Vedanta Resources Plc India Operations Site Visit: Corporate Presentation

VEDANTA RESOURCES PLC

India Operations Site Visit:

Corporate Presentation

24 SEPTEMBER 2012

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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–

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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

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FY2012 INDIA OPERATIONS SITE VISIT – CORPORATE PRESENTATION - 24 SEPTEMBER 2012 2

Agenda

3FY2012 INDIA OPERATIONS SITE VISIT – CORPORATE PRESENTATION - 24 SEPTEMBER 2012

Overview Navin Agarwal, Deputy Executive Chairman

Vedanta Market Positioning

Business and OperationsM.S. Mehta, Chief Executive Officer

Financials D.D. Jalan, Chief Financial Officer

Sustainable Development Tony Henshaw, Chief Sustainability Officer

Site Visit Itinerary

Tuesday - 25 September

1. Jharsuguda Aluminium

and Power plants

Wednesday - 26 September

2. Rampura Agucha mine

Dariba smelters

Sindesar Khurd mine

Thursday - 27 September

3. Rajasthan (Mangala)

oil fields

Friday - 28 September

4. Goa Iron ore mines


India Operations Site Visit

Iron Ore• Goa

Zinc-Lead-Silver• Rampura Agucha mine• Dariba smelters• Sindesar Khurd mine

Aluminium• Jharsuguda smelter

Power• Jharsuguda power

Oil & Gas• Rajasthan

Mumbai

S.K. RoongtaCEO, Aluminium and Power

11

22

33

44

P. ElangoInterim CEO, Cairn IndiaOil & Gas Goa

Jharsuguda

Agucha, Dariba, Sindesar Khurd

Barmer

Akhilesh JoshiCEO, Hindustan ZincZinc India

P. K. MukherjeeCEO, Sesa Goa Iron Ore

Overview

Navin Agarwal

Deputy Executive Chairman

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


323

5,353

FY2004 FY2012 proforma

EBITDA (US$mn)

+42% CAGR

Free Cash Flow (US$mn)

335

3,128

FY2004 FY2012proforma

+32% CAGR

Underlying EPS (USc/share)

27

209

FY2004 FY2012proforma

+29% CAGR

Note: FY2012 numbers are proforma with Cairn India for full year

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

Optimising Group Structure

Restructuring on track for completion in CY2012

� Consolidates and simplifies group structure,

eliminates cross-holdings

� 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

Minority Buyouts

� Buyout of government stake in HZL and BALCO

remains a priority


Konkola Copper Mines

Vedanta Resources

Power

Sesa Sterlite

Alumi-nium

Oil & Gas

Zinc-

Lead-

Silver

CopperIron Ore

�HZL

�Zinc Int’l

�Sesa Goa

�WCL

�Cairn

India

�Tuticorin

�CMT

�BALCO

�VAL

�Talwandi

Sabo

� Jharsuguda

�BALCO

�MALCO

58.3%79.4%

Note: Shareholding based on basic shares outstanding

Tier-1 Diversified Asset Portfolio

FY2012 INDIA OPERATIONS SITE VISIT – CORPORATE PRESENTATION - 24 SEPTEMBER 2012

FY2012 Production

Target Capacity R&R Life1 Sustainable Cost Position2

830kt 1mtpa 25+ Lowest Quartile

444kt 400ktpa 20+3

Lower Half

7.8moz 16mozpa 25+ By-product

173kboepd 260kboepd4

17 Lowest Quartile

13.8mt 20.5mtpa4

18 5

Lowest Quartile

200kt 400ktpa 24+6

Lower Half

675kt 2.3mtpaCurrently Lower Half; LowestQuartile with Captive Bauxite

Zinc India

Zinc Intl.

Silver

Iron Ore5

Copper Zambia

Aluminium

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

Large, Low-Cost, Long-Life, Scalable Assets

Oil & Gas

9

A Global Diversified Natural Resources Major


FY12/CY11 EBITDA ($bn)

PE Multiple

BHP Billiton 33.7 9.9

Vale 33.8 5.8

Rio Tinto 28.5 7.8

Anglo American 13.3 9.7

Xstrata 11.6 11.2

Teck 5.5 9.6

Vedanta 5.3 5.0

ENRC 3.4 6.9

Top Global Diversified Natural Resources Companies

38%

23%

30%

16%

10%

37%

13%

37%

69%

98%

52%

13%

36%

46%

28%

17%

7%

15%

48%

33%

15%

10%

6%

3%

6%

4%

46%

2%

11%

2%

21%

14%

2%

2%

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 2012. Vedanta numbers are proforma with Cairn India for full year FY2012. 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 metals2. For BHP, base metals includes copper and zinc-lead. For Xstrata, base metals includes nickel.

Strong and Consistent Profitability


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%.

10%

23%

27%

30%

41%

43%

54%

56%

41%Group

Aluminium

Copper Zambia

Power

Copper Australia

Zinc- International

Iron Ore

Zinc- India

Oil & Gas²

1

FY2012 EBITDA Margins by Segment

33% 33%

41%

59%

55%

35%

43%45%

41%

1,636

3,756

FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12

Group EBITDA margin¹ Average LMEX

Consistent Profit Margins

Profitability driven by Asset Quality and Diversification

18%

31%

18%

9%

2%

3%

10%

4%

Share of EBITDA

1.8

2.3

3.1

3.7

2.52.2

1.51.7

1.3

0.5

-

FY2010 FY2011 Proforma FY2012

FY2013e FY2014e FY2015e

Free Cash Flow¹ Capex-ex-Cairn Capex-Cairn²

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 FY2012

Free Cash Flow at an Inflection Point

Well-Invested Capex Driving Near-Term Growth


Cash Flow and Growth Capex Profile - $bn

12

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

FY 2011 FY 2012 FY 2013 FY 2014 FY 2015

Zinc-Lead Silver Iron Ore Copper

Aluminium Power Oil & Gas

Year-end Capacity (in Copper Equivalent kt)3

1.6

0.4

Vedanta Market Positioning

M.S. Mehta

Chief Executive Officer

Resourcing India

India

� Strong demographics and urbanization driving metal

consumption growth

� Abundant reserves to support further domestic

production

� Vedanta uniquely positioned as domestic suppluer of

key commodities


Note: Source: Wood Mackenzie for metal consumption

1. Commodity data represents Total estimated Reserves and Resources based upon public sources including GSI, GOI, Brook Hunt, UNFC, IBM, and E&Y.

40%

54%

5%

7%

0.3

0.5

1.0

2.0

4.1

8.2

16.4

2005 2010 2015 2020 2025 2030

Annual demand in mntonnes

(logari

thm

ic s

cale

)

Zinc Consumption Estimates – India and China

41%

53%

4%

7%

1

10

100

2005 2010 2015 2020 2025 2030

Aluminium Consumption Estimates – India and China

Annual demand in mntonnes

(logari

thm

ic s

cale

)

Size of bubble indicates % of world consumption

Size of bubble indicates % of world consumption

R&R and Consumption: India and World

3,305

2,004

Bauxite R&R (mt) Al Consumption

2012e (kt)

31

634

Zinc R&R (mt) Zn Consumption

2012e (kt)

Proximity to Rapidly Growing Markets


India48%

China20%

Other Far East and Asia

11%

Middle East and Africa

9%

Rest of the World12%

Vedanta Revenues by GeographyFY2012

82%

30%

6%

39%

33%

5%

Zinc Lead Silver Copper Aluminium Oil

Strong Market Positioning in IndiaFY2012 India Market Shares

#1 #1 #1 #1 #2

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

India Operations: Domestic Sales as % of Total SalesFY2012

58%

81%

100%

62%

80%

19%

100%

Zinc India - Zinc

Zinc India - Lead

Silver Copper India

Aluminium Iron Ore Oil and Gas

#1

6% 5% 10% 8% 9% 10% 4%

2010-25 India Consumption CAGR %

Note: Consumption CAGR over 2010-25 for base metals as per Wood-Mackenzie estimates.

For Iron Ore, steel consumption CAGR over FY2012-17 as per Ministry of Steel, India considered.

Silver consumption growth rate over 2012-2025 as per Ministry of Mines, India.

Oil & Gas consumption growth rate over 2008-2035 as per EIA.

India Africa

Operations

� Largest diversified resources major in India

� Largest producer of Aluminium, Copper,

Zinc, Lead, Silver

� 2nd largest crude oil producer

� Largest zinc producer in Africa

� Among top 3 copper producers

� Large iron ore assets in Liberia

Overseas Capital

Invested� c.$12.5bn across various segments

� $2.5bn in Zambia

� Two large projects – Liberia iron ore and

Gamsberg zinc deposit

Contribution to

Exchequer

� Among the largest: c.$4.8bn in proforma

FY2012 (incl $2.8bn by Cairn India)� Largest in Zambia

Contribution to

Society

� Community programmes benefiting 2.8mn

people across 1006 villages

� Community programmes benefiting

150,000 people across 3 countries

Employees � Largest employer in several states � Largest private-sector employer in Zambia

Strong Presence in India and Africa


Business and Operations

M.S. Mehta

Chief Executive Officer

FY2004

� Ancd 1mt

alumina refinery

project at VAL

Delivering Growth


Pre-IPO

� 1997: Cmd

Tuticorin smelter

� 1999: Acq

Australia Cu mines

� 2001 – Acq BALCO

� 2002- Acq HZL

Pre-IPO

FY2005

� Acq KCM

� KDMP project

launched

FY 2005

FY 2004

FY2006

� Cmd 170kt Zn and

50kt Pb smelter,

154MW CPP

� Exp Tuticorin

smelter to 300kt

FY 2006

FY2007

� Acq Sesa Goa

� Cmd 245kt Al smelter and 540

MW CPP at BALCO

� Dbn Tuticorin smelter to 400kt

FY 2007

FY2008

� Cmd 170kt Zn

smelter

� Cmd 80MW CPP at

Chanderiya

FY 2008

FY2010

� Acq VS Dempo

� Cmd KDMP Mid-shaft loading

� Cmd 210kt Zn smelter

� Exp RA mine to 6mt

FY 2010

FY2011

� Acq Zinc Intl

� Cmd 1.5mt mill at

silver-rich SK mine

� Cmd 2,400 MW

Jharsuguda power

FY 2011

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 2nd Co furnace

� Exp 274MW wind power

FY 2012

FY2009

� Exp RA mine to 5mt

� Cmd 311kt Nchanga

smelter, 6mt Konkola

Concentrator

� First metal at 500kt VAL

Jharsuguda aluminium

smelter

FY 2009

Abbreviations:Dbn: DebottleneckedExp: ExpandedCmd: CommissionedAncd: AnnouncedAcq: Acquired

Color KeyGroupZinc-LeadCopperAluminiumPowerIron OreOil and Gas

Vedanta IPO

Aluminium16%

Copper29%

Zinc India55%

EBITDA: $323mn

Aluminium3%

Copper13%

Zinc India23%

Zinc-Int.7%

Iron Ore14%

Oil & Gas38%

Power2%

Continued Growth and Diversification

FY2004 (IPO)

Aluminium7%

Copper19%

Zinc India34%

Zinc-Int.3%

Iron Ore33%

Power4%

EBITDA: $3.6 bn

FY2011

+10x

Proforma FY2012 with Cairn India for Full Year

EBITDA: $5.4bn

+16x


Achieved

� 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-up1

− 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 basin2

Oil and Gas


Notes. 1. Subject to approvals

2. Closure of transaction is subject to South African regulatory approvals

Significant

part of

240,0001

in CY2013

Primarily

from MBA

Aishwariya

towards

end FY2013

300,0001

Basin

Potential

Barmer Hill

Further

explorationc.175,000

Currently

Mangala

c.150kbopd

Bhagyam

upto

40kbopd

125,000 at

Acquisition

completion

Mangala

125kbopd

Rajasthan Gross Production (bopd)

0

1,000

2,000

3,000

4,000

5,000

Zn Composite cost -c1 cash

cost ($/t)

Cumulative Production (Percentile)

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

Zinc India


0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

0

100

200

300

400

500

600

700

800

900

1000

FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12

Zinc-Lead Metal Production (kt)Zinc reported COP excluding royalty ($/t)Zinc LME ($/t)

Operating Performance

$/tkt

HZL($ 342/t)1

Source: Wood-Mackenzie for Zinc C1 cost curve;

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.

Refined Zinc – Lowest Quartile Cost Position

25% 50% 75%

Achieved

� 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

Zinc International


Source: Wood-Mackenzie

2012e Production (kt)

710

168

164

400

0 500 1000

Rampura-Agucha

Red Dog

Century

Mount Isa Pb/Zn

San Cristobal

Antamina

Brunswick

McArthur River

Tara

Penasquito

Vazante

Lanping

Lisheen

Skorpion

Gamsberg …

25+

20+

Mine Life

Achieved

� Significant expansion since acquisition

� Sustained lowest quartile cost position

� R&R: 68mt net addition in FY2012

− 374mt total R&R, implying 18+ year mine life1

� 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

− First shipment in FY2014

Iron Ore


Vedanta Liberia Iron Ore

Asset Type R&R

Mano River Brownfield 80 mt

Bea Mountain Greenfield 923 mt

Bomi Hills Brownfield 50 mt

Distance key(km)

Bomi Hills

Bea MountainMano River

Asset Key

0 50 100

Western Cluster MinesOther Iron Ore MinesRailwayMajor Roads

Vedanta

Putu(Severstal)

Bong(Wuhan

Steel)

Mount Nimba(ArcelorMittal)

Liberia

Proposed SimandouRailway

Buchanan

Greenville

Dida

Monrovia

Robertsport

Note: 1. At capacity for current producing assets, subject to approvals; Does not include Liberia

Achieved

� 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

Focus

� Commissioning of 160 MW CPP

� 400kt smelter expansion1

Copper India/Australia


Notes. 1. Subject to approvals

Source: Wood-Mackenzie for Copper Smelting cash cost curve, FY2012 reported net COP for Copper India

Lowest Quartile Cost Position

0%

25%

50%

75%

100%

0

100

200

300

400

FY08 FY09 FY10 FY11 FY12

Copper Production (kt) Cost Curve Percentile (RHS)


-10

0

10

20

30

40

50

Cu smelting net cash conversion cost

(c/lb)


Copper India(0 c/lb)

25% 50% 75%

Achieved

� Konkola shaft#4 sunk to final 1500m depth

− Commissioned 2900level high speed tramming facility

increasing mine development pace

� Projects commissioned in FY2012

− 2nd Cobalt Recovery Furnace

− 7.5mt Nchanga East Concentrator

− TLP-IV debottlenecking to 75ktpa

� Exploration: Maintained track record of R&R replacement

Focus - FY2013 Priorities

� 3mt West Mill to be commissioned in Q2FY2013

� Accelerate Konkola mine development pace to 60km/year

� Bottom shaft loading at KDMP by Q3

− Platform for 25-30% annual growth in mined metal

� Start regular mining at Nchanga Upper Ore Body

Copper Zambia


Top 12 copper mines by Cu grade of resources (%)

0

100

200

300

0

100

200

300

400

FY08 FY09 FY10 FY11 FY12 FY13e¹

Copper Production (kt) Integrated COP (in c/lb, RHS)


3.6%

3.4%

1.6%

1.1%

5.1%

3.1%

2.1%

1.5%

1.1%

0.9%

0.8%

0.8%

KOV, DRC (Katanga)

Konkola, Zambia (Vedanta)

Kamoto, DRC (Katanga)

Tenke, DRC (Phelps, Tenke)

Kananga, DRC (Katanga)

Nchanga, Zambia (Vedanta)

Tilwezembe, DRC (Katanga)

Olympic Dam, Australia (BHPB)

Escondida, Chile (BHPB, Rio)

Chuquic-amata,Chile(Codelco)

Collahuasi, Chile (Anglo, Falconbridge)

Grasberg, Indonesia (Freeport)

Underground mine Open pit mine

Source: Raw Materials, CPR, company websites

Notes: 1. Production incudes FY2013 est. of 175kt integrated production and Q1 FY2013 custom production annualized to 52kt; COP of Q1 FY2013.

0

1,000

2,000

3,000

0

200

400

600

800

FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Q1 FY13¹

Aluminium Production (kt) CoP (in $/t, RHS)


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

− 211mt Coal block at BALCO


Notes. 1. Q1 FY2013 annualized

Aluminium - Lower Half Cost Position

Source: Wood-Mackenzie for Aluminium C1 cost curve, VAL and BALCO shown at

reported costs in Q1 FY2013

0

1,000

2,000

3,000

Al Composite cost -c1 cash cost

($/t)


Aluminium Smelter Costs (C1 Cash Cost Curve)

VAL($ 1,845/t)1

25% 50% 75%

BALCO($ 1,910/t)1

Strong Focus on Exploration


� 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

Zinc India Iron Ore

India

� Added net 68mt in

FY2012, 18 year

mine life2

� R&R increased from

190mt 3 at

acquisition to

374mt – added 3.4x

times mined out

Liberia

� 1bn tonnes R&R

� Aeromagnetic study

and 25,000+metres

drilling indicates

strong potential

upside

� 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

� 17 year R&R life

Oil & GasCopper-Zambia

� R&R increased to

689mt from 457mt

at acquisition

� 24+ year mine life

with high grade at

KDMP

� Added mine life at

all three assets

� Current mine life:

− Skorpion:

5+years1

− BMM: 10+years

− Lisheen: 3years

� 186mt Gamsberg

deposit feasibility

study underway

Zinc-Intl

Notes: 1. With some additional work for conversion of resources to reserves

2. At capacity for current producing assets, subject to approvals

3. 120mt excluding Orissa from Sesa Goa acquisition, and 70mt from Dempo acquisition

Creating Long Term Value through Exploration

Financials

D.D. Jalan

Chief Financial Officer

� Track record of delivering strong margins

− Driven by a diversified portfolio of high growth assets

− Cairn India has contributed to the diversity and scale of cash flow generation

� Substantially invested projects to drive free cash flow

� Progressive dividend policy, CAGR of 17% over the last 5 years

Financial Highlights

$mn or as stated

FY2012 proforma with

Cairn FY2012 FY2011

EBITDA 5,353 4,026 3,567

EBITDA margin1 (%) 46.7% 40.6% 44.6%

Underlying Attributable PAT2 571 387 715

Underlying EPS($/share)2 2.09 1.42 2.63

Free Cash Flow before Growth Capex 3,128 2,534 2,347

Growth Capex3 2,728 2,398 2,517

Total Dividend (USc/share) 55.0 52.5

Notes: 1. Excludes custom smelting operations

2. Based on profit for the year after adding back special items and other gains and losses, and their resultant tax and minority interest effects

3. Excludes sustaining capex


1.00.5 0.1 0.3

3.0

2.21.5

1.3

3.10.5

1.3

0.4

0.32.3

4.1

2.4 2.7

0.7

3.2

4.5

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

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/BB1


Notes: All information as of 31 March 2012, except information on refinancing1. 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)

Debt Maturity Profile ($bn)2

$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

30

US$1bn maturities at plc in FY2013: $550mn refinanced to date

Group Simplification to Reduce Debt at plc

� 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


Debt Service Liability at plc ($bn)

9.8

(3.1)

3.9

(2.8)

0

5

10

Service Liability Pre Transaction

Service Liability Post

Transaction

Debt transferred toSesa Sterlite;

guarantee continued by Vedanta

Note: Numbers as of 31 March 2012

Intercompany receivable created

at Vedanta, from Sesa Sterlite

Sustainable Development

Tony Henshaw

Chief Sustainability Officer

Sustainability Model

� Embed sustainable development into every aspect of what we do

� To improve our health and safety performance for a safer, more secure and healthier

environment

� To contribute further and in a more targeted way to local communities

� To continue to manage and minimize our impact on air, water and land

� To maintain a dialogue with stakeholders to help us further understand what is needed to help

support a sustainable society and planet


Responsible Stewardship – Health & Safety

Health

� Investing in technologically advanced

processes that reduce possible

exposure levels at work area

� Regular medical check ups - Over

87,000 medical examinations conducted

in FY2012

� Monitoring and review of industrial

hygiene parameters such as noise

exposure, illumination levels and

manual handling


Vedanta is committed to providing a safe, injury-free and healthy place to work

Safety

� Goal is to reach & sustain “Zero Harm”

� 48% reduction in LTIFR in last five

years

� Focused programme on elimination of

unsafe conditions across units

� Exco sub-committee on sustainability

formed - current focus is on safety

performance

� 134,000 man hours of safety training

imparted last year

� Targeting LTIFR less than 0.80 in

FY2013 and less than 0.50 by FY2016

1.9 1.7 1.51.1 1.0

FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

-48%LTIFR

Responsible Stewardship – Environment

Water

� Doubled water recycling to 55.7MCM in FY2012

� 14.5MCM of rainwater harvested in FY2012

Energy

� Energy saving target for FY2013 is 3.9mn GJ,

equivalent to 120MW power station

Climate Change

� 274MW wind power capacity

� 61MW generated from waste heat

� 16.2% decrease in GHG emissions (scope 1 & 2)

per total revenue

Solid Waste

� More than 70% of non-hazardous waste

generated is constructively utilised

� Extensive research with best institutes in India

to constructively utilize Jarofix and Red mud


Vedanta is committed to mitigating the environmental impact of our activities

Adding and Sharing Value – Our Communities

� Community programmes reaching 3.1 million

people in India and Africa

� Community spend of US$38 million in FY2012

� Working in partnership with 149 NGO’s and

academic institutions

� Focus areas– Child Care, Education, Women

Empowerment, Sustainable Livelihood , Health

Water & Sanitation and Bio-Investment

� US$4.8 billion1 total contribution to Indian

government exchequer in FY2012


Working in partnership with our communities is an integral part of our strategy

350 bed Cancer Research Hospital at Raipur - US$61mn investment

Notes. 1. On a proforma basis including incl $2.8bn by Cairn India for full year FY2012

Assurance – Scott Wilson

� Vedanta sustainability framework of policies and technical standards completed

� The framework has been reviewed independently for compliance with the IFC performance

standards, the ICMM guidelines and the UN Global Compact

� Scott Wilson – 17 points closed, 6 points awaiting review for closure, 4 to be closed by the end

of year

− Final sign off by June 2013


Formalizing our approach to international standards and best practices

.

Please email us at :

[email protected]

For more information visit

www.vedantaresources.com/sustainability/

www.vedantaresources.com

Please write to us at :

Vedanta Resources plc

5th Floor, 16 Berkeley street

London W1J3DZ

Vedanta Sustainable Development Report 2011-12


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 2012


Appendix

Our Operations


India

Copper• CMT

Australia

Iron ore• Liberia Iron Ore

Assets

Liberia

Ireland

Zinc-lead-silver• Lisheen

Namibia

Zinc-lead-silver• Skorpion

Iron ore• Goa• Karnataka

Zinc-lead-silver• Debari smelter• Chanderiya smelters• Rampura Agucha mine• Dariba mine, smelters• Zawar mine• Sindesar Khurd mine

Copper• Tuticorin

copper smelter

Aluminium• Lanjigarh alumina

refinery• Jharsuguda smelter • Korba smelter and

power plant• BALCO coal block

Power• Talwandi Sabo • Jharsuguda power• MALCO power plant

Sri Lanka

Oil and Gas• Rajasthan• Cambay• Ravva• East Coast• West Coast• Sri Lanka

Copper• KCM

Zambia

Zinc-lead-silver• Black Mountain • Gamsberg

South Africa Oil and Gas• Block-1

Site visit covers Jharsuguda, Agucha, Dariba, Sindesar Khurd, Rajasthan O&G, Goa iron ore

Zinc-Lead-Silver

Iron oreOil & Gas Copper Aluminium Power

� Gamsberg - one of

the largest

undeveloped zinc

deposits: 186mt

at 6.9% grade

� 1.98GW Talwandi

Sabo by FY2014

� BALCO 325ktpa

first metal in Q3

FY2013

� BALCO 1200MW

first unit sync by

Q2 FY2013

� 36mtpa capacity

expansion

� Liberia project,

shipment from 1st

phase in FY2014

� 2013:c.240kbopd1

from Rajasthan

� 300kbopd1 basin

potential

� India: 400ktpa

expansion1

� KCM ramping up

to 400ktpa

Growth profile

1.5mtpa,

16moz silver

+Gamsberg

3.8GW,

upto 8.6 GW

(3.9GW commercial)

740ktpa,

upto 2.3mtpa

21mtpa1

+Liberia

175kbopd,

upto 300kbopd1

India: 400ktpa,

upto 800ktpa1

Zambia upto 400ktpa

Capacity

Global Diversified Natural Resources Major


Notes: 1. Subject to approvals

Well Invested Asset Base driving Growth

42

India, Ireland,

Namibia, South

Africa

IndiaIndiaIndia, LiberiaIndia, Sri Lanka,

South Africa1

Zambia, India,

Australia

Largest integrated

zinc-lead producer

One of the largest

producers in India

Strategically located

large-scale assets

Largest Indian

private iron ore

producer-exporter

One of India’s largest

private crude oil

producers

World class Zambian

operations, Indian

custom smelter

among lowest cost

smelters globally

Country and Positioning

Highlights

� Three operating blocks

− RJ current production at c.175 kbopd

− Basin potential of 300 kbopd

− Two mature blocks, effort ongoing to arrest the decline rate

� Worlds’ longest continuously heated and insulated pipeline

� 10 blocks under exploration

− Exploration success ratio c.50%

� R&R Life: 17 years

� Q1 FY 2012-13:

− Average Daily Gross operated production at 206,963 boe

− Cairn Working Interest production at 127,226 boe

Oil & Gas - Assets


Snapshot of Assets

Oil and Assets – Gross 2p (i.e. Gross Proved and Probable)

HydrocarbonsInitially In-place

(mmboe)

Reserves and Resources

(mmboe)

Rajasthan Block (RJ) - MBA Fields 2,090 636

Rajasthan Block (RJ) - MBA EOR - 308

Rajasthan Block (RJ) - Other Fields 2,088 178

Rajasthan Block (RJ) - Total 4,178 1,122

Ravva Fields 690 70

CBOS/2 Fields (in Cambay Basin) 182 13

Other Fields 792 426

Total 5,842 1,631

# Producing Blocks; *Under Force Majeure; ** Farm in agreement signed on 16 August 2012, subject to South African regulatory approvals

Working Interest

BlockWorking Interest

Rajasthan

RJ-ON-90/1# 70 %

East Coast

KG-DWN-98/2 10 %

KG-ONN-2003/1 49 %

PKGM-1 (Ravva)# 22.5 %

KG-OSN-2009/3* 100 %

PR-OSN-2004/1* 35 %

West Coast

CB/OS-2# 40 %

MB-DWN-2009/1* 100 %

Sri Lanka

SL 2007-01-001 100 %

South Africa (SA)

Block 1** 60 %

Zinc India - Assets

Highlights

� Capacity:

− 1mtpa integrated zinc-lead

− 16moz integrated silver

� High-grade mining assets

� 300+mt R&R,

− Supports long mine life of 25+

years

� Smelters and refineries located in

close proximity to mines


Snapshot of Assets

Mining AssetsReserves (mt)

Resources (mt)

Reserve Grade-Zn

Reserve Grade-Pb

Capacity- Ore (mtpa)

Rampura Agucha Mine 69.3 41.1 13.7 % 1.9 % 6.2

Sindesar Khurd Mine 21.6 59.8 4.5 % 2.7 % 2.0

Rajpura Dariba Mine 8.8 43.5 6.3 % 1.7 % 0.9

Zawar Mines 7.8 64.1 3.6 % 2.0 % 1.2

Kayar Mines 1.8 9.5 12.6 % 1.8 % 1.0 *

Bamnia Kalan Mines - 5.1 - - NA

Total 109.3 223.1 10.6 % 2.0 % 10.3

Other Assets

Capacity-Refined Zinc (kt)

Capacity-Refined Lead

(kt)Capacity-Silver (t)

Capacity-Captive

Power (MW)

Capacity Total Zinc-Lead (kt)

Chanderiya Smelting Complex 525 85 168 234 610

Pyrometallurgical Lead Zinc Smelter 105 35 168 - 140

Hydrometallurgical Zinc Smelter 420 - - - 420

AusmeltTM Lead Smelter - 50 - - 50

Dariba Smelting Complex 210 100 - 160 310

Hydrometallurgical Zinc Smelter 210 - - - 210

Lead Smelter - 100 - - 100

Debari Smelter - Hydrometallurgical Zinc Smelter

88 - - - 88

Pantnagar Silver Refinery - - 350 - -

Zawar Mining Complex - - - 80 -

Total 823 185 518 474 1,008

Note: * Refers to 1mtpa Kayar mine project which is under development and is not considered in total capacity

Other Assets Capacity Zn (kt)

Skorpion Integrated Zinc Refining1 150

Zinc International - Assets

Highlights

� Capacity: 150kt integrated zinc, 248kt zinc- lead mined metal

� 270+mt R&R, supports long mine life: Skorpion : 5+ years1, Lisheen : 3 years, BMM – 10+ years

� Gamsberg: Total resources of 186mt within 2 ore bodies

− 154mt at Gamsberg North at 6.3% Zn

− 32mt at Gamsberg East at 9.8% Zn

− Potential to produce 400ktpa zinc at Gamsberg North

− Implies a mine life of over 20 years


Snapshot of Assets


Resources (mt)

Reserve Grade-Zn

Reserve Grade-Pb

Skorpion Mine 6.5 2.6 9.7 % -

Lisheen Mine 3.8 1.7 11.2 % 1.7 %

Black Mountain Mine 8.2 63.8 2.5 % 2.8 %

Gamsberg - 186.3 - -

Notes: 1. With some additional work for conversion of resources to reserves

Iron Ore – India Assets

Highlights

� Capacity:

− Goa: 14.5mtpa

− Karnataka: 2.3mtpa1

� 374mt R&R

− Supports long mine life of 18+

years2

� Favorable logistics – Goa mines

located in proximity to port


Snapshot of Assets

Mining Assets

Proved and Probable

Reserves (mt) Grade-Fe

Mining Capacity (mt)

Target Mining Capacity (mt)

Goa 132.5 55.1% 14.5 27.0

Karnataka – A Narrain 34.2 57.1 % 2.31 9.0

Total 166.7 55.5 % 16.8 36.0

Other AssetsCapacity- Pig Iron(kt)

Capacity-Metcoke(kt)

Capacity-Power (MW)

Amona 250 280 -

Amona-expansion 375 280 30

GEPL - - 30

Total 625 560 60

1. CEC approved provisional capacity of 2.29 mt2. At capacity for current producing assets, subject to approvals

Goa

Karnataka

Iron Ore – Liberia Assets

West Africa – the next Major Iron Ore hub

� 34bn tonnes of Iron Ore resources identified in West

Africa

� Potential to develop into a 100mtpa Iron Ore

exporting region

Entry into Liberia

� 51% stake acquired in WCL Liberia

� 1bn tonnes R&R across 3 deposits, close to coast

� 2 existing piers and stacking area at port

� Favourable logistics - 70-140km from port, lowest

amongst other players


Vedanta Liberia Iron Ore

Asset Type R&R

Mano River Brownfield 80 mt

Bea Mountain Greenfield 923 mt

Bomi Hills Brownfield 50 mt

Distance key(km)

Bomi Hills

Bea Mountain

Mano River

Asset Key

0 50 100

Western Cluster Mines

Other Iron Ore Mines

Railway

Major Roads

Vedanta

Putu(Severstal)

Bong(Wuhan

Steel)

Mount Nimba(ArcelorMittal)

Liberia

Proposed SimandouRailway

Buchanan

Greenville

Dida

Monrovia

Robertsport

Copper- India/Australia - Assets

Highlights

� One of the lowest-cost custom smelters globally

� Stable volume and cost performance


Other Assets

Copper Anode (kt)

CopperCathode (kt)

Rod (kt)

Sulphuric Acid (kt)

PhosphoricAcid (kt)

CaptivePower (MW)

Tuticorin Copper Smelter 405 205 96 1,300 230 47

Silvassa Copper Refinery - 200 172 - - -

Fujairah - - 100 - - -

Total 405 405 368 1,300 230 47

Snapshot of Assets


Reserve Grade-Cu

Resources (mt)

Resources Grade-Cu

Mt. Lyell (CMT) 6.0 1.23 % 31.5 1.11 %

Copper- Zambia - Assets

Highlights

� Konkola - one of the largest

high-grade copper mines with

3%+ grade

� Well-invested assets: smelter,

concentrators, refinery


Snapshot of Assets


Reserve Grade-Cu

Resources (mt)

Resources Grade-Cu

Capacity-Ore (mtpa)

KCM (Konkola, Nchanga,etc)

369.9 1.63 % 319.0 2.38 % 7.5

Other Assets

Capacity-Copper

Conc.(mt)

Capacity-Copper

Anode(kt)

Capacity-Copper

Cathode(kt)Capacity-

AcidCapacity-Pyrites

Nchanga 7.5 311 75 585 -

Concentrator 7.5 - - - -

Smelter - 311 - 585 -

Tailings Leach Plant - - 75 - -

Konkola 6.0 - - - -

Concentrator 6.0 - - - -

Nkana - Refinery - - 300 - -

Nampundwe - Pyrites - - - - 60

Total Smelting and Refining

13.5 311 375 585 60

Aluminium - Assets

Highlights

� 2.3mt integrated Aluminium

� Proximity to coal and bauxite

� Competitive cost position – Second

quartile


Snapshot of Assets


Reserve Grade-Al

Resources (mt)

BALCO 7.2 46.4% 30.7

Mainpat 3.4 46.1 % 5.0

Bodai- Daldalli 3.8 46.6 % 2.0

Pandrapat - - 8.0

Jamirapat - - 15.7

Other Assets

Capacity

Alumina (kt)

CapacityAluminium

(kt)

CapacityCaptive

Power (MW)

CapacityCommercial Power (MW)

Balco

Smelter - 245 540

IPP - - 270

Expansions - 325 600 600

VAL

Alumina Refinery 1,000 - 90

Smelter - 500 1,215

Expansions 4,000 1,250 210

Total Current Capacity 1,000 745 1,845 270

Total Capacity 5,000 2,320 2,655 870

Power - Assets

Highlights

� Single location 2,400 MW power plant

� Proven execution skills with experience in building &

operating large power projects

� Proximity to coal


HZL-WPP (not shown on map) includes wind power plants at Rajasthan (89MW), Gujarat (89MW), Maharashtra (26MW), Karnataka (49MW) and Tamil Nadu (21MW)

Snapshot of Assets

Power Plants

Capacity

(MW)

Malco 100

HZL – WPP 274

SEL 2,400

Entity-Wise Cash and Debt Details


Net Debt Summary ($mn)

31 Mar 2011 30 Sep 2011 31 Mar 2012

Company Debt Cash & LI1 Net Debt Debt Cash & LI1 Net Debt Debt Cash & LI1 Net Debt

Vedanta plc2 4,557 265 4,292 6,340 1,136 5,204 9,263 205 9,058

Sterlite standalone incl. CMT 746 1,139 (394) 636 771 (135) 565 758 (193)

Zinc India - 3,403 (3,403) - 3,384 (3,384) - 3,574 (3,574)

Zinc International 32 392 (360) 28 306 (278) 9 215 (206)

BALCO 518 68 451 618 26 592 711 49 662

Sterlite Energy Ltd 597 92 505 910 15 895 1,175 37 1,138

Others 24 27 (4) 52 - 52 53 1 51

Sterlite Consolidated 1,917 5,122 (3,205) 2,244 4,501 (2,258) 2,511 4,633 (2,122)

Vedanta Aluminium Ltd 2,810 115 2,695 2,825 15 2,810 3,505 85 3,420

Copper Zambia 256 6 250 765 - 765 750 42 709

Sesa Goa 212 2,194 (1,982) 867 220 648 681 118 564

MALCO - 74 (74) 16 17 (1) - 6 (6)

Cairn India - - - - - - 244 1,797 (1,553)

Total (in $mn) 9,753 7,777 1,9703 13,056 5,889 7,1664 16,955 6,885 10,0645

Note: 1. Liquid Investments

2. Includes Investment Companies

3. Includes $5 million debt related derivative



52

Credit Metrics


FY2011 FY2012 Covenant

Net Debt/EBITDA 0.55 x 1.9 x < 2.75 x

EBITDA/Gross Interest Expense1 5.0 x 4.5 x > 4.0 x

Tangible Net Worth ($bn) 5.5 4.5 > 3.0

Net Assets/Debt 2.61 x 2.47 x > 1.75 x

Gearing2 13% 35%

Note: 1. Interest includes Capitalized Interest

2. Gearing is calculated as Net Debt divided by the sum of Net Debt and Equity

53

Group Structure Simplification Status


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 / Transaction completion CY 2012

54

Group Structure Simplification on Track

Proposed New Group Structure


Konkola Copper

Mines (KCM)

58.3%

Vedanta Resources

100%64.9%

Zinc India (HZL)

AustralianCopper Mines

Sesa Sterlite

Cairn India

58.8%

79.4%

Subsidiaries of Sesa Sterlite

� Iron Ore (Sesa Goa)

� Copper Smelting (Tuticorin)

� Power (2,400MW Jharsuguda)

� Aluminium (VAL aluminium

assets)

Divisions of Sesa Sterlite

Option to increase stake

to 94.4%

Unlisted entitiesListed entities

Note: Shareholding based on basic shares outstanding

Talwandi Sabo Power (1,980MW)

100%

VAL Power and MALCO Power

(1,405MW)

100%

Skorpion & Lisheen -100%

BMM -74%

100%

Zinc International

51%

Bharat Aluminium (BALCO)


to 100%

51%

Western Cluster (Liberia)


to 100%

55

Vedanta Group Structure


Zinc IndiaCopperAluminium Iron ore Power

KEY

Konkola Copper

Mines (KCM)

54.6%

Vedanta Resources(Listed on LSE)

Madras Aluminium (MALCO)

94.8%

51.0% 100%64.9%

70.5%

29.5%

Zinc India(HZL)(Listed on BSE

and NSE)

AustralianCopper Mines

Bharat Aluminium (BALCO)

Sterlite Energy

100%

Sterlite Industries(Listed on BSE, NSE and NYSE)

VedantaAluminium

(VAL)

79.4%

Sesa Goa (Listed on BSE

and NSE)

55.1%

3.6%

51%

Skorpion and Lisheen

Black Mountain

100% 74%

Zinc International

Cairn India Ltd(Listed on BSE

and NSE)

38.7%

20.1%

Liberia Iron Ore Assets

Oil & GasZinc International

Note: Structure as at 31 March 2012

56

Vedanta Resources Plc India Operations Site Visit: Corporate Presentation

Investor Relations

Transcript of Vedanta Resources Plc India Operations Site Visit: Corporate Presentation