Kolkata, 30th September 2011: The largest independent metallurgical coke producer in India, GUJARAT NRE COKE LTD, in its recently concluded 24th AGM put forward the various milestones covered in last one year and also drew up a road map for future growth. The company reiterated that it is focused in its growth commitments and is making all the right moves to achieve the targets that it has set for itself.

The company is introducing longwall mining at NRE No. 1 Colliery, for which it had placed an order for $90 million and the first batch of longwall equipment is on site and ready to go underground as per schedule. The installation of the most modern longwall systems available globally, in NRE No 1 is a step in its continued effort to increase coking coal production from the two prime hard coking coal mines in Australia that it owns and operates, to reach the target production of 6 MTPA by 2015.

In India, the process for receiving all the approvals and clearances to set up the Greenfield project in Andhra Pradesh is underway and progressing. On receiving the same, it plans to start work on a firm footing to reach 4 MTPA production target in the next 4 years. The company’s Brownfield expansions are also underway in Gujarat and the progress is satisfactory.

Speaking on the steel industry, Mr Arun Kumar Jagatramka, Chairman and Managing Director of Gujarat NRE Coke Ltd said that the steel consumption in India has been stagnant for the greater part of the year, which is primarily due to the domestic status quo and lack of infrastructure growth and other manufacturing expansions. However, Mr Jagatramka was optimistic that in the longer run, the steel production is expected to reach 200 MT by 2020.

On coking coal and coke pricing, Mr Arun Kumar Jagatramka pointed out that in spite of the stagnancy in steel growth, price of coking coal has been in the range of $280 - $320 per tone as against $129 two years back and $225 last year and that of met coke has been moving around the $450 per tonne mark. Mr Jagatramka attributed this high price to the supply scarcity in global market for both coking coal and met coke.

Speaking on how he sees the future of the industry and the company, Mr Jagatramka said, “In our industry, if winter is here, spring can’t be far behind. Historically we have seen such upturns particularly every leap year for the last two decades and 2012 happens to be the next leap year. Our Company is working on building capacity in line with the projected steel consumption growth.” He further added “when the steel growth rebounds, riding on a high coke price, Gujarat NRE will be ready to ride the crest of the wave. The domestic coke prices are reasonably high and when the demand increases due to the increase in steel consumption and consequently steel production, it is only anybody’s guess the high level which the coke prices may attain.”

The annual general meeting also approved the dividend for the year 2010-11 @ 10% i.e. Re 1 per share. The same will be paid on or before 28th October 2011 to those shareholders holding shares on the relevant date.

For more information please contact:

Mr Sutirtha Roy at +(91) 98790 19880 or mail at [email protected]