#10000 Many Reasons to Celebrate Many More to Look Forward to Hindustan Zinc Limited Investor Presentation FY 2021-22 vedanta FZI HINDUSTAN ZINC Zinc & Silver of India transforming for good#2Cautionary Statement and Disclaimer The views expressed here may contain information derived from publicly available sources that have not been independently verified. 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 Hindustan Zinc Limited. Past performance of Hindustan Zinc 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- looking statements by their nature address matters that are, to different degrees, uncertain. For us, uncertainties 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 environmental, climatic, natural, political, economic, business, competitive or regulatory nature. These uncertainties may cause our actual future results to be materially different that those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements. We caution you that reliance on any forward-looking statement involves risk and uncertainties, and that, although we believe that the assumption on which our forward-looking statements are based are reasonable, any of those assumptions could prove to be inaccurate and, as a result, the forward-looking statement based on those assumptions could be materially incorrect. This presentation is not intended, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities in Hindustan Zinc or undertakings or any other invitation or inducement to engage in investment activities, nor shall this presentation (or any part of it) nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision. mm ESG. ECO Confidential Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India BIO H₂O 2 SAFE SMART SUSTAINABLE#3Hindustan Zinc Limited (HZL): A fully integrated mining to metal Company HINDUSTAN ZINC Zinc & Silver of India A subsidiary of Vedanta Limited, we are headquartered in Udaipur, Rajasthan. We operate mines, smelters & refineries and captive power plants and also engage in exploration. Uniquely positioned in the metal and mining landscape السل India's largest & only integrated producer of zinc, lead and silver World's 2nd largest integrated zinc producer and one of its lowest-cost producers globally 6th largest silver producer globally World's Largest underground (UG) zinc mining operations at Rampura Agucha 80% Market share in India's primary zinc market 25+ Years Mine Life Focused on creating accretive value for all stakeholders VALUE CREATED * 33,988 crore Gross Income (including GST) *718 crore Employees 191 crore Community *11,422 crore Taxes& VALUE RETAINED * 23,052 crore Retained Earnings^ * 8,955 crore Suppliers * 7,606 crore Shareholders & Gross contribution to exchequer * 15,676 crore including dividend of 2,246 crore As on March 31, 2022 Confidential Sensitivity: Public (C4) ****** SAFE SMART Ө 3 SUSTAINABLE#4Leading Ahead and Positioned for Long-term with Integrated Operations HINDUSTAN ZINC Zinc & Silver of India Ore Production 16.34 Mt Strategic Edge ■ World-class operations and mining practices ■ High safety standards ■ Trained workforce Strategic Focus ■ Capacity expansion and sustaining UG operations ■ Cost optimisation Total R&R 447.9 Mt Strategic Edge ■Mine life of 25+ years ■ Efforts to delineate & upgrade Strategic Focus ■ Augmentation of R&R base to 500+ Mt ■ Enhancement of ore reserve to 200 Mt Metal Capacity 1.123 Mt Strategic Edge ☐ ■ Fully integrated Optimised operations supported by captive power Proximity to mines Strategic Focus ■ Debottlenecking of smelters ■ Increase in value-added product Better utilisation of waste Captive Power Plants (CPP) 586.59 MW Strategic Edge ■ Low-cost & reliable power to own operations ■ Streamlined demand pattern analysis Strategic Focus ■ Enhance solar capacity ■ Enhance efficiency thermal power capacity Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө SUSTAINABLE 4#5Performance in FY 2021-22 HINDUSTAN ZINC Zinc & Silver of India Ore Mined Zinc Mined Metal Lead Mined Metal 2020-21 2021-22 2020-21 2021-22 2020-21 2021-22 Particulars ('000 ('000 ('000 Grade Tonnes) Tonnes) Tonnes) (%) ('000 Tonnes) Grade (%) ('000 Tonnes) Grade (%) ('000 Tonnes) Grade (%) Rampura Agucha 4,273 4,511 415 10.89 455 11.16 38 1.61 46 1.64 Sindesar Khurd 4,842 5,230 157 3.39 166 3.33 100 2.20 97 2.02 Rajpura Dariba 1,215 1,252 38 4.60 41 4.78 8 1.22 7 1.08 Zawar 3,951 4,411 89 2.48 100 2.45 62 1.86 61 1.55 Kayad 1,175 934 56 5.15 40 4.57 7 0.80 5 0.66 Total 15,456 16,339 756 5.45 801 5.43 216 1.78 216 1.65 Confidential ENTRY SOUTH RAMP Sindesar Khurd Mine Inandations Dewatering Sensitivity: Public (C4) ANY SECTION 5-7 ->>>>>> SAFE SMART Ө 5 SUSTAINABLE#6Strong Operational Asset Base Confidential LO 5 MINES 1. Rampura Agucha Mine (RAM) 2. Sindesar Khurd Mine (SKM) 3. Zawar Mining Complex (ZM) 4. Rajpura Dariba Mine (RDM) 5. Kayad Mine (KM) SMELTERS 1. Chanderiya Lead-Zinc Smelter (CLZS) 2. Dariba Smelting Complex (DSC) 3. Debari Zinc Smelter (DZS) Rajasthan 1 22 4 1 3 1 M Sensitivity: Public (C4) HEADQUARTER 1. Udaipur HINDUSTAN ZINC Zinc & Silver of India ->>>>>> SAFE SMART Д SUSTAINABLE 6#7Strong Operational Asset Base MINES R&R SUMMARY HINDUSTAN ZINC Zinc & Silver of India Key Stats Key Stats Mines Reserve Resource Reserve Grade Zinc Reserve Category Tonnage Zn Pb Ag Grade Pb (Mt) (%) (%) (%) (Mt) (Mt) (%) (%) Reserve 161.2 5.9 1.5 58.0 Rampura Agucha 47.0 28.0 11.8 1.3 Mineral Resource - 118.8 4.9 1.9 66.0 Mine Measured and Sindesar Khurd Mine 45.4 59.3 3.0 2.0 Indicated Rajpura Dariba Mine 28.9 38.9 4.9 1.6 Bamnia Kalan 39.5 Mineral Resource - Inferred 168.0 4.4 2.1 60.0 Kayad Mine 1.9 5.0 7.6 0.9 Zawar Mines 37.9 116.1 2.8 1.2 SMELTERS SMELTING AND POWER SUMMARY Key Stats Category Pyrometallurgi Pyrometallurgi Hydrometallur Lead Smelter Zinc Smelting Smelters cal Zinc Smelter (TPA) Chanderiya Lead-Zinc 1,05,000 cal Lead Smelter (TPA) 90,000 gical Zinc Smelter (TPA) Lead Smelting (TPA) 4,80,000 Smelter Silver Refining Thermal Power Wind Power Solar Power Dariba Smelting Complex Debari Zinc Smelter Confidential WHRB Power 2,40,000 1,20,000 88,000 Sensitivity: Public (C4) Key Stats 9,13,000 TPA 2,10,000 TPA 800 TPA 505.5 MW 273.5 MW 40.42 MW 40.67 MW SUSTAINABLE 7 ->>>>>> SAFE SMART Д#8A Portfolio with Market Leading Position and Strong Prospects HINDUSTAN ZINC Zinc & Silver of India Refined Zinc ■ Wide portfolio: special high grade (SHG), high grade (HG), continuous galvanising grade (CGG), prime western (PW), jumbo SHG and other grades used in die-casting alloys. 80% India market share (including alloys) ■ 776 kt production 20,299 Crore of revenue Outlook and growth drivers ■ 1.3% (CY 2022E) and 1.7% (CY 2023E and 2024E) global zinc consumption growth driven by de-carbonisation and infrastructure investments, especially in Asia " Strong growth in India led by 5G roll-out; 100% electrification target; 6 trillion asset monetisation pipeline (FY 2022-25) for funding infrastructure projects; Smart cities project; emerging technology for battery application Refined Lead ■ Producing lead ingots (99.99% purity) registered with LME ■ 76% India market share ■ 191 kt production ■ *3,550 Crore of revenue Outlook and growth drivers ■ FY 2022-23E price range: US$ 2,100-2,500/tonne (same as FY 2021-22 levels) ■ 1.6% (CAGR 2022-27E) global demand driven: Pent-up automotive demand from Asian countries and restocking of supply chains in North America and Europe Strong growth in India averaging 6.4% until 2031 led by automotive sector and inverter battery market key drivers; and emerging opportunity of storing electricity generated from photovoltaics Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө 8 SUSTAINABLE#9A Portfolio with Market Leading Position and Strong Prospects HINDUSTAN ZINC Zinc & Silver of India PSP11811 93. 2816 KILOS 38 947 Refined Silver ■ Portfolio: 1 kg Silver bars, Silver powder and Silver nitrate ☐ 647 MT production ■ * 4,206 Crore of revenue Outlook and growth drivers ■ FY 2022-23E prices: US$ 21-25 band as demand rises led by war, trade implications and weak world economy ■India remains a strong market: 3rd largest physical investment market; emergence of Amazon and Flipkart as an alternate buying destination; digital silver and silver ETFs gaining popularity post SEBI approval Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART D SUSTAINABLE 9#10Celebrating a Year of Record Performance and Achievements Delivering Record Performance Highest-ever Ore production of 16.3 Mt (16%) Mined metal production of 1,017 kt (15%), crossing one million tonne mark Internationally Recognised Operational Performance Sword of Honour 2021 From the British Safety Council for CLZS CPP and Debari Zinc Smelter for excellence in managing health and safety risks National Award for Manufacturing Competitiveness - 2021 'Gold Medal' for SK Mine from International Research Institute for Manufacturing, India CII DX award HINDUSTAN ZINC Zinc & Silver of India For 'Most Innovative Best Practice in Supply Chain & Logistics' National Safety Award For Kayad Mine (FY 2019-20 and FY 2020-21) from the Ministry of Labour and Employment, Gol Refined metal production of 967 kt (14%) EBITDA of 16,289 Crore (↑39%) Revenue of *29,440 Crore (↑30%) PAT of *9,629 Crore (↑21%) 46th International Convention on Quality Control Circles (ICQCC) – 2021 Two awards for Rampura Agucha Mine in 'Par Excellence at ICQCC' and 'Excellence at ICQCC' categories '5 STAR RATED MINES' Award to Rampura Agucha and Kayad Mines for sustainable mining efforts Green Leaf Platinum Award in Energy Efficiency From Apex Green India Foundation for Zawar Mines for reducing carbon emission and achieving ESG common goal 'FIMI Award of Excellence in Environment', Safety & Health To Kayad Mine (in mining sector) 'Rajasthan Energy Conservation Awards - 2021' Rampura Agucha becomes the only mine in the industry to win this accolade Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө 10 SUSTAINABLE#11Reinforcing Digital and Technology Focus Making Drishti Smarter for Real-time Connectivity in Mines ■ Key actions: AI/ML based analytical modules; IoT smart sensors on remote equipment; Condition-based monitoring and Real-time Reliability Health Index (RHI) of critical assets; Advanced process control at mills; Automation feature for smoke hour drilling; Automated process data analysis, 3-D mine visualisation for assets tracking Integrations achieved: Shaft system with integrated data platform; Ventilation fans and sub-stations in UG mines; Laboratories with integrated data platform Benefit: ■ Improved safety (people and assets) and availability, reliability, and efficiency of equipment ☐ Process optimisation Higher efficiency Confidential 1. N. ㅁㅁ Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India ->>>>>>> ****** SAFE SMART D SUSTAINABLE 11#12Reinforcing Digital and Technology Focus Improving Operational Efficiency with Advanced Process Controller (APC) ■ APC implemented for grinding and flotation operations (lead and zinc) ■ Operates on the principle of 'Stabilise & Optimise' Strengthening Connected Workforce with NorthStar Ensured its increased adoption as an in- house reporting, visualisation and data analytics tool to assists teams Empowered both business functions and onsite teams to effectively leverage data to streamline operations Benefit: ■ Stabilisation / reduction in standard deviation of key process parameters ■ Optimised level of concentrate and energy consumption ■ 1%+ improvement in Zn & Pb recovery ■ Improvement in grade control Benefit: Supports 500 employees across locations in decision making with 30+ live dashboards and 100+ live reports Confidential Sensitivity: Public (C4) VIK SANOMIK ->>>>>> SAFE SMART Д HINDUSTAN ZINC Zinc & Silver of India SUSTAINABLE 12#13Building Future-ready Organisation by Scaling People Competencies A Culture of Continuous Learning PGD in Business Administration from IIM Udaipur (yet to start) ■ 33 employees enrolled for MBA in Business Analytics from BITS Pilani ■ Other programs: Theory of Constraint, Six Sigma projects, Total Quality Management, HZL Mining Mate Training Competency enhancement and Contract Management (IIM Udaipur) Nurturing Talent ■ 724 employees benefited under various talent development initiatives ■ Diversity Mentoring to 168 women leaders Young Talent Mentoring to groom 89 young leaders Building Capacities HINDUSTAN ZINC Zinc & Silver of India ■ 'Ankuran' industrial relations workshop with leaders of Worker's Federation and HR Heads ■ 'Kshamta' workshop to make employees agile and flexible to adopt new technologies and concepts Great Place Great Place to Work trust score To WorkⓇ Certified MAY 2022-MAY 2023 INDIA increased to 78% from 74% 1,12,947 Learning Hours Training Man-days (14,118 Man-days) 5.68 Average Training Man-days per Executive Employee Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө 13 SUSTAINABLE#14Paving the Way for Greater Growth By Investing in our Strategic Priorities Expansion of Capacities Expand mined metal capacity (currently at 1.2 Mtpa) and ramp UG mines to deliver on it Scale smelters to 1,000-1,025 kt and silver to 800 MT and then to 1,000 MT YIAMA HINDUSTAN ZINC Zinc & Silver of India Maintaining a Portfolio of Mines with Long Life Ramp R&R Increased exploration to enhance Mineral Resource by 20 Mt Ore and by another 40 Mt Ore by FY 2024-25 Underground (UG) Production (MIC production, kt) Targeted 2024-25 2021-22 2020-21 2019-20 2016-17 2013-14 Confidential Ramping up R&R (Total R&R Mt) Targeted 2024-25 1,350 1,017 2021-22 972 2020-21 917 2019-20 481 2010-11 210 2003-04 500+ 448 448 403 313 146 SAFE SMART Sensitivity: Public (C4) Д 14 SUSTAINABLE#15Paving the Way for Greater Growth By Investing in our Strategic Priorities Strengthen Cost Leadership Drive production efficiency FY 2021-22 efforts: cell house revamp at ZSD; commissioning of APCs at three mines; ZnO treatment at Fumer Circuit CLZ; digitisation and automation; power optimisation; innovative transportation and shaft hauling processes Share of VAP in Our Sales (%) HINDUSTAN ZINC Zinc & Silver of India Expansion of Product Portfolio through Customer Centricity Scale capacities for minor metal recovery Invest in new product development, especially alloys of zinc and lead Enhancing value added portfolio share Zinc Cost of Production per Tonne Target FY 2022-23 US$ 1,125-US$ 1,175 Confidential FY 2024-25 Targeted 2024-25 2021-22 2020-21 2019-20 2018-19 <US$ 1,000 2017-18 Sensitivity: Public (C4) 24.0 20.0 15.5 21.0 16.0 12.0 ->>>>>> SAFE SMART Ө 15 SUSTAINABLE#16Paving the Way for Greater Growth By Investing in our Strategic Priorities Progressing Towards a Sustainable Future Commitment to audacious Sustainability Goals 2025 in place Efforts in GHG emissions reduction, water stewardship, circular economy, biodiversity conservation and waste management HINDUSTAN ZINC Zinc & Silver of India Confidential Road Ahead 200MW Green power additions 100% Mechanised charging at Zawar 5-year target USD 1 billion investment towards climate change initiatives 16 SAFE SMART SUSTAINABLE Sensitivity: Public/CAT#17Our Well-established Investment Proposition Production Capacities with Sustainable Mining Operations ■ HINDUSTAN ZINC Zinc & Silver of India Market understanding and leadership (capacity of 1.123 Mtpa Integrated metal, 1.2 Mtpa Mined metal, 800 tonnes Silver refining) Digital and automation capabilities, sustainable operations and trained teams Confidential Portfolio of Mines with Long Life Growing R&R (currently 448 Mt) through exploration using innovative technologies Maintained 25 years+ mine life through sustained replenishment Global Zinc Cost Leadership Remain amongst lowest cost producers of zinc-lead globally Efforts around prudent capital deployment and enhancing asset productivity with focus on cost efficiencies, volume play and automation Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө 17 SUSTAINABLE#18Our Well-established Investment Proposition Confidential SET ING Diversified Product Portfolio 20% proportion of value added products; target to further increase led by upcoming 30 kt alloys plant HINDUSTAN ZINC Zinc & Silver of India Sustainable Business with Core Focus on ESG DJSI Index 2021: #1 in Asia-Pacific, #5 globally amongst Mining & Metal companies and #1 in Environment Dimension in the sector globally S&P Global: Featured in the Sustainability Yearbook Superior Returns to Shareholders Return on net funds for business operations: 56% Strong operational cash flows: 12,691 Crore 5-year average dividend pay-out: 87% Sensitivity: Public (C4) ->>>>>> SAFE SMART Ө 18 SUSTAINABLE#19Unparalleled Operational Excellence at Mines with Focus on Innovation, Automation and Technology Mine Performance, FY 2021-22 HINDUSTAN ZINC Zinc & Silver of India 107.3 km Total Mine Development 1,017 kt Total Mined Metal (972 kt) 216 kt Mined Metal - Lead (216 kt) 16.34 Mt total ore production 5 Mines (15.46 Mt) 801 kt Mined Metal - Zinc (756 kt) Figures in bracket as for FY 2020-21 Confidential Sensitivity: Public (C4) रहर<<---- R1600H CAT SAFE SMART D SUSTAINABLE 19#20Unparalleled Operational Excellence at Mines with Focus on Innovation, Automation and Technology Efficiency and Productivity Enhancement Measures Rampura Agucha Mine Commissioned integrated command control centre for enabling end-to-end monitoring Installed proximity warning and anticollision system ■Initiated 3D visualisation of real-time equipment and personnel monitoring Pump automation in UG mine HINDUSTAN ZINC Zinc & Silver of India Sindesar Khurd Mine ■ Installed chiller units for improving working conditions ■ Zinc recovery improvement in beneficiation plant ■ Undertook digital initiatives: digitalised substations to expedite power restoration; real-time monitoring; automating UG pumping stations Confidential Sensitivity: Public (4) PORTAL ->>>>>> SAFE SMART D SUSTAINABLE 20 20#21Unparalleled Operational Excellence at Mines with Focus on Innovation, Automation and Technology Confidential HINDUSTAN ZINC Zinc & Silver of India Rajpura Dariba Mine Brought in expat operator and trainers to operate fully automatic Simba drill machine ■ Installed fully enclosed designed cage to improve person safety and skip run hour ■ Infrastructure upgrade to improve operational efficiency and throughput Zawar Mines ■ Commenced UG back filling operations at Mochia and Zawarmala Established centralised control room at Balaria Digitalised equipment utilisation visibility to minimise idling in Mochia and Baroi ■ Installed Mine Communication System in Mochia, Balaria and Zawarmala Kayad Mine ■ Shifted to Mine Development Operator modality for having single stakeholder responsibility Sensitivity: Public (4) ->>>>>> SAFE SMART Д 21 SUSTAINABLE#22Unparalleled Operational Excellence at Mines with Focus on Innovation, Automation and Technology Additional Safety Measures Implemented Rampura Agucha Mine India's first UG first-aid station with ambulance Fire hydrant lines on the surface and UG ■ Sensor-based Auto Ventilation doors UG Real-time seismic monitoring HINDUSTAN ZINC Zinc & Silver of India Sindesar Khurd Mine Radar-based sensors in LPDTS New-age fire fighting vehicles and use of fire banks ■ Powder- and foam-based auto fire suppression system Rajpura Dariba Mine ■ UG ambulance Replaced old penthouse and steel structure at inset stations and main shaft cage Confidential D SAFE Sensitivity: Public (64) SMART Ди SUSTAINABLE 22#23Unparalleled Operational Excellence at Mines with focus on innovation, automation and technology Additional Safety Measures Implemented Zawar Mines ■ Surface parking infrastructure at Balaria Mine Redesigning of ITMS, mill gate and surface roundabout Interconnected the UG raise bore at Mochia and Balaria mines ■ Mine Fatigue System in Baroi Kayad Mine Strengthened braking system of LMVS ■ LVS type AFDSS and Emergency Stop switches on external sides of passenger compartments ■ Deadman switches and door parking interlock in PCs and RBOS ■ Stretchers in both PCs HINDUSTAN ZINC Zinc & Silver of India Confidential - 23 SAFE SMART SUSTAINABLE Sensitivity: Public (64)#24Strengthening Mineral Resource and Upgradation of Resources to Reserves Innovative and Advanced Technologies to Scale Exploration ■ Hi-tech lab at Zawar Mines having first-of-its-kind Sample Handling System in India ■ Partnered Windfall-Geotek, Canada to leverage technology based on AI/ ML ■ Mobile Carrier Rig modification to enable shallow holes drilling in tough terrains Litho-structural data collection automation across all sites ■ Geophysical assessment (Gravity and Magnetic survey) of a new target area in Zawar mining lease ■ Assessment of passive seismic and mobile MT technologies for deeper exploration in Rampura Agucha mining HINDUSTAN ZINC Zinc & Silver of India Exploration Performance, FY 2021-22 25 Mt of gross addition to mineral resources 91% brownfield exploration success rate Confidential ~500 kilometers of drilling SAFE SMART Sensitivity: Public (C4) Ө 24 SUSTAINABLE#25Strengthening Mineral Resource and Upgradation of Resources to Reserves HINDUSTAN ZINC Zinc & Silver of India Ore Reserves and Mineral Resources (R&R), as on March 31, 2022 (based on Annual R&R audit by SRK (UK)) Total Total Total Reserves Measured and Indicated Inferred Hindustan Zinc Assets R&R Metal Mt Zn% Pb% Ag g/t Mt Zn% Pb% Ag g/t Mt Zn% Pb% Ag g/t Mt Mt Rampura Agucha 47.0 11.8 1.3 44 10.3 14.7 2.2 64 17.6 6.0 3.6 97 75.0 9.6 Rajpura Dariba 28.9 4.9 1.6 60 5.3 7.1 2.2 71 33.6 6.3 1.9 96 67.8 5.1 Sindesar Khurd 45.4 3.0 2.0 100 43.8 4.0 2.2 111 15.5 3.4 1.9 96 104.7 5.8 Bamnia Kalan 20.0 3.3 1.1 41 19.5 3.5 1.5 47 39.5 1.9 Zawar 37.9 2.8 1.2 23 36.8 3.4 2.0 28 79.3 3.6 2.1 34 154.0 8.0 Kayad 1.9 7.6 0.9 18 2.6 8.0 1.1 21 2.4 6.6 0.9 14 6.9 0.6 Total 161.2 5.9 1.5 58 118.8 4.9 1.9 66 168.0 4.4 2.1 60 447.9 31.1 Mineral resources reported exclusive of ore reserves, reported at variable cut-off grade per mineral asset Confidential Sensitivity: Public (C4) SAFE SMART Ө 25 SUSTAINABLE#26Touching New Milestones in Smelter and CPP Performance HINDUSTAN ZINC Zinc & Silver of India Smelters Delivers Record Performance Despite Operational Challenges Debottlenecking Successful revamping of Debari Smelter to replace damaged concrete cells with more efficient poly concrete cells CPP Improving Green Footprint 5.4 MW Waste Heat energy capacity added New Milestones ☐ ☐ ☐ ☐ Highest Refined Metal production at 967 kt Highest ever throughput Best ever utilisation of melting capacity ■ Largest ever production of Hindustan Zinc die-cast alloy 6.13 lac tonnes CO2 emissions avoided in FY 2021-22 (5.52 lac tonnes in FY 2020-21) Record Performance by Thermal Power Business 435 gm/kWh Best Specific Coal Consumption (SCC) achieved 2.39 m³/MWHr Best specific water consumption 7.92% Lowest ever auxiliary power consumption attained 747.9 MU Highest-ever power generation achieved by Zawar CPP 211.797 Mn units Best-ever generation by Waste Heat Recovery Boiler STG Confidential SAFE SMART Sensitivity: Public (C4) Ө 26 SUSTAINABLE#27COVID-19 response Ensuring the Safety of our People ■ COVID-19 Management Plan led by a Special Task Force ■ Helpline and dedicated 24x7 team support, thermographic camera and mask detection system Home test facility and mega vaccination programme covering all stakeholders 24x7 medical facility and dedicated isolation centres at hospital 4 lacs+ people benefited across 377 villages benefiting Zinc Hospital Supporting Communities Established two hospital (450 beds) facilities at Dariba and provided doorstep medical facilities ■ 4 PSA oxygen plants set-up and a bottling facility ■ Distributed 570 oxygen concentrators, 13,861 oxygen cylinders and other necessary items ■ Enabled 10,000+ online classes and 30,000 home visits by professional teachers ■ Skill development Confidential Sensitivity: Public (C4) SEDI ->>>>>> SAFE SMART HINDUSTAN ZINC Zinc & Silver of India D SUSTAINABLE 27#28Sustainability Goals 2025: Goal #1 Addressing the Challenges of Climate Change FY 2025 Goal: 0.5 Mn TCO,e GHG emission savings in our operations from base year 2017 7 AFFORDABLE AND CLEAN ENERGY 11 AND COMMUNITIES SUSTAINABLE CITIES 13 CLIMATE ACTION Key Initiatives taken in FY 2021-22 Alignment with 1.5°C Power purchase agreement for procuring 200 MW of renewable power EV Mining Equipment ■ Deployed passenger EV vehicles, EV forklifts and EV light motor vehicles US$ 1 billion investment in five years to convert all mining equipment to battery-operated EVs ■ MoU with Epiroc Rock Drills AB, Normet Group Oy and Sandvik AB Entered Partnerships for Low Carbon Economy ■ ■ ■ CDP India under the SBTI Incubator programme COP26 Business Working Group International Zinc Association (IZA) Climate Change Task Force CII's Working Group on Driving Accelerated Climate Action Waste Recycling Re-using recycled material helped save emissions from production of virgin material and prevention of incinerations Confidential Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India ->>>>>> ****** SAFE SMART Д 28 SUSTAINABLE#29Sustainability Goals 2025: Goal #1 Addressing the Challenges of Climate Change PROGRESS Scope1 +2 (Absolute Emission) (In Mn TCO2e) 2021-22 2020-21 2019-20 2018-19 2017-18 GHG Intensity (Scope1 & 2)/MT 2021-22 2020-21 2019-20 2018-19 2017-18 Confidential Specific Energy Consumption (GJ per tonne of metal)* 4.81 60 53.68 49.92 4.79 48 4.73 4.87 36 4.98 24 12 HINDUSTAN ZINC Zinc & Silver of India 53.51 51.26 48.46 0 2017-18 2018-19 2019-20 2020-21 2021-22 4.97 5.15 5.44 5.40 5.10 Sensitivity: Public (C4) ->>>>>> SAFE SMART D 29 29 SUSTAINABLE#30Sustainability Goals 2025: Goal #2 Progressing Towards Water Stewardship FY 2025 Goal: Become 5x water positive company and achieve 25% reduction in freshwater 6 CLEAN WATER AND SANITATION 11 SUSTAINABLECITIES AND COMMUNITIES Key Initiatives taken in FY 2021-22 Water Mapping and Risk Assessment ☐ ■ Assessing specific water-related risks at sites ■ Real-time tracking of tackle issues of excess water consumption Groundwater Recharge Structures ■ Created recharge potential for 8.7 million cubic metres per annum of rainwater in locations near Rampura Agucha Mine Strengthening Zero Liquid Discharge (ZLD) ■ Commissioned a 3,000 kilolitre per day ZLD plant at Debari Zinc Smelter Confidential Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India ->>>>>> SAFE SMART D 30 SUSTAINABLE#31Sustainability Goals 2025: Goal #2 Progressing Towards Water Stewardship PROGRESS Water Recycled (%) 2021-22 2020-21 2019-20 2018-19 Renewable Power (Wind+WHRB+Solar) (MGJ) Water Consumption (Million m³) 44 2021-22 39 2020-21 39 36 2019-20 9.52 16.78 7.18 20.88 6.75 19.97 6.17 2018-19 23.2 5.04 24.17 3.0 2017-18 2.58 2.43 2.42 2.28 2.33 2.4 1.8 1.2 0.6 0.0 2017-18 2018-19 2019-20 2020-21 2021-22 Confidential Sensitivity: Public (C4) STP Water (Treated Sewage) Fresh Water HINDUSTAN ZINC Zinc & Silver of India ->>>>>> SAFE SMART D 31 SUSTAINABLE#32Sustainability Goals 2025: Goal #3 Building Circular Economy Models FY 2025 Goal: 3x Increase in gainful utilisation of smelting process waste 11 SUSTAINABLE CITIES AND COMMUNITIES 12 RESPONSIBLE CONSUMPTION AND PRODUCTION Key Initiatives taken in FY 2021-22 RO Reject Salts ■ Operationalised Sodium Sulphate Recovery Plant at Dariba Smelting Complex; contributing to ~10% reduction in hazardous mixed salt generation 1,500 tonnes mixed salt at DZS found suitable in manufacture of soap and detergent Jarosite Utilisation ☐ 93,778 tonnes used in cement manufacturing (target: 2 lac tones in FY 2022-23) Jarofix Utilisation ■ Permission by Rajasthan State Pollution Control Board for utilisation in roads and highways construction Advanced Process Control (APC) System Three APCs implemented for grinding and flotation operations at Rampur Agucha and SK Mines leading to 0.9% improvement in Pb and Zinc recovery Metal Recovery ■ Improved recovery from beneficiation plants through digitalisation Confidential Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India SAFE SMART Ө 2 32 SUSTAINABLE#33Sustainability Goals 2025: Goal #3 Building Circular Economy Models PROGRESS Mill Recovery (%) 2021-22 2020-21 Smelter Recovery (%) 90.62 2021-22 80.21 89.71 2020-21 78.87 88.28 2019-20 2019-20 76.97 2018-19 2017-18 Zinc Confidential Lead 87.72 2018-19 75.96 89.04 2017-18 74.92 Zinc Lead Sensitivity: Public (Cap 96.12 96.47 95.96 96.75 96.19 96.63 95.62 96.91 95.94 96.80 HINDUSTAN ZINC Zinc & Silver of India ->>>>>> SAFE 33 SMART SUSTAINABLE#34Sustainability Goals 2025: Goal #4 Acting Positively for the Biodiversity FY 2025 Goal: Protect and enhance biodiversity throughout the life cycle 15 LIFE ON LAND HINDUSTAN ZINC Zinc & Silver of India Key Initiatives taken in FY 2021-22 Effective Tailing Dam Management Following identified processes to prevent any environmental and social risks Solid Framework Biodiversity Management Plan for all our operations ■ Dedicated Biodiversity Policy and Management Standard No Net Loss (NNL) Working towards a minimum NNL and Net Positive Gain (for a critical habitat) Partnerships ■ Joined the Taskforce on Nature related Financial Disclosures (TNFD) ■ Partnered NGOs, international institutions and governments Programmes Undertaken in FY 2021-22 Jarofix yard restoration at Chanderiya Lead Zinc smelter 6.25 hectares Wasteland planned to be reclaimed into productive land 10,000 Plantations for green belt developing Miyawaki Afforestation in Debari colony 1 Acre Area developed 8,000 Confidential Sensitivity: Public (C4) ->>>>>>> SAFE SMART Plantations done covering 50 native species Ө SUSTAINABLE 34 44#35Sustainability Goals 2025: Goal #5 Building a Diverse and Inclusive Workforce FY 2025 Goal: Protect and enhance biodiversity throughout the life cycle 5 GENDER EQUALITY 8 DECENT WORK AND ECONOMIC GROWTH Key Initiatives taken in FY 2021-22 Inclusion Project ☐ Inclusion lens covering gender, region, education, physical ability, age, ethnicity and communities Developed roadmap, Equal Employment LGBTQ + Inclusiveness ◉ D&I and LGBTQ Policy Partnered 'The Humsafar Trust' which is dedicated to LGBTQ communities Awareness and sensitisation drive for all and 100 managers trained virtually on LGBTQ matters Confidential Opportunity Policy and Diversity Policy New recruitment strategy Heightened women safety for night shifts: transport, POSH, SOS app, self defence training and safety kits Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India ->>>>>> SAFE SMART Ө 35 55 SUSTAINABLE#36Sustainability Goals 2025: Goal #5 Building a Diverse and Inclusive Workforce Regional Diversity (Executives) | Central 12% East 8.9% | North 8.9% South 13.1% West 4.9% Rajasthan 51.7% Confidential Diversity Ratio Progress in FY 2021-22 27.4% HINDUSTAN ZINC Zinc & Silver of India Women as percentage of Hires VS ~7% ↑ High-Potential Women Ratio 18.6% Diversity ratio for executives and other employees (Female v/s Male) Overall gender diversity among executives: ~16% Sensitivity: Public (C4) 25% Diversity Ratio in HZL Man Com 19% Diversity Ratio in HZL EXCO ->>>>>>> SAFE SMART D 36 SUSTAINABLE#37Sustainability Goals 2025: Goal #6 Progressing towards our vision of Zero Harm Zero Work-related fatalities and 50% reduction in Total Recordable Injury Frequency Rate (TRIFR) FY 2025 Goal: м 3 GOOD HEALTH AND WELL-BEING 8 DECENT WORK AND ECONOMIC GROWTH Progress HINDUSTAN ZINC Zinc & Silver of India Key Initiatives taken in FY 2021-22 Training Management Committee Set-up this specialised committee to spruce up induction, reskilling, upskilling and development Safety Digitisation Launched 22 digitised safety modules (Hindi and English) VR-based modules and simulator training Deployed loT solutions and connected workforce solutions (like safety wearables) IoT-based detect technology that uses Al and video analytics from CCTV cameras Critical Risk Management Undertook detailed investigations of incident that led to employee deaths and implemented several precautionary actions Industrial Hygiene Programme Journey developed with multiple action areas to reduce potential health risks and controlling occupational health hazards 4 Fatalities at work site 0.81 LTIFR 2.22 TRIFR 24,625 Medical examinations conducted 0.54 million man hours Of safety training to employee including contracted ones Confidential Sensitivity: Public (C4) ->>>>>> SAFE SMART Д 37 SUSTAINABLE#38Sustainability Goals 2025: Goal #7 Focusing on Responsible Sourcing FY 2025 Goal: 100% Responsible Sourcing in the supply chain 10 REDUCED INEQUALITIES HINDUSTAN ZINC Zinc & Silver of India Key Initiatives taken in FY 2021-22 Enabled entire operation with 1,100+ active supplier and service partners 25 existing suppliers developed for alternate sourcing and OEM to OPM conversion for spares 8 new suppliers for critical commodities for supply chain de-risking ESG assessment introduced in contract process and business partner collaboration initiated Focus on online buying with auction tool; 90%+ adoption Quality management process of incoming supplies through quality due diligence, based on assessment framework Working with top partners basis preferred performance on various responsible sourcing guidelines and parameters Robust business partner management framework, with a clearly defined code of conduct Exhaustive Business Partner monitoring and rationalisation system to manage supply chain risks Progress Ontrack for sustainable sourcing goals including reducing scope 1 and 2 emissions by 18%, embedding ESG across supply chain and local sourcing 1,607 234 Business Partners engaged Business Partners on whom due diligence was carried out 452 Business Partners identified as Local Tier I 243 Business Partners identified as Critical Tier I Confidential Sensitivity: Public (C4) ->>>>>>> SAFE SMART Д SUSTAINABLE 38#39Sustainability Goals 2025: Goal #8 Positively Impacting Communities HINDUSTAN ZINC Zinc & Silver of India FY 2025 Goal: Positively impacting 1 million lives through social, economic, and environmental initiatives 1 2000 HEALTH POVERTY 2 HUNGER EDUCATION 5 RELIDE EQUALITY AND HAIN STATION 7 AND DECENT MORKAND CLEAN ENERGY 11 12 13 MA 15 16 PEACE ALSTRE 17 555 W Q 7 Key Initiatives taken in FY 2021-22 Education 2,00,000+ children supported under various initiatives like child development, quality education, higher education, engineering preparations, mainstreaming of disabled Women Empowerment 27,517 women from 2,248 SHGs collectively saved `14.28 Crore Operating 11 micro enterprises engaging 250+ women Healthcare ■ Conducted 2,621 OPDS (Out patient departments) which achieved 1,00,000+ footfalls Sports Supporting grooming of football players Sustainable Livelihood 30,000+ farmers enabled through integrated faming systems and livestock development 1,488 youths skill trained Community Asset Creation ■ Created / renovated rural, education, sanitation and water infrastructure benefiting 1,53,000 people Water ■ Water structure strengthening and supply programmes across 75 hamlets and villages covering 2,00,000+ people Volunteering Employees volunteered in skill-based programmes and supporting students Confidential Sensitivity: Public (C4) MOTHERSHIPS FOR THE GOALS ->>>>>> SAFE SMART Д 39 SUSTAINABLE#40Sustainability Goals 2025: Goal #8 Positively Impacting Communities हिन्दुस्तान जिंक श्री Progress 1.4 million Beneficiaries through long-term CSR and COVID-19 initiatives vedantr #Deshki STEET FOTTO सौजन्य हिन्दुस्ता Impact Assessment Of five social programmes; SROI was as follows: Sakhi 15.86, Samadhan - 1 : 9.22, Khushi -14.49, Shiksha Sambal - 1 : 4.75, Jeevan Tarang - 1 : 1.24 1130 कशुद्ध पेयजल केन्द्र 2222 Confidential Sensitivity: Public (C4) "खुशी" IMAM HINDUSTAN ZINC Zinc & Silver of India "खुशी" "agent" ->>>>>>> SAFE SMART Д 40 SUSTAINABLE#41Holistic & Progressive Reporting Practices Our Reporting Suite Many Reasons to Celebrate Many More to Look Forward to Integrated Report Confidential vedanta Hindustan Zinc Limited INDUSTAN Task Force on Climate-related Financial Disclosures (TCFD) Report 2021 India's largest & only integrated producer of zinc, lead and silver Many Reasons to Celebrate Many More to Look Forward to Digital Report TCFD Report 21 abity Review Repor INSPEC REPORT 2021-22 vedanta... Unwavering Focus ented Outcomes Unprecedented Sensitivity: Public (C4) HINDUSTAN ZINC Zinc & Silver of India Tax Transparency Report Sustainability Review Report <दरदरद्द---- 41 SUSTAINABLE SAFE SMART Д#42THANK YOU vedanta FA HINDUSTAN ZINC Zinc & Silver of India transforming for good HINDUSTAN ZINC LIMITED Yashad Bhawan, Udaipur-313004, Rajasthan T:+912946604000-02 www.hzlindia.com