Essar Ports LtdEssar Ports Ltd

Performance Update

Quarter ended 31st December 2012

First Ship Loading at the newly commissioned Paradi p Dry Bulk Terminal

570884

2019

2495

6601088

2591

3126

0

500

1000

1500

2000

2500

3000

3500

2005-06 2010-11 2016-17 2019-20

Traffic

Capacity

MM

TP

A

Ports Growth in India – Lagging demand

Projected Total Cargo Traffic Growth

2

Source: India Maritime Agenda, MoS

Commodity-wise Outlook

Faster Expected Capacity Growth for Non Major ports

Source: Crisil Research Ports Annual Review

307

101139

114

452

248194 210

050

100150200250300350400450500

POL Coal Iron ore Container

MM

TP

A

2009-10 2014-15(E)

CAGR-13%CAGR-7%CAGR-20%

CAGR-8%

Source: India Maritime Agenda, MoS

346

1666

617

1459

0

500

1000

1500

2000

2010 2020

Non Major Ports Major Ports

MM

TP

A

Investment expected between 2010 – 2020 Rs crore

Non Major Ports 167,000

Major Ports 110,000

Total 277,0000

50

100

150

200

250

300

350

400

450

Q1-Q3 FY12 Q1-Q3 FY13

418 405

Traffic at Major Ports (MMT)

Essar Ports performing better than the industry

0

5

10

15

20

25

30

35

40

Q1-Q3 FY12 Q1-Q3 FY13

30.87

39.71Essar Ports (MMT)

Source: Indian Ports Association

Essar Ports: Overview

3

Salaya

Paradip I (Dry Bulk)

HaziraINDIA

BAY of BENGAL

INDIAN OCEAN

Paradip II (Coal)

Vadinar

Hinterland for Essar Ports

� 20 MTPA Dry Bulk Terminal at Salaya� 14 MTPA Coal Terminal at Paradip*

� 20 MTPA General Cargo Terminal (expansion) at Hazira

� Liquid Storage Terminal (expansion) at Vadinar

Operational

Under Construction

Under Development

� 3 stand-alone ports on the West Coast and 2 terminals on the East Coast of India

� Presence in strategic locations of east and west coast

� High visibility on revenue with long term Take-or-Pay contracts

� Current capacity of 104 MTPA being scaled up to 158 MTPA by 2015. Further scalability possible at most locations

� High operating margins at operating ports

� 58 MTPA Liquid Terminal at Vadinar� 30 MTPA Dry Bulk / General Cargo Terminal

at Hazira� 16 MTPA Dry Bulk Terminal at Paradip

* Construction expected to commence shortly

4

Essar Ports: Key Highlights

Cargo Handled

0

2

4

6

8

10

12

14

16

Q3 FY12 Q3 FY13

6.95

10.52

2.99

3.71

0.11

Vadinar Hazira Paradip Dry Bulk

9.94

14.34 Q3 FY12

Q3 FY13

Growth %

Q1-Q3 FY12

Q1-Q3FY13

Growth %

Revenue 276.8 367.0 33% 834.4 1,044.8 25%

EBITDA 219.4 294.9 34% 670.4 853.4 27%

PAT 45.0 90.4 101% 125.4 239.5 91%

EPS 1.10 2.11 92% 3.06 5.60 83%

(Figures in Rs Cr)

� Total of 14.34 million tonnes of cargo handled during the quarter which is the highest cargo handled in one quarter for Essar Ports

� Essar Ports successfully commissioned the fully mechanized, state of the art Paradip dry bulk terminal with a capacity of 16 MMTPA

during the quarter.

� The total operating capacity of Essar ports now is 104 MMTPA

Paradip Dry Bulk: Commissioned in December 2012

5

Paradip Dry Bulk

� Successfully commissioned the state of the art terminal in

December 2012

� Essar Steel’s first phase of 6 MMTPA Pellet plant already

commissioned and production is expected to reach its peak

capacity by Q1 FY2014

� Essar Steel’s second phase pellet plant of additional 6 MMTPA

capacity is under construction

� Marketing ongoing with third party customers as well

Conveyor Gallery

First Ship Loading at the Jetty

Facility Capacity

Loader 5,000 TPH

Conveyor (9KM length) 5,000 TPH

Reclaimers 2 x 2,500 TPH

Vadinar: Highlights

6

� Received award for outstanding environmental protection at India Shipping Summit for innovation and best practice in minimizing marine pollution and the protection of the marine environment

� Received Port/Terminal of the year award in the field of Health, Safety and Environment at Gujarat Star Awards 2012

� EOL completed expansion to 20 MMTPA refining capacity in June 2012. Refinery running at full capacity since July 2012.

Cargo Handled Q3 FY12

Q3 FY13

Growth %

Q1-Q3 FY12

Q1-Q3FY13

Growth %

Cargo (MMT) 6.95 10.52 51% 22.15 29.28 32%

No. of Ships 56 112 100% 197 302 53%

0

2

4

6

8

10

12

Q3FY12 Q3FY13

6.95

10.52

Hazira: Highlights

7

� Terminal handled 680,000 MT of third party coal during Q1-Q3 FY13

� Third party revenues contributed to ~7% of Hazira revenues during Q1-Q3 FY13

� Essar Steel has completed its expansion to 10 MMTPA capacity in Jan 2012. Plant is expected to ramp up production during the year

3rd Party Coal Handling at Hazira

Cargo Handled Q3 FY12

Q3 FY13

Growth %

Q1-Q3 FY12

Q1-Q3FY13

Growth %

Cargo (MMT) 2.99 3.71 24% 8.72 10.31 18%

No. of Ships 58 66 14% 172 201 17%

0

0.5

1

1.5

2

2.5

3

3.5

4

Q3FY12 Q3FY13

2.99

3.71

Salaya: Progress

8

Construction work at Salaya

� Project progress: 57%. Expected completion: Dec 2013

� Piling and Decking works completed for Jetty

� Bund Work has started

� Erection work of Ship unloaders & loaders are under progress

� Stackyard is operational with two stacker cum reclaimers

� Conveyor fabrication is under progress

� 1,710 MW of imported coal based power generating capacity already operational

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Essar Ports: Increasingly diversified cargo split a nd higher volumes

Increase in cargo due to ramp up of Essar Oil and E ssar Steel throughput post completion of Essar Oil refinery expansion to 20 MMTPA and Essar Steel expansion to 10 MMTPA

Q1-Q3 FY12 Q1-Q3 FY13

Crude (SPM), 8.57

Liquid Product

(Jetty), 5.83

Liquid Product

(Road/Rail), 2.95

Liquid Intermediate,

4.80

Dry Bulk, 7.26

Breakbulk/Project Cargo,

1.46

Q1-Q3 FY12 Total Volume 30.87 MMT

Crude (SPM), 11.98

Liquid Product (Jetty), 9.19

Liquid Product (Road/Rail),

3.31

Liquid Intermediate,

4.80

Dry Bulk, 9.16

Breakbulk/Project Cargo, 1.27

Q1-Q3 FY13 Total Volume 39.71 MMT

Essar Group75%

3rd Party25%

Estimated Revenue Split (FY2016)

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Growth in Third Party Traffic

Hazira

� Handled 680,000 MT of third party cargo during Q1-Q3 FY2013

� Increasing demand from Coal Traders and Project Cargo customers.

Paradip Dry Bulk Terminal

� Plans to handle 5 MMT of third party dry bulk cargo at its fully mechanized facility

Merchant Coal Berth at Paradip

� Concession provides for current coal cargo to be shifted to this berth

� Traffic at Paradip coal berth is expected to be 14 to 15 MMTPA by FY16

Salaya

� Currently 5 to 6 MMT coal being handled in neighboring shallow draft berths

� Salaya plans to handle coal and bauxite for industries and coal traders in the region.

� Potential of third party cargo is around 6 to 8 MMTPA in FY16

Vadinar

� Plans to invest in crude tankages and product tankages for consumers, traders and National oil companies

� Potential cargo of 5 to 7 MMTPA by FY16

Capacity: 104 MMTPAUtilization: ~60%

Essar Group, 97%

3rd Party, 3%

Revenue Split (Q1-Q3 FY2013)

Capacity: 158 MMTPAEstimated Utilization:75%+

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Essar Ports: Strong growth in performance

269% Increase in EPS highlighting the continued imp rovement in the company’s performance and overall f inancials

0.0

200.0

400.0

600.0

800.0

1000.0

1200.0

Q1-Q3 FY11 Q1-Q3 FY12 Q1-Q3 FY13

542.2

834.4

1044.8

Revenue (Rs Crore)

Revenue

0.0

150.0

300.0

450.0

600.0

750.0

900.0

Q1-Q3 FY11 Q1-Q3 FY12 Q1-Q3 FY13

398.3

670.4

853.3EBITDA (Rs Crore)

EBITDAQ1-Q3 FY12 EBITDA

Margin 80%

Q1-Q3 FY13 EBITDA Margin 82%

0.0

40.0

80.0

120.0

160.0

200.0

240.0

Q1-Q3 FY11 Q1-Q3 FY12 Q1-Q3 FY13

17.0

125.4

239.5PAT (Rs Crore)

PAT

0.00

1.00

2.00

3.00

4.00

5.00

6.00

Q1-Q3 FY11 Q1-Q3 FY12 Q1-Q3 FY13

0.41

3.06

5.60Basic EPS (Rs per Share)

EPS

(Figures in Rs Crore)

Q3FY13 Q3FY12 Q1-Q3 FY13 Q1-Q3 FY12 FY12

Total Income 367.0 276.8 1,044.8 834.4 1,131.1

Total Expenses 72.1 57.4 191.4 164.0 217.9

EBITDA 294.9 219.4 853.4 670.4 913.2

EBITDA Margin 80% 79% 82% 80% 81%

Interest and Finance Expenses 126.4 101.7 371.7 306.9 420.8

Profit Before Depreciation and Tax 168.5 117.7 481.7 363.5 492.4

Depreciation 59.5 56.1 176.6 161.2 220.3

Profit Before Tax 109.0 61.6 305.1 202.4 272.2

Exceptional Item - - - - 235.5Profit After Exceptional Item and Before Taxes 109.0 61.6 305.1 202.4 36.7

Tax 17.6 5.1 63.5 44.2 -62.2

Adjustment for Share of Minority Interest 0.9 11.6 2.2 32.8 34.9

Profit After Tax 90.4 45.0 239.5 125.4 64.0

Basic EPS (Rs) 2.11 1.10 5.60 3.06 1.56

Essar Ports: Financial Performance

12

� Revenue increase on account ofincreased off-take from anchorcustomers and higher take or paynumbers

� Quarter on Quarter revenue saw agrowth of 33% to Rs 367.0 crore andEBITDA saw a growth of 34% to Rs294.9 crore

� PAT increased to Rs 90.4 crore asagainst a profit of Rs 45.0 crore for theprevious year, an increase of 101%

� EPS for Q1-Q3FY13 at Rs 5.60 pershare as against EPS of Rs 3.06 forQ1-Q3 FY12

Note: Financials reported as per Indian GAAP

Highlights for Q3FY13

Debt as on 31 st December 2012 (Rs Crore)

Operating 4,137

Projects 1,540

TOTAL 5,677

Analyst Contacts

13

Mr. Anshumali DwivediHead – Investor RelationsEssar Ports LimitedTel: + 91 22 6744 7742 / + 91 98339 45648Email: anshumali.dwivedi@essar.com

Mr. Rakesh KankanalaSenior Manager – Corporate FinanceEssar Ports LimitedTel: + 91 22 6744 7712 / + 91 99301 36596Email: rakesh.kankanala@essar.com

Legal Disclaimer

“This presentation is for information purposes only and does not constitute an offer, solicitation or advertisement withrespect to the purchase or sale of any security of Essar Ports Limited (the “Company” or “EPL” or “Essar Ports Limited”)and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.

This presentation is not a complete description of the Company. Certain statements in this presentation contain words orphrases that are forward looking statements. All forward-looking statements are subject to risks, uncertainties andassumptions that could cause actual results to differ materially from those contemplated by the relevant forward lookingstatement. Any opinion, estimate or projection herein constitutes a judgment as of the date of this presentation, and therecan be no assurance that future results or events will be consistent with any such opinion, estimate or projection. Theinformation in this presentation is subject to change without notice, its accuracy is not guaranteed, it may be incomplete orcondensed and it may not contain all material information concerning the Company. We do not have any obligation to, anddo not intend to, update or otherwise revise any statements reflecting circumstances arising after the date of thispresentation or to reflect the occurrence of underlying events, even if the underlying assumptions do not come to fruition.

All information contained in this presentation has been prepared solely by the Company. No information contained hereinhas been independently verified by anyone else. No representation or warranty (express or implied) of any nature is madenor is any responsibility or liability of any kind accepted with respect to the truthfulness, completeness or accuracy of anyinformation, projection, representation or warranty (expressed or implied) or omissions in this presentation. Neither theCompany nor anyone else accepts any liability whatsoever for any loss, howsoever, arising from any use or reliance on thispresentation or its contents or otherwise arising in connection therewith. This presentation may not be used, reproduced,copied, distributed, shared or disseminated in any other manner.

The distribution of this document in certain jurisdictions may be restricted by law and persons into whose possession thispresentation comes should inform them about, and observe, any such restrictions.”

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