Essar Group Presentation

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Click to edit Master text stylesSecond levelThird levelFourth levelFifth levelEssar GroupCreating Enduring Value

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Vision & Mission

Vision We will be a respected global entrepreneur, through the power of Positive Action.

MissionWe are committed to innovative growth, through our personal passion, reinforced by a professional mindset, creating value for all those we touch.

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Group overview

Well diversified across several core economic sectors: Steel, Oil & Gas, Power, Shipping, Ports & Logistics, Communications and Projects

More than 60,000 people in over 20 countries worldwide, revenues of USD 15 billion

Among the top five Indian players in each of its businesses

Committed to CSR through community outreach initiatives in the areas of education, healthcare, environmental and agricultural development, and self-employment

Invests in latest technology to drive forward and backward integration in its businesses, and on leveraging synergies between these businesses.

Focus on in-house research and innovation to be a low-cost manufacturer with high quality products and innovative customer offerings.

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Essar Excellence

First, largest, biggest India’s largest exporter of flat steel products ; largest steel manufacturer on the West Coast of India

World's largest gas-based HBI plant at Hazira, Gujarat

First Indian steel plant to receive ISO 14001 award for environment management and ISO 9002 for the entire plant

operations

First Indian steel company to enter retailing

Essar Oil is the first private sector company in India to enter petroleum retailing

First independent power producer in India

First private company to obtain a power transmission license

First Indian shipping company to obtain the International Safety Management (ISM) code for bulkers and tankers

Builder of world’s second longest slurry pupeline

First GSM cellular service operator

The MobileStore® is India’s first national chain of telecom retail outlets, as well as the country’s largest mobile

retailer

Training and Development One of India's largest spenders on training, investing about USD 3 million (Rs 1.4 crore) annually

World-class Essar Learning Centre provides year-round training. We provide numerous resources for self-

assessment and development.

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One of India’s largest industrial houses

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Source: Company information(a) Currently operating at 4.5MMTPA and due to be expanded to 10MMTPA later this year(b) Provisional winner in respect of Rajmahal block, formal award awaited. Please refer E&P section for further details on E&P blocks(c) Calculated on the basis of number of operating days per annum(d) Capacities stated represent gross capacity(e) Coal mine in Indonesia in the process of being acquired

Essar Global

Essar ShippingFleet of 25 vessels, DWT of 1.40mm

Vadinar Oil TerminalTerminal facility of 28 MTPA – liquid cargo

Bulk TerminalDry bulk port facilities at Hazira (30 MTPA) & Salaya

Essar Oilfields A drilling company with13 rigs including one semi-submersible

Essar LogisticsOwns and operates transshipment assets

Essar Steel IndiaHazira Steel Complex10 MTPA integrated steel plant (a)

Essar HypermartSteel distribution chain

Essar Steel North AmericaAlgoma Steel, Canada4 MTPA integratedsteel plantMinnesota SteelIron ore mine with resources of 1.4BT and proven and probable reserves of 234MT

Essar Steel InternationalP T Essar Indonesia0.4 MTPA cold rolling complex

Vodafone Essar94mm subscribers

Essar Telecom East AfricaGSM services in Kenya, Uganda, Congo (Brazzaville)

Indus Towers (Essar owns 14%)One of the world’s largest tower company100,000 towers

Essar Telecom RetailChain of 1,300 retail outlets

Essar Construction

Engineering

Fabrication

Construction

Fully geared to execute turnkey EPC projects in India and overseas

Global Supplies FZE (UAE) (Essar owns 25%)Global procurement company

Project Management & Consultancy

Essar Shipping & Logistics

Essar Steel Essar TelecomEssar

ProjectsAegis – BPO

Business

Aegis - BPOOne of the prominent BPOs in India

Caters to:

Telecom industry

Healthcare

Financial services

Travel & hospitality

Consumer products

Employee strength40,000+ employees globally in 40 global locations

1 2 3 4 5

International logistics provider to the steel, oil

refining and power industries

Integrated, global steel producers

Significant player in the Indian telecoms industry

Leading EPC contractor with 40 year track record

Provider of multi channel CRM solutions to a blue-chip, multinational client

base

Upstream Total reserves and resources (incl. unrisked): 1,399mmboe (b)

Significant development and exploration upside in India and abroad

Refining300,000bbl/d(c) capacity today with plans to expand to 750,000bbl/d(c)

50 percent stake in 80.000 bpd Kenya Petroleum Refineries Ltd in Mombasa, Kenya

Securing international distribution/access to maximise margins

Marketingc.1,300 retail outlets

Integrated company spanning the oil & gas

value chain

Essar Oil & Gas

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Increasing current capacity from 1,220MW to 11,470MW by 2014

Current operating plantsTotal capacity: 1,220MW

Plants under constructionTotal capacity: 4,880MW

Plants under developmentTotal capacity: 5,370MW

Domestic coal blocks246MT coal reserves across 3 mines

International coal block35MT mine in Mozambique64MT mine in Indonesia(e)

Over a decade of experience in the Indian

power industry

Essar Power(d)6

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A global steel producer with 14 million

tonnes per annum of current capacity,

with an aim to achieve a global capacity of

20-25 million tons

Presence in key markets in Asia and

North America

Fully integrated from mining to retail:

Essar owns a global portfolio of coal and

iron ore mines and has access to all key

raw materials, ensuring steady supply to

its plants

Strong downstream capability with service

centres and customer care centres, as

well as a global network of retail outlets

branded Essar Hypermarts.

Investment in pipe and plate mills

Leadership position in the cold rolling,

galvanizing and pre-coated segments

Overview

Essar Steel

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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INDIAHazira, Gujarat, India: 10 million tonne steel plant at Hazira, largest in Western India. The plant is supported by a complete infrastructure setup, including a captive port, lime plant and oxygen plant.

Downstream facilities

• Galvanizing plant: 0.5 million tonne

• Cold Rolling plant: 1.2 million tonne

• A 1.5 million ton extra wide plate mill

• A 600,000 tonne pipe mill

Visakhapatnam, Andhra Pradesh, India: 8 million tonne pellet plant

Bailadila, Chattisgarh, India: 8 million tonne iron ore beneficiation plant

Pune, Maharashtra, India• Cold rolling plant• Galvanising plant • Colour coating plant

Current Operations

Essar Steel

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Retail (across India): Over 450 steel retail outlets branded Essar Hypermart and Essar Expressmart

Services (across India): Largest Steel Service Center facilities in India with an annual capacity of 2.5 million tonne located in Pune (Maharashtra), Hazira (Gujarat), Bahadurgarh (National Capital Region), and Chennai (Tamil Nadu).

CANADAAlgoma, Ontario: 4 million tonne Algoma Steel plant at Ontario, Canada INDONESIAWest Java, Jakarta:

• 400,000 tonne cold rolling mill and 150,000 tonne galvanising line

• Steel Service Center: 200,000 tonnes• Essar Hypermart

Current Operations

Essar Steel

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Orissa, India

•Paradip: A 12 million tonne pellet plant at

Paradip close to the port•Jodha-Barbil area: 12 million tonne iron ore beneficiation plant

Bhuj, Gujarat, India: Steel Service Center

Minnesota, USA: A 6 million tonne pellet plant, a concentration plant and a direct-reduced iron plant

Under Execution

Essar Steel

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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OIL & GAS

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A fully integrated oil & gas company of

international scale with strong presence

across the hydrocarbon value chain from

exploration & production to oil retail

Global portfolio of onshore and offshore oil &

gas blocks, with about 70,000 sq km

available for exploration

Over 300,000 bpd (barrels per day) of crude

refining capacity that is being expanded to

375,000 bpd, with a goal to reach a global

refining capacity of 1 million bpd

Fifty percent stake in Kenya Petroleum

Refineries Ltd, which operates a refinery in

Mombasa, Kenya, with a capacity of 80,000

bpd

Over 1,300 Essar branded oil retail outlets in

various parts of India, with plans to open

over 2,500 outlets countrywide

Overview

Essar Oil & Gas

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Asia, Africa & Australia: Diverse portfolio of

offshore and onshore Oil & Gas blocks as well

as Coal Bed Methane blocks

• 3 offshore blocks near the Mumbai

High field in the Mumbai offshore

basin

• 2 exploration blocks in Assam

• 1 block each in Mehsana, Gujarat and

Durgapur, West Bengal

• 1 block in Nigeria shallow offshore, 2

exploratory blocks in Madagascar, 2

exploration blocks in Northern

Territory, Australia offshore, 1 on-land

exploration in Indonesia

Current Operations: Exploration & Production

Essar Oil & Gas

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Vadinar, Gujarat, India: World-class 10.5

million tonnes refinery (operating at 14 million

tonnes or 300,000 bpd) producing fuels

compliant with latest emission standards; being

expanded to 18 million tonnes (375,000 bpd).

Dedicated infrastructure:

•Captive power plant

•Dispatch facilities by rail, road, sea and pipeline

•Associated tankages, pipelines, water intake

facilities

•Single Point Mooring system, that can

accommodate Very Large Crude Carriers

Mombasa, Kenya: 50 percent stake in a 80,000

bpd refinery run by the Kenya Petroleum

Refineries Ltd (KPRL); the remaining 50 percent

is owned by the Kenyan government

Current Operations: Refining

Essar Oil & Gas

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Across India: Marketing network of over 1,300

operational retail outlets, with plans to reach

2,500 outlets countrywide .

Tie-ups with other oil marketing companies:

Gives us access to product and right to use their

terminals and facilities for placing and marketing

our products. This gives us pan-India presence

through 35 distribution outlets.

Current Operations: Retailing

Essar Oil & Gas

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Expansion of existing refinery to 18 million

tonnes through the addition of a Delayed

Coker Unit

Additional Single Buoy Mooring system to

handle crude

New product jetty

Petrochemicals complex that will integrate

with the refinery

Under Execution

Essar Oil & Gas

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Current generation capacity of 1,220 MW

that is being expanded to 6,100 MW by

2012, with a target to reach 11,470 MW by

2014

Growing portfolio of gas, coal and liquid fuel

based power plants

One of the lowest cost power producers

Exploring new opportunities in conventional

and renewable power generation globally

Expanding in the transmission and

distribution sectors; first private power

company to get a transmission license

Complete fuel linkages secured for all

projects under execution

Invested over USD 4 billion Rs 20,000 crore

in projects under execution

Overview

Essar Power

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Steel

Communications

Projects

Hazira, Gujarat, India:

• 515 combined cycle MW plant, gas-

based; 215 MW captive to Essar

Steel’s Hazira steel plant and 300 MW

supplied to Gujarat Urja Vikas Nigam

• 500 MW combined cycle plant, gas-

based; captive to Essar Steel’s Hazira

steel plant

Vadinar, Gujarat, India: 120 MW co-generation

plant, oil-fired; captive to Essar Oil refinery

Algoma, Ontario, Canada: 85 MW co-

generation plant; captive to Essar Steel Algoma

Current Operations

Shipping, Ports &

Logistics

Oil & Gas

Power

Essar Power

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Gujarat, India •Salaya: 1,200 MW, imported coal based •Vadinar: 890 MW co-generation plant of equivalent capacity, oil-fired; captive to Essar Oil and will supply power and steam to the expanded refinery.•Hazira: 270 MW multifuel plant

Mahan, Madhya Pradesh, India: 1,200 MW, pit head coal based

Tori, Jharkhand, India: 1,200 MW, pit head coal based

Paradip, Orissa, India: 120 MW coal-based plant to supply power to Essar’s upcoming pellet plant in that location

Under Execution

Essar Power

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Steel

Communications

Projects

India’s largest telecom retail network, with

1,300 outlets; being expanded to 2,500

outlets

Business Process Outsourcing services,

employing more than 40,000 people

A global player in the communications sector

with presence in telecom services, telecom

retail and business process outsourcing

Over 100 million telecom subscribers in India

and Kenya, with plans to enter the telecom

services market in other South Asian and

African countries

Partnership with Vodafone PLC, with 33

percent stake in Vodafone Essar Ltd

14 percent stake in Indus Towers, India’s

largest tower company with over 100,000

towers

Overview

Shipping, Ports &

Logistics

Oil & Gas

Power

Essar Communications

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Telecom Services• Vodafone-Essar: Joint venture of

Essar Communication Holdings Ltd and the UK-based Vodafone Group, with over 100 million subscribers

• “yu”: A GSM-based mobile services network in Kenya with over 1 million subscribers

Telecom Retail: Runs over 1,300 The MobileStore outlets across India

Telecom-enabled Services: Aegis, a global leader in business process outsourcing (BPO), employs over 40,000 employees with expertise in the telecom, insurance, banking and healthcare domains, as well as engineering services, serving several Fortune 500 companies from 40 delivery centres across India, Philippines, USA, Costa Rica, Australia, Kenya and South Africa

Current Operations

Essar Communications

Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Steel

Communications

Projects

A comprehensive logistics services company

with presence in sea transportation, ports &

terminals, logistics and oilfields services

Shipping fleet of 25 vessels, with 12 new

ships on order at an investment of more than

USD 0.6 billion

One of India’s largest operator of ports and

building a cargo handling capacity (both dry

and bulk cargo) of over 150 million tonnes

Contract drilling services to global oil majors,

with a fleet of 13 onshore rigs and one

super-specialty semi-submersible offshore

rig; 2 new jack-up rigs to be added

Overview

Shipping, Ports &

Logistics

Oil & Gas

Power

Essar Shipping Ports & Logistics

•A comprehensive sea logistics company with presence in sea transportation, ports & terminals, logistics and oilfields services•Shipping fleet of 25 vessels, with 12 new ships on order at an investment of more than USD 0.6 billion •One of India’s largest operator of ports and building a cargo handling capacity (both dry and bulk cargo) of over 150 MTPA•Contract drilling services to global oil majors, with a fleet of 13 onshore rigs and one super-specialty semi-submersible offshore rig; 2 new jack-up rigs to be added

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Sea transportation: Diversified fleet of 25

vessels including VLCCs, capesizes,

Supramaxes, mini bulk carriers and tugs

• Provides crude oil and petroleum

products transportation, transportation

management services and integrated

dry bulk transportation services

• Provided service for more than 220

ship years to leading Indian and

global oil majors and commodity

traders

Current Operations: Sea Transportation



Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Ports & Terminals: Among India’s

largest owners and operators of ports Vadinar (Gujarat, India): A 46-

million tonne port and terminal

facility to provide handling,

storage and terminalling

services for crude oil and

petroleum products to refineries

and traders.

Current Operations: Ports & Terminals



Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Logistics: Provides end-to-end logistics

services – from ships to ports, lighterage

services to plants, intra-plant logistics and

dispatching finished products to the final

customer

• Owns trans-shipment assets to

provide lighterage support services,

onshore & offshore logistics services

• Manages a fleet of 4,200 trucks for

inland transportation of steel and

petroleum products

Current Operations: Logistics



Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Oilfields services:

• Provides contract drilling and related

services to oil and gas companies

worldwide, operating both offshore

and onshore in diverse countries.

• Owns a fleet of 13 rigs, which includes

1 semi-submersible rig and 13

onshore rigs

Current Operations: Oilfields Services



Steel

Communications

Projects

Shipping, Ports &

Logistics

Oil & Gas

Power

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Steel

Communications

Projects

Ports & Terminals: • Vadinar (Gujarat, India): Oil terminal

capacity to increase to 58 million tonnes

• Hazira (Gujarat, India): A 50-million tonne all-weather deep draft port & jetty for import of iron ore, pellets, coal, limestone and export of finished steel products

• Salaya (Gujarat, India): 20-million tonne integrated terminal facility for handling coal and pet coke used in power plants

• Paradip, Orissa, India: -- 14-million tonne deep draught coal berth, as part of an agreement with the Paradip Port Trust to execute a BOT (build-operate-transfer) project, with rights to operate the berth for 30 years. -- Developing Central Quay–3 for handling 16 million tonnes of pellets annually

Under Execution

Shipping, Ports &

Logistics

Oil & Gas

Power



Sea transportation: Order Book of 12 new- building vessels

Oilfields services: 2 new jack-up rigs on order

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Steel

Communications

Projects

Forty years of Engineering, Procurement &

Construction (EPC) capabilities

Built 300,000 bpd of refining capacity

Developed over 10 million tonnes of steel

capacity

Laid more than 3,500 km of pipelines

Developed 1,220 MW of power projects, and

is developing another 10,250 MW

Offshore EPCI capabilities; currently

executing a USD 220 million project for

ONGC

Owns over 3,000 nos. construction

equipment worth over USD 250 million

12,000 TPA (tonnes per annum) of

fabrication facility with waterfront load-out

facility

Overview

Shipping, Ports &

Logistics

Oil & Gas

Power

Essar Projects


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Steel

Communications

Projects

Dedicated Engineering Centre specializing in

Engineering and Design for the Process and

Industrial sectors, with over 1,200 engineers

Over USD 3 billion procurement capability.

Global procurement support in Middle East

and China

Global workforce of over 5,000

Overview

Shipping, Ports &

Logistics

Oil & Gas

Power

Essar Projects


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Essar Group Presentation