KIOCL LIMITED (A Govt. of India Enterprise) Block II, Koramangala, Sarjapur Road, Bengaluru

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1 KUDREMUKH KIOCL LIMITED (A Govt. of India Enterprise) Block II, Koramangala, Sarjapur Road, Bengaluru AN ISO 9001:2008, ISO 14001:2004 & OHSAS 18001:2007 COMPANY Telephone: (080) to (10 lines) Fax: www: kioclltd.in, No. KIOCL/TS/EOI-BFU/F-334/1538 Date: 13/07/2017 Expression of Interest for Leasing out of the Blast Furnace Unit of KIOCL Limited KIOCL Limited (Formerly Kudremukh Iron Ore Company Limited): KIOCL Limited a Miniratna Category I, Schedule A, Government of India Enterprise, originally set up as a 100% export oriented unit, having its separate Pelletisation and Pig Iron Plant Complexes located near Mangalore Port is presently engaged in the business of manufacturing and exporting high quality Iron Oxide Pellets and Supply of Pig Iron for domestic market. The Company is an ISO 9001:2008, ISO-14000:2004 certified also compliant with OHSAS: 18001:2007 certification for Occupational Hazards and Safety Management System. Company has its Registered & Corporate Office at 2 nd Bangalore , Karnataka State, The Block, Koramangala, KIOCL is desirous of Leasing out their Blast Furnace Unit for producing Pig Iron on License Fee basis. The Blast Furnace is having the capacity to produce 2.16 lakh tons per annum of Pig Iron at their Blast Furnace Unit (BFU) located at Panambur, Mangalore, KIOCL Limited invites Expression of Interest (EOI) from reputed and experienced, Domestic / International bidders for Leasing out of their Blast Furnace Unit located at Mangalore, on License Fee Basis. On License Fee basis: KIOCL is interested in leasing out their Blast Furnace Unit comprising of Blast Furnace, Captive Power Plant, Cooling Towers, Boilers and all the plant auxiliaries. The Lease period shall be for a period of FIVE (5) years from the date of signing the license agreement. The Lease period may be extended for a further period of TWO (2) years on mutually agreed terms. 1

2 The licensee will operate the Blast furnace unit and KIOCL will charge license fee on monthly basis as mentioned below; (a) Lease rent payable on monthly basis with an escalation of 10% per Annum. (b) Responsibility of operating the plant lies with Agency including arrangement of Man power, Raw materials, spares and consumables, Major and Minor maintenance, Security, Payment for electricity, water, taxes, insurance, etc., ensuring safety and environmental compliance as per law, etc., (c) KIOCL collects monthly lease rent and monitors assets. The interested parties may contact the following KIOCL official to visit BFU. Shri S. Gvondraj Bhat General Manager I/c BFU Blast Furnace Unit, KIOCL Limited, Panambur, Mangalore , Mobile: , E mail: bfugmp@kudreore.com The interested parties may submit the EOI with the following details: (a) Company / Partnership firm name (b) Date of Incorporation (c) Registered office address (d) Branch Office Addresses and details of Contact Person (e) Phone Number, Fax Number, address, company website address (f) Details of Organizational Structure (g) Details of experience in related industry (h) Audited financial reports of the last three financial years.

3 (i) Details of Indian Associates if any in case of Offshore Agencies. (j) Any other information. The response to this EOI must be complete and comprehensive with explicit documentary evidence in support of all the above. The EOI is also applicable for the parties who intend to participate in association / jointly with domestic / International Companies / partnership firms. The details of BFU is as under: The Blast Furnace Unit of KIOCL LTD., is located in Baikampady Industrial Area of Port City MANGALORE, Karnataka State, The Pig Iron Complex is built on Plot No. 456 & 457 of the Baikampady Industrial Area measuring Acres of Land. The plant is located at about 10 Km North of Mangalore city. The National Highway NH-66 is about 1.3 Km towards south west of the site. The existing KIOCL Pellet Plant is about 2.0 Km. south west of the pig iron plant. The nearby railway station is Thokur, which is at a distance of about 3 Km, North-East of the site. The New Mangalore Port, an all weathered port, is about 2.5 Km from the plant. Mangalore International Air Port is about 12 Km from the plant. The Blast Furnace (350 m 3 ) was commissioned in February 2001, has an annual production capacity of 2, 16,000 MT of Foundry Grade Pig Iron. The Blast Furnace incorporates state of art technology from M/s Mannesman Demag, Germany, erected and commissioned by their subsidiary M/s INDOMAG Steel Technology Ltd., a member of SMS DEMAG Group, with the detailed engineering support from M/s MECON Limited. During 2009 as a result of Global Economic Recession the market situation continued to worsen and therefore operation of the BFU has been stopped since August BFU has been refurbished in the year Two new cooling towers, each one for Blast Furnace and Captive Power Plant have been commissioned and the performance is satisfactory. Both the boilers are refurbished and are certified by the statutory authority with regard to its healthiness for operation. All the plant structures and auxiliaries are in good conditions. After refurbishing and interfacing all the machineries & equipments, Blast Furnace Unit tested and found the unit in healthy condition for operation and to

4 achieve the rated production. PLANT LAYOUT: Major installations of Blast Furnace complex are; Raw Material Stock Yard Stock House and BF feeding Conveyor Blast Furnace Hot Blast Stoves Cast House and Ladle Repair Shop Pig Casting Machines Cold Air Blowers and Air Compressors Captive Power Plant Main Step Down Station and Distribution Station Water Reservoir and Make Up Water Pump House Cooling Water Pump House Process Control Lab., First Aid Center, Instrumentation Lab. Administration Building, Canteen, Central Stores Pig iron stock yard The Plant is equipped with modern facilities to provide safe working conditions and adequate investments have been made towards environmental control measures to conform to the environment regulation norms. KIOCL Limited BF Unit is designed to produce the Foundry Grade Pig iron as per customer requirements. All responses to this request for EOI must reach latest by PM on 21/08/2017 to; Deputy General Manager (CP & TS), KIOCL Limited, II Block, Koramangala, Bangalore , Karnataka State, Telephone Number: to (10 Lines) Extension -283

5 Fax: Mobile Number: For information or clarifications you may contact Deputy General Manger (CP&TS) at The responses to this EOI must be complete and comprehensive with explicit documentary evidence in support of all the above. Please Note: This is not a Request for Proposal (RFP) and commercials are not to be submitted with Expression of Interest (EOI).. sd/- Deputy General Manager (CP&TS)