India - Coal Mining and Coal Quality Improvement Project

D-- Of The World Bank FOR OFFMCIAL USE ONLY Report No. P-4500-IN MEMORANDUM AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN OF US$340 MILLION TO INDIA FOR THE COAL MINING AND COAL QUALITY IMPROVEMENT PROJECT March 25, 1987 This document has a restricted distribution and may be used by recipients only in the performance | of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVALENTS Currency Unit = Rupee (Rs) US$ 1 Rs 13.0 UNIT OF MEASURE METRIC SYSTEM 1 ton (t) 1000 Kilograms PRINCIPAL ABBREVIATIONS AND ACRONYMS USED GIL - Coal India Ltd ERR - Economic Rate of Return GOI - Government of India FISCAL YEAR April 1 - March 31  FOR OMCIL USK ONLY INDIA COAL MINING AND COAL QUALITY IMPROVEMENT PROJECT LOAN AND PROJECT SUMMARY Borrower: India, Acting by its President Beneficiary: Coal India Limited (CIL) Amount: US$340 million equivalent Terms: Standard Onlending Terms: Government will onlend US$180 million to CIL for 15 years including 5 years grace at an effective interest rate of not less than 13.75%. The Government would bear the foreign exchange and the interest rate risks. Financing Plan: CIL $ 53 million IBRD $340 million GOI $250 million TOTAL $643 million Economic Rate of Return: 32X for the Gevra mine component; 19% for the Sonepur Bazari Mine component. Staff Appraisal Report: Report No. 5843-IN Map IBRD No. 19279R I~~~~~~~~~~~ I This dcument has a fticted dirbution and may be used by rocpient only In th pefomance of teir ofci duti. Its contents may nototrwi be diclsed wout Word Bank authoizatn.  MENORANDUM AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIOMAL BANK FOR RECONSTRUCTION AND DEVELOPMENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN TO INDIA FOR THE COAL MINING AND COAL QUALITY IMPROVEMENT PROJECT 1. The following report on a proposed loan to India for US$340 million is submitted for approval. The proposed loan would be at the standard variable interest rate, with a maturity of 20 years, including a 5-year grace period. The Government of India (GOI) would relend US$180 million of the proceeds of the loan to Coal India Limited (CIL) for 15 years including five years grace and at an effective interest rate of not less than 13.75% per annum. GOI would bear the foreign exchange and the interest rate risks. 2. Background. Coal is and will continue to be India's most abundant domestic energy resource. In 1985/86 coal production reached 153 million tons making India the 6th largest coal producer in the world. Coal presently accounts for about 60% of all commercial energy produced in India and even allowing for new oil and gas discoveries, coal's contribution is expected to remain at more than 50X over the next decade. India's vast thermal coal reserves will be sufficient to meet the country's needs for the next 100 to 150 years. 3. The principal objectives of GOI's energy policy may be summarized as to: (a) develop energy supplies economically at a rate commensurate with growth in the economy; (b) substitute indigenous energy resources for imported petroleum wherever this is both technically and economically feasible; and (c) encourage the efficient use of energy resources. GOI's energy strategy was largely shaped by the steep increase in international oil prices during the 19709. In response to these price increases, which placed a heavy burden on the balance of payments and led to widespread fuel shortages and disruptions in the economy, GO adopted a two-pronged strategy which aimed at (a) accelerating energy supplies from economic, indigenous resources and (b) reducing oil consumption by lowering total energy consumption and replacing oil with other fuels. GOI's coal development strategy emphasizes (a) rapid expansion of highly mechanized, low cost open pit mines, especially for thermal coal; (b) rehabilitation and mechanization of deep underground collieries to increase the supply of higher quality grades of coal, especially prime coking coal; (c) increasing efficiency and productivity of both underground and open-pit mines, thereby, lowering production costs; (d) improving coal quality to consumers;-and (e) improving coal transportation and handling. The Government is also undertaking a major construction program for coal based thermal power plants located near the mines as part of an attempt to overcome, at least in part, transportation constraints and distributional problems resulting from the greater use of coal.  -2- 4. GOI's coal development strategy is largely being implemented through the operations of the government-owned Coal India Ltd (CIL) and Its subsidiaries which account for over 90% of coal production in India. CIL is the largest coal mlning company in the world. The CIL group operates over 400 mines ranging from very large, highly mechanized projects using state of the art mining equipment to small, labor intensive mines with rudimentary mining methods. CIL has been successful in increasing thermal coal production in recent years, although consumers have been concerned about poor coal quality and shortages of coking coal and superior quality thermal coal. After several years of losses in the late 1970q, CIL was profitable in 1981/82 and 1982/83. Since then, CIL's financial performance has deteriorated and CIL is presently in a loss-making situation. As a result CIL has been unable to meet a minimum debt service coverage ratio of 1.3 agreed under both the Dudhichua and Jharia Projects (Loans 2393 and 2498 respectively). Coal prices were last adjusted in January 1986, and are broadly in line with efficiency pricing criteria. CIL is, thus, attempting to improve its financial performance and meet the agreed debt service coverage ratio by introducing measures to improve efficiency and reduce costs. This is not an easy task given the heavy burden on CIL of unionized labor costs (about half of total production costs) and social pressures against reducing real wage rates or cutting employment in the sector. GIL has prepared a Medium Term Coal Efficiency Improvement Program (1986-1990) which includes inter alia steps to restrict hiring and improve labor productivity (such as retraining and redeployment of surplus worlers, early retirement schemes and recruitment freeze for unskilled workers), computerization of spare parts systems and improved operating and maintenance capabilities (to increase availability and utilization of highly mechanized mining equipment) and stringent cost control (to contain increases in administration, stores, power and transport costs). These measures, combined with coal price increases to offset inflation, are expected to improve CIL's financial position but will not fully achieve the required strengthening. Therefore, GOI is examining further options such as financial restructuring and coal price adjustments in real terms in order to reestablish CIL's financial viability within four years and enable CIL to meet its agreed debt service coverage ratio. 5. Project Objectives. The main objectives of the project are to increase the supply of thermal coal (to the power and industrial sectors) and coking coal (to the steel sector) and to improve the quality of coal available to consumers. The project is also designed to increase the efficiency of existing coal mining operations and strengthen the managerial, commercial and financial practices of both CIL and its subsidiaries thereby helping CIL improve its financial performance * 6. Project Description. The project would include the development of the second phase of the Gevra open-pit mining complex (to increase production from 5 to 10 million tons per year of low grade thermal coal to feed the Korba power plant) and the construction of the Sonepur-Bazari open-pit mining complex (to produce 3 million tpy of intermediate and superior grade thermal coal), including infrastructure such as wor ibhops, training institutes and coal handling plants. Environmental protection measures would provide for air and water quality protection, erosion  -3- control, reforestation and land reclamation. Resettlement arrangements have been made for both mining complexes and over half of the resettlement activities are already completed at Gevra. The project would support the institutional development of CIL by strengthening its manpower planning and organization, by improving training, and by Improving the maintenance of equipment through modernization of workshops. The project would also include the importation of about three million tons of low-ash coking coal (average 10% ash) which will make-up for a shortfall in domestic supplies aul which will improve the average quality of coking coal supplied to steel mills through blending with domestic coking coal (average 21% ash). 7. The total financing required for the project is about US$643 million, of which about US$319 million (50%) will be in foreign exchange. The proposed project would finance 100% of foreign costs and 7% of local costs. The project would involve retroactive financing of up to US$20 million. A breakdown of costs and the financing plan are shown in Schedule A. Amounts and methods of procurement and disbursements, as well as the disbursement schedule, are shown in Schedule B. The loan allocation for coking coal imports would be released in two tranches. The first tranche (US$100 million) would be released at loan effectiveness and the second tranche (US$60 million) on receipt by the Bank of a satisfactory program of measures to enable CIL to meet its agreed financial perfcruance targets. A timetable of hey project processing events and the status of Bank Group operations in India are given in Schedules C and D, respectively. A map (IBRD No. 19279R) showing the project areas is also attached. The staff appraisal report (Report number 5843-IN), dated March 25, 1987 Is being distributed separately. 8. Rationale for Bank Involvement. The main objectives of the Bank's assistance in the coal sector are (a) improvements in the efficiency of coal mining operations; (b) institution building to strengthen the management and finances of the industry; and (c) improvements in the transportation, distribution and use of coal, including enhanced coal quality. The project would fit in with the Bank's strategy by supporting CIL's efforts to increase production, Improve efficiency and restore its financial viability, By including training programs and training institute design in the project and by introducing state-of-the-art mining technology, the Bank would contribute to CIL's efforts to improve the efficiency of its mining operations as well as strengthening the skill and capabilities of its workers and managers to meet the needs of the industry's development program. By importing high quality coking coal, the project would help improve the efficieny of the steel industry. 9. Agreed Actions. In addition to management, financial, reporting, auditing, safety, environmental protection, and project completion covenants, the following were also agreed with the Government and with CIL and its subsidiaries: (a) the Government would (i) prepare a detailed implementation schedule for measures to improve coal quality; (ii) review coal prices with a view to, under conditions of efficient operation, ensuring the financial viability of CIL and providing increased resource mobilization in the sector; (Ili) furnish the  -4- Bank with a program of measures to enable CIL to meet its agreed financial targets including its debt service coverage ratio; the receipt of a satisfactory program of measures by October 1, 1988 would be a condition of release of the second trancte of funds for coking coal; and (iv) execute a subsidiary loan agreement with CIL satisfactory to the Bank as a condition of loan effectiveness. (b) CIL and its subsidiaries would (i) retain assistance for the design of workshop facilities, for the design and development of training institutes, and for the improvement of manpower planning and training; (11) review with the Bank its annual operating performance; (iii) furnish the Bank with a report on detailed mine planning and slope stability; (iv) implement a rehabilitation program for certain loss making mines and extend the program to additional mines; (v) undertake a resettlement program for people affected by the project; and (vi) confirm the possession of 68 ha of land requlred for the Sonepur-Bazari mine complex as a condition of disbursement for the Sonepur-Bazari component. 10. Project Justification and Benefits. Economic benefits under the proposed Project would include a) increasing the supply of coal to power plants which would help increase power availability in Madhya Pradesh and help alleviate acute power shortage and associated losses in industrial output in West Bengal; (b) reducing shortages of higher grade coal; (c) importing low-ash coking coal which would help Improve the quality of coking coal supplies to the steel sector thereby helping improve blast furnace productivity and efficiency in the steel industry; and (d) implementing efficient operating practices and supporting the transfer of modern mining technology to CIL. The economic rate of return (ERR) is 32% for the Gevra component and 19% for the Sonepur-Bazari component. 11. Project Risk. The project would face minimal technical and marketing risks. There is a risk that the Sonepur-Eazari component may be delayed by land acquisition difficulties, The required land is in the hands of the Government of West Bengal and handover is expected shortly. Possible financial risks would be mitigated by (a) CIL's efforts to improve its efficiency and financial performance; (b) the Government's commitment to preparing a program of measures, including price increases if appropriate, that would assure CIL's future financial viability; and (c) the high priority GOI places on developing its critically needed coal resources in a timely and efficient manner. 12. Recommendation. I am satisfied that the proposed loan would comply with the Articles of Agreement of the Bank and recommend that the Executive Directors approve the proposed loan. Barber Conable President Date: March 25, 1987  SCHDULE A Estimated Project Costs U uslll]-on Local Foreizn Total (a) Mining Component Equipment & Spares 82.6 113.0 195.6 Coal Handling Plant 34.8 3.7 38.5 Land & Civil Works 63,3 0 63.3 Engineering 1.7 - 1.7 Pre-Operating Expenditure 10.1 0.9 11.0 Technical Assistance - 3.0 3.0 Duties and Taxes 65.6 - 65.6 Base Cost 258.1 120.6 37.7 Physical Contingencies 14.3 6.3 20.6 Price Contingencies 36.9 26.6 63.5 Working Capital 14.0 0.7 14.7 Total Project Cost 323.3 154.2 477.5 Interest During Construction 1.4 4.3 5.7 (b) Coking Coal Imports Component - 160.0 160.0 Total Project Costs 324.7 318.5 643.2 Financing Plan: (a) Minin Component Equity Government of India 188.5 - 188.5 CIL 53.1 - 53.1 Total Equity 241.6 - 241.6 Long-Term Debt Government of India 61.6 61.6 IBRD 21.5 158.5 180.0 Total Debt 83.1 158.5 241.6 Sub-total 324.7 158.5 483.2 (b) CokLng Coal Imports Component Long-Term Debt IBRD - 160.0 160.0 Total Financing Required 324.7 318.5 643.2 1/ Includes an estimated US$65.6 million in duties, and taxes.  SaHEDMLE B Procurement Table (US$ millions) Procurement Method Project Element ICB LCB Other Total Cost Gevra Mining & Training Equipment & Spares 69.1 64.5 133.6 (48.6) (0.6) (49.2) Coal Handling Plant 45.4 45.4 Land & Civil Works 43.3 4.2a/ 47-5 (7.5) (7.5) Workshop Equipment 7.0 1.7 8.7 (7.0) (7.0) Engineering 1.1 1.1 Pre-operating Expenditure 2.5 2.5 Technical Assistance 1.5 1.5 -(1.5) (1.5) Sub-total 76.1 153.2 11.0 240.3 (55.6) (8.1) (1.5) (65.2) Sonepur-Bazari Mining & Training Equipment & Spares 118.7 31.3 150.0 (79.9) (1.2) (81.1) Coal Handling Plant 11.0 11.0 (6.6) (6.6) Land & Civil Works 36.4 3.2a/ 39.6 (16.5) (16.5) Workshop Equipment 9.1 - 1.9 11.0 (9.1) - (9.1) Engineering 1.0 1.0 Pre-operating Expenditure 8.4 8.4 Technical Assistance 1.5 1.5 _____ (1.5) (1.5) Sub-total 138.8 67.7 16.0 (95.6) (17.7) (1.5) (114.8) Coking Coal Imports 160.0 160.0 (160.0) (160.0) Grand Total 374.9 220.9 27.0 622.8 (311.2) (25.8) (3.0) (340.0) a/ Payment for land acquisition. Note; Figures in parentheses are the respective amounts financed by the Bank.  SCHEDULE B Page 2 of 2 Disbursements Amount of the Loan Allocated (Expressed in Dollar Equivalent) S ~~Categorl Sonepur- % of Expenditure V Gevra Bazari Total % to be financed I. Coking Coal - - 160.0 47.1 100% of foreign expenditures II. Equipment 46.7 77.0 123.7 36.4 100X of foreign, 100X of local expenditure (ex- factory cost), and 90% of local expenditures for other items procured locally EII. Coal Handling Plant 13.8 30.6 44.4 13.0 100% of foreign Training Centers expenditure and and Workshops 70% of local expenditure IV. Technical Assistance 1.5 1.5 3.0 0.9 100% V. Unallocated 3.2 5.7 8.9 2.6 Total 65.2 114.8 340.0 100.0 -M -x,__ Estimated Disbursements - - -- - ------(US$ million)---- -- Bank FY 1988 1989 1990 1991 1992 1993 1994 i Annual 91.8 110.8 36.6 37.2 32.2 26.8 4.6 Cumulative 91.8 202.6 239.2 276.4 308.6 335.4 340.0  SCHEDULE C Timetable of Key Project Processing Events (a) Time taken by the Borrower to prepare the project: About one yeir. (b) The Agency that has prepared the project: Coal India Limited (CIL). (c) First presentation to the Bank and tue date of the first mission to consider the project: September 1984 and November 1984. (d) Departure of appraisal mission: February 20, 1985 (e) Completion of negotiations: March 23, 1987. (f) Planned date of effectiveness: September 21, 1987.  SCHEDULE D Page 1 of 4 THE STATUS OF BANX GROUP OPERATIONS IN INDIA A. STATEMENT OF BANK LOANS AND IDA CREDITS (As of September 30, 1986) US$ million Loan or Fiscal (Net of Cancellations) Credit Year of No. Approval Purpose Bank IDA 1/ Undisbursed 21 59 Loans/ 2,858.5 - - 113 Credits fully disbursed - 6,987.6 - 1251-IN 1976 Andhra Pradesh Irrigation 145.0 - 8.55 630-IN 1977 Kerala Agric. Development - 30.0 0.52 788-IN 1978 Karnataka Irrigation - 117.6 0.04 793-IN 1978 Korba Thermal Power - 200.0 4.41 8(6-IN 1978 Jammu-Kashmir Horticulture - 14.0 7.58 842-IN 1979 Bombay Nater Supply II - 196.0 62.89 848-IlN 1979 Punjab Water'Supply & Sewerage - 38.0 2.79 855-IN 1979 National Agricultural Research - 27.0 7.53 1648-IN 1979 Ramagundam Thermal Power 50.0 - 32.83 963-IN 1980 Inland Fisheries - 20.0 9.36 981-IN 1980 Population II - 46.0 11.44 1003-IN 1980 Tamil Nadu Nutrition - 32.0 9.18 1011-IN 1980 Gujarat Irrigation II - 175.0 51.39 1012-IN 1980 Cashewnut - 22.0 10.75 1027-IN 1980 Singrauli Thermal II 300.0 64.90 1028-IN 1980 Kerala Agricultural Extension - 10.0 3.23 1033-IN 1980 Calcutta Urban Transport - 56.0 11.43 1034-IN 1980 Karnataka Sericulture - 54.0 15.15 1046-IN 1980 Rajasthan Water Supply & Sewerage - 80.0 29.39 1053-Il 1980 Farakka Thermal Power - 225.0 35.83 1887-IN 1980 Farakka Thermal Power 25.0 - 25.00 1897-IN 1981 Kandi Watershed and Area Development 30.0 - 11.93 1072-IN 1981 Bihar Rural Roads - 35.0 6.87 1078-IN 1981 Mahanadi Barrages - 83.0 27.81 1082-IN 1981 Madras Urban Development II - 42.0 13.99 1108-IN 1981 H.P. Medium Irrigation - 140.0 58.08 1112-IN 1981 Telecommunications VIII - 301.2 2.60 1116-IN 1981 Karnataka Tank Irrigation - 54.0 23.90 1125-IN 1981 Hazira Fertilizer Project - 399.1 41.92 1135-IN 1981 Maharashtra Agricultural Ext. - 23.0 3.18 1137-IN 1981 Tamil Nadu Agricultural Ext. - 28.0 10.41 1138-IN 1981 M.P. Agricultural Ext. II - 37.0 23.14 1146-IN 1981 National Cooperative Development Corp. II - 125.0 42.06 1172-IN 1982 Korba Thermal Power Project II - 400.0 201.31 1171-IN 1982 Madhya Pradesh Major Irrigation - 220.0 124.41 1178-IN 1982 West Bengal Social Forestry - 29.0 18.84 1185-IN 1982 Kanpur Urban Development - 25.0 11.84 2051-IN 1982 ICICI XIV 150.0 - 3.63  SCHEDULE D Page 2 of 4 US$ million Loan or Fiscal (Net of Cancellations) Credit Year of No. Approval Purpose Bank IDA 1/ Undisbursed 2/ 2076-IN 1982 Ramagundam T1hermal Power II 300.0 - 222.48 1219-IN 1982 Andhra Pradesh Agricultural Ext. - 6.0 3.80 2123-IN 1982 Refineries Rationalization 200.0 - 49.95 2165-IN 1982 Rural Electrification III 304.5 - 138.31 1269-IN 1982 Kallada Irrigation - 60.0 15.15 2186-IN 1982 Kallada Irrigation 20.3 - 20.00 1280-IN 1983 Gujarat Water Supply - 72.0 59.30 1286-IN 1983 JammuuKasbmir and Haryana Social Forestry - 33.0 19.11 1288-IN 1983 Chambal Madhya Pradesh Irrigation II - 31.0 14.28 1289-IN 1983 Subernarekha Irrigation - 127.0 91.88 2205-IN 1983 Krishna-Godavari Exploration 165.5 - 81.04 1299-IN 1983 Railways Modernization & Maintenance II - 200.0 134.61 2210-IN 1983 Railways Modernization & Maintenance II 200.0 - 197.04 2241-IN 1983 South Bassein Gas De-velopuent i393 - 114.86 1319-IN 1983 Haryana Irrigation II - 150.0 85.11 1332-IN 1983 U.P. Public Tubewells II - 101.0 76.25 1356-IN 1983 Upper Indravati Hydro Power - 170.0 136.76 2278-IN 1983 Upper Indravati Hydro Power 156.4 - 156.01 1369-IN 1983 Calcutta Urban Development III - 147.0 131.57 2283-IN 1983 Central Power Transmission 250.7 - 250.07 2295-IN 1983 Himalayan Watershed Management 46.2 - 43.42 1383-IN 1983 Maharashtra Water Utilization - 32.0 20.52 2308-IN 1983 Maharashtra Water Utilization 22.7 - 22.64 2329-IN 1983 Madhya Pradesh Urban 24.1 - 22.47 1397-IN 1984 Orissa Irrigation II - 105.0 59.99 1424-IN 1984 Rainfed Areas Watershed Dev. - 31.0 35.17 1426-IN 1984 Population III - 70.0 65.94 1432-IN 1984 Karnataka Social Forestry - 27.0 21.19 2387-IN 1984 Nhava Sheva Port 250.0 - 234.52 2393-IN 1984 Dudhichua Coal 151.0 - 131.33 2403-IN 1984 Cambay Basin Petroleum 242.5 - 218.84 2415-IN 19t4 Medhya Pradesh Fertilizer 203.6 - 141.32 1454-IN 1984 Tamil Nadu Water Supply - '6.5 42.20 SF-12-IN 1984 Tamil Nadu Water Supply - 36.5 42.83 1468-IN 1984 Periyar Vaigai II Irrigation - 17.5 5.53 SF-16-IN 1984 Periyar Vaigai II Irrigation - 17.5 20.14 1483-IN 1984 Upper Ganga Irrigation - 12'.0 134.02 1496-IN 1984 Gujarat Medium Irrigation - 172.0 146.99 2416-IN 1984 Indira Sarovar Hydroelectric 157.4 - 153.71 SP-20-IN 1984 Indira Sarovar Hydroelectric - 129.8 147.48 2417-IN 1984 Railways Electrification 280./ - 268.11 2442-IN 1984 Farakka II Thermal Power 300.8 - 295.24 .'452-IN 1984 Fourth Trombay Thermal Power 135.4 - 125.98 1502-IN 1984 National Cooperative Development Corporation III - 220.0 211.87 1514-IN 1985 Kerala Social Forestry - 31.8 33.33 1523-IN 1985 National Agric. Extension I - 39.1 44.95  SCHEDULE D Page 3 of 4 US$ million Loan or Fiscal (Net of Cancellations) Credit Year of No. Approval Purpose Bank IDA 11 Undisbursed 2/ 1544-IN 1985 Bombay Urban Development - 138.0 145.11 2497-IN 1985 Narmada (Gujarat) Dam and Power 200.0 - 200.00 1552-IN 1985 Narmada (Gujarat) Dam and Power - 100.0 103.93 1553-IN 1985 Narmada (Gujarat) Canal - 150.0 170.82 1569-IN 1985 Second National Agricultural Ext. - 49.0 53.65 1611-IN 1985 National Social Forestry - 165.0 184.67 1613-IN 1985 Indira Sarovar Hydroelectric - 13.2 15.05 2498-IN 1985 Jharia Coking Coal 248.0 - 248.00 2505-IN 1985 Maharashtra Petrochemical 300.0 - 290.12 2534-IN 1985 Second National Highway 200.0 - 200.00 2544-IN 1985 Chandrapur Thermal Power 300.0 - 275.37 2555-IN 1985 Rihand Power Transmission 250.0 - 248.14 2561-IN 1985 Kerala Power 176.0 - 175.97 1619-IN 1986 West Bengal Minor Irrigation - 99.0 122.56 1621-IN 1986 Maharashtra Composite Irrigation - 160.0 198.26 1622-IN 1986 Kerala Water Supply and Sanitation - 41.0 51.81 1623-IN 1986 West Bengal Population - 51.0 59.32 1631-IN 1986 National Agricultural Research II - 72.1 83.96 2629-IN 1986 Industrial Export Dev. Finance 90.0 - 90.00 2630-IN 1986 ICICI-Indus. Exp. Dev. Finance 160.0 - 160.00 1643-IN 1986 Gujarat Urban* - 62.0 70.99 2653-IN 1986 NABARD I 375.0 - 375.00 2660-IN 1986 Cement Industry* 165.0 - 165.00 2661-TN 1986 ICICI - Cement Industry* 35.0 - 35.00 1665-IN 1986 Andhra Pradesh II Irrigation* - 140.0 154.71 2662-IN 1986 Andhra Pradesh II Irrigation* 131.0 - 131.00 2674-IN 1986 Combined Cycle Power* 485.0 - 485.00 2729-IN 1986 Cooperative Fertilizer* 150.2 - 150.20 2730-IN 1986 Cooperative Fertilizer* 152.0 - 152.00 Total 10,227.8 13,999.5 of which has been repaid 1,458.6 276.8 Total now outstanding 8,769.2 13,722.7 Amount Sold 133.8 of which has been repaid 133.8 - - Total now held by Bank and IDA 3/ 8.769.2 13,722.7 Total undisbursed (excluding *) 5,231.88 3,937.31 I/ IDA Credit amounts for SDR-denominated Credits are expressed in terms of their US dollar equivalents, as established at the time of Credit negotiations and as subsequently presented to the Board. 2/ Undisbursed amounts for effective SDR-denominated IDA Credits are derived from cumulative disbursements converted to their US dollar equivalents at the SDR/US dollar exchange rate in effect on March 31, 1986. 3/ Prior to exchange adjustment. * Not yet effective.  SCHEDULE D Page 4 of 4 B. STATEMENT OF IFC INVESTMENTS (As of September 30, 1986) Fiscal Amount (US$ million) Year Company Loan Equity Total 1959 Republic Forge Company Ltd. 1.5 - 1.5 1959 Kirloskar Oil Engines Ltd. 0.8 - 0.8 1960 Assam Sillimanite Ltd. 1.4 - 1.4 1961 K.S.B. Pumps Ltd. 0.2 - 0.2 1963-66 Precision Bearings India Ltd. 0.6 0.4 1.0 1964 Fort Gloster Industries Ltd. 0.8 0.4 1.2 1964-75-79 Mahindra Ugine Steel Co. Ltd. 11.8 1.3 13.1 1964 Lakshmi Machine Works Ltd. 1.0 0.3 1.3 1967 Jayshree Chemicals Ltd. 1.1 0.1 1.2 1967 Indian Explosives Ltd. 8.6 2.9 11.5 1969-70 Zuari Agro-Chemicals Ltd. 15.1 3.8 18.9 1976-87 Escorts Limited 15.2 - 15.2 1978 Housing Development Finance Corp. 4.0 1.2 5.2 1986 Bajaj Tempo Limited 29.3 - 29.3 1980 Deepak Fertilizer and Petrochemicals Corporation Ltd. 7.5 1.2 8.7 1981 Coromandel Fertilizers Limited 15.9 - 15.9 1981-86 Tata Iron and Steel Company Ltd. 50.4 - 50.4 1981 Mahindra, Mahindra Limited 15.0 - 15.0 1981 Nagarjuna Coated Tubes Ltd. 2.9 0.2 3.1 1981-86 Nagarjuna Signode Limited 2.3 0.3 2.6 1981 Nag-rjuna Steels Limited 1.5 0.2 1.7 1982 Ashok LeylaiLd Limited 28.0 - 28.0 1982 The Bombay Dyeing and Manufacturing Co. Ltd. 18.8 - 18.8 1986 The Great Eastern Shipping Company Ltd. 8.0 2.0 10.0 1982 Bharat Forge Company Ltd. 15.8 - 15.8 1982 The Indian Rayon Corp. Ltd. 8.1 - 8.1 1984-86 The Gwalior Rayon Silk Manu- facturing (weaving) Co. Ltd. 15.9 - 15.9 1987 The Gujarat Rural Housing Finance Corp. - 0.2 0.2 1985 Bihar Sponge 13.7 0.8 14.5 1985 Bajaj tuto Ltd. 23.5 - 23.5 1985 Modi Cement 12.9 - 12.9 1985 India Lease Development Ltd. 5.0 0.4 5.4 1986 Larsen and Toubro Ltd. 20.6 - 20.6 1986 India Equipment Leasing Ltd. 2.5 0.4 2.9 1987 Gujarat Fusion Glass Ltd. 7.5 - 7.5 1987 Hero Honda Motors Ltd. 7.5 - 7.5 1987 Wimco Limited 4.7 - 4.7 TOTAL GROSS COMMITHENTS 379.4 16.1 395.5 Less: Cancellations, Terminations, Repayments and Sales 201.0 8.1 209.1 Now Held 178.4 8.0 186.4 Undisbursed 114.6 3.5 118.1  NAP SECTION  IBRD 19279R ,- A<o~FGHANISTAN PRADESH -30- PAKISTAN f P(NJAtPAIT CHINA 30 , t/AR NAY .VA *. New Delh, 8 j v g a \ t>D '~flH/ ' Es SlKKh/M 4_ (AR / BHUTAN RAA5THA~~V L/TTAR PRADESH Jy / t ;-- X , ,. K. <-\)S?S A'A ( AS ,/ ~~~~~~~~~~~~~~~~~~~~~i . iMHA'SyAA MEi S tt t) . X ' t Bt/HAR a. \BANGLADESH ' U J A 8 A T U <> inpr Bazari /2/I/A .AY I MAD/HYA PRADES/*--- 'M ", MineC 2 ~W\ - . )X f Gevra Coal Mnle; -~~~~~~~~~~- ' \ Noj i .r+-^ 20'~~~~~~~~~~~~~~~-'N2 MAHARASH14A\- O20SSA - Bomboyo ~ \~ ,ANDHRA PRAA,j,\-i GOA , 14RIVAA7AKA. 3 I NDI A COAL MINING AND COAL QUALITY IMPROVEMENT PROJECT ,:8 O,SModacts * Coal Mines Under the Project 4 /,, ,. J " Coal Fields Majc ,oal Field Areas T 7AM/IZ NADU Ls ^, , > } Operated by Various Mining Companies rnss MO sa. a,eiay Coal India Ltd. Headquarters w' b* t tto D ofh FA I A ) msd ar is b aamy{ fat a"A 9 N ational C apital to' h,fW us* of Thet WBW ft ow ow townamhw tFewwo Selected Cities C,Wb nW d 'o - ' MW \ to Due to scale consideratious some areas could not be inCluded pan of 0* V*SW* SW - I Itn the maP: North Eastr Coalfields Ltd. which is located in koff4sawn.w" comon* " \SRI ,Assamn Is not Included tn the map. &w xv o. & S , KILOMETERS 0 200 400 of ww twnr at - . LANKAMILES 0 100 A" ibownderSJ 20 80 70 SQ.~~~~~~~~~~~~~~~~~~~~~~~~~~~~~MLE 6 6 JUNE 1986