Sterlite Industries (India) Limited - Sterlite Industries India Ltd.

Summary of Mine Reserves
The following table sets out HZL’s proven and probable zinc and lead reserves as of March 31, 2009:
Proven Reserve Probable Reserve Total Proven and Probable Reserves
Zinc Lead Silver Zinc Lead Silver Zinc Lead Silver
Mine Quantity Grade Grade Grade Quantity Grade Grade Grade Quantity Grade Grade Grade
(million tons) (%) (%) (g/t Ag) (million tons) (%) (%) (g/t Ag) (million tons) (%) (%) (g/t Ag)
Rampura Agucha 9.2 13.95 2.28 — 58.7 13.27 1.81 56.0 67.9 13.36 1.87 48.4
Rajpura Dariba 3.6 5.87 1.33 102.0 3.8 6.64 1.79 64.0 7.4 6.26 1.56 82.6
Sindesar Khurd 0.9 5.87 2.55 166.0 5.5 5.23 2.79 140.0 6.4 5.32 2.76 143.5
Zawar 3.7 4.00 2.03 — 3.5 3.52 2.06 — 7.3 3.77 2.04 0.0
Total 17.4 9.74 2.04 29.3 71.5 11.82 1.90 60.2 88.9 11.41 1.93 54.1
Smelters
Overview
The following table sets forth the total capacities as of March 31, 2009 at HZL’s Chanderiya, Debari, Vizag and Zawar facilities:
Capacity
Facility Zinc Lead Silver Sulphuric Acid Captive Power
(tpa) (MW)
Chanderiya 525,000 85,000 150 828,500 248.5
Debari 88,000 — — 419,000 14.5
Vizag 56,000 — — 91,000 —
Zawar — — — — 86.0
Total 669,000 85,000 150 1,338,500 349.0
Chanderiya
The Chanderiya facility is located approximately 120 kilometers east of Udaipur in the State of Rajasthan in Northwest India. The facility
contains four smelters, two associated captive power plants, two sulphuric acid plants, and a silver refinery:
• An ISP TM pyrometallurgical lead-zinc smelter with a capacity of 105,000 tpa of zinc and 35,000 tpa of lead that was commissioned in
1991;
• Two RLE hydrometallurgical zinc smelters with a capacity of 170,000 tpa each that were commissioned in May 2005 and
December 2007. Pursuant to the improvement in operational efficiencies which was completed in April 2008, the zinc smelting
capacity increased by 40,000 tpa to 210,000 tpa each;
• An Ausmelt TM lead smelter with a capacity of 50,000 tpa that was commissioned in February 2006;
• Associated 154 MW and 80 MW coal-based captive power plants commissioned in May 2005 and April 2008, respectively;
• A 14.5 MW fuel based captive power plant transferred from Debari in March 2009 and which was originally commissioned at Debari
in March 2003;
• Two sulphuric acid plants with a total capacity of 828,500 tpa of sulphuric acid; and
• A silver refinery with a capacity of 150 tpa silver ingots.
Concentrate requirements for the facility are supplied by HZL’s mines. The 154 MW, 80 MW and 14.5 MW captive power plants at
Chanderiya and 80 MW captive power plant at Zawar provide all of the power for the facility. The captive power plants require approximately
130,000 tons of coal per month, which we procure through tenders and from the domestic market, with contracts made on the basis of one to
three shipments of 50,000 to 70,000 tons each and the particulars depending on price and other circumstances. The coal is imported from a
number of third party suppliers. In addition, HZL secured in January 2006, as part of a consortium with five other partners, the award of a coal
block from the Madanpur Coal Block which is expected to help meet the coal requirements of its captive power plants in the future. HZL’s
share of the coal block is 31.5 million tons which, according to the Ministry of Coal of the Government of India, are proved reserves with ash
content ranging from 28.7% to 47.0% and with gross calorific value ranging from 3,865 Kcal/kg to 5,597 Kcal/kg. On June 16, 2008, the
Ministry of Coal of the Government of India approved our mining plan. HZL has also been awarded 1.625 million tons of coal linkage by the
Ministry of Coal of the Government of India, which will enable us to source coal from mines of South Eastern Coalfields Limited, or SECL, a
subsidiary of Coal India.
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