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1 Gujarat NRE Coking Coal Limited (ASX: GNM ) INVESTOR PRESENTATION June 2012

2 Highlights Premium Quality Mines with Longwall Operations NRE No.1 and NRE Wongawilli produce amongst the highest quality hard coking coal in Australia with an estimated 125 Mt of JORC reserves and 652 Mt JORC resources Brownfield expansion expected to return production to historical levels of ~5 Mtpa Valuable Asset Base Independent Wood Mackenzie base case valuation of $990 million (1) Additional value associated with $90 million recent equipment purchases Favorable Mine Location Australia is the world s largest exporter of coking coal and a major supplier to Japan, China, India and Brazil Proximity to rail and underutilized Port Kembla terminal allows for low transportation costs Sydney and Wollongong area provides access to experienced workforce Solid Credit Profile Longwall expected to immediately restore EBITDA to $120 million by 3/2013 Experienced Management and Strategic Partners Parent company is largest independent producer of metallurgical coke in India Over $650 million investment to date Jindal Steel & Power recently invested $25 million for 9% stake and signed to 10-year, 500 Ktpa off-take agreement; option for additional 500 Ktpa after 3 Mtpa delivered (2) (1) Valuation from Wood Mackenzie report dated March 29, (2) Subject to Australian regulatory approval. 2

3 Highly Experienced Management Team Arun Kumar Jagatramka Executive Chairman 28+ Years of Experience Established the Company in 2004; only Indian entity to own and operate coking coal mines in Australia Has grown Gujarat NRE Coke to largest independent producer of Met Coke in India Chartered Accountant with all India 1 st rank and Gold Medal Sanjay Loyalka Management Committee 24+ Years of Experience Former Managing Director of Aditya Birla s Australian operations Extensive experience in mining and metals, manufacturing and logistics-based industries Chairman of the ASX-listed Shree Minerals Limited P.R. Kannan Oversees Australian expansion, corporate affairs and finance since 2004 Group CFO Actively involved in the operational planning and management of NRE No. 1 and Wongawilli 28+ Years of Experience Extensive experience in banking industry, corporate finance and foreign exchange Joined the Company in 2006 as Mining Superintendent; former Mining Engineer Chris Harvey Formerly with Department of Mineral Resources and Senior Environmental Officer / Inspector Corporate Relations 35+ Years of Experience PhD in Mining Engineering from Wollongong University with expertise in Illawara coal mining industry Steve Bow Operations Manager: NRE Wongawilli 28+ Years of Experience Formerly held various managerial positions covering technical and operational management with BHP Billiton and its coal operations in the Illawarra region First class mine managers ticket and qualified competent person in reserves analysis. Rhys Brett 8 years of underground coal mining with Anglo, Centennial and Xstrata Operations Manager: NRE No.1 NSW 1st Class Certificate of Competency for Underground Coal Mines and a diploma on Ventilation 8+ Years of Experience Engineering 3

4 Introduction of Strategic Investor (US$ in millions) Jindal Steel and Power Business Segments Jindal Steel & Power Limited ( Jindal ) recently invested $25 million of equity at a 39% premium to current market price Represents an approximately 9% ownership stake Steel Power Mining Investor Jindal Steel & Power Ticker BSE: Market Cap $7.6 billion TEV $10.3 billion LTM Revenue $3.6 billion LTM EBITDA $1.3 billion Company Credit Rating (1) A- The off-take agreement allows Jindal to access up to 500 Ktpa over the next 10 years Option for additional 500 Ktpa after 3 Mtpa delivered Jindal is a ~$10 billion enterprise value, publicly traded Indian diversified industrial company Partnership with top caliber firm such as Jindal: Diversifies our end user base; and Adds significant value not only economically, but strategically for longterm value creation Source: Jindal Steel & Power website; press releases. (1) Credit rating from ICRA, an Associate of Moody s Investors Service. 4

5 Company Overview

6 Gujarat NRE Coking Coal Limited Overview ($ in millions) New South Wales - Illawarra Region Gujarat NRE Coking Coal Limited ( Gujarat or the Company ) is an ASX-listed hard coking coal producer NRE No.1 16 Km to Port Kembla Sydney 92.5 Km to Port Kembla 100%-owner of two underground, high-quality, coking coal mines in New South Wales, Australia Located in top exporting region and bordered by major coking coal mine operators NRE Wongawilli 14 Km to Port Kembla Total JORC reserves of 125 Mt and resources of 652 Mt with a valuation as determined by WM of $990 million Current unwashed coal production of 1.1 Mtpa (~$45 million EBITDA) projected to return to historical levels of ~5.0 Mtpa Over $650 million of capital invested to date In April 2012,longwall ll mining i system put into service 6

7 Reserves and Resources Overview Reserves and Resources Mine Contribution Proven 31 Mt 25% NRE Wongawilli 33 Mt 27% Probable 94 Mt 75% NRE No. 1 Colliery 92 Mt 73% 125 Mt Reserves Total Reserves Measured 74 Mt 11% Inferred 399 Mt 61% Indicated d 179 Mt 28% NRE Wongawilli 337 Mt 52% NRE No. 1 Colliery 315 Mt 48% 652 Mt Resources Total Resources 7

8 NRE No.1 Colliery Development Brownfield mine development strategically located in Southern Coalfields of NSW NRE No. 1 coal products known for high quality Contributes over 70% of the Company s reserves Coal leases cover over 64.2 sq km and include three coal seams Bulli: Worked extensively for over 120 years; one of oldest in Australia Current Longwall Operations Balgownie and Wongawilli: Largely untapped resources with significant potential t Asset Highlights JORC Reserves JORC Resources YE 3/2013E Production Reservee Life Distance to Port Kembla 92 Mt 315 Mt 1.4 Mtpa 30+ years 16 km LEGEND FYE March In FY 2012, Company largely focused on the installation and commissioning of longwall equipment Longwall commenced production in April 2012 Targeting larger blocks which will restore to ~3 Mtpa historical production 8

9 NRE Wongawilli Colliery Current Longwall Operations Located in close proximity to NRE No.1 and situated in the Southern Coalfields of NSW Coal leases cover more than 141 sq km Development Commenced longwall operations in 2009 and have achieved stable production growth Acquired from BHP Billiton in December 2007 Company plans to return to historical peak production level of ~2 Mtpa Initiated new access driveage in support of new longwall panels to the west and south ASSET HIGHLIGHTS JORC Reserves JORC Resources YE 3/2013E Production Reserve Life 33 Mt 337 Mt 1.1 Mtpa 30+ years LEGEND FYE March Targeting larger longwall blocks to maximize operational and production capability of the longwall equipment Company expects to improve production and reduce operating costs over time Distance to Port Kembla 14 km 9

10 Low Cost Transportation Port Kembla Coal Terminal ( PKCT ) provides significant cost savings through reduced transportation costs Located within 16 Km of NRE No. 1 and NRE Wongawilli Provides excellent access to road and rail PKCT is currently not operating at full capacity Results in low demurrage charges and reduced overall transportation costs Offers direct port access and minimal delays in loading and dispatch of cargo Unwashed coal from NRE No. 1 is transported via truck haulage to PKCT Proven ability to transport up to 3 Mtpa NRE Wongawilli is transported t via private rail from the mine site to PKCT Historically up to 2 Mtpa has been transported via existing infrastructure Source: Port Kembla Port Corporation. 10

11 One of the Hardest Coking Coals NRE coking coal has superior qualities relative to most Australian coking coal products Illawarra region, where the Company s mines are located, has amongst the highest quality coal in the world Only accessible to limited group of major operators BHP Billiton, Xstrata, Peabody, Gujarat Spec BHP Billiton Gonnyella Coal BHP Billiton Peak Downs Coal Xstrata Oaky Creek Coal GNM Coal Ash 88% 8.8% 10.4% 93% 9.3% 95% 9.5% Volatile Matter 23.2% 20.3% 26.7% 22.0% Sulfur 0.52% 0.55% 0.74% 0.50% Phosphorus 0.02% 0.01% 0.06% 0.01% CSN MMR 1.18% 1.45% 1.16% 1.24% Fluidity (ddpm) 1, ,000 4,000 Quality Legend Better Average Lower Source: Typical specifications as per analysis certificate of washed coal. 11

12 Global Coking Coal Demand (Mtpa) Seaborne Hard Coking Coal Demand for coking coal is driven by worldwide steel production which is expected to remain robust for the foreseeable future 68% of global steel production relies directly on coal inputs 100 Australia is the world s largest exporter of hard coking coal and a major supplier to China and India Limited quantities of hard coking coal in other countries drive Australia coal exports E 2015E 2020E (M Mtpa) Seaborne Semi-Soft and PCI China, Japan, India and South Korea, four of the 143 world s largest steel producers, represent ~75% of 122 coking coal demand Driven primarily by construction and automotive 88 industries Many of these countries are experiencing rapid infrastructure growth E 2015E 2020E Source: AME, RTCA Analysis, Merlin Trade and Consultancy Ltd 12

13 Growth Strategy

14 Growth Strategy Implement longwall operations at NRE No.1 Sustain modest growth at Wongawilli through existing longwall operations Increase production and cash flow through focus on longwall operations 14

15 NRE No. 1 Longwall Operations Underway (To ons per month) Longwall Ops. Significantly Increases Production 150,000 Continuous mining Longwall mining (1) 125, , ,000 75,000 50,000 23,714 25,000 17,213 6,854 3,898 0 Jan-12 Feb-12 Mar-12 Apr-12 May-12 The implementation ti of the longwall ll mining at NRE No.1 has significantly increased production as expected ining Mechan nized Longwa all in Operatio on $90 million Joy Mi (1) Longwall mining operations commenced April

16 Sustain Modest Growth of Wongawilli ($ in millions) (Mtpa) Production Profile (Wongawilli) /2010 3/2011 3/2012 3/2013 3/2014 Revenue (Wongawilli) The Company acquired NRE Wongawilli from BHP Billiton in December 2007 Experienced stable growth until FY 2012 The mining of small remnant longwall blocks left by BHP Billiton led to operational and geological constraints and restricted production Additionally, the size of the blocks resulted in the frequent relocation of longwall equipment and delayed production The Company expects full production and ~2 Mtpa by 3/2016 $300.0 Long-term strategy will focus on the development $250.0 $200.0 $ $100.0 $50.0 $- $102.0 $187.0 $115.2 $158.4 $ /2010 3/2011 3/2012 3/2013 3/2014 of previously unutilized areas A new set of underground roadways will be developed Company will focus on mining larger longwall blocks Management believes it will eliminate frequent relocation of longwall equipment 16

17 Increased Production Through Mine Development ($ in millions) Capital Expenditures Historically capital expenditures result in incremental NRE No.1 3/2012 EBITDA 2-3 years from the investment date Plant & Equipment: Power Supply $40 Over $250 million in capital expenditures during Coal Handling/Infrastructure/RV 24 FY 2012 Conveyor and Services 20 Approximately $100 million incremental EBITDA Support Equipment 20 expected by 3/2014 Electricals/Fans 8 Longwall Equipment 1 Total NRE No. 1 Plant & Equipment $113 Add: Mining Leases 35 The Company intends to invest in upgrades to its Add: Civil - Drifts and Drivages 20 mines and port infrastructure Add: Land and Building 15 Total NRE No. 1 Capex $183 Specifically will focus on the development of the Wongawilli seam at both mines Wongawilli Plant & Equipment: Civils - Drifts and Drivages $10 Power Supply 9 Conveyor and Services 5 Coal Handling/Infrastructure 5 Longwall Equipment/Refurbishment 3 Other 6 Total Wongawilli Capex $38 Other Capex $31 These ongoing upgrades will largely be funded with internal cash flow The Company s goal is to increase production to ~5 Mtpa by 3/2016 Total 3/2012 Capex $252 17

18 Summary of Growth Strategy ($ in millions) $150 $144 $144 $125 $43 $100 $101 $75 $56 $50 $45 $25 $- FYE 3/2012 Implement Longwall at No. 1 Modest Wongawilli Growth FYE 3/2014 The ~$100 million of incremental EBITDA will be driven by the continued implementation of the longwall equipment at No.1 and stable Wongawilli growth 18

19 Financial Overview

20 Financial Summary ($ in millions) Revenue EBITDA $500.0 $400.0 $300.0 $ $100.0 $139.4 $227.4 $184.6 $334.8 $422.4 $200.0 $ $120.0 $80.0 $40.0 $25.9 $82.9 $44.9 $120.2 $144.0 $- $- 3/2010 3/2011 3/2012 3/2013 3/2014 3/2010 3/2011 3/2012 3/2013 3/2014 Margin 19% 36% 24% 37% 34% Production Capex $300.0 $ $200.0 (Mtpa a) $100.0 $123.8 $128.2 $100.0 $ /2010 3/2011 3/2012 3/2013 3/2014 $- 3/2010 3/2011 3/2012 3/2013 3/

21 Appendix

22 Valuation by Wood Mackenzie (US$ in millions) Wood Mackenzie ( WM ) was retained by the Company to provide a valuation of the Company s operations The resulting estimate of value represents WM s view, based on publicly available information WM considered two scenarios, using multiple valuation methodologies including NPV analysis and comparable recent transactions Scenario #1: Based on status t quo in which h NRE No.1 and NRE Wongawilli are operated within Gujarat NRE Coke s vertically integrated model Scenario #2: Fair market value based on what a bidder, intending to enhance the quality of the coal for the seaborne market, might be expected to pay for the stand-alone assets (US$ in millions) Vertically Integrated Assets Fair Market Value Base Case $990 $938 The resulting valuation shows an initial range under base case assumptions (1) of US$938 to US$990 million (1) In developing the valuation, WM used as inputs its own assumptions for production rates, costs (opex & capex), mine life, discount rate, price and carbon tax impact (refer to next slide) 22

23 Valuation by Wood Mackenzie (continued) Wood Mackenzie has used several key assumptions in developing its valuation based on publicly available information Vertically Integrated Assets Assumptions Fair Market Value Assumptions NRE No.1 NRE Wongawilli NRE No.1 NRE Wongawilli Discount Rate 10% 10% 10% 10% Peak Production 2.7 Mtpa 2.7 Mtpa 2.7 Mtpa 2.7 Mtpa Modeled Production 20 years 10 years 20 years 10 years Priceline 0.65*HCC 0.55*HCC 1.00*HCC 0.97*HCC Cost Ex Carbon at Peak Production (Real US$/t) Wash Plant Capex N/A N/A US$71M US$76.4M Yield N/A N/A 66% 66% Coking Coal/Thermal Split N/A N/A 90:10 90:10 Carbon Emissions (tco2e/trom) Government Assistance % of carbon cost above 0.1t/t, capped at 2008/9 levels, for 6 yrs 23

24 Reserves & Resources NRE No.1 & Wongawilli The two mines collectively have JORC reserves of ~125 Mt and resources of over 650 Mt with an independent Company valuation of $938 - $990 million NRE No.1 Colliery Resources (Mt) Reserves (Mt) Seam Measured Indicated Inferred Total Proven Probable Total Bulli Balgownie Wongawilli Total NRE Wongawilli Colliery Resources (Mt) Reserves (Mt) Seam Measured Indicated Inferred Total Proven Probable Total Bulli Wongawilli Tongarra Total

25 Disclaimer & Important Notice FORWARD LOOKING STATEMENTS AND OTHER MATTERS UNLESS OTHERWISE NOTED, THE FORECASTED INDUSTRY AND MARKET DATA CONTAINED IN THE ASSUMPTIONS FOR THE PROJECTIONS ARE BASED UPON MANAGEMENT ESTIMATES AND INDUSTRY AND MARKET PUBLICATIONS AND SURVEYS. THE INFORMATION FROM INDUSTRY AND MARKET PUBLICATIONS HAS BEEN OBTAINED FROM SOURCES BELIEVED TO BE RELIABLE, BUT THERE CAN BE NO ASSURANCE AS TO THE ACCURACY OR COMPLETENESS OF THE INCLUDED INFORMATION. GUJARAT NRE COKING COAL LTD ( GNM ) HAS NOT INDEPENDENTLY VERIFIED ANY OF THE DATA FROM THIRD-PARTY SOURCES, NOR HAS GNM ASCERTAINED THE UNDERLYING ECONOMIC ASSUMPTIONS RELIED UPON THEREIN. THE INFORMATION AND OPINIONS SUPPLIED BY WOOD MACKENZIE (AUSTRALIA) PTY LIMITED, DOES NOT INCLUDE, NOR SHALL BE CONSTRUED AS INCLUDING, ADVICE, GUIDANCE OR RECOMMENDATIONS FROM WOOD MACKENZIE TO TAKE, OR NOT TO TAKE, ANY ACTIONS OR DECISIONS IN RELATION TO ANY MATTER, INCLUDING WITHOUT LIMITATION RELATING TO INVESTMENTS OR THE PURCHASE OR SALE OF ANY SECURITIES, SHARES OR OTHER ASSETS OF ANY KIND. SHOULD YOU TAKE SUCH ACTION OR DECISION BASED ON SUCH INFORMATION OR OPINION, YOU DO SO ENTIRELY AT YOUR OWN RISK AND WOOD MACKENZIE SHALL HAVE NO LIABILITY WHATSOEVER FOR ANY LOSS, DAMAGE, COSTS OR EXPENSES INCURRED OR SUFFERED BY YOU AS A RESULT. FURTHER, WOOD MACKENZIE REPRESENTS THAT ALTHOUGH IT HAS USED REASONABLE ENDEAVOURS TO OBTAIN RELEVANT FACTUAL INFORMATION WHOLLY FROM PUBLIC SOURCES DEEMED BY IT, IN ITS DISCRETION, TO BE RELIABLE AT THE TIME THE INFORMATION WAS OBTAINED, IT MAKES NO WARRANTIES OR REPRESENTATIONS ABOUT THE ACCURACY OR COMPLETENESS OF SUCH INFORMATION. ALSO, ALTHOUGH WOOD MACKENZIE REPRESENTS THAT IT HAS USED REASONABLE SKILL AND CARE IN INTERPRETING SUCH FACTUAL INFORMATION, IT MAKES NO WARRANTIES OR REPRESENTATIONS ABOUT THE ACCURACY OR COMPLETENESS OF SUCH INTERPRETATION. THESE MATERIALS ARE BEING SUPPLIED TO YOU SOLELY FOR YOUR INFORMATION AND FOR USE AT THE PRESENTATION. THIS PRESENTATION AND THESE MATERIALS MAY NOT BE REPRODUCED, REDISTRIBUTED OR PASSED ON, DIRECTLY OR INDIRECTLY, TO ANY OTHER PERSON OR PUBLISHED, IN WHOLE OR IN PART, BY ANY MEDIUM OR FOR ANY PURPOSE. THIS PRESENTATION IS NOT INTENDED TO CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY ANY SECURITIES IN ANY JURISDICTION. NO REPRESENTATION, WARRANTY OR UNDERTAKING (EXPRESSED OR IMPLIED) IS MADE IN RELATION TO THIS PRESENTATION. THE PRESENTATION CONTAINS FORWARD LOOKING STATEMENTS WHICH INVOLVE RISKS AND UNCERTAINTIES AND ACTUAL RESULTS AND DEVELOPMENTS MAY DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED HEREIN DEPENDING ON A VARIETY OF FACTORS. NO RESPONSIBILITY IS TAKEN OR ACCEPTED BY GNM AND/OR ANY OF ITS PARENTS, SUBSIDIARIES, AFFILIATES AND THEIR RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, AGENTS AND ASSIGNS FOR THE ADEQUACY, COMPLETENESS OR ACCURACY OF THE PRESENTATION OR THE ASSUMPTIONS ON WHICH IT IS BASED AND ALL LIABILITY IS HEREBY EXPRESSLY EXCLUDED AND DENIED. ANYONE USING THE PRESENTATION DOES SO AT THEIR OWN RISK AND NO RESPONSIBILITY IS ACCEPTED FOR ANY LOSSES WHICH MAY RESULT FROM SUCH USE DIRECTLY OR INDIRECTLY. RECIPIENTS SHOULD CARRY OUT THEIR OWN DUE DILIGENCE IN CONNECTION WITH THE ASSUMPTIONS CONTAINED HEREIN. WE HAVE MADE CERTAIN ASSUMPTIONS WITH RESPECT TO ECONOMIC CONDITIONS, THE LEVEL OF MARKET DEMAND FOR OUR PRODUCT AND SEVERAL OTHER MATERIAL CONTINGENCIES AND MATTERS WHICH ARE NOT WITHIN OUR CONTROL AND THE OUTCOME OF WHICH CANNOT BE PREDICTED BY US WITH ANY EXPECTATION OF ACCURACY. OUR ASSUMPTIONS ARE INHERENTLY IMPRECISE, SPECULATIVE, IN SOME CASES, AND SUBJECT TO UNCERTAINITIES AND ACTUAL RESULTS WILL DEFER, PERHAPS MATERIALLY,FROM THOSE PROJECTED. THE FORGOING PROJECTIONS ARE BASED IN LARGE PARTS UPON US RECEIVING AND MAINTAINING A CERTAIN LEVEL OF COAL PURCHASE FROM OUR PARENT-GUJARAT NRE COKE LIMITED. THERE CAN BE NO ASSURANCES THAT OUR PARENT WILL PURCHASE COAL FROM US AT PROJECTED VOLUMES THROUGH FISCAL YEARS 2013 & THE FORGOING PROJECTIONS ARE BASED UPON OUR ABILITY TO MAINTAIN CONSISTENT MINING OPERATIONS AT BOTH OF OUR MINES THROUGHOUT FISCAL YEARS 2013 & THERE CAN BE NO ASSURANCE THAT WE WILL NOT ENCOUNTER ADVERSE GEOLOGICAL CONDITIONS OR OTHER OPERATING CONDITIONS WHICH IMPAIR OUR ABILITY TO OBTAIN THE PROJECTED PRODUCTION LEVELS. IT IS POSSIBLE THAT ASSUMED EVENTS, PERFORMANCE OR CIRCUMSATNCES WILL NOT MATERIALIZE, THAT ANTICIPATED EVENTS MAY NOT OCCUR OR MAY HAVE DIFFERENT RESULTS THAN PROJECTED OR THAT AN ANTICIPATED EVENTS MAY OCCUR TO CAUSE FUTURE REVENUE, OPERATING EXPENSES AND NET CASH FLOW TO VARY MATERIALLY FROM THE PROJECTIONS. 25

26 Competent Person Statement Competent Person Statement The information in this Presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by, in relation to the Coal Resources for both NRE Wongawilli Colliery and NRE No.1 Mine, by Mr. Barry Clark an employee of Gujarat NRE Coking Coal Ltd, and in relation to the Coal Reserves for both NRE Wongawilli Colliery and NRE No.1 Mine, by Mr. Kris Markowski, also an employee of Gujarat NRE Coking Coal Ltd. Mr. Clark is a Member of The Australasian Institute of Mining and Metallurgy or the Australian Institute of Geoscientists. Mr. Clark has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr. Clark consents to the inclusion in the Presentation of the matters based on his information in the form and context in which it appears. Mr. Markowski is a Member of The Australasian Institute of Mining and Metallurgy or the Australian Institute of Geoscientists. Mr. Markowski has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr. Markowski consents to the inclusion in the Presentation of the matters based on his information in the form and context in which it appears. 26