Vedanta Resources : BMO Mining Conference

VEDANTA LIMITED, BMO GLOBAL METALS AND MINING CONFERENCE, FEBRUARY 2017

The views expressed here may contain information derived from publicly available sources that have not been independently verified by us.

No representation or warranty (express or implied) is made as to, and no reliance should be placed on, 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 and Vedanta Limited and any of their subsidiaries. Past performance of Vedanta Resources plc and Vedanta Limited and any of their subsidiaries cannot be relied upon as a guide to future performance. None of Vedanta Resources plc, Vedanta Limited, any of their respective shareholders or subsidiaries or any of such person's officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this presentation.

Certain statements in this presentation are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbour created thereby. Actual results may differ materially from these statements. The words "expect," "anticipate," "project," "believe" and similar expressions identify forward- looking statements. Although we believe that the expectations reflected in these forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. In addition, estimates of future operating results are based on our current expectation of businesses, which is subject to change. 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 a political, economic, business, competitive or regulatory nature. These uncertainties may cause our actual future results to be materially different that those expressed in these forward-looking statements. Statements in this presentation speak

only as of the date of this presentation, and we disclaim any responsibility to update or revise such statements.

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 Vedanta Resources plc and Vedanta Limited and any of their subsidiaries 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.

This presentation contains non-GAAP financial information, which the management of Vedanta Resources plc and Vedanta Limited believes is valuable in understanding the respective performances of Vedanta Resources plc and Vedanta Limited. However, non-GAAP information is not uniformly defined by all companies and therefore it may not be comparable with similarly titled measures disclosed by other companies, including those in the same industry as Vedanta Resources plc and Vedanta Limited. Although these measures are important in the assessment and management of the business of Vedanta Resources plc and Vedanta Limited, they should not be viewed in isolation or as replacements for, but rather as complementary to, the comparable GAAP measures.

• Portfolio of large, diversified, low-cost assets geared towards base metals and oil

  • Well-invested assets ramping up and driving cash flow growth

  • Costs in lower half of the cost curve across all

    Cost curve positioning

    Position on respective commodity C1 cost curve

    I II III IV

    Zinc India

    Zinc

    Size of circle

    commodities

• Strong financial profile

  • 9M FY2017 Revenue of $7.4bn, EBITDA of $2.1bn and Free Cash Flow of $0.7bn

    O&G

    Copper India

    Iron ore¹

    Intl.

    Aluminium

    denotes EBITDA

    contribution

  • Net Debt/EBITDA at 0.7x, one of the lowest among global peers

  • Access to diversified sources of funding

• Largest diversified resources company in India

  Source: Wood Mackenzie as of Q4 2016, CRU Aluminium business cost curve (2015) ¹ On a 58% Fe cost basis only

  EBITDA mix (9M FY2017)

  6%

  9%

  • Over two-third of revenues from Indian markets

  • FY2016 contribution to government exchequers:

    $4.4bn

  • 2.25 million beneficiaries of community development programs across India and Africa

• Merger with Cairn India approved by all sets of shareholders; expected to complete in Q1 CY2017

8%

9%

20%

46%

Zinc

Oil & Gas Aluminium Power Copper Iron Ore

Aluminium Zinc Copper Iron Ore 62%² Silver Brent Oil VED commodity basket¹ 700

(01 Jan 2004 = 100)

600

500

Vedanta's commodity basket up by 57% since Jan'16

400

300

200

100

201% Silver

186% Zinc

157% Copper

113%

89% Brent

30% Iron ore2

16% Aluminium

Vedanta commodity basket1

0

Jan-04 Dec-04 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17

Source: Company filings, Bloomberg

1. Vedanta Limited Commodity Basket is a weighted average of commodity prices, weights are based on actual FY2016 revenue mix. Copper India revenues based on realized Tc/Rc's.

2. Iron ore price is available since May 2008, prior to that iron ore was traded contractually

EBITDA Rs. Crore

Zinc Oil & Gas Aluminum Power Copper Iron ore Group EBITDA margin²

6,000

4,000

2,000

32.0%

34.0%

26.0%

29.0%

32.0%

38.5%39.3%

0

Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

2. Excludes custom smelting at Copper and Zinc India operations