During Friday’s trading session, the shares of a leading player in the mining and metals industry surged nearly 3.2 percent to Rs. 498.4 on BSE, after the company received environmental clearance from the Government of Karnataka to enhance its capacity.
With a market capitalisation of Rs. 8,015 crores, at 11:22 a.m., the shares of Sandur Manganese & Iron Ores Limited were trading in the green at Rs. 494.65, up by nearly 2.4 percent, as against its previous closing price of Rs. 483.25.
What’s the News:
As per the latest regulatory filings with the stock exchanges, the Karnataka State Pollution Control Board (KSPCB), Government of Karnataka, has approved Sandur Manganese’s application under the Air and Water Act, granting Consent for Operation (CFO-Expand) for the company’s manganese and iron ore mines.
This approval will enable the company to increase its manganese ore production from the current 0.43 million tonnes per annum (MTPA) to 0.55 MTPA.
Previous News:
Earlier in April 2023, Sandur Manganese received environmental clearance for mining expansion from 1.6 MTPA to 4.5 MTPA of iron ore.
In December 2023, the company announced a Bonus Issue of equity shares in a 5:1 ratio.
Further, on 16th September, the company’s Board approved the proposal to raise funds by way of issuance of Equity Shares with a face value of Rs. 10 each, in one or more tranches, to raise up to Rs. 1,000 crores via Qualified Institutions Placement (QIP).
Financials:
The company reported a significant growth in its revenue from operations, showing a year-on-year rise of around 65.8 percent, rising from Rs. 363 crores in Q1 FY24 to Rs. 602 crores in Q1 FY25.
Similarly, its net profit increased during the same period from Rs. 40 crores to Rs. 144 crores, marking an increase of nearly 260 percent.
Sandur Manganese enhanced the capacity for iron ore production from 1.60 MTPA to 3.81 MTPA, and further proposed to increase to 4.36 MTPA.
Stock Performance
The stock has delivered positive returns of nearly 27.4 percent of returns in one year, and around 34.2 percent of positive returns in the last six months. So far in 2024, the shares of Sandur Manganese have given positive returns of about 14 percent.
About the Company:
Sandur Manganese & Iron Ores Limited, the third-largest manganese ore miner in India, is engaged in the business of mining manganese and iron ores, along with the manufacturing of ferroalloys, coke and energy.
Written by Shivani Singh
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