VEDANTA RESOURCES PLC. Credit Suisse Global Steel & Mining Conference, London September 2012

Transcription

1 VEDANTA RESOURCES PLC Credit Suisse Global Steel & Mining Conference, London September 2012

2 Cautionary Statement and Disclaimer The views expressed here may contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness, reasonableness or reliability of this information. Any forward looking information in this presentation including, without limitation, any tables, charts and/or graphs, has been prepared on the basis of a number of assumptions which may prove to be incorrect. This presentation should not be relied upon as a recommendation or forecast by Vedanta Resources plc ("Vedanta"). Past performance of Vedanta cannot be relied upon as a guide to future performance. This presentation contains 'forward-looking statements' that is, statements related to future, not past, events. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as 'expects,' 'anticipates,' 'intends,' 'plans,' 'believes,' 'seeks,' or 'will.' Forward looking statements by their nature address matters that are, to different degrees, uncertain. For us, uncertainties arise from the behaviour of financial and metals markets including the London Metal Exchange, fluctuations in interest and or exchange rates and metal prices; from future integration of acquired businesses; and from numerous other matters of national, regional and global scale, including those of a environmental, climatic, natural, political, economic, business, competitive or regulatory nature. These uncertainties may cause our actual future results to be materially different that those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements. This presentation is not intended, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities in Vedanta or any of its subsidiary undertakings or any other invitation or inducement to engage in investment activities, nor shall this presentation (or any part of it) nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision. 2

3 Highlights Vedanta: A Global Diversified Natural Resources Major World-class portfolio of large, structurally low-cost, scalable assets with long life of R&R Strong financial profile supported by diversified cash flow growth Delivering industry-leading production growth driven by substantially invested projects Recent acquisitions provide additional growth options EBITDA (US$mn) +42% CAGR Free Cash Flow (US$mn) (before growth capex) +32% CAGR Underlying EPS (USc/share) +29% CAGR 323 5, , FY2004 FY2012 proforma FY2004 FY2012 proforma FY2004 FY2012 proforma Note: FY2012 numbers are proforma with Cairn India for full year. 3

4 Tier-1 Diversified Asset Portfolio FY2012 Production Target Capacity R&R Life 1 Sustainable Cost Position 2 Zinc India 830kt 1mtpa 25+ Lowest Quartile Zinc Intl. 444kt 400ktpa Lower Half Silver 7.8moz 16mozpa 25+ By-product Oil & Gas 173kboepd 260kboepd 4 17 Lowest Quartile Iron Ore mt 20.5mtpa 18 Lowest Quartile Copper Zambia 200kt 400ktpa Lower Half Aluminium 675kt 2.3mtpa Currently Lower Half; Lowest Quartile with Captive Bauxite Large, Low-Cost, Long-Life, Scalable Assets Note: 1. At capacity 2. Cost position for base metals from Wood-Mackenzie, Iron ore from Metalytics,and Oil & Gas from Company Study 3. Includes Gamsberg 4. For current producing assets, subject to approvals 5. Does not include Liberia 6. Mine life of Konkola Deeps 4

5 Delivering Growth Color Key Group Zinc-Lead Copper Aluminium Power Iron Ore Oil and Gas Pre-IPO FY : Cmd Tuticorin smelter 1999: Acq Australia Cu mines 2001 Acq BALCO Acq HZL Pre- IPO Ancd 1mt alumina refinery project at VAL FY 2004 Vedanta IPO FY2006 KDMP project launched FY2008 Cmd 170kt Zn and 50kt Pb smelter, 154MW CPP Exp Tuticorin FY2005 smelter to 300kt Acq KCM FY 2005 FY2010 Acq VS Dempo Cmd KDMP Mid-shaft loading Cmd 210kt Zn smelter Exp RA mine to 6mt Cmd 170kt Zn smelter Cmd 80MW CPP at Chanderiya FY 2006 FY 2007 FY2007 FY 2008 Acq Sesa Goa FY 2009 FY 2010 FY2009 FY 2011 FY2011 Cmd 245kt Al smelter and 540 MW CPP at BALCO Dbn Tuticorin smelter to 400kt FY 2012 Acq Zinc Intl Cmd 1.5mt mill at silver-rich SK mine Cmd 2,400 MW Jharsuguda power Exp RA mine to 5mt Cmd 311kt Nchanga smelter, 6mt Konkola Concentrator First metal at 500kt VAL Jharsuguda aluminium smelter FY2012 Group Structure Simplification ancd Acq Cairn India Acq Liberia iron ore assets Cmd 350t Ag refinery Cmd 100kt Dariba Pb smelter Cmd 7.5mt Nchanga East mill Dbn TLP to 75kt Cmd 2 nd Co furnace Exp 273MW wind power Abbreviations: Dbn: Debottlenecked Exp: Expanded Cmd: Commissioned Ancd: Announced Acq: Acquired 5

6 Continued Growth and Diversification FY2004 (IPO) FY2011 Proforma FY2012 with Cairn India for Full Year Power 4% Aluminium 7% Oil & Gas 38% Power 2% Aluminium 3% Copper 13% Aluminium 16% Iron Ore 33% Copper 19% Zinc India 55% Copper 29% Zinc-Int. 3% Zinc India 34% Zinc India 23% Iron Ore 14% Zinc-Int. 7% EBITDA: $323mn EBITDA: $3.6 bn +10x EBITDA: $5.4bn +16x 6

7 Strong and Consistent Profitability Consistent Profit Margins FY2012 EBITDA Margins by Segment Share of EBITDA Group EBITDA margin¹ 59% Average LMEX Oil & Gas² 56% 18% 55% Zinc- India 54% 31% Iron Ore 43% 18% 41% 43% 45% 41% Zinc- International 41% 9% 33% 33% 35% 3,756 Copper Australia 30% 2% Power 27% 3% Copper Zambia 23% 10% 1,636 Aluminium 10% 4% 1 Group 41% FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Profitability driven by Asset Quality and Diversification Notes: 1. Excludes copper custom smelting operations 2. Oil and Gas EBITDA margins have been calculated after adding back Rajasthan royalties and profit sharing with government to revenues. EBITDA margin based on reported revenues was 81%. 7

8 A Global Diversified Natural Resources Major Top Global Diversified Natural Resources Companies FY12/CY11 EBITDA ($bn) PE Multiple 2% BHP Billiton % 52% 15% 10% 2% Vale % Rio Tinto % 17% 4% 14% Anglo American % 28% 15% 6% 21% 2% Xstrata % 46% 7% 33% Teck % 36% 48% Vedanta % 34% 18% 13% 2% 3% ENRC % 6% 46% 11% O&G Zinc-lead Iron ore¹ Copper Base metals² Coal Aluminium Ferroalloys Other Scale and Diversification Source: Company filings and broker reports. PE multiples based on BEST next year PE estimate from Bloomberg as of 14 September Note: Commodity split based on pro forma EBITDA for Vedanta and EBIT for major diversified mining companies. 1. For Vale, Iron ore includes all ferrous metals 2. For BHP, base metals includes copper and zinc-lead. For Xstrata, base metals includes nickel. 8

9 Proximity to Rapidly Growing Markets Vedanta Revenues by Geography FY2012 Middle East and Africa 9% Other Far East and Asia 11% Rest of the World 12% India 48% Strong Market Positioning in India FY2012 India Market Shares #1 #1 #1 #1 #1 #2 82% China 20% India Operations: Domestic Sales as % of Total Sales FY India Consumption CAGR % 39% 6% 5% 10% 8% 9% 10% 4% 100% 100% 30% 33% 81% 80% 58% 62% 19% 6% 5% Note: Zinc India - Zinc Zinc India - Lead Silver Copper India Aluminium Iron Ore Oil and Gas Consumption CAGR over for base metals as per Wood-Mackenzie estimates. For Iron Ore, steel consumption CAGR over FY as per Ministry of Steel, India considered. Silver consumption growth rate over as per Ministry of Mines, India. Oil & Gas consumption growth rate over as per EIA. Zinc Lead Silver Copper Aluminium Oil Notes: Rank excludes imports. Oil & Gas production numbers considered instead of sales. Source: Wood Mackenzie, Indian Ministry of Petroleum and Natural Gas, IBIS, company sources 9

10 Strong Focus on Exploration Zinc India Zinc-Intl Iron Ore Copper-Zambia Oil & Gas Added 3x times mined out in FY2012 Added 4.8x times mined out since IPO R&R increased to 332mt, from 144mt at Vedanta IPO 25+year mine life with 10%+grades Added mine life at all three assets Current mine life: Skorpion: 5+years 1 BMM: 10+years Lisheen: 3years 186mt Gamsberg deposit feasibility study underway India Added net 68mt in FY2012, 18 year mine life at current capacity R&R increased from 190mt 2 at acquisition to 374mt added 3.4x times mined out Liberia R&R increased to 689mt from 457mt at acquisition 24+ year mine life with high grade at KDMP R&R replacement ratio of 1.75x in FY2012 Rajasthan potential resource increased to 7.3bn boe gross in place from 6.5bn boe Exploration success at Sri Lanka and Nagayalanka 1bn tonnes R&R 17 year R&R life Aeromagnetic study and 25,000+metres drilling indicates strong potential upside Notes: 1. With some additional work for conversion of resources to reserves mt excluding Orissa from Sesa Goa acquisition, and 70mt from Dempo acquisition Creating Long Term Value through Exploration 10

11 Sustainability Integral to our Business Health & Safety 48% reduction in LTIFR over 5 years LTIFR -48% Structured programs to enhance safety and prevent fatalities Investing in technologically advanced processes that reduce possible exposure levels at work area Climate Change Doubled water recycling to 55.7mn cubic metres in FY % decrease in GHG emissions (scope 1 & 2) per total revenue New Sustainability Framework rolled-out New policies and technical standards rolled-out Exco Sustainability Sub-Committee to enhance sustainability focus Community programs covering 3.1million people Focus Areas: Health and Nutrition, Education, Women Empowerment, Water & Sanitation, and Sustainable Livelihood FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 Specific Water Consumption BALCO (m 3 /MT) -75% FY 2009 FY 2010 FY 2011 FY 2012 Specific Energy Consumption HZL Smelters (GJ/MT) -15% Collaborating with NGOs, government administration and communities FY 2008 FY 2009 FY 2010 FY 2011 FY

12 Strategic Priorities Deliver industry-leading production growth across our portfolio Continue to add reserves and resources to drive long-term value Complete the simplification of the Group structure Minority buyouts at HZL and BALCO Reduce gearing from free cash flow Growth and Long-Term Value Creation with a Focus on Sustainability 12

13 Optimising Group Structure Restructuring on track for completion in CY2012 Consolidates and simplifies group structure, eliminates cross-holdings Vedanta Resources Financial Benefits: Delivers significant synergies upto $200mn/yr Improves capital structure Improves allocation and cost of capital Enhances fungibility of cash Enhances visibility of earnings and cash flows Reduces Debt service liability at plc by 61% to $3.9bn 79.4% Konkola Copper Mines 58.3% Sesa Sterlite Minority Buyouts Buyout of government stake in HZL and BALCO remains a priority Aluminium Zinc- Lead- Silver Iron Ore Oil & Gas Copper Power HZL Zinc Int l Sesa Goa WCL Cairn India Tuticorin CMT BALCO VAL Talwandi Sabo Jharsuguda BALCO Note: Shareholding based on basic shares outstanding MALCO 13

14 Group Simplification to Reduce Debt at plc Debt Service Liability at plc ($bn) Post group structure simplification, debt service liability at plc reduces by 61% to $3.9bn Debt service cost at Vedanta reduces from $500mn to $190mn in FY2013 Payout-based dividend policies at subsidiaries to result in significantly higher dividends to plc 5 (2.8) Debt transferred to Sesa Sterlite; guarantee continued by Vedanta Intercompany receivable created at Vedanta, from Sesa Sterlite (3.1) Service Liability Pre Transaction Service Liability Post Transaction Note: Numbers as of 31 March

15 Well-Invested Capex Driving Near-Term Growth Cash Flow and Growth Capex Profile - $bn Free Cash Flow¹ Capex-ex-Cairn Capex-Cairn² Year-end Capacity (in Copper Equivalent kt) 3 Zinc-Lead Silver Iron Ore Copper Aluminium Power Oil & Gas 4,000 3, ,000 2, ,000 1,500 1, FY2010 FY2011 Proforma FY2012 FY2013e FY2014e FY2015e 0 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Free Cash Flow at an Inflection Point Notes: 1. Free cash flow after Sustaining Capex but before Growth Capex 2. Capex net to Cairn India; part of FY2014e capex is subject to Government of India approval; FY2015e capex has not been announced. Shaded portions pertain to growth not reflected in the RHS capacity growth chart. 3. All metal and power capacities rebased to copper equivalent capacity (defined as production x commodity price / copper price) using Long Term commodity price estimates. Power rebased using FY2012 Realisations. Copper custom smelting capacities rebased at TC/RC for FY

16 Summary Global Diversified Natural Resources Major World-class portfolio of large, structurally low-cost, scalable assets with long mine-life Strong financial profile supported by diversified cash flow growth Delivering industry-leading production growth driven by substantially invested projects Recent acquisitions provide additional growth options Focus on additional resources to drive long-term value Group simplification on track for completion in CY

17 Appendix

18 Global Diversified Natural Resources Major Zinc-Lead- Silver Oil & Gas Iron ore Copper Aluminium Power Country and Positioning India, Ireland, Namibia, South Africa India, Sri Lanka, South Africa 1 India, Liberia Zambia, India, Australia India India Largest integrated zinc-lead producer One of India s largest private crude oil producers Largest Indian private iron ore producer-exporter World class Zambian operations, Indian custom smelter among lowest cost smelters globally Strategically located large-scale assets One of the largest producers in India Capacity 1.5mtpa, 16moz silver +Gamsberg 175kbopd, upto 300kbopd 1 21mtpa 1 +Liberia India: 400ktpa, upto 800ktpa 1 Zambia upto 400ktpa 740ktpa, upto 2.3mtpa 3.8GW, upto 8.6 GW (3.9GW commercial) Growth profile Gamsberg - one of the largest undeveloped zinc deposits: 186mt at 6.9% grade 2013:c.240kbopd 1 from Rajasthan 300kbopd 1 basin potential 36mtpa capacity expansion Liberia project, shipment from 1st phase in FY2014 India: 400ktpa expansion 1 KCM ramping up to 400ktpa BALCO 325ktpa first metal in Q3 FY2013 BALCO 1200MW first unit sync by Q2 FY GW Talwandi Sabo by FY2014 Notes: 1. Subject to approvals 2. Proforma FY2012, including Cairn for the full year FY2012 Well Invested Asset Base driving Growth 18

19 Oil and Gas Achieved Rajasthan Gross Production (bopd) Rajasthan block producing at c.175kbopd 7.3bn boe of estimated gross in-place resources Exploration success ratio c.50% FY2012 R&R replacement ratio of 175% Exploration success at Sri Lanka, KG Basin Focus Rajasthan Block Ramp-up 1 Pipeline debottlenecking and augmentation Development - Bhagyam, Aishwariya; EOR pilot 300kbopd basin production potential Exploration 10 blocks in diverse basins South Africa JV: c.20,000 sq km in geologically proven basin 2 125,000 at Acquisition completion Mangala 125kbopd c.175,000 Currently Mangala c.150kbopd Bhagyam upto 40kbopd Significant part of 240,000 1 in CY2013 Primarily from MBA Aishwariya towards end FY ,000 1 Basin Potential Barmer Hill Further exploration Notes. 1. Subject to approvals 2. Closure of transaction is subject to South African regulatory approvals 19

20 Zinc India Achieved Organic growth: 1mtpa zinc-lead, 16moz silver Sustained lowest quartile cost position 25+year mine life with 10%+grades Focus Operational efficiency and capacity utilization Significant near term upside in silver and lead Continue to add more R&R than depletion at existing mines Additionally, large-scale exploration across India covering over 20,000 sq km Feasibility study underway for next leg of growth Refined Zinc Lowest Quartile Cost Position Zn Composite cost - c1 cash cost ($/t) 5,000 4,000 3,000 2,000 1,000 0 HZL ($ 342/t) 1 Source: Wood-Mackenzie for Zinc C1 cost curve; Operating Performance kt % 50% 75% Cumulative Production (Percentile) 1 Zinc India FY2012 COP of $342/t calculated as per Wood-Mackenzie methodology. Zinc India remains in the First Quartile based on reported FY2012 COP of $834/t, which does not consider credits for silver and lead. Zinc-Lead Metal Production (kt) Zinc reported COP excluding royalty ($/t) Zinc LME ($/t) FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 4,000 3,500 3,000 2,500 2,000 1,500 1, $/t 20

21 Zinc International Achieved 2012e Production (kt) Mine Life Business acquired in FY2011, stable operating performance R&R: Mine life extended at all three assets Focus Further mine life extension at existing operations Gamsberg project (186mt) 20 year mine life at 400ktpa zinc production Feasibility study to complete in current quarter Targeting production in 2 years Rampura-Agucha Red Dog Century Mount Isa Pb/Zn San Cristobal Antamina Brunswick McArthur River Tara Penasquito Vazante Lanping Lisheen Skorpion Gamsberg Source: Wood-Mackenzie 21

22 Iron Ore Achieved Significant expansion since acquisition Sustained lowest quartile cost position R&R: 68mt net addition in FY mt total R&R, implying 18+ year mine life Liberia iron ore assets acquired: Aeromagnetic study and initial drilling indicates significant upside to the resource base estimate of 1bn tonnes Focus India Goa: Expanding roads and developing new corridors to mitigate logistics bottlenecks Karnataka: Process underway to resume mining Liberia Vedanta Liberia Iron Ore Asset Type R&R Mano River Brownfield 80mt Bea Mountain Greenfield 923mt Bomi Hills Brownfield 50mt Distance key(km) Vedanta Robertsport Monrovia Mano River Bea Mountain Bomi Hills Bong (Wuhan Steel) Buchanan Asset Key Major Roads Railway Other Iron Ore Mines Western Cluster Mines Dida Liberia Putu (Severstal) Greenville Mount Nimba (ArcelorMittal) Proposed Simandou Railway First shipment in FY

23 Copper India/Australia Achieved Lowest Quartile Cost Position 50 One of the most efficient copper smelters globally Sustained lowest quartile cost position Value addition into copper rods, c.50% in FY12 98%+ copper recovery and efficient by-product management Cu smelting net cash conversion cost (c/lb) Copper India (0 c/lb) Focus Commissioning of 160 MW CPP % 50% 75% Cumulative Production (Percentile) Source: Wood-Mackenzie for Copper Smelting cash cost curve, FY2012 reported net COP for Copper India 400kt smelter expansion 1 Operating Performance Copper Production (kt) Cost Curve Percentile % % % % 0 0% Notes. 1. Subject to approvals FY08 FY09 FY10 FY11 FY12 23

24 Copper Zambia Achieved Top 12 copper mines by Cu grade of resources (%) Underground mine Open pit mine Konkola shaft#4 sunk to final 1500m depth KOV, DRC (Katanga) 5.1% Konkola, Zambia (Vedanta) 3.6% Commissioned 2900level high speed tramming facility Kamoto, DRC (Katanga) 3.4% increasing mine development pace Tenke, DRC (Phelps, Tenke) 3.1% Projects commissioned in FY2012 Kananga, DRC (Katanga) 2.1% 2nd Cobalt Recovery Furnace Nchanga, Zambia (Vedanta) Tilwezembe, DRC (Katanga) 1.6% 1.5% 7.5mt Nchanga East Concentrator Olympic Dam, Australia (BHPB) 1.1% TLP-IV debottlenecking to 75ktpa Exploration: Maintained track record of R&R replacement Escondida, Chile (BHPB, Rio) Chuquic-amata,Chile(Codelco) Collahuasi, Chile (Anglo, Falconbridge) 1.1% 0.9% 0.8% Grasberg, Indonesia (Freeport) Source: Raw Materials, CPR, company websites 0.8% Focus - FY2013 Priorities Operating Performance 3mt West Mill to be commissioned in Q2FY Copper Production (kt) Integrated COP (in c/lb, RHS) 300 Accelerate Konkola mine development pace to 60km/year Bottom shaft loading at KDMP by Q Platform for 25-30% annual growth in mined metal Start regular mining at Nchanga Upper Ore Body Notes: 0 FY08 FY09 FY10 FY11 FY12 FY13e¹ 1. Production incudes FY2013 est. of 175kt integrated production and Q1 FY2013 custom production annualized to 52kt; COP of Q1 FY

25 Aluminium and Power Achieved 1mtpa Alumina capacity, 750kt Aluminium capacity with 1800MW captive power Higher volumes of value added products, 25% increase in FY2012 Aluminium costs in lower half of cost curve without captive bauxite Commercial power: 2,770MW thermal and 275MW wind Focus Committed to an integrated Aluminium Strategy Focus on securing Bauxite BALCO 325kt smelter - First metal in Q3 FY2013 VAL 1.25mtpa smelter nearing completion and start-up under review Power Commence BALCO 1,200MW and Talwandi Sabo 1,980MW power plants Aluminium - Lower Half Cost Position Al Composite cost - c1 cash cost ($/t) Source: ,000 2,000 1,000 0 Aluminium Smelter Costs (C1 Cash Cost Curve) Operating Performance BALCO VAL ($ 1,910/t) 1 ($ 1,845/t) 1 25% 50% 75% Cumulative Production (Percentile) Wood-Mackenzie for Aluminium C1 cost curve, VAL and BALCO shown at reported costs in Q1 FY2013 Aluminium Production (kt) CoP (in $/t, RHS) 3,000 2,000 1, mt Coal block at BALCO 0 Notes. FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 1. Q1 FY2013 annualized Q1 FY13¹ 0 25

26 Strong Financial Profile Cash and Liquid Investments of $6.9bn, with additional $2.9bn undrawn lines of credit FY2012 Proforma Net Debt:EBITDA including Cairn of 1.9x; Credit ratings of BB/Ba3/BB 1 Debt Maturity Profile ($bn) $1.7bn - Bridge loan to be rolled over into long term facilities $0.7bn - Revolving working capital facility $0.4bn - Refinanced $0.3bn - To be repaid through internal cash flows US$1bn maturities at plc in FY2013: $550mn refinanced to date FY2013 FY2014 FY2015 FY2016 FY2017³ FY2018 and later Debt at VED plc Debt to be transferred from VED plc to Sesa Sterlite Debt at Subsidiaries Notes: All information as of 31 March 2012, except information on refinancing 1. Issue credit Ratings as per S&P, Moody s and Fitch respectively 2. Debt numbers shown at face value 3. Includes convertibles at Vedanta Plc of $883mm due in FY2017 (with a put option in April 2013) and $1,250mm due in FY2017 (with a put option in July 2014) 26

27 Group Structure Simplification - Timeline Status Event Expected BSE and NSE approval sought Mar 2012 Competition Commission approval sought Mar 2012 Foreign Investment Promotion Board approval sought Mar 2012 BSE and NSE approval received Apr 2012 Competition Commission approval received Apr 2012 Application to High Court in India and Supreme Court of Mauritius Apr 2012 Scheme documents posted to shareholders May 2012 Vedanta / Sesa / Sterlite / MALCO EGM Jun 2012 Foreign Investment Promotion Board approval Jun 2012 Supreme Court of Mauritius approval Sep 2012 High Courts of India approval Sep 2012 Transaction completion CY

28 Proposed New Group Structure Vedanta Resources 79.4% Konkola Copper Mines (KCM) Subsidiaries of Sesa Sterlite 58.3% Sesa Sterlite Divisions of Sesa Sterlite Iron Ore (Sesa Goa) Copper Smelting (Tuticorin) Power (2,400MW Jharsuguda) Aluminium (VAL aluminium assets) 58.8% 64.9% 51% 51% 100% 100% 100% 100% Cairn India Zinc India (HZL) Bharat Aluminium (BALCO) Western Cluster (Liberia) Skorpion & Lisheen - 100% BMM -74% Talwandi Sabo Power (1,980MW) VAL Power and MALCO Power (1,405MW) Australian Copper Mines Option to increase stake to 94.4% Option to increase stake to 100% Option to increase stake to 100% Zinc International Listed entities Unlisted entities Note: Shareholding based on basic shares outstanding 28

29 Vedanta Group Structure Vedanta Resources (Listed on LSE) 79.4% 70.5% 54.6% 94.8% 55.1% 38.7% Konkola Copper Mines (KCM) Vedanta Aluminium (VAL) 29.5% Sterlite Industries (Listed on BSE, NSE and NYSE) 3.6% Madras Sesa Goa 20.1% Cairn India Ltd Aluminium (Listed on BSE (Listed on BSE (MALCO) and NSE) and NSE) 51.0% 64.9% 100% 74% 100% 100% 51% Bharat Aluminium (BALCO) Zinc India(HZL) (Listed on BSE and NSE) Skorpion and Lisheen Black Mountain Sterlite Energy Australian Copper Mines Liberia Iron Ore Assets Zinc International KEY Aluminium Copper Iron ore Power Zinc India Zinc International Oil & Gas Note: Structure as at 31 March