• First state-of-the-art Steel processing facility by the company in Tamil Nadu



• Facility set up with an investment of Rs 750 Million



• To enable company to offer customized products and small lots to users

Chennai, March 21, 2009: Essar Steel, the global steel producer, today inaugurated its most modern Steel Service Centre facility at Oragadam near Chennai.

This facility was inaugurated today by Mr T S Narayanasami, Chairman and Managing Director, Bank of India in the presence of Mr Shashi Ruia, Chairman, Essar Group.

Speaking on the occasion Mr Shashi Ruia said,” This investment is a part of our strategy to be closer to our customer and would help the company achieve several goals simultaneously. Service centres are an independent business in western countries. Essar is developing this concept in India”.

The service centre has been set up at a cost of Rs. 750 million and has a capacity to process 2.5 lakh tones of steel per annum.

“This is one of the most modern steel processing facilities that will cater to various user segments like auto & auto components, white goods and SME segments in Southern India besides catering to the needs of the Essar Steel Hypermart consumers. Essar Steel has 20 Hypermarts in South India” said Vikram Amin, Executive Director, Sales and Marketing, Essar Steel. Essar Steel has over 145 Hypermarts and Expressmarts across India.

The facility is ideally located at one of largest auto hub of the country and will include a CR slitting line, CR narrow cut to length line, CR wide cut to length line and HR cut to length line. It will enable Essar Steel to cater to even single sheet customer, provide small lot and customized deliveries for ready to use steel.

“It will improve our customer centricity, reliability of delivery and thus support us in becoming the steel maker of choice for large and small customers. We will increase our reach and simultaneously modify usage experience of our customers by matching performance to expectations. It is a step towards improving the competitiveness of Indian steel users through just in time deliveries” ,added Mr Amin.

Essar’s Service Centre is backed by its 4.6 MTPA steel plant at Hazira. This will ensure the consistent supplies and quality of the products. Essar Steel has three more Service Centres one each in Hazira, Pune and in Bahadurgarh near New Delhi.