2

• Essar Group is committed to conceive, nurture and build world-class assets

• At Vadinar, we started the refinery project 22 years back that has now

received the world’s attention and attracted premium valuation

• This world-class asset has brought in foreign investment of $12.9 billion

THE CRUDE AGREEMENT

Essar Oil signs 10-year crude

supply agreement with Rosneft

PRELIMINARY AGREEMENT

Essar signs preliminary agreement

with Rosneft to sell 49% stake in

Essar Oil’s Vadinar refinery

THE ANNOUNCEMENT

Rosneft-UCP-Trafigura

consortium sign agreement with

Essar for 98% in Essar Oil and

announce the same at the

sidelines of the BRIC summit

in Goa

DEAL CONCLUDES

Essar concludes the deal with

Rosneft-UCP-Trafigura

consortium

$12.9 billiondeal

Largest

acquisition in

Indian oil sector

More shareholder

value

Creates ground for

further growth

Essar Oil

Vadinar Refinery

20 MTPA

Vadinar Oil

Terminal

58 MTPA

Captive Vadinar

Power Plant

1,010 MTPA

Network of over

3,600

retail outlets

• The deal brings in the largest

acquisition to the Indian

Oil Sector

• This takes the total foreign

investment brought into

India by Essar to ~

$30 Billion(including Essar Oil,

Vodafone, Aegis)

• Marks the

single largest

deleveraging

instance in

Indian corporate

history

• Deal concluded

in record time,

given the size

and complexity

of the transaction

• Essar emerges as

the first corporate

in India to

compensate

ex-shareholders

post delisting with

the difference in

realized value of

asset

• The deal substantiates Essar’s

commitment to creating value

• Deleverages group debt

• The deal will help Essar Oil

grow further as Rosneft plans

to remain invested in the

company for the long haul

• Gain access to the growing

Indian markets through

world class assets and a

massive retail network.

India

• Step towards deeper

strategic ties with Russia

• Huge inflow of investments

to the economy

7

• Essar was a first mover in the telecom

sector buying its first license in 1995

• Focus was on a rapid growth strategy

which led to a partnerships with

Hutchison Whampoa and then with

Vodafone

• Strong growth in subscribers from

11mn in FY05 to 127mn in FY11

• Investment sold to Vodafone in 2011

• Growth of business process

outsourcing division to over 50,000

seats in 13 countries

• Focus on end-to-end customized

solutions across industries

• Part sale of asset with divestment of

Aegis USA Inc., operating in United

States, Costa Rica and Philippines for

$610mn to Teleperformance

• Sale of balance operations, including

India, to CSP for $300 million under

process

• Essar monetized 98% stake in Essar

Oil to Rosneft, the worlds largest

publicly traded oil company and an

investment consortium led by

Trafigura, world’s leading commodity

trading and logistics house.

• Transaction valued at $ 12.9 Bn

includes Essar Oil’s 20 mtpa refinery

and retail assets. Along with Vadinar

port and related infrastructure.

PROVEN SUCCESS OF VALUE CREATION

8

9

• Post transaction group asset base stands at $17 billion(Fully operational facilities in steel, power, ports, shipping, refining and gas)

• Group revenues estimated to be $15 billion*

• Group debt to reduce substantially

• Essar remains invested in Oil & Gas through 9 MTPA Refinery in Stanlow

and E&P Business (Essar is the largest CBM player with 1 tcf of recoverable reserves)

• Essar is poised for growth with assets ready to cater to growing demand and a positive

economic outlook in the steel, power, port and shipping sectors. The focus will be on

sweating the assets created

Gross Revenues: FY’18 Estimates

10

INDIA

INTEGRATED ASSETS ACROSS LOCATIONS

Iron Ore Iron Ore

Deposits

Mahan

Beneficiation Plant

Slurry Pipeline

Pellet Plant

2

2

Bahadurgarh

Bhuj

Indore

Kolkata

Chennai

Kirandul

Vizag

Paradip

Hazira

Port

Power

Shipping

1

1

2

3 5

Hazira Steel Facility3

Pune Downstream Facility

Service Center

4

5

5

5

4 5

5

5

5

Pune

Dabuna

1

Steel

Oil & Gas

Salaya

Tori

1 Coal Bed Methane

1

Raniganj

11

UNITED KINGDOM

A

A Stanlow Refinery

Essar Steel, Hazira

12

A

A Coal Mine

UNITED STATES

CANADA

Algoma Power

Port of Algoma

A

Cold rolling plantA

INDONESIAMAURITIUS

Oil & Gas

• ~196 bpd / 9 MTPA operating

refining capacity

• Stanlow Refinery in UK meets

16% of country’s road fuel demand

• 36 Essar Branded retail fuel outlets

• 7.5 TCF coal bed methane

resources

Power

• 3,830 MW commissioned capacity

increasing to 5,090 MW pan India

& Canada

• Operating and in development of

coal mines

Resources

• Iron ore resources in India

• Metallurgical coal resources in

USA

• Thermal coal resources in

Indonesia

• 20 MTPA pellet capacity in

Eastern India

Steelmaking & Marketing

• 10 MTPA steelmaking capacity

• #4 largest single site globally

• 4 MTPA distribution capacity

• 300+ retail outlets across India

• 200,000 tonnes of cold rolling

operations in Indonesia

Ports

• India’s 2nd largest private port

company.

• Operational port assets in strategic

locations in India and Canada.

• Current capacity of 92 MMTPA to

be scaled up to ~190MMTPA.

Projects

• $2 bn+ order book

• 40 year track record and global

operations

• One of the largest equipment

banks in India

Shipping

• 14 ships including VLCCs,

capsize and supramax; 4 ships

on order

• Aggregate shipping capacity of

1.6mn (dwt)

• Oilfield Services: 15 land rigs, 1

semi submersible offshore rig

BPO

• 37,500+ employees

• 300+ global clients

• 37 locations in 9 countries

x

14

• Transaction marks the end of our monetization programme and is the single largest

deleveraging instance in Indian corporate history. Group debt will stand substantially reduced by

Rs 70,000 crore (US$11 bn).

• The completion of this transaction demonstrates the Group’s intent to honour its commitments to

all stakeholders

• EGFL’s portfolio companies will have consolidated revenues of US$15 billion, with operations

across the globe

• Essar Energy remains invested in the oil & gas sector, through the refining and marketing

operations in Stanlow, and through E&P, where we are the largest CBM player with 1 tcf of

recoverable reserves (in place)

• Essar Global now looks forward to focus its attention on its wider portfolio of businesses, such

as steel, power, oil & gas, ports and shipping, with a positive economic outlook in each of these

sectors.

15

welcomes