LIMITED RESULTS PRESENTATION FOR H1 & Q2 FY 2020-21 STEEL AUTHORITY OF INDIA LIMITED

Economic & Steel Scenarios WORLD ECONOMIC SCENARIO

SOURCE: IMF Growth Rates 6 5.2 ( in %) 4.8 4.5 3.8 3.6 3.9 3.7 2.9 2.4 2.2 1.9 2017 (E) 2018 (E) 2019 (E) 2020 (P) -3.3 -4.4 2021 (P) -5.8

World Advanced Economies Emerging & Developing Economies IMF projected the growth for 2020 at 2.9% in its Jan 20 World Economic Outlook (WEO). As the economies started entering lockdown, this figure was revised to -3% in April 20 and further down to -4.9% in June 20 WEO. With better then anticipated data for GDP for second quarter, the growth projection has now been made less severe to -4.9% in the Oct’20 WEO. Thereafter, growth is projected to bounce back to 5.2% in 2021. INDIAN ECONOMIC SCENARIO

SOURCE: CSO, GoI & Economic Survey GDP Growth % at Constant Prices (2011-12 Prices) 8.0 8.2 6.4 7.4 7.0 6.1 4.2

2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 (Q1) In line with the global projections, Indian economy is also expected to contract during 2020.

Q1 2020-21 data on GDP shows a contraction of 23.9%.

The Rating Agencies like Fitch and Goldman Sachs have revised their figures sharply downward for the FY 21 to -10.5% and -14.8% after the Q1 data. -23.9 Last available projections from major financial agencies are as follows:

Source Growth Projection WORLD BANK -9.6% (FY21) and 5.4% (FY21) IMF -10.3% (CY20) and 8.8% (CY21) RBI -9.5% (FY21) WORLD STEEL SCENARIO

Crude Steel Production (mtpa) 1870 (Crude Steel Production) 1730 1809 1627 • In line with projections, Global 1347 996 Production upto September 20 920889 808819 871859 874 782 declined by 3.2% and stood at 566 World China 1347 mt vis-à-vis 1392 mt during CPLY. Rest of World • 2016 2017 2018 2019 2020 China however increased its (Upto production by 4.5% during this Sept) period clocking 782 mt as against 748 mt during CPLY. World Steel Association (WSA) Short Range Finished Steel Consumption (mtpa) Outlook (SRO) : • Global steel demand will decrease by 2.4% 1708 1767 1725 1795 1597 in 2020 and increase by 4.1% in 2021. 1546 1551 1505 1521 • China’s growth is set to go down to 8% in 2020 and constant in 2021. • In the Emerging and Developing Economies excluding China, steel demand is forecast to fall by 12.3% in 2020 and rise by 10.6% in 2021. • Demand in India expected to fall by -20.2% 2013 2014 2015 2016 2017 2018 2019 2020 2021 in 2020 and rise by 22.7% in 2021. (F) (F) INDIAN STEEL SCENARIO

Crude Steel Production (mtpa) • India’s Crude steel 101.5 109.3 111.2 production (2019) : 87.3 89.0 95.5 1.8% 111.2mtpa (growth of 1.8 % over 2018) • India overtook USA as the second largest consumer of 2014 2015 2016 2017 2018 2019 steel in 2019. Finished Steel Consumption (mtpa) • As per WSA Short Range 103 100 89 97 Outlook, demand in India is 80 84 82 set to fall by 20.2% in 2020 and grow by 22.7% in 2021. Source: WSA 2015 2016 2017 2018 2019 2020(F) 2021(F)

Performance FY 2020-21: • Due to the impact of COVID-19 Pandemic and consequent lockdown, consumption was severely impacted being almost negligible during April 20. Thereafter, with easing of lockdown, demand has been improving exponentially. The cumulative consumption during April-September 20 fell to 35.864 MT as against 50.989 MT during CPLY, decline of 29.7%. • As the producers adjusted their production in line with the demand, the production declined by 25.3% and stood at 38.586 MT as against 51.621 MT during CPLY. Source: JPC INDIAN STEEL PERFORMANCE

% +/- Over INDICATORS UNIT H1 20-21 H1 19-20 CPLY Growth in Index of Industrial Production ^ % -25 2.4 -27.40 Production - Finished Steel * MT 38.59 51.621 -25.3 Imports - Finished Steel * MT 1.99 4.018 -50.6 Exports - Finished Steel * MT 6.54 3.94 66.3 Consumption - Finished Steel * MT 34.03 51.70 -34.2 Less Variation in Stock * MT -1.84 0.72 -356.9 Real Consumption of Finished Steel * MT 35.86 50.99 -29.7

^ As per CSO data H1 data is for Apr.-Aug’20-21 *Source JPC Report 7 INTERNATIONAL PRICE (FOB) TREND

USD/Tonne

HRC- China CRC- China 588 575 556 568 545 550 539 537 549 522 527 519 525 504 501 517 504 489 495 483 531 529 445 451 513 515 507 502 515 515 486 493 482 493 459 470 462 457 435 444 440 438 401 413

HRC- CIS CRC- CIS 567 527 551 554 542 535 543 538 539 540 519 549 549 492 509 518 472 437 444 430 418 461 512 499 494 481 475 482 475 478 478 464 495 452 429 453 460 417 381 384 372 360 405 STEEL AUTHORITY OF INDIA LIMITED

Performance Highlights PERFORMANCE HIGHLIGHTS : H1 FY’21

 Net Sales : Rs 25672 Crore

FINANCIAL  EBITDA : Rs. 1973 Crore PERFORMANCE  PBT : - Rs. 1374 Crore  PAT : - Rs 877 Crore

 Hot Metal Production : 6.809 MT  Crude Steel Production : 6.290 MT PRODUCTION & SALES  Saleable Steel Production : 6.032 MT PERFORMANCE  Semis component in production : 29.85% of saleable steel  Value Added Production : 2.970 MT  Production through concast route : 6.168 MT  Saleable Steel Sales : 6.444 MT PERFORMANCE HIGHLIGHTS : Q2 FY’21

 Net Sales : Rs. 16834 Crore

FINANCIAL  EBITDA : Rs. 2098 Crore PERFORMANCE  PBT : Rs. 610 Crore  PAT : Rs. 393 Crore

 Hot Metal Production : 4.132 MT  Crude Steel Production : 3.816 MT PRODUCTION & SALES  Saleable Steel Production : 3.753 MT PERFORMANCE  Semis component in production : 23.96% of saleable steel  Value Added Production : 1.776 MT  Production through concast route : 3.719 MT  Saleable Steel Sales : 4.206 MT SAIL STOCK PRICE MOVEMENT

Sensex Points SAIL's Share Price (Rs.) 40794 41254 40723 41893 39032 39714 39395 40129 39614 38673 37481 37333 38667 38297 37607 38628 38068 36068 36257 35867 34916 33718 32424 29468 56 54 56 50 51 47 48 47 43 43 37 39 39 38 33 36 34 34 34 31 32 30 30 23

Closing Share Price and Sensex as Dividend Interim Final Total Dividend Tax on the last day of the month (%) (%) (%) (Rs. crore) (Rs. crore) * As on Nov 6, 2020 FY 20 - - - - - FY 19 - 5 5 206 DIVIDEND FY 18 - - - - - PAYOUT FY 17 - - - - - FY16 - - - - - FY15 17.5 2.5 20 826 165 FY14 20.2 - 20.2 834 142 STEEL AUTHORITY OF INDIA LIMITED Operational Performance PRODUCTION PERFORMANCE

All figures In Million Tonne 3.6 3.8

15.1 15.1 13.9 14.1 SALEABLE 12.8 12.4 STEEL 6.0 PRODUCTION

(incl. SSPs) Q2 FY20 Q2 FY21 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 (H1) Annual Quarterly

14.7 14.7 3.5 3.7 13.4 13.8 SALEABLE 12.4 11.9 STEEL

PRODUCION 5.9 (5 ISPs)

Q2 FY20 Q2 FY21 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 (H1) Production has been severely affected on account of COVID-19 impact during Q1 FY21 PRODUCTION PERFORMANCE : H1 FY 21

0.9%

2.0% Ingot CRUDE STEEL BOF PRODUCTION Route BY PROCESS EAF CC Route No production 98.0% 99.1% through THF Route this financial year

SALEABLE STEEL Commodity PRODUCTION 49.2% 50.8% Value Added BY PROCESS PRODUCTION PERFORMANCE : H1 FY 21

SAIL The percentage of semis has increased while both 29.9% PRODUCT MIX : flat and long finished 43.9% products saw a decline in 5 ISPs share as the production was regulated in line with 26.3% the demand

BSP 13.7% 61.6% 24.7%

DSP 28.2% 71.8% Flats

RSP 85.0% 15.0% Longs Semis

BSL 96.9% 3.1%

ISP 39.6% 60.4% SALES PERFORMANCE

All figures In Million Tonne 14.1 14.2 13.1 14.1 11.7 12.1 4.2 3.1 6.4 TOTAL SALES (incl. SSPs) FY FY FY FY FY FY FY 15 16 17 18 19 20 21 Q2 FY20 Q2 FY21 (H1) Annual Quarterly 13.8 13.8 13.9 12.7 11.2 11.7 SALES 4.1 3.1 6.3 OF 5 ISPs

FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 Q2 FY20 Q2 FY21 (H1) Domestic demand was severely impacted on account of COVID-19. However, SAIL seized the opportunity available in the international market by exporting about 12.10 lakh tonnes during H1 FY 21 as against 4.88 lakh tonnes during CPLY, a growth of about 148%. Further, the domestic markets are also looking up quite positively now. SAIL has again led the market by notching up its best ever performance since June 20. STEEL AUTHORITY OF INDIA LIMITED Efficiency & Sustainance Performance RECENTLY DEVELOPED PRODUCTS

NARRROW PARALLEL FLANGE BEAM 750: USAGE IN CONSTRUCTION INDUSTRY

LINKE HOFMANN BUSCH (LHB) WHEELS: USAGE FOR RAILWAYS PRODUCT CUSTOMISATION FOR END USERS HYVA TIPLERS

Main Frame Track Frame HSMP AND PMP GRADE: IS 2062E450, E600

Boom Front Frame Arm PRODUCT CUSTOMISATION FOR END USERS

ASHOK LEYLAND U TRUCK U 2518T CAPTAIN 2518

HRC PMP GRADE: IS5986, ISH500, LAHFQ450 PRODUCT CUSTOMISATION FOR END USERS

Rear Axle Beam developed using HRC SAILFORMING 410 / 450 grades

Live Axle Beam

Dummy Axle Beam TECHNO-ECONOMIC PARAMETERS

Coke Rate: kg/thm CDI Rate: kg/thm 76 71 513 76 504 60 70 489 49 40 473 34 456 453 457 459

FY FY FY FY FY FY FY H1 FY FY FY FY FY FY FY H1 14 15 16 17 18 19 20 FY21 14 15 16 17 18 19 20 FY21 Reduction of 11% over FY14 Increase of 124% over FY14 Specific Energy Consumption:3 GCal/tcs BF Productivity: T/m3/Day1.80 1.77 6.59 6.52 6.51 6.60 6.49 6.50 6.47 6.70 1.70 1.67 1.65

1.58 1.56 1.58

FY FY FY FY FY FY FY Q1 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20H1 FY21 14 15 16 17 18 19 20 FY21 Reduction of 2% over FY14 Improvement of 14% over FY14 Calculation done on considering performance during FY20. Performance during current FY especially Q1 severely impacted on account of lower volumes. SUSTAINANCE PARAMETERS

PM Emission Load: kg/tcs Specific CO2 Emission: m3/tcs 2.65 0.83 0.81 0.77 0.74 2.62 0.70 0.69 0.70 2.60 2.61 2.56 2.57 2.54

FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 H1 FY FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 H1 21 FY21 Reduction of 17% over FY15 Reduction of 4% over FY15 3 Solid Waste Utilisation (%) Specific Water Consumption: m3/tcs 89 91 3.83 85 84 83 83 85 3.75 3.66 3.67 3.62 3.50 3.44

FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 H1 FY 15 FY 16 FY17 FY18 FY 19 FY 20 Q1 FY21 Increase of 4% over FY15 FY 21 Reduction of 4% over FY15 Calculation done on considering performance during FY20. Performance during current FY especially Q1 severely impacted on account of lower volumes. MANPOWER PERFORMANCE

LABOUR PRODUCTIVITY TREND (tcs/man/year)

389 400 Calculation done on 344 320 323 302 315 considering 278 performance during FY20. Performance during current FY especially Q1 severely impacted on FY 14 FY 15 FY 16 FY17 FY18 FY19 FY20 FY21 account of lower (H1) Improvement3 of 44% over FY14 volumes. LABOUR PRODUCTIVITY Q2 FY’21 VIS- À-VIS CPLY AND PREVIOUS QUARTER

MANPOWER (tcs/man/year) 380 391

Total manpower as on 01.10.2020: 67126 252

Reduction in H1 FY 21: 2253

Q2 FY 20 Q2 FY 21 Q1 FY 21 POWER CONSUMPTION – H1 FY 21

12.74%

Own CPP

Drawl from Grid

52.57% Purchase through 32.06% Power Exchange JV CPP

2.62% STEEL AUTHORITY OF INDIA LIMITED

Financial Performance FINANCIAL PERFORMANCE

Rs. Crore H1 FY 21 H1 FY 20 Q1 FY 21 Q2 FY 21 Q2 FY 20 (INDAS Compliant figures)

Sales 25672 28596 8838 16834 13951

EBITDA 1973 3083 -125 2098 1318

Depreciation 1963 1774 973 990 901

Finance Cost 1607 1729 886 720 940

PBT Before Exceptional Items -1597 -414 -1658 388 -519 Exceptional/Abnormal Items (VRS/Suspended Operations) -222 - - -222 - PBT After Exceptional Items -1374 -419 -1985 610 -523

Tax -497 -145 -715 217 -180

Profit After Tax -877 -274 -1270 393 -343 FINANCIAL PERFORMANCE

All figures in Rs crore Annual Profit Trend

11184 10283 EBITDA

Cash Profit 6723 6926

5586 PBT 5184 4132 PAT 3338 3171 2359 2306 2093 2179 2022

672

-759- 482

-2204 -2171 -2833

-4021 -4606 -4851

-7008 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FINANCIAL PERFORMANCE EBITDA 3083 Cash Profit PBT 1973 Half Yearly PAT 1354

Performance 589

-419 -274 -877 -1374

H1 FY 20 H1 FY 21

2221 76 2607 EBITDA 3083 1006 Movement 206 1973 H1 FY 21 vs H1 FY 20

EBITDA H1 FY Volume/Mix Raw Material Cost Price Impact Others EBITDA H1 FY 20 Usage 21 All figures in Rs crore FINANCIAL PERFORMANCE

Quarterly Performance All figures in Rs crore Q2 FY 20 vs Q2 FY 21 vs Q1 FY 21

2098 EBITDA Cash Profit

1600 1318 PBT PAT

610 378 393

-125 -523 -343

-1012 -1270

-1985

Q2 FY 20 Q2 FY 21 Q1 FY 21 FINANCIAL PERFORMANCE

319 1301 EBITDA 1355 Movement 142 2098 265 1318 Q2 FY 21 vs Q2 FY 20

EBITDA Q2 FY Volume/Mix Raw Material Cost Price Impact Others EBITDA Q2 FY 20 Usage 21 All figures in Rs crore

194 8 2098 469 EBITDA 110 1442 Movement Q2 FY 21 vs Q1 FY 21 -125 EBITDA Q1 FY Volume/Mix Raw Material Cost Price Impact Others EBITDA Q2 FY 21 Usage 21 FINANCIAL PERFORMANCE

Annual Net Worth Annual Borrowings & Interest cost 54127 5000 50000 45409 45170 39196 39777 38152 41396 40000 35141 4000 36009 35714 Annual 30000 3487 3000Borrowings 20000 3155 2823 2528 Interest 10000 2000 2300 Cost 0 1000 FY 16 FY 17 FY 18 FY 19 FY 20 FY 16 FY 17 FY 18 FY 19 FY 20 Quarterly Net Worth Quarterly Borrowings & Interest cost 54127 54407 51589 51871 50638 2000 50000 37605 37182 39777 38509 38903 40000 1500 Quarterly 30000 1000Borrowings 20000 940 849 909 886 10000 721 500Interest Cost Q2 FY Q3 FY Q4 FY Q1 FY Q2 FY 0 0 20 20 20 21 21 Q2 FY Q3 FY Q4 FY Q1 FY Q2 FY All figures in Rs. crore 20 20 20 21 21

Debt Equity Ratio 31/03/15 31/03/16 31/03/17 31/03/18 31/03/19 31/03/20 30/06/20 30/09/20 0.69 0.90 1.15 1.27 1.18 1.36 1.41 1.30 STEEL AUTHORITY OF INDIA LIMITED Capacity Building SAIL’s MODERNISATION & EXPANSION PLAN

Actual Production Capacity After Million Tonne 2019-20 On-going Expansion Crude Steel 16.155 21.4 Saleable Steel 15.083 20.2

Technological Shift Before After Technology Expansion Expansion BOF Steel Making 79% 100% CC Route 71% 94% Pelletisation Plant No Yes Coke Dry Quenching Partial Yes Top Pressure Recovery Turbine No Yes Auxiliary Fuel Injection in BF Partial Coverage Full Coverage Desulphurization of Hot Metal Partly 100 % Beam Blank Casting No Yes Coupled Pickling & Tandem Mill No Yes Beneficiation Plant Partial Full MODERNISATION & EXPANSION PLAN

 Production through twin-hearth furnace (THF) route to be replaced by BOF-LD converter route.  Production through Ingot – teeming route to be replaced with continuous cast production route. EXPECTED  Enhancement of Production volume by addition of 2 new 4060 m3 Blast OUTCOME Furnaces and one Blast Furnace of 4160 m3.  Increased Market Share.  World class technology and products.  Improved Product Mix / proportion of value added products to increase.  Enhanced Pollution Control measures, with Environmental Conservation.

 Auto grade CR Products, Galvanized Coils /Sheets.  Plates / Pipes to meet up to API 100 Grade specification.  Universal Beams/Heavy Beams to support increasing Infrastructural PRODUCTS requirements. BEING  Rails for Metro – Railways and Dedicated Freight Corridors. ADDED:  Increased production of Rails and Wheels to meet the increasing requirements of Indian Railways.  Quantum jump in Rounds and Structural production.  Wider Plates in the size of 4300 mm. ONGOING PROJECTS (CAPEX)

(Rs. Crore) 12191 61870 1 Expansion of existing capacity

3509 2 Value-addition / Product-mix improvement 7039 22739 3 Technological up gradation / Modernization Sustenance including de-bottlenecking, AMR 4 & Environment 39131 39131 5 Total Estimated Cost In addition, a Capex Plan of Rs. 10264 crore has been made for augmentation of Raw material 1 2 3 4 5 facilities.

11021 TOTAL CAPEX 9731 9890 SAIL had a Capex of Rs. 822 (INCL. ON MODERNISATION & Rs. crore crore during Q2 FY 21 and Rs. EXPANSION) 1475 crore during H1 FY 21. 6840 Capex Plan for FY20 was Rs.4000 6034 4938 5130 Crore (including expenditure towards 4303 4112 Capital Repairs and Spares needed to be capitalised under Ind AS).

FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 CAPACITY AFTER EXPANSION

Saleable Steel Hot Metal (MTPA) Crude Steel (MTPA) (MTPA) Plant After After After 2019-20 2019-20 2019-20 Expansion Expansion Expansion BSP 4.82 7.5 4.50 7.0 3.98 6.6 DSP 2.40 2.5 2.19 2.2 2.08 2.1 RSP 3.63 4.5 3.51 4.2 3.21 4.0 BSL 4.09 5.8 3.67 4.6 3.39 4.2 ISP 2.51 2.9 2.08 2.5 2.09 2.4 VISL 0.00 0.3 0.00 0.2 0.01 0.2 ASP - - 0.10 0.5 0.10 0.4 SSP - - 0.11 0.2 0.23 0.3 TOTAL 17.44 23.5 16.16 21.4 15.08 20.2 PRODUCT MIX POST EXPANSION – SALEABLE STEEL

Galvanized Products CR Coils/Sheets 1% PET Products H1 FY 2020-21 4% 1% Semis HR 25% Plates/Coils/Sh eets/skelp 27%

Structurals 6% Bars & Rods 13% Galvanized PET PM Plates Products 12% CR Products 3% Rly Products Coils/Sheets 1% 11% 11% Semis 12% Structurals HR 14% Plates/Coils/ Sheets/skelp 16%

Bars & Rods Post 19% Ongoing Expansion PM Plates 16% Rly Products 8% MODERNISATION & EXPANSION PLAN - SALEM STEEL PLANT

Facilities added: •Steel melting Shop – Electric Arc Furnace (55 T); AOD Converter (60 T); Ladle Furnace (60 T); Single Strand Slab Caster. • Roll Grinder for Hot Rolling Mill • Cold Rolling Mill Complex

Production (MTPA) : Item 2019-20 (Actual) After Expansion Crude Steel 0.11 0.18 Saleable Steel 0.23 0.34 MODERNISATION & EXPANSION PLAN - IISCO STEEL PLANT

Facilities Completed: • Raw Material Handling System • New Coke Oven Battery (0.88 Mtpa, 7 m tall) • Coke Dry Cooling Plant • Sinter Machines (3.88 Mtpa gross sinter production, 2x204 m²) • Blast Furnace 4160 m3 volume (2.7Mtpa) • 3 nos. of 150 T BOF Converters • 2x6 Strand Billet Casters (1.67 Mtpa) • 1x4 Strand Bloom-cum-Beam Blank Caster (0.83 Mtpa) • Wire Rod Mill (0.55 Mtpa) • Bar Mill (0.90 Mtpa) • Universal Section Mill (0.85 Mtpa) MODERNISATION & EXPANSION PLAN-IISCO STEEL PLANT

New stream to produce 2.7 Mtpa of Hot Metal & 2.5 Mtpa of Crude Steel

Production (MTPA) : Item 2019-20 (Actual) After Expansion Crude Steel 2.08 2.50 Saleable Steel 2.09 2.39

The expanded capacity of IISCO Steel Plant has been dedicated to the Nation by the Hon’ble Prime Minister on 10.05.2015. Current ProgressBURNPUR of Expansion at IISCO Steel Plant

Coke Oven Battery Sinter Plant Blast Furnace

BOF Converters

Billet Casters

Wire Rod Mill MODERNISATION & EXPANSION PLAN–

Facilities Completed: •Re-building of Coke Oven Battery #1 & #2. •Up-gradation of Blast Furnace #2 and Stoves Up-gradation of #5 •Auxiliary Fuel Injection (CDI) in Blast Furnaces #2 & #3. •Turbo-Blower-8. •New CRM Complex (1.2 Mtpa) •Up-gradation of HSM with augmentation of Roughing Facility (4.5 MTPA).

Production (MTPA) : Item 2019-20 (Actual) After Expansion Crude Steel 3.67 4.61 Saleable Steel 3.39 4.18 Current Progress of Expansion at Bokaro Steel Plant

Coke Oven Blast battery-2 Furnace-2

PLTCM

Coil Packaging Line

Skin Pass Mill Bell Annealing Furnace MODERNISATION & EXPANSION PLAN- Facilities Already Completed: • Ore Handling Plant part-A • Second Sinter Machine in Sinter Plant-3 (3.7 MTPA) • New Coke Oven Battery No. 11 (7 m tall, Capacity 0.881 mtpa) • Oxygen Plant (BOO basis) • Universal Rail Mill (1.2 MTPA) and Rail Welding Line • Bar and Rod Mill (0.9 MTPA) • Blast Furnace 4060 m3 (2.8 Mtpa) • New Steel Melting Shop (SMS-3) with Converter-1 &2 and New Billet Casters (2x6) and New Billet-cum-Bloom Caster (1X6). • Convertor - 3, LF -3, Argon Rinsing Station-3 in SMS -3.

Production (MTPA) : Item 2019-20 (Actual) After Expansion Crude Steel 4.50 7.0

Saleable Steel 3.98 6.56 Current Progress of Expansion at Bhilai Steel Plant

Sinter Machine Coke Oven Battery - 11

Blast Furnace - 8

Continuous Caster - 1

Bar & Rod Mill

Universal Rail Mill MODERNISATION & EXPANSION PLAN–

Facilities Completed: • New Coke Oven Battery -6 (7 m tall, 1 x 67 ovens) • New Sinter Plant -3 (1 x 360m²) • New Blast Furnace -5, useful volume - 4060 m3 • New 3rd Single Strand Slab Caster (1.5 MTPA) • New Oxygen Plant 2x700 tpd on BOO basis • New 3rd BOF (150 T) Convertor • New 4.3 meter Wide Plate Mill

Production (MTPA) : Item 2019-20 (Actual) After Expansion Crude Steel 3.51 4.20 Saleable Steel 3.21 3.99

The expanded capacity of Rourkela Steel Plant has been dedicated to the Nation by the Hon’ble Prime Minister on 01.04.2015. Current Progress of Expansion at RourkelaSINTER PLANT Steel - 3 Plant

Coke Oven Battery - 6 Sinter Plant - 3

1 3rd BOF Converter 3rd Slab Caster

BOF Converter

Blast Furnace - 5 Tapping MODERNISATION & EXPANSION PLAN- STEEL PLANT

Facilities Completed: • Rebuilding of Coke Oven Battery no-2 • New Ladle Furnace (125T) • Coke Sorting & Coal Handling Plant • New Dolomite Plant (300tpd) • Bloom-cum-Round Caster 1X4 (0.75 Mtpa) • New Medium Structural Mill (1.0 Mtpa)

Production (MTPA) :

Item 2019-20 (Actual) After Expansion

Crude Steel 2.19 2.20

Saleable Steel 2.07 2.12 Current Progress of Expansion at

Coke Oven Battery-2 Ladle Furnace-3

Bloom cum Round Caster

Medium Structural Mill RAW MATERIALS Iron Ore Hot Metal Year Consumption Linkages of Iron Ore (mtpa) (mtpa) 2019-20 17.438 28.88 Existing Mines The capacity of existing mines at Kiriburu, Meghahatuburu, Bolani & Gua are being ramped up to meet the requirement of Iron Ore for post ongoing phase of expansion

New Pellet Plants - 4 MTPA capacity at Post 23.46 39 Gua, 1 MTPA at Dalli and 2 MTPA at RSP Expansion has been planned for utilization of accumulated Iron Ore Fines & Generated Fines

In addition to the above, new mechanised Iron Ore Mines are being developed at Rowghat, Chiria and Taldih RAW MATERIALS – Iron Ore Existing Capacity* after Mine Capacity* ongoing Remarks (mtpa) expansion (mtpa) Kiriburu 5.50 5.50 • Expansion at Kiriburu has already been completed Meghathaburu 5.00 6.50 whereas Meghathaburu is being ramped up to meet the requirement of the ongoing expansion plan. Bolani 7.50 10.00 • At Bolani, processing plant has been upgraded to 7.5 Gua 4.00 10.00 mtpa and is under stabilization. At Gua, Stage II FC is awaited from MoEF required for expansion only Rajhara, Dalli 8.70 7.00** Durgaiburu Lease. **Depleted resources and quality constraints New Pellet Plants New 7.00 • New Pellet Plants shall use the existing reserve of fines incl. dumps & slimes at captive mines. • Environment clearance obtained & FC obtained on 23rd Oct. 2017 for ML-162 lease. Barsua, Kalta, • Consequent to the order by the Hon’ble Supreme Court 6.00 6.50 Taldih dated 11.05.2018 and grant of subsequent clearances by the Government of Odisha, production at Barsua mine resumed on 20.05.2018. All statutory clearances have been received. MDO has Rowghat New 12.00 been engaged and LOA issued to MDO on 1st August 2017. MSA signed on 25.09.2017 for a period of 30 years. Chiria 0.75 5.80 Stage-II FC awaited from MoEF. * Finished Product capacity . The entire requirement of the increased capacity shall be met through captive mines RAW MATERIALS – Coal Coking Coal Hot Metal Year Requirement Linkages of Coking Coal (mtpa) (mtpa) • Import Component – 90.5% • Over 70% of imported coal is sourced from Australia. • Indigenous: 9.5% 2019-20 17.438 15.193 • Domestic coal is largely sourced from Ltd. • SAIL has existing captive clean coking coal production of nearly 0.7 mtpa, During 2018- 19, production was 0.27 mt. • Long term / Quarterly contracts cover 95% of Import requirements • Tasra captive coal mine being developed to produce 4 mtpa of ROM (1.8 mtpa washed Post coal) 23.46 19.5 Expansion • New linkages / acquisitions are being explored. • Request has been made to Ministry of Coal for allocation of new potential coking coal blocks in line with recommendations of NITI Aayog. STEEL AUTHORITY OF INDIA LIMITED Strategic Partnerships MAJOR JOINT VENTURES

FOCUS AREA ALLIANCE PARTNER REMARKS

. A Special Purpose Vehicle, namely, ‘Chhattisgarh Mega Steel Limited’ has been formed for setting-up STEEL an Ultra Mega Steel Plant (UMSP) in Bastar area of Chhattisgarh.

. SAIL Bansal Service Center Limited – A JV with Bansal Metal Works Ltd. for a Flat Product service centre at Bokaro. DOWNSTREAM . SAIL SCL Kerala Limited – A JV with Govt. of Kerala for STEEL PROCESSING producing TMT Bars at Kozhikode. UNITS . Prime Gold – SAIL JVC Limited – A JV with M/s Prime Gold for producing TMT Bars at Gwalior. . VSL SAIL JVC Limited – A JV with M/s Velagapudi Steel Ltd. for producing TMT Bars at Ujjain.

. JV with NTPC for operating and managing CPPs of ENERGY Bhilai, Durgapur and Rourkela. . JV with DVC for operating & managing CPP of Bokaro. MAJOR JOINT VENTURES

FOCUS AREA ALLIANCE PARTNER REMARKS

. SAIL Kobe Iron India Pvt. Ltd. – A Joint Venture Company has been formulated for setting up a 0.5 TECHNOLOGY mtpa capacity Plant for producing iron nuggets based on ITmk3 technology.

. International Coal Ventures Pvt. Ltd., a SPV of 5 leading PSUs incorporated (SAIL, RINL, CIL, NTPC & NMDC) for acquisition / operation of coal assets in RAW overseas territories.

MATERIALS . M/s S&T Mining Company Pvt. Ltd. formed with for developing coking coal mines in India. . M/s SAIL & MOIL Ferro Alloys (Pvt.) Ltd. formed with MOIL for production of Ferro-alloys at Bhilai.

. Bhilai Jaypee Cement Ltd. -Slag based cement plant of CEMENT 2.2 million tonne per annum capacity with grinding unit at Bhilai & clinkering unit at Satna. MAJOR JOINT VENTURES

ALLIANCE FOCUS AREA OBJECTIVE PARTNER

. SAIL RITES Bengal Wagon Industry Pvt. Ltd. – A WAGON Joint Venture Company has been formed with M/s MANUFACTURE RITES for setting up Wagon Manufacturing Factory at Kulti, West Bengal.

. JV with Tata Steel to promote e-commerce E-PORTAL activities in steel and related areas Abbreviations used

• BF Blast Furnace • FOB Freight On Board • SMS Steel Melting Shop • JPC Joint Plant Committee • BOF Basic Oxygen Furnace • Kg/thm Kilo Gram Per Tonne of • THF Twin Hearth Furnace Hot Metal • EAF Electric Arc Furnace • Tpd Tonnes Per Day • BSP Bhilai Steel Plant • MT Million Tonne • DSP Durgapur Steel Plant • Mtpa Million Tonne Per Annum • RSP Rourkela Steel Plant • EBITDA Earnings Before Interest, • BSL Bokaro Steel Limited Taxes, Depreciation & Amortization. • SSP Salem Steel Plant • PAT Profit After Tax • VISL Visvesvaraya Iron & Steel Plant • PBT Profit Before Tax • ASP Alloy Steels Plant • RINL Limited • CPLY Corresponding Period Last Year • CS Crude Steel • G.Cal/tcs Giga Calories per tonne of • CDI Coal Dust Injection Crude Steel • CC Continuous Casting • ISP Integrated Steel Plant • BOO Build-Own-Operate • HDGL Hot Dip Galvanizing Line • GoI Government of India • CR Cold Rolled • MOEF Ministry of Environment • HR Hot Rolled & Forests Disclaimer

Statements / Data which do not relate to SAIL and are used / made in this presentation are from sources which are considered reliable and Company cannot be held for its authenticity. Further, statements describing the Company’s projections, estimates, expectations are “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those expressed depending on the circumstances / situations. Major factors that could affect the Company’s operations include, among others, economic conditions affecting demand / supply and prices in the domestic and global markets in which the Company operates, changes in Government regulations, tax laws and other statutes, etc.