st

51
2013-2014

FUELING THE GROWTH

 ANNUAL REPORT 2013-2014

BOARD OF DIRECTORS
CHAIRMAN DIRECTORS
Shri D.J. Pandian, IAS Ms. S. Aparna, IAS
Shri T. Natarajan, IAS
MANAGING DIRECTOR Shri Bhadresh Mehta
Shri Pankaj Kumar, IAS (From 01.05.2013) BANKERS
COMPANY SECRETARY Bank of Baroda
Shri Joel Evans Dena Bank
Vijaya Bank
AUDITORS Axis Bank Ltd.
M/s. H. K. Shah & Co., Chartered Accountants HDFC Bank Ltd.
State Bank of India
REGISTERED OFFICE Union Bank of India
Khanij Bhavan IDBI Bank Ltd.
132 Feet Ring Road PROJECTS:
Near University Ground
Lignite Projects
Vastrapur,
Panandhro (Dist. Kutch)
Ahmedabad – 380 052 Rajpardi (Dist. Bharuch)
Phone : 2791 3200 / 3501 / 1662 / 1680 / 0665 / Tadkeshwar (Dist. Surat)
0096 / 0465 / 2416 / 2457 / 2443 / 1340 Mata-No-Madh (Dist. Kutch)
FAX : (079) 2791 3038 / 1151 / 1454 / 1822 / 0969 Bhavnagar (Dist. Bhavnagar)
E-Mail : Contact@gmdcltd.com Fluorspar Project
Website : www.gmdcltd.com Kadipani (Dist. Vadodara)
Bauxite Projects
CONTENTS Gadhsisa (Dist. Kutch)
Bhatia (Dist. Jamnagar)
Particulars Page No.
Notice ............................................................................... 3 Calcination Project
Directors' Report ............................................................. 8 Gadhsisa (Dist. Kutch)
Corporate Governance Report ................................... 13 Multi-Metal Project
Certificate by CEO & CFO .......................................... 18 Ambaji (Dist. Banaskantha)
Management Discussion & Analysis .......................... 19 Power Project
Independent Auditor's Report ..................................... 24 Nani Chher (Dist. Kutch)
Report of the C.A.G. .................................................... 27 Wind Farm Project
Balance Sheet .............................................................. 28 Maliya (Dist. Rajkot)
Statement of Profit and Loss ...................................... 29 Jodiya (Dist. Jamnagar)
Cash Flow Statement .................................................. 30 Godsar (Dist. Porbandar)
Significant Accounting Policies & Notes on Accounts .... 31 Bada (Dist. Kutch)
Independent Auditor's Report on Consolidated Varvala (Dist. Jamnagar)
Financial Statements ................................................... 51 Bhanvad (Dist. Jamnagar)
Consolidated Financial Statements ........................... 52 Solar Project
Panandhro (Dist. Kutch)
AGM DATE, DAY, TIME & VENUE Manganese Project
Shivrajpur (Dist. Panchmahal)
Date of AGM : 25.09.2014
Registrar & Share Transfer Agent
Day : Thursday for physical & D-mat Shares
Time : 11.00 a.m. M/s. MCS Limited
Venue : Registered Office of the Company 101, Shatdal Complex, 1st floor,
Khanij Bhavan Opp: Bata Show Room,
Ashram Road,
132 Ft. Ring Road Ahmedabad – 380 009
Near University Ground Tel. (079) 2658 2878
Vastrapur, Ahmedabad-380 052 Fax: (079) 2658 1296

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 FINANCIAL HIGHLIGHTS

Sr. Particulars 2013-14 2012-13 2011-12 2010-11 2009-10 2008-09 2007-08 2006-07 2005-06 2004-05

GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

(A) Statement of Profit & Loss (` In lakhs)
1. Total Turnover 1,34,407.28 1,74,762.51 1,69,599.76 1,42,752.68 1,06,608.05 98,121.21 98,105.54 58,895.65 43,374.08 36,925.50
2. Profit before tax 62,959.01 90,368.72 71,769.78 58,461.06 40,608.25 36,990.48 40,839.48 16,775.22 6,669.12 16,799.15
3. Interest - - 784.89 1,528.32 2,611.22 5,390.84 7,024.77 7,370.52 5,054.94 20.34
4. Depreciation 12,456.50 11,738.40 10,833.29 9,295.55 8,615.31 7,777.77 9,553.69 12,932.05 13,034.02 804.22
5. Provision for tax 19,045.59 30,284.51 23,086.50 20,984.72 12,621.37 13,359.87 14,446.38 5,907.38 2,494.48 6,478.03
6. Profit after tax 43,913.42 60,084.21 48,683.28 37,476.34 27,986.88 23,630.61 26,393.10 10,867.85 4,174.64 10,321.13
7. Short/Excess provision of
tax of earlier years - - - 30.70 1.17 488.85 - 1,420.48 649.31 20.33
8. Net Profit after short/excess tax
prov of earlier years 43,913.42 60,084.21 48,683.28 37,507.04 27,988.05 23,141.76 26,393.10 9,447.37 3,525.33 10,341.46
9. Balance of profit of last year 24,564.90 15,642.01 13,046.36 11,626.94 12,939.98 4,739.10 2,066.44 1,339.52 2,989.78 1,461.33
10. Profit available for appropriation 68,478.31 75,726.22 61,729.64 49,133.98 40,928.03 27,880.86 28,459.54 10,786.89 6,515.11 11,802.79
11. Dividend in % 150.00 150.00 150.00 150.00 125.00 100.00 100.00 100.00 60.00 50.00
12. Dividend in Rupees 9,540.00 9,540.00 9,540.00 9,540.00 7,950.00 6,360.00 3,180.00 3,180.00 1,908.00 1,590.00
2

(B) Balance Sheet

1. Share Capital 6,360.00 6,360.00 6,360.00 6,360.00 6,360.00 6,360.00 3,180.00 3,180.00 3,180.00 3,180.00
2. Reserves and Surplus 2,79,887.62 2,47,135.53 1,98,212.64 1,60,616.98 1,34,197.57 1,15,510.61 1,02,989.73 80,693.28 74,966.36 73,616.63
3. Gross Fixed Assets 2,80,574.16 2,65,632.13 2,55,743.34 2,23,619.18 1,97,608.33 1,88,640.64 1,84,653.41 1,79,178.43 1,71,358.45 92,749.45
4. Net Fixed Assets 1,86,237.72 1,78,023.78 1,75,778.06 1,51,739.13 1,34,143.07 1,30,820.45 1,34,283.09 1,37,135.55 1,36,496.96 70,877.57
5. Capital Employed 2,87,645.95 2,66,406.11 2,20,610.83 1,91,260.84 1,71,092.32 1,85,736.39 1,87,945.97 1,88,169.08 1,86,376.29 1,80,521.34
6. Net worth 2,86,247.62 2,53,495.53 2,04,572.64 1,65,852.01 1,38,755.83 1,20,769.80 1,05,847.65 80,319.15 74,446.76 73,713.62
(C) Financial Ratios
1. % of Net Profit
On Sales 32.67 34.38 28.70 26.25 26.25 24.08 26.90 18.45 9.57 27.95
On Gross Fixed Assets 15.65 22.62 19.04 16.76 14.16 12.53 14.29 6.07 2.44 11.13
On Capital Employed 15.27 22.55 22.07 19.59 16.36 12.72 14.04 5.78 2.24 5.72
On net worth 15.34 23.70 23.80 22.60 20.17 19.57 24.93 13.53 5.61 14.00
On Share Capital 690.46 944.72 765.46 589.25 440.05 371.55 829.97 341.76 131.28 324.56
2. Debt/Equity Ratio Nil Nil Nil 0.08 0.15 0.39 0.63 1.14 1.39 1.45
 ANNUAL REPORT 2013-2014

NOTICE
Notice is hereby given that the 51st Annual General Meeting ` 1,50,000/- plus applicable Service Tax, reimbursement
of the Shareholders of ‘Gujarat Mineral Development of out of pocket expenses incurred in connection with
Corporation Limited’ will be held on Thursday, the 25th the Cost Audit for financial year 2014-15 payable to M/s
September, 2014 at 11.00 AM at the Registered Office of the Manish Analkat, Cost Auditors, as approved by the Board
Company, at Khanij Bhavan, Off:132 Ft. Ring Road, Near of Directors of the Company at its Meeting held on 13-8-
University Ground, Vastrapur, Ahmedabad – 380 052 to 2014, be and is hereby ratified.”
transact the following business :
ORDINARY BUSINESS : By Order of the Board-of-Directors
1. To receive, consider and adopt the Audited Financial Joel Evans
Statements of the Corporation (Standalone and Company Secretary
Consolidated) for the year ended on March 31, 2014, Date : 13.08.2014
including the Balance Sheet, Profit and Loss Statement Place : Ahmedabad.
and Cash Flow Statement as at that date together with Registered Office :
the Report of the Board of Directors and Auditors Gujarat Mineral Development Corporation Limited
thereon. CIN NO:- L14100GJ1963SGC001206
2. To declare dividend on Equity Shares for the year ended ‘Khanij Bhavan’ Vastrapur, Ahmedabad-380 052
31st March, 2014.
3. To fix up the remuneration of Statutory Auditors for the
year 2014-15 to be appointed by the Comptroller & EXPLANATORY STATEMENT
Auditor General of India. PURSUANT TO SECTION 102(1) OF THE COMPANIES ACT,
SPECIAL BUSINESS: 2013.
4. To consider and if thought fit, to pass with or without Item No.4
modifications, if any, the following resolution as an The Government of Gujarat vide notification No.GU/2014/14/
Ordinary Resolution: GMC/102003/889/CHH,1 dated 4-3-2014 has appointed Shri
“RESOLVED THAT Shri D.J. Pandian, IAS, (DIN: D.J. Pandian, IAS, (DIN: 00015443) as a Director and the
00015443) who was appointed as director of the Chairman pursuant to the provisions of Article No. 108 and
company on 4th March 2014, be and is hereby confirmed 107(C ) of the Memorandum and Article of Association. Shri
and appointed as a Director & Chairman of the Company D.J. Pandian, aged 59 years, is a senior IAS officer with a
whose period of office shall not be liable to determination vast work experience. He has served in various senior
by retirement of Directors by rotation pursuant to the positions in Government of Gujarat and in various other
provisions of Section 152 of the Companies Act, 2013.” National and International offices and is currently the Additional
Chief Secretary of Energy and Petrochemicals Department
5. To consider and if thought fit, to pass with or without as well as Industries & Mines Department, Government of
modifications, if any, the following resolution as an Gujarat. He is also on the Board of the following Companies:
Ordinary Resolution:
1. GUJARAT STATE PETROLEUM CORPORATION
“RESOLVED THAT pursuant to the provisions of sections LIMITED
149, 152 and any other applicable provisions of the
2. GUJARAT STATE PETRONET LIMITED
Companies Act, 2013 and the rules made thereunder
(including any statutory modification(s) or re-enactment 3. GSPC GAS COMPANY LIMITED
thereof for the time being in force) read with Schedule 4. GSPC PIPAVAV POWER COMPANY LIMITED
IV to the Companies Act, 2013, Mr. Bhadresh Mehta (DIN 5. GSPC LNG LIMITED
02625115), Director of the Company, be and is hereby
6. GUJARAT POWER CORPORATION LIMITED
appointed as an Independent Director of the Company
to hold office for five consecutive years for a term up to 7. GUJARAT INDUSTRIES POWER COMPANY LIMITED
31st March, 2019, not liable to retire by rotation.” 8. GUJARAT STATE ELECTRICITY CORPORATION
6. To ratify the remuneration of Cost Auditors and if thought LIMITED
fit, to pass the following resolution as an Ordinary 9. GUJARAT ENERGY TRANSMISSION CORPORATION
Resolution: LIMITED
“RESOLVED THAT pursuant to Section 148 and all other 10. GUJRAT URJA VIKAS NIGAM LIMITED
applicable provisions, if any, of the Companies Act 2013 11. GUJARAT NARMADA VALLEY FERTILIZERS &
and the Rules made thereunder, the remuneration of CHEMICALS LIMITED

3
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
12. GUJARAT ALKALIES AND CHEMICALS LIMITED Except Mr. Bhadresh Mehta, being an appointee, none of the
13. MAHAGUJ COLLIERIES LIMITED Directors and Key Managerial Personnel of the company and
their relative is concerned or interested, financially or
14. GUJARAT STATE FERTILIZERS & CHEMICALS
otherwise, in the resolution set out at item no. 5. This
LIMITED
Explanatory Statement may also be regarded as a disclosure
15. TORRENT POWER LIMITED under Clause 49 of the Listing agreement with the Stock
16. BAITARNI WEST COAL COMPANY LIMITED Exchange.
17. GUJARAT GAS COMPANY LIMITED Item No.6
18. GUJARAT INDUSTRIAL CORRIDOR CORPORATION The Board, on the recommendation of the Audit Committee,
LIMITED has approved the appointment and remuneration of the Cost
19. DHOLERA INTERNATIONAL AIRPORT COMPANY Auditors, M/s Manish Analkat, to conduct the audit of the cost
LIMITED records of the Company for the financial year ending March
31, 2015 with a remuneration of `1,50,000.00.
20. GUJARAT INDUSTRIAL INVESTMENT CORPORATION
LIMITED In accordance with the provisions of Section 148 of the Act
read with the Companies (Audit and Auditors) Rules, 2014,
21. DAHEZ SEZ LIMITED
the remuneration payable to the Cost Auditors has to be ratified
Except Shri D J Pandian, being an appointee, none of the by the shareholders of the Company. Accordingly, consent of
Directors and Key Managerial Personnel of the company and the members is sought for passing an Ordinary Resolution as
their relative is concerned or interested, financially or set out at Item No. 6 of the Notice for ratification of the
otherwise, in the resolution set out at item no. 4.This remuneration payable to the Cost Auditors for the financial
Explanatory Statement may also be regarded as a disclosure year ending March 31, 2015.
under Clause 49 of the Listing agreement with the Stock
None of the Directors / Key Managerial Personnel of the
Exchange.
Company / their relatives are, in any way, concerned or
The Board recommends the appointment of Shri D.J. Pandian, interested, financially or otherwise, in the resolution set out at
IAS. Item No. 6 of the Notice. The Board recommends the Ordinary
Item No.5 Resolution set out at Item No. 6 of the Notice for approval by
Mr. Bhadresh Mehta(DIN 02625115) is a Non-Executive the shareholders.
Independent Director of the Company. He joined the Board of By Order of the Board-of-Directors
Directors of the Company in 21.10.2008. Mr. Mehta is Joel Evans
Chairman of the Nomination and Remuneration Committee, Company Secretary
the Audit Committee and Stakeholders Relationship Date : 13.08.2014
Committee, of the Board of Directors of the Company. Place : Ahmedabad.
Mr. Bhadresh Mehta (DIN 02625115), aged 54 years and a Registered Office :
Chartered Accountant by profession. He is not a Director in Gujarat Mineral Development Corporation Limited
any other Company in India. CIN NO:- L14100GJ1963SGC001206
In the opinion of the Board, Mr. Bhadresh Mehta fulfils the ‘Khanij Bhavan’ Vastrapur, Ahmedabad-380 052.
conditions specified in the Companies Act, 2013 and rules
made thereunder for his appointment as an Independent
Director of the Company and is independent of the
management and has given a declaration to the Board that NOTES:
he meets the criteria of independence as provided under 1. Pursuant to Clause 49 of the Listing Agreement, the
section 149(6) of the Act. Copy of the draft letter for particulars of Directors seeking appointment/re-
appointment of Mr. Bhadresh Mehta as an Independent appointment for item no. 4 & 5, under Code of Corporate
Director setting out the terms and conditions would be Governance and the relevant explanatory statement
available for inspection without any fee by the members at pursuant to Section 102(1) of the Companies Act, 2013,
the Registered Office of the Company during normal business relating to the special business for item no. 4 to 6 to be
hours on any working day, excluding Saturday. transacted at the meeting, are annexed hereto.
The Board considers that his continued association would be 2. A member entitled to attend and vote is entitled to appoint
immense benefit to the Company and it is desirable to continue a proxy to attend and vote instead of himself and the
to avail services of Mr. Bhadresh Mehta as an Independent proxy need not be a member. Proxies in order to be
Director. Accordingly, the Board recommends the resolution effective shall be deposited at the Registered Office of
in relation to appointment of Mr. Bhadresh Mehta as an the Corporation, not less than 48 hours before the
Independent Director, for the approval by the shareholders of commencement of the meeting. A person can act as a
the Company. proxy on behalf of members not exceeding fifty and

4
 ANNUAL REPORT 2013-2014
holding in the aggregate not more than ten percent of shareholders during office hours on all working days.
the total share capital of the Company carrying voting Hard copy of details of accounts of GSMRCL shall be
rights. A member holding more than ten percent of the furnished to the shareholder/s on demand.
total share capital of the Company carrying voting rights 10. Members / Proxies are requested to bring a copy of their
may appoint a single person as proxy and such person Annual Report and are also requested to produce the
shall not act as a proxy for any other person or Attendance Slip at the entrance of the Meeting Hall.
shareholder. The ‘Members Register’ and the ‘Share
11. Pursuant to the provisions of Section 205A(5) of the
Transfer Book’ of the Company shall remain closed from
Companies Act, 1956 dividends for the financial year
20th September, 2014 to 22nd September, 2014 (both
ended 31st March, 2007 which had remained unclaimed
dates inclusive).
for a period of seven years from the date of transfer of
3. The dividend declared at the Annual General Meeting the same will have to be transferred to the ‘Investor
will be paid on equity shares of the Company on or after Education and Protection Fund’ established by the
29th September, 2014 to those Members holding shares Central Government. Shareholders who have not
in physical form and whose names appear on the encashed the dividend warrant(s) so far for the financial
Register of Members of the Company on 22nd year ended 31st March, 2007 or any subsequent
September, 2014. In respect of shares held in electronic financial years are requested to make their claim to
form, the dividend will be payable to those who are the M/s. MCS Limited, Ahmedabad. Shareholders are
beneficial owners of shares after close of business hours requested to note that no claims shall lie against the
on 19th September, 2014, as per details to be furnished said Fund or the Company in respect of any amounts
by National Securities Depository Ltd. (NSDL) and which were unclaimed and unpaid for a period of seven
Central Depository Services (India) Limited (CDSL). The years from the dates that they first became due for
dividend warrants will be dispatched from 29th payment and no payment shall be made in respect of
September, 2014 onwards. any such claims.
4. Relevancy of questions and the order of speaker at the The due dates of transfer of unpaid/unclaimed dividend
meeting will be decided by the Chairman. for various years are as under :-
5. Members are requested to give full particulars of their Sr. Year Date of Due Date of
Bank Account details for safe payment of dividend. No. Declaration Transfer
6. Facility of payment of dividend through ECS / NECS is 1 2006-2007 29.09.2007 29.09.2014
available. Those shareholders who are holding shares 2 2007-2008 11.09.2008 11.09.2015
in electronic mode should register their ECS mandate
3 2008-2009 29.09.2009 29.09.2016
with their respective depository participants directly. For
those shareholders who are holding equity shares in 4 2009-1010 28.09.2010 28.09.2017
physical mode, they are requested to deposit ECS 5 2010-2011 30.09.2011 30.09.2018
mandate form with the office of the Company’s Share 6 2011-2012 28.09.2012 28.09.2019
Transfer and Registrar Agent M/s MCS Limited, 101, 7 2012-2013 27.09.2013 27.09.2020
Shatdal Complex, Opp. Bata Show Room, Ahmedabad-
9. ECS mandate form for physical holding is attached to 12. Voting through electronic means
this notice which may be filled up by the shareholders The instructions for members for voting
and sent to the Registrar and Share Transfer Agent. electronically are as under:-
7. Members are requested to notify immediately any As per Sections 107 and 108 of the Companies Act,
change of address to their Depository Participants (DPs) 2013, read with Companies (Management and
in respect of their holdings in electronic form and to Administration) Rules, 2014, facility is provided to the
M/s. MCS Limited, 101, Shatdal Complex, Opp. Bata Shareholders for e-Voting through CDSL to enable them
Show Room, Ahmedabad-9 in respect of their physical to cast their votes electronically on the resolutions
share folios, if any. mentioned in the Notice of the 51st AGM dated 25th
8. Members desiring any information about accounts at the September, 2014. The detailed process, instructions and
meeting, are requested to write to the Company at least manner for availing e-Voting facility is shown hereunder :
seven days in advance of the Annual General Meeting. The Company has fixed 22nd August, 2014 as a cut-off
9. Pursuant to provisions of section 212 of the Companies date to record the entitlement of the Shareholders to
Act, 1956, the members are hereby informed that the cast their votes electronically at the 51st AGM.
annual accounts of M/s Gujarat State Mining & (A) SECTION A : E-VOTING PROCESS –
Resources Corporation Limited (GSMRCL) and the SHAREHOLDERS HOLDING SHARES IN
related detailed information shall be made available to DEMAT FORM
the shareholders on demand. The annual accounts of (i) Log on to the e-voting website
M/s GSMRCL will also be available for inspection by any www.evotingindia.com

5
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
(ii) Click on “Shareholders” tab. (viii) After entering these details appropriately,
(iii) Now, select the “GUJARAT MINERAL click on “SUBMIT” tab.
DEVELOPMENT CORPORATION LIMITED” (ix) Members holding shares in physical form will
from the drop down menu and click on then reach directly the Company selection
“SUBMIT” screen. However, members holding shares
(iv) Now Enter your User ID in demat form will now reach ‘Password
a. For CDSL: 16 digits beneficiary ID, Creation’ menu wherein they are required to
mandatorily enter their login password in the
b. For NSDL: 8 Character DP ID followed
new password field. Kindly note that this
by 8 Digits Client ID,
password is to be also used by the demat
c. Members holding shares in Physical holders for voting for resolutions of any other
Form should enter Folio Number company on which they are eligible to vote,
registered with the Company. provided that company opts for e-voting
(v) Next enter the Image Verification as through CDSL platform. It is strongly
displayed and Click on Login. recommended not to share your password
(vi) If you are holding shares in demat form and with any other person and take utmost care
had logged on to www.evotingindia.com and to keep your password confidential.
voted on an earlier voting of any company, (x) For Members holding shares in physical form,
then your existing password is to be used. the details can be used only for e-voting on
(vii) If you are a first time user follow the steps the resolutions contained in this Notice.
given below: (xi) Click on the 35443 (EVSN) for the relevant
For Members holding shares in Demat Form GUJARAT MINERAL DEVELOPMENT
and Physical Form CORPORATION LIMITED on which you
PAN Enter your 10 digit alpha-numeric *PAN issued by choose to vote.
Income Tax Department (Applicable for both demat (xii) On the voting page, you will see
shareholders as well as physical shareholders) “RESOLUTION DESCRIPTION” and against
• Members who have not updated their PAN with the same the option “YES/NO” for voting.
the Company/Depository Participant are Select the option YES or NO as desired. The
requested to use the first two letters of their name option YES implies that you assent to the
and the last 8 digits of the demat account/folio Resolution and option NO implies that you
number in the PAN field. dissent to the Resolution.
• In case the folio number is less than 8 digits enter (xiii) Click on the “RESOLUTIONS FILE LINK” if
the applicable number of 0’s before the number you wish to view the entire Resolution details.
after the first two characters of the name in (xiv) After selecting the resolution you have
CAPITAL letters. e.g. If your name is Ramesh decided to vote on, click on “SUBMIT”. A
Kumar with folio number 100 then enter confirmation box will be displayed. If you wish
RA00000100 in the PAN field. to confirm your vote, click on “OK”, else to
• If the folio no. starts with aplha, then take first 2 change your vote, click on “CANCEL” and
digit of your name and then after folio no. e.g. If accordingly modify your vote.
your name is Jagdish and your folio no. is
(xv) Once you “CONFIRM” your vote on the
J0000001 then enter JAJ0000001 in the PAN
resolution, you will not be allowed to modify
field.
your vote.
DOB/ Enter the Date of Birth as recorded in your demat
(xvi) You can also take out print of the voting done
Dividend account or in the company records for the said
by you by clicking on “Click here to print”
Bank demat account or folio in dd/mm/yyyy format. Enter
option on the Voting page.
Details# the Dividend Bank Details as recorded in your
demat account or in the company records for the (xvii) If Demat account holder has forgotten the
said demat account or folio. changed password then Enter the User ID
# Please enter the DOB or Dividend Bank Details and the image verification code and click on
in order to login. If the details are not recorded Forgot Password & enter the details as
with the depository or company, please enter the prompted by the system.
number of shares held by you as on the cut off (xviii) For Institutional shareholders :
date (22nd August 2014) in the Dividend Bank • Institutional shareholders (i.e. other
details field. than Individuals, HUF, NRI etc.) are

6
 ANNUAL REPORT 2013-2014
required to log on to https:// voting, you may refer the Frequently Asked Questions
www.evotingindia.co.in and register (“FAQs”) and e-voting manual available at
themselves as Corporate. www.evotingindia.co.in under help section or write an
email to helpdesk.evoting@cdslindia.com.
• They should submit a scanned copy of
the Registration Form bearing the Contact Details
stamp and sign of the entity to Company Gujarat Mineral Development Corporation
helpdesk.evoting@cdslindia.com. Limited
(A Government of Gujarat Enterprise)
• After receiving the login details they CIN : L14100GJ1963SGC001206
have to create a user who would be Khanij Bhavan”, 132 Ft. Ring Road, Near
able to link the account(s) which they University Ground, Vastrapur, Ahmedabad-52
wish to vote on. Phone : 2791 0665 / 2791 1662 / 2791 3200 /
• The list of accounts should be mailed 2791 3201
to helpdesk.evoting@cdslindia.com TeleFax : 079 – 2791 1151
and on approval of the accounts they e-mail : cosec@gmdcltd.com,
website : www.gmdcltd.com
would be able to cast their vote.
Registrar M/s MCS Limited
• They should upload a scanned copy of
& Share 101, Shatdal Complex
the Board Resolution and Power of Transfer Opp. Bata Show Room
Attorney (POA) which they have issued Agent Ashram Road, Navrangpura
in favour of the Custodian, if any, in Ahmedabad-380 009
PDF format in the system for the e-Voting Central Depository Services (India) Limited
scrutinizer to verify the same. Agency E-mail : helpdesk.evoting@cdsindia.com
SECTION-B : Scrutinizer M/s Sandip Sheth & Associates
E-VOTING PROCESS-SHAREHOLDERS HOLDING Practicing Company Secretary
SHARES IN PHYSICAL FORM E-mail : Sheth.sandip@gmail.com
Please follow all steps from sl. no. (i) to sl. no. (xvi) above to
cast vote.
SECTION C :
COMMENCEMENT OF E-VOTING PERIOD AND OTHER E-
VOTING INSTRUCTIONS
1. The voting period begins on Friday, 19th September
2014 at (9.00 a.m.) and ends on Sunday, 21st September
2014 (6.00 p.m). During this period shareholders’ of the
Company, holding shares either in physical form or in
dematerialized form, as on the cut-off date (22nd August
2014), may cast their vote electronically. The e-voting
module shall be disabled by CDSL for voting thereafter.
2. The voting rights of Members shall be in proportion to
their shares of the paid up equity share capital of the
Company as on 5th July 2014.
3. Mr. Sandip Sheth, Practicing Company Secretary
(Membership No. FCS 5467), has been appointed as
the Scrutinizer to scrutinize the e-voting process
(including the Ballot Form received from the Members
who do not have access to the e-voting process) in a
fair and transparent manner.
4. The result of voting will be announced by the Chairman
of the Meeting on or after the 51st Annual General
Meeting to be held on Thursday, the 25th September,
2014. The result of the voting will be communicated to
the Stock Exchanges and will be placed on the website
of the Company www.gmdcltd.com.
5. In case you have any queries or issues regarding e-

7
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

DIRECTORS' REPORT 2013-2014

To accordance with the provisions of the Companies Act,
The Shareholders, 1956 for safeguarding the assets of the Company and
Gujarat Mineral Development Corporation Limited for preventing and detecting fraud and other irregularities.
Your Directors have pleasure in presenting 51st Annual Report (4) the Directors have prepared the accounts for the financial
along with the audited accounts of your Corporation for the year ended 31st March, 2014 on a Going Concern Basis.
financial year 2013-2014. Our profit after tax for the year is
` 43,913 lakhs as against ` 60,084 lakhs last year. DIVIDEND
Financial Results 2013-14 2012-13 Your Directors have pleasure to recommend a dividend of
` In lakhs) (`
(` ` In lakhs) 150% i.e. ` 3/- per share on equity shares. An amount of
Operating profit 75,415 1,04,145 ` 9,540 lakhs on equity share capital of ` 6,360 lakhs shall be
paid as dividend.
Less: Interest - -
Profit after interest, but Before CONTRIBUTION TO STATE AND CENTRAL EXCHEQUER:
depreciation 75,415 1,04,145 The Company has contributed to the State Exchequer an
Less: Depreciation 12,456 11,738 amount of ` 29,718.53 lakhs including Royalty of ` 6,074.55
Profit before tax & exceptional lakhs and Sales Tax of ` 23,643.98 lakhs.
items 62,959 92,407 The contribution to Central Exchequer was an amount of
Less: Exceptional items - 2,038 ` 19,045.59 lakhs as Income tax, ` 5,440.77 lakhs as Central
Profit before tax 62,959 90,369 Excise and ` 4,206.17 lakhs as Clean Energy Cess.
Less: Provision for tax for the SHARE CAPITAL
year including deferred tax 19,046 30,285 During the year under review the issued, subscribed and paid-
Net profit after tax 43,913 60,084 up share capital remained constant at ` 63.60 Crores divided
Add: Balance of Profit brought into 31,80,00,000 equity shares of ` 2 each.
forward 24,565 15,642
FINANCE AND TAXATION
Less:Excess/Short provision of
Deferred tax liability (net) - - Income Tax assessment of the Corporation has been
completed up to the Financial Year 2010-11 and the Sales
Profit available for appropriation 68,478 75,726
Tax assessment has been completed up to the Financial Year
Less: Appropriations 2009-10.
(i) Proposed Dividend 9,540 9,540
INTERNAL AUDIT
(ii) Corporate tax on dividend 1,621 1,621
M/s. T.R.Chadha & Co. and M/s Dhirubhai Shah & Doshi,
(iii) General Reserve 25,000 40,000
Chartered Accountants were appointed as Internal Auditor of
Balance carried to Balance Sheet 32,317 24,565 the Company for the year 2013-14.
DIRECTORS’ RESPONSIBILITY STATEMENT STATUTORY AUDIT
Pursuant to the requirement under section 217(2AA) of the
M/s. H.K. Shah & Co., Chartered Accountants were appointed
Companies Act, 1956 with respect to Directors’ Responsibility
as Statutory Auditors of the Company by the Comptroller &
Statement, it is hereby confirmed that :
Auditor General of India for the year 2013-14.
(1) in the preparation of the accounts for the financial year
ended 31st March, 2014, the applicable accounting COST AUDIT
standards have been followed along with proper M/s N.D. Birla & Co. were appointed as Cost Auditors of the
explanation relating to material departures. Company for the year 2013-14. The Cost Audit Report was
(2) the Directors have selected such accounting policies and filed on 26-9-2013 for the Financial Year 2012-13.
applied them consistently and made judgements and
estimates that were reasonable and prudent so as to give REVIEW OF THE OPERATIONS
a true and fair view of the state of affairs of the Company During the year, your Corporation operated five lignite mines,
at the end of the financial year and of the profit or loss of namely, Panandhro, Mata-No-Madh, Rajpardi, Tadkeshwar
the Company for the year under review. and Bhavnagar Lignite Mines. Inspite of stiff competition from
(3) the Directors have taken proper and sufficient care for alternate fuels such as petcoke and imported coal, the total
the maintenance of adequate accounting records in lignite sales were sustained and during the year 2013-14,

8
 ANNUAL REPORT 2013-2014
83.98 lakhs MT of lignite were produced from these mines. Plant was 8.40 MUs. The Solar Project generated the revenue
The mine-wise production figures are as follows : of ` 12.40 crores.
Sr. Name of mine Lignite production BRIEF ABOUT VARIOUS CENTRES OF EXCELLENCE RUN
No. in lakhs MT BY GMDC
1 Panandhro 26.74 International Centre of Excellence in Mining Safety &
2 Mata-No-Madh 30.03 Automation (iCEM):
3 Tadkeshwar 10.78 Your company has taken an initiative to establish International
4 Rajpardi 05.77 Centre of Excellence in Mining Safety & Automation (iCEM)
at Dev Dholera village in the district of Ahmedabad, Gujarat
5 Bhavnagar 10.66
(India) with an objective to be recognized as the distinguished
Total 83.98 global collaborator to the Mining industry in the fields of Skill
FLUORSPAR PROJECT, KADIPANI (DIST. VADODARA) Development and Corporate Training, Demonstration of
Technology and Best Practices, Education and Training,
GMDC along with M/s. Gujarat Fluoro Chemicals Limited and
Research and Development, Incubation, and
M/s Navin Fluorine Chemicals Limited is setting up fluorspar
Entrepreneurship through continued innovation and
beneficiation project, a single largest project of 40,000 MTPA
excellence in mining, mineral development and facilitating
capacity at Kadipani. For selection of suitable technology, core
industrial development in joint ventures with Industry and
samples has been analysed at China. Further course of action
Academic Partners.
for selection of technology is under process.
International Stone Research Centre (ISRC):
BAUXITE
Your company has taken an initiative to establish International
During the year under review, the Gadhsisa Group of bauxite Stone Research Centre (ISRC) at Ambaji in the district of
mine has produced 5,520 M.T. of (+) 52% Al2O3 bauxite and Banaskantha, Gujarat (India) with an objective to nurture and
2,08,166 MT of (-) 52% Al2O3 bauxite. support the Stone Industry by bringing National and
During the year under review, the Gadhsisa Group of mines International Best Practices through Skill Formation,
sold 21,185 MT of (+) 52% Al2O3 and 97,614 MT of (-) 52% Development, Upgradation, Research & Development, and
Al2O3 along with 75,547 MT of mine dust. Incubation and Entrepreneurship Development. ISRC will be
set up by GoG through Gujarat Mineral Research and
MANGANESE
Development Society (GMRDS), Gujarat Mineral Development
During the period 2013-14, Corporation has disposed of Corporation Ltd. (GMDC), Gujarat Industries Power Company
25,534 MT of manganese Ore Waste dump lying at Pani area Ltd. (GIPCL), and Stone Technology Centre (STC) as Industry
of Panchmahal district. Partners and Internationale Marmi E Macchine (IMM) Carrara
MEWASA BAUXITE PROJECT, MEWASA S.P.A, Italy as International Knowledge Partner under the
Centre of Excellence Scheme of Industry & Mines Dept., GoG.
GMDC has obtained National Wildlife Board-New Delhi
clearance and also entered into lease deed agreement with International Centre for Entrepreneurship & Technology
District Collector for Mewasa bauxite project. The (iCreate):
commencement of mining activities at Mewasa bauxite mine Gujarat Mineral Development Corporation Limited (GMDC)
is expected soon. and Gujarat Entrepreneurship and Venture Promotion
POWER PROJECT – NANI CHHER Foundation (GEVPF) have entered into an agreement and
formed a Section-25 Company named as Gujarat Foundation
During the year under review, the total generation of Akrimota for Entrepreneurial Excellence (GFEE) on a PPP model which
Thermal Power Station was 985 MUs. The power project in turn will set up an International Centre for Entrepreneurship
generated the revenue of ` 172.60 Crores. During the year, and Technology (ICREATE). The Centre is guided by an
this project generated loss of ` 10.44 crores. advisory board led by Shri N.R. Narayana Murthy. Construction
WIND FARM of campus started at Dev Dholera village in the district of
Your directors are pleased to inform you that Wind Farms with Ahmedabad, Gujarat (India)
a capacity of 50.4 MW were progressively The Centre will identify, nurture, mentor and grow the spirit of
commissioned by 31.08.2013. The total Wind farm capacity as entrepreneurship and innovation amongst the youth. The
on date is 150.9 MW and it earned revenue of ` 99.90 crores. Centre is an independent centre and will facilitate “Next
Generation Entrepreneurship” that blends creativity,
SOLAR POWER
innovation, engineering, product design and leverages
During the year, the total generation of 5 MW Solar Power emerging technologies to evolve out-of-the-box applications.

9
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
NEW PROJECTS AND SCHEMES OF THE CORPORATION formed a JVC to a 2000 TPD Beneficiation plant for lead,
1. Gujarat Jaypee Cement & Infrastructure Limited zinc and copper based on lease of Ambaji, Deri and
Basantgadh. As per the detailed Project Report prepared
GMDC formed Joint Venture with M/s. Jaypee Associates
by M/s. SRK Consultants of USA, the project is
Limited for setting up of 2.4 million TPA of Cement project
economically viable. The valuation of mineral assets of
based on limestone supply from GMDC. The land
Ambaji was carried out through IBM Nagpur. The project
required for the project has been identified and
is under valuation stage.
application made to concerned department for allocation.
Allocation order is awaited. Further progress will take only 7. Gujarat Credo Mineral Industries Limited
after allocation of land is made. GMDC along with M/s. Credo Mineral Industries Limited
2. Gujarat Gokul Power Company Limited formed a JV to set up Zeolite, Proppants and low grade
bauxite beneficiation project based on bauxite supply
GMDC formed J.V. with M/s. Gujarat Refoils & Solvents
from GMDC. The land required for the project has been
Limited for setting up of 125 MW Power Project based purchased near our Naredi mines and all Govt.
on lignite supply from GMDC. The land required for the clearances required for implementation of the project
project has been acquired. Project related activities have have been obtained. The project for Beneficiation of low
started and some of Govt. clearances have also been grade bauxite (phase-I) has been commissioned. During
received. the year 2013-14, the JV company has sold beneficiated
3. Bhavnagar Energy Company Limited materials worth of ` 16.00 crores.
GMDC along with seven other PSUs formed a JV 8. Alumina & Aluminium Smelter
Company for setting up of 500 MW Power Generation GMDC identified M/s. National Aluminium Company
plant based on the lignite to be supplied from 3 lignite Limited (NALCO), a Govt. of India Navratna Company to
mines of GPCL. A tripartite agreement among GMDC, set up Alumina and Aluminium Smelter plant in Kutch
GPCL and BECL has been executed on 31.03.2012. As District based on the bauxite to be supplied by GMDC.
per the terms of this Agreement, GMDC has been The proposal for equity participation of GMDC in the JVC
entrusted the work of MDO to develop the project. 1st has been approved by Government of Gujarat. The part
Unit will be commissioned by Financial Year 2014-15. of land has been acquired and acquisition of the
4. Gujarat State Mining & Resources Corporation remaining land is under process. The same shall be
Limited acquired soon. Detailed Project Report received from
GMDC along with M/s. Sunflag Iron & Steel Company NALCO is under our scrutiny.
Limited, has formed a JVC to acquire coking coal blocks 9. Speciality Alumina Chemicals
to be allocated under Govt. dispensation route for setting GMDC along with M/s. Alumina Refinery Pvt. Ltd. is
up of Coke Oven Plant in Gujarat. List of coal blocks to setting up a project for Speciality Aluminium Chemicals
be allocated by Govt. of India, has not been notified as plant in Kutch based on the bauxite to be supplied by
yet. After such a list is notified, application shall be made GMDC from Kutch. Land required for the project has
for identified blocks for allocation. Further progress in already been obtained and most of Govt. clearances have
the project for setting up of Coke Oven plant depends on also been obtained. Commissioning of the project is in
coal blocks allocation. advanced stage and project is expected to start working
5. Naini Coal Company Limited shortly.
GMDC alongwith Pondicherry Industrial Promotion ENVIRONMENT PROGRAMME
Development & Investment Corporation Limited Being a mining industry, GMDC is well concerned with
(PIPDICL) set up a JVC to develop the Naini Coal Block surrounding environment and doing its best towards
allocated jointly to GMDC and PIPDICL by Govt. of India, environment protection. Environmental protection is one of
in the ratio of 50:50 coal reserves of the block. Geological our prime objectives and to minimize the negative impacts of
report has been prepared by CMPDIL. Due to slow mining operations, GMDC has adopted all environmental
progress, MOC, Government of India, deallocated coal measures to control Air, Water, Noise & Land pollution etc.
block. The company filed writ petition in the Hon’ble High Our projects are certified under ISO 9001, ISO 14001 &
Court. The case has been transferred to Supreme Court. OHSAS 18001.
Final decision is awaited. Towards environment protection, this year GMDC has planted
6. RBG Mineral Industries Limited total 2.42 Lakhs plant saplings covering 102.94 hectares of
GMDC, Rajasthan State Mines & Minerals Development area. Grassland has developed in 15.5 hectares of area. Micro
Corporation and M/s. Binani Industries Limited have drip irrigation system has installed in 26.84 hectares of area.

10
 ANNUAL REPORT 2013-2014
Further GMDC has established a plant nursery at its Mata No community halls, sewerage systems, water tanks, RO Plants
Madh Lignite Project, Kutch for their in-house consumption are provided in the villages surrounding the project areas. In
as well as for distribution to nearby GMDC’s projects. order to promote higher education amongst the rural girl child,
Stabilization of non active permanent overburden dumps (1 your Company has provided a special scholarship scheme to
Lakh Square Meters Area) has done through geo coir mat & the eligible girl students for core zone villages. With the
thereafter grass development in all lignite projects of GMDC. recognition of CSR under the new Company Law regime, CSR
Production capacity expansion from 3MTPA to 5MTPA at has emerged as a strategic area of operations and your
Surkha (N) Lignite Project, Bhavnagar has initiated. company is committed to further this CSR mandate in a
Preparation of EIA-EMP report has completed and further planned and systematic manner.
Public Hearing also has conducted. NOC and CCA of various PARTICULARS OF EMPLOYEES
projects have achieved and/or renewed well within time. As No employee was in receipt of emoluments in excess of
per the requirement of MoEF EC and GPCB CCA, ` 5,00,000 per month or ` 60,00,000 per annum during the
environmental monitoring is being done in-house as well as year under review.
through MoEF/GPCB approved laboratory to measure the CONSERVATION OF ENERGY, TECHNOLOGY
operational impact on environment and further corrective ABSORPTION, FOREIGN EXCHANGE EARNINGS AND
measures, if required. Annual Environmental Audit of all GMDC OUTGO
projects is being done by GPCB approved Schedule I Auditor
Additional information on conservation of energy, technology
and reports are submitted to GPCB within stipulated time.
absorption, foreign exchange earnings and outgo as required
GMDC set a benchmark by conducting Energy & Water Audit
by the Companies(Disclosure of particulars in the report of
along with Carbon Foot printing of all its projects through
Board of Directors) Rules, 1988 is annexed as Annexure-I
approved and qualified external auditors.
and forms part of this report.
To create environmental awareness among all employees and
BOARD-OF-DIRECTORS
surrounding communities including schools, various
environmental awareness programs have conducted including During the year under review, the Government of Gujarat had
celebration of World Environment Day and Van Mahotsav in given additional charge of Managing Director, GMDC to Shri
various GMDC projects. Pankaj Kumar, IAS, vice Shri B.B. Swain, IAS.
INDUSTRIAL RELATIONS, HEALTH AND SAFETY CORPORATE GOVERNANCE
The relations between your Company and its employees As per Clause 49 of the Listing Agreement with the various
continued to be cordial throughout the year. GMDC’s Stock Exchanges, the detailed report on the Corporate
commitment to the health and safety of project staff and Governance is given in Annexure-II.
inhabitants within the surrounding areas of mines through our ACKNOWLEDGEMENT
efforts at providing : Your Directors are pleased to place on record their deep
1. Well equipped and staffed dispensaries at Panandhro, appreciation for the sincere services and co-operation
Rajpardi, Kadipani and at Akrimota Power Project. extended by the officers, employees and workmen of the
2. Ambulance Vans to Taluka Panchayats of Kutch. Corporation at all levels. They also wish to place on record
their gratitude for the confidence placed in them by financial
3. Uniforms as well as ISI & DGMS approved safety shoes,
institutions and investors. Further, your Directors wish to thank
helmets and devices as per the provisions of the Mines
various departments of the Central Government viz. the
Act.
Ministry of Environment and Forest, Ministry of Coal, Ministry
INCLUSIVE DEVELOPMENT of Mines and various bodies of State Government of Gujarat
Your Company has since inception imbibed the philosophy of viz. Industries & Mines Department, the Finance Department,
inclusive development, wherever it has its areas of operations. Commissionerate of Geology and Mining and Gujarat State
During the year under review, your Company has carried out Pollution Control Board. The Directors also extend their
various developmental initiatives to reach out to the local heartiest thanks to the esteemed customers and shareholders
community in order to augment their standard of living. Your of the Corporation for their valued co-operation.
Corporation targets the rural health and sanitation, agriculture For and on behalf of the Board-of-Directors
and micro irrigation, education and rural infrastructure. Mobile
D.J.Pandian
dispensaries at various projects provide much needed critical
Chairman
health care to the remotest villages. Not only these, the
hospitals at select projects provide health care facilities to Date : 13.08.2014
both employees and to the community of surrounding villages. Place : Gandhinagar
Various rural infrastructures such as roads, solar street lights,

11
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

ANNEXURE : I
FORM – A FORM B
DISCLOSURE OF PARTICULARS WITH RESPECT TO DISCLOSURE OF PARTICULARS WITH RESPECT TO
CONSERVATION OF ENERGY, POWER AND FUEL TECHNOLOGY ABSORPTION RESEARCH AND
CONSUMPTION. DEVELOPMENT
A. Conservation of Energy Research and Development
(a) Energy Conservation Measures taken Particular fields in which Research and Development carried
Installation of 5MW solar power plant in the F.Y. out by the Corporation are as follows :
2013-14 Research & Development (R&D)
(b) Additional Investments and Proposal for 1. Specific Areas in which R & D carried out by Company
Reduction of Consumption of Energy NIL
NIL 2. Benefits derived as a result of above R & D
(c) Impact of the above measures NIL
Alternative non conventional energy source will 3. Future Plan of Action
result in saving of traditional energy.
1. Value addition of low grade manganese mineral.
B. Technology absorption
2. Development of Deep seated lignite and coal deposit
The disclosure is made in the prescribed Form B. thorough Underground Coal Gasification method.
C. Foreign Exchange Earnings and outgo 3. Laterite and low alumina content bauxite value
Total foreign exchange used : GBP 77,535.44 addition for use in proposed Alumina projects.
Total foreign exchange earned : NIL 4. Value addition of Silica Sand of Rajpardi mine
5. New exploration of lignite, bauxite, limestone and
manganese.
6. Wind Farm project.
Technology absorption, adaptation and innovation
1. Efforts in brief made towards technology
absorption, adaptation and innovation :
1. Installation of wind power farms with a capacity
of 150.9 MW.
2. Latest Fluorspar beneficiation technology.
3. Dry beneficiation of Lignite to reduce moisture
and sulphar content. The plant is under
installation.
2. Benefits derived as a result of the above efforts :
1. Generation of clean and sustainable energy.
2. Recovery of ore will improve and process cost
will be reduced.
3. Dry beneficiation will improve Calorific value
of Lignite from 3000 to 4000 Kcal and dry
beneficiated Lignite will be eco friendly fuel.

12
 ANNUAL REPORT 2013-2014

ANNEXURE : II
REPORT ON CORPORATE GOVERNANCE FOR F.Y. 2013-14
(Pursuant to clause 49 of the Listing Agreement)
Company’s Philosophy on Code of Governance 6. Bhadresh NED/ID Director Nil - -
Vinaychandra
GMDC is committed to good governance practices across all Mehta
the fields where it operates. Being a Government Public Sector 7. Ms. S Aparna, NED/PD Director 12 1 1
Undertaking, GMDC envisages the attainment of the high IAS
standards of corporate governance by timely disclosures, 8. T Natrajan, IAS NED/PD Director Nil - -
(From 1.7.2013)
transparent accounting policies, responsibility and fairness.
The Company is consciously adopting the practices that are Notes:
transparent and effective. It is its corporate philosophy that 1. None of the Directors is related to any other Director.
good corporate governance practices ultimately results in the 2. None of the Directors has any business relationship with
enhancement of value for all the stakeholders, be they the Company.
shareholders, Government, society or business community 3. None of the Directors received any loans and advances
at large. Its endeavour is to maximize the long term value of from the Company during the year.
the shareholders of the Company. 4. Outside directorship do not include alternate directorship,
BOARD-OF-DIRECTORS directorship of Private Ltd. Companies, Section 25
Company and of Companies incorporated outside India.
Composition
The Number of outside Committee position held includes
The present strength of the Board is five Directors, The Board Audit Committee and Investor Grievance Committee only.
of Directors of the Company comprises of mix of both Executive 5. Shri B B Swain has been appointed as Managing Director
and Non-executive Directors with independent Directors. The up to 30th April 2013. From 1st May, 2013 Shri Pankaj
Board members consist of persons with professional expertise Kumar has been appointed as Managing Director.
and experience in various fields of Finance, Accounts, 6. PD-Promoter Director, NED-Non Executive Director, ED-
Management, Law, Labour Welfare etc. Further, Being a State Executive Director.
Government Public Sector Undertaking, majority Directors are All the Directors play an active and important role by
IAS Officers who have possessed professional expertise and participating in deliberations at the Board/Committee
are appointed by the Government of Gujarat except Shri Meetings.
Bhadresh Mehta. Seven meetings of the Board-of-Directors were held
Category and Designation of Directors: during the year i.e. on 10.4.2013, 28.5.2013, 30.7.2013,
31.8.2013, 30.10.2013, 30.12.2013 and 12.2.2014.
Sr. Name of the Category Designation No. of No. of specified
No. Directors Directorship committees (other than The attendance of each Director at the Board Meetings
in other GMDC) in which held during the year and at the last Annual General
companies Chairman / Member Meeting held on 27th September, 2013 is as under :
(Excluding
Pvt. Ltd. Sr. Name of the Directors Meeting held No. of Attendance
companies) No. during the meetings at the
Chairman Member tenure of attended last AGM
1. Maheshwar NED/PD Chairman/ 09 - - Directors
Sahu, IAS Director 1 Shri M S Sahu, IAS Chairman 6 6 NO
(Up to 31.1.2014)
2. Shri B B Swain, IAS
2. D J Pandian, IAS NED/PD Chairman/ 21 - - *Up to 30.04.13 1 1 NO
(From 4.3.2014) Director
3 Shri Pankaj Kumar, IAS
3. Bidyut Behari ED/PD Managing 14 - -
Swain (Please Director *From : 01.05.13 6 6 YES
Refer Note No. 5 4. Ms. S Aparna, IAS 7 3 NO
as mentioned 5. Shri Vinay Vyasa, IAS 1 1 NO
below)
4. Pankaj Kumar, ED/PD Managing 12 - 1
6. Shri Bhadresh Mehta 7 6 YES
IAS Director 7 Shri T Natrajan 5 5 YES
5. Vinaykumar NED/PD Director Nil - - Board’s Procedure
Yogeshchandra
Vyasa, IAS Apart from the matters which are to be decided by the Board
(up to 1.7.2013) as per relevant statutes and rules, all major decisions involving

13
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
large capital expenditure, award of major contracts, Remuneration Committee
mobilization of resources, pricing policies, loans and Since the Company is a Government Company in terms of
investments, policy relating to all borrowings and personnel Section 617 of the Companies Act, 1956, the remuneration of
matters including Employees’ compensation etc., are decided Directors is fixed by the Govt. of Gujarat and the remuneration
by the Board.
of Executives, Supervisors and Workmen is fixed by the Board-
COMMITTEES OF THE BOARD of-Directors in-line-with the Government guidelines. None of
In addition to the Audit Committee and Shareholders / the Non-Executive Director of the company has any pecuniary
Investors Grievance Committee as required to be constituted relationship or transactions with the Company. Hence no
under the Listing Agreement, the Board has constituted the Remuneration Committee has been constituted.
following Committees: However, the Details of Sitting Fees paid to the Directors
1. Tender Committee for the year 2013-14 are mentioned hereunder along with
2. Personnel Committee their shareholding in the Company.
3. Share Transfer Committee Sr. Name of the Directors Remuneration Sitting No. of
No. `)
paid (` fees (``) Shares
Audit Committee held
1. Shri Maheshwar Sahu, IAS Chairman — 30000/-* Nil
The Audit Committee of the Company comprises of following
three non-executive directors out of which one is Independent 2. Shri B B Swain, IAS Managing Director
upto 30.04.13 — — Nil
Director as on 31.03.2014.
3. Shri Pankaj Kumar, IAS
1. Bhadresh Mehta Non-Executive Director/Independent Managing Director From: 01.05.13 — Nil
Director 4 Ms. S Aparna, IAS — 35000/-* Nil
2. Ms. S. Aparna Non-Executive Director/Promoter 5. Shri Vinay Vyasa, IAS — 10000/-* Nil
Director 6. Shri T Natrajan, IAS — 45000/-* Nil

3. T Natrajan Non-Executive Director/Promoter 7 Shri Bhadresh Mehta — 60000/- Nil

Director *Paid into Government Treasury
The Audit Committee is headed by an independent director. Shareholders’ / Investors’ Grievance Committee
The Audit Committee met four times during the Financial Year The Company has constituted a “Shareholders’/ Investors’
2013-14 to discuss inter alia the Auditor’s Report, adequacy Grievance Committee”. This Committee looks into the
of internal control / internal audit system and functions, to redressal of shareholders’/investors’ grievances, if any,
review the unaudited quarterly financial results etc on regarding transfer / transmission / demat of shares, loss of
28.5.2013, 30.7.2013, 30.10.2013 and 12.2.2014. The number Share Certificates, Non-receipt of Annual Report, Dividend
of meetings of Audit Committee and attendance of members Warrants, Re-payment of principal and/or interest on fixed
at these meetings during the year are stated as under: deposits etc., During the year, complaints received from the
Sr. Name of the Directors Meeting held Attended shareholders have been resolved to date. The Company has
No. during tenure no transfer pending at the close of the Financial Year.
1. Shri Bhadresh Mehta 4 4 The composition of the Committee during the year under
review was as under:
2 Ms. S Aparna,IAS 4 2
Shri Bhadresh Mehta Chairman
3. Shri T Natrajan, IAS 3 3
Shri B B Swain, IAS Member upto 30.4.2013
The Company Secretary acts as Secretary to the Audit
Committee. Shri Pankaj Kumar,IAS Member From 1.5.2013
The Chairman of the Audit Committee was present at 50th The details of the complaints received, solved, pending etc.,
Annual General Meeting of the Company held on 27th are as under:
September 2013 . Period Complaints Complaints
Terms of Reference of the Audit Committee Received Redressed
The terms of reference of Audit Committee is governed by the 01-04-2013 to 30-06-2013 00 00
provisions of Clause 49 of the listing agreement. The terms of 01-07-2013 to 30-09-2013 00 00
reference, inter alia, include oversight of the Company’s
01-10-2013 to 31-12-2013 00 00
financial reporting process, review of annual financial
statements, quarterly financial statements, internal control 01-01-2014 to 31-03-2014 00 00
systems, internal audit reports etc. Total 00 00

14
 ANNUAL REPORT 2013-2014
The Company Secretary acts as Secretary of the Disclosures:
“Shareholders’ / Investors’ Grievance Committee”
(a) The Company has no materially significant related party
Share Transfer Committee transaction i.e. transactions that may have potential
In-order-to provide efficient and fast share transfer service to conflicts with the interest of the Company or that may
the investors, the Board has constituted a Share Transfer have potential conflicts with the interests of the Company
Committee. The composition of the Committee during the year at large with its promoters, the Directors or the
under review is as under: management, their subsidiaries or relatives etc.
Shri Bhadresh Mehta Chairman For details, about related parties transactions see Note
Shri B B Swain, IAS Member upto 30.4.2013 No.2.31 of Note-on-Accounts.
Shri Pankaj Kumar,IAS Member From 1.5.2013 (b) There were no instances of non-compliance by the
Company or penalties imposed on the Company by the
The Company has entered into a comprehensive agreement
with M/s. MCS Limited, Ahmedabad to act as the Share Stock Exchange/(s) or SEBI or any statutory authority, of
Transfer Agent and the Depository Registrar (STA & DR) to any nature related to Capital Markets during the last three
attend to transfers/ transmission requests and co-ordinate with years.
the Depositories and Depository Participants. (c) In the preparation of financial statements, there is no
As per the Listing Agreement, the Company Secretary is treatment different from that prescribed in accounting
appointed as the Compliance Officer and the activities of the standards.
Share Transfer Agent are under the supervision of the
(d) The company has integrated approach to manage the
Compliance Officer.
risk inherent in the various aspects of business.
General Body Meetings
Code of Conduct
(a) The last three Annual General Meetings of the Company
were held at Ahmedabad at the time, dates and venue The Board of Directors of the Company has approved and
mentioned below : adopted a Code of Conduct for the Directors as well as Senior
Management of the company. It has also been placed on
Year Date Time Venue company’s website at www.gmdcltd.com.
2010-11 30.09.2011 11.00 AM Registered Office of the Company, at
All the Board Members and Senior Management Personnel
Khanij Bhavan, 132’ Ring Road, Near
have affirmed compliance with the Code of Conduct during
University Ground, Vastrapur,
Ahmedabad – 380 052 2013-14. A declaration by the Managing Director to this effect
is provided at Annexure A which forms part of the company’s
2011-12 28.09.2012 11.00 AM Registered Office of the Company, at
Annual Report 2013-14.
Khanij Bhavan, 132’ Ring Road, Near
University Ground, Vastrapur, Means of Communication:
Ahmedabad – 380 052 The Company communicates with the shareholders at large
2012-13 27.09.2013 11.00 AM Registered Office of the Company, at through its Annual Report, publication of quarterly financial
Khanij Bhavan, 132’ Ring Road, Near results in newspapers and also through periodic press releases
University Ground, Vastrapur, and electronics media. Further, the financial results of the
Ahmedabad – 380 052
Company as published in the Financial Daily newspapers are
No Extra Ordinary General Meeting was held during any of also displayed in the Company’s website www.gmdcltd.com
the last three financial years. for the information of shareholders and investors.
(b) Whether any special resolutions passed in the previous General Shareholder : AGM Date, day,
3 AGMs ? No Information time and venue
Sr No. Year Subject
Date of AGM : 25.09.2014
1 2012-13 NIL
Day : Thursday
2 2011-12 NIL
Time : 11.00 AM
3 2010-11 NIL
Venue : Registered Office of the Company
(c) Whether special resolutions were put through postal Khanij Bhavan
ballot last year ? No Off: 132 Ft. Ring Road
(d) Are special resolutions proposed to be put through postal Near University Ground
ballot this year ? No Vastrapur, Ahmedabad–380 052

15
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
Financial Calendar (tentative) Registrar and Transfer Agent (For physical & Demat)
Period Tentative Schedule M/s. MCS Limited
1st quarter results ending 30th June Within 45 days of end of the 101, Shatdal Complex, 1st floor
quarter Opp: Bata Show Room
2nd quarter results ending 30th Within 45 days of end of the Ashram Road
September quarter Ahmedabad – 380 009
3rd quarter results ending 31st Within 45 days of end of the Tel. 26582878 – Fax – 079 26581296
December quarter
Share Transfer System
4th quarter results ending 31st March Within 60 days of the end of the
year in case of Audited Results. In compliance with Clause 49 of the Listing Agreement, the
Date of ‘Book Closure’ Company has also delegated the powers of share transfer to
The Register-of-Members and the Share Transfer Register of the company’s R & T A. All the transfers received are processed
the Company would remain closed from 20.09.2014 to by the Company’s Share Transfer Agent and a fortnightly report
22.09.2014 (both days inclusive) for the purpose of is submitted to the company which is periodically placed before
ascertaining the list of shareholders entitled for the dividend, the Board of Directors of the Company.
if any, declared at the ensuing Annual General Meeting and
approved by the shareholders. A qualified Practicing Company Secretary carried out a
Dividend payment date Reconciliation of Share Capital Audit to reconcile the total
admitted capital with NSDL and CDSL and the total issued
The dividend if declared at the Annual General Meeting and
and listed capital. The audit confirms that the total issued/
approved by the shareholders would be paid to the
Shareholders within 30 days from the date of declaration. paid up capital is in agreement with the aggregate of the total
number of shares in physical form and the total number of
Listing of shares
shares in dematerialized form (held with NSDL and CDSL).
The equity shares of the company are listed on the Bombay
Pursuant to Clause 47(c) of the Listing Agreement with the
Stock Exchange Ltd., National Stock Exchange of India Ltd.and
Vadodara Stock Exchange Limited. The Listing Fee has been Stock Exchanges, certificates, on half-yearly basis have been
paid to NSE , BSE and VSE upto the year 2013-2014. issued by a Company Secretary-in-Practice for due compliance
of share transfer formalities by the Company.
NAME OF THE STOCK EXCHANGE STOCK CODE
National Stock Exchange of India Ltd., GMDCLTD Shareholding Pattern
The Stock Exchange, Mumbai 532181 The pattern of equity share holding of the Company as on
Vadodara Stock Exchange 532181 31st March, 2014 was as under:
Stock Market Data
Category No. of Shares % to total
The high, low market price during each month in last financial
year as quoted in the National Stock Exchange was as under: Govt. of Gujarat 235320000 74.00
Month National Stock Exchange CNX NIFTY Mutual Funds 25118433 7.90
High Low Closing* Closing*
Financial Institutions/Banks 388949 0.12
` ` `
April, 2013 178.00 142.20 154.60 5930.20 Insurance Companies, Foreign 39411396 12.39
May, 2013 159.40 135.00 138.45 5985.95 Institutional Investors, Bodies Corporate
June, 2013 146.00 118.65 126.65 5842.20 Individuals, HUFs, NRIs 17761222 5.59
July, 2013 130.95 85.10 86.85 5742.00
August, 2013 102.00 76.25 82.85 5471.80 Total…….. 318000000 100.00
September, 2013 95.00 79.35 89.90 5735.30
October, 2013 111.00 87.25 103.40 6299.15
November, 2013 108.95 96.50 106.75 6176.10
December, 2013 123.85 98.10 118.70 6304.00
January, 2014 123.65 111.05 115.00 6089.50
February, 2014 117.75 100.10 105.65 6276.95
March, 2014 134.35 103.40. 131.90 6704.20
*at the end of the month

16
 ANNUAL REPORT 2013-2014
Distribution of Shareholding as on 31.3.2014 Tadkeshwar (Dist. Surat)
Shareholding N u m b e r of N u m b e r of N u m b e r of Surkha (Dist. Bhavnagar)
of nominal value of Share- Shares held Shares held Fluorspar Project Kadipani (Dist. Vadodara)
holders as % to total Multi Metal Project Ambaji (Dist. Banaskantha)
` ` Bauxite Projects Bhatia (Dist. Jamnagar)
(1) (2) (3) (4) Ratadia (Dist. Kutch)
Calcined Bauxite Project Gadhsisa (Dist. Kutch)
Upto - 500 45263 5324739 1.6744
Manganese Project Shivrajpur (Dist. Panchmahal)
501 - 1000 2475 2085426 0.6558 Power Project Nani Chher (Dist. Kutch)
1001 - 2000 1168 1869569 0.5879 Wind Power Maliya (Dist. Rajkot)
2001 - 3000 395 1045813 0.3289 Godsar (Dist. Porbandar)
3001 - 4000 197 718068 0.2258 Jodiya (Dist. Jamnagar)
Bada (Dist. Kutch)
4001 - 5000 152 728479 0.2291
Varvala (Dist. Jamnagar)
5001 - 10000 265 1990231 0.6259 Bhanvad (Dist. Jamnagar)
10001 - 50000 176 3499369 1.1004 Solar Project Panandhro (Dist. Kutch)
50001 - 100000 33 2336446 0.7347 Address for correspondence:
100001 and above 75 298401860 93.8371 Shareholders correspondence may be addressed to the
Total… 50199 318000000 100.00 Company Secretary and sent to the Registered Office of the
Dematerialization of Shares Company at the following address:
Consequent upon the compulsory demat of the equity shares Gujarat Mineral Development Corporation Limited
of the Company as notified by SEBI, as on 31.3.2014 about ‘Khanij Bhavan’, 132 Ft. Ring Road,
99.75% of the equity capital offered to the public is in Demat Near University Ground, Vastrapur,
Form. Ahmedabad – 380 052
Particulars No. of Equity Shares % to Share Telephone : 2791 1662 / 1680 / 0665 / 2443 / 1340 / 3501
Capital / 0096 / 0465 / 3200
NSDL 78000247 24.53% Fax : (079) 2791 0969 / 1454 / 3038/1151
CDSL 239200644 75.22% E-mail : cosec@gmdcltd.com
Physical (Public) 799109 0.25% Website : www.gmdcltd.com
TOTAL 318000000 100.00% CEO / CFO Certificate
Outstanding GDRs/ADRs/Warrants or any convertible Chief Executive Officer and Chief Financial Officer have issued
instruments, conversion date and likely impact on equity: necessary certificate pursuant to the provisions of Clause 49
of the Listing Agreement and the same is annexed and forms
• The Company has not issued any of these instruments. part of this Annual Report.
PLANT LOCATIONS: Compliance
Lignite Projects Panandhro (Dist. Kutch) A certificate from the Practising Company Secretary is annexed
Rajpardi (Dist. Bharuch) to the Directors’ Report and forms part of the Annual Report.
Mata-no-Madh (Dist. Kutch)

ANNEXURE-A
Declaration regarding compliance of code of conduct by Directors and Senior Management Personnel of the Company.
The company has adopted Code of Conduct for Directors and Senior Management Personnel as per the provisions of Clause
49 of the Listing Agreement relating to Corporate Governance.
The Directors and Senior management have affirmed compliance with the said Code during the financial year 2013-14
For Gujarat Mineral Development Corporation Ltd.
Pankaj Kumar
Managing Director
Date : 13.08.2014
Place : Ahmedabad

17
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
CIN NO : L14100GJ1963SGC001206 Nominal Capital: -1,500,000,000/-
CORPORATE GOVERNANCE COMPLIANCE CERTIFICATE
To,
The Members,
Gujarat Mineral Development Corporation Ltd.
Khanij Bhavan, 132’ Ring Road,
Near University Ground, Vastrapur,
Ahmedabad – 380 052.
I have examined all relevant records of Gujarat Mineral Development Corporation Ltd., for the purpose of certifying compliance of
conditions of Corporate Governance under clause 49 of the listing agreement with Bombay Stock Exchange for the accounting year
ended on 31st March 2014. I have obtained all the information and explanations which to the best of my knowledge and belief were
necessary for the purpose of certification.
The compliance of the conditions of Corporate Governance is the responsibility of the management. My examination was limited to the
procedure and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of the Corporate
Governance. It is neither an audit nor an expression of opinion on the financial statements of the Company. This certificate is neither
an assurance as to the future viability of the company nor of the efficacy or effectiveness with which the management has conducted
the affairs of the Company.
On the basis of my examination of the records produced, explanation and information furnished, I certify that the Company has
complied with all the mandatory conditions of the said clause 49 of the listing agreement except;
(i) Non-compliance of clause 491(A)(ii)regarding number of independent directors in the composition of Board since only one
independent director is appointed.
(ii) Non-compliance of clause 49II(A)(i)regarding number of independent directors in the composition of Audit Committee since only
one independent director is appointed and clause 49II(B) as regards quorum of the meeting of Audit committee with minimum of
two independent members present in such committee meeting and during the year one such meeting was held only with one
director who is independent.
Signature with Seal
Name of Company Secretary : Sandip Sheth
Signing Authority : Practising Company Secretary
FCS No : 5467 Date : 29th May 2014
COP No. : 4354 Place : Ahmedabad
CERTIFICATE BY CEO AND CFO FOR ANNUAL ACCOUNTS 2013-14
a) We have reviewed the Balance Sheet and the Profit and Loss Account and Significant Accounting Policies and notes
forming part of Accounts as well as the Cash Flow Statement for the year and certify that to the best of our knowledge
and belief :
i) these statements do not contain any materially untrue statement or omit any material fact nor contain statements
that might be misleading;
ii) these statements together present a true and fair view of the Company’s affairs and are in compliance with the
existing Accounting standards, applicable laws and regulations.
b) There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year which
are fraudulent, illegal or violative to the Company’s code of conduct.
c) We accept responsibility for establishing and maintaining internal controls for financial reporting and that we have
evaluated the effectiveness of internal control systems of the Company pertaining to financial reporting and that we
have disclosed to the auditors and the Audit Committee, deficiencies in the design or operation of which such internal
controls, if any, of which we are aware, and the steps we have taken or proposed to take to rectify these deficiencies.
d) We have indicated to the auditors and the Audit Committee :
i) significant changes in internal controls over financial reporting during the year;
ii) significant changes in the accounting policies during the year and that the same have been disclosed in the notes
to the financial statements; and
iii) instances of significant fraud of which we have become aware and the involvement therein if any, of the management
or an employee having a significant role in the Company’s internal control system over financial reporting.

P. K. Bhootra L. Kulshrestha Pankaj Kumar, IAS

General Manager (Accounts) General Manager (Finance) Managing Director

18
 ANNUAL REPORT 2013-2014

MANAGEMENT DISCUSSION AND ANALYSIS

Business Overview cent. However, this share differs significantly across sectors,
Overview of Indian Economy: for example, it is 92 per cent in coal, whereas only 31 per cent
in iron ore. As the sector is expected to grow significantly in
India’s GDP is expected to grow at 5.2-5.7 per cent in this
the coming years, private sector is increasingly attracted to
fiscal year (2014-15) (as per NCAER). The higher growth of
5.7 per cent is conditional on pick up of investment spending. the sector.
Following the slowdown induced by the global financial crisis Industry Structure and Developments
in 2008-09, the Indian economy responded strongly to fiscal The total value of mineral production (excluding atomic
and monetary stimulus and achieved a growth rate of 8.6 per minerals) during 2013-14 has been estimated at ` 2,27,176
cent and 9.3 per cent respectively in 2009-10 and 2010-11, crores indicating a marginal increase of 1.99% from last year.
but due to a combination of both external and domestic factors, During year 2013-14, estimated value for fuel minerals account
the economy decelerated growing at 6.2%, 5% and 4.9% in for ` 1,55,646 crores or 68.51% of mineral production. The
2011-12, 2012-13 and 2013-14 respectively. value of production of metallic minerals stood at ` 37,213
Gross Domestic Product (GDP) is a key indicator by which a crores or 16.39% of the total value of production and non-
nation’s economic performance is gauged. Economic policies metallic minerals including minor minerals contributed to
bring about pronounced changes in the industrial climate, ` 34,317 crores or 15.10% of the total value. The provisional
foreign trade, domestic and international taxation policies, value of minerals and ores exported during the year 2012-13
monetary exchange rates, etc., that have overreaching effects was ` 1,59,747 crores whereas the value of import was
on the overall growth of an economy. GDP at factor cost at ` 11,24,137 crores.
constant (2004-05) prices in the year 2013-14 was estimated
The index of mineral production (base 2004-05=100) for the
to ` 57.42 lakh crore, showing a growth rate of 4.7 percent
year 2012-13 was 125.46. The index of mineral production
over the First Revised Estimates of GDP for the year 2012-13
has further declined to 118.2 for 2013-14. The index of mineral
of ` 54.82 lakh crore, released on 31st January 2014.
production has shown a decline of about 1.3% in fuel minerals
In the case of ‘mining and quarrying’, the Index of Industrial and 15.8% in metallic minerals in 2012-13. However there
Production of Mining registered a decline of 0.8 percent during was an increase of 5.2% in non metallic minerals in 2012-13
2013-14, as against the decline of 2.2 percent during April-
over the previous year.
November, 2013. Production of coal and crude oil registered
growth rates of 0.8 percent and (-) 0.2 percent in 2013-14 as State-wise Analysis of Mineral Production
compared to growth rates of 1.2 percent and (-) 0.6 percent As regards State-wise scenario during 2012-13, the value of
during April to December, 2013. The growth of ‘mining & mineral production (excluding atomic and minor minerals) from
quarrying’ is now estimated at (-) 1.4 percent. Off-Shore region was the highest at ` 53,621 crore or 24.1%
With an estimated GDP of approximately US $4.78 trillion in of the total value of mineral production followed in order of
2012, on a purchasing power parity basis, India is one of the importance by Odisha ` 29,450 crore or 13.2%, Rajasthan
largest economies in the world (Source: CIA World Fact book). ` 23,503 crore or 10.6%, Chhattisgarh ` 16,600 crore or 7.5%,
India is also one of the fastest growing economies in the world. Jharkhand `16,516 crore or 7.4%, Gujarat ` 13,046 crore or
Overview of Indian Mining Sector 5.9%, Andhra Pradesh ` 12,292 crore or 5.5%, Assam ` 11,000
crore or 4.9%, Madhya Pradesh ` 10,502 crore or 4.7%, West
Mining and minerals industry is one of the major contributors
Bengal ` 8,882 crore or 4.0%, Maharashtra ` 6,152 crore or
to economic growth in India. It is a large and important sector
2.8%, Tamil Nadu ` 5,744 crore or 2.6%, Meghalaya ` 4,674
with value of mineral production of around USD 36.3 billion
crore or 2.1% , Karnataka ` 4,409 crore or 2.0% and Uttar
(FY14 estimates). Mining sector plays a significant role in
Pradesh ` 3,151 crore or 1.4% percent. Other States/Union
providing raw material security for the country. The country is
Territories shared the remaining ` 3,205 crore or about 1.4%
endowed with huge resources of many metallic and non-
of the total value of mineral production.
metallic minerals. India produces as many as 87 minerals,
which include 4 fuels, 10 metallic minerals, 47 non-metallic Among the States, value of mineral production registered an
minerals, 3 atomic minerals and 23 minor minerals. These increase in Andhra Pradesh, Bihar, Himachal Pradesh,
minerals have a wide application in various industries. Jharkhand, Karnataka, Madhya Pradesh, Maharashtra,
Increased thrust to globalization and opening up of the Odisha, Rajasthan, Tamil Nadu, Tripura and West Bengal.
economy to private participation has led to increased strategic Whereas, Arunachal Pradesh, Assam, Chhattisgarh, Goa,
importance of the sector. Currently, the Indian Mining Industry Gujarat, Jammu & Kashmir, Kerala, Meghalaya, Uttar Pradesh,
is dominated by large state owned mining companies. The Uttarakhand and Off-Shore region indicated a decline in value
share of state owned companies by value of output is 72 per of mineral production during the year under review.

19
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2012-13 Bauxite:
State Value in Value in % The Production of Bauxite at 15.36 million tonnes during 2012-
` Crores 13 registered an increase of 13% as compared to the previous
Off-Shore Area 53,621 24.1 year. Odisha with 36% share in total production was the leading
Odisha 29,450 13.2 producer of bauxite followed by Gujarat (20%), Jharkhand and
Rajasthan 23,503 10.6 Maharashtra (13% each), Chhattisgarh (12%) and Madhya
Pradesh (5%). The remaining one percent was contributed
Andhra Pradesh 12,292 5.5
by Goa, Karnataka and Tamil Nadu.
Jharkhand 16,516 7.4
NALCO, BALCO, & HINDALCO are the major companies
Chattisgarh 16,600 7.5
engaged in the mining of bauxite in the country. The share of
Gujarat 13,046 5.9
these companies with 21 captive mines was 65% in the total
Madhya Pradesh 10,502 4.7 production during 2012-13. The contribution of Panchpatimali
Assam 11,000 4.9 bauxite mine of NALCO alone was 35% in the total output.
West Bengal 8,882 4 The share of public sector in the total production was 42%
Karnataka 4,409 2 and the remaining 58% was contributed by private sector.
Maharashtra 6,152 2.8 There were 152 reporting mines of Bauxite during 2012-13 of
which 20 were owned by public sector and 132 by private
TamilNadu 5,744 2.6
sector.
Meghalaya 4,674 2.1
Bauxite Production (2012-13)
Uttar Pradesh 3,151 1.4
Total 15.36 Million Tonnes
Others 3,205 1.4
Statewise %
total 2,22,747 100
Odisha 36
*excluding atomic and minor
Gujarat 20
Mineral-wise Analysis
Jharkhand 13
Coal:
Maharashtra 13
During the year under review, the contribution of Coal in terms
of value was the highest at ` 71,929 crore or about 32.3% of Chhattisgarh 12
the total value of mineral production followed by Petroleum Madhya Pradesh 5
(crude) ` 69,140 crore or 31.0%, Iron Ore ` 33,227 crore or Goa, Karnataka, Tamil Nadu 1
about 14.9%, natural gas (utilized) ` 25,433 crore or 11.4%,
lignite ` 5,665 crore or 2.5%, limestone ` 4,322 crore or 1.9% (Source: IBM http://ibm.gov.in msmpmar13_07_
and chromite ` 2,448 crore or 1.1 percent. The share of these Highlights_Eng.pdf)
seven minerals together to the total value of mineral production Apart from these, Gujarat is the largest producer of Silica and
during 2012-13 was about 95.1 percent. Fluorite, second in fire clay and clay, third in quartz and ball-
2012-13 clay, and fourth in china-clay and lime-stone in India.
Mineral Value in ` Crores Share in % Gujarat Mineral Development Corporation, the leading state
Coal 71,929 32.3 owned mining company in Gujarat, contributes significantly
Petroleum 69,140 31 to Lignite production in the state. GMDC has exclusive
Iron Ore 33,227 14.9 ownership of around 90 per cent of the total lignite production
capacity in the state. For Bauxite, the ownership is around
Natural Gas 25,433 11.4
75-80 per cent. Other minerals produced by the Corporation
Lignite 5,665 2.5 include Fluorspar and Manganese ore etc. Over the years,
Lime Stone 4,322 1.9 GMDC has strengthened its position in mineral production and
Chromite 2,448 1.1 also ventured into power generation. Currently, the Corporation
Others 10,583 4.9 has established capacity to produce 150.9 MW of wind power,
with a plan to extend it by 50 MW. Solar power generation
Mineral Value (%)
capacity is 5 MW presently. By adding green power generation
Fuel Minerals 77.3 into its portfolio of environmentally responsible activities, the
Metalic 19.6 Corporation has strengthened its commitment towards the
Non-Metalic 3.1 cause of sustainable development.

20
 ANNUAL REPORT 2013-2014
Opportunities and Threats man-power strength is a challenge for the Corporation.
Opportunities • Different regulatory hindrances and changes in the
• With the global economy heading towards a revival, and processes of early implementation of projects
Indian economy showing signs of stability, demand for • Delay in land acquisition.
mineral output is expected to grow steadily. Mineral • Limited Scope of Expansion Bauxite sale
resources are key ingredients for industrial production. • Market Recession and slump in price
Demand for industrial output is expected to go up, which
Performance
will lead to increased derived demand of mineral sector
output. Product-wise performance
Name of 2011-2012 2012-13 2013-14
• GMDC’s foray in power production has provided a new
Product
avenue for the Corporation to expand. With almost 66
per cent of Indian population without sufficient access Production Sales Production Sales Production Sales
to electricity, the demand for power is inevitable to Lignite 113.42 113.42 109.05 109.05 84.13 84.13
increase. (MT in lakhs)
• GMDC has ventured into value added services through Bauxite 8.70 8.70 8.34 7.94 2.13 1.23
joint ventures and projects with plans to produce cement, (MT in lakhs)
zeolite, chemicals and beneficiation of minerals like Power 870.91 712.81 921.59 754.17 985 824
Fluorspar etc. These projects will be completed in near (M. Units)
future and commence production, which will add to the Wind Power 146.22 146.12 232.56 232.56 269 269
Corporation’s output and profitability. (M. Units)
• Venturing into exploration and mining of high-end Solar Power 0.028 0.028 7.93 7.93 8.32 8.32
minerals in regions outside India is a great opportunity (M. Units)
for GMDC. With strong financial performance over the Financial Performance (`
` in Lakhs)
years, the Corporation has the required resources and Particulars 2011-2012 2012-2013 2013-14
capability to explore the outside market.
Turnover 1,63,069 1,67,468 1,28,966
• Enormous Value Addition Potential in Gujarat
PBT 71,770 90,369 62,959
• Large Scope in Mining field to work as MDO
PAT 48,683 60,084 43,913
• Growth in demands of fuel and other mineral resources Dividend (%) 150 150 150
in Gujarat and India
Outlook
• Large tract of land available for development in different
old and to be closed mines. GMDC’s strategic thrust is outlined by expansion of activities
on three fronts, namely, venturing into value added services;
Threats increasing the geographical reach, and diversifying operations
• Difficulties in expanding operations and increased costs in other sectors such as power generation.
due to stricter environmental regulations are major The future goals of GMDC are as below.
threats for mining operations. A comprehensive
• To commence lime stone production.
environmental pollution index (CEPI) is introduced which
prohibits mining in high pollution areas, even if the • To double the no. of joint ventures based on new minerals
for value addition.
pollution is due to other industrial activities in the region.
• Setting Up world class International Centre for Mining
• Issuance of captive mining licenses in coal mining is a
Safety and Automation- iCEM and Entrepreneurship-
new trend, which promotes private sector participation
iCREATE with various national and international, industry
in the sector. Growing presence of private companies in
and academic partner
the sector will lead to stiffer competition for the state
owned companies. • Underground Coal Gasification (UCG) Project
• Exploration of Business Opportunity in Beach Sand
• Slow progress in finalization of resettlement and
Mining, Bio Fertilizer and Bio-Fuel.
rehabilitation issues, and other problems related to land
acquisition lead to significant transaction costs and time • Business in Lignite Transportation through authorized
delays. transporters
• GMDC has entered into Joint ventures and turn-key Risks and Concerns
contracts for value added services. Correctly estimating GMDC has to sustain its leadership position in the State by
the man-power requirements and adjusting the current growing at an appropriate rate and at the same time improve

21
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
its operational efficiency to continue to generate with low over Department and internal check procedures on the purchase
burden volumes in mines and high plant load factors in power of items such as stores, chemicals, machinery. Similar checks
plants. Though GMDC’s growth strategies are built upon the and procedures are also devised for sales of goods. The
inherent strengths of the Corporation, various activities company has appointed Internal Auditors for various Projects
undertaken to achieve the goals make the Corporation and Head Office, who are required to submit periodical reports
susceptible to various risks. It has to be recognized and to the top management. The company also avails services of
realized that risks are not merely the hazards to be avoided professional and Chartered Accountants for physical
but in many cases offer opportunities which create value verification of assets.
ultimately leading to enhancement of shareholders’ wealth, Cautionary Statement
and ensuring sustainability of operations.
Statements in the Management Discussion and Analysis
Operations of mining companies have a high impact on the Report, describing the Corporation’s objectives, projections
environment. Mining companies are therefore required to and estimates, contain words or phrases such as will, aim,
ensure the rectification and restoration of mined areas, and believe, expect, intend, estimate, plan, objective, contemplate,
that some of the revenue/costs of the mining go towards project and similar expressions or variations of such
strengthening of environmental resources and ecosystem expressions, are forward-looking and progressive within the
resilience in adjoining areas. GMDC is actively undertaking meaning of applicable laws and regulations. Actual results
activities to ensure sustainable development. However, may vary materially from those expressed or implied by the
increasing environmental concerns will lead to higher costs forward looking statements due to risks or uncertainties
and may result in delay of operations. associated therewith depending upon economic conditions,
Internal Control Government policies and other incidental factors. Readers are
GMDC has put in place all the necessary internal controls cautioned not to place undue reliance on these forward looking
adequately. The company has an in-house Internal Audit statements.

22
 ANNUAL REPORT 2013-2014

Financial Statements & Notes

23
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

INDEPENDENT AUDITOR’S REPORT

To, Opinion
The Members of In our opinion and to the best of our information and according
Gujarat Mineral Development Corporation Limited to the explanations given to us, the financial statements give
Report on the Financial Statements. the information required by the Act in the manner so required
We have audited the accompanying financial statements of and give a true and fair view in conformity with the accounting
GUJARAT MINERAL DEVELOPMENT CORPORATION principles generally accepted in India:
LIMITED, which comprise the Balance Sheet as at March 31, (a) in the case of the Balance Sheet, of the state of affairs of
2014, and the Statement of Profit and Loss and Cash Flow the Company as at March 31, 2014;
Statement for the year then ended, and a summary of (b) in the case of the Profit and Loss Account, of the profit
significant accounting policies and other explanatory for the year ended on that date; and
information.
(c) in the case of the Cash Flow Statement, of the cash flows
Management’s Responsibility for the Financial Statements for the year ended on that date.
Management is responsible for the preparation of these Report on Other Legal and Regulatory Requirements
financial statements that give a true and fair view of the
financial position, financial performance and cash flows of the 1. As required by the Companies (Auditor’s Report) Order,
Company in accordance with the Accounting Standards 2003 (“the Order”), as amended, issued by the Central
referred to in sub-section (3C) of section 211 of the Companies Government of India in terms of sub-section (4A) of
Act, 1956 (“the Act”) read with the General circular 15/2013 section 227 of the Act, 1956, we give in the Annexure a
dated 13th September 2013 of the Ministry Of Corporate Affairs statement on the matters specified in paragraphs 4 and
in respect of section 133 of the companies Act, 2013.This 5 of the Order.
responsibility includes the design, implementation and 2. As required by section 227(3) of the Act, we report that:
maintenance of internal control relevant to the preparation a. we have obtained all the information and
and presentation of the financial statements that give a true explanations which to the best of our knowledge and
and fair view and are free from material misstatement, whether belief were necessary for the purpose of our audit;
due to fraud or error.
b. in our opinion proper books of account as required
Auditor’s Responsibility by law have been kept by the Company so far as
Our responsibility is to express an opinion on these financial appears from our examination of those books;
statements based on our audit. We conducted our audit in c. the Balance Sheet, Statement of Profit and Loss,
accordance with the Standards on Auditing issued by the and Cash Flow Statement dealt with by this Report
Institute of Chartered Accountants of India. Those Standards are in agreement with the books of account;
require that we comply with ethical requirements and plan
and perform the audit to obtain reasonable assurance about d. in our opinion, the Balance Sheet, Statement of Profit
whether the financial statements are free from material and Loss, and Cash Flow Statement comply with
misstatement. the Accounting Standards referred to in subsection
(3C) of section 211 of the Companies Act, 1956 read
An audit involves performing procedures to obtain audit with the General Circular 15/2013 dated 13th
evidence about the amounts and disclosures in the financial September 2013 of the Ministry Of Corporate Affairs
statements. The procedures selected depend on the auditor’s in respect of section 133 of the companies Act, 2013.
judgment, including the assessment of the risks of material
misstatement of the financial statements, whether due to fraud e. As per Circular No. 08/2002 dated 22.03.2002
or error. In making those risk assessments, the auditor issued by Ministry of Law, Justice and Company
considers internal control relevant to the Company’s Affairs, Government Companies have been
preparation and fair presentation of the financial statements exempted from the applicability of the clause (g) of
in order to design audit procedures that are appropriate in the sub section (1) of Section 274 of the Companies
circumstances, but not for the purpose of expressing an Act 1956, regarding the disqualification of directors
opinion on the effectiveness of the entity’s internal control. An under the said section.
audit also includes evaluating the appropriateness of For H. K. Shah & Co.,
accounting policies used and the reasonableness of the Chartered Accountants
accounting estimates made by management, as well as Firm Regn No. 109583/W
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is H.K.Shah
sufficient and appropriate to provide a basis for our audit Place: Ahmedabad (Partner)
opinion. Date: 29.05.2014 M. No. 042758

24
 ANNUAL REPORT 2013-2014

ANNEXURE TO THE AUDITOR’S REPORT

(Referred to paragraph (1) of our report of even date)
The Annexure referred to in our report to the members of Act, 1956. Therefore requirement of sub clause (b) of
Gujarat Mineral Development Corporation Limited (“the clause (v) of the order is not applicable to the company.
Company”) for the year ended 31 March 2014. We report 6. The company has not accepted any deposits from the
that: public during the year within the meaning of section
1. (a) The company has maintained proper records 58A and 58AA and other relevant provisions of the act.
showing full particulars including quantitative details 7. Internal Audit of the company is entrusted to the firm of
and situation of fixed assets. Chartered Accountants. The system is commensurate
(b) The Company has a programme of physical with the size of the Company and the nature of the
verification of its fixed assets by which fixed assets company, except that there is a scope of upgrading in
are verified at reasonable intervals. In accordance some areas.
with this programme, certain fixed assets were 8. We have reviewed books of accounts and records
verified during the year and no material maintained by the corporation pursuant to the order
discrepancies were noticed on such verification. made by the Central Government for the maintenance
In our opinion, this periodicity of physical of cost records under section 209(1)(d) of the
verification is reasonable having regard to the size Companies Act, 1956, and are of the opinion that prima
of the Company and the nature of its assets. The facie the prescribed records have been maintained. We
differences are under reconciliation and we are have however, not made a detailed examination of the
informed that there is a reasonable system to deal records with a view to determining whether they are
in books on conclusion of the reconciliation. accurate or complete.
(c) Fixed assets disposed during the year were not 9. (a) According to the information and explanations
substantial, and therefore, do not affect the going given to us, there are no undisputed dues payable
concern assumption. in respect of Provident Fund, Investor Education
2. (a) The physical verification of inventory has been and Protection Fund, Employees State Insurance,
conducted at reasonable intervals by the Income Tax, Sales tax, Wealth tax, Service tax,
management; Excise Duty, Cess and any other statutory dues
(b) The procedure of physical verification of inventory which are outstanding as at 31.03.2014 for a period
followed by the management is reasonable and of more than six months from the date they became
adequate in relation to the size of the company payable.
and the nature of its business. (b) The details of excise duty, income tax and sales
(c) The company has maintained proper records of tax not deposited on account of dispute is as under:
inventories. The discrepancies noticed on Name of Nature of Period to Amount Forum
verification between the physical stock and book Statute ` In
the Dues which the (` where
stock was not material and the same have been amount Lakhs) dispute is
properly dealt with in the books of accounts. relates pending
3. (a&b) The company has neither granted loan nor taken Commercial Sales Tax/ 1993-94 21.78 Hon. High
loan from companies, firms or other parties listed Tax VAT Court
in the register maintained under section 301 of the 1995-96 98.92 Appellate
Companies Act, 1956 or to the company under the Tribunal
same management. Therefore requirement of sub
1997-98 2.45 Appellate
clause (b), (c), (d), (f) and (g) of clause (iii) of the
Tribunal
order is not applicable to the company.
Commercial CST 1997-98 4.26 Appellate
4. The Company has an adequate Internal Control System
Tax Tribunal
commensurate with the size of the Company and the
nature of its business, with regard to purchases of Central Excise 2006-07 450.58 Commissioner
inventory and fixed assets and for sale of goods and Excise Act, Duty of Central
services. During the course of audit, we have not 1944 Excise
observed any continuing failure to correct any major 10. The Company has been registered for a period for more
weaknesses in the internal controls system. than five years and it has no accumulated losses. The
5. There are no transactions that need to be entered into company has not incurred cash losses during the year
register in pursuance of section 301 of the companies under audit and in the immediately preceding financial

25
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
year. Therefore, the requirement of clause (x) of 17. According to the information and explanations given to
paragraph 4 of the Order is not applicable to the us, we are of opinion that there are no funds raised on
Company. short term basis that have been used for long term
11. As there are no borrowings, the requirement of clause investment.
(xi) regarding default of repayments is not applicable to 18. During the period under audit, the Company has not
the company. made any preferential allotment of shares to parties
12. The company has not granted any loans and advances and companies covered in the Register maintained
on the basis of security by way of pledge of other under section 301 of the Companies Act, 1956.
securities, and therefore requirement of clause (xii) of 19. During the period under audit, the Company has not
paragraph 4 of the order is not applicable to the issued any debentures and therefore requirement of
company. clause (xix) of the order is not applicable to the company.
13. The Company is not a Chit Fund, Nidhi or Mutual benefit 20. During the period under audit, company has not raised
society. Hence, the requirement of clause (xiii) of any money by way of public issue and therefore the
paragraph 4 of the order is not applicable to the requirement of clause (xx) of paragraph 4 of the order
Company. is not applicable to the company.
14. According to the information and explanations given to 21. According to the information and explanations given to
us, the Company is not dealing in shares, securities, us, no material fraud on or by the Company has been
debentures and other investments and therefore noticed or reported during the period under audit.
requirement to clause (xiv) of paragraph 4 of the order
For, H. K. Shah & Co.,
is not applicable to the company.
Chartered Accountants
15. According to the information and explanations given to FRN: 109583w
us, the Company has not given any guarantee for loans
taken by others from banks or financial institutions. H. K. Shah
16. The Company has not obtained any term loan during Date : 29.05.2014 Partner
the year under audit. Hence the requirement of clause Place : Ahmedabad M. No. 042758
(xvi) of paragraph 4 of the order is not applicable to the
Company.

26
 ANNUAL REPORT 2013-2014

REPORT OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA

Comments of the Comptroller and Auditor General of India under section 619(4) of the
Companies Act, 1956 on the accounts of Gujarat Mineral Development Corporation Limited for
the year ended 31 March 2014.

The preparation of financial statements of Gujarat Mineral Development Corporation Limited for the year
ended 31 March 2014 in accordance with the financial reporting framework prescribed under the
Companies Act, 1956 is the responsibility of the Management of the Company. The Statutory Auditors
appointed by the Comptroller and Auditor General of India under Section 619(2) of the Companies Act,
1956 are responsible for expressing opinion on these financial statements under Section 227 of the
Companies Act, 1956 based on independent audit in accordance with the Auditing and Assurance
Standards prescribed by their professional body the Institute of Chartered Accountants of India. This is
stated to have been done by them vide their Audit Report dated 29 May 2014.

I, on behalf of the Comptroller and Auditor General of India, have conducted a supplementary audit under
Section 619(3) (b) of the Companies Act, 1956 of the financial statements of Gujarat Mineral Development
Corporation Limited for the year ended 31 March 2014. This supplementary audit has been carried out
independently without access to the working papers of the Statutory Auditors and is limited primarily to
inquiries of the Statutory Auditors and Company personnel and a selective examination of some of the
accounting records. On the basis of my audit nothing significant has come to my knowledge which would
give rise to any comment upon or supplement to Statutory Auditors' report under Section 619(4) of the
Companies Act, 1956.

For and on behalf of the

Comptroller & Auditor General of India
H. K. Dharmadarshi
Accountant General
Place : Ahmedabad (E & RSA), Gujarat
Date : 22.08.2014

27
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

BALANCE SHEET AS AT 31ST MARCH, 2014

(`
` in Lakhs)
Particulars Note No. As at 31st March, 2014 As at 31st March, 2013
EQUITY AND LIABILITIES
SHAREHOLDERS’ FUNDS
Share Capital 2.01 6,360.00 6,360.00
Reserves and Surplus 2.02 2,79,887.62 2,86,247.62 2,47,135.53 2,53,495.53
NON-CURRENT LIABILITIES
Deferred tax liabilities (Net) 2.03 28,714.17 31,188.58
Other long-term liabilities 2.04 16,915.56 17,591.53
Long-term provisions 2.05 27,433.08 73,062.81 22,957.71 71,737.82
CURRENT LIABILITIES
Trade payables 2.06 6,477.04 6,346.07
Other current liabilities 2.07 16,707.86 27,179.62
Short-term provisions 2.08 12,002.63 35,187.53 11,686.67 45,212.36
Total 3,94,497.96 3,70,445.71
ASSETS
NON-CURRENT ASSETS
Fixed assets
Tangible assets 2.09 1,86,069.37 1,77,754.74
Intangible assets 2.09 168.35 269.04
Capital work-in-progress (Net of Provision) 1,118.11 2,410.11
1,87,355.83 1,80,433.89
Non-current investments 2.10 26,034.75 18,278.00
Long-term loans and advances 2.11 51,330.37 52,348.00
Other non-current assets 2.12 - 2,64,720.95 824.00 2,51,883.89
CURRENT ASSETS
Inventories 2.13 4,715.77 3,927.46
Trade receivables 2.14 5,181.30 3,983.30
Cash and cash equivalents 2.15 4,183.88 5,684.46
Short-term loans and advances 2.16 1,14,872.06 1,04,142.60
Other current assets 2.17 824.00 1,29,777.01 824.00 1,18,561.82
Total 3,94,497.96 3,70,445.71

Significant Accounting Policies and Notes

on Financial Statements 1&2

Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS

General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

28
 ANNUAL REPORT 2013-2014

STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2014
` in Lakhs)
(`
Note No. 2013-2014 2012-2013

Revenue from Operations (Net of Excise Duty) 2.18 1,28,966.51 1,67,468.49

Other Income 2.19 14,541.61 15,548.12

Total Revenue 1,43,508.12 1,83,016.61

Expenses:

Changes in inventories of Finished goods, Work-in-progress & Stock-in-Trade 2.20 (1,147.62) 63.43
Employee benefits Expense 2.21 9,708.59 10,440.15
Depreciation/ Depletion 2.09 12,456.50 11,738.40

Other Expenses 2.22 59,531.64 68,367.79

Total Expenses 80,549.11 90,609.77

Profit before exceptional and extraordinary items and tax 62,959.01 92,406.84

Less : Exceptional items - 2,038.12

Profit before extraordinary items and tax 62,959.01 90,368.72

Less : Extraordinary Items - -

Profit Before Tax 62,959.01 90,368.72

Tax Expense
Current Tax 21,520.00 28,400.00

Deferred Tax (2,474.41) 1,884.51

Profit/(Loss) For the period 43,913.42 60,084.21

Earning per equity Share

Basic 13.81 18.89

Diluted 13.81 18.89

Significant Accounting Policies and Notes on Financial Statements 1&2

Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS

General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

29
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

CASH-FLOW STATEMENT FOR THE YEAR 2013-14

(`
` in Lakhs)
Sr. No. Particulars 2013-2014 2012-2013
A Cash-Flow from Operating Activities:
Net Profit before tax and extra ordinary items 62,959.01 90,368.72
Adjustments for:
Depreciation and Depletion 12,371.14 11,750.47
Provision for Doubtful Debts, Investments and Loans & Advances 14.59 2,042.62
Provision for Obsolete Spares / Stock 193.34 -
Assets written off 14.29 10.59
Excess/Short provision adjusted (641.38) (4,026.53)
Surplus / Deficit on sale of assets (388.83) (1,639.04)
Dividend Income (551.68) (403.35)
Wealth Tax 2.28 2.06
Interest from Banks and Corporates (8,771.90) (7,468.24)
Operating profit before working capital changes: 65,200.86 90,637.30
Adjustments for:
Trade & Other Receivable (5,250.52) (42,754.05)
Inventories (981.65) 2,612.55
Trade & Other Payable (5,595.88) 4,696.73
(11,828.05) (35,444.77)
Cash generated from operations 53,372.81 55,192.53
Direct Taxes Paid (Net) (24,732.04) (33,195.34)
Net Cash-Flow from Operating Activities 28,640.77 21,997.19
B Cash-Flow from Investing Activities:
Purchase of fixed assets (19,406.85) (16,496.05)
Sale of fixed assets 488.31 2,348.39
Redemption / Purchase of Investments (7,756.75) (5,014.62)
Interest from Bank and Corporates 7,131.76 7,890.89
Dividend & Income from units 551.68 403.35
Net cash used in Investing Activities (18,991.85) (10,868.04)
C Cash-Flow from Financing Activities:
Dividend paid (11,149.49) (11,088.84)
Net cash used in Financing Activities (11,149.49) (11,088.84)
Net increase in Cash & Cash Equivalents (1,500.58) 40.31
Cash & Cash Equivalent at the beginning of year 5,684.46 5,644.15
Cash & Cash Equivalent at the end of year 4,183.88 5,684.46
Notes:
1. Cash and Cash Equivalents include Cash and Bank Balances.
2. Previous year’s figures have been rearranged/restated/regrouped, wherever necessary.
3. The Cash Flow Statement has been prepared under the ‘Indirect Method’ as per AS - 3 issued by ICAI.

Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS

General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

30
 ANNUAL REPORT 2013-2014

1 : SIGNIFICANT ACCOUNTING POLICIES

1. Accounting Policies unless specifically stated to be otherwise are in accordance with generally accepted Accounting
Principles.
2. BASIS OF ACCOUNTING:
The Accounts of the Corporation are prepared under the historical cost convention method using the accrual method.
The Corporation follows mercantile system of accounting and recognizes significant items of income and expenditure
on accrual basis except that -
Generally prior period expenses/Income and prepaid expenses for an amount up to ` 50,000 in each case are debited/
credited as current year’s expenses/income.
3. USE OF ESTIMATES:
The preparation of financial statements requires estimates and assumptions to be made that affect the reported
amount of assets and liabilities on the date of the financial statements and the reported amount of revenues and
expenses during the reporting period. Difference between the actual results and estimates are recognized in the period
in which the results are known/ materialized.
4. FIXED ASSETS:
a) The fixed assets are stated at historical cost less depreciation. Cost includes expenditure incurred in their
acquisition as well as construction/installation and other related expenditure but excludes cost of fencing.
b) Capital Work in progress includes machineries not installed and assets in transit.
c) Cost of civil works required for plant and machinery’s support is considered as part of the Plant and Machinery.
d) Un-serviceable/worn out plant and machineries, vehicles and other assets of the Corporation are written off from
the books of account to the extent of 95% of their cost after getting approval of appropriate authorities. The same
are stated at the lower of their net book value or net realizable value.
e) Fixed assets received by the Corporation free of cost are stated at nominal cost.
f) Full provision has been made on plant and machinery which has not been put to use and lying in capital work
in progress for more than ten years.
5. INTANGIBLE ASSETS :
Intangible assets are stated at cost of acquisition net of recoverable taxes less accumulated amortization, if any.
6. MACHINERY SPARES:
Machinery spares for Generating Units, Power Station and Switchyard, etc. either procured along with the equipment
or subsequently and whose use is expected to be irregular are capitalized and depreciated over the residual useful
life of the related plant and machinery. Other spares are treated as “stores and spares” forming part of the inventory
and expensed when issued.
7. BORROWING COSTS:
Borrowing costs attributable during the acquisition or construction of qualifying assets are capitalized as part of the
cost of the assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended
use. All other borrowing costs are charged to revenue.
8. DEPRECIATION:
a) Depreciation has been provided for the fixed assets as under:
i) Depreciation is charged on written down value method at the rates prescribed in Schedule-XIV to the
Companies Act, 1956 except Plant & Machinery of Thermal Power Plant, Wind Energy Farm and Solar
Project from time to time.
ii) Depreciation in respect of Plant and Machinery of Wind Energy Farm and Solar Project is charged on
straight line method at the rates prescribed in Schedule XIV to the Companies Act, 1956 from time to time.
iii) Depreciation is charged on straight line method as per the rates and in the manner as prescribed by CERC
(Terms and Conditions of Tariff) Regulations, 2009 in respect of Plant and Machinery including mandatory/
insurance spares of Thermal Power Plant.
b) On the assets disposed off/discarded during the year, depreciation is charged on pro rata basis upto the date
of their disposal/discarding.
c) Depreciation on assets acquired is charged proportionately from the date of putting them to use on pro rata basis.

31
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
d) Low value items which are in the nature of assets (excluding immovable assets) and valuing upto ` 5,000 are
not capitalized and charged off to revenue in the year of acquisition.
e) Depreciation on assets given on lease by the Corporation has been provided on Straight Line Method so as to
write off the cost over the primary period of lease as per lease agreement.
f) Leasehold land is written off over the period of lease.
g) In case of intangible assets, software is amortized at 40% on written down value method.
9. DEPLETION:
On the basis of the principle of wasting assets, depletion has been provided in the accounts, which is based on the
data available with the Corporation as regards extraction of the minerals as compared to the technical estimation of
gross geological mineral reserves.
10. INVESTMENTS:
All the Investments are long term and carried at cost. However, provision is made for diminution in the value of
investment other than of temporary nature.
11. INVENTORIES:
a) Stores, chemicals, spares, fuel and loose tools are valued at cost. Cost is ascertained on weighted average
method.
b) Raw materials, mined ore, goods-in-process and finished products are valued at lower of total cost incurred at
respective project or net realizable value item-wise. Cost is ascertained on First In First Out basis.
12. FOREIGN CURRENCY TRANSACTIONS:
a) Transactions in foreign currencies are recorded at the exchange rate prevailing on the date of transaction.
b) Monetary items in foreign currencies are translated at the year end rate. The difference between the rates
prevailing on the date of transaction and on the date of settlement as also on the translation of monetary items
at the end of the year is recognized as income or expenses as the case may be for the year.
c) In respect of the Suppliers’ credit for purchase of fixed assets repayable in foreign currency, the exchange
difference arising on repayment/realignment liabilities is recognized in Statement of Profit and Loss.
13. EMPLOYEE BENEFITS:
a) Post employment benefits i.e. gratuity and leave encashment are recognized as an expense in the Statement of
Profit and Loss for the year in which the employee has rendered services. The liabilities for employee benefits
are recognized at the present value of the amount payable for the same. The present value is determined using
the market yields of government bonds at the balance sheet date at the discounting rate.
b) Short term employee benefits are recognized as an expense at the undiscounted amount in the Statement of
Profit and Loss of the year in which the related services are rendered.
c) Reimbursement of losses and other related expenses to Provident Fund Trust are charged to the Statement of
Profit and Loss as and when crystallized.
d) Actuarial gains and losses in respect of post employment and other long term benefits are charged to the
Statement of Profit and Loss.
e) Compensation paid to the legal heirs of deceased employee while in service is charged to Statement of Profit
and Loss as and when the liability arises.
f) The principal amount and interest thereon in respect of House Building Advance in case of deceased employee
while in service is written off as and when intimation is received.
g) Compensation to employees who have opted for retirement under the voluntary retirement scheme of the corporation
is charged to Statement of Profit and Loss in the year of separation.
14. LIABILITIES FOR PURCHASES:
Provisions are made in respect of materials received up to the end of the accounting year for which bills are not
received.
15. REVENUE RECOGNITION:
a) Sales are recognized at the time of dispatch of finished goods. Sales include amounts in respect of excise duty,
royalty, transportation, packing charges, clean energy cess and mine closure charges wherever applicable but
exclude VAT.

32
 ANNUAL REPORT 2013-2014
b) The liquidated damage/penalty, if any, on the works completed are generally determined on completion/closure
of contracts and charged as revenue.
c) Income of lease management fees is spread over the primary period of lease.
16. EXCISE DUTY:
Excise duty is accounted on the basis of payments made in respect of goods cleared.
17. TAXATION:
a) Provision of income-tax for the current year is based on the estimated taxable income for the period in accordance
with the provisions of the Income Tax Act, 1961.
b) Deferred tax is calculated at current statutory income-tax rate and is recognized on timing difference between
taxable income and accounting income that originate in one period and are capable of reversal in one or more
subsequent periods.
c) Deferred tax assets subject to consideration of prudence are recognized and carried forward only to the extent
there is reasonable certainty that sufficient future taxable income will be available against which such deferred
tax assets can be realized.
d) MAT credit is recognized as an asset only when and to the extent there is convincing evidence that the Company
will pay normal income tax during the specified period. In the year in which the Minimum Alternate Tax (MAT)
credit becomes eligible to be recognized as an asset in accordance with the recommendations contained in
Guidance Note issued by the Institute of Chartered Accountants of India, the said asset is created by way of a
credit to the Statement of Profit and Loss and shown as MAT Credit Entitlement. The Company reviews the same
at each balance sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there
is no longer convincing evidence to the effect that Company will pay normal Income Tax during the specified
period.
18. PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS:
Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation
as result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not
recognized but disclosed in the Notes. Contingent Assets are neither recognized nor disclosed in the financial statements.
19. PRE-OPERATIVE EXPENSES ON MINING PROJECTS:
Pre-operative Expenses of Mines/Mining Projects under implementation incurred upto the date of commencement of
the production on commercial basis are written off in the year in which they are incurred.
20. IMPAIRMENT OF ASSETS:
An asset is treated as impaired when carrying cost of asset exceeds its recoverable value. An impairment loss is
charged to Statement of Profit and Loss in the year in which an asset is identified as impaired. The impairment loss
recognized in prior accounting period is reversed, if there has been a change in estimate of recoverable amount. In
case of intangible assets, the same will be tested on periodical basis for impairment.
21. REHABILITATION AND RESETTLEMENT EXPENSES:
Rehabilitation and Resettlement Expenses are charged as revenue in the year in which they are incurred.
22. AFFORESTATION EXPENSES:
Afforestation Expenses are charged as revenue to the extent they are incurred by the respective departments.
23. MINE CLOSURE EXPENSES FOR LIGNITE MINES:
a) Progressive mine closure expenses are accounted for as and when incurred.
b) The annual cost of final mine closure is calculated and accounted for considering the useful life of the mines on
the basis of approved final mine closure plans otherwise annual cost is calculated on the basis of draft mine
closure plans submitted to the Ministry of Coal, GOI or on the basis of technical estimations for mines for which
draft mine closure plans have not been submitted.
24. EVENTS OCCURING AFTER THE BALANCE SHEET DATE:
Material adjusting events (that provide evidence of conditions that existed at the balance sheet date) occurring after
the balance sheet date are recognized in the financial statements. Non adjusting events (that are indicative of
conditions that arose subsequent to the balance sheet date) occurring after the balance sheet date that represent
material change and commitment affecting the financial position are disclosed in the reports of the Board of Directors.
25. PROPOSED DIVIDEND:
Provision is made in accounts for proposed dividend, subject to approval of shareholders in annual general meeting.

33
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

2 : NOTES ON FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH, 2014

2.01 SHARE CAPITAL ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Authorised Share Capital
74,50,00,000 Equity Shares (Previous year 74,50,00,000) of ` 2/- each 14,900.00 14,900.00
1,00,000 Preference Shares (Previous year 1,00,000) of ` 100/- each 100.00 100.00
15,000.00 15,000.00
Issued, Subscribed & Paid-up Capital
31,80,00,000 Equity Shares (Previous year 31,80,00,000) of
` 2/- each fully paid up 6,360.00 6,360.00
Total 6,360.00 6,360.00

2.01.01 The reconciliation of the number of shares outstanding is set out below:
Particulars As at 31.03.2014 As at 31.03.2013
Number of shares outstanding at the beginning of year 31,80,00,000 31,80,00,000
Add: Shares issued during the year - -
Less : Share bought back - -
Number of shares outstanding at the end of year 31,80,00,000 31,80,00,000

2.01.02 The details of shareholder holding more than 5% shares is set out below :
Name of the shareholder No. of shares as at % held as at No. of shares as at % held as at
31.03.2014 31.03.2014 31.03.2013 31.03.2013
Governor of Gujarat 23,53,20,000 74% 23,53,20,000 74%
2.01.03 The details of Aggregate no. of shares alloted as fully paid up by way of Bonus Shares for the period of immediately
preceeding five years from the date of balance sheet.
Particulars Year of allotment Aggregate no. of
Shares alloted
Equity Shares alloted as Bonus Shares 2008-09 15,90,00,000
2.02 RESERVES AND SURPLUS ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
- General Reserve
Opening Balance 2,22,570.63 1,82,570.63
Add : Transfer from Profit & Loss Account 25,000.00 40,000.00
Closing Balance 2,47,570.63 2,22,570.63
- Surplus
Opening Balance 24,564.90 15,642.01
Add : Net profit/(Net Loss) for the current year 43,913.42 60,084.21
Amount available for appropriation 68,478.31 75,726.22
Less : Appropriation
Final Dividend 9,540.00 9,540.00
Dividend Distribution Tax 1,621.32 1,621.32
Amount Transferred to General Reserve 25,000.00 40,000.00
Closing Balance 32,316.99 24,564.90
Total 2,79,887.62 2,47,135.53

34
 ANNUAL REPORT 2013-2014
2.03 DEFERRED TAX LIABILITY (NET) ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Deferred Tax Liability
Due to Depreciation 39,184.79 39,868.95
Deferred Tax Assets
Due to Disallowance u/s 43B of Income Tax (10,027.42) (8,325.29)
Due to Others Timing Differences (443.20) (355.08)
Total 28,714.17 31,188.58
2.04 OTHER LONG-TERM LIABILITIES ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Security & Other Deposit liability 16,709.76 17,385.28
Environment Expense Reserve Fund 205.80 181.33
Others Liabilities - 24.92
Total 16,915.56 17,591.53
2.05 LONG-TERM PROVISIONS ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Provision for Employee Benefits
- Gratuity - -
- Leave Encashment 2,546.74 2,296.78
Provision for Mine Closure 24,886.34 20,660.93
Total 27,433.08 22,957.71
2.05.01 As per the guidelines for preparation of Mines Closure Plan issued by the Ministry of Coal, Government of India the
Corporation has made a provision for mines closure expenses to the tune of ` 26,442.15 Lakhs (P.Y. ` 21,317.56
Lakhs) and has incurred progressive mine closure expenses of ` 1,555.81 Lakhs (P Y ` 656.63 Lakhs) so far. As per
the guidelines the amount so provided is required to be deposited in ESCROW Account with a bank. The company
is having sufficient funds in the form of inter-corporate deposits (ICDs) to meet such obligation. The matter is under
correspondence with the Ministry of Coal and the amount will be so deposited as directed by the Ministry of Coal out
of available ICDs.
2.06 TRADE PAYABLES (`
` in Lakhs)
Particulars As at 31.03.2014 As at 31.03.2013
Creditors for Supplies & services 6,477.04 6,346.07
Total 6,477.04 6,346.07
2.06.01 Based on the information available with the corporation, there are no amounts due to suppliers covered under Micro,
Small and Medium Enterprises Development Act, 2006.
2.07 OTHER CURRENT LIABILITIES ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Creditors for Capital Assets 552.95 5,874.58
Advance received from Customers 5,012.88 9,694.71
Rates, Taxes & Duties payable 3,413.82 4,674.02
Security & Other Deposit liability 2,382.43 3,514.85
Unpaid Dividend 94.83 83.00
Other Liabilities 5,250.95 3,338.46
Total 16,707.86 27,179.62

35
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.07.01 The Government of Gujarat (GOG) has provided funds for amounting to ` 5,610.86 Lakhs (P.Y. ` 3,758.85 Lakhs)
which are in the nature of deposits for construction and other expenses for Stone Parks, Laboratory, Trade Fair and
ISRC activities on behalf of Commissioner of Geology & Mining (CGM), GOG. Out of the said deposits, Corporation
has incurred ` 3,531.85 Lakhs (P.Y. ` 2,616.70 Lakhs) till 31st March, 2014. Net balance of unutilised funds amounting
to ` 2,079.01 Lakhs (P.Y. ` 1,142.15 Lakhs) is shown under the head “Other Liabilities”. Details of funds received and
utilized for various activities are as under:
` in Lakhs)
(`
Nature of Activities Funds Received Funds Utilized Unutilized funds
upto 31.03.2014 upto 31.03.2014 as on 31.03.2014
Construction and other expenses of Stone Park 3,569.32 2,649.03 920.29
Construction and other expenses of Laboratory 1,945.40 858.27 1,087.13
Activities related to Trade Fair 46.14 20.09 26.05
Activities related to ISRC 50.00 4.46 45.54
Total 5,610.86 3,531.85 2,079.01
Previous Year 3,758.85 2,616.70 1,142.15

2.07.02 Vide Government Resolution dated 19.11.2009, GMDC has been given permission to lift Manganese Ore from
dumps of Shivrajpur areas and dispose the same for which GMDC will be entitled to retain 20% of the sale price.
GMDC has to keep remaining 80% of the sale price of Manganese Ore dump in a separate account of Gujarat
Mineral Research & Development Society (GMRDS) for mineral survey and exploration. Accordingly, ` 123.43 Lakhs
(P.Y. `. 149.48 Lakhs) (i.e. 80% of the basic sale price) has been transferred to GMRDS.

2.08 SHORT-TERM PROVISIONS (`

` in Lakhs)
Particulars As at 31.03.2014 As at 31.03.2013
Provision for Employee Benefits
- Gratuity 336.98 196.64
- Leave Encashment 375.36 323.27
- Provident Fund 128.97 5.44
Proposed Dividend 9,540.00 9,540.00
Provision for Tax on Dividend 1,621.32 1,621.32

Total 12,002.63 11,686.67

2.08.01 During the year ended 31st March, 2014, the amount of dividend per share recognised as distribution to equity
shareholders was ` 3 per share (P.Y. ` 3 per share), subject to approval of shareholders in ensuing Annual General
Meeting.
2.08.02 Employee Benefits
The disclosures required under Accounting Standard 15 “Employee Benefits” notified in the Companies (Accounting
Standards) Rules 2006, are given below :
Defined Contribution Plan (`
` In Lakhs)
Particulars 2013-14 2012-13
Contribution to PF & other funds 775.84 714.99

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 ANNUAL REPORT 2013-2014
Defined Benefit Plan
a) The following table sets out the status of the gratuity plan as required under AS 15 (Revised 2005) and the
reconciliation of opening balances of the present value of the defined benefit obligation.
(i) Changes in Present Value of Obligations. ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Present Value of Obligation as at the beginning of the year 8,668.41 8,163.64
Current Service Cost 389.48 329.49
Interest Cost 693.47 693.91
Actuarial (gain) / Loss on obligations (201.03) 82.67
Benefits paid (463.02) (601.30)
Past Service cost - -
Present Value of Obligation as at the end of the year 9,087.31 8,668.41
(ii) Changes in the Fair Value of Plan Assets. ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Fair Value of Plan Assets at the beginning of the year 8,471.78 6,939.59
Expected Return on Plan Assets 737.04 596.80
Actuarial Gain / (loss) on Plan Assets 4.55 36.68
Contributions - 1,500.01
Benefits Paid (463.02) (601.30)
Fair Value of Plan Assets at the end of the year 8,750.35 8,471.78
(iii) The amount recognized in Balance Sheet ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Fair Value of Plan Assets as at the end of the year 8,750.35 8,471.78
Present Value of Obligations as at the end of the year (9,087.31) (8,668.41)
Net Asset / (Liability) recognized in Balance Sheet (336.96) (196.63)
(iv) Amount recognized in the Statement of Profit & Loss ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Current Service Cost 389.48 329.49
Interest Cost 693.47 693.91
Expected Return on Plan Assets (737.04) (596.80)
Net actuarial (gain) / loss recognized in the year (205.57) 46.00
Past Service Cost - -
Expenses/(Income) Recognized in the Statement of Profit & Loss 140.34 472.60
(v) Investment Details
Particulars % Invested as at
31.03.2014 31.03.2013
Funds with L.I.C. (% Invested) 100.00 100.00
(vi) Assumptions
Particulars 31.03.2014 31.03.2013
Mortality Table (LIC) 2006-08(Ultimate) 2006-08(Ultimate)
Discount Rate (Current) 9.03% 8.00%
Rate of increase in Compensation Levels 6.00% 6.00%
Rate of Return on Plan Assets 8.70% 8.70%
The estimates of rate of escalation in salary considered in actuarial valuation take into account inflation,
seniority, promotion and other relevant factors including attrition rate. The above information is certified by the
actuary.
b) Consequent to the Guidance on implementing Accounting Standard 15 “Employees Benefits” (AS-15) which
clarifies the applicability of the Accounting Standard, the Corporation has considered certain entitlements to
earned leave which can be carried forward to future periods as a long term employee benefit.

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.09 FIXED ASSETS
` In Lakhs)
(`
Description GROSS BLOCK DEPRECIATION/DEPLETION NET BLOCK
As on Additions Sales/ As on As on Depreciation/ Sales/ As on As at As at
01.04.2013 during the Adjustments 31.03.2014 01.04.2013 Depletion Adjustment 31.03.2014 31.03.2014 31.03.2013
year during the for the year during the
year year
Tangible Assets :
Land
- Free hold Land 10,285.35 446.59 - 10,731.94 1,744.96 205.10 - 1,950.06 8,781.88 8,540.39
- Lease hold Land 1,207.82 471.91 - 1,679.73 104.31 83.99 - 188.30 1,491.43 1,103.51
Building 24,079.38 1,869.11 3.48 25,945.01 10,768.95 1,037.23 3.04 11,803.14 14,141.87 13,310.43
Plant & Equipment 2,25,855.82 17,650.05 5,620.47 2,37,885.40 71,859.36 10,731.60 5,523.25 77,067.71 1,60,817.69 1,53,996.46
Furniture & Fixtures 1,369.00 4.18 22.07 1,351.11 1,097.22 53.40 21.42 1,129.20 221.91 271.78
Vehicles 1,226.78 189.78 81.48 1,335.08 917.97 94.27 77.09 935.15 399.93 308.81
Office Equipments 874.03 26.08 19.63 880.48 650.67 33.40 18.25 665.82 214.66 223.36
Total (A) 2,64,898.18 20,657.70 5,747.13 2,79,808.75 87,143.44 12,238.99 5,643.05 93,739.38 1,86,069.37 1,77,754.74
Intangible Assets :
Enterprise Resource
Planning 733.95 31.46 - 765.41 464.91 132.15 - 597.06 168.35 269.04
Total (B) 733.95 31.46 - 765.41 464.91 132.15 - 597.06 168.35 269.04
Total (A) + (B) 2,65,632.13 20,689.16 5,747.13 2,80,574.16 87,608.35 12,371.14 5,643.05 94,336.44 1,86,237.72 1,78,023.78
Previous Year 2,55,743.34 14,706.81 4,818.02 2,65,632.13 79,965.27 11,750.47 4,107.38 87,608.35 1,78,023.78 1,75,778.06
2.09.01 Depreciation on free hold land represents depletion on wasting assets.
2.09.02 Depreciation is net off ` 85.36 Lakhs (P.Y. including ` 12.06 Lakhs) relating to previous years including depreciation
of `19.93 Lakhs on addition in intengible assets (ERP) amounting to ` 31.40 Lakhs.
2.09.03 GSECL and the Corporation had agreed to create common amenities (school, hospital, drinking water supply,
communication, transport facilities, etc.) for the employees of both entities in Panandhro in terms of minutes dated
8.10.1991, 3.8.1992, 1.10.1993. These were to be managed by a Trust to be registered in this regard. Pending
formation of the Trust, the capital and revenue expenditure incurred by the Corporation as well as GSECL are shared
on 50:50 basis and accounted in the books of the respective entity. Share of 50% given by each against the expenditure
incurred by respective entity is subject to confirmation and adjustments, if any. Pending transfer of such assets to the
Trust, capital expenditure incurred in the creation of assets towards 50% share of GMDC to the tune of ` 59.40 Lakhs
(P.Y. ` 59.40 Lakhs) are accounted in the books of the Company and included in the respective heads of the assets.
2.09.04 Statement showing written off assets awaiting disposal included in fixed assets stated above.
(` In Lakhs)
Description Gross Block Depreciation Net Block
Plant & Equipment 891.51 877.10 14.41
Furniture & Fixtures 9.82 9.49 0.33
Office Appliances 4.81 4.67 0.14
Vehicles 107.56 105.61 1.95
Total 1,013.70 996.87 16.83
Previous Year 1,144.89 1,129.30 15.59
2.09.05 During the current year the Corporation has changed the policy for provision of depletion.Now onwards it will be
based on geological reserve submitted in mine closure plan. Had the corporation continued with earlier policy of the
mineable reserve used in previous year then depletion charged during the current year would have been higher by
` 45.63 Lakhs and profit before tax and net fixed assets would have been lower to that extent. Due to change in the
policy, the corporation has accounted for reduction in provision of ` 99.81 Lakhs accounted as prior period income.

38
 ANNUAL REPORT 2013-2014
2.10 NON-CURRENT INVESTMENTS ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Quoted Investments
- Investments in Equity Instruments
41,45,433 (P.Y. 40,80,433) Equity Shares of ` 10/- each, fully paid,
of Gujarat Alkalies & Chemicals Ltd. 4,953.11 4,826.24
50,00,000 (P.Y.50,00,000) Equity shares of ` 2/- each, fully paid,
of Gujarat State Fertilisers & Chemicals Ltd. 1,001.25 1,001.25
9,35,600 (P.Y. 9,35,600) Equity shares of `10/- each, fully paid,
of Gujarat State Financial Corporation Ltd. 187.12 187.12
7,77,900 (P.Y. 7,77,900) Equity shares of ` 10/- each, fully paid,
of Vijaya Bank 77.79 77.79
6,219.27 6,092.40
Less : Provision for diminution in value of investments 187.12 187.12
6,032.15 5,905.28
Unquoted Investments
- Investments in Equity Instruments
10,00,000 (P.Y.10,00,000) Equity shares of ` 10/- each, fully paid,
of Gujarat Informatics Ltd. 100.00 100.00
3,900 (P.Y. 3,900) Equity shares of ` 100/- each, fully paid,
of Gujarat Industrial Technical Consulancy Organization Ltd. 7.12 7.12
74,25,000 (P.Y. 74,25,000) Equity Shares of ` 10/- each, fully paid,
of Gujarat Guardian Ltd. 742.50 742.50
2,61,72,800 (P.Y. 2,61,72,800) Equity Shares of ` 1/- each, fully paid,
of Gujarat State Petroleum Corporation Ltd. 5,099.97 5,099.97
13,40,00,000 (P.Y. 5,90,00,000) Equity Shares of ` 10/- each, fully paid,
of Bhavnagar Energy Company Ltd. 13,400.00 5,900.00
1,90,840 (P.Y. 1,90,840) Equity Shares of ` 10/- each, fully paid,
of Gujarat Jaypee Cement and Inftra Ltd. 19.08 19.08
2,497 (P.Y. 2,497) Equity Shares of ` 100/- each, fully paid,
of Naini Coal Co. Ltd. 2.50 2.50
25,497 (P.Y. 25,497) Equity Shares of ` 10/- each, fully paid,
of Gujarat State Mining & Resources Corp. Ltd. 2.55 2.55
50,000 (P.Y. 50,000) Equity Shares of ` 10/- each, fully paid,
of Gujarat Foundation for Entrepreneurial Excellence 5.00 5.00
49,40,000 (P.Y. 49,40,000) Equity Shares of ` 10/- Each, fully paid,
of Gujarat Credo Mineral Industries Ltd. 494.00 494.00
25,000 (P.Y. 25,000) Equity Shares of ` 10/- Each, fully paid,
of Swarnim Gujarat Fluorspar Pvt. Ltd. 2.50 2.50
12,98,700 (P.Y. Nil) Equity Shares of ` 10/- Each, fully paid,
of Aikya Chemicals Pvt. Ltd. 129.87 -
20,005.09 12,375.22
Less : Provision for diminution in value of investments 2.50 2.50
20,002.59 12,372.72
Total Non-current Investment 26,034.75 18,278.00
Aggregate amount of quoted investments 6,219.27 6,092.40
Aggregate market value of quoted investments 10,705.27 10,321.02
Aggregate amount of unquoted investments 20,005.09 12,375.22
Aggregate provision for diminution in value of investments 189.62 189.62

39
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.10.01 Details of Investment in Subsidiary ` in Lakhs)
(`
Particulars Country of Investment Proportion of Investment Proportion of
Incorporation as at Shareholding as at Shareholding
31.03.2014 as at 31.03.2013 as at
31.03.2014 31.03.2013
Gujarat State Mining &
Resources Corp. Ltd. India 2.55 51% 2.55 51%
2.10.02 Details of Investment in Associates ` in Lakhs)
(`
Particulars Investment as at Investment as at
31.03.2014 31.03.2013
Gujarat Foundation for Entrepreneurial Excellence 5.00 5.00
2.10.03 Details of Investment in Joint Ventures
In compliance with the clauses of Accounting Standard - 27 issued by the Institute of Chartered Accountants of India
(ICAI), relevant disclosures relating to Joint Ventures are as follows :
` in Lakhs)
(`
Particulars Country of Investment Proportion Investment Proportion
Incorporation as at of Share- as at of Share-
31.03.2014 holding 31.03.2013 holding
as at as at
31.03.2014 31.03.2013
(as per (as per
agreement) agreement)
Bhavnagar Energy Co.Limited. India 13,400.00 26% 5,900.00 26%
Gujarat Jaypee Cement & Infrastructure Ltd. India 19.08 26% 19.08 26%
Naini Coal Co. Limited. India 2.50 50% 2.50 50%
Gujarat Credo Mineral Industries Limited. India 494.00 26% 494.00 26%
Swarnim Gujarat Fluorspar Pvt. Ltd. India 2.50 50% 2.50 50%
Aikya Chemicals Pvt Ltd India 129.87 26% NIL NIL
Gujarat Gokul Power Limited. India Agreement 26% Agreement 26%
is executed is executed
but payment but payment
is not made is not made.
2.10.04 As per the Memorandum of Understanding (MOU) dated 30th March, 1995 entered into with the Gujarat Industrial
Investment Corporation Ltd (GIIC), the said company had to repurchase the 16 Lakhs number of shares of Gujarat
Alkalies & Chemicals Limited (GACL) purchased by GMDC from GIIC by 30th March, 1998 at an agreed price
consisting of cost plus interest @ 14% per annum and service charge @ 0.25% per annum less dividend, bonus and
rights, etc. received thereon. GIIC has proposed to enter into a Supplementary MOU by virtue of which GIIC will not
be required to buy back the above shares and GMDC shall hold these shares as investment. The Board of Directors
of GMDC and GIIC have agreed to enter into Supplementary MOU for which proposal has been sent to the Govt. of
Gujarat for its approval. The balance 25.45 Lakhs number of shares as shown in above schedule of GACL have
been purchased by the corporation from the open market.
2.10.05 Naini Coal Company Ltd. is a 50:50 joint venture of GMDC and Pondicherry Industrial Promotion Development
Investment Corp Ltd. (PIPDIC). Naini Coal Company Ltd had given bank guarantee of ` 65 Crores to Coal Ministry,
Govt of India for allocation of Naini Coal block in the State of Orissa. The said bank guarantee was secured by
Corporate Guarantee of GMDC for an amount of ` 3,250 Lakhs and another ` 3,250 Lakhs was secured by bank
guarantee of UCO Bank, arranged by PIPDIC. Ministry of Coal, Govt of India has invoked 50% of Bank Guarantee
i.e. ` 3,250 Lakhs given by the Naini Coal Company Ltd. vide their letter dated 27.12.2012 due to non-compliance of
some terms and conditions of Naini Coal block allocation. GMDC had discharged its liability towards invoked bank
guarantee and has accounted for the same as advance to Naini Coal Company Ltd. The Company has made provision

40
 ANNUAL REPORT 2013-2014
of ` 2,038.12 Lakhs towards advances of ` 2,035.62 Lakhs and investments of ` 2.50 Lakhs respectively in
F.Y. 2012-13, which has been shown as “Exceptional Items” in Statement of Profit & Loss. Meanwhile, company has
filed petition in high court against the order of Government of India.
2.11 LONG-TERM LOANS AND ADVANCES ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Unsecured, considered good
Capital Advances 2,024.88 8,469.79
Deposits with Various Courts 1,275.35 1,275.35
Deposits with Corporate Bodies 8,600.00 4,450.00
Interest accrued but not due on above deposits 77.40 14.25
Security Deposits 270.76 298.61
Advances to Suppliers/ Contractors 2,890.57 5,772.76
Advance Tax & Tax Deducted at Source (Net of Provision) 33,062.62 29,852.86
Balance with Govt.Parties
- with Sales Tax / VAT Department 925.45 898.65
Loans & Advances to Employees 1,200.34 1,312.73
Other Loans & Advances 1,003.00 3.00
51,330.37 52,348.00
Doubtful
Loans & Advances to Related Parties 2,035.62 2,035.62
Deposits with Corporate Bodies 2,629.27 2,657.21
Interest Accrued and Due on Deposits 1,583.13 1,583.13
6,248.02 6,275.96
Less : Allowance for Bad & Doubtful 6,248.02 6,275.96
- -
Total 51,330.37 52,348.00

2.12 OTHER NON-CURRENT ASSETS ` in Lakhs)

(`
Particulars As at 31.03.2014 As at 31.03.2013
Secured, considered good
Receivable towards sale of fixed assets - 824.00
Total - 824.00

2.13 INVENTORIES ` in Lakhs)

(`
Particulars As at 31.03.2014 As at 31.03.2013
Mined Ore 3,241.58 2,093.96
Finished Goods 0.45 0.45
Stores, Spares & Fuel 2,175.79 2,341.35
2,175.79 2,341.35
Less : Provision for Obsolete Stock 712.77 519.69
1,463.02 1,821.66
Loose Tools 10.72 11.39
Total 4,715.77 3,927.46

41
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.14 TRADE RECEIVABLES ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Debts outstanding for a period exceeding six months
Unsecured, considered good 182.07 302.93
Doubtful 11.59 80.48
193.66 383.41
Less : Allowance for Bad & Doubtful 11.59 80.48
182.07 302.93
Other debts
Unsecured, considered good 4,999.23 3,680.37
Total 5,181.30 3,983.30
2.15 CASH AND CASH EQUIVALENTS ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Cash & Stamp on Hand 0.20 1.19
Balance with Banks
- Current Account 3,467.41 5,037.60
- Fixed Deposits 539.60 481.60
Other Bank Balance
- Balance with Banks in Unpaid Dividend accounts 107.20 95.82
- Balance with Banks to the extent held as Margin Money 44.40 43.18
- Fixed Deposit with more than 3 months maturity but less than 12 months maturity 24.92 24.92
- Fixed Deposit with more than 12 months maturity 0.15 0.15
- Doubtful Fixed Deposits 374.00 374.00
550.67 538.07
Less : Allowance made for Doubtful FDR 374.00 374.00
176.67 164.07
Total 4,183.88 5,684.46
2.15.01 Cash and Cash Equivalents as of 31st March, 2014 and 31st March, 2013 include restricted cash and bank balances
of ` 176.67 Lakhs and ` 164.07 Lakhs respectively. The restrictions are primarily on account of cash and bank
balances held as margin money, fixed deposits and unclaimed dividends.
2.15.02 Pending clearance of the title of the land, sale deed in respect of the land of the cement plant at Hadad sold earlier,
is not executed and an amount of ` 24.92 Lakhs (P.Y.` 24.92 Lakhs) is recoverable from the buyer on execution of
sale deed. The said amount has been deposited by the party before the Danta Court and in turn the Court has
directed to the Company to deposit the said amount with a nationalized bank in the form of FDR with a lien marked
in favour of Danta Court. Accordingly the Company has placed the same with Union Bank of India, Vastrapur Branch,
Ahmedabad.
2.16 SHORT-TERM LOANS AND ADVANCES ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Unsecured, considered good
Deposits with Corporate Bodies 1,01,812.83 95,982.21
Interest accrued but not due on Deposits 3,015.00 1,438.01
Advances to Suppliers 4,336.45 1,817.01
Balance with Govt.Parties
- with Central Excise & CGM 3,458.90 2,487.91
Prepaid expenses 197.40 160.12
Loans & Advances to Related Parties 395.39 187.98

42
 ANNUAL REPORT 2013-2014
Particulars As at 31.03.2014 As at 31.03.2013
Loans & Advance to Employees 873.29 699.44
Other Loans & Advances 782.80 1,369.92
1,14,872.06 1,04,142.60
Doubtful
Advances to Suppliers 3.00 0.11
Less : Allowance for Bad & Doubtful 3.00 0.11
- -
Total 1,14,872.06 1,04,142.60
2.17 OTHER CURRENT ASSETS ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Secured, considered good
Receivable towards sale of fixed assets 824.00 824.00
Total 824.00 824.00

2.17.01 The corporation had sold the land at Gotri in Vadodara during the year 2012-13 for the payment of ` 1,831.11 Lakhs.
At the time of execution of documents ` 183.11 Lakhs was received. Balance amount of ` 1,648 Lakhs is recoverable
in four equal half yearly installments. The said amount is secured by bank guarantee of Dena Bank. During the year
2013-14 two installments have been received.
2.18 REVENUE FROM OPERATIONS ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Sale of Products 1,34,407.28 1,74,762.51
Less : Excise Duty 5,440.77 7,294.02
Total 1,28,966.51 1,67,468.49

2.18.01 In respect of sale of electricity, GUVNL has considered the Return on Equity, Normative Plant Load Factor and
auxiliary consumption @ 13% per annum, 75% and 11% respectively as per letter dated 6.10.2006 issued by Energy
and Petrochemicals Department, Government of Gujarat. However, as per Power Purchase Agreement, the rate of
Return of Equity is 16%, Normative Plant Load Factor is 68.5% and auxiliary consumption @ 10%. GMDC and
GUVNL are in the process of execution of Supplementary Power Purchase Agreement. Pending such execution and
finalization, the revenue has been booked on the basis of amount paid by GUVNL against electricity bills and adjustment
of U.I. charges. Necessary adjustment, if any, shall be made in accounts after final outcome of the matter.
2.19 OTHER INCOME ` in Lakhs)
(`
Particulars 2013-2014 2012-2013
Interest Income
- Income Tax/ Sales Tax Refund 5.20 190.08
- FDRs with Banks & ICDs 8,771.90 7,468.24
- Others 253.05 9,030.15 250.78 7,909.10
Income from Investments
- Dividend Income 551.68 403.35
Net gain on Sale of Fixed Assets 388.83 1,639.04
Sale of Scrap material 143.36 707.17
Excess Provision of Earlier Years Written Back 641.38 4,026.53
Liquidated Damages/ Penalty 2,548.38 370.87
Other Misc. Income 1,237.83 492.06
Total 14,541.61 15,548.12

43
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.20 CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS & STOCK-IN TRADE
` in Lakhs)
(`
Particulars 2013-2014 2012-2013
Inventories at the end of the year:
Finished Goods 0.45 0.45
Mined Ore 3,241.58 2,093.96
3,242.03 2,094.41
Less :Inventories at the begining of the year:
Finished Goods 0.45 0.45
Mined Ore 2,093.96 2,157.39
2,094.41 2,157.84
Increase/(Decrease) in Inventories 1,147.62 (63.43)
2.21 EMPLOYEE BENEFITS EXPENSE ` in Lakhs)
(`
Particulars 2013-2014 2012-2013
Salaries, Wages & Bonus 7,585.31 7,075.38
Contribution to Provident fund & other funds 916.18 1,187.58
Staff Welfare Expenses 635.25 793.68
Terminal Benefits 571.85 1,383.51
Total 9,708.59 10,440.15
2.22 OTHER EXPENSES ` in Lakhs)
(`
Particulars 2013-2014 2012-2013
Manufacturing Expenses
Loading of Lignite & Overburden Removal 25,949.00 26,545.60
Other Loading charges & Mining Expenses 894.38 2,212.65
Consumption of Stores, Spares & Fuel
- Power & Fuel 1,079.15 1,020.58
- Consumption of Stores, Spares & Chemicals 5,755.20 6,834.35 8,077.98 9,098.56
Operation & Maintenance Charges for
Power Projects 2,941.45 1,241.06
Repairs & Maintenance
- Buildings 497.03 450.13
- Machineries ( Including spares) 1,392.58 1,105.24
- Other Assets 145.32 2,034.93 1,615.88 3,171.25
Rates & Taxes
- Royalty 5,854.53 8,633.68
- Clean Energy Cess 4,206.17 5,464.60
- Other Rates & Taxes 189.11 10,249.81 441.14 14,539.42
Mine Closure Expenses 5,194.26 4,960.39
Other Manufacturing Expense
- Machinery Hire Charges 0.10 31.92
- Rent 0.06 0.16 0.18 32.10
Administrative & Selling Expenses
Insurance Premium 316.83 278.01
Vehicle Hire Charges 568.71 487.74

44
 ANNUAL REPORT 2013-2014
Particulars 2013-2014 2012-2013
Advertisement & Publicity 214.86 210.74
Security Expenses 1,396.20 1,162.46
Legal & Professional Fees 335.39 448.03
Payment to Auditors
- Audit Fees 6.38 5.31
- For Tax Audit 0.78 0.77
- For Consolidation 0.11 0.11
- Out of Pocket Expenses 0.17 7.44 0.01 6.21
Remuneration to Managing Director - 4.33
Directors sitting Fees & Allowances 2.00 2.29
Cash Discount 431.51 503.90
Provision for Obsolate Stock 193.34 -
Provision for doubtful debts 14.59 4.49
Net Loss on Foreign Exchange transactions 1.99 0.13
Mining & Project Development Expenses 28.80 664.46
Other Miscellaneous Charges 1,750.62 2,328.65
Prior Period Adjustments (Net) 171.02 465.32
Total 59,531.64 68,367.79

2.22.01 Royalty on account of sale of Bauxite has been accounted for ` 251.17 Lakhs (P.Y. ` 1,130.46 Lakhs) on ad hoc
basis as intimated by the Commissioner of Geology and Mining. Necessary adjustment shall be made in the accounts
after final outcome of the matter.
2.22.02 In view of the Supreme Court’s decision in respect of mining activities, applications made by the Corporation for
renewal of leases covering 2,040 (P.Y. 2,040) hectares of land for extracting lignite are pending since 1993-94.
Necessary adjustment in respect of liability for any charges, taxes, duties etc. will be provided in accounts on finalization
of renewal applications.
2.22.03 Details of Prior Period Adjustments (Net) ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Income
- Sales 0.55 39.00
- Other Income 89.89 90.44 1.71 40.71
Expenditure
- Consumption of Stores,Chemicals etc. 10.67 90.76
- Repair & Maintenance 4.85 15.69
- Electricity Expenses 53.76 -
- Loading of Lignite / Mining Expenses of bauxite 181.58 111.14
- Rates & Taxes 32.30 243.57
- O & M / Plant operation charges 41.49 6.11
- Depreciation (85.36) 12.06
- Other Miscellaneous Expenses (net) 22.18 261.47 26.70 506.03
Net Prior Period Income/(Expenses) (171.02) (465.32)

45
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.23 Contingent Liabilities
Contingent liabilities not provided for Claims against the Corporation not acknowledged as debt ` 42,204.61 Lakhs
(P.Y. ` 99,083.65 Lakhs).
2.23.01 The ex-owners of land acquired for the Akrimota Project of the Corporation have filed suits for enhancement of
compensation awarded by the order of the competent authority and the value of enhancement claimed is ` 773.52
Lakhs upto 31st March, 2014 (P.Y. ` 773.52 Lakhs). Necessary adjustment shall be made in accounts after final
decision/outcome of the case.
2.23.02 As against claims for additional compensation of ` 1,000 per sq. mtr. by ex-owners of land acquired for Bhavnagar
Project, District Court has partly allowed the claims of ex-land owners by ` 4 per sq. mtr. The Corporation has
deposited ` 912.32 Lakhs with District Court, Bhavnagar in April’14 towards this order. The Corporation has also
decided to file an application before High Court against the order of District Court. Necessary adjustment shall be
made in accounts after final decision/outcome of the case.
2.23.03 Claims for additional compensation against acquisition of land at Rajpardi and Panandhro for mining activities of the
Corporation are under litigation before the Hon’ble Gujarat High Court. Pending the final disposal of the matters by
the Hon’ble High Court ` 1,239.03 Lakhs (P.Y. ` 1,239.03 Lakhs) has been deposited and shown under the head
‘Deposits with various Courts’. Necessary adjustment shall be made in accounts after final decision/outcome of the
case.
2.23.04 Income Tax : ` 27,586.75 Lakhs (P.Y. ` 24,062.98 Lakhs)
2.23.05 Sales Tax/ VAT : ` 425.45 Lakhs (P.Y. ` 425.45 Lakhs)
2.23.06 Excise : ` 450.58 Lakhs (P.Y. ` 450.58 Lakhs)
2.23.07 Related to Contractors and Others : ` 4,657.22 Lakhs (P.Y. ` 5,548.22 Lakhs)
2.23.08 Bank Guarantee/letter of credits issued by banks
on behalf of the Corporation. : ` 57.42 Lakhs (P.Y. ` 121.88 Lakhs)
2.23.09 Royalty, Stamp duty and Conversion tax : ` 4,943.48 Lakhs (P.Y. ` 4,466.88 Lakhs)
2.23.10 Incentive to Employees : ` 1,158.84 Lakhs (P.Y. ` 1,158.84 Lakhs)
In view of the various court cases/litigations and claims disputed by the Corporation,financial impact as to outflow
of resources in respect of various expenses is not ascertainable at this stage.
2.24 Capital and other commitments :
2.24.01 Capital Commiments
Estimated amount of Capital Contracts remaining to be executed and not provided for ` 6,205.36 Lakhs (P.Y.
` 9,844.86 Lakhs)
2.24.02 Other Commitments
a) Corporation has entered in to the Sponsor Support Agreement with Bhavnagar Energy Company Ltd (BECL),
whereby corporation has given commitment to meet the Cost overrun to the extent of its share of 26% in
BECL.
b) NALCO has made upfront payment of ` 15,100 Lakhs for setting up Alumina Refinery & Smelter plant in Kutch
region and same has been shown under the head “Other long term Liabilities”. Further, GMDC has deposited
the said amount with GSFS as inter corporate deposit. GMDC will supply Bauxite, Limestone and Lignite to
NALCO on a long term basis, as per terms and conditions as may be mutually agreed between the parties and
subject to approval of appropriate authorities; In case the said arrangement is not materialized as per proposed
agreement, then GMDC shall refund the said amount and other compensation to NALCO as admissible as per
law prevailing at that time.
2.25 I Consumption of imported & indigenous Stores & Spares (`
` In Lakhs)
Particulars 2013-2014 2012-2013
` % ` %
Imported - - 78.36 1
Indigenous 5,755.20 100 7,999.61 99
Total 5,755.20 100 8,077.97 100

46
 ANNUAL REPORT 2013-2014
II C.I.F. Value of Imports: ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Components & Spares 92.38 88.39
Capital Goods - -
Total 92.38 88.39
III Expenditure in foreign currency : ` NIL (P. Y. ` NIL)
IV Remuneration to Managing Director : (`
` In Lakhs)
Particulars 2013-2014 2012-2013
Remuneration Nil 3.25
Perquisites Nil 1.08
Total Nil 4.33
V During the year the Corporation has remitted the amount in foreign currency on account of the Share holders
as under: ` In Lakhs)
(`
(a) Year to which dividend relates 2012-13 2011-12
(b) Number of non-resident shareholders 26 34
(c) Number of shares held by them 52293 48682
(d) Amount of dividend remitted in foreign currency 1.57 1.46
2.26 In the opinion of Management, any of the Assets other than Fixed Assets and Non-Current Investments have a value
on realisation in the ordinary course of business at least equal to the amount at which they are stated, unless
otherwise stated.
2.27 Balances of trade payables, trade receivables, loans & advances, advances from customers, other long term/current
libilities, etc. are subject to confirmation, if any, in the accounts.
2.28 As at the Balance Sheet date Corporation has reviewed the carrying amounts of its assets and found that there is no
indication that those assets have suffered any impairment loss. Hence, no such impairment loss has been provided.
2.29 Earning Per Share
Particulars 2013-2014 2012-2013
Profit after tax (` In Lakhs) 43,913.42 60,084.21
Weighted average no. of equity shares outstanding 31,80,00,000 31,80,00,000
Basic and diluted earnings per share ` 13.81 ` 18.89
2.30 SEGMENT REPORTING
The Corporation has identified two reportable segments viz. Mining and Power. Segments have been identified and
reported taking into account nature of products and services, the differing risks and returns and the internal business
reporting systems. The accounting policies adopted for segment reporting are in line with accounting policy of the
corporation with the following additional policies for segment reporting.
a) Revenue and expenses have been identifed to a segment on the basis of relationship to operating of the
segment. Revenue and expenses which relate to enterprise as a whole and are not allocable to a segment on
reasonable basis have been disclosed as “Unallocable”.
b) Segment assets and segment liabilities represent assets and liabilities in respective segments. Investments,
tax related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis
have been disclosed as “Unallocable”. ` In Lakhs)
(`
Sr. Particulars 2013-2014 2012-2013
1 Segment Revenue
a) Mining Projects 1,07,734.09 1,51,337.61
b) Power Projects 30,304.35 27,402.90
Segment Revenue 1,38,038.44 1,78,740.51
c) Un-allocable Corporate Revenue 617.18 1,754.06
Total Revenue 1,38,655.62 1,80,494.57

47
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
Sr. Particulars 2013-2014 2012-2013
2 Segment Results :
(Profit/Loss before interest and tax)
a) Mining Projects 49,526.16 82,204.58
b) Power Projects 6,338.63 3,696.55
Segment Results 55,864.79 85,901.13
c) Un-allocable Corporate Results (2,487.61) (1,806.74)
Total 53,377.18 84,094.39
Add : Interest Income 9,030.15 7,909.10
Add : Dividend Income 551.68 403.35
Net Profit before tax and exceptional Items 62,959.01 92,406.84
Less : Exceptional Items - 2,038.12
62,959.01 90,368.72
Less : Provision for Current Tax 21,520.00 28,400.00
Less : Provision for Deferred Tax (2,474.41) 1,884.51
Total Tax Provision 19,045.59 30,284.51
Profit after tax (Enterprise net profit) 43,913.42 60,084.21
3 Segment Assets :
a) Mining Projects 45,877.98 49,131.70
b) Power Projects 2,52,783.90 2,34,714.66
Total Segment Assets 2,98,661.88 2,83,846.36
c) Un-allocable Corporate Assets 1,69,796.69 1,55,138.65
4,68,458.57 4,38,985.01
4 Segment Liabilities :
a) Mining Projects 54,062.66 53,156.78
b) Power Projects 79,205.07 68,398.60
Total Segment Liabilities 1,33,267.73 1,21,555.38
c) Un-allocable Corporate Liabilities 3,35,190.84 3,17,429.63
4,68,458.57 4,38,985.01
5 Capital Expenditure :
(i) Additions :
a) Mining Projects 2,412.62 1,809.30
b) Power Project 17,864.18 12,845.05
20,276.80 14,654.35
c) Un-allocable Capital Expenditure 412.38 52.46
Total Additions 20,689.18 14,706.81
(ii) Depreciation :
a) Mining Projects 994.48 1,515.72
b) Power Project 11,098.88 9,873.11
12,093.36 11,388.83
c) Un-allocable Depreciation 277.78 361.64
Total Depreciation 12,371.14 11,750.47
Notes :
1. Segment assets and liabilities are subject to reconcilation.
2. Segment Revenue of Mining includes ` 4,683.11 Lakhs (P.Y. ` 5,092.75 Lakhs) being captive consumption of
Lignite/Lime for Power Project.
3. Inter-segment transfers of Lignite and Lime are accounted for at cost.
4. Depreciation is net off ` 85.36 Lakhs (P.Y. including ` 12.06 Lakhs) relating to previous years.

48
 ANNUAL REPORT 2013-2014
2.31 Related party disclosures on 31.3.2014 :
(i) List of Related parties & Relationships :
Name of Related Party Relationship
Shri M. Sahu, IAS – Chairman (up to 31.01.2014) Key Management Personnel
Shri D. J. Pandian, IAS – Chairman (w.e.f. 01.02.2014)
Shri B. B. Swain, IAS - Managing Director (up to 30.04.2013)
Shri Pankaj Kumar, IAS - Managing Director (w.e.f. 01.05.2013)
Gujarat Foundation for Entrepreneurial Excellence Associates
Gujarat Jaypee Cement Infrastructure Ltd. Joint Ventures
Gujarat Credo Mineral Industries Ltd.
Bhavnagar Energy Co. Ltd.
Aikya Chemicals Pvt. Ltd.
Swarnim Gujarat Flourspar Pvt. Ltd.
Naini Coal Company Ltd.
Gujarat Mining & Resources Corporation Ltd. Subsidiary company
GMDC Gram Vikas Trust Enterprises over which key management
Lakhpat Welfare Society personnel are able to exercise significant
GMDC Science & Research Centre influence
(ii) Transactions during the year with related parties : ` In Lakhs)
(`
Nature of transactions Subsidiary Associates Joint Ventures Key Management Others Total
Personnel
2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
Remuneration Paid Nil Nil Nil Nil Nil Nil Nil 4.33 Nil Nil Nil 4.33
Purchase of Investments* Nil Nil Nil Nil 7,629.87 3,596.50 Nil Nil Nil Nil 7,629.87 3,596.50
Paid/ Receivable Nil Nil Nil 43.09 501.20 2,056.65 Nil Nil 248.48 360.25 749.68 2,459.99
Received/(Payable) Nil Nil Nil Nil 857.12 Nil Nil Nil 76.61 333.48 76.61 333.48
Donations given Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil
* Includes ` Nil (P.Y. ` 494 Lakhs) adjusted against receivable towards sale of bauxite.
(iii)Balances as at 31st March, 2014 : ` In Lakhs)
(`
Nature of transactions Subsidiary Associates Joint Ventures Key Management Others Total
Personnel
2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
Investments 2.55 2.55 5.00 5.00 14,047.95 6,418.08 Nil Nil Nil Nil 14,055.50 6,425.63
Receivables 1.00 1.00 84.50 84.50 2,043.66 2,043.58 Nil Nil 266.84 94.97 2,396.00 2,224.05
Payables Nil Nil Nil Nil 355.99 Nil Nil Nil Nil Nil 355.99 Nil
2.32 Corresponding figures of the previous year have been re-grouped / re-arranged and re-classified, wherever necessary,
to make them comparable with the figures of the current year.
2.33 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated 8th February, 2011
and 21st February, 2011 respectively has granted a general exemption from compliance with Section 212 of the
Companies Act, 1956 subject to fulfillment of conditions stipulated in the circular. The company has satisfied the
conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the
subsidiaries has been included in the consolidated financial statements.
Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS
General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

49
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

Consolidated Financial Statements & Notes

50
 ANNUAL REPORT 2013-2014

INDEPENDENT AUDITOR’S REPORT

To, relevant to the Group’s preparation and presentation of the
The Board of Directors consolidated financial statements in order to design audit
Gujarat Mineral Development Corporation Limited, procedures that are appropriate in the circumstances, but not
Ahmedabad. for the purpose of expressing an opinion on the effectiveness
of the entity’s internal control. An audit also includes evaluating
Report on the Consolidated Financial Statements.
the appropriateness of accounting policies used and the
We have audited the accompanying consolidated financial reasonableness of the accounting estimates made by
statements of GUJARAT MINERAL DEVELOPMENT management, as well as evaluating the overall presentation
CORPORATION LIMITED., AHMEDABAD (“the company”), of the consolidated financial statements.
and its subsidiary (collectively referred as “the group”) which
We believe that the audit evidence we have obtained is
comprise the Consolidated Balance Sheet as at March 31,
2014, and the Consolidated Statement of Profit and Loss and sufficient and appropriate to provide a basis for our audit
Consolidated Cash Flow Statement for the year then ended, opinion.
and a summary of significant accounting policies and other Opinion
explanatory information.
In our opinion and to the best of our information and according
Management’s Responsibility for the Consolidated to the explanations given to us, and based on consideration
Financial Statements of the report of the other auditor on the financial statements
Management is responsible for the preparation of these of the subsidiary as noted below, the consolidated financial
consolidated financial statements that give a true and fair view statements give a true and fair view in conformity with the
of the consolidated financial position, consolidated financial accounting principles generally accepted in India.
performance and consolidated cash flows of the Group in (a) in the case of the Consolidated Balance Sheet, of the
accordance with the accounting principles generally accepted state of affairs of the Group as at March 31, 2014;
in India including Accounting Standards referred to in sub-
section (3C) of section 211 of the Companies Act, 1956 (“the (b) in the case of the Consolidated Profit and Loss Account,
Act”) read with the General circular 15/2013 dated 13th of the profit of the Group for the year ended on that date;
September 2013 of the Ministry Of Corporate Affairs in respect and
of section 133 of the companies Act, 2013.This responsibility (c) in the case of the Consolidated Cash Flow Statement, of
includes the design, implementation and maintenance of the cash flows of the Group for the year ended on that
internal control relevant to the preparation and presentation date.
of the consolidated financial statements that give a true and
fair view and are free from material misstatement, whether Other Matters
due to fraud or error. We have not audited the financial statements of subsidiary
Auditor’s Responsibility company whose financial statements reflect Total Assets of
` 0.76 Lakhs as on 31st March 2014, Total Revenue of ` Nil,
Our responsibility is to express an opinion on these Net Cash flows ` 0.34 lakhs and Net Loss ` 0.65 lakhs for the
consolidated financial statements based on our audit. We year ended on that date. These financial statements have been
conducted our audit in accordance with the Standards on audited by other auditor whose report has been furnished to
Auditing issued by the Institute of Chartered Accountants of us, and our opinion, is based solely on the report of other
India. Those Standards require that we comply with ethical auditor.
requirements and plan and perform the audit to obtain
reasonable assurance about whether the consolidated Our opinion is not qualified in respect of other matters.
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit For H. K. Shah & Co.,
evidence about the amounts and disclosures in the Chartered Accountants
consolidated financial statements. The procedures selected Firm Regn No. 109583/W
depend on the auditor’s judgment, including the assessment
of the risks of material misstatement of the consolidated H.K.Shah
financial statements, whether due to fraud or error. In making Place: Ahmedabad (Partner)
those risk assessments, the auditor considers internal control Date: 29.05.2014 M. No. 042758

51
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

CONSOLIDATED BALANCE SHEET AS AT 31st MARCH, 2014

` in Lakhs)
(`
Particulars Note No. As at 31st March, 2014 As at 31st March, 2013
EQUITY AND LIABILITIES
SHAREHOLDERS’ FUNDS
Share Capital 2.02 6,360.00 6,360.00
Reserves and Surplus 2.03 2,79,883.36 2,86,243.36 2,47,134.92 2,53,494.92
MINORITY INTEREST (1.64) 1.87
NON-CURRENT LIABILITIES
Deferred tax liabilities (Net) 2.04 28,714.17 31,188.58
Other long-term liabilities 2.05 16,915.56 17,591.53
Long-term provisions 2.06 27,433.08 73,062.81 22,957.71 71,737.82
CURRENT LIABILITIES
Short-term borrowings 2.07 2.47 2.47
Trade payables 2.08 6,477.69 6,346.41
Other current liabilities 2.09 16,707.86 27,179.62
Short-term provisions 2.10 12,002.63 35,190.65 11,686.67 45,215.17
Total 3,94,495.18 3,70,449.78
ASSETS
NON-CURRENT ASSETS
Fixed assets
Tangible assets 2.11 1,86,069.37 1,77,754.74
Intangible assets 2.11 168.35 269.04
Capital work-in-progress (Net of Provision) 1,118.11 2,410.11
1,87,355.83 1,80,433.89
Non-current investments 2.12 26,032.20 18,275.45
Long-term loans and advances 2.13 51,330.37 52,348.00
Other non-current assets 2.14 - 2,64,718.40 830.52 2,51,887.86
CURRENT ASSETS
Inventories 2.15 4,715.77 3,927.46
Trade receivables 2.16 5,181.30 3,983.30
Cash and cash equivalents 2.17 4,184.65 5,685.56
Short-term loans and advances 2.18 1,14,871.06 1,04,141.60
Other current assets 2.19 824.00 1,29,776.78 824.00 1,18,561.92
Total 3,94,495.18 3,70,449.78
Significant Accounting Policies and Notes
on Financial Statements 1&2
Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS
General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

52
 ANNUAL REPORT 2013-2014

CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31st MARCH, 2014
(`
` in Lakhs)
Note No. 2013-2014 2012-2013

Revenue from Operations (Net of Excise Duty) 2.20 1,28,966.51 1,67,468.49

Other Income 2.21 14,541.61 15,548.12
Total Revenue 1,43,508.12 1,83,016.61

Expenses:
Changes in inventories of Finished goods, Work-in-progress & Stock-in-Trade 2.22 (1,147.62) 63.43
Employee benefits Expense 2.23 9,708.59 10,440.15
Depreciation/ Depletion 2.11 12,456.50 11,738.40
Other Expenses 2.24 59,532.27 68,368.30
Total Expenses 80,549.74 90,610.28

Profit before exceptional and extraordinary items and tax 62,958.38 92,406.33
Less : Exceptional items - 2,038.12
Profit before extraordinary items and tax 62,958.38 90,368.21
Less : Extraordinary Items - -
Profit Before Tax 62,958.38 90,368.21

Tax Expense
Current Tax 21,520.00 28,400.00
Deferred Tax (2,474.41) 1,884.51
Profit/(Loss) For the period 43,912.79 60,083.70

Add: Share of Loss in subsidiary company transferred to minority interest 0.32 0.26
Profit/(Loss) For the period (After adjustment of minority interest) 43,913.11 60,083.96

Earning per equity Share

Basic 13.81 18.89
Diluted 13.81 18.89
Significant Accounting Policies and Notes on Financial Statements 1&2

Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS

General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

53
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR 2013-14

(`
` in Lakhs)
Sr. No. Particulars 2013-2014 2012-2013
A Cash-Flow from Operating Activities:
Net Profit before tax and extra ordinary items 62,958.38 90,368.21
Adjustments for:
Depreciation and Depletion 12,371.14 11,750.47
Provision for Doubtful Debts, Investments and Loans and Advances 14.59 2,042.62
Provision for Obsolete Spares / Stock 193.34 -
Assets written off 14.29 10.59
Excess/Short provision adjusted (641.38) (4,026.53)
Surplus / Deficit on sale of assets (388.83) (1,639.04)
Dividend Income (551.68) (403.35)
Wealth Tax 2.28 2.06
Interest from Banks and Corporates (8,771.90) (7,468.24)
Operating profit before working capital changes: 65,200.23 90,636.79
Adjustments for:
Trade & Other Receivable (5,244.00) (42,760.58)
Inventories (981.65) 2,612.55
Trade & Other Payable (5,595.56) 4,696.80
Misc. Expenditure (6.52) 6.52
(11,827.73) (35,444.71)
Cash generated from operations 53,372.50 55,192.08
Direct Taxes Paid (Net) (24,732.05) (33,195.34)
Net Cash-Flow from Operating Activities 28,640.45 21,996.74
B Cash-Flow from Investing Activities:
Purchase of fixed assets (19,406.87) (16,496.05)
Sale of fixed assets 488.31 2,348.39
Redemption / Purchase of Investments (7,756.75) (5,014.62)
Interest from Bank and Corporates 7,131.76 7,890.89
Dividend & Income from units 551.68 403.35
Net cash used in Investing Activities (18,991.87) (10,868.04)
C Cash-Flow from Financing Activities:
Dividend paid (11,149.49) (11,088.84)
Net cash used in Financing Activities (11,149.49) (11,088.84)
Net increase in Cash & Cash Equivalents (1,500.91) 39.86
Cash & Cash Equivalent at the beginning of year 5,685.56 5,645.70
Cash & Cash Equivalent at the end of year 4,184.65 5,685.56
Notes:
1. Cash and Cash Equivalents include Cash and Bank Balances.
2. Previous year’s figures have been rearranged/ restated/ regrouped, wherever necessary.
3. The Cash Flow Statement has been prepared under the ‘Indirect Method’ as per AS - 3 issued by ICAI.

Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS

General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

54
 ANNUAL REPORT 2013-2014

1 : SIGNIFICANT ACCOUNTING POLICIES ON CONSOLIDATED ACCOUNTS

1. Accounting Policies unless specifically stated to be otherwise are in accordance with generally accepted Accounting
Principles.
2. BASIS OF ACCOUNTING:
The Accounts of the Corporation are prepared under the historical cost convention method using the accrual method. The
Corporation follows mercantile system of accounting and recognizes significant items of income and expenditure on
accrual basis except that -
Generally prior period expenses/Income and prepaid expenses for an amount up to ` 50,000 in each case are debited/
credited as current year’s expenses/income.
3. PRINCIPLES OF CONSOLIDATION:
The Financial Statements of subsidiary company used in the consolidation are drawn up to the same reporting date as of
the company.
The consolidated financial statements have been prepared on the following basis:
a) The Financial statement of the company and its subsidiary company has been combined on line by line basis by
adding together book value of like items of assets, liability, income and expenses after eliminating intra group balance,
intra-group transactions, and minority interest have been separately disclosed.
b) The consolidated financial statements are prepared using accounting policies for like transactions and other events
in similar circumstances and are presented to the extent possible, in the same manner as the Corporation’s separate
financial statements except as otherwise stated in the accounting policies.
c) Minority interest in the net assets of the subsidiary consists of amount of equity attributable to the minority share
holders by company in the subsidiary company at the date on which investments are made and further movement in
their shares in the equity, subsequent to the date of investment.
4. USE OF ESTIMATES:
The preparation of financial statements requires estimates and assumptions to be made that affect the reported amount
of assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during
the reporting period. Difference between the actual results and estimates are recognized in the period in which the results
are known/ materialized.
5. FIXED ASSETS:
a) The fixed assets are stated at historical cost less depreciation. Cost includes expenditure incurred in their acquisition
as well as construction/installation and other related expenditure but excludes cost of fencing.
b) Capital Work in progress includes machineries not installed and assets in transit.
c) Cost of civil works required for plant and machinery’s support is considered as part of the Plant and Machinery.
d) Un-serviceable/worn out plant and machineries, vehicles and other assets of the Corporation are written off from the
books of account to the extent of 95% of their cost after getting approval of appropriate authorities. The same are
stated at the lower of their net book value or net realizable value.
e) Fixed assets received by the Corporation free of cost are stated at nominal cost.
f) Full provision has been made on plant and machinery which has not been put to use and lying in capital work in
progress for more than ten years.
6. INTANGIBLE ASSETS :
Intangible assets are stated at cost of acquisition net of recoverable taxes less accumulated amortization, if any.
7. MACHINERY SPARES:
Machinery spares for Generating Units, Power Station and Switchyard, etc. either procured along with the equipment or
subsequently and whose use is expected to be irregular are capitalized and depreciated over the residual useful life of the
related plant and machinery. Other spares are treated as “stores and spares” forming part of the inventory and expensed
when issued.
8. BORROWING COSTS:
Borrowing costs attributable during the acquisition or construction of qualifying assets are capitalized as part of the cost
of the assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All
other borrowing costs are charged to revenue.

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
9. DEPRECIATION:
a) Depreciation has been provided for the fixed assets as under:
i) Depreciation is charged on written down value method at the rates prescribed in Schedule-XIV to the Companies
Act, 1956 except Plant & Machinery of Thermal Power Plant, Wind Energy Farm and Solar Project from time to
time.
ii) Depreciation in respect of Plant and Machinery of Wind Energy Farm and Solar Project is charged on straight
line method at the rates prescribed in Schedule XIV to the Companies Act, 1956 from time to time.
iii) Depreciation is charged on straight line method as per the rates and in the manner as prescribed by CERC
(Terms and Conditions of Tariff) Regulations, 2009 in respect of Plant and Machinery including mandatory/
insurance spares of Thermal Power Plant.
b) On the assets disposed off/discarded during the year, depreciation is charged on pro rata basis upto the date of their
disposal/discarding.
c) Depreciation on assets acquired is charged proportionately from the date of putting them to use on pro rata basis.
d) Low value items which are in the nature of assets (excluding immovable assets) and valuing upto ` 5,000/- are not
capitalized and charged off to revenue in the year of acquisition.
e) Depreciation on assets given on lease by the Corporation has been provided on Straight Line Method so as to write
off the cost over the primary period of lease as per lease agreement.
f) Leasehold land is written off over the period of lease.
g) In case of intangible assets, software is amortized at 40% on written down value method.
10. DEPLETION:
On the basis of the principle of wasting assets, depletion has been provided in the accounts, which is based on the data
available with the Corporation as regards extraction of the minerals as compared to the technical estimation of gross
geological mineral reserves.
11. INVESTMENTS:
All the Investments are long term and carried at cost. However, provision is made for diminution in the value of investment
other than of temporary nature.
12. INVENTORIES:
a) Stores, chemicals, spares, fuel and loose tools are valued at cost. Cost is ascertained on weighted average method.
b) Raw materials, mined ore, goods-in-process and finished products are valued at lower of total cost incurred at
respective project or net realizable value item-wise. Cost is ascertained on First In First Out basis.
13. FOREIGN CURRENCY TRANSACTIONS:
a) Transactions in foreign currencies are recorded at the exchange rate prevailing on the date of transaction.
b) Monetary items in foreign currencies are translated at the year end rate. The difference between the rates prevailing
on the date of transaction and on the date of settlement as also on the translation of monetary items at the end of the
year is recognized as income or expenses as the case may be for the year.
c) In respect of the Suppliers’ credit for purchase of fixed assets repayable in foreign currency, the exchange difference
arising on repayment/realignment liabilities is recognized in Statement of Profit and Loss.
14. EMPLOYEE BENEFITS:
a) Post employment benefits i.e. gratuity and leave encashment are recognized as an expense in the Statement of
Profit and Loss for the year in which the employee has rendered services. The liabilities for employee benefits are
recognized at the present value of the amount payable for the same. The present value is determined using the
market yields of government bonds at the balance sheet date at the discounting rate.
b) Short term employee benefits are recognized as an expense at the undiscounted amount in the Statement of Profit
and Loss of the year in which the related services are rendered.
c) Reimbursement of losses and other related expenses to Provident Fund Trust are charged to the Statement of Profit
and Loss as and when crystallized.
d) Actuarial gains and losses in respect of post employment and other long term benefits are charged to the Statement
of Profit and Loss.
e) Compensation paid to the legal heirs of deceased employee while in service is charged to Statement of Profit and
Loss as and when the liability arises.

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 ANNUAL REPORT 2013-2014
f) The principal amount and interest thereon in respect of House Building Advance in case of deceased employee
while in service is written off as and when intimation is received.
g) Compensation to employees who have opted for retirement under the voluntary retirement scheme of the corporation
is charged to Statement of Profit and Loss in the year of separation.
15. LIABILITIES FOR PURCHASES:
Provisions are made in respect of materials received up to the end of the accounting year for which bills are not received.
16. REVENUE RECOGNITION:
a) Sales are recognized at the time of dispatch of finished goods. Sales include amounts in respect of excise duty,
royalty, transportation, packing charges, clean energy cess and mine closure charges wherever applicable but exclude
VAT.
b) The liquidated damage/penalty, if any, on the works completed are generally determined on completion/closure of
contracts and charged as revenue.
c) Income of lease management fees is spread over the primary period of lease.
17. EXCISE DUTY:
Excise duty is accounted on the basis of payments made in respect of goods cleared.
18. TAXATION:
a) Provision of income-tax for the current year is based on the estimated taxable income for the period in accordance
with the provisions of the Income Tax Act, 1961.
b) Deferred tax is calculated at current statutory income-tax rate and is recognized on timing difference between taxable
income and accounting income that originate in one period and are capable of reversal in one or more subsequent
periods.
c) Deferred tax assets subject to consideration of prudence are recognized and carried forward only to the extent there
is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets
can be realized.
d) MAT credit is recognized as an asset only when and to the extent there is convincing evidence that the Company will
pay normal income tax during the specified period. In the year in which the Minimum Alternate Tax (MAT) credit
becomes eligible to be recognized as an asset in accordance with the recommendations contained in Guidance
Note issued by the Institute of Chartered Accountants of India, the said asset is created by way of a credit to the
Statement of Profit and Loss and shown as MAT Credit Entitlement. The Company reviews the same at each balance
sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there is no longer convincing
evidence to the effect that Company will pay normal Income Tax during the specified period.
19. PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS:
Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation
as result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not
recognized but disclosed in the Notes. Contingent Assets are neither recognized nor disclosed in the financial statements.
20. PRE-OPERATIVE EXPENSES ON MINING PROJECTS:
Pre-operative Expenses of Mines/Mining Projects under implementation incurred upto the date of commencement of the
production on commercial basis are written off in the year in which they are incurred.
21. IMPAIRMENT OF ASSETS:
An asset is treated as impaired when carrying cost of asset exceeds its recoverable value. An impairment loss is charged
to Statement of Profit and Loss in the year in which an asset is identified as impaired. The impairment loss recognized in
prior accounting period is reversed, if there has been a change in estimate of recoverable amount. In case of intangible
assets, the same will be tested on periodical basis for impairment.
22. REHABILITATION AND RESETTLEMENT EXPENSES:
Rehabilitation and Resettlement Expenses are charged as revenue in the year in which they are incurred.
23. AFFORESTATION EXPENSES:
Afforestation Expenses are charged as revenue to the extent they are incurred by the respective departments.
24. MINE CLOSURE EXPENSES FOR LIGNITE MINES:
a) Progressive mine closure expenses are accounted for as and when incurred.

57
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
b) The annual cost of final mine closure is calculated and accounted for considering the useful life of the mines on the
basis of approved final mine closure plans otherwise annual cost is calculated on the basis of draft mine closure
plans submitted to the Ministry of Coal, GOI or on the basis of technical estimations for mines for which draft mine
closure plans have not been submitted.
25. EVENTS OCCURING AFTER THE BALANCE SHEET DATE:
Material adjusting events (that provide evidence of conditions that existed at the balance sheet date) occurring after the
balance sheet date are recognized in the financial statements. Non adjusting events (that are indicative of conditions that
arose subsequent to the balance sheet date) occurring after the balance sheet date that represent material change and
commitment affecting the financial position are disclosed in the reports of the Board of Directors.
26. PROPOSED DIVIDEND:
Provision is made in accounts for proposed dividend, subject to approval of shareholders in annual general meeting.
27. PRELIMINARY EXPENSES:
Unamortized preliminary expenses of subsidiary company are not attributable to creation of fixed assets, hence charged
to Profit & Loss A/c.

2 : NOTES ON CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH, 2014
2.01 The consolidated financial statements relate to Gujarat Mineral Development Corporation Limited and its subsidiary.The
subsidiary company considered in the financial statement is as follows:
Name of the company Proportion of shareholding Proportion of shareholding
as on March 31, 2014 as on March 31, 2013
Gujarat State Mining and Resources Corporation Ltd. 51 % 51 %
2.02 SHARE CAPITAL ` in Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Authorised Share Capital
74,50,00,000 Equity Shares (Previous year 74,50,00,000) of ` 2 /- each 14,900.00 14,900.00
1,00,000 Preference Shares (Previous year 1,00,000) of ` 100/- each 100.00 100.00
15,000.00 15,000.00
Issued, Subscribed & Paid-up Capital
31,80,00,000 Equity Shares (Previous year 31,80,00,000)
of ` 2/- each fully paid up 6,360.00 6,360.00
Total 6,360.00 6,360.00
2.02.01 The reconciliation of the number of shares outstanding is set out below:
Particulars As at 31.03.2014 As at 31.03.2013
Number of shares outstanding at the beginning of year 31,80,00,000.00 31,80,00,000.00
Add: Shares issued during the year - -
Less : Share bought back - -
Number of shares outstanding at the end of year 31,80,00,000.00 31,80,00,000.00
2.02.02 The details of shareholder holding more than 5% shares is set out below :
Name of the shareholder No. of shares as at % held as at No. of shares as at % held as at
31.03.2014 31.03.2014 31.03.2013 31.03.2013
Governor of Gujarat 23,53,20,000 74% 23,53,20,000 74%
2.02.03 The details of Aggregate no. of shares alloted as fully paid up by way of Bonus Shares for the period of immediately
preceeding five years from the date of balance sheet
Particulars Year of Aggregate no. of
allotment Shares alloted
Equity Shares alloted as Bonus Shares 2008-09 15,90,00,000.00

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 ANNUAL REPORT 2013-2014
2.03 RESERVES AND SURPLUS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
- General Reserve
Opening Balance 222,570.63 182,570.63
Add : Transfer from Profit & Loss Account 25,000.00 40,000.00
Closing Balance 247,570.63 222,570.63
- Surplus
Opening Balance 24,564.29 15,638.34
Add : Net profit/(Net Loss) for the current year 43,913.09 60,083.94
Add : Transferred to Unamortized expenses (3.33) 3.33
Amount available for appropriation 68,474.05 75,725.61
Less : Appropriation
Final Dividend 9,540.00 9,540.00
Dividend Distribution Tax 1,621.32 1,621.32
Amount Transferred to General Reserve 25,000.00 40,000.00
Closing Balance 32,312.73 24,564.29
Total 279,883.36 247,134.92
2.04 DEFERRED TAX LIABILITY (NET) ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Deferred Tax Liability
Due to Depreciation 39,184.79 39,868.95
Deferred Tax Assets
Due to Disallowance u/s 43B of Income Tax (10,027.42) (8,325.29)
Due to Others Timing Differences (443.20) (355.08)
Total 28,714.17 31,188.58
2.05 OTHER LONG-TERM LIABILITIES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Security & Other Deposit liability 16,709.76 17,385.28
Environment Expense Reserve Fund 205.80 181.33
Others Liabilities - 24.92
Total 16,915.56 17,591.53
2.06 LONG-TERM PROVISIONS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Provision for Employee Benefits
- Gratuity - -
- Leave Encashment 2,546.74 2,296.78
Provision for Mine Closure 24,886.34 20,660.93
Total 27,433.08 22,957.71
2.06.01 As per the guidelines for preparation of Mines Closure Plan issued by the Ministry of Coal, Government of India the
Corporation has made a provision for mines closure expenses to the tune of ` 26,442.15 Lakhs (P.Y. ` 21,317.56
Lakhs) and has incurred progressive mine closure expenses of ` 1,555.81 Lakhs (P Y ` 656.63 Lakhs) so far. As per
the guidelines the amount so provided is required to be deposited in ESCROW Account with a bank. The corporation
is having sufficient funds in the form of inter-corporate deposits (ICDs) to meet such obligation. The matter is under
correspondence with the Ministry of Coal and the amount will be so deposited as directed by the Ministry of Coal out
of available ICDs.

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.07 SHORT TERM BORROWINGS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Loans and advances received (Unsecured) 2.47 2.47
Total 2.47 2.47
2.08 TRADE PAYABLES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Creditors for Supplies & services 6,477.69 6,346.41
Total 6,477.69 6,346.41
2.08.01 Based on the information available with the corporation, there are no amounts due to suppliers covered under Micro,
Small and Medium Enterprises Development Act, 2006.
2.09 OTHER CURRENT LIABILITIES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Creditors for Capital Assets 552.95 5,874.58
Advance received from Customers 5,012.88 9,694.71
Rates, Taxes & Duties payable 3,413.82 4,674.02
Security & Other Deposit liability 2,382.43 3,514.85
Unpaid Dividend 94.83 83.00
Other Liabilities 5,250.95 3,338.46
Total 16,707.86 27,179.62
2.09.01 The Government of Gujarat (GOG) has provided funds for amounting to ` 5,610.86 Lakhs (P.Y. ` 3,758.85 Lakhs)
which are in the nature of deposits for construction and other expenses for Stone Parks, Laboratory, Trade Fair and
ISRC activities on behalf of Commissioner of Geology & Mining (CGM), GOG. Out of the said deposits, Corporation
has incurred ` 3,531.85 Lakhs (P.Y. ` 2,616.70 Lakhs) till 31st March, 2014. Net balance of unutilised funds amounting
to ` 2,079.00 Lakhs (P.Y. ` 1,142.15 Lakhs) is shown under the head “Other Liabilities”. Details of funds received
and utilized for various activities are as under:
` In Lakhs)
(`
Nature of Activities Funds Received Funds Utilized Unutilized funds
upto 31.03.2014 upto 31.03.2014 as on 31.03.2014
Construction and other expenses of Stone Park 3,569.32 2,649.03 920.29
Construction and other expenses of Laboratory 1,945.40 858.27 1,087.13
Activities related to Trade Fair 46.14 20.09 26.05
Activities related to ISRC 50.00 4.46 45.54
Total 5,610.86 3,531.85 2,079.01
Previous Year 3,758.85 2,616.70 1,142.15
2.09.02 Vide Government Resolution dated 19.11.2009, GMDC has been given permission to lift Manganese Ore from
dumps of Shivrajpur areas and dispose the same for which GMDC will be entitled to retain 20% of the sale price.
GMDC has to keep remaining 80% of the sale price of Manganese Ore dump in a separate account of Gujarat
Mineral Research & Development Society (GMRDS) for mineral survey and exploration. Accordingly, ` 123.43 Lakhs
(P.Y. ` 149.48 Lakhs) (i.e. 80% of the basic sale price) has been transferred to GMRDS.
2.10 SHORT-TERM PROVISIONS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Provision for Employee Benefits
- Gratuity 336.98 196.64
- Leave Encashment 375.36 323.27
- Provident Fund 128.97 5.44
Proposed Dividend 9,540.00 9,540.00
Provision for Tax on Dividend 1,621.32 1,621.32
Total 12,002.63 11,686.67

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 ANNUAL REPORT 2013-2014
2.10.01 During the year ended 31st March, 2014, the amount of dividend per share recognised as distribution to equity
shareholders was ` 3 per share (P.Y ` 3 per share), subject to approval of shareholders in ensuing Annual General
Meeting.
2.10.02 Employee Benefits
The disclosures required under Accounting Standard 15 “Employee Benefits” notified in the Companies (Accounting
Standards) Rules 2006, are given below :
Defined Contribution Plan (`
` In Lakhs)
Particulars 2013-2014 2012-2013
Contribution to PF & other funds 775.84 714.99
Defined Benefit Plan
a) The following table sets out the status of the gratuity plan as required under AS 15 (Revised 2005) and the
reconciliation of opening balances of the present value of the defined benefit obligation.
(i) Changes in Present Value of Obligations. ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Present Value of Obligation as at the beginning of the year 8,668.41 8,163.64
Current Service Cost 389.48 329.49
Interest Cost 693.47 693.91
Actuarial (gain) / Loss on obligations (201.03) 82.67
Benefits paid (463.02) (601.30)
Past Service cost - -
Present Value of Obligation as at the end of the year 9,087.31 8,668.41
(ii) Changes in the Fair Value of Plan Assets. ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Fair Value of Plan Assets at the beginning of the year 8,471.78 6,939.59
Expected Return on Plan Assets 737.04 596.80
Actuarial Gain / (loss) on Plan Assets 4.55 36.68
Contributions - 1,500.01
Benefits Paid (463.02) (601.30)
Fair Value of Plan Assets at the end of the year 8,750.35 8,471.78
(iii) The amount recognized in Balance Sheet ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Fair Value of Plan Assets as at the end of the year 8,750.35 8,471.78
Present Value of Obligations as at the end of the year (9,087.31) (8,668.41)
Net Asset / (Liability) recognized in Balance Sheet (336.96) (196.63)
(iv) Amount recognized in the Statement of Profit & Loss ` In Lakhs)
(`
Particulars 31.03.2014 31.03.2013
Current Service Cost 389.48 329.49
Interest Cost 693.47 693.91
Expected Return on Plan Assets (737.04) (596.80)
Net actuarial (gain) / loss recognized in the year (205.57) 46.00
Past Service Cost - -
Expenses/(Income) Recognized in the Statement of Profit & Loss 140.34 472.60
(v) Investment Details
Particulars % Invested as at
31.03.2014 31.03.2013
Funds with L.I.C. (% Invested) 100 100

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
(vi) Assumptions
Particulars 31.03.2014 31.03.2013
Mortality Table (LIC) 2006-08(Ultimate) 2006-08(Ultimate)
Discount Rate (Current) 9.03% 8.00%
Rate of increase in Compensation Levels 6.00% 6.00%
Rate of Return on Plan Assets 8.70% 8.70%
The estimates of rate of escalation in salary considered in actuarial valuation take into account inflation,
seniority, promotion and other relevant factors including attrition rate. The above information is certified
by the actuary.
b) Consequent to the Guidance on implementing Accounting Standard 15 “Employees Benefits” (AS-15) which
clarifies the applicability of the Accounting Standard, the Corporation has considered certain entitlements to
earned leave which can be carried forward to future periods as a long term employee benefit.
2.11 FIXED ASSETS ` In Lakhs)
(`
Description GROSS BLOCK DEPRECIATION/DEPLETION NET BLOCK
As on Additions Sales/ As on As on Depreciation/ Sales/ As on As at As at
01.04.2013 during the Adjustments 31.03.2014 01.04.2013 Depletion Adjustment 31.03.2014 31.03.2014 31.03.2013
year during the for the year during the
year year
Tangible Assets :
Land
- Free hold Land 10,285.35 446.59 - 10,731.94 1,744.96 205.10 - 1,950.06 8,781.88 8,540.39
- Lease hold Land 1,207.82 471.91 - 1,679.73 104.31 83.99 - 188.30 1,491.43 1,103.51
Building 24,079.38 1,869.11 3.48 25,945.01 10,768.95 1,037.23 3.04 11,803.14 14,141.87 13,310.43
Plant & Equipment 2,25,855.82 17,650.05 5,620.47 2,37,885.40 71,859.36 10,731.60 5,523.25 77,067.71 1,60,817.69 1,53,996.46
Furniture & Fixtures 1,369.00 4.18 22.07 1,351.11 1,097.22 53.40 21.42 1,129.20 221.91 271.78
Vehicles 1,226.78 189.78 81.48 1,335.08 917.97 94.27 77.09 935.15 399.93 308.81
Office Equipments 874.03 26.08 19.63 880.48 650.67 33.40 18.25 665.82 214.66 223.36
Total (A) 2,64,898.18 20,657.70 5,747.13 2,79,808.75 87,143.44 12,238.99 5,643.05 93,739.38 1,86,069.37 1,77,754.74
Intangible Assets :
Enterprise Resource
Planning 733.95 31.46 - 765.41 464.91 132.15 - 597.06 168.35 269.04
Total (B) 733.95 31.46 - 765.41 464.91 132.15 - 597.06 168.35 269.04
Total (A) + (B) 2,65,632.13 20,689.16 5,747.13 2,80,574.16 87,608.35 12,371.14 5,643.05 94,336.44 1,86,237.72 1,78,023.78
Previous Year 2,55,743.34 14,706.81 4,818.02 2,65,632.13 79,965.27 11,750.47 4,107.38 87,608.35 1,78,023.78 1,75,778.06
2.11.01 Depreciation on free hold land represents depletion on wasting assets.
2.11.02 Depreciation is net off ` 85.36 Lakhs (P.Y. including ` 12.06 Lakhs) relating to previous years including depreciation
of ` 19.93 Lakhs on addition in intengible assets (ERP) amounting to ` 31.40 Lakhs .
2.11.03 GSECL and the Corporation had agreed to create common amenities (school, hospital, drinking water supply,
communication, transport facilities, etc.) for the employees of both entities in Panandhro in terms of minutes dated
8.10.1991, 3.8.1992, 1.10.1993. These were to be managed by a Trust to be registered in this regard. Pending
formation of the Trust, the capital and revenue expenditure incurred by the Corporation as well as GSECL are shared
on 50:50 basis and accounted in the books of the respective entity. Share of 50% given by each against the expenditure
incurred by respective entity is subject to confirmation and adjustments, if any. Pending transfer of such assets to the
Trust, capital expenditure incurred in the creation of assets towards 50% share of GMDC to the tune of ` 59.40 Lakhs
(P.Y. ` 59.40 Lakhs) are accounted in the books of the Corporation and included in the respective heads of the
assets.

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 ANNUAL REPORT 2013-2014
2.11.04 Statement showing written off assets awaiting disposal included in fixed assets stated above. (`
` In Lakhs)
Description Gross Block Depreciation Net Block
Plant & Equipment 891.51 877.10 14.41
Furniture & Fixtures 9.82 9.49 0.33
Office Appliances 4.81 4.67 0.14
Vehicles 107.56 105.61 1.95
Total 1,013.70 996.87 16.83
Previous Year 1,144.89 1,129.30 15.59
2.11.05 During the current year the Corporation has changed the policy for provision of depletion.Now onwards it will be
based on geological reserve submitted in mine closure plan. Had the corporation continued with earlier policy of the
mineable reserve used in previous year then depletion charged during the current year would have been higher by
` 45.63 Lakhs and profit before tax and net fixed assets would have been lower to that extent. Due to change in the
policy, the corporation has accounted for reduction in provision of ` 99.81 Lakhs accounted as prior period income.
2.12 NON-CURRENT INVESTMENTS (`
` In Lakhs)
Particulars As at 31.03.2014 As at 31.03.2013
Quoted Investments
- Investments in Equity Instruments
41,45,433 (P.Y. 40,80,433) Equity Shares of ` 10/- each, fully paid,
of Gujarat Alkalies & Chemicals Ltd. 4,953.11 4,826.24
50,00,000 (P.Y.50,00,000) Equity shares of ` 2/- each, fully paid,
of Gujarat State Fertilisers & Chemicals Ltd. 1,001.25 1,001.25
9,35,600 (P.Y. 9,35,600) Equity shares of ` 10/- each, fully paid,
of Gujarat State Financial Corporation Ltd. 187.12 187.12
7,77,900 (P.Y. 7,77,900) Equity shares of ` 10/- each, fully paid,
of Vijaya Bank 77.79 77.79
6,219.27 6,092.40
Less : Provision for diminution in value of investments 187.12 187.12
6,032.15 5,905.28
Unquoted Investments
- Investments in Equity Instruments
10,00,000 (P.Y.10,00,000) Equity shares of ` 10/- each, fully paid,
of Gujarat Informatics Ltd. 100.00 100.00
3,900 (P.Y. 3,900) Equity shares of ` 100/- each, fully paid,
of Gujarat Industrial Technical Consulancy Organization Ltd. 7.12 7.12
74,25,000 (P.Y. 74,25,000) Equity Shares of ` 10/- each, fully paid,
of Gujarat Guardian Ltd. 742.50 742.50
2,61,72,800 (P.Y. 2,61,72,800) Equity Shares of ` 1/- each, fully paid,
of Gujarat State Petroleum Corporation Ltd. 5,099.97 5,099.97
13,40,00,000 (P.Y. 5,90,00,000) Equity Shares of ` 10/- each, fully paid,
of Bhavnagar Energy Company Ltd. 13,400.00 5,900.00
1,90,840 (P.Y. 1,90,840) Equity Shares of ` 10/- each, fully paid,
of Gujarat Jaypee Cement and Inftra Ltd. 19.08 19.08
2,497 (P.Y. 2,497) Equity Shares of ` 100/- each, fully paid,
of Naini Coal Co. Ltd. 2.50 2.50
50,000 (P.Y. 50,000) Equity Shares of ` 10/- each, fully paid,
of Gujarat Foundation for Entrepreneurial Excellence 5.00 5.00

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
Particulars As at 31.03.2014 As at 31.03.2013
49,40,000 (P.Y. 49,40,000) Equity Shares of ` 10/- Each, fully paid,
of Gujarat Credo Mineral Industries Ltd. 494.00 494.00
25,000 (P.Y. 25,000) Equity Shares of ` 10/- Each, fully paid,
of Swarnim Gujarat Fluorspar Pvt. Ltd. 2.50 2.50
12,98,700 (P.Y. Nil) Equity Shares of ` 10/- Each, fully paid,
of Aikya Chemicals Pvt. Ltd. 129.87 -
20,002.54 12,372.67
Less : Provision for diminution in value of investments 2.50 2.50
20,000.04 12,370.17
Total Non-current Investment 26,032.20 18,275.45
Aggregate amount of quoted investments 6,219.27 6,092.40
Aggregate market value of quoted investments 10,705.27 10,321.02
Aggregate amount of unquoted investments 20,002.54 12,372.67
Aggregate provision for diminution in value of investments 189.62 189.62
2.12.01 Details of Investment in Associates ` In Lakhs)
(`
Particulars Investment as Investment as
at 31.03.2014 at 31.03.2013
Gujarat Foundation for Entrepreneurial Excellence 5.00 5.00
2.12.02 Details of Investment in Joint Ventures
In compliance with the clauses of Accounting Standard - 27 issued by the Institute of Chartered Accountants of India
(ICAI), relevant disclosures relating to Joint Ventures are as follows : ` In Lakhs)
(`
Particulars Country of Investment Proportion Investment Proportion
Incorporation as at of Share- as at of Share-
31.03.2014 holding 31.03.2013 holding
as at as at
31.03.2014 31.03.2013
Bhavnagar Energy Co.Limited. India 13,400.00 26% 5,900.00 26%
Gujarat Jaypee Cement & Infrastructure Ltd. India 19.08 26% 19.08 26%
Naini Coal Co. Limited. India 2.50 50% 2.50 50%
Gujarat Credo Mineral Industries Limited. India 494.00 26% 494.00 26%
Swarnim Gujarat Fluorspar Pvt. Ltd. India 2.50 50% 2.50 50%
Aikya Chemicals Pvt Ltd India 129.87 26% NIL NIL
Gujarat Gokul Power Limited. India Agreement 26% Agreement 26%
is executed is executed
but payment but payment
is not made is not made.
2.12.03 As per the Memorandum of Understanding (MOU) dated 30th March, 1995 entered into with the Gujarat Industrial
Investment Corporation Ltd (GIIC), the said company had to repurchase the 16 Lakhs number of shares of Gujarat
Alkalies & Chemicals Limited (GACL) purchased by GMDC from GIIC by 30th March, 1998 at an agreed price
consisting of cost plus interest @ 14% per annum and service charge @ 0.25% per annum less dividend, bonus and
rights, etc. received thereon. GIIC has proposed to enter into a Supplementary MOU by virtue of which GIIC will not
be required to buy back the above shares and GMDC shall hold these shares as investment. The Board of Directors
of GMDC and GIIC have agreed to enter into Supplementary MOU for which proposal has been sent to the Govt. of
Gujarat for its approval. The balance 25.45 Lakhs number of shares as shown in above schedule of GACL have
been purchased by the corporation from the open market.
2.12.04 Naini Coal Company Ltd. is a 50:50 joint venture of GMDC and Pondicherry Industrial Promotion Development
Investment Corp Ltd. (PIPDIC). Naini Coal Company Ltd had given bank guarantee of ` 65 Crores to Coal Ministry,
Govt of India for allocation of Naini Coal block in the State of Orissa. The said bank guarantee was secured by

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 ANNUAL REPORT 2013-2014
Corporate Guarantee of GMDC for an amount of ` 3,250 Lakhs and another ` 3,250 Lakhs was secured by bank
guarantee of UCO Bank, arranged by PIPDIC. Ministry of Coal, Govt of India has invoked 50% of Bank Guarantee
i.e. ` 3,250 Lakhs given by the Naini Coal Company Ltd. vide their letter dated 27.12.2012 due to non-compliance of
some terms and conditions of Naini Coal block allocation. GMDC had discharged its liability towards invoked bank
guarantee and has accounted for the same as advance to Naini Coal Company Ltd. The Company has made provision
of ` 2,038.12 Lakhs towards advances of ` 2,035.62 Lakhs and investments of ` 2.50 Lakhs respectively in
F.Y. 2012-13, which has been shown as “Exceptional Items” in Statement of Profit & Loss. Meanwhile, company has
filed petition in high court against the order of Government of India.
2.13 LONG-TERM LOANS AND ADVANCES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Unsecured, considered good
Capital Advances 2,024.88 8,469.79
Deposits with Various Courts 1,275.35 1,275.35
Deposits with Corporate Bodies 8,600.00 4,450.00
Interest accrued but not due on above deposits 77.40 14.25
Security Deposits 270.76 298.61
Advances to Suppliers/ Contractors 2,890.57 5,772.76
Advance Tax & Tax Deducted at Source (Net of Provision) 33,062.62 29,852.86
Balance with Govt.Parties
- with Sales Tax / VAT Department 925.45 898.65
Loans & Advances to Employees 1,200.34 1,312.73
Other Loans & Advances 1,003.00 3.00
51,330.37 52,348.00
Doubtful
Loans & Advances to Related Parties 2,035.62 2,035.62
Deposits with Corporate Bodies 2,629.27 2,657.21
Interest Accrued and Due on Deposits 1,583.13 1,583.13
6,248.02 6,275.96
Less : Allowance for Bad & Doubtful 6,248.02 6,275.96
- -
Total 51,330.37 52,348.00
2.14 OTHER NON-CURRENT ASSETS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Secured, considered good
Receivable towards sale of fixed assets - 824.00
Unamortized preliminary expenses - 6.52
Total - 830.52
2.15 INVENTORIES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Mined Ore 3,241.58 2,093.96
Finished Goods 0.45 0.45
Stores, Spares & Fuel 2,175.79 2,341.35
2,175.79 2,341.35
Less : Provision for Obsolete Stock 712.77 519.69
1,463.02 1,821.66
Loose Tools 10.72 11.39
Total 4,715.77 3,927.46

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.16 TRADE RECEIVABLES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Debts outstanding for a period exceeding six months
Unsecured, considered good 182.07 302.93
Doubtful 11.59 80.48
193.66 383.41
Less : Allowance for Bad & Doubtful 11.59 80.48
182.07 302.93
Other debts
Unsecured, considered good 4,999.23 3,680.37
Total 5,181.30 3,983.30
2.17 CASH AND CASH EQUIVALENTS ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Cash & Stamp on Hand 0.20 1.19
Balance with Banks
- Current Account 3,468.18 5,038.70
- Fixed Deposits 539.60 481.60
Other Bank Balance
- Balance with Banks in Unpaid Dividend accounts 107.20 95.82
- Balance with Banks to the extent held as Margin Money 44.40 43.18
- Fixed Deposit with more than 3 months maturity but less than 12 months maturity 24.92 24.92
- Fixed Deposit with more than 12 months maturity 0.15 0.15
- Doubtful Fixed Deposits 374.00 374.00
550.67 538.07
Less : Allowance made for Doubtful FDR 374.00 374.00
176.67 164.07
Total 4,184.65 5,685.56
2.17.01 Cash and Cash Equivalents as of 31st March, 2014 and 31st March, 2013 include restricted cash and bank balances
of ` 176.67 Lakhs and ` 164.07 Lakhs respectively. The restrictions are primarily on account of cash and bank
balances held as margin money, fixed deposits and unclaimed dividends.
2.17.02 Pending clearance of the title of the land, sale deed in respect of the land of the cement plant at Hadad sold earlier,
is not executed and an amount of ` 24.92 Lakhs (P.Y.` 24.92 Lakhs) is recoverable from the buyer on execution of
sale deed. The said amount has been deposited by the party before the Danta Court and in turn the Court has
directed to the Company to deposit the said amount with a nationalized bank in the form of FDR with a lien marked
in favour of Danta Court. Accordingly the Company has placed the same with Union Bank of India, Vastrapur Branch,
Ahmedabad.
2.18 SHORT-TERM LOANS AND ADVANCES ` In Lakhs)
(`
Particulars As at 31.03.2014 As at 31.03.2013
Unsecured, considered good
Deposits with Corporate Bodies 1,01,812.83 95,982.21
Interest accrued but not due on Deposits 3,015.00 1,438.01
Advances to Suppliers 4,336.45 1,817.01
Balance with Govt. Parties
- with Central Excise & CGM 3,458.90 2,487.91
Prepaid expenses 197.40 160.12
Loans & Advances to Related Parties 394.39 186.98
Loans & Advance to Employees 873.29 699.44

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 ANNUAL REPORT 2013-2014
Particulars As at 31.03.2014 As at 31.03.2013
Other Loans & Advances 782.80 1,369.92
1,14,871.06 1,04,141.60
Doubtful
Advances to Suppliers 3.00 0.11
Less : Allowance for Bad & Doubtful 3.00 0.11
- -
Total 1,14,871.06 1,04,141.60

2.19 OTHER CURRENT ASSETS ` In Lakhs)

(`
Particulars As at 31.03.2014 As at 31.03.2013
Secured, considered good
Receivable towards sale of fixed assets 824.00 824.00
Total 824.00 824.00

2.19.01 The corporation had sold the land at Gotri in Vadodara during the year 2012-13 for the payment of ` 1,831.11 Lakhs.
At the time of execution of documents ` 183.11 Lakhs was received. Balance amount of ` 1,648 Lakhs is recoverable
in four equal half yearly installments. The said amount is secured by bank guarantee of Dena Bank. During the year
2013-14 two installments have been received.
2.20 REVENUE FROM OPERATIONS ` In Lakhs)
(`
Particulars 2013-14 2012-13
Sale of Products 1,34,407.28 1,74,762.51
Less : Excise Duty 5,440.77 7,294.02
Total 1,28,966.51 1,67,468.49
2.20.01 In respect of sale of electricity, GUVNL has considered the Return on Equity, Normative Plant Load Factor and
auxiliary consumption @ 13% per annum, 75% and 11% respectively as per letter dated 6.10.2006 issued by Energy
and Petrochemicals Department, Government of Gujarat. However, as per Power Purchase Agreement, the rate of
Return of Equity is 16%, Normative Plant Load Factor is 68.5% and auxiliary consumption @ 10%. GMDC and
GUVNL are in the process of execution of Supplementary Power Purchase Agreement. Pending such execution and
finalization, the revenue has been booked on the basis of amount paid by GUVNL against electricity bills and adjustment
of U.I. charges. Necessary adjustment, if any shall be made in accounts after final outcome of the matter.
2.21 OTHER INCOME ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Interest Income
- Income Tax/ Sales Tax Refund 5.20 190.08
- FDRs with Banks & ICDs 8,771.90 7,468.24
- Others 253.05 9,030.15 250.78 7,909.10
Income from Investments
- Dividend Income 551.68 403.35
Net gain on Sale of Fixed Assets 388.83 1,639.04
Sale of Scrap material 143.36 707.17
Excess Provision of Earlier Years Written Back 641.38 4,026.53
Liquidated Damages/ Penalty 2,548.38 370.87
Other Misc. Income 1,237.83 492.06
Total 14,541.61 15,548.12

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.22 ` In Lakhs)
CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS & STOCK-IN TRADE (`
Particulars 2013-2014 2012-2013
Inventories at the end of the year:
Finished Goods 0.45 0.45
Mined Ore 3,241.58 2,093.96
3,242.03 2,094.41
Less :Inventories at the begining of the year:
Finished Goods 0.45 0.45
Mined Ore 2,093.96 2,157.39
2,094.41 2,157.84
Increase/(Decrease) in Inventories 1,147.62 (63.43)
2.23 EMPLOYEE BENEFITS EXPENSE ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Salaries, Wages & Bonus 7,585.31 7,075.38
Contribution to Provident fund & other funds 916.18 1,187.58
Staff Welfare Expenses 635.25 793.68
Terminal Benefits 571.85 1,383.51
Total 9,708.59 10,440.15
2.24 OTHER EXPENSES ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Manufacturing Expenses
Loading of Lignite & Overburden Removal 25,949.00 26,545.60
Other Loading charges & Mining Expenses 894.38 2,212.65
Consumption of Stores, Spares & Fuel
- Power & Fuel 1,079.15 1,020.58
- Consumption of Stores, Spares & Chemicals 5,755.20 6,834.35 8,077.98 9,098.56
Operation & Maintenance Charges for Power Projects 2,941.45 1,241.06
Repairs & Maintenance
- Buildings 497.03 450.13
- Machineries ( Including spares) 1,392.58 1,105.24
- Other Assets 145.32 2,034.93 1,615.88 3,171.25
Rates & Taxes
- Royalty 5,854.53 8,633.68
- Clean Energy Cess 4,206.17 5,464.60
- Other Rates & Taxes 189.11 10,249.81 441.14 14,539.42
Mine Closure Expenses 5,194.26 4,960.39
Other Manufacturing Expense
- Machinery Hire Charges 0.10 31.92
- Rent 0.06 0.16 0.18 32.10
Administrative & Selling Expenses
Insurance Premium 316.83 278.01
Vehicle Hire Charges 568.71 487.74

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 ANNUAL REPORT 2013-2014
Particulars 2013-2014 2012-2013
Advertisement & Publicity 214.86 210.74
Security Expenses 1,396.20 1,162.46
Legal & Professional Fees 335.90 448.41
Payment to Auditors
- Audit Fees 6.52 5.46
- For Tax Audit 0.78 0.77
- For Consolidation 0.11 0.11
- Out of Pocket Expenses 0.17 7.57 0.01 6.35
Remuneration to Managing Director - 4.33
Directors sitting Fees & Allowances 2.00 2.29
Cash Discount 431.51 503.90
Provision for Obsolate Stock 193.34 -
Provision for doubtful debts 14.59 4.49
Net Loss on Foreign Exchange transactions 1.99 0.13
Mining & Project Development Expenses 28.80 664.46
Other Miscellaneous Charges 1,750.62 2,328.64
Prior Period Adjustments (Net) 171.02 465.32
Total 59,532.27 68,368.30

2.24.01 Royalty on account of sale of Bauxite has been accounted for ` 251.17 Lakhs (P.Y. ` 1,130.46 Lakhs) on ad hoc
basis as intimated by the Commissioner of Geology and Mining. Necessary adjustment shall be made in the accounts
after final outcome of the matter.
2.24.02 In view of the Supreme Court’s decision in respect of mining activities, applications made by the Corporation for
renewal of leases covering 2,040 (P.Y. 2,040) hectares of land for extracting lignite are pending since 1993-94.
Necessary adjustment in respect of liability for any charges, taxes, duties etc. will be provided in accounts on finalization
of renewal applications.
2.24.03 Details of Prior Period Adjustments (Net) ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Income
- Sales 0.55 39.00
- Other Income 89.89 90.44 1.71 40.71
Expenditure
- Consumption of Stores,Chemicals etc. 10.67 90.76
- Repair & Maintenance 4.85 15.69
- Electricity Expenses 53.76 -
- Loading of Lignite / Mining Expenses of bauxite 181.58 111.14
- Rates & Taxes 32.30 243.57
- O & M / Plant operation charges 41.49 6.11
- Depreciation (85.36) 12.06
- Other Miscellaneous Expenses (net) 22.18 261.47 26.70 506.03
Net Prior Period Income/(Expenses) (171.02) (465.32)
2.25 Contingent Liabilities
Contingent liabilities not provided for Claims against the Corporation not acknowledged as debt ` 42,204.61 Lakhs
(P.Y. ` 99,083.65 Lakhs).

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 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
2.25.01 The ex-owners of land acquired for the Akrimota Project of the Corporation have filed suits for enhancement of
compensation awarded by the order of the competent authority and the value of enhancement claimed is ` 773.52
Lakhs upto 31st March, 2014 (P.Y. ` 773.52 Lakhs). Necessary adjustment shall be made in accounts after final
decision/outcome of the case.
2.25.02 As against claims for additional compensation of ` 1,000 per sq. mtr. by ex-owners of land acquired for Bhavnagar
Project, District Court has partly allowed the claims of ex-land owners by ` 4 per sq. mtr. The Corporation has
deposited ` 912.32 Lakhs with District Court, Bhavnagar in April’14 towards this order. The Corporation has also
decided to file an application before High Court against the order of District Court. Necessary adjustment shall be
made in accounts after final decision/outcome of the case.
2.25.03 Claims for additional compensation against acquisition of land at Rajpardi and Panandhro for mining activities of the
Corporation are under litigation before the Hon’ble Gujarat High Court. Pending the final disposal of the matters by
the Hon’ble High Court ` 1,239.03 Lakhs (P.Y. ` 1,239.03 Lakhs) has been deposited and shown under the head
‘Deposits with various Courts’. Necessary adjustment shall be made in accounts after final decision /outcome of the
case.
2.25.04 Income Tax : ` 27,586.75 Lakhs (P.Y. ` 24,062.98 Lakhs)
2.25.05 Sales Tax/ VAT : ` 425.45 Lakhs (P.Y. ` 425.45 Lakhs)
2.25.06 Excise : ` 450.58 Lakhs (P.Y. ` 450.58 Lakhs)
2.25.07 Related to Contractors and Others : ` 4,657.22 Lakhs (P.Y. ` 5,548.22 Lakhs)
2.25.08 Bank Guarantee/letter of credits issued by banks
on behalf of the Corporation. : ` 57.42 Lakhs (P.Y. ` 121.88 Lakhs)
2.25.09 Royalty, Stamp duty and Conversion tax : ` 4,943.48 Lakhs (P.Y. ` 4,466.88 Lakhs)
2.25.10 Incentive to Employees : ` 1,158.84 Lakhs (P.Y. ` 1,158.84 Lakhs)
In view of the various court cases/litigations and claims disputed by the Company, financial impact as to outflow of
resources in respect of various expenses is not ascertainable at this stage.
2.26 Capital and other commitments :
2.26.01 Capital Commiments
Estimated amount of Capital Contracts remaining to be executed and not provided for ` 6,205.36 Lakhs (P.Y.
` 9,844.86 Lakhs)
2.26.02 Other Commitments
a) Corporation has entered in to the Sponsor Support Agreement with Bhavnagar Energy Company Ltd (BECL),
whereby corporation has given commitment to meet the Cost overrun to the extent of its share of 26% in
BECL.
b) NALCO has made upfront payment of ` 15,100 Lakhs for setting up Alumina Refinery & Smelter plant in Kutch
region and same has been shown under the head “Other long term Liabilities”. Further, GMDC has deposited
the said amount with GSFS as inter corporate deposit. GMDC will supply Bauxite, Limestone and Lignite to
NALCO on a long term basis, as per terms and conditions as may be mutually agreed between the parties and
subject to approval of appropriate authorities; In case the said arrangement is not materialized as per proposed
agreement, then GMDC shall refund the said amount and other compensation to NALCO as admissible as per
law prevailing at that time.
2.27 I Consumption of imported & indigenous Stores & Spares (`
` In Lakhs)
Particulars 2013-2014 2012-2013
` % ` %
Imported - 0 78.36 1
Indigenous 5,755.20 100 7,999.61 99
Total 5,755.20 100 8,077.97 100
II C.I.F. Value of Imports: ` In Lakhs)
(`
Particulars 2013-2014 2012-2013
Components & Spares 92.38 88.39
Capital Goods Nil Nil
Total 92.38 88.39

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 ANNUAL REPORT 2013-2014
III Expenditure in foreign currency : ` NIL (P. Y. ` NIL)
IV Remuneration to Managing Director : (`
` In Lakhs)
Particulars 2013-2014 2012-2013
Remuneration Nil 3.25
Perquisites Nil 1.08
Total Nil 4.33
V During the year the Corporation has remitted the amount in foreign currency on account of the Share holders
as under: ` In Lakhs)
(`
(a) Year to which dividend relates 2012-13 2011-12
(b) Number of non-resident shareholders 26 34
(c) Number of shares held by them 52293 48682
(d) Amount of dividend remitted in foreign currency 1.57 1.46
2.28 In the opinion of Management, any of the Assets other than Fixed Assets and Non-Current Investments have a value
on realisation in the ordinary course of business at least equal to the amount at which they are stated, unless
otherwise stated.
2.29 Balances of trade payables, trade receivables, loans & advances, advances from customers, other long term/current
libilities, etc. are subject to confirmation, if any, in the accounts.
2.30 As at the Balance Sheet date Company has reviewed the carrying amounts of its assets and found that there is no
indication that those assets have suffered any impairment loss. Hence, no such impairment loss has been provided.
2.31 Earning Per Share
Particulars 2013-2014 2012-2013
Profit after tax (` In Lakhs) 43,912.79 60,083.70
Weighted average no. of equity shares outstanding 31,80,00,000 31,80,00,000
Basic and diluted earnings per share ` 13.81 ` 18.89
2.32 SEGMENT REPORTING
The Corporation has identified two reportable segments viz. Mining and Power. Segments have been identified and
reported taking into account nature of products and services, the differing risks and returns and the internal business
reporting systems. The accounting policies adopted for segment reporting are in line with accounting policy of the
corporation with the following additional policies for segment reporting.
a) Revenue and expenses have been identifed to a segment on the basis of relationship to operating of the
segment. Revenue and expenses which relate to enterprise as a whole and are not allocable to a segment on
reasonable basis have been disclosed as “Unallocable”.
b) Segment assets and segment liabilities represent assets and liabilities in respective segments. Investments,
tax related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis
have been disclosed as “Unallocable”. ` In Lakhs)
(`
Sr. Particulars 2013-2014 2012-2013
1 Segment Revenue
a) Mining Projects 1,07,734.09 1,51,337.61
b) Power Projects 30,304.35 27,402.90
Segment Revenue 1,38,038.44 1,78,740.51
c) Un-allocable Corporate Revenue 617.18 1,754.06
Total Revenue 1,38,655.62 1,80,494.57
2 Segment Results :
(Profit/Loss before interest and tax)
a) Mining Projects 49,526.16 82,204.58
b) Power Projects 6,338.63 3,696.55
Segment Results 55,864.79 85,901.13

71
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
Sr. Particulars 2013-2014 2012-2013
c) Un-allocable Corporate Results (2,488.25) (1,807.26)
Total 53,376.54 84,093.87
Add : Interest Income 9,030.15 7,909.10
Add : Dividend Income 551.68 403.35
Net Profit before tax and exceptional Items 62,958.37 92,406.32
Less : Exceptional Items - 2,038.12
62,958.37 90,368.20
Less : Provision for Current Tax 21,520.00 28,400.00
Less : Provision for Deferred Tax (2,474.41) 1,884.51
Total Tax Provision 19,045.59 30,284.51
Profit after tax (Enterprise net profit) 43,912.78 60,083.69
3 Segment Assets :
a) Mining Projects 45,877.98 49,131.70
b) Power Projects 2,52,783.90 2,34,714.66
Total Segment Assets 2,98,661.88 2,83,846.36
c) Un-allocable Corporate Assets 1,69,797.46 1,55,142.73
4,68,459.34 4,38,989.09
4 Segment Liabilities :
a) Mining Projects 54,062.66 53,156.78
b) Power Projects 79,205.07 68,398.60
Total Segment Liabilities 1,33,267.73 1,21,555.38
c) Un-allocable Corporate Liabilities 3,35,191.60 3,17,433.71
4,68,459.33 4,38,989.09
5 Capital Expenditure :
(i) Additions :
a) Mining Projects 2,412.62 1,809.30
b) Power Project 17,864.18 12,845.05
20,276.80 14,654.35
c) Un-allocable Capital Expenditure 412.38 52.46
Total Additions 20,689.18 14,706.81
(ii) Depreciation :
a) Mining Projects 994.48 1,515.72
b) Power Project 11,098.88 9,873.11
12,093.36 11,388.83
c) Un-allocable Depreciation 277.78 361.64
Total Depreciation 12,371.14 11,750.47
Notes :
1. Segment assets and liabilities are subject to reconcilation.
2. Segment Revenue of Mining includes ` 4,683.11 Lakhs (P.Y. ` 5,092.75 Lakhs) being captive consumption of
Lignite/Lime for Power Project.
3. Inter-segment transfers of Lignite and Lime are accounted for at cost.
4. Depreciation is net off ` 85.36 Lakhs (P.Y. including ` 12.06 Lakhs) relating to previous years.

72
 ANNUAL REPORT 2013-2014
2.33 Related party disclosures on 31.3.2014 :
(i) List of Related parties & Relationships :
Name of Related Party Relationship
Shri M.Sahu, IAS – Chairman (up to 31.01.2014) Key Management Personnel
Shri D.J. Pandian, IAS – Chairman
Shri B.B.Swain, IAS - Managing Director (up to 30.04.2013)
Shri Pankaj Kumar, IAS - Managing Director (w.e.f. 01.05.2013)
Gujarat Foundation for Entrepreneurial Excellence Associates
Gujarat Jaypee Cement Infrastructure Ltd. Joint Ventures
Gujarat Credo Mineral Industries Ltd.
Bhavnagar Energy Co. Ltd.
Aikya Chemicals Pvt. Ltd.
Swarnim Gujarat Flourspar Pvt. Ltd.
Naini Coal Company Ltd.
GMDC Gram Vikas Trust Enterprises over which key management
Lakhpat Welfare Society personnel are able to exercise significant
GMDC Science & Research Centre influence
(ii) Transactions during the year with related parties : ` In Lakhs)
(`
Nature of transactions Associates Joint Ventures Key Management Others Total
Personnel
2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
Remuneration Paid Nil Nil Nil Nil Nil 4.33 Nil Nil Nil 4.33
Purchase of Investments* Nil Nil 7,629.87 3,596.50 Nil Nil Nil Nil 7,629.87 3,596.50
Paid/ Receivable Nil 43.09 501.20 2,056.65 Nil Nil 248.48 360.25 749.68 2,459.99
Received/(Payable) Nil Nil 857.12 Nil Nil Nil 76.61 333.48 76.61 333.48
Donations given Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil
* Includes ` Nil (P.Y. ` 494 Lakhs) adjusted against receivable towards sale of bauxite.
(iii)Balances as at 31st March, 2014 : ` In Lakhs)
(`
Nature of transactions Associates Joint Ventures Key Management Others Total
Personnel
2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
Investments 5.00 5.00 14,047.95 6,418.08 Nil Nil Nil Nil 14,052.95 6,423.08
Receivables 84.50 84.50 2,043.66 2,043.58 Nil Nil 266.84 94.97 2,395.00 2,223.05
Payables Nil Nil 355.99 Nil Nil Nil Nil Nil 355.99 Nil
2.34 Corresponding figures of the previous year have been re-grouped / re-arranged and re-classified, wherever necessary,
to make them comparable with the figures of the current year.
2.35 Financial Information of Subsidiary Company: ` In Lakhs)
(`
Name of Subsidiary Year Capital Reserves Total Total Inves- Turnover Profit Provision Profit Proposed
Company Assets Liabilities tments Before for After Dividend
Taxation Taxation Taxation
Gujarat State Mining and
Resources Corporation Ltd. 2013-14 5.00 -8.35 0.77 0.77 0.00 0.00 -0.65 0.00 -0.65 0.00
2012-13 5.00 -1.19 7.63 7.63 0.00 0.00 -0.52 0.00 -0.52 0.00
Pawan Bhootra L. Kulshrestha D.J. Pandian, IAS
General Manager (Accounts) General Manager (Finance) Chairman
Joel Evans Bhadresh Mehta Pankaj Kumar, IAS
Company Secretary Director Managing Director
Place: Ahmedabad
Date: 29th May, 2014
As per our report of even date attached
For H.K.Shah & Co.
Chartered Accountants
FRN - 109583/W
CA. H. K. Shah
Partner
Membership No. 042758
Place: Ahmedabad
Date : 29th May, 2014

73
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
CIN : L14100GJ1963SGC001206

ATTENDANCE SLIP
I/We Folio No.
D.P. ID

Client ID

hereby record my/our present at the 51st ANNUAL GENERAL MEETING of the Company held in the premises of the
Company at the Registered office: 'Khanij Bhavan', 132' Ring Road, University Ground, Vastrapur, Ahmedabad-52 at
11.00 a.m. on Thursday, the 25th September, 2014.
Signature of the Member/Proxy/Representative attending the Meeting
Notes : (i) Please handover the Attendance Slip at the entrance to the place of the Meeting.
(ii) Only Members and in their absence, duly appointed proxies will be allowed for the Meeting.
Please avoid bringing non-members/ children to the Meeting.

GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

(A Government of Gujarat Enterprise)
CIN : L14100GJ1963SGC001206
"Khanij Bhavan", 132 Ft. Ring Road, Near University Ground, Vastrapur, Ahmedabad-52
Phone : 2791 0665 / 2791 1662 / 2791 3200 / 2791 3201 • Tele Fax : 079 - 2791 1151
E-mail : cosec@gmdcltd.com • Website : www.gmdcltd.com

PROXY FORM
51st ANNUAL GENERAL MEETING
Thursday, the 25th September, 2014 at 11.00 a.m.
I/We, being the member(s), holding shares of the above Company, hereby appoint:
(1) Name Address
E-mail ID: Signature or failing him/her
(2) Name Address
E-mail ID: Signature or failing him/her
(3) Name Address
E-mail ID: Signature
as my / our proxy to attend and vote (on a poll) for me / us and on my / our behalf at the 51st ANNUAL GENERAL MEETING
of the Company to be held on Thursday, the 25th September 2014 at 11.00 a.m. in the premises of the Company at the Registered
office: 'Khanij Bhavan', 132' Ring Road, University Ground, Vastrapur, Ahmedabad-52 and at any adjournment thereof in respect
of such Resolutions as are indicated below:
Resolution Resolutions Optional*
No. For Against
Ordinary Business
1. To receive, consider and adopt the financial statements (standalone & consolidated) for the year
ended on March 31, 2014, including the Balance Sheet, Profit and Loss Statement and Cash
Flow Statement as at that date together with the Report of the Board of Directors and Auditors
thereon.
2. Declaration of Dividend on Equity Shares.
3. To fix up the remuneration of Statutory Auditors for the year 2014-2015.
Special Business
4. Appointment of Shri D.J. Pandian, IAS, as a Director & Chairman of the Company.
5. Appointment of Shri Bhadresh Mehta, as an independent Director.
6. To ratify the remuneration of Cost Auditors.
Signed this day of 2014
Affix
Member’s Folio / DP ID - Client ID No. Revenue
Signature of Shareholder(s) Stamp
Signature of Proxy holder(s) ` 1/-
Note: 1. This form of proxy in order to be effective should be duly completed and deposited at the Registered Office of the Company, not less than 48 hours
before the commencement of the Meeting.
2. For the Resolutions, Explanatory Statement and Notes, Please refer to the Notice of the 51st Annual General Meeting.
* 3. It is optional to put 'X'in the appropriate column against the Resolutions indicated in the Box. If you leave the 'For' or 'Against' column blank against
any or all resolutions, your proxy will be entitled to vote in the manner as he / she thinks appropriate.
4. Please complete all details including details of Member(s) in above box before submission.
 GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
KHANIJ BHAWAN, 132 FT RING ROAD,
NR.UNIVERSITY GROUND, HELMET CIRCLE,
VASTRAPUR, AHMEDABAD – 380 054

ECS / MANDATE FORM

DP ID/CLINET ID/L.F.NO :

NAME OF SHAREHOLDER :

ADDRESS OF SHAREHOLDER :

NO. OF SHARES HELD :

NAME OF BANK :

ADDRESS OF BANK :

BANK A/C.NO. :

BANK MICR CODE :

SHAREHOLDER’S SIGNATURE :

DATE :

PLACE :

NOTE : ECS / MANDATE FORM TO BE FILLED BY THE SHAREHOLDER AND RETURN BACK TO THE COMPANY OR REGISTRAR FOR
REGISTRATION.
GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.

NOTE
GUJARAT MINERAL DEVELOPMENT CORPORATION LTD.
 BY COURIER

Registered Office :
“Khanij Bhavan” 132 Feet Ring Road,
Near University Ground, Vastrapur, Ahmedabad - 380 052.
Phone : 2791 3200 / 3501 / 1662 / 1680 / 0665 / 0096 / 0465 / 2416 / 2457 / 2443 / 1340
FAX : (079) 2791 3038 / 1151 / 1454 / 1822 / 0969
E-Mail : Contact@gmdcltd.com
Website : www.gmdcltd.com
CIN No. : L14100GJ1963SGC001206