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Disclaimer
The information and opinions contained in this presentation are current, if not stated otherwise, as of the date of this presentation. We undertake
no obligation to update or revise any information or the opinions expressed in this presentation as a result of new information, future events or
otherwise.
Certain statements made in this presentation may not be based on historical information or facts and may be forward looking
statements, including those relating to our general business plans, planned projects and strategy, our future financial condition and growth
prospects, future developments in our industry and our competitive and regulatory environment. Actual results may differ materially from these
forward-looking statements due to a number of factors, including future changes or developments in our business, our competitive environment
and political, economic, legal and social conditions.
This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United
States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to
purchase or subscribe for any securities.
This presentation is confidential and may not be copied or disseminated, in whole or in part, and in any manner. No person is authorized to give
any information or to make any representation not contained in or inconsistent with this presentation and, if given or made, such information or
representation must not be relied upon as having been authorized by us.
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Introduction
KSK Power Ventur plc
KSK Energy Ventures
Limited
KSK Energy
Company
KSK
Renewable
KSK Energy Limited, Mauritius
51.32% 100 % 100 %
Thermal PowerPlants
Operating & Near
Completion 862
MW
Construction plants
- 3730 MW
Planned -6345 MW(where fuel tied up)
Lignite MineOperating
Multiple new
mineral
collaborations
Wind Energy Solar
Others
KSK Power Ventur Plc is the London Stock Exchange
listed parent holding company engaged in the business
across the energy value chain
KSK Energy Ventures Limited, the Indian listedsubsidiary that develops, implements, owns and
manages multiple power generation projects in India
KSK is one of the few business groups in India with vital
fuel security through collaboration on coal resources
with long term low cost access to dedicated coal
blocks
Attractive business model with high margin power plant
portfolio with mix of long term direct off take by Large
industrial consumers and short term surplus sale to
local utilities at attractive prices
Pioneering work in dedicated / Group captive power
plant business in India. Proven execution track record
across multiple states in India
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Background
Promoted by K.A.Sastry and S. Kishore, first generation entrepreneurs with extensive financial and energy sector
consulting experience prior to the business setup
Padma Bhushan Sri T.L.Sankar, the distinguished Energy expert is the Non Executive Chairman. Highly experienced
management and operating team and power plant setup experience across multiple states in India
Valued relationships with Industrial Consumers and Government Utilities and Mining Corporations in India
Project Finance driven individual power plant SPVs. Established credibility with major Indian Project Lending institutions
and hence access to vital debt for project execution
Impressive historical revenue growth, strong opportunity pipeline and adequately capitalized on the equity for the next
level of growth
BT ranking 78th amongst Indias most valuable Private Sector Companies.
3
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Indian Power Industry Overview
Power sector has historically witnessed energy shortages, which
have only increased over the years
Power Supply Position (Energy in MU) Merchant market - Pricing Trends
690,587
631,757591,373
559,264545,983
522,537
483,350 497,890
519,398548,115
578,819
624,495
2001-02 2002-03 2003-04 2004-05 2005-06 2006-07
Requirement Availability
Nascent Short term power market (c 4 % of total
generation) with high volatility
Capacity Addition History for each Five Year Plan
72%
96%
64% 64%49%
85%
52%54%
48%
85%
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
I II III IV V VI VII VIII IX X
0%
20%
40%
60%
80%
100%
120%
Target (MW) Achievement (MW) %
Failure to meet capacity addition targets has exacerbated the
demand / supply imbalance
Source: CEA
4
Required Capacity Addition (12th Plan) (2012 2017) (1)
11th Plan working group has recommended capacity
addition of 82, 200 MW for the 12 th Plan
Capacity
AdditionInstalled
Peak
Demand
Electricity
GenerationGDP
82,200291,700224,6001,4709%
10%
8%
Growth (%)
1,525
1,415
Required
(BU)
232,300
215,700
(MW)
92,800302,300
70,800280,300
Required
(MW)
Capacity
(MW)
Capacity
AdditionInstalled
Peak
Demand
Electricity
GenerationGDP
82,200291,700224,6001,4709%
10%
8%
Growth (%)
1,525
1,415
Required
(BU)
232,300
215,700
(MW)
92,800302,300
70,800280,300
Required
(MW)
Capacity
(MW)
0
100
200
300
400
500
600
700
800
900
0.0
5.0
10.0
15.0
20.0
25.0
30.0
Jan-0
9
Fe
b-0
9
Mar-09
Apr-09
May-0
9
Jun-0
9
Jul-09
Aug-0
9
Sep-0
9
Oct-09
Nov-0
9
Dec-0
9
Jan-1
0
Fe
b-1
0
Mar-10
MnkWh
Cents/kWh
Volume Tariff
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540 MW Warora project initiated
Collaborative MOUs with govt mineralcorporations
GMDC CSA for 1800 MW power plant
KSK Power Listed on LSE AIM $ 60 mn raised
KEFIPL Joint Venture
135 MW VS Lignite enabled Gurha block 43 MW Sitapuram initiated
58 MW Sai Regency initiated
17.4 MW Coromandel Electric commences
43 MW Arasmeta MoU with LafargeIndia
Full tie-up of Small is Beautiful fund
Journey/ Milestone
20 MW Kasargod Plant
commences
20 MW RVK plant
commences
KSK Plc moves to main market oLSE
VSLP Commences powergeneration
More than 10+ GW of Portfolio
725 MW Secures Hydro Projects of PIPDIC Coal supply Agreement additional 1800 MW
GE Picks strategic stake in Sayi
Sitapuramand Sai Regency Operational
10.9 MW MMS Plant
commences
IPO of KSK Energy $ 300mn raised Chhattisgarh Plant- 1800 MW
Divested earlier assets Coal supply Agreement with GIDC
Chhattisgarh power plant up scaled to3600 MW
Additional Fund raise at KSK plc $ 60 mnas well as KSK Energy - $ 115 mn
VS Lignite mine commences
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Project Portfolio
Plant Capacity (MW) Configuration Type Fuel Location Off-Takers Remarks/ Status
A. Operational
Arasmeta 43 1 X 43 Thermal Coal Chhattisgarh Captive COD - Nov '06
Sai Regency 58 1 X 58 Thermal Natural Gas Tamil Nadu Group Captive COD - Mar '07Sitapuram 43 1 X 43 Thermal Coal Andhra Pradesh Captive COD - Feb '08
VS Lignite 135 1 X 135 Thermal Lignite Rajasthan Group Captive Started operation in Mar'10
279
B. Near Completion
Wardha Warora 540 4 X 135 Thermal Coal Maharashtra Group Captive
Unit I: Synchronized in Apr'10. All subsequent
units with intervals of 3 months, last Unit in
Q4FY11
Arasmeta Exp 43 1 X 43 Thermal Coal Chhattisgarh Captive Expected COD: July '10
583
C. Under Construction
KSK Mahanadi 3,600 6 X 600 Thermal Coal Chhattisgarh
Expected COD: Unit I in Q1FY13 and all
subsequent units with intervals of 4months,
with last Unit in Q3FY14
KSK Dibbin 130 Hydro N.A. Arunachal Pradesh Expected COD: 2013
3,730
D. Under Planning
JR Power 1,800 3 X 600 Thermal Coal Orissa Expected COD: 2015
KSK Narmada 1,800 3 X 600 Thermal Coal M.P. Expected COD: 2015
KSK Naini 1,800 3 X 600 Thermal Coal Orissa Expected COD: 2016Kamang HEP 600 Hydro N.A. Arunachal Pradesh Expected COD: 2016
Kamang Basin HEP 345 Hydro N.A. Arunachal Pradesh Expected COD: 2016
6,345
Grand Total (A+B+C+D) 10,937
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Projects Overview
Sai Regency (58MW)
Diversification by Geography Capacity Addition
Wardha Warora(540MW)
Sitapuram (43 MW)
Project Status
OperationalUnder Construction
Under Development
Planning
VS Lignite(135MW)
Dibbin HEP (130 MW)
Kameng Basin (345 MW)
Kameng Dam (600 MW)
Wardha Naini (1,800 MW)
JR Power (1,800 MW)
Wardha Chhattisgarh(3,600MW)
Arasmeta Exp. (43MW)
Arasmeta (43MW)
7
1,800
3,000
1,545 6,345
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2014 2015 2016 Cum
MW
Further Capacity Addition Plans
144 135
583
1,930
1,800 4,592
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
5,000
FY09 FY10 FY11 FY12 FY13 FY14 Cum
MW
Total Power plant portfolio of over 10 GW
KSK Narmada (1,800 MW)
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Project Update
Arasmeta (Chattisgarh) - 43 MW Coal US$ 36 Mn
Voting Equity: 51% , Economic Interest: 100%
In operation since 2006 D:E 70:30
2009-10 PLF: 84.6 % Avg Tariff: Rs. 3.33/ kWh ( 7.4 c / kWh)Power Purchases by Lafarge India and surplus to local utility
Sai Regency Power (Tamil Nadu) - 58 MW Natural Gas US$ 49 Mn
Voting Equity: 74% , Economic Interest: 100%
In operation since 2007 D:E 75:25
2009-10 PLF: 70.3 % Avg Tariff: Rs. 3.93/ kWh ( 8.7c / kWh)Power Purchases by multiple Industrial consumers in Tamil Nadu and surplus to local utility
Sitapuram (Andhra Pradesh) 43 MW Coal US$ 36 Mn
Voting Equity: 49% , Economic Interest: 100%
In operation since 2007 D:E 70:30
2009-10 PLF: 85.7% Avg Tariff: Rs. 4.46/ kWh ( 9.9 c / kWh)Power Purchases by Zuari Cements and surplus to local utility
VS Lignite (Rajasthan) 135 MW Lignite US$ 155 MnVoting Equity: 74% , Economic Interest: 100%
Commenced generation by end March 2010 D:E 75:25
Power Purchases by multiple Industrial consumers in Rajasthan and surplus to local utility
8
* USD / INR conversions at Rs 45 per USD
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Project Update
Wardha Warora, (Maharashtra) - 540 MW Coal US$ 535 Mn
Voting Equity: 74% , Economic Interest: 100%
It consists of 4 Units, each of 135 MW. D:E 80:20
The Unit I completion in May 2010.Unit II, III & IV expected with each at a quarterly interval from the other
KSK Mahanadi, Akaltara (Chattisgarh) - 3600 MW Coal US$ 3.59 Bn
Voting Equity: 100% , Economic Interest: 100%
It consists of 6 Units, each of 600 MW. D:E 75:25
EPC contract has been awarded to SEPCO
Active Construction at site.
Arasmeta Expansion, (Chattisgarh) - 43 MW Coal US$ 49 Mn
Voting Equity: 51% , Economic Interest: 100%
It consists of 1 Unit of 43 MW. D:E 80:20
Execution by the Company through multiple Packages
Active Construction at site.
KSK Dibbin (Arunachal Pradesh) - 130 MW Hydro US$ 154 Mn
Voting Equity: 100% , Economic Interest: 100%
MOU signed with Government in 2007 D:E 75:25
Techno Economic clearance obtained in 2009
Total Active Power project Investments of over USD 4.6 billion*
9
* USD / INR conversions at Rs 45 per USD
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KSKs current effort on additional blocks, linkages and agreements underway
Fuel Resources Security of Supply
Gurha
Morga-I (MPSMC)
Naini (GMDC)
Lignite Block
operational
MOUs
executed, Alloca
tion received
StatusFuel Block Tie up
Fuel Supply
Agreement
completed
Morga I
Coal Block
Lunsara
Lignite Block
Morga II (GMDC)
Naini (PIPDIC)
Gera Pelma III (GIDC)
Power Plant
VS Lignite
135 MW
KSK Mahanadi
3600 MW
JR Power
1800 MW
KSK Narmada
1800 MW
Naini 1800 MW
Gurha(E),
Lignite Block
Morga II
Coal Block
Naini Coal Block
Naini Coal Block
Gera Pelma - III
Coal Block
KSK Headquarters
Hyderabad
Fuel Supply
Agreement
completed
10
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Captive Mine Block Development Experience
Land
Acquisition
Completed
July 05 July 06 July 07 July 08
May08
Block
Allocated
May05
NOC from
PCB
June06
ML Executed
Aug08
Mine Plan
Approval
July06
Environment
Clearance
Mar07
DGMS
Permission for
mine opening
Oct08
Mining
Commenced
Nov08
Lignite Seam
Exposed
Apr09
ML
Application
Dec05
Mine Plan
Submission
Dec05
Public
Hearing
Fe
b06
Application
for Land Acq
Mar06
11
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Corporate Presentation, 2010
Non Executive Chairman
Mr. Kishore co-founded KSK along with Mr.
Sastry and heads its business development
and capital formation. Earlier Mr. Kishore was
a financial advisor & consultant for majordomestic as well as international businesses
and has advised multiple energy companies/
utilities/ market entrants since early nineties.
Mr. Dlouhy graduated with a Bachelor and
Master degrees in Mathematical Economics
and Econometrics from the Prague School of
Economics and studied Management at
Catholic University of Louvain, Belgium. Mr.
Dlouhyserved as Minister of Industry and
Trade of the Czech Republic, responsible for
the policies in the areas of Fuels.
Executive Directors
Board of Directors KSK Power Ventur plc
Independent Non-executive Directors
Padma Bhushan
Mr. T.L. Sankar,
Non-executive Chairman
Mr. S. KishoreExecutive Director
Mr. K.A. Sastry
Executive Director
Mr. Vladimir Dlouhy
Non-Executive Director
Mr. S.R. IyerNon-Executive Director
Renowned in India as an energy expert with
more than four decades of experience in the
energy sector. Served various distinguished
positions
Energy Secretary to the Government of
Andhra Pradesh Secretary, Fuel Policy Committee
Principal Secretary of the Working Group
on Energy Policy
Member of the Advisory Board on Energy
Government of India,
Member, Integrated Energy Policy
Committee.
Chairman of the Andhra Pradesh State
Electricity Board
United Nations Adviser on Energy issuesto the governments of Sri Lanka.
Mr. Sastry is one of the founders of KSK and
heads its execution and operations areas, as
well as having responsibility for the financial
accounts and records for the group. Earlier
Mr. Sastry was associated with Mr. Kishore
on the advisory & consultancy assignments
by their firm K&S.
Mr Iyer retired as Managing Director of the
State Bank of India in 2001. Since then he has
served on various banking industry working
groups in India and currently associated with
other companies in Non executive capacity
Mr Vladimir is a distinguished Economist with
over three decades of experience in
industrial affairs and served as Deputy
prime minister of Czechoslovak government
and federal minister of economy. He
currently serves as International Advisor
Goldman Sachs and ABB
12
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Corporate Presentation, 2010
Additional Board Members KSK Energy Ventures Limited
Corporate Presentation
Anil Kumar Kutty, Director
M.Sc (Physics)
Formerly Indian Administrative Service
Previous Experience:
Joint Secretary, Power , Government of India
Chairman and Managing Director, AP TRANSCO
K.Bapi Raju, Whole time Director
B.Tech
Previous Experience:
Marketing Director, Kirtilal Kalidas
Director, Micro GIS Technology
Girish Kulkarni, Director
B. Tech IIT Mumbai. India
M.B.A, IIM Ahmedabad, India
Previous Experience:
Head, Equity sales of ICICI Securities Managing Director, TDA Capital partners
Abhay Nalawade, Director
MBA, University of Pune
Management progaram at Harvard Busines School
Previous Experience: CEO, Thermax
30+ years of experience in Power engineering
Involved in power plant equipment and cogneration business
Currently heads Eco Axis system
20+ yrs of experience in Indian Corporate sector
Responsible for Corporate Affairs of the Group
Extensive experience in areas of energy security, policy formulation, business
collaboration
20+ yrs of experience in Indian capital Markets
Head of Equity Sales of ICICI Securities ( JV between ICICI and JP Morgan)
Involved more than 30 IPOs and multiple M&A transactions in India
31+ yrs of experience in power sector, Banking and Administration India.
Involved with Indias power sector reforms and first CMD of AP Transco
Significant sectoral experience
Henry Klein, Director
MBA, Columbia University, New York
Masters in Science, Cape Town, South Africa
20+ yrs of international Investment Banking experience.
Co-founded TDA Capital partners in 1996 with investments in central
Europe, Israel and India
Managing Director of Principal investments Division at Lehman Brothers
Tanmay Das, Director
CFA
MBA, XIM, Bhubaneswar, India
Bachelors in Engineering, India Previous Experience: Projects Division, IFCI
15+ yrs of in depth Power sector experience in India
Overseen Finance, investments, Capital structuring, Project finance and Asset
Management functions
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Corporate Presentation, 2010
Partners in our Growth
14
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Corporate Presentation, 2010
Key Financials KSK Energy Ventures Limited ( Consolidated)
2,458
3,809
5,025
0
1,000
2,000
3,000
4,0005,000
6,000
FY08 FY09 FY10
InrMn
Revenues
2,158
3,3053,695
0
1,000
2,000
3,000
4,000
FY08 FY09 FY10
InrMn
EBITDA
1,086
1,454
1,913
0
500
1,000
1,500
2,000
2,500
FY08 FY09 FY10
InrMn
PAT957
1,001
862
9053.54
3.88
0
0.75
1.5
2.25
3
3.75
4.5
0
200
400
600
800
1,000
FY09 FY10
AvgTariff
MnUnits
Generation and Tariff (Rs /kwh)
MU - Generated MU - Sold Avg Tariff
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Corporate Presentation, 2010
Financials and Shareholding pattern KSKEV
Promoters
51%
ForeignCorporate
Bodies
22%
FIIs
15%
MFs
4%Body Corporates
3%
Banks
3%
Others2%
Shareholding Pattern
16
Balance Sheet - Consolidated Inr Mn
FY08 FY09 FY10
Sources of Funds
Share Capital 2,942 3,461 3,726
Reserves & Capital 3,428 16,360 22,894
Minority Interest 1,065 1,650 1,947
Debt 12,522 22,386 53,390
Deferred Tax Liability 39 60 123
Total 19,996 43,917 82,080Application of Funds
Fixed Assets (inclusive ofCWIP & Goodwill) 16,319 32,574 68,983
Investment 849 758 32
NCA 2,827 10,585 13,065
Total 19,996 43,917 82,080
Profit & Loss Statement - Consolidated Inr Mn
FY08 FY09 FY10
Revenue 2,458 3,809 5,025
EBITDA 2,158 3,305 3,695
Interest Expense 627 1,221 1,246
PBT 1,307 1,897 2,189
PAT 1,086 1,454 1,913
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Corporate Presentation, 2010
Overview Performance
KSK Response
Shortages of Fuel supplies and increasing
costs Challenges of Land acquisitions Support Infrastructure limitations and
challenges
Shortage of domestic power equipmentNew government regulations on overseas
contractors and visas
Global Financial crisis and shortages in
availability of capital Lag in capacity additions and shortages
Shortages and environmental issues more
pronounced Sponsor Equity Limited local rupee debt financing and local
sub contractors early movers to zoom ahead
on execution
Large scale Coal Block tie-up withgovernment mining companies
On ground development expertise leveraged Fast track progress and on ground
collaboration with stakeholders
Chinese equipment sourced with Qualityconcerns addressed and mandatory usage
of local sub contractors
Equity raised and limited dependence onnew debt funds
PPA mix of long term and short term
Environmental concerns addressed and newinitiatives planned
2010 focus on Completion of thecommissioning assets, installed capacity to
grow up to 862 MW (5 fold in 12 months)
2010 & 11 - Continuous Progress on 3600 MWPower project in Chhattisgarh on construction
as well as associated support infrastructure
Efficient operations and surplus power salearrangements to actualize returns
Industry Factors
OutlookFY2008, 09 & 10 FY2011
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Coal access scenarios Securing fuel
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Coal Linkage
Coal India subsidiaries
No Ownership
No Control on cost
No Control on Quality
Shortfalls in Guaranteed
quantities
Regular Linkage Cost Plus Blocks
Regular Tapering Regular Tapering
No Ownership
Dip side economics
Quality based on
identified blocks
Captive Coal blocks
Smaller size Blocks
Single Joint
Private Applicants
Control on Quality and
costs
End use restriction
Power, cement, steel
Challenges of end use
project synchronization
Challenges of Joint
exploitation
Govt. Dispensation Coal blocks
Larger size Blocks
SMDC Utilities
Government Applicants
Control on Quality and
costs
No end use restriction
Collaborative format
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Emerging Private Power Players Business Models
Independent Power
Developers with distinct Fuel
access strategies
Independently developed and
hence associated developer
upsides
Large capacity in single
location Greenfield to
brown field
Mix of long term supplies to
short term PPA for deficit
period upsides
Dedicated fuel sources
domestic / Overseas and
hence control on
quality, quantity
Model 4
Regulated fixed Return
Power Plants for Utilities
(IPP)
Practically no Upsides in
generation activity and
hence diversified to wider
Infrastructure businesses
such as Roads, Airports /EPC business
Model 1
Model 2
Existing Industrial Business in
other commodities intending to
leverage their captive business
for independent power play
Challenges of Transfer Pricing -
host business competitiveness
vis--vis independent power
foot print and commonality of
fuel sourcing
Potential upsides with current
Challenges on long term Fuel
Linkages
Limited on ground progress of
projects
Model 3
Large business conglomerates
setting up Ultra Mega Power
projects (UMPP)
Government role of developer
and acquisition of developed
projects. Upsides on fuel /
generation conceded in bid
prices
Benefit of Integrated play -
downstream distribution
businesses and off take
stability but regulatory
determination
Limited upsides based on
execution, operational
efficiency or innovative
sourcing
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Thank you
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