Top Indian metal firms bag Platts Global Metals Awards

Hindustan Zinc, JSW Steel, NMDC Ltd and International Coal Venture Pvt Ltd were among the four Indian companies that bagged titles at this year’s Platts Global Metals Awards.

Platts is a global energy, metals and commodities information provider. The ceremony of the third annual Platts Global Metals Awards was held in London.

The award recognises exemplary performance in a dozen categories across the steel, metals and mining complex.

Platts noted in a statement that companies were thinking outside the box and taking measures to move up and down stream in search of competitive edge and improved financial performance.

The International Coal Venture bagged the Deal of The Year award, and impressed the independent judging panel for its acquisition of an operating coking coal mine and greenfield coal assets in Mozambique from Rio Tinto, completed in October 2014, for approximately $50 million.

Rio Tinto had acquired the assets from Australia’s Riversdale Mining in 2011 for approximately $4 billion, but ongoing logistical difficulties coupled with the plummeting price of coal caused it to reassess, according to the statement.

The judges applauded ICVL for the $4 billion to $50 million flip, “picking up a valuable asset at a low cost” in one of the most promising coking coal regions in the world.

From major bank trading arm spin offs to sizeable steel company consolidations, to copper and aluminium divestitures of standalone assets or minority shares, the metals industry saw a rebound in merger and acquisition activity in 2014.

The activity showed a trend toward companies consolidating assets in their core business or letting more nimble competitors or new investors help with weaker performers.

The Deal of The Year award aims to reflect the changing landscape conceived by these global transactions, investments, alliances or partnerships.

The award recognises the significance and success of new project completions, asset buyouts, joint ventures, strategic company alliances or full company mergers or acquisitions in an era of uncertain markets and global interdependence.

JSW Steel, India’s largest exporter of coated products with a presence in over 100 countries, bagged the Industry Leadership Award for Steel.

The firm was recognised by the panel of judges for its agility in challenging times and for its market appropriate strategy of combining value, volume and innovation.

While Hindustan Zinc, which belongs to the Vedanta Group of companies, won the Industry Leadership Award for Base Metals award, NMDC – India’s largest iron ore miner and one of the lowest cost producers in the world – bagged the Industry Leadership Award for Raw Materials and Mining.

The company was recognised by the judges for leveraging low cost production in a low price environment.

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