Synopsis:
Sandur Manganese & Iron Ores Ltd gained sharply after receiving final environmental clearance for forest land diversion in Karnataka to set up a downhill conveyor system, enabling enhanced ore transportation.
A mining stock jumped after final approval was granted by the Ministry of Environment, Forest and Climate Change for the diversion of forest land to facilitate ore transport. The approval enables the establishment of a Downhill Conveyor Pipe System from the Kammathuru Iron Ore Mine to PMBR siding, potentially improving operational efficiency and long-term output.
Sandur Manganese & Iron Ores Ltd, with a market capitalization of Rs. 10,145.01 crore, opened at Rs. 197.10, reaching an intraday high of Rs. 214.15 from a previous close of Rs. 194.40, marking a rise of 10.15 percent.
What’s the News?
The Company has obtained final approval from the Ministry of Environment, Forest and Climate Change (MoEF&CC) for the diversion of 2.4314 hectares of forest land in the Deogiri Swamimalai Forest Block, Sandur Taluk, Bellary District, Karnataka.
This clearance allows the company to establish a Downhill Conveyor Pipe System (DCS) from Kammathuru Iron Ore Mine (ML No. 2678) to PMBR siding in favor of the company, subject to compliance with specified conditions.
Following this, the company will approach the Department of Forests & Environment, Government of Karnataka, for execution of the Forest Lease Agreement under applicable provisions.
Financial Snapshot
Quarter-on-quarter, Sandur Manganese & Iron Ores Ltd reported sales of Rs. 1,135 crore, down from Rs. 1,321 crore, reflecting a 14.08 percent decline. Operating profit decreased from Rs. 316 crore to Rs. 299 crore, a reduction of 5.38 percent, while profit before tax rose marginally from Rs. 204 crore to Rs. 209 crore, up 2.45 percent. Net profit improved from Rs. 156 crore to Rs. 167 crore, representing a 7.05 percent increase.
Year-on-year, sales surged from Rs. 602 crore to Rs. 1,135 crore, an increase of 88.71 percent. Operating profit grew from Rs. 191 crore to Rs. 299 crore, up 56.54 percent. PBT increased from Rs. 196 crore to Rs. 209 crore, reflecting a rise of 6.63 percent, and net profit jumped from Rs. 144 crore to Rs. 167 crore, up 15.97 percent.
Also Read: Stock jumps 4% after promoter increases 11% stake in the company
About the Company
Sandur Manganese & Iron Ores Limited (SMIORE) is a leading private sector merchant miner and commodity producer in India with a legacy spanning over seven decades. The company operates across three key segments: Mining (Manganese & Iron Ores), Ferroalloys, and Coke and Energy.
Additionally, through its material subsidiary Arjas Steel Private Limited, SMIORE has a presence in the specialty steel sector as a leading independent SBQ player. These integrated operations collectively enhance the company’s position in the metals and mining industry.
Written By Manan Gangwar
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