognised in the balance 6.35 (4.66) (28.09) (31.79) 12.04 47.71
sheet
D. Amounts recognised in the Statement of P&L
for the period ended
31st March 2021
Interest cost 23.46 15.25 - 35.79 - -
Expected return on plan assets (19.95) (4.25) (2.85) (36.91) (3.78) -
Net acturarial gain/loss recognised in the year
(6.50) (26.99) 5.53 38.47 14.64 22.80
(OCI)
Total 6.45 9.51 2.68 65.55 10.86 22.80
31 March 2022
st

Interest cost 23.46 15.89 - 40.74 - 3.43
Net acturarial gain/loss recognised in the year
(1.71) (23.77) 0.67 (42.36) 31.71 (0.45)
(OCI)
Total 4.52 (4.65) (2.94) (31.79) 12.04 1.50
E. PRINCIPAL ACTUARIAL ASSUMPTIONS :

DESCRIPTION 2021-2022 2020-2021 2019-2020
i. Discount Rate 7.32% 6.80% 6.80%
IALM (2012-14 Till age 60 and LIC 1994-96
ii. Mortality Rate IALM (12-14)
IIAMT (2012-15) Thereafter ultimate
iii. Medical Cost Trend rates 5% 5% 5%
iv. Withdrawal rate 1% 1% to 3% 1% to 3%
iv. Future salary increase 6.50% 6.50% 6.50%
i) The discount rate adopted above is based on market yields at the balance sheet date on government bonds.
ii) In line with the report of the 3rd Pay Revision Committee,the ceiling of gratuity enhanced from ` 10 lakhs to
` 20 lakhs for provision of gratuity

F. Sensitivity analysis
The sensitivity of the defined benefit obligation to changes in the weighted principal assumption is :
a) Gratuity (` In Crore)
1% Increase 1% Decrease 1% Increase 1% Decrease
31/3/ 2022 31/3/ 2022 31/3/ 2021 31/3/ 2021
Effect of 1% Change in the Assumed
331.88 391.31 328.37 390.44
Discount Rate
1. Effect on DBO (7.60) 8.90 (8.00) 9.40
371.38 346.06 367.23 346.73
Salary Rate
2. Effect on DBO 3.10 (3.70) 2.90 (2.90)
366.70 351.07 359.76 353.92
Attrition Rate
3. Effect on DBO 2.00 (2.30) 0.80 (0.90)
b) Accrued Leave Salary (` In Crore)

31/3/ 2022 31/3/ 2022 31/3/ 2021 31/3/ 2021
228.39 248.98 208.71 247.31
Discount Rate
1. Effect on DBO (4.20) 4.50 (7.90) 9.20
249.05 228.14 247.08 208.58
Salary Rate
2. Effect on DBO 4.60 (4.20) 9.10 (7.90)
238.09 238.31 227.11 225.92
Attrition Rate
3. Effect on DBO - - 0.20 (0.30)
c) Post Retirement Medical Facilities (` In Crore)

31/3/ 2022 31/3/ 2022 31/3/ 2021 31/3/ 2021
505.02 624.89 534.39 661.92
Discount Rate
1. Effect on DBO (9.72) 11.70 (9.76) 11.77
612.27 511.89 648.11 541.92
Medical Inflation rate
2. Effect on DBO 9.45 (8.50) 9.44 (8.49)
(G) Defined benefit liability (` In Crore)

The weighted average duration of the defined benefit obligation is 6.90 years for Leave encahement benefit, 9.40 years
for gratuity scheme as on 31 March 2022. The expected maturity analysis of gratuity and compensated absenses is as
under :
Less than Between between Over 10
Total
a year 2 - 5 years 5 -10 years years
31 March 2022
Gratuity scheme 39.59 99.99 142.99 76.80 359.37
Accrued leave salary 47.48 105.39 100.45 - 253.32
Post retirement medical benefits 26.64 88.18 263.64 212.76 591.22
Total 113.71 293.56 507.08 289.56 1,203.91
214 NMDC LIMITED

The weighted average duration of the defined benefit obligation is 13.61 years for Leave encahement benefit, 14.07
years for gratuity scheme as on 31 March 2021. The expected maturity analysis of gratuity and compensated absenses
is as under :
(` In Crore)
Less than Between between Over
Total
a year 2 - 5 years 5 -10 years 10 years
31 March 2021
Gratuity scheme 33.54 99.00 162.47 61.96 356.97
Accrued leave salary 19.88 62.33 109.76 45.59 237.56
Post retirement medical benefits 28.20 127.62 244.81 126.03 526.66
Total 81.62 288.95 517.04 233.58 1,121.19
2.32.2. Segment Reporting as per Ind - AS-108

A. Basis for segmentation
An operating segment is a component of the company that engages in business activities from which it may earn
revenues and incur expenses and for which discrete financial information is available. All operating segments’
operating results are reviewed regularly by the Board of Directors to make decisions about resources to be allocated
to the segments and assess their performance.
The company has two reportable segments, as described below, which are the company's strategic business units.
These business units offer different products and services, and are managed separately because they require
different technology and marketing strategies. For each of the business units, the company’s Board reviews internal
management reports on a periodic basis.
The following summary describes the operations in each of the company's reportable segments:
B. Information about reportable segments
Information regarding the results of each reportable segment is included below. Performance is measured based on
segment profit (before tax), segment revenue and segment capital employed as included in the internal management
reports that are reviewed by the board of directors. Segment profit is used to measure performance as management
believes that such information is the most relevant in evaluating the results of certain segments relative to other
entities that operate within these industries. Inter-segment pricing is determined on an arm's length basis.
Reportable Segments
Business Segments (INR Crore)
Pellets , Other Other reconciliation

Iron Ore Grand Total
Minerals & Services items
Current Previous Current Previous Current Previous Current Previous
year year year year year year year year
1.REVENUE
External Sales 25,546.66 15,233.71 333.94 135.94 1.13 0.41 25,881.73 15,370.06
Inter-Segment
83.06 - - - (83.06) - - -
Sales
Total Revenue 25,629.72 15,233.71 333.94 135.94 (81.93) 0.41 25,881.73 15,370.06
2. RESULT
Segment Result 13,204.19 9,261.86 (70.20) (131.46) (232.03) (188.90) 12,901.96 8,941.50
Unallocated
(311.22) (261.83)
Corporate Exps
Operating Profit 12,590.74 8,679.67
Finance Cost (39.06) (16.81)
Interest Income 428.82 238.77
Income Taxes (3,582.02) (2,648.58)
Net Profit 9,398.48 6,253.05

Pellets , Other Other reconciliation
Minerals & Services items
year year year year year year year year
3. OTHER
INFORMATION
Segment Assets 10,778.10 7,590.76 493.54 579.28 32,889.35 28,206.58 44,160.99 36,376.62
Segment
3,601.37 2,672.84 48.00 39.27 6,198.60 4,316.65 9,847.97 7,028.76
Liabilities
Additions to
assets during the
year :
Tangible Assets 320.04 69.44 3.48 3.07 794.68 207.98 1,118.20 280.49
Intangible Assets 0.70 72.87 - 1.37 48.66 0.03 49.36 74.27
ROU Assets - 0.00 - - 2.63 1.19 2.63 1.19
Depreciation,
Amortisation and
Impairment 214.59 179.73 51.74 35.06 20.52 13.04 286.85 227.83
expenses during
the year
Impairment
- - - - - - - -
reversal/provided
Non-Cash
expenses other
554.12 226.66 0.02 0.02 6.60 7.99 560.74 234.67
than Depreciation
& amortization
Geographical Segments
Sales Revenue by location of Customers: (INR Crore)
Curr. Year Prev. Year
Revenue from External customers
- Domestic 25,872.54 13,620.37
- Export : Through MMTC 9.19 1,749.69
Total 25,881.73 15,370.06
Assets by Geographical Location: (INR Crore)

Carrying amount of Additions to Tangible and
Location Segment Assets Intangible Assets
Curr. Year Prev. Year Curr. Year Prev. Year
Chattisgarh 27,957.82 24,147.85 972.56 250.35
Telangana & Andhra Pradesh 12,358.80 9,540.60 100.70 6.79
Others 3,844.37 2,688.17 94.30 97.63
Total 44,160.99 36,376.62 1,167.56 354.77
216 NMDC LIMITED

Note No. 2.32.3 Disclosures – Revenue (Ind AS 115)
a) Disaggregated revenue information
Set out below is the disaggregation of the Company’s revenue from contract with customers (` In Crore)
Year ended Year ended
Segment
INR crores INR crores
Type of goods or service
Sale of goods
-Iron ore 25,546.66 15,233.70
-Sponge iron - -
-Diamonds 62.93 21.10
-Sale of pellets 222.11 73.50
-Sale of power 4.99 5.17
Sale of services
-Sale of services 45.04 36.58
Others
Other operating revenue - 0.01
Total revenue from contracts with customers 25,881.73 15,370.06
India 25,872.54 13,620.37
Outside India 9.19 1,749.69
Timing of revenue recognition
Goods transferred at a point in time 25,831.70 15,328.31
Services transferred over time 50.03 41.75
Set out below, is the reconciliation of the revenue from contracts with customers with the amounts disclosed in the
segment reporting
Sale of Sale of Sale of Sale of
goods services goods services
Revenue INR crores
External customer 25,836.69 45.04 15,333.48 36.58
Inter-segment 83.06 - - -
Inter-segment adjustment and elimination 83.06 - - -
Total revenue from contracts with customers 25,836.69 45.04 15,333.48 36.58
b) Contract balances (` In Crore)
31st March 2022 31 March 2021 (Restated) 01 April 2021 (Restated)

INR crores INR crores INR crores
Trade receivables 2,954.30 2,139.89 -
Contract assets - - -
Contract liabilities 1,068.65 606.59 -
Trade receivables are non-interest bearing . In March 2022, ` 2932.14 crore (March 2021: ` 2384.43 crore) was
recognised as provision for expected credit losses on trade receivables.
Contract assets are generally recognised in case of supply of services only when the receipt of money is conditional on

milestone even after satisfaction of performance obligation. In case of sale of goods, directly receivable is recognised
as company has unconditional right to payment from the moment performance obligation is satisfied.
Contract liabilities includes advance received from customer which will be adjusted towards supply of goods or
services.
c) Significant accounting judgements, estimates and assumptions
The Company applied the following judgement that significantly affect the determination of the amount and timing of
revenue from contract with customers:
¾¾ Determining method to estimate variable consideration and assessing the constraint
Contract price for sale of goods is subject to adjustment towards difference in goods composition than what was
agreed and forex gain or loss, which results in variable consideration. In estimating the variable consideration, the
Company is required to use either the expected value method or the most likely amount method based on which
method better predicts the amount of consideration to which it will be entitled.
The Company determined that the expected value method is the appropriate method to use in estimating the variable
consideration for the sale of goods with adjustment towards difference in goods composition then what was agreed
and forex gain or loss, given the large number of possible outcome under such contracts.
Before including any amount of variable consideration in the transaction price, the Company considers whether
the amount of variable consideration is constrained. The Company determined that the estimates of variable
consideration are not constrained based on its historical experience, business forecast and the current economic
conditions. In addition, the uncertainty on the variable consideration will be resolved within a short time frame.
2.32.4: Accounting policies, change in Accounting Estimates and Errors ( As per Ind-AS 8):
I. Review of Accounting Policies
Property Plant and equipment’s (Accounting Policy no. 1-1.2–v) :
In order to bring more clarity, following para is added to the accounting policy at Para 1.2.v and it has Nil Impact on
the financials of the company.
Spare parts, Standby equipment and service equipment meeting the definition of PPE and having value of more than `
20 lakh in each case, are capitalized as and when available for use.
2.32.5 : Related Party Disclosures (IndAS-24)-:

i) List of related parties (` In Crore)
Holding as at
A. Subsidiaries Country of No. of Shares March 31, March 31,
incorporation Hold 2022 2021
Legacy Iron Ore Limited Australia 576,72,53,980 90.02% 90.05%
J & K Mineral Development Corporation Limited India 28,51,002 95.86% 95.86%
NMDC Power Limited (*) India 5,50,000 100% 100%
Karnataka Vijaynagar Steel Limited India 1,00,000 100% 100%
NMDC Steel Limited India 1,10,000 100% 100%
Jharkhand Kolhan Steel Limited (**) India 1,60,000 100% 100%
NMDC-SARL, Madagaskar (Under closure) Africa 41,85,590 100% 100%
NMDC-CSR Foundation India 20,00,000 100% 100%
B.Joint Ventures
Kopano-NMDC Minerals(Proprietary) Limited (#) South Africa 50 50% 50%
India 6,000 60% 60%
Corporation Ltd.
NMDC-CMDC Ltd., Raipur India 9,83,47,236 51% 51%
NMDC-SAIL Ltd. (***) India 25,500 51% 51%
Bastar Railway Pvt. Ltd. India 15,26,74,600 52% 52%
218 NMDC LIMITED

C. Associates
Romelt-Sail(India) Limited (under closure) Africa 1,05,000 25% 25%
International Coal Ventures (Pvt.) Ltd. India 37,63,57,143 25.94% 25.94%
Krishnapatnam Railway Company Ltd. India 4,00,00,000 6.40% 6.40%
Neelachal Ispat Nigam Ltd India 7,47,99,878 10.10% 10.10%
Chhattisgarh Mega Steel Ltd. India 13,000 26% 26%
(*) NCLT, Hyderabad bench dissolved NMDC Power Limited vide order dated 14.10.2021
(**) NCLT, Kolkata bench disposed of Jharkhand Kolhan Steel Limited vide order dated 17.12.2021
(***) Company has been struck off by ROC vide order dated 16.08.2021
(#) Under Closure
D: Key Management Personnel: (Directors) as on 31/03/2022
Directors :
1. Shri Sumit Deb CMD
2. Shri Amitava Mukherjee Director (Finance)
3. Shri Somnath Nandi Director (Technical)
4. Shri Dilip Kumar Mohanty Director (Production) (w.e.f : 05.10.2021)
5. Shri P K Satpathy Director (Production) (up to : 31.08.2021)
6. Shri Alok Kumar Mehta Director (Commercial) (up to : 30.09.2021)
Company Secretary :
Shri A.S Pardha Saradhi
ii. RELATED PARTY TRANSACTIONS:

INVESTMENTS IN SUBSIDIARIES: (` In Crore)
Particulars OB 1.4.2021 Additions Deletions CB 31.3.2022
a) Investment:
Legacy Iron Ore Limited 214.70 - - 214.70
J&K Mineral Development Corporation Limited 28.51 - - 28.51
NMDC Power Limited (*) 0.55 - - 0.55
Karnataka Vijaynagar Steel Limited 0.10 - - 0.10
NMDC Steel Limited 0.06 0.05 - 0.11
Jharkhand Kolhan Steel Limited (**) 0.16 - - 0.16
NMDC-SARL Madagaskar (under closure) 7.20 - - 7.20
NMDC-CSR Foundation 2.00 - - 2.00
Sub total 253.28 0.05 - 253.33
b) Investment De-ration
- J&KMDC 28.51 - - 28.51
- NMDC- SARL 7.20 - - 7.20
- NPL 0.55 - 0.55
- JKSL 0.16 - - 0.16
Sub Total 36.42 36.42
Total (Net) 216.86 0.05 - 216.91

LOANS AND ADVANCES TO SUBSIDIARIES: (` In Crore)
a) Loans & Advances:
- Legacy Iron Ore Limited - - - -
- J&K Mineral Development Corporation Limited 22.09 1.01 - 23.10
- NMDC Power Limited (*) - - - -
- Karnataka Vijaynagar Steel Limited 641.99 0.23 - 642.22
- NMDC CSR -
- Jharkhand Kolhan Steel Limited (**) - - - -
- NMDC-SARL Madagaskar (under closure) - - - -
Sub total 664.08 1.24 665.32
b) Loans & Advances Deration
Advances Deration- J&KMDC 16.51 6.59 - 23.10
Sub total 16.51 6.59 - 23.10
Total (Net) 647.57 -5.35 - 642.22
INVESTMENTS IN JOINT VENTURE COMPANIES (including advance against equity) (` In Crore)

a) Investment:
Kopano-NMDC Minerals (Proprietary) Limited
(` 324/-)
Jharkhand National Mineral Development Corporation
0.01 - - 0.01
Ltd
NMDC-CMDC Ltd, Raipur 98.35 - - 98.35
NMDC-SAIL Ltd (***) 0.03 - 0.03 -
Bastar Railway Pvt Ltd 152.67 - - 152.67
Sub total 251.06 - 0.03 251.03
b) Investment Deration
Investment Deration- NMDC-SAIL Ltd 0.03 0.03 -
Sub total 0.03 - 0.03 -
Total (Net) 251.03 - - 251.03
LOANS AND ADVANCES TO JOINT VENTURES: (` In Crore)

Kopano-NMDC Minerals (Proprietary) Limited
0.10 - - 0.10
(` 324/-)
Jharkhand National Mineral Development Corporation
0.07 0.01 - 0.08
Ltd
NMDC-SAIL Ltd (***) - - - -
Bastar Railway Pvt Ltd - - - -
Sub total 46.27 0.01 - 46.28
b) Loans & Advances Deration:
Advances Deration- Kopano NMDC 0.10 - - 0.10
Sub total 0.10 - - 0.10
Total (Net) 46.17 0.01 - 46.18
220 NMDC LIMITED

INVESTMENT IN ASSOCIATE COMPANIES:(including advance against equity): (` In Crore)
a) Investment:
Romelt-SAIL (India) Limited (under closure) 0.11 - - 0.11
International Coal Ventures (Pvt) Ltd 376.36 2.50 - 378.86
Krishnapatnam Railway Company Ltd 40.00 - - 40.00
Chhattisgarh Mega Steel Ltd 0.01 - - 0.01
Neelachal Ispat Nigam Ltd 100.60 - - 100.60
Sub total 517.08 2.50 - 519.58
b) Investment Deration:
Investment Deration- Romelt-SAIL Ltd 0.11 - - 0.11
Sub total 0.11 - - 0.11
Total (Net) 516.97 2.50 - 519.47
LOANS AND ADVANCES TO ASSOCIATE COMPANIES: (` In Crore)

a) Loans & Advances
Neelachal Ispat Nigam Ltd 81.60 2.67 3.75 80.52
Sub total 81.60 2.67 3.75 80.52
Neelachal Ispat Nigam Ltd - - - -
Sub Total - - - -
Total (Net) 81.60 2.67 3.75 80.52
i) Aggregate amount of quoted investment is ` 214.70 crores (PY ` 214.70 crores). Aggregate amount of unquoted
investments Gross ` 809.26 crores (PY ` 806.74 crore) and net ` 772.73 crores (PY ` 770.18 crore).
ii) NMDC Ltd has given two bank guarantees of ` 504.23 crore on behalf of NMDC CMDC ltd for Deposit 13.
Particulars As at March 31, 2022 As at March 31, 2021
Key Management Personnel:
Key Managerial Personnel Remuneration 4.12 3.66
The Company has so far deposited an amount of ` 639.61 Crore (previous year 639.61 crore) with Karnataka Industrial
Area Development Board (KIADB) for acquisition of land for setting up of Steel plant at Karnataka. An amount of
` 0.24 crores (Previous year ` 0.21 crore) is spent towards security expenditure during the current year. The amount of
` 642.23 crores ( PY ` 641.99 Crore) is included under Advances to Subsidiaries under the note 2.4.2.
As the possession certificate for Land is received, Land is capitalised at ` 639.61 crores in the books of KVSL during
the Financial year 2017-18.

2.32.6 Earnings per share (IND AS-33)-: The details are as under: (` In Crore)
Year ended
Particulars
31-MAR-2022 31-MAR-2021
1. Profit after Tax (INR in Crore) 9,398.48 6,253.05
2. No of Equity shares 293,06,05,850 293,06,05,850
3. Nominal value per Equity share (Rs) 1 1
4. Basic and Diluted Earnings per share (Rs) (*) 32.07 20.62
Note: (*) The earnings per share (EPS) of Previous year ended 31st March 2021 has been adjusted on account of
buyback.
2.32.7 Accounting for Deferred Taxes on income (Ind-As-12) : Necessary details have been disclosed in note no: 2.5.
2.32.8 Discontinuing Operations (IndAS-105) :
Silica Sand Project, Lalapur
On 25/02/2008 the Board of directors had announced a plan to dispose-off the plant and machinery of Silica Sand
Project, Lalapur which is included in the segment of “Other minerals and services.” Pending disposal, the unit is kept
under care & maintenance.
Screening Plant:
Board of director in its 525th meeting held on 10th December 2019 approved the termination of Screening Plant
operation located at Vizag.
Detailes are as below: (` In Crore)
Particulars As at 31-Mar-2022 As at 31-Mar-2021
Carrying value of Assets 0.29 0.29
Carrying value of liabilities 0.90 0.88
Screening Plant -Vizag
The following statement shows the revenue and expenses of discontinued operations:
(` In Crore)
For the year ended For the year ended
Particulars
31-Mar-2022 31-Mar-2021
A. Revenue
Revenue from operations
Other income - 2.54
Total Revenue - 2.54
B. Expenses
Power, Electricity and Water 0.23 0.27
Repairs and Maintenance - 0.08
Depreciation & Amortisation - 0.11
Total Expenses 0.91 2.01
C.Profit(+)/Loss(-) from discontinued operations before tax (A-B) (0.91) 0.53
222 NMDC LIMITED

2.32.9 Intangible Assets (IndAS-38) : R&D
The Research & Development expenditure, charged to Statement of Profit & Loss during the year is ` 27.16 crore
(previous year ` 27.40 crore). It includes R&D net expenditure of ` 25.74 crores (PY ` 26.45 crores) and expenditure of
` 1.42 crores (PY ` 0.95 crores) on feasibility studies.
The amount of revenue expenditure incurred at Research & Development unit, Hyderabad is as under:
(` In Crore)
Head of account 2021-22 2020-21
Consumption of Stores and Spares 0.16 0.16
Employee benefit expense 17.40 17.04
Depreciation & Amortisation 2.77 2.84
Total expenditure 27.08 27.07
Less : Other income 1.34 0.62
Total net R&D expenditure 25.74 26.45
During the year, at R&D unit, the additions to tangible assets (except land and buildings) are ` 3.97 crore. (Previous
year ` 1.80 crore).
2.32.10 Joint Ventures (IndAS- 28 ) Jointly Controlled entities:
Country of Proportion of Proportion of
Sl no Name of the Joint Venture
Incorporation ownership 2021-22 ownership 2020-21
1 Kopano-NMDC Minerals (Proprietary) Limited South Africa 50% 50%
2 NMDC CMDC Limited, Raipur India 51% 51%
3 India 60% 60%
Corporation Limited, Ranchi
4 NMDC SAIL Ltd (Struck off) India 51% 51%
5 Bastar Railway Pvt Ltd India 52% 52%
2.32.11 Impairment of Assets (IndAS – 36):

The impairment of assets has been reviewed during the year in respect of the following cash generating units,
included under the segment ‘Other Minerals and Services’. The Assets considered for impairment in this financial
year is ` 16.56 crore:
(` In Crore)
Adjustments during 2021-22 Impaired
Year of Impaired Amount
Unit Amount as on
impairment as on 01-04-2021 Reversal Deletion Addition 31-03-2022
SSP, Lalapur 2005-06 12.54 -- - -- 12.54
SAF Plant at
2004-05 15.48 - - - 15.48
Sponge Iron Unit
SIIL- Paloncha 2019-2020 3.37 - - - 3.37
SIIL- Paloncha 2021-2022 4.40 4.40
DMP, Panna 2021-2022 - - - 9.35 9.35
Windmill- Donimalai 2021-2022 - - - 2.81 2.81
Total 31.39 - - 16.56 47.95
1. The Recoverable amount of the assets of SSP, Lalapur unit has been arrived at considering the ‘value in use’.
Since the value in use has resulted in negative cash flows, the recoverable amount has been taken as nil without
applying any discount rate.

2. In the case of SAF plant at the Sponge Iron Unit, the impairment is based on fair value as assessed by the
approved Valuer.
3. In case of SIIL plant, Impairment is based on the assessed fair value.
4. Earlier, as per the MMDR Amendment Act, 2015, Supplementary Mining Lease of Panna was extended for a
period of 50 years from the initial grant i.e. up to 30.06.2020. Consequently, Forest Clearance was extended
up to lease validity as per MoEF&CC Circular dated 01.04.2015. After extension of supplementary mining
lease by Government of Madhya Pradesh up to 30.06.2040, the Forest Clearance has also been extended up to
30th June 2040 vide letter no. F-5-11/2021/10-3 dated 6th January 2021 issued by Forest Department, Madhya
Pradesh. However, the operation is stalled for want of wildlife clearance. Since the unit is not in operation since
01.01.2021, the assets of DMP Panna are impaired leaving the Land and Scheme Assets to employees. The
residual value is considered as Nil for all assets except vehicles where 5% of gross block is considered as a
realisable value as per the accounting policy.
5. Since the Windmill (BN-04) (Cash Generating Unit) is not in operation as on 31.03.2022 due to fire accident on
27.05.2021, net block of the unit is impaired after considering the realisable value of ` 0.80 crores as per the
assessment of O&M Contractor M/s.Suzlon.
2.32.12 Provisions, Contingent Liabilities and Contingent Assets (IndAS-37) :

Necessary details in regard to provisions have been disclosed in notes 2.14.3,2.17& 2.31.
2.33: Disclosure as required under Regulation 34(3) and 53(f) of SEBI (LODR) Regulations, 2015
2.33.1 Loans and advances in the nature of loans to Subsidiaries/Jvs’ where there is no repayment schedule or no
interest:
(` In Crore)
Maximum Balance outstanding
Name of the Subsidiary
As at 31-Mar-2022 As at 31-Mar-2021
J&K Mineral Development Corporation Limited, Jammu 23.10 22.09
NMDC Power Ltd, Hyderabad - -
Jharkhand Kolhan steel Limited - -
Karnataka Vijayanagar Steel Limited 642.22 641.99
NMDC Steel Limited - -
NMDC CSR - -
Total 665.32 664.08
Advances derated / Provision made- JKMDC 23.10 16.51
Name of the Joint Venture Maximum Balance outstanding
Kopano-NMDC Minerals (Proprietary) Limited 0.10 0.10
NMDC-CMDC Ltd., Raipur 43.10 46.10
Bastar Railway Pvt. Ltd. - -
Total 43.28 46.27
Advances derated / Provision made (Kopano) 0.10 0.10
2.33.2 There are no Investments by the loanees as mentioned in 2.33.1 in the shares of NMDC Ltd.
2.33.3 Loans to Associate Companies (` In Crore)
Name of the Associates Maximum Balance outstanding

2021-22 2020-21
Neelachal Ispat Nigam Ltd 84.27 81.60
Total 84.27 81.60
No Loans and Advances were given to the Associate Companies except the above company.
224 NMDC LIMITED

2.33.4 There are no loans and advances in the nature of loans to firms/companies in which directors are interested
except as stated above.
2.34. Others:
2.34.1 Income Tax :
a) After completion of the assessment for the A.Y. 2019-20, NMDC has received a demand for ` 204.56 Crores on
28.09.2021. NMDC has filed an appeal before the CIT(A) for ` 196.71 crore against the demand. The demand of
` 204.56 Crores is shown under earlier years tax expenses in the accounts of F.Y. 2021-22. The net impact in
earlier tax expenses, including adjustment pertaining to other cases, is ` 260.53 Crore.
b) The Current Tax assets (net) (note no. 2.9) includes an amount of ` 325.26 crore of receivable from Income
Tax Department under Vivad Se Vishwas (VsV), towards settlement of all disputed Income tax cases up to
assessment year 2017-18.
2.34.2 Enabling Facilities:
During the year an amount of ` 2.99 crore (PY- ` 24.51 crores) and ` 122.25 crore (PY- ` 123.30 crores) is utilised by
Railways for the doubling of Railway line between Jagdalpur to Ambagaon and Kirandul to Jagdalpur respectively and
the total amount of ` 125.24 crore (PY – ` 147.81 crores) is included in “Other Expenses “.
2.34.3 Demerger / Disinvestment of NISP:
The Government of India has accorded in principle approval for strategic disinvestment of Nagarnar Steel Plant on
27th October 2016. Core Group of Secretaries for Disinvestment (CGD), in its meeting held on 3rd June 2019 and
28th November 2019, has approved to follow the demerger route for the strategic disinvestment of NISP.
The Board of Director of the company at their meeting held on 27th August 2020, inter-alia, have accorded in-
principal approval to the proposal of demerge of NMDC Iron & Steel Plant (NISP), Nagarnar, Chhattisgarh. Further,
NMDC Board in its meeting dated 13.07.2021, has approved the scheme of arrangement for Demerger between
NMDC Limited and NMDC Steel Limited wherein 3 MTPA Steel Plant at Nagarnar of NMDC Limited will be transferred
to NMDC Steel Limited.
Accordingly, after obtaining NOC from the Stock Exchanges, an application was filed by the Company with Ministry
of Corporate Affairs (MCA) in January 2022. MCA, vide its Order dated 11.04.2022 has accepted the application filed
by the company and directed for convening the meeting of Unsecured Creditors and Share holders of Demerged
Company. Accordingly, notices have been issued to the Unsecured Creditors and Share holders for the meeting to be
held on 7th of June’2022.
2.34.4 Property, Plant & Equipment (PPE)
As per Ind AS 16 items such as spare parts, stand by equipment and service equipment are to be capitalized when
they meet the definition of PPE and are expected to be used for more than one accounting year. After review of the
inventory values and its consumption patterns in the major production Units, Company based on materiality has
fixed a threshold limit of ` 20 Lakhs for such spare parts, stand by equipment and service equipment meeting the
definition of PPE. On issue of said PPE, the WDV is allowed to be depreciated over the life of the main asset or the life
of the equipment whichever is less.
Gross value of Spare parts, stand by equipment and service equipment meeting the definition of PPE capitalised
during the Year 2021-22 is ` 42.77 crore.
2.34.5 NMET:
As per the Gazette Notification dated 27th March 2015 enacting the Mines and Minerals (Development and Regulation)
(Amendment) Act, 2015 and subsequent notifications dated 14th Aug 2015 for contribution of National Mineral
Exploration Trust (NMET), the Company was required to pay 2% of royalty towards NMET with effect from 12th Jan
2015 respectively.
The Hon’ble High Court of Bilaspur in its judgement dated 24.11.2017 clarified that contribution towards NMET shall
be payable w.e.f. 14.8.2015, the date of promulgation of NMET Rules plus constitution of NMET Trust.
With regard to NMET, Company has made the payment w.e.f 12.01.2015. As per the Hight Court judgement the units
in state of Chattisgarh the payments made from 12.01.2015 till 13.08.2015 are recognised under Amount Recoverable
to be adjusted from future payments to State Government.

2.34.6 Dues from Monitoring Committee- Donimalai complex in Karnataka:
The total trade receivables from Monitoring Committee as on 31st March 2022 is ` 4,555.27 crores (PY- ` 3,242.52
crores) . This includes regular dues of ` 1707.58 crore and ` 2,825.51 crore towards 10% of sales proceeds retained
by Monitoring Committee for the period from 4th October 2011 to 31st March 2022 pending directions from Hon’ble
Supreme Court. Further, an amount of ` 22.18 crore is long pending towards supply of Low Grade Fines for which
provision is made. Company has made a total provision of ` 2,847.69 crore.
2.34.7 Common Cause Judgement for Bailadila Sector:
The Company had received Show Cause Notices dated 31 .07.2018 from Dist. Collector, South Bastar Dantewada as to
why NMDC should not be asked to deposit an amount of ` 7,241.35 crore as compensation as calculated by Collector
based on the Hon'ble Supreme Court Common Cause Judgement related to Orissa Iron ore mines ( Writ Petition
Civil No 114 of 2014 dated 2nd August 2017). The Company had been contesting the Show Cause Notices with Dist.
Collector, South Bastar Dantewada on the ground that the said judgement is not applicable to NMDC .
Meanwhile, revised show cause notices dated 26.09.2019 were received for a revised amount of ` 1,623.44 Crore from
Dist. Collector, South Bastar, Dantewada, to be replied within 21 days of notice. NMDC while reiterating the fact of
non-applicability of the Hon’ble Supreme Court Judgement in the state of Chhattisgarh, has sought time for replying
to the show cause notices. Further to above, Dist. Collector, South Bastar, Dantewada had issued Demand notices
dated 15/11 /2019 for the amount of ` 1,623.44 Crore (Bacheli - ` 1,131.97 Crore & Kirandul ` 491.47 Crore) asking to
deposit the amount within 15 days. As the Mining Leases of the company in the State of Chhattisgarh were expiring
on 31.3.2020 and due for renewal, the Company has paid an adhoc amount of ` 600 Crore under protest and filed writ
petitions in the Hon'ble High Court of Bilaspur, Chhattisgarh and a Revision application with Mines Tribunal, Ministry
of mines, Government of India, New Delhi praying to set aside the demand notices.
Hon’ble High Court of Bilaspur has heard the WPs on 19.02.2020 and sought certain clarifications from the
respondent and directed ‘no coercive action till 12.3.2020 and listed the case for 12.3.2020. However due to
COVID-19 situation, no further hearings could take place. Revision application with Mines Tribunal, Ministry of
Mines, Government of India New Delhi is heard on 09.03.2022 wherein the representatives of State Government were
directed to file comments/ para wise reply within two weeks.
The demand amount of ` 1,623.44 crores has been shown under ‘Contingent Liabilities’.
2.34.8 Allotment of Coal Block
Tokisud North Coal Mine
Ministry of Coal declared NMDC as a successful allottee for Tokisud North coal mine, in Jharkhand, on 16.12.2019.
Allotment Agreement is signed on 24.12.2019 and Allotment order issued on 17.08.2020. NMDC paid the fixed Cost
of ` 224.77 crores (PY- ` 224.77 crore) & upfront amount of ` 21.60 crore (PYRs.16.20 crore) up to 31.03.2022. All the
amounts paid up to 31.3.2022 are included under Capital Advances (Note 2.6). NMDC submitted a Bank guarantee of
` 71.09 crore Pending execution of lease deed. Mine Developer cum Operator (MDO) has been appointed on
16.09.2021. Company has obtained Transfer of Environmental clearance and Forest Clearance (State-II). The
Company is in the process of obtaining Mining lease, transfer of Free hold land and lease hold land.
Rohne Coal Mine
Ministry of Coal declared NMDC as a successful allottee for Rohne Coal Mine, in Jharkhand, on 17.03.2020. Allotment
Agreement of the coal mine is signed on 17.02.2021 and allotment order issued on 18.06.2021. NMDC paid the fixed
Cost of ` 39.46 crore & upfront amount of ` 33.15 crore up to 31.03.2022. All the amounts paid up to 31.3.2022 are
included under Capital Advances (Note 2.6). Company has submitted a Bank guarantee of ` 405.17 crore Pending
execution of lease deed. Company has obtained Transfer of Environmental clearance and Forest Clearance (Stage-I).
Company is in the process of complying conditions given in stage-1 forest clearance.
2.34.9 Sale of Iron Ore to Pellet Plant at Kumaraswamy, Karnataka:
Due to restrictions imposed in Karnataka for purchase/sale of iron ore, Pellet Plant is purchasing iron ore fines from
NMDC, DIOM/ KIOM through E-auction conducted by Monitoring Committee. As per the terms of the conditions of
acceptance letter issued by Monitoring committee and as per the guidelines given by Hon’ble Supreme Court of India,
Pellet plant is paying Basic value, Royalty Value and bulk permit fee value to MC and GST amount to NMDC Donimalai
account. After receipt of GST amount from Pellet Plant, DIOM/KIOM is issuing advance receipt confirming the receipt
of GST from Pellet Plant along with necessary statutory Documents to MC in the prescribed format. Based on the
advance receipt issued by DIOM/KIOM, Monitoring Committee is issuing bulk permit to Pellet Plant for lifting of
materials. DIOM/KIOM is raising Tax invoice on Pellet Plant for the dispatched quantity, showing it as sales and also
paying GST to Government.
226 NMDC LIMITED

Simultaneously, Pellet Plant is recognizing the same as purchases and availing input credit. The above procedure is
followed due to Compulsion made by MC as they have denied permission for Pellet Plant to lift the Iron Ore without
participating in auction and accordingly, separate GST registration is also taken as per MC instructions.
However, the entry for un-realized profit on sale of Iron Ore to Pellet Plant is accounted.
2.34.10 Review for Impairment of Investment in Legacy Iron Ore Ltd, Australia (LIOL):
The total investment of the Company in LIOL is ` 214.70 cr as on 31.3.2022. This is 90.05% of the total shareholding of
the Company. This investment in Legacy was reviewed for impairment with reference to Ind AS 36.
It is noted that the period of exploration is not expired and exploration activity are being continued and the company
has not reached the stage of establishing the commercial viability of the tenements. Legacy Iron Ore Limited is an
active exploration company with a diverse portfolio. For an exploration company, the future cash flows are from the
exploration tenements which have been recognised as assets ie., Exploration and Evaluation (E&E) Assets. LIOL E&E
assets as on 31.03.2022 is ` 91.83 crores (Previous year ` 77.38 crores).
LIOL is systematically exploring all the exploration tenements that are at varying levels of exploration potential and
maturity. The company plans to continue exploration in all the above tenements and does not intend to surrender
the current list of tenements. It is observed that the total mineral resources estimated from Mt. Celia Project is
increased to 3,12,600 ounces from 1,79,700 ounces during the previous period. NMDC has a positive outlook based
on the progress and success that is achieved so far in exploration works of Mt.Celia Gold project towards mining and
also identification of 3,12,000 ounces of gold metal resources. Hence, the FVLCTS shall normally be more than the
carrying value of exploration and evaluation assets as per the balance sheet.
Further the quoted price of LIOL share as on 31.3.2022 is AUD $ 0.019 (Previous year AUD $0.014) with a market
capitalisation of AUD 121.69 million (Previous year $89.67 million). The market capitalisation of the company is more
than its net assets of AUD 23.32 million (Previous $23.89 million) as on 31.3.2022. NMDCs share of Market cap @
90.05% amounts to approx. ` 622.09 crores (Previous year ` 449.76 crores) which is more than the investment of
` 214.70 crores in LIOL.
Further, Legacy has also entered in to a new JV agreement, for Mt.Bevan Iron ore project, partnering with Hancock
Prospecting Pty Ltd (HPPL) which is a mining giant in Australia with rich experience of developing green field iron ore
projects. This has opened pathway for Legacy to develop its Iron Ore project which has led to further increase in the
market value to more than AUD 186 million as on 03.05.2022.
In view of above no impairment is considered for Goodwill as well as Investment in LIOL for the current FY 2021-22.
2.34.11 Neelachal Ispat Nigam Ltd (NINL) disinvestment:
Cabinet Committee on Economic Affairs (CCEA) had accorded in principle approval for strategic disinvestment of
100% shareholding of MMTC, NMDC, Mecon, BHEL, IPICOL and OMC in Neelachal Ispat Nigam Ltd (NINL) along with
transfer of Management control to a Strategic Buyer.
Tata Steel Long Products (TSLP) has purchased the NINL at a price of ` 12,100 crores and Government has already
signed SPA with TSLP. The total liabilities of NINL is around ` 6,600 crores.
NMDC along with all other Associates has entered Share Sale and Purchase Agreement with TSLP on 10.03.2022.
NMDC holds total exposure of ` 188.65 crore (PY- ` 189.07 crores) in the form of Equity investment of ` 100.60 Crore
(PY – ` 100.60 crore) and a Loan of ` 80.52 Crore (PY – ` 81.60 crore ) and interest thereon of ` 7.53 crore (PY –
` 6.87 crore) as on 31.3.2022. The shareholding of NMDC in NINL is also being put up for strategic disinvestment
and the entire value of ` 197.16 Crores is expected to be recovered. Further, as per the loan agreement dated 30th
December 2019, the loan amount outstanding along with interest shall be paid back to NMDC as first charge from the
disinvestment proceeds as per the applicable laws before payment of other liabilities of NINL.
In view of the above high bid, NMDC would recover all its Loans and Equity. Hence no impairment is considered
necessary as on 31.03.2022.
2.34.12 Impact due to amendment in MMDR Act :
Govt. of India has amended the MMDR Act 1957 on 28.03.2021 and as per the amended provisions all such
Government companies or corporations whose mining lease has been extended after the commencement of the
MMDR Amendment Act 2015, shall pay such additional amount as specified in the Fifth Schedule of Act for the
mineral produced after the commencement of the MMDR Act 2021. For such Mining Leases of Iron Ore, an additional
amount equivalent to 150% of the Royalty will be payable. The additional amount shall be in addition to royalty or
payment to the District Mineral Foundation (DMF) and National Mineral Exploration Trust (NMET) or any other

statutory payment. This amendment is applicable w.e.f 28.3.2021.
This amendment is applicable to all the Iron Ore Mines of NMDC except Kumarswamy Iron Ore Mines at Karnataka
wherein the lease was extended before the commencement of MMDR Amendment Act 2015.
The impact of this amendment on the Financials of F.Y 2021-22 is ` 5,084.32 crores (PY- ` 149 crores) which is
included under Royalty and other levies.
2.34.13 CSR Expenditure :
a) Gross amount required to be spent by the company during the year is ` 148.15 crore (2% of the last three years
average PBT ` 7407.49 crore), (Previous Year ` 130.00 crore (2% of the last three years average PBT ` 6499.95
crore).
b) Amount spent during the year on account of CSR activities is ` 287.33 crore.( Previous Year ` 158.62 crore)
` In crore
Particular In Cash Yet to be paid in Cash Total
1. Construction/acquisition of any assets - - -
2. On purpose other than (1) above 287.33 - 287.33
c) Shortfall at the end of the year : Nil
d) Total of previous years shortfall : Nil
e) Reason for shortfall : Not Applicable
f) Nature of CSR Activities : Education, Health & Hygiene, Nutrition, Drinking Water, Rural Development, Skill
Development & Income Generation, Promotion of Sports, Protection of Culture & Heritage, Flood Relief &
Natural Calamities, Environment and Others
g) Details of related party transaction – ` 1.62 Crore Grants made in NMDC CSR Foundation by the company in
relation to CSR Expenditure
h) Where a provision is made with respect to a liability incurred by entering a contractual obligation, the movement
in the provision during the year should be shown separately – NIL
2.34.14 TERM Loan:

NMDC Board in its 525th meeting held on 10.12.2019 has accorded approval for borrowing up to a limit of
` 5,000 crores for capex requirements of the company by raising terms loans from Banks/ Financial Institutions
etc., Accordingly, Rupee term Loan facility (RTL) of ` 4476.20 crores was availed from State Bank of India (SBI)
for part funding of Nagarnar Integrated Steel Plant (NISP), at an interest rate fixed at 7.10% p.a till the Date of
Commencement of Commercial Operation and there after 15 bps above the six months MCLR. NMDC, as a security,
has hypothecated the entire Fixed Assets of the Project (NISP) including Plant and Machinery, equitable mortgage
of Land & Building (except forest land) and First charge on the entire cash flows of the NISP. The availability period
of the loan is 6 months from the Date of commencement of Commercial Operation repayable in 30 quarterly
instalments.
The common Loan agreement has been entered on 10.06.2021 with SBI for RTL not exceeding ` 4476.20 crore and a
drawdown of ` 1144 crores has been made till 31.03.2022 against the loan .
2.34.15 Bill Discounting:
During the year, Company discounted the Trade Receivables with the banks amounting to ` 1236.15 crores (Previous
year – Nil) with recourse to the Company. In case of any claim on the company from the Banks, entire amount shall be
recovered from the Customers. This is shown under contingent liabilities.
2.34.15 General:
i. The company owns certain office space at New Delhi. It is not the company’s intention to hold the property for a
long term for capital appreciation nor for rental purpose. Hence the same is not treated as Investment Property
and included under PPE.
ii. Some of the balances appearing under Trade receivables, Trade payables, advances, Security deposits and other
payables are subject to confirmations.
iii. Figures for the previous year have been regrouped/ rearranged wherever considered necessary so as to confirm
to the classification of the current year.
228 NMDC LIMITED

2.34.16 Analytical Ratios
The following are analytical ratios for the year ended 31st March 2022
Sl 31st March 31st March Variance

Particualrs Numerators Denominators
No. 2022 2021 (in %)
1 Current Ratio Current Assets Current Libilities 2.28 1.95 16.92
Shareholder's
2 Debt - Equity Ratio (*1) Total Debt 0.10 0.07 42.86
Equity
Debt Service Coverage Earnings Available
3 Debt Services 2.71 3.19 (15.05)
Ratio for Debt services
(Net Profit After Average
Return on Equity (ROE)
4 Tax - Preferance Shareholder's 0.29 0.22 31.82
(*2)
Dividend (if any)) Fund
Cost of Goods sold Average
5 Inventory Turnover Ratio 19.52 23.1 (15.50)
or Sales Inventory
Trade receivables Avg. Accounts
6 Net Credit Sales 10.16 7.04 44.32
turnover ratio Receivables
Trade Payable Turnover Net Credit Average Trade
7 1.46 1.23 18.70
Ratio Purchases Payables
8 Net Capital Turover Ratio Net Sales Working Capital 2.93 2.99 (2.01)
9 Net Profit ratio Net Profit Net Sales 0.36 0.41 (12.20)
Return on Capital Earning before Capital
10 0.35 0.29 20.69
employed (ROCE) interest and taxes employed
Return on investment
11
(ROI) (*3)
Time weighted
Income Generated
Unquoted average - -
from Investments
investments
Time weighted
Income Generated
Quoted average - -
from Investments
investments
(*1) 1) Increase in Long term Borrowings :- Trust & Retention Accounts to ` 1144 crore ( P.Y Nil)
2) Increase in Short term Borrowings :- OD on FD ` 1815 crore ( P.Y ` 1471 crore)
(*2) Increase in Net profit of the company by 51% over the previous year
(*3) Only Long term investment are considered
Note. No. 2.34.17 : Fair Value Measurement

Financial instruments by category ` In crore
As at 31st March 2022 As at 31st March 2021
FVTPL FVTOCI Amortised cost FVTPL FVTOCI Amortised cost
Financial assets
Investments
Trade receivables 2,954.30 2,139.89
Cash and cash equivalents 83.69 408.67
Other bank balances 7,856.48 5,397.34
Loans 682.99 753.69
Other financial assets 617.60 461.70
Total - - 12,195.06 - - 9,161.29

As at 31st March 2022 As at 31st March 2021
Financial liabilities
Borrowings 1,815.13 1,470.67
Trade payables 967.22 360.26
Other financial liabilities 1,493.49 1,624.00
Total - - 4,277.29 - - 3,456.04
(1) Assets that are not financial assets (such as receivables from statutory authorities, prepaid expenses, advances
paid and certain other receivables) as of 31st March 2022, and 31st March 2021, respectively, are not included.
(2) Other liabilities that are not financial liabilities (such as statutory dues payable, advances from customers and
certain other accruals) as of 31st March 2022, and 31st March 2021, respectively, are not included.
The carrying amounts of above financial assets and liabilties are considered to be same as their fair values, due to
their short-term nature.
Note No: 2.34.18 Financial Risk Management

a) Risk management framework
The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s
risk management framework. The Board of Directors has established the Risk Management Committee, which is
responsible for developing and monitoring the Company’s risk management policies. The committee reports regularly
to the Board of Directors on its activities.
The Company’s risk management policies are established to identify and analyse the risks faced by the Company, to
set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and
systems are reviewed regularly to reflect changes in market conditions and the Company’s activities. The Company,
through its training and management standards and procedures, aims to maintain a disciplined and constructive
control environment in which all employees understand their roles and obligations.
The Board of Directors monitors the compliance with the Company’s risk management policies and procedures, and
reviews the adequacy of the risk management framework in relation to the risks faced by the Company.
The Company has exposure to the following risks arising from financial instruments:
Risk Exposure arising from Measurement Management

Cash and cash equivalents, Ageing analysis Diversification of bank deposits, credit limits
Credit risk
trade receivables, loans and Credit ratings and letters of credit
Availability of deposits with differing maturities
Borrowings and other Rolling cash flow
Liquidity risk & committed borrowing facilities to facilitate
liabilities forecasts
the day today working capital requirements.
Market risk- Imports giving rise to
- -
currency risk foreign currency payables*
A. Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer
contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities
(primarily trade receivables) and deposits with banks.
(a) Trade receivables
The Company sales are generally based on advance payments and through LC's. The trade receivables in
the books are mainly on account of credit sales to M/s RINL Limited, CPSE under the Ministry of Steel and
the Sales of Iron Ore in the State of Karantaka which is through Montoring Committee (MC) appointed by
Hon'ble Supreme Court of India.
230 NMDC LIMITED

Expected credit loss for trade receivables under simplified approach is detailed as per the below tables
Year ended 31st March 2022 ` In crore
Ageing < 6 months 6-12 months >12 months Total
Gross carrying amount 2,651.51 657.90 2,577.03 5,886.44
Expected loss rate 8.50% 38.87% 95.11% 49.81%
Expected credit losses (loss allowance provision) 225.43 255.70 2,451.01 2,932.14
Carrying amount of trade receivables (net of
2,426.08 402.20 126.02 2,954.30
impairment)
Year ended 31st March 2021 ` In crore

1,917.82 100.46 121.61 2,139.89
impairment)
iii. Reconciliation of loss allowance provision - trade receivables
Loss allowance on 1st April 2020 2,162.51

Changes in loss allowance 221.92
Loss allowance on 31 March 2021
st
2,384.43
Loss allowance on 31 March 2022
st
2,932.14
The impairment provisions for trade receivables disclosed above are based on assumptions about risk of
default and expected loss rates.
(b) Financial instruments and cash deposits
Credit risk from balances with banks is managed by the Company’s treasury department in accordance
with DPE guidelines & Company’s policy. Investments of surplus funds are made only with scheduled
commercial banks having a minimum networth of ` 500 Crore within limits assigned to each bank and
Debt based mutual funds of public sector AMCs. The limits are reviewed by the Company’s Board of
Directors on an annual basis. The limits are set to minimise the concentration of risks and therefore
mitigate financial loss through counterparty’s potential failure to make payments.
B. Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with
its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach
to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities
when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Company’s reputation.
Typically the Company ensures that it has sufficient cash on demand to meet expected operational expenses for
a period of 60 days, including the servicing of financial obligations; this excludes the potential impact of extreme
circumstances that cannot reasonably be predicted, such as natural disasters. In addition, the Company has
taken fund based limits with banks to meet its short term financial obligations.

i. Financing arrangements
The Company has access to the following undrawn borrowing facilities at the end of reporting period
` In crore
Flexible rate
Expiring within one year (bank overdraft and other facilities) 467.00 585.50
Working capital Limits with Banks 1,249.00 635.00
ii. Maturities of financial liabilities

The table below summarises the maturity profile of the Company’s financial liabilities based on contractual
undiscounted payments.
` In crore
3 months Between Between
Year ended On Less than 3 6 months
to 6 1and 2 2 and 5 Total
31 March 2022 demand months to 1 year
months years years
Borrowings - 1,815.13 - - - - 1,815.13
Trade payables 630.61 128.81 86.14 121.66 - - 967.22
Lease Liability 0.36 0.72 0.37 1.45
Other financial liabilities 316.21 185.92 162.67 828.69 - - 1,493.49
946.82 2,130.22 249.53 950.72 - - 4,277.29
3
6 Between
Year ended On Less than months Between
months 1and 2 Total
31 March 2021 demand 3 months to 6 2 and 5
to 1 year years
months years
Borrowings - 1,448.04 - - - - 1,448.04
Trade payables 536.74 63.32 - - - - 600.06
Other financial liabilities 500.34 250.21 236.57 642.10 - - 1,629.22
1,037.08 1,761.57 236.57 642.10 - - 3,677.32
C. Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will
affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters, while optimising
the return.
(i) Foreign currency risk
Since majority of the company's operations are being carried out in India and since all the material balances
are denominated in its functional currency, the company does not carry any material exposure to currency
fluctuation risk.
The Company's exposure to foreign currencies is minimal and hence no sensitivity analysis is presented.
(ii) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The company quite often bridges its short term cash flow
mismatch by availing working capital loans from banks against its fixed deposits. Such loans have a very short
tenure and the interest rate on such loans is based upon the rates offered by banks on fixed deposits , increased
by a few basis points. Since the interest rates on fixed deposits are fixed, the company does not have any
interest rate risk on such loans availed on a loan to loan basis.
The Company's exposure to interest rate risk is minimal and hence no sensitivity analysis is presented.
232 NMDC LIMITED

Note No. : 2.34.19 Capital Management
a) Risk management
The primary objective of the Company’s capital management is to maximise the shareholder value. The
Company's objectives when managing the capital are to safeguard their ability to continue as a going concern,
so that they can continue to provide returns for shareholders and benefits for other stakeholders
The Board’s policy is to maintain a strong capital base so as to maintain investor, creditor and market
confidence and to sustain future development of the business. The Board of Directors and senior management
monitors the return on capital, which the Company defines as result from operating activities divided by total
shareholders’ equity.
b) Dividends ` In crore

(i) Equity shares
Final dividend for the year ended 31st March 2022 of ` Nil (31st March
- -
2021: NIL) per equity share.
Interim dividend for the year ended 31st March 2022 of ` 14.74 (31st
4,319.72 2,274.15
March 2021: ` 7.76) per fully paid share
` In crore
Particulars 31st March 2022 31st March 2021
Net Debt (excluding short term) (*) 1668.22 523.8
Total equity 34,843.97 29,756.14
Net debt to equity ratio 0.05 0.02
(*) Debt inclued NCDs issued for ` 523.80 crore( P.Y ` 523.80 crore)

234 NMDC LIMITED
236 NMDC LIMITED
INDEPENDENT AUDITOR’S REPORT
To the Members of consolidated profit, consolidated total Comprehensive
income, consolidated changes in equity and consolidated
NMDC Limited
cash flows for the year then ended.
Report on the Audit of the Consolidated Financial
Basis for Opinion
Statements
We conducted our audit in accordance with the Standards
Opinion
on Auditing (SAs) specified under section 143(10) of
We have audited the accompanying Consolidated the Act. Our responsibilities under those Standards
Financial Statements of NMDC Limited (hereinafter are further described in the Auditor’s Responsibilities
referred to as the ‘Holding Company”) and its for the Audit of the Consolidated Financial Statements
subsidiaries (Holding Company and its subsidiaries section of our report. We are independent of the Group
together referred to as “the Group”), which comprise the and its Jointly controlled entities and Associates in
consolidated Balance Sheet as at March 31, 2022, and accordance with the Code of Ethics issued by the
the consolidated statement of Profit and Loss, (including Institute of Chartered Accountants of India (ICAI), and
Other Comprehensive income), the consolidated we have fulfilled our other ethical responsibilities in
statement of changes in Equity and the consolidated accordance with the provisions of the Act and the ICAI’s
Statement of cash flows for the year then ended, and Code of Ethics. We believe that the audit evidence we
notes to the Consolidated Financial Statements including have obtained is sufficient and appropriate to provide a
a summary of the significant accounting policies and basis for our audit opinion on the Consolidated Financial
other explanatory information (hereinafter referred to as Statements.
“the Consolidated Financial Statements”).
Key Audit Matters
In our opinion and to the best of our information and
Key audit matters are those matters that, in our
according to the explanations given to us and based
professional judgment, were of most significance in
on the consideration of reports of other auditors on
our audit of the consolidated financial statements of
separate financial statements and on the other financial
the current period. These matters were addressed in
information of the subsidiaries, joint ventures and
the context of our audit of the consolidated financial
associates as referred to in sub-paragraph (a) and
statements as a whole, and in forming our opinion
(b) of the “Other Matters” paragraph given below, the
thereon, and we do not provide a separate opinion on
aforesaid consolidated financial statements give the
these matters. Considering the requirement of Standard
information required by the Companies Act, 2013 (“the
on Auditing (SA 600) on “Using the work of Another
Act”) in the manner so required and give a true and
Auditor” including materiality, below Key Audit Matters
fair view in conformity with the accounting principles
have been reproduced from the Independent Auditors’
generally accepted in India (Ind AS), of the consolidated
Report on the audit of Standard Financial Statements of
state of affairs of the Group as at March 31, 2022, their
the Holding Company.
1 Capital Work-in progress (NISP): Our audit procedures included the following:
(Refer Note No.2.2, 2.2.1, 2.2.2, 2.2.23 & 2.2.4 of the We obtained an understanding and evaluation of the
consolidated financial statements) system of internal control over the capital work in
Capital Work-in progress (CWIP) as on 31.03.2022 progress with reference to identification and testing
in the books of the unit is ` 17,045.14 Crores, out of of key controls.
which Incidental expenditure during Construction We have assessed the progress of the project and
(IEDC) amounts to ` 2610.44 Crores. examined the management view on delay in project
Since the amount involved is substantial and the completion.
original schedule date of completion has passed, We also assessed the intention and ability of the
inappropriate classification of IEDC could result in management to carry forward and bring the asset to
material misstatement of CWIP and hence this is a its state of intended use.
key audit matter. Based on the above procedures performed, we
management’s assessment of Capital Work in
Progress of NISP.

2 Trade Receivables from Monitoring Committee: Our audit procedures included the following:
(Refer Note No.2.8.1 & 2.35.6 of the consolidated We analyzed the ageing of trade receivables.
financial statements) We obtained the list of long outstanding receivables
As at 31st March 2022, current financial assets in from the monitoring committee and assessed
respect of trade receivables includes receivables the recoverability of these through inquiry
from monitoring committee as specified in aforesaid with management and by obtaining sufficient
notes. corroborative evidence to support these conclusions.
Trade receivables from Monitoring committee is a Based on the above procedures performed, we
key audit matter due to the size of the receivable did not identify any significant exceptions in the
and involvement of management judgement in management’s assessment and presentation of
determining the impairment provision trade receivables and impairment provision thereof.
3 Mine Closure Obligation (MCO): Our audit procedures included the following:
(Refer Note-1(x) and Note no. 2.14.4 to the We have reviewed the recommendations of the
consolidated financial statements) committee for mine closure obligations.
The company creates Mine closure obligation(MCO) We have reviewed the methodology to arrive at the
liability based on the present cost of closure of liability for mine closure obligation at a rate per MT
mining project of the latest mine. The rate of closure on the cumulative RoM quantity for mine closure
arrived at based on such cost is uniformly applied to obligations.
other mines for arriving at the total MCO liability. We have verified the arithmetical accuracy of the
The matter was considered to be a key audit mine closure obligation provision based on the
matter because there is estimate involved as per recommendation of the committee.
management’s policy Based on the above procedures performed, we
management’s assessment in Mine closure
obligation provision
Emphasis of Matter Our opinion is not modified in respect of these matters.

We draw your attention to the following matters in the Information Other than the Consolidated Financial
Notes to the Consolidated Financial Statements: Statements and Auditor’s Report Thereon
i. Note No: 2.35.7, regarding show cause notice The Holding Company’s Board of Directors are
having been served on Baildilla project by the responsible for the preparation of the other information.
District collector, South Bastar, Dantewada The other information comprises the information
pursuant to judgment of Honorable Supreme included in the Annual Report related to the Consolidated
court of India with the demand of ` 1623.44 Crores Financial Statements but does not include the
against which company has paid an adhoc amount Consolidated Financial Statements and our auditor’s
of ` 600 Crores under protest and filed writ petition report there on. The other information is expected to
in the Hon’ble High court of Bilaspur, Chhattisgarh be made available to us after the date of this auditor's
and a Revision application with Mines Tribunal, report.
Ministry of mines, Government of India and
Our opinion on the Consolidated Financial Statements
disclosure of contingent liability as mentioned in
does not cover the other information and we do not
the said note.
express any form of assurance conclusion thereon.
ii. Note no.2.35.15(iii) of Notes forming part of
In connection with our audit of the Consolidated
accounts for the period ended 31st March 2022
Financial Statements, our responsibility is to read the
which describes balance of trade receivables
other information and, in doing so, consider whether
payables are subject to confirmation/reconciliation
the other information is materially inconsistent with the
and consequential adjustment, if any.
Consolidated Financial Statements or our knowledge
iii. Note No:2.35.3, regarding the demerger of NMDC obtained during the course of our audit or otherwise
Iron & Steel Plant (NISP) which is in progress. appears to be materially misstated.
238 NMDC LIMITED

When we read the Holding Company’s annual report, Auditor’s Responsibilities for the Audit of the
if we conclude that there is a material misstatement Consolidated Financial Statements
therein, we are required to communicate the matter to
Our objectives are to obtain reasonable assurance about
those charged with governance and take appropriate
whether the consolidated financial statements as a
actions, if required under the relevant laws and
whole are free from material misstatement, whether due
regulations.
to fraud or error, and to issue an auditor’s report that
Responsibilities of Management and Those Charged with includes our opinion. Reasonable assurance is a high
Governance for the Consolidated Financial Statements level of
The Holding Company’s Board of Directors are assurance, but is not a guarantee that an audit
responsible for the preparation and presentation of conducted in accordance with SAs will always detect a
these consolidated financial statements in terms of the material misstatement when it exists. Misstatements can
requirements of the Act,that give a true and fair view of arise from fraud or error and are considered material if,
the consolidated financial position, consolidated financial individually or in the aggregate, they could reasonably
performance, consolidated total comprehensive income, be expected to influence the economic decisions of
consolidated changes in equity and consolidated cash users taken on the basis of these Consolidated Financial
flows of the Group including its Associates and Jointly Statements.
controlled entities in accordance with the accounting
As part of an audit in accordance with SAs, we exercise
principles generally accepted in India, including
professional judgment and maintain professional
the Accounting Standards (Ind AS) specified under
scepticism throughout the audit. We also:
section 133 of the Act read with the Companies (Indian
Accounting Standards) Rules, 2015 as amended. The ¾¾ Identify and assess the risks of material
respective Board of Directors of the companies included misstatement of the consolidated financial
in the Group and of its associates and jointly controlled statements, whether due to fraud or error, design
entities are responsible for maintenance of adequate and perform audit procedures responsive to those
accounting records in accordance with the provisions of risks, and obtain audit evidence that is sufficient
the Act, for safeguarding the assets of the Group and for and appropriate to provide a basis for our opinion.
preventing and detecting frauds and other irregularities; The risk of not detecting a material misstatement
selection and application of appropriate accounting resulting from fraud is higher than for one
policies; making judgments and estimates that are resulting from error, as fraud may involve collusion,
reasonable and prudent; and the design, implementation forgery, intentional omissions, misrepresentations,
and maintenance of adequate internal financial controls, or the override of internal control.
that were operating effectively for ensuring accuracy
¾¾ Obtain an understanding of internal financial
and completeness of the accounting records, relevant
control relevant to the audit in order to design
to the preparation and presentation of the consolidated
audit procedures that are appropriate in the
financial statements that give a true and fair view and
circumstances. Under section 143(3)(i) of the
are free from material misstatement, whether due to
Companies Act, 2013, we are also responsible for
fraud or error, which have been used for the purpose of
expressing our opinion on whether the company
preparation of the consolidated financial statements by
has adequate internal financial controls system
the Directors of the Holding Company, as aforesaid.
in place and the operating effectiveness of such
In preparing the consolidated financial statements, the controls.
respective Board of Directors of the companies included
¾¾ Evaluate the appropriateness of accounting
in the Group and of its associates and jointly controlled
policies used and the reasonableness of accounting
entities are responsible for assessing the ability of the
estimates and related disclosures made by
Group and of its associates and jointly controlled entities
management.
to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going ¾¾ Conclude on the appropriateness of management’s
concern basis of accounting unless management either use of the going concern basis of accounting and,
intends to liquidate the Group or to cease operations, or based on the audit evidence obtained, whether a
has no realistic alternative but to do so. material uncertainty exists related to events or
conditions that may cast significant doubt on the
The respective Board of Directors of the companies
ability of the Group and its associates and jointly
included in the Group and of its associates and jointly
controlled entities to continue as a going concern.
controlled entities are responsible for overseeing the
If we conclude that a material uncertainty exists,
financial reporting process of the Group and of its
we are required to draw attention in our auditor’s
associates and jointly controlled entities.
report to the related disclosures in the consolidated

financial statements or, if such disclosures are therefore the key audit matters. We describe these
inadequate, to modify our opinion. Our conclusions matters in our auditor’s report unless law or regulation
are based on the audit evidence obtained up to precludes public disclosure about the matter or when,
the date of our auditor’s report. However, future in extremely rare circumstances, we determine that
events or conditions may cause the Group and its a matter should not be communicated in our report
associates and jointly controlled entities to cease to because the adverse consequences of doing so would
continue as a going concern. reasonably be expected to outweigh the public interest
benefits of such communication.
¾¾ Evaluate the overall presentation, structure and
content of the consolidated financial statements, Other Matters
including the disclosures, and whether the
a. We did not audit the financial statements /
consolidated financial statements represent the
financial information of 4 subsidiaries, and 3 jointly
underlying transactions and events in a manner
controlled entities, whose financial statements
that achieves fair presentation.
/ financial information reflect total assets of
¾¾ Obtain sufficient appropriate audit evidence ` 809.69 Crores as at 31st March, 2022, total
regarding the financial information of the entities revenues of ` 0.19 Crores and net cash flows
or business activities within the Group and its amounting to ` 17.74 Crores for the year ended
associates and jointly controlled entities to on that date, as considered in the consolidated
express an opinion on the consolidated financial financial statements. The consolidated financial
statements. We are responsible for the direction, statements also include the Group’s share of net
supervision and performance of the audit of the loss of ` 7.17 Crores for the year ended 31st March,
financial statements of such entities included in 2022, as considered in the consolidated financial
the consolidated financial statements of which we statements, in respect of 4 associates, whose
are the independent auditors. For the other entities financial statements / financial information have
included in the consolidated financial statements, not been audited by us. These financial statements
which have been audited by other auditors, such / financial information have been audited by other
other auditors remain responsible for the direction, auditors whose reports have been furnished to
supervision and performance of the audits carried us by the Management and our opinion on the
out by them. We remain solely responsible for our consolidated financial statements, in so far as it
audit opinion. relates to the amounts and disclosures included
in respect of these subsidiaries, jointly controlled
Materiality is the magnitude of misstatements in the
entities and associates, and our report in terms of
Consolidated Financial Statements that, individually
sub-sections (3) and (11) of Section 143 of the Act,
or in aggregate, makes it probable that the economic
in so far as it relates to the aforesaid subsidiaries,
decisions of a reasonably knowledgeable user of the
jointly controlled entities and associates, is based
Consolidated Financial Statements may be influenced.
solely on the reports of the other auditors.
We consider quantitative materiality and qualitative
factors in (i) planning the scope of our audit work and in b. Our opinion on the Consolidated Financial
evaluating the results of our work; and (ii) to evaluate the Statements, and our report on Other Legal and
effect of any identified misstatements in the Consolidated Regulatory Requirements below, is not modified
Financial Statements. in respect of the matters as stated in para a
above, with respect to our reliance on the work
We communicate with those charged with governance of
done and the reports of the other auditors, the
the Holding Company and such other entities included in
financial statements/financial information certified
the consolidated financial statements of which we are the
by the Holding Company’s Management and the
independent auditors regarding, among other matters,
adjustments made to the comparative Consolidated
the planned scope and timing of the audit and significant
Financial Statements.
audit findings, including any significant deficiencies in
internal control that we identify during our audit. Report on Other Legal and Regulatory Requirements
We also provide those charged with governance with 1. As required by Section 143(3) of the Act, based
a statement that we have complied with relevant on our audit and on the consideration of report of
ethical requirements regarding independence, and to other auditors on separate financial statements
communicate with them all relationships and other and other financial information of subsidiaries,
matters that may reasonably be thought to bear on our jointly controlled entities and associates as noted
independence, and where applicable, related safeguards. in the “Other Matters” paragraph, we report, to the
extent applicable, that:
From the matters communicated with those charged
with governance, we determine those matters that were a. We have sought and obtained all the
of most significance in the audit of the consolidated information and explanations which to
financial statements of the current period and are the best of our knowledge and belief were
240 NMDC LIMITED

necessary for the purposes of our audit of the the best of our information and according to
aforesaid consolidated financial statements. the explanations given to us:
b. In our opinion, proper books of account as a. The consolidated financial statements
required by law relating to preparation of the disclose the impact of pending
aforesaid consolidated financial statements litigations on the consolidated financial
have been kept so far as it appears from our position of the Group, its associates
examination of those books and the reports of and jointly controlled entities– Refer
the other auditors. Note 2.32 to the consolidated financial
statements.
c. The Consolidated Balance Sheet, the
Consolidated Statement of Profit and Loss, b. The Group, its associates and jointly
and the Consolidated Cash Flow Statement controlled entities did not have any
dealt with by this Report are in agreement material foreseeable losses on long-
with the relevant books of account maintained term contracts including derivative
for the purpose of preparation of the contracts.
consolidated financial statements.
c. There has been no delay in transferring
d. In our opinion, the aforesaid consolidated amounts, required to be transferred, to
financial statements comply with the the Investor Education and Protection
Accounting Standards specified under Section Fund by the Holding Company and
133 of the Act. its subsidiary companies, associate
companies and jointly controlled
e. Being a Government Company, pursuant
companies incorporated in India.
to the Notification No. GSR 463 (E) dated
5th June 2015, issued by the Ministry of d.
Corporate Affairs, Government of India,
i. The management has represented
provisions of sub-section (2) 0f Section 164
that, to the best of its knowledge and
of the Act are not applicable to the Holding
belief, no funds have been advanced
Company, its Subsidiaries, Joint Ventures
or loaned or invested (either from
and Associates. Further, on the basis of the
borrowed funds or share premium or
information and explanation received from
any other sources or kind of funds)
the Holding Company’s Management, none
by the Company to or in any other
of the directors of the Group companies, its
persons or entities, including foreign
associate companies and jointly controlled
entities (“Intermediaties”) with the
companies incorporated in India is
understanding, whether recorded
disqualified as on 31st March, 2021 from being
in writing or otherwise, that the
appointed as a director in terms of Section
Intermediary shall:
164 (2) of the Act.
• Directly or indirectly lend
f. With respect to the adequacy of internal
or invest in other persons
financial controls over financial reporting of
or entities identified in any
the Group and the operating effectiveness of
manner whatsoever (“Ultimate
such controls, refer to our separate report in
Beneficiaries”) by or on behalf of
Annexure.1
the Company or
g. With respect to the other matters to be
• Provide any guarantee, security
included in the auditor’s report in accordance
or the like to or on behalf of the
with the requirements of Section 197(16) of
Ultimate Beneficiaries.
the Act, as amended:
ii. The management has represented, that,
We are informed that the provisions of
to the best of its knowledge and belief,
section 197 read with Schedule V of the
no funds have been received by the
Act, relating to managerial remuneration
Company from any persons or entities,
are not applicable to the company, being a
including foreign entities (“Funding
Government Company, in terms of Ministry of
Parties”), with the understanding,
Corporate Affairs notification no- G.S.R.(E)
whether recorded in writing or
5th June 2015.
otherwise, that the Company shall:
h. With respect to the other matters to be
• Directly or indirectly, lend
included in the Auditor’s Report in accordance
or invest in other persons
with Rule 11 of the Companies (Audit and
or entities identified in any
Auditor’s) Rules, 2014, in our opinion and to

manner whatsoever (“Ultimate
Beneficiaries”) by or on behalf of
the Funding Party or
• Provide any guarantee, security or
the like form or on behalf of the
Ultimate Beneficiaries; and
iii. Based on such audit procedures as
considered reasonable and appropriate
in the circumstances, nothing has come
to our notice that has caused us to
believe that the representations under
sub-clause (d) (i) and (d)(ii) contain any
material mis-statement.
e. The Dividend declared or paid
during the year by the Company is
in compliance with Section 123 of
the Act.
2. As required by the Companies (Auditor’s Report)
Order, 2020 (“the Order”) issued by the Central
Government of India in terms of Section 143(11)
of the Act, we give in “Annexure 2” a statement on
the matters specified in paragraphs 3 and 4 of the
Order, to the extent applicable.

(FRN.003510S )
CA.B.Srinivasa Rao
Partner
Hyderabad Membership No.202352
Date: 26.05.2022 UDIN:22202352AJRNFI2852
242 NMDC LIMITED

ANNEXURE “1” TO THE INDEPENDENT AUDITOR’S REPORT
(Referred to in paragraph(h) under the heading 'Report maintained and if such controls operated effectively in all
on Other Legal & Regulatory Requirement' of our report material respects.
of even date to the Financial Statements of NMDC
Our audit involves performing procedures to obtain audit
Limited on the Consolidated Financial Statements for the
evidence about the adequacy of the internal financial
year ended March 31,2022.)
controls system over financial reporting and their
Report on the Internal Financial Controls Over Financial operating effectiveness. Our audit of internal financial
Reporting under Clause (i) of Sub-section 3 of Section controls over financial reporting included obtaining an
143 of the Companies Act, 2013 (“the Act”) understanding of internal financial controls over financial
reporting, assessing the risk that a material weakness
In conjunction with our audit of the Consolidated
exists, and testing and evaluating the design and
Financial Statements of NMDC Limited as of and for
operating effectiveness of internal control based on the
the year ended 31 March 2022, we have audited the
assessed risk. The procedures selected depend on the
internal financial controls with reference to Consolidated
auditor’s judgment, including the assessment of the risks
Financial Statements of NMDC Limited (hereinafter
of material misstatement of the financial statements,
referred as “the Holding Company”) and its subsidiaries
whether due to fraud or error.
(the Holding Company and its subsidiaries together
referred as “the Group”) and its Jointly controlled entities We believe that the audit evidence we have obtained is
and Associates as of that date. sufficient and appropriate to provide a basis for our audit
opinion on the internal financial controls system over
Management’s Responsibility for Internal Financial
financial reporting of the Holding Company.
Controls
Meaning of Internal Financial Controls Over Financial
The Board of Directors of the Holding Company is
Reporting
responsible for establishing and maintaining internal
financial controls based on the internal control over A company’s internal financial control over financial
financial reporting criteria established by the Holding reporting is a process designed to provide a reasonable
Company considering the essential components of assurance regarding the reliability of financial reporting
internal control stated in the Guidance Note on Audit and the preparation of financial statements for external
of Internal Financial Controls over Financial Reporting purposes in accordance with generally accepted
issued by the Institute of Chartered Accountants accounting principles. A company’s internal financial
of India. These responsibilities include the design, control over financial reporting includes those policies
implementation and maintenance of adequate internal and procedures that (1) pertain to the maintenance of
financial controls that were operating effectively for records that, in reasonable detail, accurately and fairly
ensuring the orderly and efficient conduct of its business, reflect the transactions and dispositions of the assets
including adherence to respective company’s policies, the of the company; (2) provide reasonable assurance
safeguarding of its assets, the prevention and detection that transactions are recorded as necessary to permit
of frauds and errors, the accuracy and completeness of preparation of financial statements in accordance
the accounting records, and the timely preparation of with generally accepted accounting principles, and
reliable financial information, as required under the Act. that receipts and expenditures of the company are
being made only in accordance with authorizations of
Auditor’s Responsibility
management and directors of the company; and (3)
Our responsibility is to express an opinion on the provide reasonable assurance regarding prevention or
internal financial controls over financial reporting of the timely detection of unauthorized acquisition, use, or
Holding Company based on our audit. We conducted our disposition of the company’s assets that could have a
audit in accordance with the Guidance Note on Audit of material effect on the financial statements.
Internal Financial Controls Over Financial Reporting (the
Limitations of Internal Financial Controls Over Financial
“Guidance Note”) issued by the Institute of Chartered
Reporting
Accountants of India and the Standards on Auditing
prescribed under Section 143(10) of the Companies Act, Because of the inherent limitations of internal financial
2013, to the extent applicable to an audit of internal controls over financial reporting, including the possibility
financial controls. Those Standards and the Guidance of collusion or improper management override of
Note require that we comply with ethical requirements controls, material misstatements due to error or fraud
and plan and perform the audit to obtain reasonable may occur and not be detected. Also, projections of any
assurance about whether adequate internal financial evaluation of the internal financial controls over financial
controls over financial reporting was established and reporting to future periods are subject to the risk that

the internal financial control over financial reporting may
become inadequate because of changes in conditions,
or that the degree of compliance with the policies or
procedures may deteriorate.
Opinion
In our opinion, to the best of our information and
according to the explanations given to us, the Holding
Company has, in all material respects, an adequate
internal financial controls system over financial reporting
and such internal financial controls over financial
reporting were operating effectively as at March 31, 2022,
based on the internal control over financial reporting
criteria established by the Holding Company considering
the essential components of internal control stated in
the Guidance Note on Audit of Internal Financial Controls
Over Financial Reporting issued by the Institute of
Chartered Accountants of India.
As per our attached report of even dated.

Firm’s Registration No: 003510S
CA.B.Srinivasa Rao
Partner
Date: 26.05.2022 UDIN: 22202352AJRNFI2852
244 NMDC LIMITED

ANNEXURE “2” TO THE INDEPENDENT AUDITOR’S REPORT
(Referred to in paragraph 2 under the heading 'Report on Other Legal & Regulatory Requirement' of our report of
even date to the Financial Statements of NMDC Limited on the Consolidated Financial Statements for the year ended
March 31,2022.)
According to the information and explanations given to us, in respect of the following companies incorporated in India
and outside India and included in the consolidated financial statements, the CARO report relating to them has not
been issued by their auditors till the date of this audit report:
Holding Clause number

Company/ of the CARO
Sl.
Name CIN Subsidiary/ report which
No.
Associates/ Joint is qualified or
Venture adverse
J & K Mineral Development Corporation
1 U14107JK1989SGC001110 Subsidiary Unaudited
Limited
2 Karnataka Vijayanagar Steel limited U27100KA2014GOI077968 Subsidiary Unaudited
3 NMDC Steel Limited U27310CT2015GOI001618 Subsidiary Unaudited
4 Legacy Iron Ore Limited, Australia Foreign Company Subsidiary Unaudited
Kopano-NMDC Minerals (Proprietary)
5 Foreign Company Joint Venture Unaudited
Limited
6 U10300JH2012GOI000585 Joint Venture Unaudited
Corporation Limited
7 NMDC-CMDC Limited U13100CT2008GOI020711 Joint Venture Unaudited
8 Baster Railway Private Limited U74900CT2016PTC007251 Joint Venture Unaudited
9 International Coal Ventures (Pvt.) Limited U10100DL2009PTC190448 Associates Unaudited
10 Krishnapatnam Railway Company Limited U45200TG2006PLC051378 Associates Unaudited
11 Neelachal Ispat Nigam Limited U27109OR1982GOI001050 Associates Unaudited
12 Chhattisgarh Mega Steel Limited U27100CT2015GOI001627 Associates Unaudited

Firm’s Registration No: 003510S
CA.B.Srinivasa Rao
Partner
Date: 26.05.2022 UDIN: 22202352AJRNFI2852

Consolidated Balance Sheet
As at 31st March 2022
(` In Crore)
Particulars Note No. current reporting year previous reporting year
ASSETS
Non-current Assets
a) Property, plant & equipment 2.1.1 4,156.86 3,313.92
b) Right- of -Use Assets 2.1.2 8.27 7.02
c) Capital work-in- progress 2.2 18,324.52 17,106.51
d) Goodwill 93.89 93.89
e) Other intangible assets 2.3 535.73 518.57
f) Intangible assets under development 2.4 5.00 51.42
g) Financial assets
i) Investments 2.4.1 894.95 874.90
ii) Loans 2.4.2 40.77 111.70
iii) Other Finanial Assets 2.4.3 181.82 147.47
h) Deferred tax assets (Net) 2.5 530.95 408.28
i) Other non-current assets 2.6 4,267.98 3,695.91
Total non-current assets 29,040.74 26,329.59
Current Assets :
a) Inventories 2.7 2,164.90 921.72
b) Financial assets
i) Trade receivables 2.8.1 2,954.30 2,139.89
ii) Cash and cash equivalents 2.8.2 121.42 464.10
iii) Bank balances other than (ii) above 2.8.3 7,856.87 5,397.72
iv) Other financial assets 2.8.4 608.38 454.23
c) Current tax assets (Net) 2.9 900.12 257.05
d) Other current assets 2.10 1,204.03 964.86
e) Assets held for disposal 2.11 0.81 0.63
Total current assets 15,810.83 10,600.20
Total Assets 44,851.57 36,929.79
EQUITY AND LIABILITIES
Equity
a) Equity share capital 2.12 293.07 293.07
b) Other Equity 2.13 34,693.83 29,590.98
Equity attributable to owners of NMDC Ltd 34,986.90 29,884.05
Non-controlling interest 13.45 13.54
Total equity 35,000.35 29,897.59
Liabilities
Non- current liabilities
i) Borrowings 2.14.1 1,668.22 523.80
ii) Other Financial liabilities 2.14.3 150.28 150.28
b) Provisions 2.14.4 1,092.46 948.10
Total non-current liabilities 2,916.81 1,626.88
Current liabilities
i) Borrowings 2.15.1 1,815.13 1,470.67
ii) Trade payables 2.15.3
a) Total Outstanding dues of Micro Enterprises and
26.70 12.66
Small Enterprises
b) Total Outstanding dues of Creditors other than
940.83 348.12
Micro Enterprises and Small Enterprises
iii) Other financial liabilities 2.15.4 1,493.85 1,624.65
b) Other current liabilties 2.16 2,641.18 1,852.24
c) Provisions 2.17 15.13 95.87
Total current liabilities 6,934.41 5,405.32
Total liabilities 9,851.22 7,032.20
Total equity and liabilities 44,851.57 36,929.79
Significant Accounting Policies and notes on accounts: 1 & 2
(CA B SRINIVASA RAO) (AMITAVA MUKHERJEE) (SUMIT DEB)
Membership No: 202352 DIN : 08265207 DIN : 08547819

246 NMDC LIMITED
Consolidated Statement of Profit and Loss
for Year Ended 31st March 2022
(` In Crore)
Figures for the Figures for the
Particulars Note No current reporting year previous reporting year
I. Revenue from operations 2.18 25,881.73 15,370.06
II. Other Income 2.19 718.52 351.60
III. Total Income (I+II) 26,600.25 15,721.66
IV. Expenses :
Consumption of raw materials 2.20 106.95 42.01
Consumption of Stores & Spares 396.53 257.41
Changes in inventories of finished goods/ Work in progress 2.21 (1,200.50) (161.81)
Employee benefit expense 2.22 1,337.07 1,085.24
Power and electricity 2.23 122.54 110.82
Repairs & maintenance 2.24 192.23 136.02
Royalty & other Levies 9,986.76 2,969.38
Selling Expenses 2.25 227.74 695.27
Finance cost 2.26 39.06 16.81
Depreciation and amortisation expense 2.1 & 2.3 287.74 228.54
Other expenses 2.27 2,129.89 1,446.45
Total expenses 13,626.01 6,826.14
V. Profit before exceptional items and tax (III-IV) 12,974.24 8,895.52
VI. Exceptional items (Income)/Expenditure 2.28 - -
VII. Profit before tax (V-VI) 12,974.24 8,895.52
VIII. Tax expense :
(1) Current year 2.29 3,444.39 2,316.46
(2) Earlier years (net) 260.53 343.20
(3) Deferred tax 2.29 (122.67) (11.21)
3,582.25 2,648.45
IX. Profit for the year from continuting operations (VII-VIII) 9,391.99 6,247.07
X. Profit/(Loss) from discontinued operations (0.91) 0.53
XI. Tax expense of discontinued operations 2.29 (0.23) 0.13
XII. Profit/(Loss) from discontinued operations (X-XI) (0.68) 0.40
XIII. Profit for the year (IX +XII) 9,391.31 6,247.47
XIV. Share of non controlling interest (Loss) (0.55) (0.37)
XV. Share of Profit /(Losses) of Associates (12.26) 29.17
XVI. Profit after adjusting minority interest and share of loss of Associates (XIII- 9,379.60 - 6,277.01
XIV+XV)
Other Comprehensive Income
A) (i) Item that will not be reclassified to profit or loss Re-measurements of 41.95 (139.32)
post-employment benefit obligations
(ii) Income tax relating to these items 2.29 (3.07) 18.86
B) (i) Item that will be reclassified to profit or loss 2.10 (0.62)
(ii) Income tax relating to items that will be reclassified to profit or loss
XVII.Other Comprehensive income (Net of tax) 40.98 (121.08)
XVIII.Total Comprehensive income for the year (XVI+XVII) 9,420.58 6,155.93
Profit is attibutable to :
Owners of the parent 9,379.05 6,276.64
Non controlling Interest (0.55) (0.37)
9,379.60 6,277.01
Other Comprehensive Income/(Expenses) attributable to:
Owners of the parent 40.98 (121.08)
Non controlling Interest - -
40.98 (121.08)
TotalComprehensive Income attributable to:
Owners of the parent 9,420.03 6,155.56
Non controlling Interest (0.55) (0.37)
9,420.58 6,155.93
Earnings per equity share (for continuing operation)
i) Basic 2.33.5 32.00 20.70
ii) Diluted 2.33.5 32.00 20.70
Earnings per equity share (for discontinued operation)
i) Basic 2.33.5
ii) Diluted 2.33.5
Earnings per equity share (for discontinued & continuing operation)
i) Basic 2.33.5 32.00 20.70
ii) Diluted 2.33.5 32.00 20.70
Significant Accounting Policies and notes on accounts: 1 & 2


STATEMENT OF CHANGES IN EQUITY
a) Equity Share Capital (` In Crore)
Note.no. Amount
Balance as at 1st April 2020 2.12 306.19
Changes in Equity share capital * (13.12)
Balance as at 31st March 2021 2.12 293.07
Changes in Equity share capital (*) -
st
293.07
(*) Buyback of Equity shares refer to note No. 2.12
Reserve & Surplus
Particulars Total Non-

General Retained Capital
CRR OCI Owners controlling
Reserve earnings Reserve
Equity interest
Balance as at 1st April 2020 25,467.06 1,518.68 90.28 52.62 238.24 27,366.88 8.05
Profit for the year 6,277.01 6,277.01 (0.37)
Transfer to Capital Redemption Reserve
(13.12) 13.12 -
(CRR)
Buyback of shares (including transaction
(1,687.50) (1,687.50)
charges)
Interim Dividends (2020-21) (2,274.15) (2,274.15)
Foreign Exchange Translation Reserve
27.60 27.60 3.07
(OCI)
Adjustment on consolidation 2.34 (0.12) 2.22 2.79
Total 2,199 105.20 13.12 (93.60) - 2,224.10 5.49
Balance as at 31st March 2021 27,666.44 1,623.88 103.40 (40.98) 238.24 29,590.98 13.54
Balance as at 1st April 2021 27,666.44 1,623.88 103.40 (40.98) 238.24 29,590.98 13.54
4.12 4.12 0.46
(OCI)
Adjustment on consolidation (2.13) (2.13)
Total 5,000.00 57.75 - 45.10 - 5,102.85 (0.09)
Balance as at 31st March 2022 32,666.44 1,681.63 103.40 4.12 238.24 34,693.83 13.45


248 NMDC LIMITED

Consolidated Cash Flow Statement
for the year ended 31st March 2022
(` In Crore)

Particulars current reporting year previous reporting year
31 March 2022 31 March 2021
CASH FLOW FROM OPERATING ACTIVITIES
Profit/(Loss) before income tax from
Continued Operations 12,974.24 8,895.52
Discontinued Operations (0.91) 0.53
Profit before income tax including discontinued operations 12,973.33 8,896.05
Adjustments for non cash/non operational expenses:
Depreciation & amortisation expense 287.74 228.54
(Profit)/Loss on disposal of property, plant & equipement 1.87 0.74
Expenditure on enabling facilities 125.22 147.79
Provision for bad & doubtful advances 559.70 234.31
Interest Income classified as investing cash flow (428.95) (239.14)
Finance Costs 39.06 16.81
Operating Profits before working capital changes 13,557.97 9,285.10
Adjustments for working capital changes:
(Increase)/ Decrease in Investments - -
(Increase)/ Decrease in trade receivables (1,374.11) (150.49)
(Increase )/Decrease in inventories (1,243.18) (198.21)
(Increase)/Decrease in other financial assets (179.46) (98.32)
(Increase)/Decrease loans to employees and related
70.93 (27.85)
parties
(Increase)/Decrease in other non current assets (198.63) (144.89)
(Increase)/Decrease in other current assets (239.17) (224.22)
(Increase)/Decrease in assets held for disposal (0.18) 0.03
Increase/(Decrease) in trade payables 606.75 134.88
Increase/(Decrease) in provisions 146.13 97.12
Increase/(Decrease) employee benefit obligations (40.75) (243.39)
Increase/(Decrease) in other financial liabilities 94.95 (152.16)
Increase/(Decrease) in other non-current liabilities - 150.28
Increase/(Decrease) in other current liabilities 788.94 1,306.99
Cash generated from operations 11,990.19 9,734.87
Income Taxes paid (4,350.83) (2,468.74)
Net Cash Flow from operating activities 7,639.36 7,266.13

Consolidated Cash Flow Statement (CONT...)
(` In Crore)
Particulars current reporting year previous reporting year
31 March 2022 31 March 2021
CASH FLOW FROM INVESTING ACTIVITIES
Expenditure on acquisition of tangible and intangible assets
(3,047.36) (1,622.11)
and towards capital work in progress (net of sale proceeds)
Purchase of investments (27.58) 99.61
Interest received 419.91 241.69
Investment in term deposits with more than three months (2,410.73) (3,035.47)
Net Cash Flow from investing activities (5,065.75) (4,316.28)
CASH FLOW FROM FINANCING ACTIVITIES
Amount paid on buyback of Shares (including transaction
- (1,700.62)
charges)
(Repayment)/Proceeds from borrowings* 344.46 905.10
Lease Liability 1.63 (0.02)
(Repayment)/Proceeds from borrowings (Non-Current) 1,144.42 523.80
Deposits paid towards LCs and BGs (towards non fund based
(48.22) (29.49)
facilities)
Interest paid (39.06) (16.81)
Dividends paid (including tax thereon and net off balances for
(4,319.52) (2,273.28)
unpaid dividends)
Net Cash Flow from financing activities (2,916.29) (2,591.32)
Net increase (decrease) in cash and cash equivalent (342.68) 358.53
Cash & Cash equivalents at the beginning of the year 464.10 105.57
Cash & Cash equivalents at the end of the year 121.42 464.10
Details of the Cash and Cash Equivalents (Note no. 2.8.2)
Cash in hand - 0.01
On Current Accounts 86.56 411.71
On Deposit Accounts (Original Maturity less than 3 months) 34.86 52.38
Ear Marked Balance - -
Total Cash & Cash equivalents at the end of the year 121.42 464.10
Restricted Cash Balance - -


250 NMDC LIMITED

Notes
1. Significant accounting policies (e) Principles of Consolidation
1.1 Basis of preparation The consolidated Financial Statements
have been prepared on the following
(a) Statement of compliance
basis:
The consolidated financial statements
i) The consolidated financial
have been prepared in accordance with
statements are prepared to the
Indian Accounting Standards (“Ind AS”)
extent possible by using uniform
notified under the Companies (Indian
accounting policies for like
Accounting Standards) Rules, 2015
transactions and other events in
and Companies (Indian Accounting
similar circumstances and are
Standards) Amendment Rules, 2020 and
presented in the same manner as
other relevant provisions of the Act.
the Company’s separate financial
(b) Basis of measurement statements except as otherwise
stated.
have been prepared on a historical cost ii) The financial statements of the
convention and on an accrual basis, Company and its subsidiary
except for the following material items companies are combined on
that have been measured at fair value a line-by-line basis by adding
as required by relevant Ind AS: together the book values of
i. Certain financial assets and like items of assets, liabilities,
liabilities measured at fair value income and expenses, after fully
(refer accounting policy on eliminating intra-group balances
financial instruments); and intra-group transactions
resulting in unrealized profits
ii. Defined benefit and other long-
or losses as specified in
term employee benefits.
Indian Accounting Standard
(c) Functional and presentation currency 110 – "Consolidated Financial
Statements".
are presented in Indian rupees, which is iii) Investments in Associates/
the functional currency of the Company Joint Ventures are accounted
and the currency of the primary for using equity method as per
economic environment in which the Indian Accounting Standard 28 –
entity operates. All financial information “Investments in Associates and
presented in Indian rupees has been Joint Ventures”
rounded to the nearest crore except
iv) Investments in Joint Operations
share and per share data.
are accounted for using the
(d) Use of estimates and judgement proportionate consolidate
method as per Ind AS 111 ‘Joint
The preparation of consolidated Arrangements”.
financial statements in conformity with
Ind AS requires management to make v) The difference between the cost
judgments, estimates and assumptions of investment in the subsidiaries,
that affect the application of accounting joint ventures, and associates and
policies and the reported amounts of the Company's share of net assets
assets, liabilities, income and expenses. at the time of acquisition of shares
Actual results may differ from these in the subsidiaries, joint ventures
estimates. and associates is recognized
in the financial statements as
Estimates and underlying assumptions Goodwill or Capital Reserve as the
are reviewed on a periodic basis. case may be.
Revisions to accounting estimates are
recognized in the period in which the vi) Non controlling interest in net
estimates are revised and in any future profit/loss of the subsidiaries for
periods affected.

the year is identified and adjusted and loss and reported within foreign
against the income of the group in exchange gains/ (losses).
order to arrive at the net income
Non-monetary assets and liabilities
attributable to the shareholders of
denominated in a foreign currency
the company
and measured at historical cost
vii) Non controlling interest in are translated at the exchange rate
the net assets of consolidated prevalent at the date of transaction.
subsidiaries is identified and
iii) Investment in subsidiaries and joint
presented in the consolidated
venture
balance sheet separately from
liabilities and equity of the Investment in subsidiaries, Joint
Company's shareholders. Ventures and associates are measured
at cost. Dividend income is recognised
viii) The financial statements of when its right to receive the dividend is
Legacy Iron Ore Ltd, Australia established”.
have been prepared in accordance
with Australian Accounting iv) Financial instruments
Standards and the relevant All financial instruments are recognized
Australian Laws and also on initially at fair value. Transaction costs
accrual basis and according that are attributable to the acquisition of
to the historical cost basis the financial asset (other than financial
assuming the company is a assets recorded at fair value through
going concern and converted profit or loss) are included in the fair
in Indian Rupees considering value of the financial assets. Purchase
as non-integral operation as or sales of financial assets that require
per Indian Accounting Standard delivery of assets within a time frame
21 -“The Effects of Changes in established by regulation or convention
Foreign Exchange Rates” for the in the market place (regular way trade)
purpose of Consolidated Financial are recognized on trade date. While,
Statements. loans and borrowings and payable are
1.2 Summary of significant accounting policies recognized net of directly attributable
transactions costs.
i) Functional and presentation currency
For the purpose of subsequent
Items included in the financial measurement, financial instruments
statements of the Company are of the Company are classified in the
measured using the currency of the following categories: non-derivative
primary economic environment in financial assets comprising amortized
which these entities operate (i.e. the cost; non derivative financial liabilities
“functional currency”). The consolidated at amortized cost.
financial statements are presented in
Indian Rupee, the national currency of The classification of financial
India, which is the functional currency instruments depends on the objective
of the Company. of the business model for which it
is held. Management determines
ii) Foreign currency transactions and the classification of its financial
balances instruments at initial recognition.
Transactions in foreign currency are Financial instrument is derecognized
translated into the respective functional only when the company has transferred
currencies using the exchange rates its right to receive/extinguish its
prevailing at the dates of the respective obligation to pay cash flow from such
transactions. Foreign exchange financial instruments.
gains and losses resulting from the
a) Non-derivative financial assets
settlement of such transactions and
from the translation at the exchange Financial assets at amortized cost
rates prevailing at reporting date
A financial asset shall be
of monetary assets and liabilities
measured at amortized cost if
denominated in foreign currencies are
both of the following conditions
recognized in the statement of profit
are met:
252 NMDC LIMITED

• the financial asset is held within a equipment are measured at cost
business model whose objective is less accumulated depreciation
to hold financial assets in order to and impairment losses, if any.
collect contractual cash flows and Cost includes expenditures
directly attributable to the
• the contractual terms of the
acquisition of the asset. The
financial asset give rise on
Company has elected to apply
specified dates to cash flows that
the optional exemption to use the
are solely payments of principal
previous GAAP value as deemed
and interest on the principal
cost at 1 April 2015, the date of
amount outstanding
transition.
They are presented as current
Spare parts, stand by equipment
assets, except for those
and service equipment meeting
maturing later than 12 months
the definition of PPE and having
after the reporting date which
value of more than ` 20 lakh in
are presented as non-current
each case, are capitalized as and
assets. Financial assets are
when available for use.
measured initially at fair value
plus transaction costs and Depreciation: Normally the
subsequently carried at amortized Company depreciates property,
cost using the effective interest plant and equipment over the
method, less any impairment loss. estimated useful life of the assets
as prescribed in Schedule II of the
Amortized cost is represented by
Companies Act 2013 on a straight-
security deposits, cash and cash
line basis. Depreciation is charged
equivalents, employee and other
on pro-rata basis on additions
advances and eligible current and
/ disposals of assets during
non-current assets.
the year. Wherever the useful
Cash and cash equivalents life is determined by technical
comprise cash on hand and in assessment for certain assets,
banks and demand deposits with such assets are depreciated as
banks which can be withdrawn at per their assessed life. Assets
any time without prior notice or acquired under finance lease
penalty on the principal. and leasehold improvements
are amortized over the lower of
For the purposes of the cash
estimated useful life and related
flow statement, cash and cash
term. Depreciation methods,
equivalents include cash on hand,
useful lives and residual values
in banks and demand deposits
are reviewed at each reporting
with banks, net of outstanding
date.
bank overdrafts that are repayable
on demand and are considered When parts of an item of
part of the Company’s cash property, plant and equipment
management system. have different useful lives, they
are accounted for as separate
b) Non-derivative financial liabilities
items (major components) of
Financial liabilities at amortized property, plant and equipment.
cost Subsequent expenditure relating
to property, plant and equipment
Financial liabilities at amortized is capitalized only when it is
cost represented by trade and probable that future economic
other payables are initially benefits associated with these
recognized at fair value, and will flow to the Company and the
subsequently carried at amortized cost of the item can be measured
cost using the effective interest reliably. Repairs and maintenance
method. costs are recognized in the
v) Property plant and equipment: statement of profit and loss when
incurred. The cost and related
a) Recognition and measurement: accumulated depreciation are
Normally Property, plant and

eliminated from the consolidated d) Treatment of Enabling Assets:
financial statements upon sale
“Expenditure incurred on any
or disposition of the asset and
facility, the ownership of which
the resultant gains or losses are
is not vested with the company,
recognized in the statement of
but the incurrence of which is
profit and loss.
essential in bringing an asset/
Fixed Assets costing ` 5,000 or projects of NMDC to the location
less are fully depreciated in the and condition necessary to
year of purchase be capable of operating in
the manner intended by the
b) Capital Work-in-Progress:
management, shall be capitalized
Assets in the course of as a part of the overall cost of the
construction are included under said asset/project. Else the same
capital work in progress and shall be charged to revenue.”
are carried at cost, less any
vi) Intangible assets:
recognised impairment loss.
Such capital work in progress, on Intangible assets are stated at cost
completion, is transferred to the less accumulated amortization and
appropriate category of property, impairment. Intangible assets are
plant and equipment. amortized over their respective
estimated useful lives on a straight-
Expenses for assessment of new
line basis, from the date that they are
potential projects incurred till
available for use. The estimated useful
investment decisions are charged
life of an identifiable intangible asset is
to revenue. Expenditure incurred
based on a number of factors including
for projects after investment
the effects of obsolescence, demand,
decisions are accounted for under
competition and other economic factors
capital work in progress and
(such as the stability of the industry
capitalized subsequently.
and known technological advances) and
Any costs directly attributable the level of maintenance expenditures
to acquisition/ construction of required to obtain the expected future
property, plant and equipment cash flows from the asset.
till it is brought to the location
Mining rights are accounted as
and condition necessary for it
Intangible assets and amortised over
to be capable of operating in
the period of life of the mining lease.
the manner as intended by the
management form part of capital vii) Inventory
work-in-progress.
a) Raw materials, Stores and
c) Investment property: spares (including loose tools and
implements), work in process and
Investment Property is a property
finished products are valued at
held to earn rentals and /or for
lower of cost and net realizable
capital appreciation. Investment
value of the respective units.
properties are measured initially
at cost including transaction cots. b) The basis of determining the cost
is
Subsequent to initial recognition,
investment properties are Raw materials : Weighted average
stated cost less accumulated cost
depreciation and impairment
Stores and spares : Weighted
losses.
average cost
Any gain or loss on disposal of
Stores in Transit : At cost
investment property is determined
as the difference between net Work in process and finished
disposal proceeds and the goods : Material cost plus
carrying amount of the property appropriate share of labour,
and is recognised in the statement related overheads and levies
of Profit and Loss.
254 NMDC LIMITED

c) In case of identified Obsolete/ a portion of the lifetime ECL which
Surplus/Non-moving items results from default events that
necessary provision is made and are possible within 12 months
charged to revenue. after the reporting date
d) Stationery, Medical, Canteen, ECL is the difference between all
School Stores, Cotton Waste, contractual cash flows that are
Hospital Stores and Lab stores due to the Company in accordance
(excluding for R & D Lab) charged with the contract and all the
off to Revenue on procurement. cash flows that the entity expects
to receive(i.e. all shortfalls),
e) No credit is taken in respect
discounted at the original EIR.
of stock of run of mine ore,
When estimating the cash flows,
embedded ore, Iron ore slimes.
an entity is required to consider:
viii) Impairment
(i) All contractual terms of
a) Financial assets the financial instrument
(including prepayment,
In accordance with Ind AS 109,
extension etc.) over the
the Company applies expected
expected life of the financial
credit loss (ECL) model for
instrument. However, in rare
measurement and recognition of
cases when the expected life
impairment loss. The Company
of the financial instrument
follows 'simplified approach' for
cannot be estimated reliably,
recognition of impairment loss
then the entity is required
allowance on trade receivable.
to use the remaining
The application of simplified contractual term of the
approach does not require the financial instrument.
Company to track changes in
(ii) Cash flows from the sale
credit risk. Rather, it recognises
of collateral held or other
impairment loss allowance based
credit enhancements
on lifetime ECLs at each reporting
that are integral to the
date, right from its initial
contractual terms.
recognition
ECL impairment loss allowance
For recognition of impairment
(or reversal) recognised during
loss on other financial assets
the period is recognised as
and risk exposure, the Company
income/expense in the statement
determines that whether there
of profit and loss. The balance
has been a significant increase
sheet presentation for various
in the credit risk since initial
financial instruments is described
recognition. If credit risk has
below:
not increased significantly,
12-month ECL is used to provide Financial assets measured at
for impairment loss. However, amortised cost, contractual
if credit risk has increased revenue receivable: ECL is
significantly, lifetime ECL is used. presented as an allowance,
If in subsequent period, credit i.e. as an integral part of the
quality of the instrument improves measurement of those assets in
such that there is no longer a the balance sheet. The allowance
significant increase in credit risk reduces the net carrying amount.
since initial recognition, then Untill the asset meets write off
the entity reverts to recognising criteria, the Company does not
impairment loss allowance based reduce impairment allowance
on 12 month ECL from the gross carrying amount.
Lifetime ECLs are the expected b) Non-financial assets
credit losses resulting from all
The Company assesses at each
possible default events over
reporting date whether there is
the expected life of a financial
any objective evidence that a non
instrument. The 12 month ECL is

financial asset or a group of non the basis of actuarial valuation
financial assets is impaired. If and the amount is administered
any such indication exists, the by a separate Trust.
Company estimates the amount of
b) Gratuity & Provident fund:
impairment loss.
Gratuity payable to eligible
An impairment loss is calculated
employees is administered by a
as the difference between an
separate Trust. Payments to the
asset’s carrying amount and
trust towards contributions and
recoverable amount. Losses are
other demands are made on the
recognised in profit or loss and
basis of actuarial valuation.
reflected in an allowance account.
When the Company considers that The company’s contribution to
there are no realistic prospects the provident fund is remitted
of recovery of the asset, the to a separate trust based on a
relevant amounts are written fixed percentage of the eligible
off. If the amount of impairment employees’ salary. Further,
loss subsequently decreases the company makes good the
and the decrease can be related shortfall, if any, between the
objectively to an event occurring return from investments of trust
after the impairment was and the notified rate of interest on
recognised, then the previously actuarial valuation basis.
recognised impairment loss is
c) Pension Fund
reversed through profit or loss.
Defined contributions to NMDC
The recoverable amount of an
Employees’ Contributory Pension
asset or cash-generating unit (as
Scheme are made on accrual
defined below) is the greater of
basis at a rate as approved from
its value in use and its fair value
time to time to a fund which is
less costs to sell. In assessing
administered by a separate Trust.
value in use, the estimated future
cash flows are discounted to d) Accrued Leave Salary:
their present value using a pre-
tax discount rate that reflects Liability towards Accrued Leave
current market assessments of Salary, as at the end of the
the time value of money and the year is recognized on the basis
risks specific to the asset. For the of actuarial valuation and the
purpose of impairment testing, amount is administered by a
assets are grouped together into separate trust.
the smallest group of assets e) Other Benefits :
that generates cash inflows from
continuing use that are largely Liability towards Long Service
independent of the cash inflows of Award, Settlement Allowance and
other assets or groups of assets Post Retirement Medical Facilities
(the “cash-generating unit”). to employees as at the end of the
year is recognized on the basis
ix) Employee benefits of actuarial valuation. Such
a) Payments under Employees’ amounts towards Settlement
Family Benefit Scheme: Allowance and Post Retirement
Medical Benefits are administered
Under the NMDC Employees’ by a separate trust.
family benefit scheme, monthly
payments are made till the normal Actuarial gains or losses
date of retirement to the family are recognized in other
members of those employees who comprehensive income. Further,
are discharged from service due the profit or loss does not include
to medical reasons or death, on an expected return on plan assets.
deposit of the amount envisaged Instead net interest recognized
in the scheme and liability for the in profit or loss is calculated by
payments are accounted for on applying the discount rate used
to measure the defined benefit
256 NMDC LIMITED

obligation to the net defined goods or services is transferred to the
benefit liability or asset. The customer at an amount that reflects the
actual return on the plan assets consideration to which the Company
above or below the discount expects to be entitled in exchange for
rate is recognized as part of those goods or services.
re-measurement of net defined
If the consideration in a contract
liability or asset through other
includes a variable amount, the
comprehensive income.
Company estimates the amount
Remeasurements comprising of consideration to which it will be
actuarial gains or losses and entitled in exchange for transferring
return on plan assets (excluding the goods to the customer. The variable
amounts included in net interest consideration is estimated at contract
on the net defined benefit liability) inception and constrained until it
are not reclassified to profit or is highly probable that a significant
loss in subsequent periods. revenue reversal in the amount of
cumulative revenue recognised will not
x) Provisions
occur when the associated uncertainty
All the provision are recognized as with the variable consideration is
per Ind AS 37. Provisions (including subsequently resolved.
mine closure) are recognized when
All revenue from sale of goods is
the Company has a present obligation
recognised at a point in time. Revenue
(legal or constructive) as a result of a
from wind power and services is
past event, it is probable that an outflow
recognised over time.
of economic benefits will be required
to settle the obligation, and a reliable The timing of transfer of control in
estimate can be made of the amount of case of sale of goods varies depending
the obligation. upon individual transfer terms of the
contract.
The amount recognized as a provision is
the best estimate of the consideration Export sales: In Export sales control
required to settle the present passes to the customer on the date of
obligation at the end of the reporting Bill of Lading.
period, taking into account the risks
Domestic sales: Control passes to the
and uncertainties surrounding the
customer on the date of delivery which
obligation.
is generally the forwarding note (rail
When some or all of the economic dispatches)/ lorry receipt/ delivery
benefits required to settle a provision challan. However, in case of spot
are expected to be recovered from a auction under electronic mode, control
third party, the receivable is recognized passes to the customer on conclusion
as an asset, if it is virtually certain that of the auction and receipt of money.
reimbursement will be received and
Obsolete stores & scrap: Control
the amount of the receivable can be
passes to the customer on the date of
measured reliably.
realisation.
Provisions for onerous contracts are
Contract asset
recognized when the expected benefits
to be derived by the Company from a A contract asset is the right to
contract are lower than the unavoidable consideration in exchange for goods or
costs of meeting the future obligations services transferred to the customer. If
under the contract. Provisions for the Company performs by transferring
onerous contracts are measured at the goods or services to a customer before
present value of lower of the expected the customer pays consideration or
net cost of fulfilling the contract and before payment is due, a contract
the expected cost of terminating the asset is recognised for the earned
contract. consideration that is conditional.
xi) Revenue recognition: Trade receivables
Revenue from contracts with customers A receivable represents the Company’s
is recognized when control of the right to an amount of consideration that

is unconditional (i.e., only the passage recovered from or paid to the
of time is required before payment of taxation authorities based on the
the consideration is due). taxable income for the period.
The tax rates and tax laws used to
Contract liability
compute the current tax amount
A contract liability is the obligation are those that are enacted or
to transfer goods or services to a substantively enacted by the
customer for which the Company reporting date and applicable for
has received consideration (or an the period. The Company offsets
amount of consideration is due) from current tax assets and current tax
the customer. If a customer pays liabilities, where it has a legally
consideration before the Company enforceable right to set off the
transfers goods or services to the recognized amounts and where
customer, a contract liability is it intends either to settle on a net
recognised when the payment is made basis or to realize the asset and
or the payment is due (whichever liability simultaneously.
is earlier). Contract liabilities are
b) Deferred income tax
recognised as revenue when the
Company performs under the contract. Deferred income tax is recognized
using the balance sheet approach.
xii) Finance income and expense
Deferred income tax assets and
Finance income consists of interest liabilities are recognized for
income on funds invested, dividend deductible and taxable temporary
income and gains on the disposal differences arising between the
of Fair value through profit and loss tax base of assets and liabilities
account financial assets. Interest and their carrying amount in
income is recognized as it accrues in financial statements, except when
the statement of profit and loss, using the deferred income tax arises
the effective interest method. from the initial recognition of
goodwill or an asset or liability
Dividend income is recognized in the
in a transaction that is not a
statement of profit and loss on the date
business combination and affects
that the Company’s right to receive
neither accounting nor taxable
payment is established.
profits or loss at the time of the
Finance expenses consist of interest transaction. Deferred income
expense on loans and borrowings. tax asset are recognized to the
Borrowing costs are recognized in the extent that it is probable that
statement of profit and loss using the taxable profit will be available
effective interest method. against which the deductible
temporary differences, and the
Foreign currency gains and losses are carry forward of unused tax
reported on a net basis. This includes credits and unused tax losses can
changes in the fair value of foreign be utilized. Deferred income tax
exchange derivative instruments, which liabilities are recognized for all
are accounted at fair value through taxable temporary differences.
profit or loss. The carrying amount of deferred
xiii) Income tax income tax assets is reviewed at
each reporting date and reduced
Income tax comprises current and to the extent that it is no longer
deferred tax. Income tax expense is probable that sufficient taxable
recognized in the statement of profit profit will be available to allow
and loss except to the extent it relates all or part of the deferred income
to items directly recognized in equity or tax asset to be utilized. Deferred
in other comprehensive income. income tax assets and liabilities
a) Current income tax are measured at the tax rates
that are expected to apply in the
Current income tax for the current period when the asset is realized
and prior periods are measured or the liability is settled, based on
at the amount expected to be tax rates (and tax laws) that have
258 NMDC LIMITED

been enacted or substantively free of cost it is recognised at a fair
enacted at the reporting date. value. When loan or similar assistance
are provided by government or related
xiv) Earnings per share
institutions, with an interest rate below
Basic earnings per share is computed the current applicable market rate,
using the weighted average number of the effect of this favorable interest is
equity shares outstanding during the recognized as government grant. The
year. loan or assistance is initially recognized
and measured at fair value and the
Diluted EPS is computed by dividing
government grant is measured as the
the net profit after tax by the weighted
difference between the initial carrying
average number of equity shares
value of the loan and the proceeds
considered for deriving basic EPS and
received.
also weighted average number of equity
shares that could have been issued Grant related to income are presented
upon conversion of all dilutive potential as part of profit or loss, as a deduction
equity shares. Dilutive potential equity to the related expenses.
shares are deemed converted as of the
XVII) Lease:
beginning of the year, unless issued at
a later date. Dilutive potential equity a. Lease liability is initially
shares are determined independently recognised and measured at
for each year presented. The number an amount equal to the present
of equity shares and potentially dilutive value of minimum lease payments
equity shares are adjusted for bonus during the lease term that are not
shares, as appropriate. yet paid.
xv) Borrowing costs b. Right of use asset is recognised
and measured at cost, consisting
Borrowings costs directly attributable to of initial measurement of lease
acquisition or construction of an asset liability plus any lease payments
that necessarily takes a substantial made to the lessor at or before
period of time to get ready for its the commencement date less
intended use or sale are capitalised as any lease incentives received,
part of the cost of the asset. All other initial estimate of the restoration
borrowing costs are expensed in the costs and any initial direct costs
period in which it occurs. Borrowing incurred by the lessee.
costs consists of interest and other
costs that an entity incurs in connection c. The lease liability is measured
with the borrowing of funds. in subsequent periods using the
effective interest rate method. The
xvi) Government grants right-of-use asset is depreciated
over the lease term.
Grants from the government are
recognised when there is reasonable d. Low Value leases up to ` 20 lakhs
assurance that:(i) the Company will p.a. per lease and Short term
comply with the conditions attached to leases of 12 months or less are
them; and (ii) the grant will be received. fully charged to expense.
Government grants related to revenue
XVIII) Exploration and Evaluation:
are recognised on a systematic basis
in the statement of profit and loss over Exploration and evaluation expenditure
the periods necessary to match them comprises costs that are directly
with the related costs which they are attributable to:
intended to compensate. Such grants – researching and analysing existing
are deducted in reporting the related exploration data;
expense. When the grant relates to an
asset, it is recognized as income over – conducting geological studies,
the expected useful life of the asset. exploratory drilling and sampling;
Where the Company receives non- – examining and testing extraction
monetary grants, the asset is accounted and treatment methods; and/or
for on the basis of its acquisition cost.
– compiling pre-feasibility and
In case a non-monetary asset is given
feasibility studies.

Exploration expenditure relates to XIX) Stripping cost:
the initial search for deposits with
Development stripping cost:
economic potential.
Overburden and other mine waste
Evaluation expenditure relates to a
material removed during the initial
detailed assessment of deposits or
development of a mine in order to
other projects that have been identified
access mineral deposit are capitalized
as having economic potential. All
as Intangible Asset. Amortization of
evaluation and exploration expenses till
the same is done based on the life
high degree of confidence is achieved
estimated by the management.
are expensed.
Production stripping cost:
Evaluation expenditure are capitalised
as Intangible assets when there is a During the Production phase, the
high degree of confidence that the stripping activity cost is charged to
Company will determine that a project revenue to the extent the benefit from
is commercially viable, that is the the stripping activity is realized in the
project will provide a satisfactory return form of inventory produced.
relative to its perceived risks, and
To the extent the benefit is improved
therefore it is considered probable that
access to ore, the entity shall recognise
future economic benefits will flow to the
these costs as a non-current asset ie
Company.
Stripping Activity Asset, if and only if all
The carrying values of capitalized the following conditions are met:
evaluation expenditure are reviewed for
a. It is probable that the future
impairment every year by management.
economic benefits associated
In respect of legacy Iron Ore Ltd. with the stripping activity will be
realized.
Mineral tenements are carried at cost,
less accumulated impairment loss. b. The component of the ore body for
Mineral exploration and evaluation which access has been improved
is accumulated in respect of each can be identified; and
identifiable area of interest. These
c. The costs relating to the stripping
costs are only carried forward to the
activity associated with the
extent that they are expected to be
improved access can be reliably
recouped through the successful
measured.
development of the area of interest
or sale of that area of interest, or To the extent the current period
exploration and evaluation activities stripping ratio exceeds the planned
have not reached a stage of that stripping ratio as per mine plan, shall
area of interest or exploration and be considered as “Stripping Activity
evaluation activities have not reached Asset’
a stage which permits a reasonable
assessment of the existence or The “Stripping Activity Asset” is
otherwise of economically recoverable subsequently depreciated on a unit of
reserves and active or significant production basis over the life of the
operations on or in relation to, the area identified component of the ore body
of interest are continuing. that become more accessible as a
result of the stripping activity and is
Accumulated costs in relation to an then stated at cost less accumulated
abandoned area of interest are written depreciation and impairment loss, if
off in full against profit in the year in any.
which the decision to abandon that area
is made. A regular review is undertaken XX) Prepaid Expenses:
of each area of interest to determine the Expenses are accounted under prepaid
appropriateness of continuing to carry expenses only when the amount
forward costs in relation to that area of relating to the unexpired period
interest. exceeds rupees Two crore in each case.
260 NMDC LIMITED

XXI) Restatement of earliest prior period financials on material error/omissions
The value of error and omissions is construed to be material for restating the opening balances of
assets and liabilities and equity for the earliest prior period presented if the amount in each case of
earlier period income/expenses exceeds 1.0% of the previous year turnover of the company



Note - 2.1.1 : PROPERTY, PLANT & EQUIPMENT (` In Crore)
262
As at Additions Ded/Adj Transfer Internal As at Upto 1st For Asset Deductions/ Transfer Internal Upto As at As at
ASSETS 31st 31st 31st 31st
1st Apr, during during 1st Apr, Impair- adjust-
to/from transfer March the year to/from transfers March March March
2021 the year the year 2021 ment ments
2022 2022 2022 2021
A. General
NMDC LIMITED
Land :
- Free hold 913.84 - - - - 913.84 0.06 - - - - - 0.06 913.78 913.78
- Lease hold 5.99 32.35 - - - 38.34 1.51 5.80 - - - - 7.31 31.03 4.48
Buildings 325.50 95.23 (0.60) - - 420.13 56.52 16.66 0.17 (0.60) - - 72.75 347.38 268.98
Plant & Machinery 1,319.22 70.05 (18.31) - (2.31) 1,368.65 338.48 80.76 4.70 (15.75) - (0.79) 407.40 961.25 980.74
Heavy Mobile Equipt. 595.47 122.29 (11.21) - 2.31 708.86 346.71 56.70 1.11 (11.20) - 0.79 394.11 314.75 248.76
Furniture & fittings 18.49 2.17 0.01 - - 20.67 11.25 1.88 0.12 (0.01) - - 13.24 7.43 7.24
Vehicles 43.99 4.77 (2.36) - - 46.40 22.85 4.47 0.13 (2.11) (0.01) - 25.34 21.06 21.14
Office Equipment 74.49 13.19 (0.54) 0.02 3.51 90.65 45.71 12.63 0.46 (0.37) 0.01 1.27 59.70 30.95 28.77
Others : - - - - - - - - - - - - - -
Dams, Wells & Pools 14.11 4.16 - - - 18.27 2.83 1.60 0.58 - - - 5.01 13.26 11.28
Adit & tunnel 2.05 - - - - 2.05 0.06 0.03 - - - - 0.09 1.96 1.99
Railway sidings 34.34 - - - - 34.34 19.33 2.53 - - - - 21.86 12.48 15.01
Locomotives 89.98 17.54 - - - 107.52 10.53 6.80 - - - - 17.33 90.19 79.45
Electrical Installations 290.31 6.38 - - (3.51) 293.18 128.72 25.32 0.16 - - (1.27) 152.93 140.25 161.59
Sanitary & W. S.
33.96 128.70 - - - 162.66 6.61 3.35 0.04 - - - 10.00 152.66 27.35
Installations
TOTAL 'A' 3,919.97 502.92 (33.01) 0.02 - 4,389.88 1,100.03 238.98 7.62 (30.04) - - 1,316.59 3,073.30 2,819.93
Previous Year 2020-21 3,838.95 105.12 (24.10) (0.09) 3,919.97 919.10 204.54 - (23.60) (0.08) 1,100.04 2,819.93 2,919.85
B. Social Facilities
Land :
- Free hold 0.29 10.35 - - - 10.64 - - - - - - - 10.64 0.29
- Lease hold - - - - - - - - - - - - - - -
Buildings 482.11 583.40 - - - 1,065.51 31.43 14.05 1.55 - - - 47.03 1,018.48 450.68
Plant & Machinery 5.54 1.12 - - - 6.66 0.69 0.30 - - - - 0.99 5.67 4.85
Furniture & fittings 12.34 5.48 (5.09) - - 12.73 5.53 1.62 0.02 (3.08) - - 4.09 8.64 6.81
Vehicles 2.16 0.37 (0.27) - - 2.26 1.21 0.20 0.04 (0.22) - - 1.23 1.03 0.95
Office Equipment 28.61 7.72 (6.77) (0.01) - 29.56 18.03 3.43 0.30 (6.49) - - 15.27 14.29 10.58
As at Additions Ded/Adj Transfer Internal As at Upto 1st For Asset Deductions/ Transfer Internal Upto As at As at
ASSETS 31st 31st 31st 31st
st st
1 Apr, during during 1 Apr, Impair- adjust-
to/from transfer March the year to/from transfers March March March
2021 the year the year 2021 ment ments
2022 2022 2022 2021
Others : -
Cess fund quarters 6.57 - - - - 6.57 1.00 0.15 - - - - 1.15 5.42 5.57
Dams, Wells & Pools 0.95 - - - - 0.95 0.21 0.14 - - - - 0.35 0.60 0.74
Electrical Instaln. 6.03 4.64 - (0.01) - 10.67 2.41 0.61 0.04 - - - 3.06 7.61 3.62
Sanitary & W.S.Instlns. 6.85 2.35 - - - 9.20 1.53 0.32 0.34 - - - 2.19 7.01 5.32
TOTAL 'B' 560.02 615.53 (12.13) (0.02) - 1,163.42 66.02 21.32 2.31 (9.79) - - 79.86 1,083.56 494.00
Previous Year 2020-21 389.31 175.54 (4.83) 0.09 560.02 55.29 15.11 - (4.38) 0.08 66.02 494.00 334.02
TOTAL 'A + B' 4,479.99 1,118.45 (45.14) - - 5,553.30 1,166.05 260.30 9.93 (39.83) - - 1,396.45 4,156.86 3,313.93
Previous Year 2020-21 4,228.26 280.66 (28.93) - - 4,479.99 974.39 219.65 - (27.98) - - 1,166.06 3,313.93 3,253.87
Note 2.1.2 : RIGHT-OF USE ASSETS (` In Crore)

General: GROSS BLOCK AMORTISATION BLOCK NET BLOCK
As at As at As at As at
As at 1st Additions/ Deductions/ As at 1st For the Deductions/
Assets 31st March 31st March 31st March 31st March
April, 2021 Adjustments Adjustments April, 2021 Year adjustments
2022 2022 2022 2021
Land 1.31 - (0.01) 1.32 0.91 0.24 (0.05) 1.20 0.12 0.40
Buildings - - - - - - -
Delhi - PTI- Building 7.41 - - 7.41 1.66 0.86 - 2.52 4.89 5.75
Delhi - KG Marg Surya Kiran
0.26 - - 0.26 0.26 - - 0.26 - -
Building
REGIONAL OFFICE- Vizag 1.19 - - 1.19 0.32 0.04 - 0.36 0.83 0.87
Ranchi-Office Building_JSFC - 2.63 - 2.63 - 0.20 - 0.20 2.43
TOTAL 10.17 2.63 (0.01) 12.81 3.15 1.34 (0.05) 4.54 8.27 7.02
Previous year 8.81 1.19 (0.17) 10.17 1.72 1.43 - 3.15 7.02 7.08
Social Amenties:
Buildings - - - - - - - - - -
TOTAL - - - - - - - - - -
Previous year - - - - - - - - - -

Grand Total 10.17 2.63 (0.01) 12.81 3.15 1.34 (0.05) 4.54 8.27 7.02
Previous year 8.81 1.19 (0.17) 10.17 1.72 1.43 - 3.15 7.02 7.08
263
NON-CURRENT ASSETS
Note: 2.2 CAPITAL WORK IN PROGRESS (` In Crore)
PARTICULARS
Construction work in progress 15,421.12 14,584.95
Add : Impairment reversed/ (provided) 5.32 -
15,415.80 14,584.95
Construction Stores - 2.32
Capital Assets in stores awaiting installation or in transit 66.27 53.94
Less : Provision - -
66.27 53.94
Expenditure incidental to construction awaiting allocation (See
2,842.45 2,465.30
note 2.2.2)
Total 18,324.52 17,106.51
Note - 2.2.1 : Movement of Capital work in progress (` In Crore)
Capital asset Expenditure

Construction in stores Incidental to
Construction
Particulars Work in awaiting construction Total
Stores
Progress installation awaiting
or in transit allocation
Opening gross carrying amount 13458.10 1.77 65.69 1974.66 15500.22
Additions 2882.41 4.42 69.62 490.64 3447.09
Disposals/Capitalisation to PPE 1755.56 3.87 81.37 0.00 1840.80
Closing gross carrying amount 14584.95 2.32 53.94 2465.30 17106.51
Accumulated amortisation
Amortisation charge during the year
Closing accumulated amortisation 0.00 0.00 0.00 0.00 0.00
Closing net carrying amount 14584.95 2.32 53.94 2465.30 17106.51
Opening gross carrying amount 14584.95 2.32 53.94 2465.30 17106.51
Additions 1738.26 (2.32) 270.66 774.98 2781.58
Disposals/Capitalisation to PPE 902.09 0.00 258.33 397.83 1558.25
Closing gross carrying amount 15421.12 0.00 66.27 2842.45 18329.84
Accumulated amortisation
Amortisation charge during the year 5.32 0.00 5.32
Closing accumulated amortisation 5.32 0.00 0.00 0.00 5.32
Closing net carrying amount 15415.80 0.00 66.27 2842.45 18324.52
264 NMDC LIMITED

Note : 2.2.2 EXPENDITURE INCIDENTAL TO CONSTRUCTION AWAITING ALLOCATION (` In Crore)

PARTICULARS
a. Opening balance 2,465.30 1,974.65
b. Net Expenditure incurred during the year
Consumption of stores and spares 0.59 0.22
Employee Benefit expense :
Contribution to Provident fund, EPS, DLI 11.54 8.08
Contribution to Pension Fund - -
Contribution to Gratuity fund 0.77 4.33
Staff Welfare expenses 7.87 13.29
171.08 177.82
Depreciation and amortisation 35.77 14.87
Other expenses :
Rent, Insurance, Rates and taxes 3.88 4.62
Interest on Borrowings 65.54 22.63
Payment to auditors : As auditors 0.07 0.06
Payment to auditors : For Other Services 0.08 0.05
Reimbursement of expenses - 69.57 - 27.36
Travelling and Conveyance expenses 0.99 0.51
Consultancy expenditure 34.72 46.15
CISF/Security expenditure 8.06 6.27
792.37 496.74
Less : Recoveries/Income
Interest recived 1.89 4.95
Other income 16.51 1.14
Total (b) 773.97 490.65
Sub-total (a+b) 3,239.27 2,465.30
Less : Amount allocated to Fixed assets/ Capital W I P 396.82 -
Total 2,842.45 2,465.30

Note: 2.2.3 Capital Work in Progress aging Schedule (` In Crore)

1 years 3 years
Project in Progress 1,989.41 2,037.32 1,529.84 12,735.01 18,291.58
Project temporarily suspended - - - 32.94 32.94
- - -
Total 1,989.41 2,037.32 1,529.84 12,767.95 18,324.52
Note: 2.2.4 Capital Work in Progress Completion Schedule (` In Crore)
To be completed in
1 years 3 years
NISP 17,045.14 17,045.14
Slury Pipe Line 518.62 518.62
SP - III at Kirandul Unit, Chhatishgarh 145.89 145.89
SP- II - Donimalai Project - Karnataka 0.79 0.79
Panthal Magnesite- Jammu 29.83 29.83
Others 4.76 4.76
Total 17,714.41 - - 30.62 17,745.03
Note -2.3 : INTANGIBLE ASSETS (` In Crore)

Up to As at
ASSETS Additions Ded/Adj As at 31st As at 31st
As at 1st As at 1st For the Deductions/ 31st 31st
during during March March
Apr-21 Apr 2021 year adjustments March March
the year the year 2022 2022
2022 2021
Goodwill 93.89 - - 93.89 - - - - 93.89 93.89
Total 93.89 - - 93.89 - - - - 93.89 93.89
Previous Year 2020-2021 93.89 93.89 - - 93.89 93.89
GENERAL
Computer software 8.28 49.36 - 57.64 7.50 10.20 - 17.70 39.94 0.78
Mining rights 1,021.00 13.10 1.32 1,035.42 503.21 35.12 1.30 539.63 495.79 517.79
Total 1,029.28 62.46 1.32 1,093.06 510.71 45.32 1.30 557.33 535.73 518.57
Previous Year 2020-2021 942.93 86.38 (0.03) 1,029.28 488.27 22.44 510.71 518.57 612.46
Total 1,123.17 62.46 1.32 1,186.95 510.71 45.32 1.30 557.33 629.62 454.66
Previous Year 2020-2021 1,036.82 86.38 (0.03) 1,123.17 488.27 22.44 - 510.71 612.46 548.55
Additional notes to 2.1,1, 2.3 and 2.4 : PPE (Property Plant and Equipment), Intangible Assets and Intangible Assets
under Development.
1. Lease hold land measuring 3021.35 sq.mtrs. (previous year 3021.35 sq.mtrs.) is taken from Vizag Port Trust
Authorities for construction of Regional Office building for a period of 30 years i.e. up to 01.01.2044. Action is on
hand to execute the lease deed. However, rent have been accounted till 31.03.2022.
266 NMDC LIMITED

2. The Extent of land of 22.39 hectares taken over from CG Government, which is in favor of District Industries
Centre, Jagdalpur for construction of Steel Plant near Nagarnar has not been brought into the books as the
amount payable is not ascertainable in the absence of any demand from the concerned authorities.
3. Formal agreements / Transfer deeds remain to be executed in respect of the following:
(a) Renewal of Mining Leases at Deposit 10 (Float Ore).
(b) Lease deeds in respect of parts of land for township at Bacheli Complex, Kirandul Complex and Panna
Project.
(c) Mining lease to the extent of 33.58 hectares (Mining area) and 19.42 hectares (Plant area) of Silica Sand
Plant near Lalapur (Allahabad).
(d) Lease in respect of a portion of the total land at R&D Center measuring 9.12 acres has expired during Feb
2007 (6.66 acres) and the balance in Feb 2010 (2.46 acres). The process of vacating the lease hold area is
under progress.
(e) Only Provisional allotment letters were issued for the land to the extent of 13.43 acres allotted by
M/s APIIC at Industrial park, Paloncha. However, on physical survey found only 11.35 acres of land. No
effect is given in books, pending confirmation from M/s APIIC.
(f) Land at Raipur to the extent of 57,432.99 Sq. Ft. has been acquired from Chhattisgarh Housing Board,
however as per the actual land measurement taken by surveyor the total land comes to 62,205.96 Sq. Ft.
The registration formalities are in the process for the total land.
4. Reconciliation of Depreciation and Amortisation as per Statement of Profit and Loss: (` In Crore)
Note
Particulars 2021-2022 2020-2021
no
2.1 Depreciation on PPE 260.30 219.65
2.1 Impairment of PPE 9.93 -
2.3 Amortisation of Intangible Assets 46.62 22.44
2.1.2 Amortisation of ROU Assets 1.34 1.43
2.2 Impairment of CWIP 5.32 -
Total 323.51 243.52
2.2.2 Transferred to IEDC (-)35.77 (-)14.87
2.28 Shown under Exceptional Item - -
2.33.7 Transfer to Discontinue Operation - (-) 0.11
Depreciation, amortisation and Impairment as per
287.74 228.54
Statement of Profit and Loss

5 Additional note to 2.1.1,2.3 and 2.4:PPE (Property Plant and Equipment)
Whether
title deed
holder is a
Title
promoter
Relevant Deed Property
or relative Reason for not being
Line Item in Description of item Gross Carrying held Held since
(#) of held in the name of the
the Balance on Property Value in the which
promoter(*)/ company
Sheet name date
director or
of
employee of
promoter/
director
Forest Land This is Forest
for Uniflow Rly. Land (MOEF Letter
Forest
Dispatch Systems 1,240,000.00 No 6/7/2002 No.8B/007/2002/
Dept.
(4.94 Acre)- Bacheli fcw/1313 dated
Unit 07.06.2002)
Land for Shankhni This is Forest Land
Pump House & Forest (MOEF Clearence
103,528.00 No 3/14/2002
Pipeline (11.56 Dept. Letter dated
Acre) : Bacheli Unit 14.03.2002)
Lease of Dep-10 This is Forest Land
Forest
(FO) (352.87 Acre) : 139,164,937.00 No 7/10/2019 (MOEF Letter dated
Dept.
Bacheli Unit 10.07.2019)
Panchnama done
Land at Madadi by Railway, Revenue
Village (2.4 Acre): 67,899.00 No 3/31/2006 NMDC officials is
Kirandul Unit available with the
PPE Project.
Panchnama done
"Land Lease hold
by Railway, Revenue
For Township (51.4
- No 3/31/1986 NMDC officials is
Acre):
available with the
Kirandul Unit"
Project.
Sale Deed available
with the management
for total 19.09
Hectares. Appeal
against the order
Freehold Land
issued by the Tahsildar,
(47.18 Acre): 22,569.00 No 3/31/1966
Bade Bacheli is being
Kirandul Unit
prepared by the
advisor (Rvenue) and
same will be submitted
before the SDM, Bade
Bacheli.
Investment
Land
Property
Building
PPR Retired
Land
from
Building
268 NMDC LIMITED

6. During the current period the total addition towards Capex expenditure by Joint ventures and NMDC proportion
thereon is given bellow:
Amount of Capex
Sl. % Holding of NMDC ‘s proportion
Particulars Spend in 2021-22.
No. NMDC Ltd. in INR Crore
In INR Crore
1 NMDC-CMDC Limited 2.42 51% 1.24
2 Bastar Railway Pvt. Ltd. Nil 52% Nil
Total 2.42 1.24
7. During the year 2021-22 a review of residual and useful life of PPE was done and as per the review there is no
change recommended. The Useful life of all the PPE is as per schedule II except for the following PPE whose life
as given under is determined as per technical assessment adopted.
Equipment Capacity Useful life (in Years)
Dumper 85-100 T 10
50-60 T 9
Water Sprinkler 28 KL 9
Rope Shovel 8-10 Cu m 20
Hydraulic Shovel 5-7.5 Cum 9
>7.5 Cum 10
Blast Hole Drill 165mm Diesel 9
165mm Electric 12
250mm single pass 16
250 mm multiple pass 10
Top Hammer Drill <160mm 9
Front End Loader < 300 HP to >600HP 10
Track Dozer <500 HP to >500HP 10
Wheel Dozer <500 HP 12
Grader <200HP 12
Mobile Crane <12 ton 9
12 – 40 ton 12
>40 ton 15
Boom Stacker 2000 – 3000 TPH 30
Reclaimer 2000-3000 TPH 30
Note: 2.4 Intangible assets under development (` In Crore)

Particulars
Intangible assets under development 5.00 51.42
Total 5.00 51.42
Note: 2.4.(a) Intangible Assets under devlopment aging Schedule (` In Crore)

1 years 3 years
Project in Progress 5.00 5.00
Project temporarily suspended - - - - -
Total 5.00 - - - 5.00

Note: 2.4.(b) Intangible Assets under development completion schedule (` In Crore)
To be completed in
1 years 3 years
ERP Implementation 5.00 - - - 5.00
Project 2 - - - - -
Total 5.00 - - - 5.00
Note : 2.4.1 INVESTMENTS (` In Crore)

PARTICULARS
In Equity Shares:
i) 41,85,590 (previous Year 41,85,590) Equity shares) of FMG
2500/each fully paid up in wholly owned subsidiary company 7.20 7.20
NMDC SARL, Madagaskar
- -
ii) 5,50,000 (Previous Year 5,50,000 ) Equity shares of ` 10/- each
0.55 -
fully paid up in NMDC Power Ltd.
Less: Investment deration 0.55
-
iii) 10,000 (previous year Nil) equity shares of 10 each in Jharkhan
0.16 -
Kolhan Steel Limited (JKSL)
Less: Investment deration 0.16
-
iv) 20,00,000 (previous year NIL) equity shares of 10 each in
2.00 2.00
NMDC CSR Foundation (NMDC CSR)
Investment in Joint Ventures :
Unquoted at cost:
i) 50 (Previous year 50) equity shares of South african Rand 1/-
each in Kopano-NMDC Minerals (Proprietary) Limited (Rs.324/- - - -
only)
Less: Investment deration -
ii) 9,83,47,236 (Previous Year 9,83,47,236) Equity shares of ` 10/-
92.65 94.09
each fully paid up in NMDC CMDC Ltd.
iii) 15,26,74,600 (previous year 19,56,500) equity shares of ` 10/-
152.73 153.19
each fully paid up in Bastar Railway Pvt. Ltd. (BRPL)
iv) 25,500 (previous year 25,500) equity shares of ` 10/- each fully
- 0.03
paid up in NMDC-SAIL Ltd.
Less: Investment deration - 0.03
- -
v) 6,000 (Previous year 6,000) equity shares of ` 10/- each fully
paid up in Jharkhand National Mineral Devlopment Corporation -
Ltd.
Investments in Associates :
Unquoted at cost:
270 NMDC LIMITED

PARTICULARS
i) 105,000 (previous year 105,000) Equity shares) of ` 10/- each
0.11 0.11
fully paid up in Romelt SAIL India Ltd., New Delhi
- -
ii) 37,88,59,405 (Previous year 33,63,57,143) Equity shares of `
616.81 590.51
10/- each fully paid in International Coal Ventures (P) Ltd.
iii) 4,00,00,000 (P.Y 4,00,00,000) equity shares of ` 10/- each in
30.74 35.08
Krishnapatnam Railway Co. ltd fully paid
iv) 7,47,99,878 (previous year 7,47,99,878) equity shares of ` 10/-
- -
each fully paid up in NINL, Bhubaneswar (*)
v) 13,000 (previous year Nil) equity shares of ` 10/- each in
- 0.01
Chhatishgarh Mega steel Ltd
Non-trade and unquoted shares in co-operative societies
i) 150 Shares (previous year 150 Shares) of ` 1,000/- each fully
paid up in Whole-sale Consumers Co-operative Stores, Kirandul 0.02 0.02
` 1,50,000 (Previous year ` 1,50,000)
ii) 500 Shares (previous year 500 Shares) of ` 10/- each fully
paid up in NMDC Employees Co-operative Society Ltd, Bacheli ` - -
5,000 (previous year ` 5,000)
iii) 25 Shares (previous year 25 Shares) of ` 100 each fully paid up
in NMDC Employees Co-operative Society Ltd, Donimalai ` 2,500
(previous year ` 2,500)
- -
0.02 0.02
Total 894.95 874.90
1. Aggregate amount of Quoted investments
- -
(Market value of quoted Investments)
2. Aggregate amount of Unquoated Investments 900.26 880.23
3. aggregate amount of provision for diminution in value
7.86 7.34
investments
(*)The investment in NINL has become NIL since 2016-17 after adjustment of losses of NINL to the extent of NMDC share as per
equity method of accounting.
Note: 2.4.2 : Loans (` In Crore)

PARTICULARS
Loans to employees & outsiders 40.77 30.11
Loan to Subsidiaries - 81.59
TOTAL 40.77 111.70
i) Considered Good, Secured 40.77 30.11
ii) Considered Good, Unsecured
iii) Which have significant increase in Credit risk - -
iv) Credit Impaired
Note: With respect to the accounting policy note no. 1. (b) ii, the long term Loans & advances to employees was to be
measured at amortised cost. The same was carried out and considering the materiality, no effect has been made in
the accounts.

Note: 2.4.3 : Other Finanial Assets (` In Crore)
PARTICULARS
Deposit with Others 181.82 147.47
TOTAL 181.82 147.47
Note: 2.5 Deferred tax assets (Net) (` In Crore)

PARTICULARS
A. Deferred tax assets :
1. Provision for bad & doubtful debts 744.82 606.44
2. Intangible Assets (20.96) (15.40)
3. Asset retirement obligation and spares 4.39 4.39
4. Investments 9.19 9.20
5. Others 31.50 37.14
Total Deferred Tax Assets 768.94 641.77
B. Deferred tax liability :
1. Related to PPE (235.94) (231.82)
2. Accrued expenses (2.05) (1.67)
Total Deferred Tax Liability (237.99) (233.49)
Net Deferred Tax Assets 530.95 408.28
Note 2.6 : Other non-current Assets (` In Crore)

PARTICULARS
Capital Advances (*) 838.69 465.25
ITC Receivables 1,675.51 1,586.64
Mines Closure Fund with Life insurance Corporation 965.10 859.20
Other Advances (**) 788.68 784.82
Total 4,267.98 3,695.91
(*) Capital Advances includes an amount of ` 3.01 crore ( P.Y ` 4.57 crore) towards doubling of railway lines between
Jagdalpur and Ambagoan, also inclued payment of ` 246.51.(P.Y ` 241.27 crore) towards Tokisud Coal Block and
payment of ` 73.16 crore (P.Y. ` 72.62) crore towards Rohne Coal Block.
(**) Inclueds an amount of ` 600 crore(P.Y. ` 600 crore), paid to South Bastar Dantewada under protest against the
demand notice for Common Cause.
272 NMDC LIMITED

CURRENT ASSETS
Note: 2.7 INVENTORIES
(As Valued and Certified by the Management) (` In Crore)
PARTICULARS
Raw materials
Iron Ore 1.42 4.44
Bentolite 0.15 0.27
1.69 4.80
Work-in-Process :
Pellets 1.37 3.29
Diamonds - -
2.30 4.22
Finished Goods:
Iron Ore 1,887.19 672.47
Pellets 12.98 27.25
Ultra Pure Ferric Oxide NIL (Previous year ` 10/-) - -
Diamonds & Precious Stones 0.04 39.17
Total Finished Goods 1,900.22 738.90
Total 1,904.21 747.92
Stores & Spares 257.37 172.19
Loose tools and Implements 3.32 1.61
Total 260.69 173.80
G. Total 2,164.90 921.72
Inventories are valued at cost or NRV whichever is lower.
1. Stores and Spares include:
a) Stores-in-transit 4.16 3.65
b) Obsolete stores & spares valued at 0.01 0.01
Re1 per unit of their original value of ` 3.79 crore
(previous year ` 3.75 crore)

Notes: 2.8.1 Trade Receivables (` In Crore)
PARTICULARS
Considered Good, Secured -
Considered Good, Unsecured, 2,954.30 2,480.99
Which have significant increase in Credit Risk -
Credit impaired 2,932.14 2,043.33
Total (*) 5,886.44 4,524.32
Less: Provision for bad & doubtful trade receivables 84.45 17.87
Less: Provision for bad & doubtful (Monitoring Committee) 2,847.69 2,366.56
Total Povision 2,932.14 2,384.43
TOTAL 2,954.30 2,139.89
(*) i) Trade Receivables includes ` 4555.27 crore (Previous year ` 3,242.51 crore) dues from Monitoring Committee.
ii) Based on the arrangements between Company and Customers, the bills of the Customers amounting to ` 1236.17
crore (Previous year – Nil).
iii) Trade receivables includes:
a) For ` 681.43 crore ( P.Y Nil) related to RINL which is not due as on 31st March 2022
b) For ` 987.23 crore related to Monitoring Committee which is not due as on 31st March 2022
Note: 2.8.1.1 Trade Receivables (Aging) (` In Crore)
Outstanding for following periods from due date of payments (#)

PARTICULARS Less than 6 months - More than
6 months 1 years 3 years
i) Undisputed Trade Receivables-
2,426.08 402.20 19.40 20.82 85.80 2,954.30
Considered good
ii) Undisputed Trade Receivables-
Which have significant increase in -
credit risk.
iii) Undisputed Trade Receivables-
-
Credit Impaired
iv) Disputed Trade Receivables-
-
Considered good
v) Disputed Trade Receivables-
Which have significant increase in -
credit risk.
vi) Disputed Trade Receivables-
225.43 255.70 221.92 188.27 2,040.82 2,932.14
Credit Impaired
Total 2,651.51 657.90 241.32 209.09 2,126.62 5,886.44
Note: Due date is the Date on which the amount of sales proceeds is due for claimed from the customer/ Monitoring
Committee
274 NMDC LIMITED

Notes: 2.8.2 Cash and cash equivalents (` In Crore)
PARTICULARS
Cash in hand - 0.01
Balance with Banks
on current Accounts 86.56 411.71
On Deposit accounts (Original maturity less then 3 months) 34.86 52.38
Total 121.42 464.10
Notes :2.8.3 Bank Balances other than (ii) above (` In Crore)

PARTICULARS
Balance with bank on 'Deposits Accounts ( original maturity more
7,769.24 5,358.51
than 3 months but less than 12 months.(*)
Balance with bank for Unpaid Dividend 3.84 3.64
Balance with banks TDS on DIVIDEND - (F.Y 2020-21) 41.10 34.51
Bank deposits offered as security for Bank guarantees and letter
42.69 1.06
of credit
Total 7,856.87 5,397.72
(*) Fixed Deposits of ` 1114.80 crore (P.YRs. 2,138 crore) pleaged for avaling OD Facilities.
Note: 2.8.4 Other Financial Assets (` In Crore)

PARTICULARS
Related Parties
Advances to Directors 0.06 -
Loans/Advances to Subsidiaries/ Jv's/ Associates 126.80 46.28
Less: Prov. Made 9.35 2.76
117.45 43.52
Deposits with Others - -
Employees and outsiders
Advances to Employees and outsiders 427.93 357.26
Interest Accrued
Accrued interest on deposits with banks 32.07 27.82
Accrued interest on Other 8.21 3.42
Other Receivables 22.66 22.21
Total 608.38 454.23
(*) Advance received by Monitoring Committee on behaf of NMDC ` 293.40 crore ( P.Y ` 161.62 crore) against
advance auction.
Note: 2.9 Current Tax Asset (Net) (` In Crore)

PARTICULARS
Advance Income tax & TDS 8,803.58 4,444.27
Less : Provision 7,903.46 4,187.22
900.12 257.05
Total 900.12 257.05

Note: 2.10 Other Current Assets (` In Crore)

PARTICULARS
Advances to Employee and outsiders 712.20 726.98
Less: Provision for bad and doubtful advances 4.03 8.54
Net 708.17 718.44
Current Investments 5.90 3.58
ITC Receivables 489.96 242.84
Total 1,204.03 964.86
Note: 2.11 Assets Held for disposal (` In Crore)

PARTICULARS
Assets held for disposal 0.81 0.63
Total 0.81 0.63
Note: 2.12 Equity Share Capital (` In Crore)

PARTICULARS
Authorised:
400,00,00,000 Equity Shares of Re. 1/- each
(Previous year 400,00,00,000 Equity Shares of Re.1/- each) 400.00 400.00
Issued, Subscribed & Paid up:
2,93,06,05,850 Equity Shares of Re.1/- each fully paid up (Previous
293.07 306.19
year 30,61,849,659 Re.1/- each fully paid )
Less: Buyback of shares during the year Nil (Previous year
- 13.12
13,12,43,809 Equity shares of Re.1/- each fully paid up )
2,93,06,05,850 Equity Shares of ` 1/- each fully paid up (Previous
293.07 293.07
year 2,93,06,05,850 of ` 1/- each fully paid )
Addl. Notes :
1) No new shares were issued, during the current year.
2) Terms/Rights attached to equity shares : The company has only one class of equity shares having par value of
Re.1/- each and each holder of equity shares is entitled to one vote per share.
3) The details of shares in the company held by each shareholder holding more than 5% shares :
31st March 2022 31st March 2021 % of Change

Name of the Share holder % of Number of % of Number of % of change in
shareholding shares shareholding shares No. of Shares
i) President of India 60.79 1,781,633,571 68.29 2,001,283,891 (10.98)
ii ) LIC of India (incl all schemes) 14.16 414,885,432 13.46 394,591,074 5.14
276 NMDC LIMITED

Reserve & Surplus
Particulars Total Non-

General Retained Capital
CRR OCI Owners controlling
Reserve earnings Reserve
Equity interest
Balance as at 1st April 2020 25,467.06 1,518.68 90.28 52.62 238.24 27,366.88 8.05
Transfer to Capital Redemption Reserve
(13.12) 13.12 -
(CRR)
Buyback of shares (including transaction
(1,687.50) (1,687.50)
charges)
27.60 27.60 3.07
(OCI)
Adjustment on consolidation 2.34 (0.12) 2.22 2.79
Total 2,199 105.20 13.12 (93.60) - 2,224.10 5.49
Balance as at 31st March 2021 27,666.44 1,623.88 103.40 (40.98) 238.24 29,590.98 13.54
Balance as at 1st April 2021 27,666.44 1,623.88 103.40 (40.98) 238.24 29,590.98 13.54
4.12 4.12 0.46
(OCI)
Adjustment on consolidation (2.13) (2.13)
Total 5,000.00 57.75 - 45.10 - 5,102.85 (0.09)
Balance as at 31st March 2022 32,666.44 1,681.63 103.40 4.12 238.24 34,693.83 13.45

NON-CURRENT LIABILITIES
Note 2.14.1 Borrowings (Non Current) (` In Crore)
Particulars
7.30% Non Convertible Debentures Series - 1 523.80 523.80
Interest Accrued on 7.30% Non Convertible Debenture Series - 1 1,144.42 -
Total 1,668.22 523.80
Note 2.14.2 Lease Liability (` In Crore)

Particulars
Total 5.85 4.70
Note 2.14.3 Financial Liability (Non- Current) (` In Crore)

Particulars
Other Financial Liabilities 150.28 150.28
Total 150.28 150.28
Note 2.14.4 Provisions(Non- Current) (` In Crore)

Particulars
Employee Benefits :
Gratuity 0.11 0.09
Accrued leave 0.03 0.02
Long Service Reward 45.69 47.69
Mine closure Liability 1,043.75 897.62
Provisions for de-commissioning liability (ARO Obligation) 2.88 2.69
Total 1,092.46 948.10
Note: 2.15.1 Borrowings (` In Crore)

Particulars
Interest Accrued on 7.30% Non Convertible Debenture Series - 1 22.63 22.63
Loan against FD/ Working Capital Loan (*) 1,788.05 1,448.04
Interest on Working Capital Loan 4.45
Total 1,815.13 1,470.67
(*) Over Drafts availed by pledging Fixed Deposits is ` 1114.80 crore (P.Y ` 2,138 crore) and ` 1249 crore short term
working capital loan from SBI.
278 NMDC LIMITED

Note: 2.15.2 Lease Liabilties (` In Crore)
Particulars
Total 1.59 1.11
Note: 2.15.3 Trade & Other Payables (` In Crore)

Particulars
Total outstanding dues of micro and small enterprises 26.70 12.66
Other than micro and small enterprises 940.83 348.12
Total 967.53 360.78
DISCLOSURE RELATING TO MICRO AND SMALL ENTERPRISES

i) (a). The principal amount remaining unpaid to the supplier as at the end of the
26.70 12.66
year
i) (b). The interest due on the above amount, remaining unpaid to the supplier as at
Nil Nil
the end of the year
ii) the amount of interest paid in terms of section 16, along with the amount of the
payment made to the supplier beyond the appointed day during each accounting Nil Nil
year;
iii) the amount of interest due and payable for the period of delay in making payment
(which have been paid but beyond the appointed day during the year) but without
adding the interest specified under Micro, Small and Medium Enterprises
Development Act,2006;
(iv) the amount of interest accrued and remaining unpaid at the end of each accounting
year; and
(v) the amount of further interest remaining due and payable even in the succeeding
years, until such date when the interest dues as above are actually paid to the
small enterprise, for the purpose of disallowance as a deductible expenditure
under section 23 of Micro,Small and Medium Enterprises Development Act,2006.
Note: 2.15.3.(I) Trade Payable (Aging) (` In Crore)
Outstanding for following periods from due date of payments (#)

1 years 3 years
i) MSME 26.45 0.15 - 0.10 26.70
ii) Others 732.77 186.53 7.39 14.14 940.83
iii) Disputed Dues: MSME - - - - -
iv) Disputed Dues: Others - - - - -
Total 759.22 186.68 7.39 14.24 967.53
Note: Due date is the Date on which the amount to be paid to the vender, for supply of goods and services, upon
receipt and acceptance.

Relationship with Struck off Companies (` In Crore)
Transaction Balance Relationship with

Nature of
Name of the Struck Off Company During the Year Outstanding As at the Struck off
transaction
31-Mar-2022 31-Mar-2022 companies
Hima Marketing (P) Ltd Payable - 11,330.00 Vendor
Noice Elevators and Engineering Work Payable - 700.00 Vendor
PG Power System (P) Ltd Payable - 188,553.00 Vendor
Pioneer Tech Engineering Services Payable 44,777.00 229,145.00 Vendor
Pratah India Payable - 3,242.00 Vendor
Techtrix Controls Chennai (P) Ltd Payable - 17,446.00 Vendor
Total 44,777.00 450,416.00
Note: 2.15.4 Other Financial Liabilities (` In Crore)

PARTICULARS
Unpaid Dividend 3.84 3.64
Deposits from Suppliers, Contractors 318.59 308.43
Capital Creditors 756.67 982.82
Lease Liabilities 414.75 329.76
Total 1,493.85 1,624.65
Note : 2.16 Other Current Liabilities (` In Crore)

PARTICULARS
Contract Liabilities (*) 1,068.65 606.59
Other Payables 46.78 154.66
(like withholding and other taxes payable, amounts payable to
employees and others)
Statutory Dues 1,525.75 1,090.99
Total 2,641.18 1,852.24
(*)Advance deposited by cutomers with Monitoring Committee (on behaf of NMDC ) ` 293.40 crore (P. Y ` 161.62 crore)
against advance auction.
Note: 2.17 Provisions (` In Crore)

PARTICULARS
Employee Benefits :
Accrued leave 0.74 0.50
Long service reward 2.35 2.50
Provision for gratuity, leave salary, family benefit scheme and
12.04 92.87
post employment medical benefits
Provisions for de-commissioning liability (ARO Obligation) -
Total 15.13 95.87
280 NMDC LIMITED

Note: 2.18 Revenue from operations (` In Crore)
PARTICULARS
Sale of Products :
Iron ore :
Export through MMTC 9.19 1,749.69
Domestic
Basic price 20,899.81 10,914.92
Royalty 3,605.94 1,960.16
Development Cess 65.26 52.92
Forest Permit Fee 43.51 35.28
Forest devlopment Fee - -
District Mineral Fund (DMF) 865.27 467.40
National Mineral Exploration Trust (NMET) 57.68 53.33
Total Domestic 25,537.47 13,484.01
Total Iron Ore Sales 25,546.66 15,233.70
Sponge Iron - -
Diamonds 62.93 21.10
Sale of Power 4.99 5.17
Sale of Services 45.04 36.58
Sales of Pellets 222.11 73.50
Total 25,881.73 15,370.06
Note: 2.19 Other Income (` In Crore)

PARTICULARS
Interest Income:
On Deposits with Banks 289.16 156.33
Others 139.79 82.81
428.95 239.14
Gain in Exchange 0.96 0.01
Profit on sale/adjustment of assets 0.12 0.26
Profit on sale of Current investments( MUF) 16.74 19.66
Other non operating income 271.75 92.54
Total 718.52 351.60
Note: 2.20 Consumption of Raw Materials (` In Crore)

PARTICULARS
Iron ore 105.07 41.16
Coal - -
Internal handling of raw materials 1.02 0.40
Total 106.95 42.01

Note: 2.21 Changes in inventories of finished goods and work in progress (` In Crore)
PARTICULARS
Work-in-process:
1.92 (1.43)
Finished Goods:
Less: Balance as at close of the Year 1,887.25 711.66
Less- Capital Inventory 41.11
(1,216.69) (161.25)
Finished Goods: (Pellets)
14.27 0.87
Total (1,200.50) (161.81)
Note: 2.22 Employee Benefit Expense (` In Crore)

PARTICULARS
Contribution to Provident fund and other funds
Providend Fund, FPS & DLI 49.29 51.43
Pension Fund 42.89 36.95
Group Gratuity Fund 5.45 11.47
Staff Welfare Expenses (*) 331.15 176.61
Total 1,337.07 1,085.24
(*) Current period amount includes the compensation of ` 109,81 crore paid to NMDC EPF Trust towards investment
defaults
Note: 2.23 Power, Electricity And Water Charges (` In Crore)

PARTICULARS
Power charges 100.73 91.79
Electricity charges 18.12 15.64
Water charges 3.69 3.39
Total 122.54 110.82
Note: 2.24 Repairs & Maintenance (` In Crore)

PARTICULARS
Buildings 32.30 30.36
Plant and Machinery 61.89 38.08
Vehicles 3.86 1.78
Others 94.18 65.80
Total 192.23 136.02
282 NMDC LIMITED

Note: 2.25 Selling Expense (` In Crore)
PARTICULARS
Railway freight - 293.88
Export duty 0.96 182.55
Infrastructure Development cess 32.75 29.11
Environmental Development cess 32.75 29.11
Other selling expenses 161.28 160.62
Total 227.74 695.27
Note: 2.26 Finance Cost (` In Crore)

PARTICULARS
i) Interest on Short term Borrowings 32.26 10.13
ii) Interest - Others 6.62 6.50
iii) Interest on deposit from contractors, suppliers & others 0.18 0.18
Total 39.06 16.81
(*)The Short term Borrowings is for meeting working capital requirement.
Note: 2.27 Other Expenses (` In Crore)

PARTICULARS
Rent 2.46 2.78
Insurance 8.14 7.94
Rates & Taxes 7.07 3.44
Directors' Travelling expenses 0.41 0.46
Directors, Sitting Fees 0.33 0.34
Payment to Auditors:
As audit Fee 0.72 0.64
For taxation matters 0.04 0.03
For Management Services - 0.03
For Other Services 0.42 0.38
For reimbursement of expenses 0.01 0.01
1.19 1.09
Loss on sale/adjustment of Assets 1.99 1.00
Miscellaneous losses written off 1.04 0.20
Provision for doubtful debts/advances 559.70 234.31
Mine closure Obligation 146.11 97.10
Raising and Transportation 130.80 52.73
Local Area Development (Towards SPV in Karnataka) 481.13 221.92
Entertainment 2.90 1.40
Donations - 150.00
Travelling & Conveyance 37.66 21.68
Advertisement & Publicity 21.83 12.37
Postage, Telephone & Telex 3.93 4.43

Stationery & Printing 2.26 2.36
Consultancy charges 11.35 18.04
CISF/Security guards 217.49 191.67
Safety expenses 0.23 0.34
Corporate Social Responsibility 287.33 158.62
Loss in Exchange variation (net) 0.04 0.06
Exp. On Enabling Assets for the compnay 125.22 147.79
Total 2,129.89 1,446.45
(*) CSR Expenditure During the Year 287.33 158.62
CSR Expenditure as per Statutory obligation 130.00 130.00
CSR Expenditure made Voluntarly 157.33 28.62
Note: 2.28 Exceptional Items (` In Crore)

PARTICULARS
Expenditure: - -
Total Expenditure - -
Total Expenditure/ (Income) - -
(*)There was a demand from CISF for payment of 'Risk and Hardship allowance for the periods 2009 onwards. An
amount of ` 68.01 crore provided in the acccounts pertaining to previous years is shown under exceptional items
above.
Note: 2.29 Tax Expenses

Reconciliation of Effective Tax rate and Statutory tax Rate as on 31st March 2022 (` In Crore)
PARTICULARS of 31st March 2022 of 31st March 2021
Income Expenditure
CURRENT TAX
Current Tax on profit for the year 3,447.23 2,297.73
Adj. of current tax for prior period 260.53 343.20
Total current tax expenses 3,707.76 2,640.93
DEFERRED TAX
Decrease/(increase) in defferred tax assets (132.73) (32.34)
Decrease/(increase) in defferred tax liabilities - 10.06 21.13
Total deffered tax expenses/(benefit) - (122.67) (11.21)
Total Expenditure 3,585.09 2,629.72
284 NMDC LIMITED

Amount Tax -
Particulars Tax %
` In crore ` In crore
Accounting profit before tax from continuing operations 12,974.24
Profit/(loss) before tax from discontinued operations (0.91)
Accounting profit before income tax 12,973.33
Tax at Income tax rate/Income tax rate 3,265.13 25.168
Tax effect of amount not deductible in calculating taxable income
CSR exp. 287.33 72.32 0.557
Prov. For bad & doubtful exp. 559.70 140.87 1.086
Change in Depreciation (124.70) (31.38) (0.242)
Provision for deration of inv. and advance 12.14 3.05 0.024
Investment allowance - - -
Other items (12.10) (3.06) (0.024)
Taxable income 13,695.70
Current Tax on Profit for the year 3,446.93 3,446.93 26.569
NOTE 2.30 ADDITIONAL INFORMATION (` In Crore)

2.30.1. Value of imports calculated on CIF basis:
i. Components & Spare parts 1.65 2.22
ii. Capital Goods 46.08 2.94
2.30.2. Expenditure in foreign currency:
i. Consultancy charges - 0.00 0.00
ii. Others 0.08 4.28 4.28
2.30.3. Particulars of consumption of raw material
Raw material Value Percentage Value Percentage
a) Imported - - - -
b) Indigenous 106.95 100 42.01 100
106.95 100 42.01 100
2.30.4. Particulars of consumption of Stores & spares:
Components & spare parts Percentage Value Percentage
(including consumable stores)
a) Imported 2.07 0.52 6.01 2.33
b) Indigenous 394.46 99.48 251.40 97.67
396.53 100.00 257.41 100.00
2.30.5. Foreign Exchange earnings : - - - -

2.31 Related Party Disclosures (IndAS-24)-:
i) List of related parties (` In Crore)
Holding as at
A. Subsidiaries Country of No. of Shares March 31, March 31,
incorporation Held 2022 2021
Legacy Iron Ore Limited Australia 576,72,53,980 90.02% 90.05%
J & K Mineral Development Corporation Limited India 28,51,002 95.86% 95.86%
NMDC Power Limited (*) India 5,50,000 100% 100%
Karnataka Vijaynagar Steel Limited India 1,00,000 100% 100%
NMDC Steel Limited India 1,10,000 100% 100%
Jharkhand Kolhan Steel Limited (**) India 1,60,000 100% 100%
NMDC-SARL, Madagaskar (Under closure) Africa 41,85,590 100% 100%
NMDC-CSR Foundation India 20,00,000 100% 100%
B. Joint Ventures
Kopano-NMDC Minerals(Proprietary) Limited (#) South Africa 50 50% 50%
India 6,000 60% 60%
Corporation Ltd.
NMDC-CMDC Ltd., Raipur India 9,83,47,236 51% 51%
NMDC-SAIL Ltd. (***) India 25,500 51% 51%
Bastar Railway Pvt. Ltd. India 15,26,74,600 52% 52%
C. Associates
Romelt-Sail(India) Limited (Under closure) Africa 1,05,000 25% 25%
International Coal Ventures (Pvt.) Ltd. India 37,63,57,143 25.94% 25.94%
Krishnapatnam Railway Company Ltd. India 4,00,00,000 6.40% 6.40%
Neelachal Ispat Nigam Ltd India 7,47,99,878 10.10% 10.10%
Chhattisgarh Mega Steel Ltd. India 13,000 26% 26%
(#) Under Closure
D: Key Management Personnel: (Directors) as on 31/03/2022
Directors :
1. Shri Sumit Deb CMD
2. Shri Amitava Mukherjee Director (Finance)
3. Shri Somnath Nandi Director (Technical)
4. Shri Dilip Kumar Mohanty Director (Production) (w.e.f : 05.10.2021)
5. Shri P K Satpathy Director (Production) (up to : 31.08.2021)
6. Shri Alok Kumar Mehta Director (Commercial) (up to : 30.09.2021)
Company Secretary :
Shri A.S Pardha Saradhi
i) The consolidated financial statements are drawn by considering unaudited financial statements of the above-
mentioned subsidiaries for the year ended 31/03/2022 .
ii) In respect of Associate companies, the consolidated financial statements are drawn by considering the
unaudited financial statements for the period ending 31/03/2022
286 NMDC LIMITED

iii) In respect of Joint Venture, the consolidated financial statements are drawn by considering the unaudited
financial statements for the period ending 31/03/2022.
iv) NMDC has infused ` 1.61 crore (Previous year ` 1.62 crore) in NMDC CSR Foundation (NCF ) a not-for -profit
company. NMDC CSR Foundation is a Not-for-Profit company (incorporated under Sec 8 of the Companies
Act, 2013. The company is not being considered for consolidation in preparation of Consolidated Financial
statements as per Ind-AS 110.
The following subsidiary/JV/Associate companies are not consolidated for the following reasons:
a) The accounts of the subsidiary company i.e. NMDC SARL, Madagascar - as the company is under closure
and in the process of winding up.
b) The accounts of the associate Company Romelt-SAIL (India) Limited, New Delhi - as the company is in
the process of winding up and suffers from significant impairment in its ability to transfer funds to the
investor.
c) NMDC Power Limited (NPL) - Voluntary liquidation: The financials for the company have been prepared
up to 28th Dec.2020 and liquidation accounts for the period from 29th Dec.2020 to 23rd March 2021. As the
NCLT Hyderabad bench has ordered for dissolution vide order dated 14.10.2021, same is not considered
for consolidation.
d) Jharkhand Kolhan Steel Limited (JKSL) - Voluntary liquidation: The financials for the company have been
prepared up to 18th Feb.2021. As the NCLT Kolkata bench has ordered for dissolution vide order dated
17.12.2021, same is not considered for consolidation.
ii. RELATED PARTY TRANSACTIONS INR in crore
INVESTMENTS IN JOINT VENTURE COMPANIES (including advance against equity)
a) Investment:
Limited (` 324/-)
0.01 - - 0.01
Corporation Ltd
NMDC-SAIL Ltd (Struck off) 0.03 - 0.03 -
Bastar Railway Pvt Ltd 152.67 - - 152.67
Sub total 251.06 - 0.03 251.03
b) Investment Deration
Investment Deration- NMDC-SAIL Ltd 0.03 0.03 -
Sub total 0.03 - 0.03 -
Total (Net) 251.03 - - 251.03

LOANS AND ADVANCES TO JOINT VENTURES: (` In Crore)
0.10 - - 0.10
Limited (` 324/-)
0.07 0.01 - 0.08
Corporation Ltd
NMDC-SAIL Ltd - - - -
Bastar Railway Pvt Ltd - - - -
Sub total 46.27 0.01 - 46.28
b) Loans & Advances Deration:
Advances Deration- Kopano NMDC 0.10 - - 0.10
Sub total 0.10 - - 0.10
Total (Net) 46.17 0.01 - 46.18
INVESTMENT IN ASSOCIATE COMPANIES:(including advance against equity): (` In Crore)

a) Investment:
Romelt-SAIL (India) Limited (under
0.11 - - 0.11
closure)
International Coal Ventures (Pvt) Ltd 376.36 2.50 - 378.86
Krishnapatnam Railway Company Ltd 40.00 - - 40.00
Chhattisgarh Mega Steel Ltd 0.01 - - 0.01
Neelachal Ispat Nigam Ltd 100.60 - - 100.60
Sub total 517.08 2.50 - 519.58
b) Investment Deration:
Investment Deration- Romelt-SAIL Ltd 0.11 - - 0.11
Sub total 0.11 - - 0.11
Total (Net) 516.97 2.50 - 519.47
LOANS AND ADVANCES TO ASSOCIATE COMPANIES: (` In Crore)

a) Loans & Advances
Neelanchal Ispat Nigam Ltd 81.60 2.67 3.75 80.52
Sub total 81.60 2.67 3.75 80.52
Neelachal Ispat Nigam Ltd - - - -
Sub Total - - - -
Total (Net) 81.60 2.67 3.75 80.52
(` In Crore)
Particulars As at March 31, 2022 As at March 31, 2021
Key Management Personnel:
Key Managerial Personnel Remuneration 4.12 3.66
288 NMDC LIMITED

2.31.1 (V) Additional Information as Required by Schedule III of Companies Act 2013
Net Assets Share in other Share in total
Proportion (i.e Total assets minus Share in profit or loss comprehensive comprehensive
of Total liabilities) income income
ownership
Sl. As %
Name of the entity (% of Share) interest As % of As % of
No. As % of of total
as on 31st consoli- Amount consoli- Amount Amount Amount
March consoli- compre-
dated net (` crore) dated Profit (` crore) (` crore) (` Crore)
2022 dated hensive
assets & Loss
income
1 NMDC Limited (Equity Holder as 99.55% 34,843.97 100.20% 9,398.48 22.13% 9.07 99.86% 9407.55
Parent)
2 Subsidiaries
A) Indian
i) J&K Mineral Development Corporation 95.86 0.022% 7.834 -0.01% (0.90) - - -0.01% (0.905)
Limited,Jammu
ii) NMDC Power Ltd,Hyderabad 100 0.000% - 0.00% - - - 0.00% -
iii) Karnataka Vijaynagar Steel Limited 100 -0.005% (1.915) -0.01% (0.70) - - -0.01% (0.701)
iv) NMDC Steel Limited 100 0.000% 0.042 0.00% (0.01) - - 0.00% (0.009)
v) Jharkhand Kolhan Steel Limited 100 0.000% - 0.00% - - - 0.00% -
B) Foreign
i) NMDC SARL, Madagascar 100
ii) Legacy Iron Ore Ltd,Perth,Australia 78.56 0.386% 135.142 (0.06) (5.56) 5.13 2.10 -0.04% (3.455)
iii) Non-controlling Interests in all 0.038% 13.450 0.01 0.540 - - 0.01% 0.540
subsidiaries
3 Associates (Investment as per the
equity method)
A) Indian
i) Romelt-Sail(India)Limited, New Delhi. 25 Equity Equity
Method Method
ii) International Coal Ventures Pvt. Ltd. 25.94 Equity Equity (0.06) (6.010) 72.74% 29.810 0.25% 23.800
Method Method
iii) Nilachal Ispat Nigam Ltd, 12.87 Equity Equity - - - 0.00% -
Bhubaneswar. Method Method

iv) Krishnapatnam Railway 6.4 Equity Equity (0.05) (4.340) - - -0.05% (4.340)
Co.Ltd,Secunderabad. Method Method
v) Chhattisgarh Mega Steel Ltd. 26 Equity Equity - - - 0.00% -
289
Method Method
Net Assets Share in other Share in total
290
Proportion (i.e Total assets minus Share in profit or loss comprehensive comprehensive
of Total liabilities) income income
ownership
Sl. As %
Name of the entity (% of Share) interest As % of As % of
No. As % of of total
as on 31st consoli- Amount consoli- Amount Amount Amount
March consoli- compre-
dated net (` crore) dated Profit (` crore) (` crore) (` Crore)
2022 dated hensive
NMDC LIMITED
assets & Loss
income
4 Join Ventures (Investment as per the
equity method)
A) Indian
i) Jharkhand National Mineral 60 Equity Equity - - 0 0.00% -
Development Corporation Ltd,Ranchi Method Method
ii) NMDC-CMDC Ltd.,Raipur 51 Equity Equity (0.02) (1.44) - 0 -0.02% (1.44)
Method Method
iii) NMDC SAIL Ltd 51 Equity Equity - - 0 0.00% -
Method Method
iv) Bastar Railway Pvt Ltd(BRPL) 52 Equity Equity (0.00) (0.46) - 0 0.00% (0.46)
Method Method
Equity Equity
Method Method
B) Foreign
i) Kopano-NMDC Minerals (Proprietary) 50 Equity Equity
Limited,Johannesburg,South Africa Method Method
Consolidated Adjustment 0.044% 15.28
Total 35,000.35 9,379.60 40.98 9,420.58
2.32. Contingent liabilities and Commitments (to the extent not provided for)
A. Contingent liabilities (` In Crore)
As at As at
Particulars Additions DeletionsW
Claims against the company not
1.1
acknowledged as debts consisting of:
Disputed claims under Property tax,
A Export tax, Conservancy Tax, Sales 2,398.50 20.89 26.42 2392.97
tax, Service Tax, Income tax etc.,
Claims by contractors under
arbitration
B 910.35 353.01 38.06 1225.30
i. On capital account
ii. On revenue account 5.24 1.03 - 6.27
Other claims on company not
C 366.01 18.32 136.67 247.66
acknowledged as debts
Total 3680.10 393.25 201.15 3872.20
Contingent liability on bills
1.2 2,640.73 1,269.30
discounted/ LCs/BG’s
a. Corporate Guarantee of USD 30
million submitted to EXIM bank on
1.3 behalf of ICVL Maruritius in respect 59.51 58.67
of short term working capital loan.
(3.00*76.47*25.94/100
The Company has issued letter of comfort in favour of International Coal Venture (P) Limited (ICVL) in furtherance
for providing Corporate Guarantee of US$ 30 Mn by them to EXIM Bank on behalf of Minas De Benga Limitada,
Mozambique (Borrower), a downstream operating subsidiary of ICVL, New Delhi in respect of short term working
capital loan. The said letter of comfort does not in any way constitute the guarantee or security by the Company of the
duties of the borrower to meet its obligation under the said facility.
1.4 : Disputed claims under ‘ Karnataka Forest Act:
Government of Karnataka had introduced Forest Development Tax (FDT), to pay @ 12% on the sale value of iron
ore with effect from 27.08.2008. NMDC preferred an appeal before Hon’ble High Court of Karnataka and the court
passed an interim order directing the Company to pay 50% of FDT, consisting of 25% in cash and balance 25% in the
form of Bank Guarantee. As against the total FDT demand of ` 487.37 Crore ( from August 2008 to Sep-2011), the
Company has deposited an amount of ` 121.84 Crore (25%) in cash which has been shown as amount recoverable and
submitted a bank guarantee for similar amount. An amount of ` 365.53 Crore (balance 50% amount of ` 243.69 Crore
plus 121.84 Crore paid and accounted as amount recoverable) is included under disputed claims at 1.1.A. The amount
of ` 121.84 Crore for which BG was given is included under contingent liability on BGs’ at 1.2.
Hon'ble High Court of Karnataka vide order dated 03.12.2015 has quashed the orders of Government of Karnataka
levying the FDT and ordered refund of the tax collected within three months and accordingly the Company has lodged
refund claims. However, Government of Karnataka has filed a Special Leave Petition with Hon'ble Supreme Court of
India, challenging the orders of Hon'ble High Court of Karnataka. Hon'ble Supreme Court of India has accepted the
same and imposed stay on refund of the FDT amount.
Meanwhile Karnataka State Govt. had enacted Karnataka Forest (Amendment) Act 2016 vide Gazette notification
dated 27.07.2016. The amendment substituted the word ‘Tax’ in the principal act to ‘Fee’ w.e.f 16th day of Aug 2008.
Based on this the Monitoring Committee had started billing the Forest Development Fee in its invoices. Meanwhile
consumers in Karnataka had filed separate Writ Petitions in Hon’ble High Court of Karnataka on the above. Karnataka
High Court vide its order dated 20th Sept. 2016, had ordered that State Govt may restrain from collecting FDF during
the pendency of the writ petition, subject to the condition of furnishing bank guarantee in respect of 25% of the
demand in relation to future transactions. Karnataka State Govt. had approached Hon’ble Supreme Court on this.
Hon’ble Supreme Court vide its order dated 13.02.2017 modified the order of High Court of Karnataka and ordered for
payment of 50% of the demanded amount and furnish Bond for balance amount.

The amount billed by the monitoring committee amounting to ` 93.85 crore towards FDF has been accounted under
sales revenue during the Financial year 2017-18. As, the Karnataka High Court vide its judgement dated 4th October
2017 has declared the Karnataka Forests (Amendment) Act, 2016 which was introduced for collection of Forest
Development Fee (FDF) as unconstitutional, No FDF was collected nor paid with effect from 5th October 2017.
B. Commitments: (INR in crore) (` In Crore)

As at As at
Particulars
31-Mar-2022 31-Mar-2021
Estimated Amount of contracts remaining to be executed
1.1 5,272.42 4,846.63
on Capital account
1.2 Other commitments- commitments to subsidiaries and JV Nil Nil
2.33 DISCLOSURES UNDER ACCOUNTING STANDARDS

2.32.1 EMPLOYEE BENEFITS AS PER Ind - AS-19
GENERAL DESCRIPTION OF DEFINED/CONTRIBUTORY BENEFIT PLANS :
PLAN DESCRIPTION
The company’s contribution to the provident fund is remitted to a separate trust based
on a fixed percentage of the eligible employees’ salary. Further, the company makes
1. Provident fund
good the shortfall, if any, between the return from investments of trust and the notified
rate of interest on actuarial valuation basis.
2. Gratuity Eligible amount is paid to the employees on separation by NMDC Group Gratuity Trust.
Encashment of accumulated leave payable as per the rules of the Company to the
3. Accrued Leave Salary employees on separation is made by NMDC Employees Superannuation Benefit Fund
Trust.
Employees are paid eligible amount at the time of retirement for their settlement by
4. Settlement Allowance
the NMDC Employees Superannuation Benefit Fund Trust.
Retired employees opting for the Post Retirement Medical Benefit Scheme on
5. Post Retirement
contribution of prescribed amount can avail medical benefits as per the Scheme and
Medical Facilities
the liability is funded to NMDC Employees Superannuation Benefit Fund Trust.
Monthly payments to disabled separated employees/legal heirs of deceased employees
6. Family Benefit Scheme on deposit of prescribed amount, till the notional date of superannuation and the
liability is funded to NMDC Employees Superannuation Benefit Fund Trust.
Employees are presented with an award in kind on rendering prescribed length of
7. Long Service Award
service.
8. Contribution to Defined
The company’s contribution to the defined contribution pension scheme is remitted to
Contribution Pension
a separate trust based on a fixed percentage of the eligible employees’ salary.
scheme
292 NMDC LIMITED

OTHER DISCLOSURES :
i) Provident fund :
The company has conducted Actuarial valuation of its PF trust and the trust do not have any deficit as on 31st March
2022
ii) Other defined benefit plans : (` In Crore)
Post
Accrued Family Long
Settlement retirement
Particulars Gratuity Leave Benefit Service
Allowance medical
Salary Scheme Award
facilities
A. Changes in the present value of obligation as on
31st March 2021
Present value of obligation at
359.54 224.12 13.77 526.28 36.69 30.37
the beginning of the year
Interest cost 23.46 15.25 - 35.79 - -
Actuarial gain/loss on
(6.51) (26.99) 5.53 38.47 14.64 22.80
obligation
356.97 237.56 18.73 592.21 43.43 50.04
the end of the period
31st March 2022
356.97 237.56 18.73 592.21 43.43 50.04
the beginning of the year
Interest cost 23.46 15.89 - 40.74 - 3.43
Actuarial gain/loss on
(1.71) (23.77) 0.67 (42.36) 31.71 (0.45)
obligation
359.37 253.32 18.91 559.43 51.41 47.71
the end of the period
B. Changes in the fair value of the Plan Assets as on
31st March 2021
Fair value of plan assets at the
307.64 162.95 41.59 432.88 40.26 -
beginning of the year
Contributions 50.49 61.18 - 93.40 - -
Actuarial gain/loss on plan
(0.01) - - - - -
assets
349.11 228.05 43.87 526.66 36.14 -
end of the period

Post
Accrued Family Long
Settlement retirement
Particulars Gratuity Leave Benefit Service
Allowance medical
Salary Scheme Award
facilities
31st March 2022
349.11 228.05 43.87 526.66 36.14 -
beginning of the year
Contributions 6.03 9.52 - 65.55 7.29 -
Actuarial gain/loss on plan
- - - - - -
assets
353.02 257.98 47.00 591.22 39.37 -
end of the period
C. Amounts recognised in the Balance sheet as on
31st March 2021
Present value of the obligations
356.97 237.56 18.73 592.21 43.43 50.04
349.11 228.05 43.87 526.66 36.14 -
end of the year
Liability(+)/Asset (-) recognised
7.86 9.51 (25.14) 65.55 7.29 50.04
in the balance sheet
31st March 2022
Present value of the obligations
359.37 253.32 18.91 559.43 51.41 47.71
353.02 257.98 47.00 591.22 39.37 -
end of the year
Liability(+)/Asset (-) recognised
6.35 (4.66) (28.09) (31.79) 12.04 47.71
in the balance sheet
D. Amounts recognised in the Statement of P&L for the period ended
31st March 2021
Interest cost 23.46 15.25 - 35.79 - -
Net acturarial gain/loss
(6.50) (26.99) 5.53 38.47 14.64 22.80
recognised in the year (OCI)
Total 6.45 9.51 2.68 65.55 10.86 22.80
31st March 2022
Interest cost 23.46 15.89 - 40.74 - 3.43
Net acturarial gain/loss
(1.71) (23.77) 0.67 (42.36) 31.71 (0.45)
recognised in the year (OCI)
Total 4.52 (4.65) (2.94) (31.79) 12.04 1.50
294 NMDC LIMITED

E. PRINCIPAL ACTUARIAL ASSUMPTIONS :
DESCRIPTION 2021-2022 2020-2021 2019-2020
i. Discount Rate 7.32% 6.80% 6.80%
IALM (2012-14 Till age 60 and
ii. Mortality Rate IALM (12-14) LIC 1994-96 ultimate
IIAMT (2012-15) Thereafter
iii. Medical Cost Trend rates 5% 5% 5%
iv. Withdrawal rate 1% 1% to 3% 1% to 3%
iv. Future salary increase 6.50% 6.50% 6.50%
i) The discount rate adopted above is based on market yields at the balance sheet date on government bonds.
ii) In line with the report of the 3rd Pay Revision Committee,the ceiling of gratuity enhanced from ` 10 lakhs to
` 20 lakhs for provision of gratuity
F. Sensitivity analysis
The sensitivity of the defined benefit obligation to changes in the weighted principal assumption is :
a) Gratuity (` In Crore)
DESCRIPTION
31/3/2022 31/3/2022 31/3/2021 31/3/2021
A Effect of 1% Change in the Assumed Discount Rate 331.88 391.31 328.37 390.44
1. Effect on DBO (7.60) 8.90 (8.00) 9.40
A Effect of 1% Change in the Assumed Salary Rate 371.38 346.06 367.23 346.73
2. Effect on DBO 3.10 (3.70) 2.90 (2.90)
A Effect of 1% Change in the Assumed Attrition Rate 366.70 351.07 359.76 353.92
3. Effect on DBO 2.00 (2.30) 0.80 (0.90)
b) Accrued Leave Salary

DESCRIPTION
31/3/2022 31/3/2022 31/3/2021 31/3/2021
1. Effect on DBO (4.20) 4.50 (7.90) 9.20
A Effect of 1% Change in the Assumed Salary Rate 249.05 228.14 247.08 208.58
2. Effect on DBO 4.60 (4.20) 9.10 (7.90)
A Effect of 1% Change in the Assumed Attrition Rate 238.09 238.31 227.11 225.92
3. Effect on DBO - - 0.20 (0.30)
c) Post Retirement Medical Facilities

DESCRIPTION
31/3/2022 31/3/2022 31/3/2021 31/3/2021
1. Effect on DBO (9.72) 11.70 (9.76) 11.77
A Effect of 1% Change in the Assumed Medical
612.27 511.89 648.11 541.92
Inflation rate
2. Effect on DBO 9.45 (8.50) 9.44 (8.49)

(G) Defined benefit liability (` In Crore)
The weighted average duration of the defined benefit obligation is 6.90 years for Leave encahement benefit, 9.40 years
for gratuity scheme as on 31 March 2022. The expected maturity analysis of gratuity and compensated absenses is as
under :
DESCRIPTION Total
31 March 2022
Gratuity scheme 39.59 99.99 142.99 76.80 359.37
Accrued leave salary 47.48 105.39 100.45 - 253.32
Post retirement medical
26.64 88.18 263.64 212.76 591.22
benefits
Total 113.71 293.56 507.08 289.56 1,203.91
The weighted average duration of the defined benefit obligation is 13.61 years for Leave encahement benefit, 14.07
years for gratuity scheme as on 31 March 2021. The expected maturity analysis of gratuity and compensated absenses
is as under :
(` In Crore)
Total
31 March 2021
Gratuity scheme 33.54 99.00 162.47 61.96 356.97
Accrued leave salary 19.88 62.33 109.76 45.59 237.56
Post retirement medical
28.20 127.62 244.81 126.03 526.66
benefits
Total 81.62 288.95 517.04 233.58 1,121.19
2.33.2. Segment Reporting as per Ind - AS-108

A. Basis for segmentation
An operating segment is a component of the company that engages in business activities from which it may
earn revenues and incur expenses and for which discrete financial information is available. All operating
segments’ operating results are reviewed regularly by the Board of Directors to make decisions about resources
to be allocated to the segments and assess their performance.
The company has two reportable segments, as described below, which are the company's strategic business
units. These business units offer different products and services, and are managed separately because they
require different technology and marketing strategies. For each of the business units, the company’s Board
reviews internal management reports on a periodic basis.
The following summary describes the operations in each of the company's reportable segments:
B. Information about reportable segments
Information regarding the results of each reportable segment is included below. Performance is measured
based on segment profit (before tax), segment revenue and segment capital employed as included in the
internal management reports that are reviewed by the board of directors. Segment profit is used to measure
performance as management believes that such information is the most relevant in evaluating the results
of certain segments relative to other entities that operate within these industries. Inter-segment pricing is
determined on an arm's length basis.
296 NMDC LIMITED

Repotable Segments
Business Segments (` In Crore)
Other Minerals & Other reconciliation
Services items
1. REVENUE
External Sales 25,546.66 15,233.71 333.94 135.94 1.13 0.41 25,881.73 15,370.06
Inter-Segment Sales 83.06 - - - (83.06) - - -
Total Revenue 25,629.72 15,233.71 333.94 135.94 (81.93) 0.41 25,881.73 15,370.06
2. RESULT
Segment Result 13,198.63 9,258.16 (71.10) (132.81) (232.74) (189.43) 12,894.79 8,935.92
Unallocated Corporate Exps (311.22) (261.83)
Operating Profit 12,583.57 8,674.09
Finance Cost (39.06) (16.81)
Interest Income 428.82 238.77
Income Taxes (3,582.02) (2,648.58)
Non-controlling Interest 0.55 0.37
Share of associates (12.26) 29.17
Net Profit 9,379.60 6,277.01
3. OTHER INFORMATION
Segment Assets 10,794.12 7,607.88 474.32 561.03 33,052.18 28,352.60 44,320.62 36,521.51
Segment Liabilities 3,603.05 2,674.67 49.46 40.79 6,198.71 4,316.74 9,851.22 7,032.20
Additions to assets during the
year :
Tangible Assets 320.29 69.61 3.48 3.07 794.68 207.98 1,118.45 280.66
Intangible Assets 13.81 84.99 - 1.37 48.65 0.02 62.46 86.38
ROU Assets 0.00 - - - 2.63 1.19 2.63 1.19
Depreciation and Amortisation 215.04 180.01 51.74 35.06 20.95 13.47 287.74 228.54
expenses during the year
Impairment reversal/provided - - - - - - - -
Non-Cash expenses other than 554.12 226.66 0.02 0.02 6.60 7.83 560.74 234.51
Depreciation & amortization
Geographical Segments
Sales Revenue by location of Customers: (` In Crore)
Curr. Year Prev. Year
Revenue from External customers
- Domestic 25,872.54 13,620.37
- Export : Through MMTC 9.19 1,749.69
Total 25,881.73 15,370.06
Assets by Geographical Location: (` In Crore)

Carrying amount of Additions to Tangible and
Location
Segment Assets Intangible Assets
Curr. Year Prev. Year Curr. Year Prev. Year
Chattisgarh 27,957.78 24,164.98 972.56 263.25
Telangana & Andhra Pradesh 12,504.35 9,668.37 100.70 -6.11
Others 3,858.49 2,688.17 107.65 109.90
Total 44,320.62 36,521.51 1,180.91 367.04

Note No. 2.33.3
Disclosures – Revenue (Ind AS 115)
a) Disaggregated revenue information
Set out below is the disaggregation of the Company’s revenue from contract with customers (` In Crore)
Year ended
Segment 31-Mar-22 31-Mar-21
Type of goods or service
Sale of goods
-Iron ore 25,546.66 15,233.70
-Sponge iron - -
-Diamonds 62.93 21.10
-Sale of pellets 222.11 73.50
-Sale of power 4.99 5.17
Sale of services
-Sale of services 45.04 36.58
Others
India 25,872.54 13,620.37
Outside India 9.19 1,749.69
Timing of revenue recognition
Goods transferred at a point in time 25,836.69 15,333.48
Services transferred over time 50.03 41.75
Set out below, is the reconciliation of the revenue from contracts with customers with the amounts disclosed in the
segment reporting
(` In Crore)
31-Mar-22 31-Mar-21
Sale of Sale of Sale of Sale of
goods services goods services
Revenue
External customer 25,836.69 45.04 15,333.48 36.58
Inter-segment 83.06 - -
Inter-segment adjustment and elimination 83.06 - - -
Total revenue from contracts with customers 25,836.69 45.04 15,333.48 36.58
b) Contract balances (` In Crore)

31 March 2021 01 April 2021
31-Mar-22
(Restated) (Restated)
INR crores INR crores INR crores
Trade receivables 2,954.30 2,139.89 -
Contract assets - - -
Contract liabilities 1,068.65 606.59 -
Trade receivables are non-interest bearing . In March 2022, ` 2932.14 crore (March 2021: ` 2384.43 crore) was
recognised as provision for expected credit losses on trade receivables.
298 NMDC LIMITED

Contract assets are generally recognised in case of supply of services only when the receipt of money is conditional on
milestone even after satisfaction of performance obligation.In case of sale of goods, directly receivable is recognised
as company has unconditional right to payment from the moment performance obligation is satisfied.
Contract liabilities includes advance received from customer which will be adjusted towards supply of goods or
services.
2.33.4: Accounting policies, change in Accounting Estimates and Errors (As per Ind-AS 8):
I. Review of Accounting Policies
Property Plant and equipment’s (Accounting Policy no. 1-1.2–v) :
In order to bring more clarity, following para is added to the accounting policy at Para 1.2.v and it has Nil Impact
on the financials of the company.
Spare parts, Standby equipment and service equipment meeting the definition of PPE and having value of more
than ` 20 lakh in each case, are capitalized as and when available for use.
2.33.5 Earnings per share (IND AS-33)-: The details are as under: (` In Crore)
Year ended
Particulars
1. Profit after Tax (INR in Crore) 9,379.60 6,277.01
2. No of Equity shares 293,06,05,850 293,06,05,850
3. Nominal value per Equity share (`) 1 1
4. Basic and Diluted Earnings per share (`) (*) 32.00 20.70
Note: (*) The earnings per share (EPS) of Previous year ended 31st March 2021 has been adjusted on account of
buyback.
2.33.6 Accounting for Deferred Taxes on income (Ind-As-12): Necessary details have been disclosed in note no: 2.5.
2.33.7 Discontinuing Operations (IndAS-105) :
On 25/02/2008 the Board of directors had announced a plan to dispose-off the plant and machinery of Silica Sand
Project, Lalapur which is included in the segment of “Other minerals and services.” Pending disposal, the unit is kept
under care & maintenance.
Screening Plant:
Board of director in its 525th meeting held on 10th December 2019 approved the termination of Screening Plant
operation located at Vizag.
Detailed are as below: (` In Crore)
Particulars As at 31-Mar-2022 As at 31-Mar-2021
Screening Plant -Vizag

The following statement shows the revenue and expenses of discontinued operations:
(` In Crore)
For the year ended For the year ended

Particulars
31-Mar-2022 31-Mar-2021
A. Revenue
Revenue from operations
Other income - 2.54
Total Revenue - 2.54
B. Expenses
Power, Electricity and Water 0.23 0.27
Repairs and Maintenance - 0.08
Depreciation & Amortisation - 0.11
Total Expenses 0.91 2.01
C.Profit(+)/Loss(-) from discontinued operations before tax (A-B) (0.91) 0.53
2.33.8 Intangible Assets (IndAS-38) : R&D

The Research & Development expenditure, charged to Statement of Profit & Loss during the year is ` 27.16 crore
(previous year ` 27.40 crore). It includes R&D net expenditure of ` 25.74 crores (PY ` 26.45 crores) and expenditure of
` 1.42 crores (PY ` 0.95 crores) on feasibility studies.
The amount of revenue expenditure incurred at Research & Development unit, Hyderabad is as under:
(` In Crore)
Head of account 2021-22 2020-21
Consumption of Stores and Spares 0.16 0.16
Employee benefit expense 17.40 17.04
Depreciation & Amortisation 2.77 2.84
Total expenditure 27.08 27.07
Less : Other income 1.34 0.62
Total net R&D expenditure 25.74 26.45
During the year, at R&D unit, the additions to tangible assets (except land and buildings) are ` 3.97 crore. (Previous
year ` 1.80 crore).
2.33.9 Joint Ventures (IndAS-28 ) Jointly Controlled entities:

Sl Country of Proportion of Proportion of
Name of the Joint Venture
no Incorporation ownership 2021-22 ownership 2020-21
1 Kopano-NMDC Minerals (Proprietary) Limited (*) South Africa 50% 50%
2 NMDC CMDC Limited, Raipur India 51% 51%
3 India 60% 60%
Corporation Limited, Ranchi
4 NMDC SAIL Ltd (Struck off)) India 51% 51%
5 Bastar Railway Pvt Ltd India 52% 52%
(*) Under Closure
300 NMDC LIMITED

2.33.10 Impairment of Assets (IndAS – 36):
The impairment of assets has been reviewed during the year in respect of the following cash generating units,
included under the segment ‘Other Minerals and Services’. The Assets considered for impairment in this financial
year is ` 16.56 crore:
INR in crore
Year of Impaired Amount Adjustments during 2021-22 Impaired Amount
Unit
impairment as on 01-04-2021 Reversal Deletion Addition as on 31-03-2022
SSP, Lalapur 2005-06 12.54 -- - -- 12.54
SAF Plant at
2004-05 15.48 - - - 15.48
Sponge Iron Unit
SIIL- Paloncha 2019-2020 3.37 - - - 3.37
SIIL- Paloncha 2021-2022 4.40 4.40
DMP, Panna 2021-2022 - - - 9.35 9.35
Windmill-
2021-2022 - - - 2.81 2.81
Donimalai
Total 31.39 - - 16.56 47.95
1. The Recoverable amount of the assets of SSP, Lalapur unit has been arrived at considering the ‘value in use’.
Since the value in use has resulted in negative cash flows, the recoverable amount has been taken as nil without
applying any discount rate.
2. In the case of SAF plant at the Sponge Iron Unit, the impairment is based on fair value as assessed by the
approved Valuer.
3. In case of SIIL plant, Impairment is based on the assessed fair value.
4. Earlier, as per the MMDR Amendment Act, 2015, Supplementary Mining Lease of Panna was extended for a
period of 50 years from the initial grant i.e. up to 30.06.2020. Consequently, Forest Clearance was extended up
to lease validity as per MoEF&CC Circular dated 01.04.2015. After extension of supplementary mining lease
by Government of Madhya Pradesh up to 30.06.2040, the Forest Clearance has also been extended up to 30th
June 2040 vide letter no. F-5-11/2021/10-3 dated 6th January 2021 issued by Forest Department, Madhya
Pradesh. However, the operation is stalled for want of wildlife clearance. Since the unit is not in operation since
01.01.2021, the assets of DMP Panna are impaired leaving the Land and Scheme Assets to employees. The
residual value is considered as Nil for all assets except vehicles where 5% of gross block is considered as a
realisable value as per the accounting policy.
5. Since the Windmill (BN-04) (Cash Generating Unit) is not in operation as on 31.03.2022 due to fire accident on
27.05.2021, net block of the unit is impaired after considering the realisable value of ` 0.80 crores as per the
assessment of O&M Contractor M/s.Suzlon.
2.33.11 Provisions, Contingent Liabilities and Contingent Assets (IndAS-37) :
Necessary details in regard to provisions have been disclosed in notes 2.14.3,2.17& 2.32.
2.34: Disclosure as required under Regulation 34(3) and 53(f) of SEBI (LODR) Regulations, 2015
2.34.1 Loans and advances in the nature of loans to Subsidiaries/Jvs’ where there is no repayment schedule or no
interest:
INR. in crore
Name of the Subsidiary
J&K Mineral Development Corporation Limited, Jammu 23.10 22.09
NMDC Power Ltd, Hyderabad - -
Jharkhand Kolhan steel Limited - -
Karnataka Vijayanagar Steel Limited 642.22 641.99
NMDC Steel Limited - -
NMDC CSR Foundation - -
Total 665.32 664.08
Advances derated / Provision made - JKMDC 23.10 16.51

INR in crore
Name of the Joint Venture
Kopano-NMDC Minerals (Proprietary) Limited 0.10 0.10
NMDC-CMDC Ltd., Raipur 43.10 46.10
Bastar Railway Pvt. Ltd. - -
Total 43.28 46.27
Advances derated / Provision made - Kopano 0.10 0.10
2..34.2 There are no Investments by the loanees as mentioned in 2.34.1 in the shares of NMDC Ltd.
2.34.3: Loans to Associate Companies
INR in crore
Name of the Associates Maximum Balance outstanding

2021-22 2020-21
Neelachal Ispat Nigam Ltd 84.27 81.60
Total 84.27 81.60
No Loans and Advances were given to the Associate Companies except the above company.
2.34.4 There are no loans and advances in the nature of loans to firms/companies in which directors are interested
except as stated above.
2.35. Others:
2.35.1 Income Tax :
a) After completion of the assessment for the A.Y. 2019-20, NMDC has received a demand for ` 204.56 Crores on
28.09.2021. NMDC has filed an appeal before the CIT(A) for ` 196.71 crore the demand of ` 204.56 Crores is
shown under earlier years tax expenses in the accounts of F.Y. 2021-22. The net impact in earlier tax expenses,
including adjustment pertaining to other cases, is ` 260.53 Crore.
b) The Current Tax assets (net) (note no. 2.9) includes an amount of ` 325.26 crore of receivable from Income
Tax Department under Vivad Se Vishwas (VsV), towards settlement of all disputed Income tax cases up to
assessment year 2017-18.
2.35.2 Enabling Facilities:
During the year an amount of ` 2.99 crore (PY- ` 24.51 crores) and ` 122.25 crore (PY- ` 123.30 crores) is utilised by
Railways for the doubling of Railway line between Jagdalpur to Ambagaon and Kirandul to Jagdalpur respectively and
the total amount of ` 125.24 crore (PY – ` 147.81 crores) is included in “Other Expenses “.
2.35.3 Demerger / Disinvestment of NISP:
The Government of India has accorded in principle approval for strategic disinvestment of Nagarnar Steel Plant on
27th October 2016. Core Group of Secretaries for Disinvestment (CGD), in its meeting held on 3rd June 2019 and 28th
November 2019, has approved to follow the demerger route for the strategic disinvestment of NISP.
The Board of Directors of the company at their meeting held on 27th August 2020, inter-alia, have accorded in-
principal approval to the proposal of demerge of NMDC Iron & Steel Plant (NISP), Nagarnar, Chhattisgarh. Further,
NMDC Board in its meeting dated 13.07.2021, has approved the scheme of arrangement for Demerger between
NMDC Limited and NMDC Steel Limited wherein 3 MTPA Steel Plant at Nagarnar of NMDC Limited will be transferred
to NMDC Steel Limited.
Accordingly, after obtaining NOC from the Stock Exchanges, an application was filed by the Company with Ministry
of Corporate Affairs (MCA) in January 2022. MCA, vide its Order dated 11.04.2022 has accepted the application filed
by the company and directed for convening the meeting of Unsecured Creditors and Share holders of Demerged
Company. Accordingly, notices have been issued to the Unsecured Creditors and Share holders for the meeting to be
held on 7th of June’2022.
302 NMDC LIMITED

2.35.4 Property, Plant & Equipment (PPE)
As per Ind AS 16 items such as spare parts, stand by equipment and service equipment are to be capitalized when
they meet the definition of PPE and are expected to be used for more than one accounting year. After review of the
inventory values and its consumption patterns in the major production Units, Company based on materiality has fixed
a threshold limit of ` 20 Lakhs for such spare parts, stand by equipment and service equipment meeting the definition
of PPE. On issue of said PPE, the WDV is allowed to be depreciated over the life of the main asset or the life of the
equipment whichever is less.
Gross value of Spare parts, stand by equipment and service equipment meeting the definition of PPE capitalised
during the Year 2021-22 is ` 42.77 crore.
2.35.5 NMET:
As per the Gazette Notification dated 27th March 2015 enacting the Mines and Minerals (Development and Regulation)
(Amendment) Act, 2015 and subsequent notifications dated 14th Aug 2015 for contribution of National Mineral
Exploration Trust (NMET), the Company was required to pay 2% of royalty towards NMET with effect from 12th Jan
2015 respectively.
The Hon’ble High Court of Bilaspur in its judgement dated 24.11.2017 clarified that contribution towards NMET shall
be payable w.e.f. 14.8.2015, the date of promulgation of NMET Rules plus constitution of NMET Trust.
With regard to NMET, Company has made the payment w.e.f 12.01.2015. As per the Hight Court judgement the units in
state of Chattisgarh the payments made from 12.01.2015 till 13.08.2015 are recognised under Amount Recoverable to
be adjusted from future payments to State Government.
2.36.6 Dues from Monitoring Committee- Donimalai complex in Karnataka:
The total trade receivables from Monitoring Committee as on 31st March 2022 is ` 4,555.27 crores (PY- ` 3,242.52
crores) . This includes regular dues of ` 1707.58 crore and ` 2,825.51 crore towards 10% of sales proceeds retained
by Monitoring Committee for the period from 4th October 2011 to 31st March 2022 pending directions from Hon’ble
Supreme Court. Further, an amount of ` 22.18 crore is long pending towards supply of Low Grade Fines for which
provision is made. Company has made a total provision of ` 2,847.69 crore.
2.35.7 Common Cause Judgement for Bailadila Sector:
The Company had received Show Cause Notices dated 31 .07.2018 from Dist. Collector, South Bastar Dantewada as to
why NMDC should not be asked to deposit an amount of ` 7,241.35 crore as compensation as calculated by Collector
based on the Hon'ble Supreme Court Common Cause Judgement related to Orissa Iron ore mines (Writ Petition
Civil No 114 of 2014 dated 2nd August 2017). The Company had been contesting the Show Cause Notices with Dist.
Collector, South Bastar Dantewada on the ground that the said judgement is not applicable to NMDC .
Meanwhile, revised show cause notices dated 26.09.2019 were received for a revised amount of ` 1,623.44 Crore from
Dist. Collector, South Bastar, Dantewada, to be replied within 21 days of notice. NMDC while reiterating the fact of
non-applicability of the Hon’ble Supreme Court Judgement in the state of Chhattisgarh, has sought time for replying
to the show cause notices. Further to above, Dist. Collector, South Bastar, Dantewada had issued Demand notices
dated 15/11 /2019 for the amount of ` 1,623.44 Crore (Bacheli - ` 1,131.97 Crore & Kirandul ` 491.47 Crore) asking to
deposit the amount within 15 days. As the Mining Leases of the company in the State of Chhattisgarh were expiring
on 31.3.2020 and due for renewal , the Company has paid an adhoc amount of ` 600 Crore under protest and filed writ
petitions in the Hon'ble High Court of Bilaspur, Chhattisgarh and a Revision application with Mines Tribunal, Ministry
of mines, Government of India, New Delhi praying to set aside the demand notices.
Hon’ble High Court of Bilaspur has heard the WPs on 19.02.2020 and sought certain clarifications from the
respondent and directed ‘no coercive action till 12.3.2020 and listed the case for 12.3.2020. However due to
COVID-19 situation, no further hearings could take place. Revision application with Mines Tribunal, Ministry of
Mines, Government of India New Delhi is heard on 09.03.2022 wherein the representatives of State Government were
directed to file comments/ para wise reply within two weeks.
The demand amount of ` 1,623.44 crores has been shown under ‘Contingent Liabilities’.
2.35.8 Allotment of Coal Block
Tokisud North Coal Mine
Ministry of Coal declared NMDC as a successful allottee for Tokisud North coal mine, in Jharkhand, on 16.12.2019.
Allotment Agreement is signed on 24.12.2019 and Allotment order issued on 17.08.2020. NMDC paid the fixed Cost
of ` 224.77 crores (PY- ` 224.77 crore) & upfront amount of ` 21.60 crore (PYRs.16.20 crore) up to 31.03.2022. All the

amounts paid up to 31.3.2022 are included under Capital Advances (Note 2.6). NMDC submitted a Bank guarantee of
` 71.09 crore Pending execution of lease deed. Mine Developer cum Operator (MDO) has been appointed on
16.09.2021. Company has obtained Transfer of Environmental clearance and Forest Clearance (State-II). The
Company is in the process of obtaining Mining lease, transfer of Free hold land and lease hold land.
Rohne Coal Mine
Ministry of Coal declared NMDC as a successful allottee for Rohne Coal Mine, in Jharkhand, on 17.03.2020. Allotment
Agreement of the coal mine is signed on 17.02.2021 and allotment order issued on 18.06.2021. NMDC paid the fixed
Cost of ` 39.46 crore & upfront amount of ` 33.15 crore up to 31.03.2022. All the amounts paid up to 31.3.2022 are
included under Capital Advances (Note 2.6). Company has submitted a Bank guarantee of ` 405.17 crore Pending
execution of lease deed. Company has obtained Transfer of Environmental clearance and Forest Clearance (Stage-I).
Company is in the process of complying conditions given in stage-1 forest clearance.
2.35.9 Sale of Iron Ore to Pellet Plant at Kumaraswamy, Karnataka:
Due to restrictions imposed in Karnataka for purchase/sale of iron ore, Pellet Plant is purchasing iron ore fines from
NMDC, DIOM/ KIOM through E-auction conducted by Monitoring Committee. As per the terms of the conditions of
acceptance letter issued by Monitoring committee and as per the guidelines given by Hon’ble Supreme Court of India,
Pellet plant is paying Basic value, Royalty Value and bulk permit fee value to MC and GST amount to NMDC Donimalai
account. After receipt of GST amount from Pellet Plant, DIOM/KIOM is issuing advance receipt confirming the receipt
of GST from Pellet Plant along with necessary statutory Documents to MC in the prescribed format. Based on the
advance receipt issued by DIOM/KIOM, Monitoring Committee is issuing bulk permit to Pellet Plant for lifting of
materials. DIOM/KIOM is raising Tax invoice on Pellet Plant for the dispatched quantity, showing it as sales and also
paying GST to Government.
Simultaneously, Pellet Plant is recognizing the same as purchases and availing input credit. The above procedure is
followed due to Compulsion made by MC as they have denied permission for Pellet Plant to lift the Iron Ore without
participating in auction and accordingly, separate GST registration is also taken as per MC instructions.
However, the entry for un-realized profit on sale of Iron Ore to Pellet Plant is accounted.
2.35.10 Impact due to amendment in MMDR Act :
Govt. of India has amended the MMDR Act 1957 on 28.03.2021 and as per the amended provisions all such
Government companies or corporations whose mining lease has been extended after the commencement of the
MMDR Amendment Act 2015, shall pay such additional amount as specified in the Fifth Schedule of Act for the
mineral produced after the commencement of the MMDR Act 2021. For such Mining Leases of Iron Ore, an additional
amount equivalent to 150% of the Royalty will be payable. The additional amount shall be in addition to royalty or
payment to the District Mineral Foundation (DMF) and National Mineral Exploration Trust (NMET) or any other
statutory payment. This amendment is applicable w.e.f 28.3.2021.
This amendment is applicable to all the Iron Ore Mines of NMDC except Kumarswamy Iron Ore Mines at Karnataka
wherein the lease was extended before the commencement of MMDR Amendment Act 2015.
The impact of this amendment on the Financials of F.Y 2021-22 is ` 5,084.32 crores (PY- ` 149 crores) which is
included under Royalty and other levies.
2.35.11 CSR Expenditure :
a) Gross amount required to be spent by the company during the year is ` 148.15 crore (2% of the last three years
average PBT ` 7407.49 crore), (Previous Year ` 130.00 crore (2% of the last three years average PBT ` 6499.95
crore).
b) Amount spent during the year on account of CSR activities is ` 287.33 crore. (Previous Year ` 158.62 crore)
` in crore
Particular In Cash Yet to be paid in Cash Total
1. Construction/acquisition of any assets - - -
2. On purpose other than (1) above 287.33 - 287.33
a) Shortfall at the end of the year : Nil
b) Total of previous years shortfall : Nil
c) Reason for shortfall : Not Applicable
304 NMDC LIMITED

f) Nature of CSR Activities : Education, Health & Hygiene, Nutrition, Drinking Water, Rural Development, Skill
Development & Income Generation, Promotion of Sports, Protection of Culture & Heritage, Flood Relief &
Natural Calamities, Environment and Others
g) Details of related party transaction – ` 1.62 Crore Grants made in NMDC CSR Foundation by the company in
relation to CSR Expenditure
h) Where a provision is made with respect to a liability incurred by entering a contractual obligation, the movement
in the provision during the year should be shown separately – NIL
2.35.12 TERM Loan:

NMDC Board in its 525th meeting held on 10.12.2019 has accorded approval for borrowing up to a limit of
` 5,000 crores for capex requirements of the company by raising terms loans from Banks/ Financial Institutions
etc., Accordingly, Rupee term Loan facility (RTL) of ` 4476.20 crores was availed from State Bank of India (SBI)
for part funding of Nagarnar Integrated Steel Plant (NISP), at an interest rate fixed at 7.10% p.a till the Date of
Commencement of Commercial Operation and there after 15 bps above the six months MCLR. NMDC, as a security,
has hypothecated the entire Fixed Assets of the Project (NISP) including Plant and Machinery, equitable mortgage
of Land & Building (except forest land) and First charge on the entire cash flows of the NISP. The availability period
of the loan is 6 months from the Date of commencement of Commercial Operation repayable in 30 quarterly
instalments. The common Loan agreement has been entered on 10.06.2021 with SBI for RTL not exceeding ` 4476.20
crore and a drawdown of ` 1144 crores has been made till 31.03.2022 against the loan .
2.35.13 Bill Discounting:
During the year, Company discounted the Trade Receivables with the banks amounting to ` 1236.15 crores ( Previous
year – Nil) with recourse to the Company. In case of any claim on the company from the Banks, entire amount shall be
recovered from the Customers. This is shown under contingent liabilities.
2.35.14 General:
i. The company owns certain office space at New Delhi. It is not the company’s intention to hold the property for a
long term for capital appreciation nor for rental purpose. Hence the same is not treated as Investment Property
and included under PPE.
ii. The goodwill of ` 93.89 crore is tested for impairment and concluded that as the project is still in exploration
stage, it is too early to consider impairment loss on goodwill.
iii. Some of the balances appearing under Trade receivables, Trade payables, advances, Security deposits and other
payables are subject to confirmations.
iv. Figures for the previous year have been regrouped/ rearranged wherever considered necessary so as to confirm
to the classification of the current year.
Note. No. 2.35.15 : Fair Value Measurement
Financial instruments by category
As at March 22 As at March 21
Financial assets
Investments
Trade receivables 2,954.30 2,139.89
Cash and cash equivalents 121.42 464.10
Other bank balances 7,856.87 5,397.72
Loans 40.77 111.70
Other financial assets 608.38 454.23
Total - - 11,581.74 - - 8,567.64

As at March 22 As at March 21
Financial liabilities
Borrowings 1,815.13 1,470.67
Trade payables 967.53 360.78
Other financial liabilities 1,493.85 1,624.65
Total - - 4,278.10 - - 3,457.21
(1) Assets that are not financial assets (such as receivables from statutory authorities, prepaid expenses, advances
paid and certain other receivables) as of 31 March 2022, and 31 March 2021, respectively, are not included.
(2) Other liabilities that are not financial liabilities (such as statutory dues payable, advances from customers and
certain other accruals) as of 31 March 2022, and 31 March 2021, respectively, are not included.
The carrying amounts of above financial assets and liabilties are considered to be same as their fair values, due
to their short-term nature.
Note No: 2.35.16 Financial Risk Management
a) Risk management framework
The Company’s Board of Directors has overall responsibility for the establishment and oversight of the
Company’s risk management framework. The Board of Directors has established the Risk Management
Committee, which is responsible for developing and monitoring the Company’s risk management policies. The
committee reports regularly to the Board of Directors on its activities.
The Company’s risk management policies are established to identify and analyse the risks faced by the
Company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk
management policies and systems are reviewed regularly to reflect changes in market conditions and the
Company’s activities. The Company, through its training and management standards and procedures, aims to
maintain a disciplined and constructive control environment in which all employees understand their roles and
obligations.
The Board of Directors monitors the compliance with the Company’s risk management policies and procedures,
and reviews the adequacy of the risk management framework in relation to the risks faced by the Company.
The Company has exposure to the following risks arising from financial instruments:
Risk Exposure arising from Measurement Management
Ageing analysis
Cash and cash equivalents, Diversification of bank deposits,
Credit risk and Credit
trade receivables, loans credit limits and letters of credit
ratings
Availability of deposits with differing
Borrowings and other Rolling cash maturities & committed borrowing
Liquidity risk
liabilities flow forecasts facilities to facilitate the day today
working capital requirements.
Imports giving rise to
Market risk- currency risk - -
foreign currency payables*
A. Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer
contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities
(primarily trade receivables) and deposits with banks.
(a) Trade receivables
The Company sales are generally based on advance payments and through LC's. The trade receivables in the
books are mainly on account of credit sales to M/s RINL Limited, CPSE under the Ministry of Steel and the Sales
of Iron Ore in the State of Karantaka which is through Montoring Committee (MC) appointed by Hon'ble Supreme
Court of India.
306 NMDC LIMITED

Expected credit loss for trade receivables under simplified approach is detailed as per the below tables
Year ended 31 March 2022 (` In Crore)
2,426.08 402.20 126.02 2,954.30
impairment)
Year ended 31 March 2021 (` In Crore)

1,917.82 100.46 121.60 2,139.89
impairment)
iii. Reconciliation of loss allowance provision - trade receivables (` In Crore)
Loss allowance on 1 April 2020 1,958.15
Loss allowance on 31 March 2021 2,384.43
Loss allowance on 31 March 2022 2,932.14
The impairment provisions for trade receivables disclosed above are based on assumptions about risk of default and
expected loss rates.
(b) Financial instruments and cash deposits
Credit risk from balances with banks is managed by the Company’s treasury department in accordance with
DPE guidelines & Company’s policy. Investments of surplus funds are made only with scheduled commercial
banks having a minimum networth of ` 500 Crore within limits assigned to each bank and Debt based mutual
funds of public sector AMCs. The limits are reviewed by the Company’s Board of Directors on an annual
basis. The limits are set to minimise the concentration of risks and therefore mitigate financial loss through
counterparty’s potential failure to make payments.
B. Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with
its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach
to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities
when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Company’s reputation.
Typically the Company ensures that it has sufficient cash on demand to meet expected operational expenses for
a period of 60 days, including the servicing of financial obligations; this excludes the potential impact of extreme
circumstances that cannot reasonably be predicted, such as natural disasters. In addition, the Company has
taken fund based limits with banks to meet its short term financial obligations.
i. Financing arrangements
The Company has access to the following undrawn borrowing facilities at the end of reporting period
31 March 2022 31 March 2021

Flexible rate
Expiring within one year (bank overdraft and other facilities) 467.00 585.50
Working capital Limits with Banks 1,249.00 635.00

ii. Maturities of financial liabilities
The table below summarises the maturity profile of the Company’s financial liabilities based on contractual
undiscounted payments.
Year ended Less than 3 months to 6 months Between Between 2

On demand Total
31 March 2022 3 months 6 months to 1 year 1and 2 years and 5 years
Borrowings - 1,815.13 - - - - 1,815.13
Trade payables 630.92 128.81 86.14 121.66 - - 967.53
Lease Liability 0.50 0.72 0.37 1.59
Other financial
316.57 185.92 162.67 828.69 - - 1,493.85
liabilities
947.49 2,130.36 249.53 950.72 - - 4,278.10
Year ended Less than 3 months 6 months Between Between 2

On demand Total
31 March 2021 3 months to 6 months to 1 year 1and 2 years and 5 years
Borrowings - 1,448.04 - - - - 1,448.04
Trade payables 537.26 63.32 - - - - 600.58
Other financial
500.99 250.21 236.57 642.10 - - 1,629.87
liabilities
1,038.25 1,761.57 236.57 642.10 - - 3,678.49
C. Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will
affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters, while optimising
the return.
(i) Foreign currency risk
Since majority of the company's operations are being carried out in India and since all the material
balances are denominated in its functional currency, the company does not carry any material exposure to
currency fluctuation risk.
The Company's exposure to foreign currencies is minimal and hence no sensitivity analysis is presented.
(ii) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The company quite often bridges its short term cash flow
mismatch by availing working capital loans from banks against its fixed deposits. Such loans have a very
short tenure and the interest rate on such loans is based upon the rates offered by banks on fixed deposits
, increased by a few basis points. Since the interest rates on fixed deposits are fixed, the company does not
have any interest rate risk on such loans availed on a loan to loan basis.
The Company's exposure to interest rate risk is minimal and hence no sensitivity analysis is presented.
Note No. : 2.35.17 Capital Management
a) Risk management
The primary objective of the Company’s capital management is to maximise the shareholder value. The
Company's objectives when managing the capital are to safeguard their ability to continue as a going concern,
so that they can continue to provide returns for shareholders and benefits for other stakeholders.
The Board’s policy is to maintain a strong capital base so as to maintain investor, creditor and market
confidence and to sustain future development of the business. The Board of Directors and senior management
monitors the return on capital, which the Company defines as result from operating activities divided by total
shareholders’ equity.
308 NMDC LIMITED

b) Dividends (` In Crore)
31 March 2022 31 March 2021
(i) Equity shares
Final dividend for the year ended 31 March 2022 of ` Nil (31 March
- -
2021: NIL) per equity share.
Interim dividend for the year ended 31 March 2021 of ` 14.74
4,319.72 2,274.15
(31 March 2021: ` 7.76) per fully paid share
Particulars 31 March 2022 31 March 2021

Net Debt (excluding short term) (*) 1733.76 0
Total equity 35,000.35 29,897.59
Net debt to equity ratio 0.05 -
(*) Debt inclued NCDs issued for ` 523.80 crore and accrued interest on NCD ` 23.63 crore
2.35.18 Analytical Ratios

The following are analytical ratios for the year ended 31st March 2022
Sl. 31st March 31st March Variance
Particualrs Numenators Denominators
No. 2022 2021 (in %)
Current
1 Current Ratio Current Assets 2.28 1.96 16.33
Libilities
Debt - Equity Shareholder's
2 Total Debt 0.10 0.07 42.86
Ratio (*1) Equity
Debt Service Earnings Available for
3 Debt Services 2.70 3.18 (15.09)
Coverage Ratio Debt services
(Net Profit After Tax - Average
Return on Equity
4 Preferance Dividend (if Shareholder's 0.29 0.22 31.82
(ROE) (*2)
any)) Fund
Inventory Cost of Goods sold or Average
5 19.52 23.10 (15.50)
Turnover Ratio Sales Inventory
Trade
Avg. Accounts
6 receivables Net Credit Sales 10.16 7.04 44.32
Receivables
turnover ratio
Trade Payable Average Trade
7 Net Credit Purchases 1.46 1.23 18.70
Turnover Ratio Payables
Net Capital
8 Net Sales Working Capital 2.92 2.96 (1.35)
Turover Ratio
9 Net Profit ratio Net Profit Net Sales 0.36 0.41 (12.20)
Return on
Earning before interest Capital
10 Capital employed 0.35 0.29 20.69
and taxes employed
(ROCE)
Return on
11 investment (ROI)
(*3)
Time weighted
Income Generated from
Unquoted average - -
Investments
investments
Time weighted
Income Generated from
Quoted average - -
Investments
investments
(*1) 1) Increase in Long term Borrowings :- Trust & Retention Accounts to ` 1144 crore ( P.Y Nil)
2) Increase in Short term Borrowings :- OD on FD ` 1815 crore ( P.Y ` 1471 crore)
(*2) Increase in Net profit of the company by 51% over the previous year
(*3) Only Long term investment are considered

Notice
Notice is hereby given to the Members of NMDC Limited 3. To appoint a Director in place of Shri Sumit Deb
that the 64th Annual General Meeting (AGM) of the (DIN: 08547819), who retires by rotation and being
Company will be held on Monday the 29th August 2022 at eligible, offers himself for re-appointment and
11.30 (A.M.) hours IST through video conferencing (“VC”) in this regard to consider and if thought fit, to
/ Other Audio Visual Means (“OAVM”) to transact the pass, with or without modification(s) the following
following business: resolution as an Ordinary Resolution:
The proceedings of the AGM shall be deemed to be “RESOLVED THAT pursuant to the provisions
conducted at the Registered Office of the Company which of Section 152 and other applicable provisions
shall be the deemed Venue of the AGM. of the Companies Act, 2013, Shri Sumit Deb
(DIN: 08547819), who retires by rotation at this
A. ORDINARY BUSINESS:
meeting and being eligible offers himself for
1. To receive, consider and adopt (a) the Audited re-appointment, be and is hereby re-appointed
Standalone Financial Statements of the Company as Director of the Company, liable to retire by
for the financial year ended 31st March 2022 rotation.”
together with the reports of the Board of Directors’,
4. To authorize the Board of Directors for fixing the
Statutory Auditor and Comptroller and Auditor
remuneration of Statutory Auditors for the financial
General of India thereon; and (b) the Audited
year 2022-23.
Consolidated Financial Statements of the Company
for the financial year ended 31st March 2022 In terms of the Section 139 read with Section 142
together with the reports of Statutory Auditor and of the Companies Act, 2013, the remuneration
Comptroller and Auditor General of India thereon of Auditors of Government Companies, who are
and in this regard to consider and if thought fit, to appointed by the Comptroller and Auditor-General
pass, with or without modification(s) the following of India, shall be fixed by the Company in General
resolutions as an Ordinary Resolutions: Meeting or in such manner as the Company in
General Meeting may determine. Hence, it is
(a) “RESOLVED THAT the Audited Standalone Financial
proposed that the Members may authorize the
Statements of the Company for the financial year
Board of Directors for fixing the remuneration
ended 31st March 2022 together with the reports
of the Statutory Auditors of the Company for
of the Board of Directors’, Statutory Auditor and
the financial year 2022-23, and in this regard to
Comptroller and Auditor General of India thereon
consider and if thought fit, to pass, with or without
as circulated to the Members be and are hereby
modification(s) the following resolution as an
considered and adopted.”
Ordinary Resolution:
(b) “RESOLVED THAT the Audited Consolidated
“RESOLVED THAT pursuant Section 139, 142 and
Financial Statements of the Company for the
other applicable provisions of the Companies Act,
financial year ended 31st March 2022 together with
2013, the Board of Directors of the Company be
the reports of Statutory Auditor and Comptroller
and are hereby authorized to determine and fix the
and Auditor General of India thereon as circulated
remuneration, including out-of-pocket expenses,
to the Members be and are hereby considered and
if any, of the Statutory Auditors of the Company,
adopted.”
as may be appointed by the Comptroller and
2. To approve and ratify the payment of interim Auditor General of India, and as per the terms and
Dividend of ` 9.01ps. and second interim Dividend conditions of their appointment, for the Financial
of ` 5.73ps. per equity share of ` 1.00 each already Year 2022-23.”
paid for the financial year 2021-22 and in this
B. SPECIAL BUSINESS:
regard to consider and if thought fit, to pass, with
or without modification(s) the following resolution 5. To appoint Shri Dilip Kumar Mohanty (DIN:
as an Ordinary Resolution: 09296720) as Director (Production) of the Company
and in this regard to consider and if thought fit, to
“RESOLVED THAT pursuant to the recommendation
pass, with or without modification(s) the following
of the Board of Directors, Interim dividend of ` 9.01
resolution as an Ordinary Resolution:
ps. and second interim Dividend of ` 5.73 ps. per
equity share of ` 1.00 each, already paid for the “RESOLVED THAT Shri Dilip Kumar Mohanty
financial year 2021-22, be and is hereby approved (DIN: 09296720) who was appointed as Director
and ratified.” (Production) of the Company, in terms of Ministry
310 NMDC LIMITED

of Steel, Government of India Order No. 3/1/2020- be and is hereby appointed as an Independent
BLA dated 5th October 2021, from the date of his Director of the Company pursuant to the provisions
assumption of charge of the post i.e., 5th October of Sections 149, 152 read with Schedule IV and
2021, till the date of his superannuation (30th other applicable provisions of the Act and the
June 2024), or until further orders, whichever is Rules framed thereunder (including any statutory
earlier, and subsequently who was appointed by modification(s) or re-enactment thereof for the
the Board of Directors as an Additional Director time being in force) and Securities and Exchange
to hold the post of Director (Production) of the Board of India (Listing Obligations and Disclosure
Company and who holds office up to the date of Requirements) Regulations, 2015, as amended
this Annual General Meeting in terms of Section from time to time, and is not liable to retire by
161 of the Companies Act, 2013 (the Act) and rotation.”
the Articles of Association of the Company and
“RESOLVED FURTHER THAT the Board of Directors
in respect of whom the Company has received
of the Company be and are hereby authorized to do
a notice in writing under Section 160 of the
all acts, deeds, things, matters and take all such
Companies Act, 2013 from a member signifying his
steps as may be necessary, proper or expedient to
intention to propose Shri Dilip Kumar Mohanty as
give effect to this resolution.”
a candidature for the office of Director, be and is
hereby appointed as Director (Production) of the 7. To appoint Dr. Anil Sadashivrao Kamble (DIN:
Company pursuant to the provisions of Section 152 07528586) as an Independent Director of the
and other applicable provisions of the Act and the Company and in this regard to consider and if
Rules framed thereunder (including any statutory thought fit, to pass, with or without modification(s)
modification(s) or re-enactment thereof for the the following resolution as a Special Resolution:
time being in force) on the terms and conditions as
“RESOLVED THAT Dr. Anil Sadashivrao Kamble
fixed by Government of India, and is liable to retire
(DIN: 07528586), who was appointed as Non-Official
by rotation.”
Independent Director of the Company, vide Ministry
“RESOLVED FURTHER THAT the Board of Directors of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated
of the Company be and are hereby authorized to do 1st November 2021 for a period of three years from
all acts, deeds, things, matters and take all such the date of notification of his appointment or until
steps as may be necessary, proper or expedient to orders of Govt. of India, whichever is earlier, and
give effect to this resolution.” subsequently who was appointed by the Board
of Directors as an Additional Director and Non-
6. To appoint Shri Sanjay Tandon (DIN: 00484699) as
Official Independent Director of the Company w.e.f.
an Independent Director of the Company and in this
1st November 2021, and who holds office up to the
date of this Annual General Meeting in terms of
or without modification(s) the following resolution
Section 161 of the Companies Act, 2013 (the Act)
as a Special Resolution:
and the Articles of Association of the Company
“RESOLVED THAT Shri Sanjay Tandon (DIN: and who meets the criteria of independence as
00484699), who was appointed as Non-Official provided under Section 149(6) of the Act and in
Independent Director of the Company, vide Ministry respect of whom the Company has received a
of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated notice in writing under Section 160 of the Act from
1st November 2021 for a period of three years from a member signifying his intention to propose Dr.
the date of notification of his appointment or until Anil Sadashivrao Kamble as a candidate for the
orders of Govt. of India, whichever is earlier, and office of Director, be and is hereby appointed as
subsequently who was appointed by the Board of an Independent Director of the Company pursuant
Directors as an Additional Director and Non-Official to the provisions of Sections 149, 152 read with
Independent Director of the Company w.e.f. 1st Schedule IV and other applicable provisions of the
November 2021, and who holds office up to the date Act and the Rules framed thereunder (including
of this Annual General Meeting in terms of Section any statutory modification(s) or re-enactment
161 of the Companies Act, 2013 (the Act) and the thereof for the time being in force) and Securities
Articles of Association of the Company and who and Exchange Board of India (Listing Obligations
meets the criteria of independence as provided and Disclosure Requirements) Regulations, 2015,
under Section 149(6) of the Act and in respect of as amended from time to time, and is not liable to
whom the Company has received a notice in writing retire by rotation.”
under Section 160 of the Act from a member
signifying his intention to propose Shri Sanjay
Tandon as a candidate for the office of Director,

all acts, deeds, things, matters and take all such the date of notification of his appointment or until
steps as may be necessary, proper or expedient to orders of Govt. of India, whichever is earlier, and
give effect to this resolution.” subsequently who was appointed by the Board of
Directors as an Additional Director and Non-Official
8. To appoint Shri Vishal Babber (DIN: 09344150) as
Independent Director of the Company w.e.f. 29th
an Independent Director of the Company and in this
December 2021, and who holds office up to the date
of this Annual General Meeting in terms of Section
161 of the Companies Act, 2013 (the Act) and the
Articles of Association of the Company and who
“RESOLVED THAT Shri Vishal Babber (DIN: meets the criteria of independence as provided
09344150), who was appointed as Non-Official under Section 149(6) of the Act and in respect of
Independent Director of the Company, vide Ministry whom the Company has received a notice in writing
of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated under Section 160 of the Act from a member
1st November 2021 for a period of three years from signifying his intention to propose Shri Sanjay Singh
the date of notification of his appointment or until as a candidate for the office of Director, be and is
orders of Govt. of India, whichever is earlier, and hereby appointed as an Independent Director of the
subsequently who was appointed by the Board of Company pursuant to the provisions of Sections
Directors as an Additional Director and Non-Official 149, 152 read with Schedule IV and other applicable
Independent Director of the Company w.e.f. 1st provisions of the Act and the Rules framed
November 2021, and who holds office up to the date thereunder (including any statutory modification(s)
of this Annual General Meeting in terms of Section or re-enactment thereof for the time being in
161 of the Companies Act, 2013 (the Act) and the force) and Securities and Exchange Board of India
Articles of Association of the Company and who (Listing Obligations and Disclosure Requirements)
meets the criteria of independence as provided Regulations, 2015, as amended from time to time,
under Section 149(6) of the Act and in respect of and is not liable to retire by rotation.”
whom the Company has received a notice in writing
under Section 160 of the Act from a member
signifying his intention to propose Shri Vishal
Babber as a candidate for the office of Director,
be and is hereby appointed as an Independent
Director of the Company pursuant to the provisions
of Sections 149, 152 read with Schedule IV and 10. To ratify the remuneration of the Cost Auditors
other applicable provisions of the Act and the of the Company for the financial year 2022-23
Rules framed thereunder (including any statutory and in this regard to consider and if thought fit to
modification(s) or re-enactment thereof for the pass with or without modification(s) the following
time being in force) and Securities and Exchange resolution as an Ordinary Resolution:
Board of India (Listing Obligations and Disclosure
“RESOLVED THAT pursuant to the provisions of
Requirements) Regulations, 2015, as amended
Section 148 and other applicable provisions, if any,
from time to time, and is not liable to retire by
of the Companies Act, 2013 and the Companies
rotation.”
(Audit and Auditors) Rules, 2014 (including
“RESOLVED FURTHER THAT the Board of Directors any statutory modification(s) or re-enactment
of the Company be and are hereby authorized to do thereof, for the time being in force), the Company
all acts, deeds, things, matters and take all such hereby ratifies the remuneration of ` 6.00 lakhs
steps as may be necessary, proper or expedient to (excluding travelling, out-of-pocket expenses
give effect to this resolution.” plus GST) payable to M/s B. Mukhopadhyay & Co.,
Cost Accountants, having office at 3E Aparupa
9. To appoint Shri Sanjay Singh (DIN: 09347257) as an
Apartment, No. 2 G.B. Dutta Road, Sodepur, Kolkata
Independent Director of the Company and in this
– 700110, West Bengal, appointed as the Cost
Auditors by the Board of Directors of the Company
for conducting the audit of the cost records of the
Company and providing Cost Audit Report, and all
“RESOLVED THAT Shri Sanjay Singh (DIN: such reports, annexures, records, documents etc.,
09347257), who was appointed as Non-Official for the financial year 2022-23, that may be required
Independent Director of the Company, vide Ministry to be prepared and submitted by the Cost Auditors
of Steel Order No.1/10/2015-BLA (Vol-V) dated 29th under applicable statute.”
December 2021 for a period of three years from
312 NMDC LIMITED

of the Company be and is hereby authorized to do
By Order of the Board
A.S. Pardha Saradhi

ED (Company Secretary)
Membership No: FCS 10808
Place: New Delhi

Date: 27th June 2022
Copy to:
1. All Members
2. All Directors
3. Auditors
Enclosures:
1. Notes to Notice.
2. An Explanatory Statement pursuant to Section 102
of the Companies Act, 2013 in respect of Special
Business to be transacted at the Meeting.
3. A copy of the 64th Annual Report of the Company for
the year 2021-22.

NOTES TO NOTICE: etc. with attested specimen signature of the duly
authorized signatory(ies) who are authorised
1. In view of the ongoing Covid-19 pandemic, the
to vote, to attend the AGM through VC/OAVM
Ministry of Corporate Affairs (“MCA”) has, vide
and to vote on their behalf. The said resolution/
its General Circular No. 02/2022 dated 5th May
authorisation letter shall be sent to the Scrutinizer
2022 read with other previous MCA General
by e-mail through its registered email address to
Circulars No. 02/2021 dated 13th January 2021,
dhr300@gmail.com with a copy marked to
No. 20/2020 dated 5th May 2020, No. 17/2020 dated
evoting@nsdl.co.in. Institutional investors are
13th April 2020 and No. 14/2020 dated 8th April
encouraged to attend and vote at the meeting
2020 (collectively referred to as “MCA Circulars”),
through VC/OAVM.
permitted Companies to hold Annual General
Meeting (“AGM”) through video conferencing (“VC”) 5. Explanatory Statement pursuant to Section 102
/ Other Audio Visual Means (“OAVM”), without of the Companies Act, 2013 in respect of Special
physical presence of the Members at a common Businesses, as set out above is annexed hereto. All
venue subject to compliance of various conditions documents referred to in the accompanying Notice
mentioned therein. In compliance with the MCA and the Explanatory Statement shall be available
Circulars, applicable provisions of the Companies for inspection electronically. Members seeking to
Act, 2013 (“Act”), and SEBI (Listing Obligations and inspect such documents can send an email to
Disclosure Requirements) Regulations, 2015 (“SEBI cs@nmdc.co.in
Listing Regulations”), the 64th AGM of the Company
6. Details of the Directors seeking appointment /
is being held through VC / OAVM. The proceedings
re-appointment at the 64th AGM as mandated under
of the 64th AGM will be deemed to be conducted
Regulation 36(3) of SEBI (Listing Obligations and
at the Registered Office of the Company at 10-3-
Disclosure Requirements) Regulations, 2015 is
311/A, Khanij Bhavan, Castle Hills, Masab Tank,
annexed hereto and forms part of the Notice.
Hyderabad - 500028, Telangana, which shall be
deemed venue of the AGM. 7. The Register of Members and Share Transfer
Books of the Company will remain closed from
2. As per the Companies Act, 2013, a Member entitled
24th August 2022 to 29th August 2022 (both days
to attend and vote at the meeting is entitled
inclusive).
to appoint a proxy to attend and vote on a poll
instead of himself/herself and, a proxy need not 8. For the financial year 2021-22, the Company
be a member of the Company. Since this AGM is declared and paid interim dividend @ ` 9.01 ps. per
being held pursuant to the MCA Circulars through equity share of ` 1.00 each (amounting to
VC / OAVM, physical attendance of Members has ` 2640.48 crores) and second interim Dividend of
been dispensed with. Accordingly, the facility for ` 5.73 ps. per equity share of ` 1.00 each
appointment of proxies by the Members will not be (amounting to ` 1679.24 crores) total aggregating
available for the AGM and hence the Proxy Form to ` 4319.72 crores.
and Attendance Slip are not annexed to this Notice.
9. Members will be provided with a facility to attend
3. In compliance with the aforesaid MCA Circulars the AGM through VC/OAVM through the NSDL
and SEBI Circular dated 13th May 2022, Notice of e-Voting system or view the live webcast of AGM
the AGM along with the Annual Report 2021-22 is provided by NSDL at https://www.evoting.nsdl.
being sent only through electronic mode to those com. Members may access by following the steps
Members whose email addresses are registered mentioned for Access to NSDL e-Voting system.
with the Company/ Depositories, unless any After successful login, you can see link of “VC/
Member has requested for a physical copy of the OAVM” placed under “Join Meeting” menu against
same. Members may note that the 64th AGM Notice Company name. You are requested to click on VC/
and Annual Report 2021-22 has been uploaded OAVM link placed under Join Meeting menu. The
on the website of the Company: www.nmdc.co.in, link for VC/OAVM will be available in Shareholder/
and can also be accessed from the websites of the Member login where the EVEN of Company will be
Stock Exchanges i.e. BSE Limited and National displayed. Please note that the members who do
Stock Exchange of India Limited at www.bseindia. not have the User ID and Password for e-Voting
com and www.nseindia.com respectively, and is or have forgotten the User ID and Password may
also available on the website of NSDL - www. retrieve the same by following the remote e-Voting
evoting.nsdl.com. instructions mentioned in the notice to avoid last
minute rush.
4. Institutional / corporate shareholders (i.e. other
than individuals, HUF, NRI etc.) are required to 10. Members holding shares in electronic form may
send scanned copy (PDF/JPG Format) of the please note that the bank account details and MICR
relevant Board Resolution/ Authorisation letter Code of their Bankers, as noted in the records of
314 NMDC LIMITED

their Depository, shall be used for the purpose of form are, therefore, requested to submit their PAN
remittance of dividend through Electronic Clearing to their Depository Participants with whom they
Service (ECS), or for printing on dividend warrants are maintaining their demat accounts. Members
wherever applicable. Members are requested holding shares in physical form can submit their
to intimate changes, if any, pertaining to their PAN details to the Company or to the Registrar and
name, registered postal address, email address, Share Transfer Agent.
telephone/ mobile numbers, Permanent Account
15. Members who have not registered their e-mail
Number (PAN), mandates, nominations, power of
address are requested to register the same in
attorney, bank details such as, name of the bank
respect of shares held in electronic form with the
and branch details, type of the bank and account
Depository through their Depository Participant(s)
number in which they wish to receive the dividend,
and in respect of shares held in physical form
MICR code, IFSC code, etc., to their Depository
by writing to the Company’s Registrar and Share
Participants in case the shares are held by them in
Transfer Agent, M/s Aarthi Consultants Pvt Ltd.,
electronic form. Members who are holding shares
D.No. 1-2-285, Domalguda, Hyderabad - 500
in physical form are requested to intimate changes
029. Phone Nos. 040-27638111/27634445, Fax
in the prescribed Form ISR-1 and other forms
No. 040-27632184, Email: ims@nmdc.co.in,
pursuant to SEBI Circular No. SEBI/HO/MIRSD/
info@aarthiconsultants.com, Website: www.
MIRSD_RTAMB/P/CIR/2021/655 dated November
aarthiconsultants.com.
3, 2021 to M/s Aarthi Consultants Private Ltd., the
Registrar and Share Transfer Agent, D.No. 1-2-285, 16. Members can join the AGM in the VC/OAVM mode
Domalguda, Hyderabad - 500 029. Phone Nos. 040- 15 minutes before and after the scheduled time
27638111/27634445, Fax No. 040-27632184, Email: of the commencement of the Meeting by following
ims@nmdc.co.in, info@aarthiconsultants.com, the procedure mentioned in the Notice. The
Website: www.aarthiconsultants.com. Investors facility of participation at the AGM through VC/
service request forms are uploaded on the website OAVM will be made available for 1000 members on
of the Company under Investors section under first come first served basis. This will not include
dividend and shares - FAQs for Investors. large Shareholders (Shareholders holding 2%
or more shareholding), Promoters, Institutional
11. To prevent fraudulent transactions, Members are
Investors, Directors, Key Managerial Personnel, the
advised to exercise due diligence and notify the
Chairpersons of the Audit Committee, Nomination
Company of any change in address or demise of
and Remuneration Committee and Stakeholders
any Member as soon as possible. Members are
Relationship Committee, Auditors etc. who are
also advised to not leave their demat account(s)
allowed to attend the AGM without restriction on
dormant for long. Periodic statement of holdings
account of first come first served basis.
should be obtained from the concerned Depository
Participant and holdings should be verified from 17. Members attending the AGM through VC / OAVM
time to time. shall be counted for the purpose of reckoning the
quorum under Section 103 of the Companies Act,
12. Members are requested to address all
2013.
correspondence relating to divestment of
33,22,43,200 equity shares of the Company made 18. Voting rights of members shall be in proportion to
by Government of India in the month of March, their shares in the paid-up equity share capital of
2010 to the Registrars to the Issue, M/s KFin the Company as on the cut-off date i.e., 23rd August
Technologies Limited (Karvy Computershare Pvt., 2022.
Ltd.,) Karvy Selenium, Tower- B, Plot No. 31 & 32,
19. Any person holding shares in physical form and
Financial district, Nanakramguda, Serilingampally,
non-individual shareholders, who acquires shares
Hyderabad - 500032, Telangana, Tel: 040-
of the Company and becomes member of the
67161500, Fax: 040- 23001153, Email: nmdc.ipo@
Company after the notice is sent through e-mail
karvy.com/ einward.ris@kfintech.com Website:
and holding shares as of the cut-off date i.e., 23rd
www.kfintech.com.
August 2022, may obtain the login ID and password
13. The Company has designated an exclusive e-mail by sending a request at evoting@nsdl.co.in or to
ID: ims@nmdc.co.in for redressal of shareholders’/ RTA. However, if you are already registered with
investors’ complaints/grievances. In case you have NSDL for remote e-voting, then you can use your
any queries/complaints or grievances, then please existing user ID and password for casting your vote.
write to us at the above e-mail address. If you forgot your password, you can reset your
password by using “Forgot User Details/Password”
14. Securities and Exchange Board of India (SEBI) has
or “Physical User Reset Password” option available
mandated the submission of Permanent Account
on www.evoting.nsdl.com or call on toll free no.
Number (PAN) by every participant in securities
1800 1020 990 and 1800 22 44 30. In case of
market. Members holding shares in electronic

Individual Shareholders holding securities in demat claimed for seven consecutive years or more shall
mode who acquires shares of the Company and be transferred by the Company in the name of
becomes a Member of the Company after sending Investor Education and Protection Fund along with
of the Notice and holding shares as of the cut- a statement containing such details as prescribed
off date i.e., 23rd August 2022 may follow steps in the Investor Education and Protection Fund
mentioned in the Notice of the AGM under “Access Authority (Accounting, Audit, Transfer and Refund)
to NSDL e-Voting system”. Rules, 2016. Accordingly, your Company has
transferred the shares in respect of which dividend
20. Members who have cast their vote by remote
has not been paid or claimed for seven consecutive
e-voting prior to the AGM may also attend/
years or more to Investor Education and Protection
participate in the AGM through VC / OAVM but shall
Fund.
not be entitled to cast their vote again.
25. Members, whose unclaimed dividends/shares have
21. The Company has provided the facility to Members
been transferred to IEPF, are entitled to claim the
to exercise their right to vote by electronic means
same by submitting an online application to the
both through remote e-voting and casting through
IEPF Authority in Form No. IEPF-5 available on
e-voting system during the AGM. The process
www.iepf.gov.in and sending a physical copy of the
of remote e-voting with necessary user id and
same duly signed to the Company along with the
password is given in the subsequent paragraphs.
requisite documents enumerated in Form IEPF-
Such remote e-voting facility is in addition to voting
5. The Company Secretary of the Company is the
that will take place at the 64th AGM being held
Nodal Officer for the purpose of coordination with
through VC/OAVM.
IEPF Authority. Further details are available on the
22. To support the ‘Green initiative’, Members are website of the Company (www.nmdc.co.in) under
requested to register their e-mail address and “Investors” section. The attention of Members is
changes therein from time to time with their particularly drawn to the Corporate Governance
respective Depository Participant or the Company’s Report forming part of the Annual Report 2021-
Registrar and Share Transfer Agent for service of 22 in respect of unpaid/unclaimed dividends and
documents, notices, annual reports etc. through transfer of dividends/shares to the IEPF.
registered e-mail.
26. Members desirous of obtaining any information/
23. Pursuant to Sections 124 and 125 of the Companies clarification(s) concerning the accounts and
Act, 2013, dividends which had remained unpaid operations of the Company may send their
or unclaimed for a period of seven years from the questions in advance at least 10 days before the
date of transfer to the Unpaid Dividend Account of a date of the Meeting, mentioning their name demat
company will have to be transferred to the ‘Investor account number/folio number, email id, mobile
Education and Protection Fund’ established by the number, to the Company Secretary through email:
Central Government. Shareholders who have not cs@nmdc.co.in. The same will be replied by the
claimed their dividend/s so far for various years Company suitably by email.
are requested to make their claim to M/s Aarthi
27. Pursuant to the provisions of Section 136 of the
Consultants Pvt. Limited, Hyderabad, Registrar
Act, the financial statements of the Company,
and Share Transfer Agent of the Company. The
consolidated financial statements along with
unclaimed/unpaid dividends declared up to
relevant documents and separate audited financial
financial years 2014-15 (1st and 2nd interim) have
statements in respect of subsidiaries, are available
been transferred to the Investor Education and
on the website of the Company under the head
Protection Fund (IEPF). Pursuant to the provisions
“Investors”.
of Investor Education and Protection Fund Authority
(Accounting, Audit, Transfer and Refund) Rules, 28. Members who have not en-cashed their dividend
2016, the Company has uploaded the details of warrants within its validity period are requested
unclaimed/ unpaid amounts lying with the Company to either correspond with the Company at its
as on 30th September 2021 (date of previous AGM) Registered Office or M/s Aarthi Consultants Private
on the website of the Company (www.nmdc.co.in) Ltd., Registrar and Share Transfer Agent of the
under “Investors” section, and also on the website Company, for revalidation and encashment before
of the Ministry of Corporate Affairs, the information due dates.
in respect of such unclaimed/unpaid dividend.
29. In terms of provisions of the Companies Act,
24. Pursuant to the provisions of Sections 124(6) of 2013, nomination facility is available to individual
the Companies Act, 2013 and Investor Education shareholders. Members holding shares in physical
and Protection Fund Authority (Accounting, Audit, form may nominate a person in respect of all the
Transfer and Refund) Rules, 2016, all shares in shares held by them whether singly or jointly.
respect of which dividend has not been paid or Members who hold shares on individual name
316 NMDC LIMITED

are advised to avail of the nomination facility in form only while processing service requests viz.
Form SH-13 in their own interest. Blank form can Issue of duplicate securities certificate; claim
be obtained from M/s Aarthi Consultants Private from Unclaimed Suspense Account; Renewal/
Ltd., on request. If a member desires to opt out or Exchange of securities certificate; Endorsement;
cancel the earlier nomination and record a fresh Sub-division/Splitting of securities certificate;
nomination, he/ she may submit the same in Form Consolidation of securities certificates/folios;
ISR-3 or SH-14 as the case may be. The said forms Transmission and Transposition. Accordingly,
can be downloaded from the Company’s website Shareholders are requested to make service
under Investors section under dividend and shares requests by submitting a duly filled and signed
- FAQs for Investors. Members holding shares in Form ISR–4, the format of which is available on
dematerialized form may contact their respective the Company’s website under Investors section –
DPs for registration of nomination. Dividend and Shares – FAQs for Investors and on
the website of the Company’s RTA at https://www.
30. Members holding shares in physical form in
aarthiconsultants.com/. It may be noted that any
multiple folios in identical order of names are
service request can be processed only after the
requested to send the details of such folios
folio is KYC compliant.
together with their share certificates along with the
requisite KYC Documents to Company’s Registrar 35. SEBI vide its notification dated January 24, 2022
and Share Transfer Agent, M/s Aarthi Consultants has mandated that all requests for transfer of
Private Ltd., for consolidation. A consolidated share securities including transmission and transposition
certificate will be issued to such Members after requests shall be processed only in dematerialized
making requisite changes. form. In view of the same and to eliminate all
risks associated with physical shares and avail
31. In case of joint holders, Member whose name
various benefits of dematerialisation, Members are
appears as the first holder in the order of names as
advised to dematerialise the shares held by them in
per the Register of Members of the Company will
physical form. Members can contact the Company
be entitled to vote at the AGM.
or RTA, for assistance in this regard.
32. In accordance with proviso to Regulation 40(1) of
36. Members may note that the Income Tax Act, 1961,
Securities and Exchange Board of India (Listing
(“the IT Act”) as amended by the Finance Act, 2020,
mandates that dividends paid or distributed by a
Regulations, 2015, securities of listed companies
Company after 1st April 2020 shall be taxable in the
can be transferred only in dematerialized form with
hands of members. The Company shall therefore
effect from 1st April 2019, except in case of request
be required to deduct tax at source (TDS) at the
received for transmission or transposition of
time of making the payment of final dividend. In
securities. Accordingly, shareholders holding equity
order to enable us to determine the appropriate
shares in physical form are urged to have their
TDS rate as applicable, members are requested to
shares dematerialized so as to be able to freely
submit the following documents in accordance with
transfer them and participate in corporate actions.
the provisions of the IT Act.
RTA has stopped accepting any fresh lodgement of
transfer of shares in physical form. For resident shareholders, taxes shall be deducted
at source under Section 194 of the IT Act as follows:
33. The Company has sent individual letters to all
the Members holding shares of the Company in Members having valid PAN: 10% or as notified by
physical form for furnishing their PAN, KYC details the Government of India
and Nomination pursuant to SEBI Circular No.
Members not having PAN / valid PAN: 20% or as
SEBI/HO/MIRSD/MIRSD_RTAMB/P/CIR/2021/655
notified by the Government of India
dated November 3, 2021 in Form ISR-1. The
Form ISR-1 is also available on the website of However, no tax shall be deducted on the dividend
the Company under Investors section – Dividend payable to a resident individual if the total dividend
and Shares – FAQs for Investors and on the to be received by them during Financial Year
website of the Company’s RTA at https://www. does not exceed ` 5,000 and also in cases where
aarthiconsultants.com/. Attention of the Members members provide Form 15G / Form 15H (applicable
holding shares of the Company in physical form to individuals aged 60 years or more) subject
is invited to go through and submit the said Form to conditions specified in the IT Act. Resident
ISR–1. shareholders may also submit any other document
as prescribed under the IT Act to claim a lower
34. Members may please note that SEBI vide its
/ Nil withholding tax. PAN is mandatory for
Circular No. SEBI/HO/MIRSD/MIRSD_RTAMB/P/
members providing Form 15G / 15H or any other
CIR/2022/8 dated January 25, 2022 has mandated
document as mentioned above.
the Listed Companies to issue securities in demat

For non-resident shareholders, taxes are documents can send an email to cs@nmdc.co.in.
required to be withheld in accordance with the
a. Register of Directors and Key Management
provisions of Section 195 and other applicable
Personnel and their shareholding
sections of the IT Act, at the rates in force. The
withholding tax shall be at the rate of 20% (plus b. Register of Contracts or Arrangements in
applicable surcharge and cess) or as notified which Directors are interested
by the Government of India on the amount of
c. All the documents referred to in the
dividend payable. However, as per Section 90
accompanying notice or explanatory
of the IT Act, non-resident shareholders have
statement.
the option to be governed by the provisions
of the Double Tax Avoidance Agreement (DTAA) 40. NMDC, being a Government Company, all the
between India and the country of tax residence of the appointments to the Board and terms and
member, if they are more beneficial to them. For this conditions thereto are fixed by the Government of
purpose, i.e. to avail the benefits under the DTAA, India.
non-resident shareholders will have to provide the
following: 41. The details of remuneration / sitting fees paid to
Board Members have been given in Corporate
· Copy of the PAN card allotted by the Indian Governance Report.
Income Tax authorities duly attested by the
member 42. None of the Directors have any relationship
with other Directors, Manager(s) and other Key
· Copy of Tax Residency Certificate (TRC) for the Managerial Personnel of the Company.
FY in which dividend is received, obtained from
the revenue authorities of the country of tax 43. Voting through electronic means (Remote e-voting)
residence, duly attested by member I. Pursuant to the provisions of Section 108
· Self-declaration in Form 10F and other applicable provisions, if any, of the
Companies Act, 2013 and the Companies
· Self-declaration by the shareholder of having (Management and Administration) Rules,
no permanent establishment in India in 2014, as amended from time to time and
accordance with the applicable tax treaty Regulation 44 of SEBI (Listing Obligations and
Disclosure Requirements) Regulations, 2015
· Self-declaration of beneficial ownership by
and its amendments, and the Circulars issued
the non-resident shareholder
by the Ministry of Corporate Affairs dated 5th
· Any other documents as prescribed under May 2022, 13th January 2021, 8th April 2020,
the IT Act for lower withholding of taxes if 13th April 2020 and 5th May 2020, the Company
applicable, duly attested by member is providing facility of remote e-voting to its
Members in respect of the business to be
In case of Foreign Institutional Investors, Foreign
transacted at the AGM. For this purpose, the
Portfolio Investors, tax will be deducted under
Company has appointed National Securities
Section 196D of the IT Act @ 20% (plus applicable
Depository Limited (NSDL) for facilitating
surcharge and cess).
voting through electronic means, as the
37. Pursuant to Section 139 read with Section 142 authorized agency. The facility of casting
of the Companies Act, 2013, the Auditors of votes by a member using remote e-voting
a Government Company are appointed or re- system as well as voting during AGM will be
appointed by the Comptroller and Auditor General provided by NSDL.
(C&AG) of India. However, the remuneration of
II. Members, who will be present in the AGM
auditors shall be fixed by the Company in the
through VC / OAVM facility and have not cast
Annual General Meeting. Members may authorise
their vote on the Resolutions through remote
the Board to fix up an appropriate remuneration
e-voting and are otherwise not barred from
of Auditors for the financial year 2022-23 after
doing so, shall be eligible to vote through
taking into consideration including change, if any, in
e-voting system during the AGM.
statutory requirements, increase in volume of work
and change in inflation index. III. The remote e-voting period begins on Friday
the 26th August 2022 (10.00 a.m. IST) and ends
38. Since the AGM will be held through VC / OAVM, the
on Sunday the 28th August 2022 (5.00 p.m.
Route Map is not required and hence not annexed
IST). The voting rights of the Shareholders
to this Notice.
shall be proportionate to the shares held in
39. The following documents will be available for the Company as on the cut-off date i.e., 23rd
inspection by the Members electronically during August 2022. During this period members
the 64th AGM. Members seeking to inspect such of the Company, holding shares either in
318 NMDC LIMITED

physical form or in dematerialized form, 2. If you are not registered for IDeAS
as on the cut-off date of 23rd August 2022 e-Services, option to register is
may cast their vote by remote e-voting. The available at https://eservices.nsdl.
remote e-voting module shall be disabled com. Select “Register Online for
by NSDL for voting thereafter. Once the vote IDeAS Portal” or click at https://
on a resolution is cast by the member, the eservices.nsdl.com/SecureWeb/
member shall not be allowed to change it IdeasDirectReg.jsp
subsequently.
3. Visit the e-Voting website of NSDL.
IV. The instructions for shareholders for remote Open web browser by typing the
e-voting and joining General Meeting are as following URL: https://www.evoting.
under: nsdl.com/ either on a Personal
The way to vote electronically on NSDL e-Voting Computer or on a mobile. Once
system consists of “Two Steps” which are the home page of e-Voting system
mentioned below: is launched, click on the icon
“Login” which is available under
Step 1: Access to NSDL e-Voting system ‘Shareholder/Member’ section.
A) LOGIN METHOD FOR E-VOTING AND JOINING A new screen will open. You will
VIRTUAL MEETING for Individual shareholders have to enter your User ID (i.e. your
holding securities in demat mode sixteen digit demat account number
hold with NSDL), Password/OTP
In terms of SEBI circular dated 9th December 2020 and a Verification Code as shown
on e-Voting facility provided by Listed Companies, on the screen. After successful
Individual shareholders holding securities in authentication, you will be redirected
demat mode are allowed to vote through their to NSDL Depository site wherein
demat account maintained with Depositories and you can see e-Voting page. Click on
Depository Participants. Shareholders are advised company name or e-Voting service
to update their mobile number and email Id in their provider i.e. NSDL and you will be
demat accounts in order to access e-Voting facility. redirected to e-Voting website of
NSDL for casting your vote during
Login method for Individual shareholders holding
the remote e-Voting period or joining
securities in demat mode is given below:
virtual meeting & voting during the
Type of Login Method meeting.
shareholders 4. Shareholders/Members can also
download NSDL Mobile App “NSDL
Individual 1. Existing IDeAS user can visit the
Speede” facility by scanning the QR
Shareholders e-Services website of NSDL Viz.
code mentioned below for seamless
holding https://eservices.nsdl.com either
voting experience.
securities in on a Personal Computer or on a
demat mode mobile. On the e-Services home
with NSDL. page click on the “Beneficial
Owner” icon under “Login” which
is available under ‘IDeAS’ section
, this will prompt you to enter your
existing User ID and Password. After
successful authentication, you will
be able to see e-Voting services
under Value added services. Click Individual 1. Existing users who have opted
on “Access to e-Voting” under Shareholders for Easi / Easiest, they can login
e-Voting services and you will be holding through their user id and password.
able to see e-Voting page. Click on securities in Option will be made available to
company name or e-Voting service demat mode reach e-Voting page without any
provider i.e. NSDL and you will be with CDSL further authentication. The URL for
re-directed to e-Voting website of users to login to Easi / Easiest are
NSDL for casting your vote during https://web.cdslindia.com/myeasi/
the remote e-Voting period or joining home/login or www.cdslindia.com
virtual meeting & voting during the and click on New System Myeasi.
meeting.

2. After successful login of Easi/ Individual Members facing any technical issue
Easiest the user will be also able to Shareholders in login can contact CDSL helpdesk
see the E Voting Menu. The Menu holding by sending a request at helpdesk.
will have links of e-Voting service securities in evoting@cdslindia.com or contact at
provider i.e. NSDL. Click on NSDL to demat mode 022- 23058738 or 022-23058542-43
cast your vote. with CDSL
3. If the user is not registered for
Easi/Easiest, option to register is B) Login Method for e-Voting and joining virtual
available at https://web.cdslindia. meeting for shareholders other than Individual
com/myeasi/Registration/ shareholders holding securities in demat mode
EasiRegistration and shareholders holding securities in physical
mode.
4. Alternatively, the user can directly
access e-Voting page by providing How to Log-in to NSDL e-Voting website?
demat Account Number and PAN
No. from a link in www.cdslindia. 1. Visit the e-Voting website of NSDL. Open web browser
com home page. The system will by typing the following URL: https://www.evoting.
authenticate the user by sending nsdl.com/ either on a Personal Computer or on a
OTP on registered Mobile & Email as mobile.
recorded in the demat Account. After
successful authentication, user will 2. Once the home page of e-Voting system is launched,
be provided links for the respective click on the icon “Login” which is available under
ESP i.e. NSDL where the e-Voting is ‘Shareholder/Member’ section.
in progress.
3. A new screen will open. You will have to enter your
Individual You can also login using the login User ID, your Password/OTP and a Verification Code
Shareholders credentials of your demat account as shown on the screen.
(holding through your Depository Participant
securities registered with NSDL/CDSL for e-Voting Alternatively, if you are registered for NSDL eservices
in demat facility. Upon logging in, you will be able i.e. IDEAS, you can log-in at https://eservices.nsdl.com/
mode) login to see e-Voting option. Click on e-Voting with your existing IDEAS login. Once you log-in to NSDL
through their option, you will be redirected to NSDL/ eservices after using your log-in credentials, click on
depository CDSL Depository site after successful e-Voting and you can proceed to Step 2 i.e. Cast your
participants authentication, wherein you can see vote electronically.
e-Voting feature. Click on company
name or e-Voting service provider i.e. 4. Your User ID details are given below :
NSDL and you will be redirected to
Manner of
e-Voting website of NSDL for casting
holding shares
your vote during the remote e-Voting
i.e. Demat Your User ID is:
period or joining virtual meeting &
(NSDL or CDSL)
voting during the meeting.
or Physical
Important note: Members who are unable to retrieve a) For Members 8 Character DP ID followed by 8 Digit
User ID/ Password are advised to use Forget User ID and who hold Client ID
Forget Password option available at abovementioned shares in demat For example if your DP ID
website. account with is IN300*** and Client ID is
Helpdesk for Individual Shareholders holding securities NSDL. 12****** then your user ID is
in demat mode for any technical issues related to login IN300***12******.
through Depository i.e. NSDL and CDSL. b) For Members 16 Digit Beneficiary ID
Login type Helpdesk details who hold For example if your Beneficiary ID is
shares in demat 12************** then your user ID
Individual Members facing any technical account with is 12**************
Shareholders issue in login can contact NSDL CDSL.
holding helpdesk by sending a request to
c) For Members EVEN Number followed by Folio
securities in Ms. Sarita More, Assistant Manager
holding shares Number registered with the
demat mode at evoting@nsdl.co.in or call at toll
in Physical company
with NSDL free no.: 1800 1020 990 and 1800
Form. For example if folio number is
22 44 30
001*** and EVEN is 101456 then
user ID is 101456001***
320 NMDC LIMITED

5. Password details for shareholders other than 9. After you click on the “Login” button, Home page of
Individual shareholders are given below: e-Voting will open.
a) If you are already registered for e-Voting, then Step 2: CAST YOUR VOTE ELECTRONICALLY AND
you can user your existing password to login JOIN GENERAL MEETING on NSDL e-Voting
and cast your vote. system.
b) If you are using NSDL e-Voting system for How to cast your vote electronically and join
the first time, you will need to retrieve the General Meeting on NSDL e-Voting system?
‘initial password’ which was communicated to
1. After successful login at Step 1, you will
you. Once you retrieve your ‘initial password’,
be able to see all the companies “EVEN” in
you need to enter the ‘initial password’ and
which you are holding shares and whose
the system will force you to change your
voting cycle and General Meeting is in active
password.
status.
c) How to retrieve your ‘initial password’? 2. Select “EVEN” of company for which you wish
(i) If your email ID is registered in your to cast your vote during the remote e-Voting
demat account or with the company, period and casting your vote during the
your ‘initial password’ is communicated General Meeting. For joining virtual meeting,
to you on your email ID. Trace the you need to click on “VC/OAVM” link placed
email sent to you from NSDL from under “Join Meeting”.
your mailbox. Open the email and open 3. Now you are ready for e-Voting as the Voting
the attachment i.e. a .pdf file. Open page opens.
the .pdf file. The password to open
the .pdf file is your 8 digit client ID for 4. Cast your vote by selecting appropriate
NSDL account, last 8 digits of client ID options i.e. assent or dissent, verify/modify
for CDSL account or folio number for the number of shares for which you wish to
shares held in physical form. The .pdf cast your vote and click on “Submit” and also
file contains your ‘User ID’ and your “Confirm” when prompted.
‘initial password’. 5. Upon confirmation, the message “Vote cast
(ii) If your email ID is not registered, successfully” will be displayed.
please follow steps mentioned below in 6. You can also take the printout of the votes
process for those shareholders whose cast by you by clicking on the print option on
email ids are not registered. the confirmation page.
6. If you are unable to retrieve or have not received 7. Once you confirm your vote on the resolution,
the “Initial password” or have forgotten your you will not be allowed to modify your vote.
password:
V. It is strongly recommended not to share your
a) Click on “Forgot User Details/Password?”(If password with any other person and take utmost
you are holding shares in your demat account care to keep your password confidential. Login
with NSDL or CDSL) option available on www. to the e-voting website will be disabled upon
evoting.nsdl.com. five unsuccessful attempts to key in the correct
password. In such an event, you will need to go
b) “Physical User Reset Password?” (If you
through the “Forgot User Details/Password?” or
are holding shares in physical mode) option
“Physical User Reset Password?” option available
available on www.evoting.nsdl.com.
on www.evoting.nsdl.com to reset the password.
c) If you are still unable to get the password by
VI. In case of any queries, you may refer the Frequently
aforesaid two options, you can send a request
Asked Questions (FAQs) for Shareholders and
at evoting@nsdl.co.in mentioning your demat
e-voting user manual for Shareholders available at
account number/folio number, your PAN, your
the download section of www.evoting.nsdl.com or
name and your registered address etc.
call on toll free no.: 1800 1020 990 and 1800 22 44
d) Members can also use the OTP (One Time 30 or send a request to Ms. Sarita More, Assistant
Password) based login for casting the votes Manager at evoting@nsdl.co.in.
on the e-Voting system of NSDL.
44. Instructions for members for e-voting during the
7. After entering your password, tick on Agree to AGM are as under:
“Terms and Conditions” by selecting on the check
(i) The procedure for e-Voting on the day of the
box.
AGM is same as the instructions mentioned
8. Now, you will have to click on “Login” button. above for remote e-voting.

(ii) Only those Members/ shareholders, who securities in demat mode are allowed to vote
will be present in the AGM through VC/OAVM through their demat account maintained with
facility and have not casted their vote on the Depositories and Depository Participants.
Resolutions through remote e-Voting and are Shareholders are required to update their
otherwise not barred from doing so, shall mobile number and email ID correctly in their
be eligible to vote through e-Voting system demat account in order to access e-Voting
available during the AGM. facility.
(iii) Members who have voted through Remote 46. Instructions for members for attending the AGM
e-Voting will be eligible to attend the AGM. through VC/OAVM are as under:
However, they will not be eligible to vote (i) Member will be provided with a facility
during the AGM. to attend the 64th AGM through VC/OAVM
(iv) The details of the person who may be through the NSDL e-Voting system. Members
contacted for any grievances connected with may access by following the steps mentioned
the facility for e-Voting on the day of the AGM above for Access to NSDL e-Voting system.
shall be the same person mentioned for After successful login, you can see link of
Remote e-voting. “VC/OAVM” placed under “Join meeting”
menu against company name. You are
45. Process for those shareholders whose email requested to click on VC/OAVM link placed
ids are not registered with the depositories / under Join Meeting menu. The link for VC/
Company/ Registrar and Share Transfer Agent for OAVM will be available in Shareholder/
procuring user id and password and registration of Member login where the EVEN of Company
e mail ids for e-voting: will be displayed. Please note that the
(i) In case shares are held in physical mode members who do not have the User ID and
- please provide Folio No., Name of Password for e-Voting or have forgotten the
shareholder, scanned copy of the share User ID and Password may retrieve the same
certificate (front and back), PAN (self by following the remote e-Voting instructions
attested scanned copy of PAN card), AADHAR mentioned in the notice to avoid last minute
(self attested scanned copy of Aadhar rush.
Card) by email to the Company at: ims@ (ii) Members are encouraged to join the Meeting
nmdc.co.in and to Company’s Registrar through Laptops for better experience.
and Share Transfer Agent email id: info@
aarthiconsultants.com. (iii) Further, Members will be required to allow
Camera and use Internet with a good speed
(ii) In case shares are held in demat mode to avoid any disturbance during the meeting.
- please provide DPID-Client ID (NSDL-
(iv) Please note that Participants Connecting
16 digit DPID + CLID or CDSL-16 digit
from Mobile Devices or Tablets or through
beneficiary ID), Name, client master or
Laptop connecting via Mobile Hotspot
copy of Consolidated Account statement,
may experience Audio/Video loss due to
PAN (self attested scanned copy of PAN
fluctuation in their respective network. It is
card), AADHAR (self attested scanned copy
therefore recommended to use Stable Wi-Fi
of Aadhar Card) by email to the Company
or LAN Connection to mitigate any kind of
at: ims@nmdc.co.in and to Company’s
aforesaid glitches.
Registrar and Share Transfer Agent email id:
info@aarthiconsultants.com. If you are an (v) Members who would like to express their
Individual shareholders holding securities in views/ask questions during the meeting may
demat mode, you are requested to refer to register themselves as a speaker may send
the login method explained at step 1 (A) i.e. their request from 22nd August 2022
Login method for e-Voting and joining virtual (9.00 a.m. IST) to 25th August 2022 (5.00 p.m.
meeting for Individual shareholders holding IST) mentioning their name, DP ID and Client
securities in demat mode. ID /folio number, email id, mobile number at:
cs@nmdc.co.in.
(iii) Alternatively, member may send an e-mail
request to evoting@nsdl.co.in for procuring (vi) Those shareholders who have registered
User ID and Password for voting by providing themselves as a speaker will only be allowed
above mentioned documents. to express their views/ask questions during
the meeting. The Company reserves the
(iv) In terms of SEBI circular dated 9th December
right to restrict the number of questions and
2020 on e-Voting facility provided by Listed
speakers depending on the availability of time
Companies, Individual shareholders holding
for the AGM.
322 NMDC LIMITED

(vii) Members who need assistance before or during the report of the total votes cast in favour or against,
AGM, can contact NSDL, Ms. Sarita More, Assistant if any, to the Chairman or a person authorized by
Manager at evoting@nsdl.co.in or call on toll free him in writing, who shall countersign the same and
no.: 1800 1020 990 and 1800 22 44 30 declare the result of the voting forthwith.
47. Shri D Hanumanta Raju (Membership No. FCS: 49. The results declared along with Scrutinizer’s
4044) of M/s D Hanumanta Raju & Co., Company Report shall be placed on the Company’s website
Secretaries, Hyderabad, has been appointed as www.nmdc.co.in and on the website of NSDL:
the Scrutinizer to scrutinize the remote e-voting https://www.evoting.nsdl.com immediately after
process and voting during AGM in a fair and the declaration of result by the Chairman or a
transparent manner. person authorized by him in writing. The Company
shall simultaneously communicate the results to
48. The Scrutinizer shall immediately after the
the BSE Limited (BSE), National Stock Exchange
conclusion of voting at the general meeting, first
of India Limited (NSE), and the Calcutta Stock
count the votes cast during the meeting and
Exchange Limited (CSE), where the shares of the
thereafter unblock the votes cast through remote
Company are listed, within two working days of
e-voting and make, not later than 48 hours of the
conclusion of the 64th AGM.
conclusion of the AGM, a consolidated scrutinizer’s
Details of Director seeking reappointment at the 64th Annual General Meeting (Pursuant to Regulation 36 (3) of SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015)
(a) Brief Resume of the Director

Shri Sumit Deb
(DIN: 08547819)
Date of Birth & Age 18.02.1963 & 59 years
Date of Appointment 1st August 2020
Qualifications Degree in Mechanical Engineering
(b) Nature of expertise in specific Shri Sumit Deb is having Degree in Bachelor of Science in Mechanical
functional areas Engineering from Orissa University of Agriculture and Technology,
Bhubaneshwar.
ü Joined NMDC on 03.09.2015 as General Manager (Commercial)
ü Promoted as Executive Director (Commercial) on 11.02.2019
ü Later on 14.03.2019 took charge of Executive Director (Personnel &
Administration)
ü Assumed charge as Director (Personnel), NMDC on 01.09.2019
ü Appointed as Chairman and Managing Director w.e.f. 01.08.2020
Shri Sumit Deb started his career with Rashtriya Ispat Nigam Limited
(RINL) as Management Trainee in the year 1987. He worked with RINL
for about 25 years accumulating rich and diverse experience in steel
industry. He has worked in different regions of the country, dealing with
heterogeneous mix of both external as well as internal customers and
handling all domains of HR such as Manpower Planning, succession
planning, Learning & development, Administration, Corporate Affairs
etc. He was awarded with “Jawahar Purushkar” in the year 2007-08
by CMD, RINL for his outstanding performance. He is a thorough and
hardworking Professional with the desirable aptitude required to be an
effective Human Resource Professional. He has diverse experience in the
field of Human Resources as well as Marketing and distribution of Steel
& Iron ore, Sponge iron, pellets and Diamonds. He has demonstrated his
performance capabilities by achieving various milestones along his career
path.

Shri Sumit Deb is also Director on the Board of the following Companies:
1. Legacy Iron Ore Ltd.
2. NMDC-CMDC Limited
3. NMDC CSR Foundation
4. Indian Iron and Steel Sector Skill Council.
Other positions held:
(i) Co-Chair to the “FICCI Committee on Mining” in 2020.
(ii) Patron in Associated Chambers of Commerce and Industry of India,
{ASSOCHAM).
(c) Disclosure of relationships There exists no relationship between Directors inter-se.
between Directors inter-se
(d) Directorship held in other listed Directorship in listed entity
entities and the membership of Legacy Iron Ore Ltd. [listed on Australian Securities Exchange (ASX)]
Committees of the Board along
with listed entities from which the
person has resigned in the past
three years
(e) No. of Equity Shares held in NMDC NIL
Limited
EXPLANATORY STATEMENT PURSUANT TO SECTION 102 OF THE COMPANIES ACT, 2013

SPECIAL BUSINESS
Item No 5: Appointment of Shri Dilip Kumar Mohanty (DIN: 09296720) as Director (Production) of the Company
In terms of Ministry of Steel, Government of India Order No. 3/1/2020-BLA dated 5th October 2021, Shri Dilip Kumar
Mohanty (DIN: 09296720) was appointed as Director (Production) from the date of his assumption of charge of the
post i.e., 5th October 2021, till the date of his superannuation (30th June 2024), or until further orders, whichever
is earlier, and was subsequently appointed by the Board of Directors as an Additional Director to hold the post of
Director (Production) of the Company with effect from 5th October 2021, subject to the approval of the Members of the
Company in the Annual General Meeting and is liable to retire by rotation in terms of provisions of the Companies Act,
2013. In terms of Section 161 of the Companies Act, 2013 and the Articles of Association of the Company, he would
hold office up to the date of the ensuing Annual General Meeting. The notice under Section 160 of the Companies Act,
2013 has been received from a member proposing the name of Shri Dilip Kumar Mohanty as a candidate for the office
of Director of the Company.
324 NMDC LIMITED

Information pursuant to Regulation 36 (3) of SEBI (Listing Obligations and Disclosure Requirements) Regulations,
2015 is given below:-

Name
(DIN: 09296720)
Date of Appointment 5th October 2021
Qualifications BSc Engineering (Metallurgy)
(b) Nature of expertise in specific functional Shri D K Mohanty started his career in Vizag Steel Plant, Rashtrtiya
areas Ispat Nigam Limited as Management Trainee (Technical) in the year
1987 after completing his BSc Engineering (Metallurgy) from NIT
Rourkela.
He has rich and varied experience spanning over 33 years in steel
plant operations & projects. He has gained reputation to solve critical
issues in Steel Making and project executions. During his career in
Vizag Steel Plant he gained vast experience in operations of steel
plant including commissioning of various units.
In the year 2015, he joined NMDC Limited in the prestigious green
field 3.0 MTPA NMDC Iron and Steel Plant (NISP) at Nagarnar, Bastar
Chhattisgarh. He was in-charge of major packages and has played
significant role for execution of works at NISP project.
As Chief General Manager (Operations) he has prepared the
strategy for operation of plant by giving directions to various O&M
contracts, AMCs, manpower planning, budgeting, raw materials,
spares, consumables etc. which are required for commissioning and
operation of NISP, Nagarnar.
He is also Director on the Board of International Coal Ventures
Private Limited, Jharkhand National Mineral Development
Corporation Limited, Nmdc-Cmdc Limited, J & K Mineral
Development Corporation Limited and Nmdc Steel Limited.
(c) Disclosure of relationships between There exists no relationship between Directors inter-se.
Directors inter-se
(d) Directorship held in other listed entities NIL
and the membership of Committees of
the Board along with listed entities from
which the person has resigned in the
past three years
Limited
Shri Dilip Kumar Mohanty is not disqualified from being appointed as a Director in terms of Section 164 of the Act and
has given his consent to act as a Director.
Save and except Shri Dilip Kumar Mohanty and his relatives, to the extent of their shareholding interest, if any, in
the Company, none of the other Directors/Key Managerial personnel of the Company/their relatives are, in any way,
concerned or interested financially or otherwise, in the Resolution set out at Item No.5 of the Notice.
Board considers it desirable that the Company should continue to avail itself of his services as Director (Production)
and recommend this Resolution for approval of the shareholders.
Item No 6: Appointment of Shri Sanjay Tandon (DIN: 00484699) as an Independent Director of the Company
Shri Sanjay Tandon (DIN: 00484699), was appointed as Non-Official Independent Director in terms of order issued by
Ministry of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated 1st November 2021, and was accordingly appointed as an
Additional Director and Non-Official Independent Director on the Board of the Company by the Board of Directors with

effect from 1st November 2021 subject to the approval of the Members of the Company in the Annual General Meeting.
In terms of Section 161 of the Companies Act, 2013 and Articles of Association of the Company, he would hold office
up to the date of the ensuing Annual General Meeting. The notice under Section 160 of the said Act has been received
from a member proposing the name of Shri Sanjay Tandon as a candidate for the office of Independent Director of the
Company.

Shri Sanjay Tandon
Name
(DIN: 00484699)
Date of Appointment 1st November 2021
Qualifications B. Com (Hons.)
Chartered Accountant
Cost Accountant
(b) Nature of expertise in specific functional Shri Sanjay Tandon started his CA practice after qualifying in
areas 1986, and over a span of thirty odd years has built the Competent
Group. The group has verticals like - Accounting, Auditing,
Consulting, Stock Broking, Commodity Broking, BPO services,
Software products, and Co-working spaces. The group carries
out many social service activities through their NGO Competent
Foundation which works on the motto - Help Ever, Hurt Never.
He is also Director on the Board of Stan Professionals Private
Limited Competent Syntech Private Limited.
He is also holding the following positions:
· Member - Administrator’s Advisory Council, Chandigarh
Administration
· Chairperson - Standing Committee of Administrator’s Advisory
Council on Sports Management, Chandigarh Administration
· Member - Bharat Vikas Parishad, Chandigarh
· Member - DAV Management Committee Pratinidhi Sabha
· President - UT Cricket Association, Chandigarh
· Nominated Member - Advisory Committee of Home Minister on
UT Chandigarh
· Non-Official Member of Governing Council & Executive
Committee of Indira Holiday Home Society, UT Chandigarh.
(c) Disclosure of relationships between There exists no relationship between Directors inter-se.
Directors inter-se
(d) Directorship held in other listed entities Ceased to be Director in the following listed company and date of
and the membership of Committees of cessation:
the Board along with listed entities from GAIL (INDIA) LIMITED (18/11/2019)
which the person has resigned in the past
three years
Limited
(f) Skills and capabilities required for Chartered Accountant and Cost Accountant
the role and the manner in which
the proposed person meets such
requirements
Shri Sanjay Tandon submitted a declaration that he meets the criteria of independence under Section 149(7) of the
Act. He is not liable to retire by rotation in terms of provision of Section 149(13) of the Companies Act, 2013.
326 NMDC LIMITED

Shri Sanjay Tandon is not disqualified from being appointed as a Director in terms of Section 164 of the Companies
Act, 2013 and has given his consent to act as Director.
In the opinion of the Board, Shri Sanjay Tandon fulfils the conditions specified in the SEBI Listing Regulations, the
Act and the Rules framed thereunder for his appointment as an Independent Director and he is independent of the
Management.
Save and except Shri Sanjay Tandon and his relatives, to the extent of their shareholding interest, if any, in the
Company, none of the other Directors/Key Managerial personnel of the Company/their relatives are, in any way,
concerned or interested financially or otherwise, in the Special Resolution set out at Item No.6 of the Notice.
Board considers it desirable that the Company should continue to avail itself of his services as an Independent
Director and recommend this Special Resolution for approval of the shareholders.
Item No 7: Appointment of Dr. Anil Sadashivrao Kamble (DIN: 07528586) as an Independent Director of the Company
Dr. Anil Sadashivrao Kamble (DIN: 07528586), was appointed as Non-Official Independent Director in terms of order
issued by Ministry of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated 1st November 2021, and was accordingly
appointed as an Additional Director and Non-Official Independent Director on the Board of the Company by the Board
of Directors with effect from 1st November 2021 subject to the approval of the Members of the Company in the Annual
General Meeting. In terms of Section 161 of the Companies Act, 2013 and Articles of Association of the Company, he
would hold office up to the date of the ensuing Annual General Meeting. The notice under Section 160 of the said Act
has been received from a member proposing the name of Dr. Anil Sadashivrao Kamble as a candidate for the office of
Independent Director of the Company.

Name
(DIN: 07528586)
Qualifications MBBS
M.D. Medicine
(b) Nature of expertise in specific functional areas Dr. Anil Sadashivrao Kamble is a Doctor (private practice
since 20 years) in critical care and emergency services.
In his 20 years of practice he has helped numerous people
specially poor people, women and children by providing
them with free health care camps. He has set up an old age
home for the elderly women.
He is also Director on the Board of Crossandra Pharma
Private Limited and Aboli Hospital Private Limited.
(c) Disclosure of relationships between Directors There exists no relationship between Directors inter-se.
inter-se
(d) Directorship held in other listed entities and the NIL
membership of Committees of the Board along
with listed entities from which the person has
resigned in the past three years
(e) No. of Equity Shares held in NMDC Limited NIL
(f) Skills and capabilities required for the role and Doctor, Administration of Hospital
the manner in which the proposed person meets
such requirements
Dr. Anil Sadashivrao Kamble submitted a declaration that he meets the criteria of independence under Section 149(7) of
the Act. He is not liable to retire by rotation in terms of provision of Section 149(13) of the Companies Act, 2013.
Dr. Anil Sadashivrao Kamble is not disqualified from being appointed as a Director in terms of Section 164 of the
Companies Act, 2013 and has given his consent to act as Director.

In the opinion of the Board, Dr. Anil Sadashivrao Kamble fulfils the conditions specified in the SEBI Listing
Regulations, the Act and the Rules framed thereunder for his appointment as an Independent Director and he is
independent of the Management.
Save and except Dr. Anil Sadashivrao Kamble and his relatives, to the extent of their shareholding interest, if any, in
the Company, none of the other Directors/Key Managerial personnel of the Company/their relatives are, in any way,
Item No 8: Appointment of Shri Vishal Babber (DIN: 09344150) as an Independent Director of the Company
Shri Vishal Babber (DIN: 09344150), was appointed as Non-Official Independent Director in terms of order issued by
Ministry of Steel Order No.1/10/2015-BLA (Vol-V) (pt.) dated 1st November 2021, and was accordingly appointed as an
Additional Director and Non-Official Independent Director on the Board of the Company by the Board of Directors with
effect from 1st November 2021 subject to the approval of the Members of the Company in the Annual General Meeting.
In terms of Section 161 of the Companies Act, 2013 and Articles of Association of the Company, he would hold office
up to the date of the ensuing Annual General Meeting. The notice under Section 160 of the said Act has been received
from a member proposing the name of Shri Vishal Babber as a candidate for the office of Independent Director of the
Company.

Shri Vishal Babber
Name
(DIN: 09344150)
Qualifications B.Com
Chartered Accountant
MBA in Finance
DISA – ICAI
(b) Nature of expertise in specific functional areas Shri Vishal Babber is a Proprietor of M/s Babber Vishal
& Co. Chartered Accountants. He started the firm in 2010
as proprietor of the firm after clearing the Chartered
Accountancy exams from “The Institute of Chartered
Accountants of India”. With 11 years of experience and under
guidance of his father Shri Ramesh Babber, who is also
Chartered Accountant, Shri Vishal Babber is running the
firm successfully with main area of practice in Income Tax,
GST, Audits, Public Sector Bank Audits, Financial Statements
Finalization etc.
He usually takes parts in debates regarding the current
financial scenario of India and also shares the stage with
renowned Chartered Accountants for Discussion on different
topics of GST, Income Tax etc.
inter-se
(d) Directorship held in other listed entities and NIL
the membership of Committees of the Board
along with listed entities from which the person
has resigned in the past three years
(f) Skills and capabilities required for the role Chartered Accountant, MBA in Finance
and the manner in which the proposed person
meets such requirements
328 NMDC LIMITED

Shri Vishal Babber submitted a declaration that he meets the criteria of independence under Section 149(7) of the
Act. He is not liable to retire by rotation in terms of provision of Section 149(13) of the Companies Act, 2013.
Shri Vishal Babber is not disqualified from being appointed as a Director in terms of Section 164 of the Companies
Act, 2013 and has given his consent to act as Director.
In the opinion of the Board, Shri Vishal Babber fulfils the conditions specified in the SEBI Listing Regulations, the
Management.
Save and except Shri Vishal Babber and his relatives, to the extent of their shareholding interest, if any, in the
Item No 9: Appointment of Shri Sanjay Singh (DIN: 09347257) as an Independent Director of the Company
Shri Sanjay Singh (DIN: 09347257), was appointed as Non-Official Independent Director in terms of order issued by
Ministry of Steel Order No.1/10/2015-BLA (Vol-V) dated 29th December 2021, and was accordingly appointed as an
Additional Director and Non-Official Independent Director on the Board of the Company by the Board of Directors
with effect from 29th December 2021 subject to the approval of the Members of the Company in the Annual General
Meeting. In terms of Section 161 of the Companies Act, 2013 and Articles of Association of the Company, he would
hold office up to the date of the ensuing Annual General Meeting. The notice under Section 160 of the said Act has
been received from a member proposing the name of Shri Sanjay Singh as a candidate for the office of Independent
Director of the Company.

Shri Sanjay Singh
Name
(DIN: 09347257)
Date of Appointment 29th December 2021
Qualifications B.Com
(b) Nature of expertise in specific functional areas Shri Sanjay Singh has held two term Councillor of Howrah
Municipal Corporation from 1998 to 2008. Shri Singh is
actively involved in social work and holds the following
positions :-
i. President of Aparadh Nirodhak Samity;
ii. Secretary of Jugnu Association;
iii. Secretary of Managing Commitee for Vikram Vidyalay
Branch School;
iv. Skill Development Programs for Women from 1998;
v. President of Belilious Road Vyavsaik Samity
inter-se
(d) Directorship held in other listed entities and the NIL
membership of Committees of the Board along
with listed entities from which the person has
resigned in the past three /years
(f) Skills and capabilities required for the role and Social Service, CSR
the manner in which the proposed person meets
such requirements

Shri Sanjay Singh submitted a declaration that he meets the criteria of independence under Section 149(7) of the Act.
He is not liable to retire by rotation in terms of provision of Section 149(13) of the Companies Act, 2013.
Shri Sanjay Singh is not disqualified from being appointed as a Director in terms of Section 164 of the Companies Act,
2013 and has given his consent to act as Director.
In the opinion of the Board, Shri Sanjay Singh fulfils the conditions specified in the SEBI Listing Regulations, the
Management.
Save and except Shri Sanjay Singh and his relatives, to the extent of their shareholding interest, if any, in the
Item No. 10: Ratification of the Remuneration of Cost Auditors of the Company for the financial year 2022-23
The Board of Directors, on the recommendation of Audit Committee approved the appointment and remuneration
of M/s B. Mukhopadhyay & Co., Cost Accountants as the Cost Auditors to conduct the audit of the cost records of
the Company across various segments, for the financial year 2022-23 at a remuneration of ` 6.00 lakhs (excluding
travelling, out-of-pocket expenses plus GST).
M/s B. Mukhopadhyay & Co., have furnished a certificate regarding their eligibility for appointment as Cost Auditors of
the Company.
In accordance with the provisions of Section 148 of the Companies Act, 2013 read with the Companies (Audit and
Auditors) Rules, 2014, the remuneration payable to the Cost Auditors has to be ratified by the Members of the
Company.
Accordingly, consent of the members is sought for passing an Ordinary Resolution as set out at Item No. 10 to the
Notice for ratification of the remuneration payable to Cost Auditors of the Company for the financial year 2022-23.
The Board recommends the Ordinary Resolution set out at item no. 10 of the notice for approval by the members.
None of the Directors and/or Key Management Personnel of the Company and/or their relatives are, in any way,
concerned or interested financially or otherwise in the Resolution set out at Item No. 10 of the Notice, except to the
extent of their shareholding, if any.
By Order of the Board of Directors,

For and on behalf of NMDC Limited
(A.S. Pardha Saradhi)

ED (Company Secretary)
Membership No. FCS 10808
Place: New Delhi
Date: 27th June 2022
330 NMDC LIMITED

CMD Shri Sumit Deb leads the NMDC delegation to Australia
NMDC receives 5-star ratings for all its operating mines at the 5th National Conclave on Mines and Minerals

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CMD Shri Sumit Deb inaugurates the Training, Security and Environment Building at BIOM, Bacheli

NMDC celebrates 64 years of public service on Formation Day 2022

Share Transfer Agent

Annual Report 2021-22 1

“NMDC has achieved a record-breaking

Annual Report 2021-22 3

* RoCE = PAT / (PPE + ROU +

Annual Report 2021-22 5

Annual Report 2021-22 7

Panna Diamond Mine

Steel SPV and Mining JV

Nagarnar Steel Plant

Bacheli Mining Complex

Kirandul Mining Complex

Donimalai Mining Complex

Donimalai Pellet Plant

10 NMDC LIMITED Don

Macro Objectives Micro Objectives

Annual Report 2021-22 11

Intellectual Capital KEY STRENGTHS

Exploration Development Processing & Loading & Marketing & Contributing

Exploration & Estimation Processing & Beneficiation Marketing & Sales

Development & Excavation Loading & Despatch Contributing to Society

CSR Spent Employee Benefit Dividend

Annual Report 2021-22 13

Dividends Distributed (` Per Share)

Annual Report 2021-22 15

Shri Sumit Deb

Smt. Rasika Chaube, IDAS Smt. Sukriti Likhi, IAS

Chief Vigilance Officer COMPANY SECRETARY

Shri B. Vishwanath, IRSS Shri A.S. Pardha Saradhi

M. Shiva Shunmuganathan B. Sahoo A.K. Prajapati A.K. Padhy K. Praveen Kumar

M. Jayapal Reddy K.S.N. Murthy Sanjeev Sahi Pranab Kumar Mazumdar

G. Priyadarshini Vinay Kumar B. Venkateswarlu Padmanabha Naik K. Mohan

Annual Report 2021-22 17

Annual Report 2021-22 19

Annual Report 2021-22 21

Annual Report 2021-22 23

Annual Report 2021-22 25

Annual Report 2021-22 27

3.0 SALES OF IRON ORE

Physical (in Million Tones) Value (Rs. in crore)

4.0 FINANCIAL PERFORMANCE

Annual Report 2021-22 29

Annual Report 2021-22 31

Annual Report 2021-22 33

Sl. No. Name of Mining Lease Area in Ha ML Validity

Sl. No. Name of Mining Lease Area in Ha ML Validity

Annual Report 2021-22 35

Annual Report 2021-22 37

Subsidiaries JV Companies Associate Companies

95.86% J&KMDC Ltd. Krishnapatnam

Legacy Iron Ore Ltd.,

100% NMDC Power Limited#

Annual Report 2021-22 39

Corporate Level Tripartite Safety Committee Procurements : ` 15.00 crores

Annual Report 2021-22 41

Annual Report 2021-22 43

17.5 Staff Welfare activities • NMDC Corporate HRD department plays