Multinational iron-ore producer and exporter Sesa Goa on Monday reported a consolidated profit of R414 crore for the quarter ended June 30, 2013, down 57% from the R964 crore in last year’s corresponding quarter. Sesa Goa, a majority-owned subsidiary of Vedanta Resources Plc, attributed the decline in cash profit to suspension of iron ore operations in Goa and Karnataka.
Total income from operations fell to R378 crore in the first quarter, down 78% from the R1,733 crore during the corresponding quarter.
On a standalone basis, the company posted a loss of R192 crore compared with a profit of R228 crore during the same period last year. Its total income from operations fell to R366 crore in the first quarter, down 73 % from R1,377 crore in the corresponding quarter last year.
The company’s Chitradurga mine, the largest ore-producing mine in the state with a 6-million-tonne-per-annum capacity, was among the 166 mines in Karnataka that were banned by the Supreme Court in July- August 2011.
Though the mine’s operations remained suspended during the first quarter of 2013-14, it has received clearance from the Supreme Court, and is now awaiting final statutory clearances.
?We expect to resume mining at Karnataka in Q2. Regarding the suspension of mining in Goa, the date for hearing is yet to be fixed by the Supreme Court,? said a company release.
