#1Corporate Presentation Hindustan Zinc Limited October, 2017 OUR ZINC PROTECTS STRUCTURES FOR FUTURE GENERATIONS FA vedanta ZINC LEAD | SILVER transforming elements AND GENERATIONS FOR OUR FUTURE#2Safety & Environment - LTIFR Trend Vision Zero Harm 1.01 0.88 0.85 0.50 0.30 12-13 13-14 14-15 15-16 16-17 Water Conservation • Zero discharge • 33% total water requirement met from recycling/ reuse water (2017) Water CDP disclosure 2017 N vedanta transforming elements Specific Water Consumption (M³ / MT of MIC) 14.56 13.78 13.70 15-16 16-17 17-18 (Target) 127% increase in lead indicators reporting last 2 years Zero occupational illness cases • Safety perception score improvement from 62% to 88% 0.39 0.30 LTIFR Benchmarking (One million man-hours) 1.85 1.40 1.30 0.49 1.20 Climate Change & Energy 10 UNFCCC projects Specific Energy Consumption (GJ / MT of MIC) 21.33 • 325 MW green power 9% specific energy reduction (2017) • CDP disclosure 2017 & Scope 3 GHG emission Waste Management • Fumer project for waste minimisation Paste fill plant at SKM and RAM UG 23.49 21.30 15-16 16-17 17-18 (Target) Total Waste Generation (Million MT) 75 49 44 HZL Vedanta Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Source: SD report 2016 of all companies • Focus on value from waste · Paver block from 15-16 16-17 waste 17-18 (Target) *Waste includes mining waste 2#3Corporate Overview N vedanta transforming elements 2nd largest zinc-lead miner globally with 12 million+ MT of ore production capacity Rampura Agucha: 2nd largest zinc mine globally 4th largest zinc-lead smelter globally: 1 million+ MT of production capacity 18th largest silver producer of the world* One of the lowest cost zinc producers in the world 3 mines with five-star ratings by Indian Bureau of Mines Vision: To be the world's largest and most admired zinc-lead & silver company 005 Rankings source: (1) Wood Mackenzie, Long-Term Outlook Q2 2017 (2) For HZL related data, actuals for FY 16-17 * Source: Thomson Reuters 3#4What Differentiates Us? Core Strengths 1 Captive mines with R&R base of 404.4 million MT ensuring mine life of 25+ years 3 2 Integrated metal production supported by captive power plants Low cost of operations driven by quality assets and recovery from waste 4 Market leadership in India with strong presence in emerging economies of Asia 2500 Z vedanta transforming elements Among the Lowest Cost Producers of Zinc Zinc Mine Composite Costs Curve 2250 2000 1750 1500 C1 Cash Cost ($/t Zn) 1250 1000 750 500 250 Hindustan Zinc Peer 1 Peer 2 Peer 3 Peer 4 0 0 10 20 30 40 50 60 70 80 90 100 Cumulative Production (Percentile) Source: Wood Mackenzie Research (Q2 2017) Note: C1 cash cost includes by-product credits Leading the Way with Fully Integrated Operations 4 Peer 5#5Portfolio of Tier 1 Assets - N vedanta transforming elements Rampura Agucha Mine Reserves Resources Reserve Grade 49.7 mn MT : 50.3 mn MT Zn 13.9%, Pb 1.9% Current Ore Capacity : 6.15 mtpa Kayad Mine Reserves Resources Reserve Grade : 5.4 mn MT : 1.7 mn MT : Zn 7.8%, Pb 1.1% Current Ore Capacity: 1.00 mtpa Chanderiya Smelting Complex Pyrometallurgical Lead Zinc Smelter: 1,05,000 MTpa zinc and 35,000 MTpa lead Hydrometallurgical Zinc Smelter: 4,20,000 MTpa zinc AusmeltTM Lead Smelter: 50,000 MTpa lead Captive Power Plant: 234 MW Sindesar Khurd Mine Reserves Resources Reserve Grade : 35.6 mn MT : 87.2 mn MT : Zn 4.2%, Pb 2.9% Current Ore Capacity: 4.50 mtpa Rajpura Dariba Mine Reserves Resources : 9.0 mn MT : 50.3 mn MT Dariba Smelting Complex Hydrometallurgical Zinc Smelter: 2,10,000 MTpa zinc Lead Smelter: 1,00,000 MTpa lead Captive Power Plant: 160 MW Zinc Smelter Debari Hydrometallurgical Zinc Smelter: 88,000 MTpa zinc Reserve Grade : Zn 6.3%, Pb 1.5% Current Ore Capacity: 0.90 mtpa Zawar Mining Complex Reserves Resources Reserve Grade Current Ore Capacity CPP : 9.5 mn MT : 85.7 mn MT : Zn 3.3%, Pb 1.8% : 4.00 mtpa : 80 MW Pantnagar & Haridwar Processing and refining of zinc, lead and silver Renewable Power Wind: 274 MW Solar: 16 MW Waste heat recovery: 35 MW 5#6Strong Track Record of Growth Reserves & Resources (mn MT) – 2.5X Growth Mined Metal (kt) - 3X Growth Z vedanta transforming elements 404 390 365 375 348 332 840 830 870 880 887 889 907 313 299 769 735 272 88 113 106 110 92 * * 145 151 629 232 572 86 84 210 178 165 223 239 261 267 283 295 532 146 197 216 67 409 60 183 364 152 133 298 54 22 98 109 92 36 651 683 752 739 765 770 774 744 756 472 505 551 54 67 69 77 80 89 102 97 109 110 104 108 107 109 262 317 355 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Reserve Resource -Net R&R Ore Production (mn MT) - 3.5X Growth MIC - Zinc MIC - Lead -Total Mined Metal Silver Metal - Integrated Saleable (MT) - 9X Growth 11.9 10.5 453 422 9.3 9.4 8.6 8.0 7.5 7.1 6.7 2.5 3.8 6.0 8.6 5.8 1.4 2.1 4.4 288 301 266 4.8 5.1 1.7 2 202 3.9 3.6 1.7 3.1 1.3 1.4 139 148 1.5 1.4 6.1 1.3 5.9 6.1 105 5 5.1 5.5 3.5 3.7 4.1 5.0 80 4.5 1.8 2.2 2.5 47 51 3.3 35 24 11 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Ore (OC) Ore (UG) Total Ore Production Multi-fold growth since disinvestment 6#7EPS 25.00 20.00 15.00 10.00 Robust Financial Performance EBITDA 120.00 100.00 80.00 60.00 40.00 20.00 FY02 FYOZ FY03 FY03 FY04 FY04 FY05 FY05 FY06 FY06 FY07 FY07 FY08 FY08 FY09 FY09 FY10 FY10 FY11 FY11 FY12 FY12 FY13 FY13 FY14 FY14 FY15 FY15 FY16 FY16 FY17 FY17 5.00 90.00 80.00 70.00 60.00 50.00 40.00 30.00 20.00 10.00 . Rs. bn PAT Rs. bn Cash & Cash Equivalents* Rs. Market Cap 1,400.00 1,200.00 1,000.00 800.00 600.00 400.00 200.00 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY15 Rs. bn FY16 FY17 400.00 350.00 300.00 250.00 200.00 150.00 100.00 50.00 FY02 FY03 LME Price 4,000 3,500 3,000 2,500 2,000 1,500 1,000 EBITDA CAGR 28% despite Zinc LME growth of only 7% 500 FY02 FY03 FY04 FY05 FY06 FY07 FY08 *net off dividend accounts & temporary borrowings; includes investments at fair value & interest accrued thereon FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 7 FY09 FY10 Z FY11 FY12 FY13 FY14 FY15 FY16 FY17 Zinc LME Lead LME $/MT vedanta transforming elements Rs. bn Special Dividend payout#8History of Project Delivery Captive Power 314 394 474 MW 80 MW Debari 154 277 MW Chanderiya 2005 234 80 MW Chanderiya 80 MW Zawar 80 MW Dariba 2008 2009 2010 2011 2012 Pb Smelter Dariba (100 kt) Silver refinery Pantnagar (500 MT) 2010 Z vedanta transforming elements 2012 2013 2017 SKM 3 to 3.7 mtpa RAUG 1.4 mtpa SK Mill commissioned 2016 SKM 2 to 3 mtpa Production commenced at Kayad Mine SKM 0.3 to 2 mtpa Zn Hydro-3 at Dariba (210 kt) 2010 RA OC 5 to 6 mtpa 2008 Zn Hydro-2 at 2009 Chanderiya (170 kt) RA OC 3.75 to 5 mtpa Smelters 2005 2006 Ausmelt at Chanderiya (50 kt) 2007 SKM 0.3 mtpa Zn Hydro-1 at Chanderiya (170 kt) 2005 RA OC 2.3 to 3.75 mtpa Mines 8#9Mine Expansion Project Overview Z vedanta transforming elements Underground Mines Ore Capacity Expansion 3.8 mtpa 17.5 mtpa 4.0 3.3 4.5 2.0 0.9 1.0 1.2 0.6 RAUG SKM Kayad Zawar RDM Pre Expansion Planned (FY 2020) OC to UG Transition UG ramp up 5 year CAGR 39% 17.5 12.1 10.5 9.3 9.4 Mine expansions in sync with increasing R&R 17.5 3.8 4.4 6.0 8.8 • Five major projects to increase MIC capacity to 1.2 mtpa, including RAM OC replacement 5.5 5.0 4.5 • Transition from Open Cast to UG mining 3.3 • Smelters' debottlenecking to remain integrated FY 14 FY 15 FY 16 FY 17 FY 20 • Six year capex of $1.6 bn; ~$1 bn spent Open Pit ■UG 9#10Smelters - Equipped for 1.2 mn MT Process & Technology Metal Process Hydro Metallurgy Zinc Pyro Metallurgy Technology Outokumpu roast-leach-electro winning technology Imperial smelting technology Imperial smelting technology Z vedanta transforming elements Smelter Debottlenecking Phase 1: December 2017 • . • Cell house operation @ 200 KA from 180 KA Upgradation of Roaster leaching circuits Mechanisation of cell house at Debari zinc plant Phase 2: December 2018 • Expansion of Dariba zinc cell house Leaching & purification circuit debottlenecking @ Dariba • Oxygen enrichment in roasters to increase throughput • Lead Pyro Metallurgy Ausmelt Top Submerged Lance technology SKS, bottom blowing technology Metal Recovery in Hydro 120.00 100.00 96.75 97.50 90.00 80.00 60.00 40.00 20.00 Metal recovery % Smelter Capacities After Debottlenecking kt 1400 1200 92.60 1200 1074 1028 92 1000 88 92 460 800 320 334 600 400 0.00 0.00 620 648 648 200 Zinc Lead Silver 0 Current Phase I Phase II Exisiting Metal Recovery Enhanced metal recovery with fumer (pilot project commissioning in mid FY 2019) Chanderiya Dariba Debari -Total 10#11Resource Driven Growth Sustained Commitment to Exploration →> Strong Track Record of R&R Addition 450 400 350 27.5 300 Mn MT 10 Year R&R Trend 40 • 36.1 36.1 34.7 35 35.2 35.3 34.1 34.1 35 31.5 30 25 295 250 283 267 239 261 20 223 20 200 197 216 183 152 150 100 N vedanta transforming elements • R&R 404 MT in 2017 - underpins 25+ years of production at current rate R&R estimation to the JORC standard and audited by international consultants Drill 80,000+ metres pa to add new resource tonnage Clear exploration strategy to grow R&R Use of latest global technologies 15 • 10 10 50 102 109 80 89 97 110 104 108 107 109 5 0 0 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Reserve Resource Contained Metal Every year since disinvestment, we have added more than depleted 11#12Corporate Social Responsibility N vedanta transforming elements Vision To enhance the quality of life and economic well being of communities around our operations. Goals • To positively & holistically impact the quality of life of the communities living around our areas of operation. • To work in partnership through a multi-stakeholder approach for innovatively, effectively and efficiently addressing development challenges. • To emerge as a thought leader, creating benchmarks of good practices in CSR across Rajasthan & country. Core Principles Neighbourhood Communities Our first and foremost commitment The Partnership Multiplier Work, as much as possible, through strong and credible local partners Impact Centric In almost everything we do, we focus on impact rather than on spends Reach Over half a million people in Rajasthan; positively impacting lives of more than 100,000 households Strong Governance Multi-tiered and objective governance structures and routines HZL is proud to have had an unbroken social license to operate for the last 5 decades 12#13Focus areas Touching Lives of Neighbourhood Communities 18 N vedanta transforming elements Education Sustainable Livelihoods Women's Empowerment Health, Water & Sanitation Sports & Culture Environment Community Assets Creation 'Ajmer Dargah Complex' A Swachh iconic place Clean Ayad river, the lifeline of Udaipur (STP) Project Gulshan 'Samadhan' Integrated agriculture and livestock development 'SAKHI'- Women's empowerment initiative Culture Children (0-6 Years) Students Environment Communities Rural Youth Farmers Women Nandghar; Khushi Anganwadi Shiksha Sambal Unchi Udaan HZL Mining Academy Football Academy Specially Abled Jeevan Tarang... Zinc Ke Sang 13#14Way Forward 1.5 mtpa capacity under planning च Shaft and decline integration Multi-level mining Digital transformation New prospects & tenements R&R addition 1.2 mtpa capacity by FY 2020 25+ years of mining R&R with potential of 1.2 mtpa Transition to UG progressing smoothly Shaft commissioning on track for Q3 FY 2019 Mill & smelter capacity to keep pace Reduction in COP on shaft commissioning Outlook FY 2018 Mined metal: Higher than 907 kt of FY 2017 Refined zinc-lead: 950 kt; silver: 500 +MT Marginally higher dollar COP (excluding royalty) Project Capex of $350-360 million (including ongoing mine expansions, fumer and smelter debottlenecking) (☑ vedanta transforming elements 14#15IZI vedanta transforming elements Thank You