Thank you, Sagar. Good evening, everyone, and welcome to the Q1 FY 2027 earnings call jointly hosted by Vedanta Limited, Vedanta Aluminium, Vedanta Iron and Steel, Vedanta Power, and Vedanta Oil and Gas.

On behalf of Team Vedanta, I sincerely thank you all for joining us today. To provide a comprehensive and efficient update while making the best use of your time, we are hosting a combined call covering all five entities.

I trust you have had an opportunity to review the respective earnings presentation, press releases, and the detailed financial statements which have been filed with the stock exchanges and are also available on the website of each of the companies. Joining us on today's call are the CEOs and CFOs of each entity, who will discuss their operational and financial performance for the quarter.

In the sequence, we will begin with Vedanta Oil and Gas, led by Steve Jenkins and Arpit Mundra; followed by Vedanta Power, represented by Rajinder Ahuja and Pankaj Jha; Vedanta Iron and Steel, led by Pankaj Sharma and Navin Jaju; Vedanta Aluminium, represented by Rajesh Kumar and Anup Agarwal; and finally, Vedanta Limited, addressed by Mr. Arun Misra and Ajay Goel.

Following the updates, we will open the floor for questions. With that, let me hand over the call to Steve.

Steve, over to you.

Thank you, Charanjit. Namaste.

We welcome you to the first quarterly Vedanta Oil and Gas results call as a newly listed company. Safety remains our number-one priority, and while we continue to strengthen safety leadership, critical risk management, and frontline engagements, our safety performance shows that there is more work to do.

At the same time, we have made good progress across ESG. Higher commodity prices supported our Q1 performance, but our focus remains on safe operations, production delivery, cost discipline, and execution of our growth portfolio.

Our assets continue to demonstrate resilience whilst maintaining natural reservoir decline. Gross operated production averaged 77.7 thousand barrels of oil equivalent per day during the quarter, comprising 63.1 thousand barrel of oil equivalent per day from Rajasthan, 11.6 from offshore assets, and 3.1 from OALP blocks.

Working interest production averaged 51.1 thousand barrels of oil per day. In Rajasthan, production was supported by well productivity improvement programs, targeted well recovery, and continued operational optimization.

Offshore performance benefited from production optimization initiatives, including low-pressure operations and focused well interventions, while OALP production remained stable. Our priority remains to strengthen decline management, accelerate well interventions, improve execution, and maintain high asset reliability.

Over the last few years, we have delivered a positive change in our operating cost profile, particularly for mature tertiary recovery portfolio. The direct operating cost trend demonstrates that cost discipline has been sustained, with full-year '27 currently expected to be aligned with the full-year '26 levels.

This improvement has been driven by optimizing commodity consumption, especially through monitoring well patterns, and by maximizing well gains through targeted rigless interventions. These interventions are generally faster, lower cost, and more flexible than conventional workover activity.

The focus is to remain strong cost discipline while supporting safe operations, production reliability, and future volume delivery. Cost efficiency must therefore go hand in hand with execution and the growth.

I will now hand over to Arpit, our CFO, for the financial update.

Thank you, Steve. Good evening, everyone.

On the financial results, let me elaborate the key numbers for our performance in the Q1 FY '27. Our revenue stood at ₹2,507 crore, which is 3% lower quarter-on-quarter basis, and EBITDA at ₹1,232 crore, being 16% higher on quarter-on-quarter basis, resulting in an EBITDA margin of 49% for the current quarter.

Our unit operating cost for the period was $17.4 per barrel, down 3% quarter-on-quarter basis despite the production decline and a lower base. The lower cost was driven by efficiencies and optimization in our workover and well intervention programs.

These initiatives reflect our intrinsic focus on cost leadership with persistent rigor while holistically supporting the reliability matrices. Our profit after tax before exceptional items from continuing operations stands at ₹194 crore.

The exceptional cost net of tax is ₹345 crore towards provision for impairment and one-off exceptional items during the quarter. The PAT from continued operations hence stands at a negative ₹151 crore.

Following the transfer of the non-oil and gas business undertaking that were earlier held in the erstwhile MALCO Energy Limited, there has been a one-time profit from discontinued operations, which stood at ₹1,097 crore. Consequently, the reported PAT for the company from continuing as well as discontinued operations stands at ₹945 crore.

Also, we are pleased to inform and share that we have been assigned a long-term credit rating of AA+ Stable by both CRISIL and ICRA during the recent month, which reaffirms company's strong credit profile and robust ability to meet its financial obligation. The rating further validates the company's continued resilient operational performance and positive growth outlook.

Let me cover some of the specifics on the EBITDA bridge. Quarter-on-quarter basis, our EBITDA is higher by 15%, which is supported mainly by the Brent prices, which were 15% higher quarter-on-quarter basis.

This was offset by lower volumes due to the natural decline as one of the key reasons. While year-on-year, our EBITDA remains flat.

For the closing remarks, I now pass on to our interim CEO, Steve.

Thank you. Overall, the quarter has had a steady performance.

The company continues to focus on volume delivery on capex projects and infills, keeping our costs low, and building our exploration and development pipeline, all built on a strong foundation of safety and environment. Thank you.

I will now pass it to Mr. Rajinder Ahuja, CEO Vedanta Power, for insights on their Q1 performance of power entity.

Thank you, Steve, and good evening, everyone. The quarter marks an important milestone in our journey with the Vedanta Power becoming demerged entity effective 1st May 2026.

As a standalone power business, we now have a greater strategic focus, sharper accountability, and a stronger platform for long-term value creation in power sector. To give brief overview of power landscape, India has recorded all-time high power demand of 270-odd gigawatt in May 2026.

To support this, Vedanta Power is India's fifth largest private thermal company with 4.2 gigawatt current operating asset. Aims to reach at 4.8 gigawatt by the end of this financial year.

Further, we are working on plan to add around another 7.2 gigawatt starting from FY '30 onwards, if we start getting kicked in. Fuel and volume security remain a key focus area for us.

Today, approximately 74% of our total volume is secured through medium and long-term PPAs, while 85% of our coal requirement is backed by long-term coal linkage that provides us good, strong stability and visibility of the revenues and the costs. Coming to quarterly performance, Vedanta Power delivered a resilient operational performance.

During quarter one FY '27, we achieved sales of 5,224 million units, up 38% y-o-y basis, and revenue increasing 31% to ₹2,607 crore. Meenakshi Energy delivered highest ever quarterly EBITDA of ₹112 crore, backed by the highest sales volume of around 1,350 million units.

Despite import coal prices increasing by about 60%, our team on ground has done exceptional work by containing the coal cost by 12% on y-o-y basis. This was achieved by replacing the imported coal with Indian coal, and this time, when we are talking, team was able to consume around 65% to 70% of Indian coal in their operations.

Our plan to achieve 100% domestic coal at Meenakshi remains on track, which will improve our cost competitiveness and margins way forward, further insulating us from the geopolitical risks. Talwandi Sabo improved its plant availability to 86% from 77% on q-o-q basis and achieved highest biomass co-firing of 7.9%, which is highest among the NCR region power plants.

The ash utilization remains 94%, with increased ash sale revenue to ₹9 crore. Jharsuguda maintained stable operational performance; however, we received favorable regulatory outcome in short supply matter with potential refund of ₹300 crore in days to come.

Also, we have got positive order from the state regulatory commission for recovery of ash cost by up to ₹40 crore annually. These positive outcomes are expected to support the future cash flows.

At Shakti, despite the operational disruption, the team has demonstrated tremendous resilience, and we remain focused on restoring Unit 1 and completion of Unit 2, which will be key for our growth catalyst for the company. We plan to start Unit 1 by the end of quarter two FY '27, and Unit 2 remains on track for completion by quarter four of FY '27.

Parallelly, we have also notified our insurance provider for assessing the impact and the claims for Unit 1, which is duly covered for the losses through insurance. Looking ahead, India's power demand outlook remains very strong, and Vedanta Power is well-positioned to capitalize for future opportunities.

With that, I now hand it over to our CFO, Mr. Pankaj Jha, who will take you through the financial performance.

Thank you and good evening, everyone. I will briefly cover the financial performance and capital structure highlights for Q1 FY '27.

During the quarter, Vedanta Power reported revenue of ₹2,607 crore, 31% y-o-y growth on sales of 5,224 million units, which increased 38% y-o-y. While EBITDA for the quarter stood at ₹291 crore, the overall performance was impacted by the Shakti boiler incident.

Nevertheless, the business demonstrated resilience through strong operational delivery and reported highest ever EBITDA at Meenakshi. PAT for the quarter was impacted due to one-time exceptional item of ₹487 crore.

By neutralizing it, PAT before exceptional one-time impact is negative ₹59 crore. Our balance sheet and credit profile continue to strengthen.

During the quarter, Indian rating agencies ICRA and CRISIL have upgraded our instruments. Our long-term rating remains strong at AA- with Stable outlook.

We have very healthy cash and cash equivalents of around ₹1,130 crore. Net debt remained platish compared with the previous quarter, reflecting our continued focus on cash flow management and deleveraging.

We also successfully raised commercial paper at 8.25%, demonstrating continued lender and investor confidence in the business. Going forward, our capital allocation priorities remain clear: maintaining liquidity, reducing leverage, enhancing fuel security, and completing our key growth projects, particularly Shakti Unit 1 restoration and Unit 2 project.

These assets are expected to materially strengthen earnings, cash generation, and return metrics over next two to four quarters. With a stronger credit profile, improving operational performance, and clear growth visibility, we believe Vedanta Power is well-positioned to deliver sustainable value creation for all stakeholders.

I now hand over to Mr. Pankaj Sharma for covering iron and steel.

Thank you, Pankaj, and good evening, everyone. Let me take you through the performance for the first quarter of FY 2027 for Vedanta Iron and Steel.

Vedanta Iron and Steel operates fully integrated business model supported by strategically located mining assets in Odisha, Goa, Karnataka, Liberia, and downstream steel operations in Goa and Bokaro, and this enables value creation across the entire value chain. During the first quarter, we have delivered a strong operational and financial performance, with revenue increase of 18% year-on-year and EBITDA growth of 54%.

Margin expanded from 11% to 14%, and PAT stood at ₹121 crore. During the period, steel and iron ore production increased by 4% year-on-year, supported by stable and safe operations and enhanced efficiencies.

In steel business, saleable production stood at 582 kt, with robust EBITDA margin of 12%. This was driven by better realization, a favorable export market, and continued cost and operational initiatives.

In iron ore business, production increased by 4% year-on-year to 2.6 million tons, and EBITDA margin improved by 24% year-on-year, on the back of better realization and cost efficiencies. Sequentially, the volumes were moderated by seasonal impact during later part of the quarter.

On quarter-on-quarter basis, margin lowered due to higher discounts on low-grade ore and elevated ocean freight cost. On the growth front, our expansion projects continue to progress as planned.

During the quarter, we received stage one forest clearance for Bokaro expansion project. We remain on track to deliver the project by end of financial year.

The ductile iron pipe project in Goa is progressing well and is expected to be completed during the later part of the year. I'll now hand over to my CFO, Navin, to take you through the financial performance.

Thank you, Pankaj. Good day, everyone.

During the quarter, revenue stood at ₹3,662 crore, a 18% increase year-on-year, and EBITDA of ₹515 crore, a 54% increase year-on-year. This was on the back of strong operational performance and better realization.

The company continues to maintain a strong balance sheet with net debt to EBITDA ratio of 1.3x and return on capital employed of 16%. This is also reflected in the credit rating of AA Stable by CRISIL.

Net debt post-demerger adjustments stood at ₹2,733 crore as on June 2026. Strong operating cash flows helped fund pre-monsoon working capital requirements and ongoing growth projects.

Back to you, Pankaj.

In conclusion, we have delivered a strong start to FY '27 with resilient operational performance, improved profitability, and disciplined balance sheet management. Our ongoing growth projects, expanding mining capacities, and integrated business model position us well to capitalize on India's long-term steel and iron ore growth opportunity.

We remain focused on creating sustainable value for all stakeholders through operational excellence, responsible growth, and disciplined capital allocation. Thank you.

Thank you very much, and with this, I hand over to Rajesh, CEO Aluminium.

Thank you, Pankaj, and very good evening, everyone, and thank you for joining the Vedanta Aluminium Metal Limited earnings update. VAML delivered a strong quarter driven by industry-leading safety, sustainability, and operational performance.

During the quarter, we had only one lost-time injury. Environment performance remained robust, with 20% ash utilization contributing to increased dike space, while our newly commissioned RO facility improved the wastewater recycling and reduced fresh water consumption by 8%.

Renewable energy supply from Serentica increased to 198 megawatts, a 60% sequential growth, and we remain on track to achieve more than 371 megawatts of green power by the end of this financial year. VAML delivered a record quarterly performance, achieving all-time high aluminium production of 632 kt, up 5% year-on-year and 3% quarter-on-quarter.

Alumina production was 826 kt, up 41% year-on-year. Alumina production was, however, 6% lower than the previous quarter due to stabilization issues in the power plant, red mud filtration, and bauxite handling.

Value-added product output rose to a record 389,000 tons in the quarter, up 14% year-on-year, reflecting the continued shift in our product mix towards our goal of 90% share of value-added products. The billet production increased by 18% and the alloy production increased by 38% with respect to the previous quarter.

From a market perspective, global aluminium prices have remained buoyant, supported by supply-side constraints. Looking ahead, our focus remains on accelerating growth through ramp-up of Lanjigarh and increased volume from BALCO Potline 3 and sustained cost optimization through additional domestic bauxite.

Our captive coal, we have received the mining lease and mine opening permission for Kurloi, and we plan to start the mine in this quarter. Supported by a strong execution discipline, we remain well-positioned to deliver a long-term value for all our stakeholders.

Thank you, and with this, I hand over to our CFO VAML, Mr. Anup Agarwal, to take you through the financial performance.

Thank you, Rajesh-ji, and good evening, everyone. We closed Q1 FY '27 on a strong note, marking an important milestone for Vedanta Aluminium as our first quarter post-demerger.

At a headline level, we delivered an all-time high revenue and EBITDA on the back of strong realization, disciplined cost management, and continued operational execution. Revenue for the quarter stood at a record ₹21,105 crore, reflecting a 45% increase y-o-y and a 13% increase quarter-on-quarter.

On the cost side, our hot metal cost in Q1 FY '27 stood at $1,698 per ton, lower by 4% y-o-y and lower by 3% quarter-on-quarter despite inflationary pressures due to the Middle East disruptions. This is within our guidance range as communicated in April.

Coming to EBITDA, EBITDA was at ₹10,499 crore, up 134% y-o-y and up 24% quarter-on-quarter. Sequentially, EBITDA per ton expanded from $1,511 per ton to $1,804 per ton.

This was driven by a combination of volume growth, cost optimization, marketing initiatives, and favorable market conditions. The profit after tax was at ₹6,597 crore, up over 200% y-o-y.

Our return on capital employed stood at 42% at the end of quarter one, reflecting our focus on driving profitable growth while maintaining disciplined capital allocation. During the quarter, our balance sheet became even more stronger.

Our net debt to EBITDA ratio improved from 1.3x to 0.9x. Our cost of borrowing is now at sub-9%, and this will improve further in the coming months.

We closed the quarter with a cash and cash equivalent of over ₹6,000 crore. This provides us with a strong liquidity cushion and enhances our financial flexibility.

The board has approved an interim dividend of ₹8 per share this quarter, the very first for Vedanta Aluminium. Both CRISIL and ICRA have upgraded Vedanta Aluminium to AA+ with a Stable outlook.

This is an important validation of the market's confidence in our balance sheet strength, earnings resilience, and financial discipline. Our guidance on the cost for full year remains unchanged at $1,650 to $1,700 per ton, though in quarter two, the cost may be marginally higher due to the planned power plant shutdowns timed with the monsoon period.

On the hedging front, for the balance year, we have hedged 28% of our volumes at an average of $3,062 per ton. We are confident that our EBITDA run rate will remain resilient across commodity cycles, driven by higher volume from BALCO expansion, increased value-added product and domestic market penetration, and continued cost reductions through backward integration.

Thank you, and with this, I hand over to Mr. Arun Misra for an update on demerged Vedanta.

Thank you, Anup. Good evening, everyone.

As you will all know that this quarter makes the first reporting period of demerged Vedanta, India's most diversified base metal and specialty alloy company, providing investors with exposure to zinc, copper, silver, lead, manganese, nickel, and ferrochrome. I'm pleased to note that in the maiden quarter itself since demerger, we have delivered EBITDA of ₹8,469 crore and PAT of ₹5,294 crore for the continuing businesses.

Let me now walk you through the operational performance of the key business segments. At Zinc India, refined metal production grew 4% year-on-year to 260,000 tons.

We achieved lowest ever cost of production at $851 per ton. Silver continues to contribute strongly to our bottom line with 46% share of EBITDA.

At Zinc International, overall mined metal production was 48,000 tons, including contribution of 3,000 ton from Black Mountain Mine. Gamsberg Phase 1 production rose 10% sequentially to 45,000 tons.

Gamsberg cost of production also declined to $1,549 per ton, down 7% quarter-on-quarter, delivering an EBITDA per ton of $900. At BMM, Swartberg Mine end-to-end contract in lieu of deep substitution has been completed and ramping up on variable cost model.

In ferrochrome business, FACOR delivered its highest ever quarterly ore production, up 41% year-on-year to 253,000 tons, surpassing previous best of 113,000 tons in quarter four '26. Improvement in finished good grade, supported by higher market price, resulted in 2% higher net sales realization alongside lower cost driven by 100% captive ore availability.

This resulted in EBITDA margin improving from $360 per ton, up 13% sequentially, also delivering the best ever quarterly EBITDA of ₹101 crore. Copper India recorded sales of 53,000 tons, up 3% year-on-year, our highest first-quarter sales in eight years.

At Copper International business, rod sales were down 51% year-on-year as the supply chain in the entire Middle East region was impacted due to geopolitical tensions. Moving to growth projects across the four segments: at Zinc India, for the fertilizer plant, cold commissioning has been initiated; the hot acid leaching plant at Dariba is also targeted for commissioning in the current quarter; the 10 million ton per annum tailing reprocessing plant is under construction and is expected to be completed by quarter four of FY '28, while the 250,000 tons per annum expansion project of smelter is expected to commission by quarter two of FY '29.

At Zinc International, Gamsberg Phase 2 plant is likely to commence operations in August. It will add another 200,000 tons of MIC capacity, taking the total capacity to 450,000 tons per annum.

At FACOR, production from Ostapal underground mine is likely to commence in the current quarter, yielding better FG grade and metallic volume. We received forest clearance stage one for Tatasahi manganese mine and is expected to start operation in H2 of this current fiscal year.

At Copper India, Phase 1 debottlenecking has augmented installed capacity to 222,000 tons per annum. Further debottlenecking will take this capacity to 229,000 tons per annum.

Copper International, at our Jabal Sayid exploration block in Saudi Arabia, exploration partner has been finalized, targeting 24 months for the initial phase. To summarize, demerged Vedanta is on a steady growth trajectory, as reflected by a strong quarter one delivery and project commissioning lined up during the year.

We remain focused in our pursuit of growth of the demerged Vedanta to a $5 billion EBITDA enterprise by FY '30. With that, let me hand it over to Ajay to take you through the financial performance in detail, after which we'll be happy to take your questions.

Ajay?

Yes, thank you, Arun. Good evening, everyone.

We are meeting today for the first quarterly results after Vedanta's historical demerger, and that is unlocking significant value, with a combined market cap of resulting companies growing over ₹71,000 crore in Q1 itself. I want to also clarify that as the demerger become effective during the quarter on 1st of May, the stat numbers which are reported include one months of discontinued operations as per the Ind AS 105.

For the sake of like-for-like comparison, we will focus on performance of Vedanta's continuing operations, which is for the entire quarter, April through June. Numbers are comparable, and they are for entire quarter, April through June.

I will start briefly with Vedanta highlights. On Vedanta Limited's Q1 performance, revenue increased by 51% y-o-y to ₹23,456 crore.

EBITDA nearly doubled, rising by 98% y-o-y to highest ever ₹8,469 crore, with a margin of 57%, up 985 basis points y-o-y. Profit after tax, PAT, grew to ₹5,294 crore, up ₹1,552 crore y-o-y, again, best ever on a like-to-like basis.

In Q1, Vedanta invested ₹1,148 crore in growth capex while deleveraging the balance sheet by more than ₹2,220 crore, at the same time delivering a strong ROCE of 28%. In Q1, Vedanta's balance sheet remains exceptionally strong, with leverage ratio, net debt to EBITDA, down to 0.3x, amongst the best in the industry.

Vedanta Limited has been rated AA+ with a Stable outlook both by ICRA and CRISIL, highest rating over a decade for us, with a strong cash and cash equivalent of ₹19,922 crore, remains resilient, at the same time growth fruits. I move on very briefly to Vedanta Resources, VRL highlights.

VRL's credit strength is well-recognized, with a rating upgrade from all three agencies: S&P, Fitch, and Moody's rating VRL to B or B equivalent, again, representing a decade-high rating for VRL. The demerger, as we earlier envisioned, has significantly enhanced strategic optionalities available to Vedanta Resources.

You may have made a note that during the quarter, we have sold 1.7% stake in Vedanta Limited, that is almost $200 million, and that illustrates the range of strategic levers to fast-track debt reduction at Vedanta Resources. VRL deleveraged by $1.1 billion across the group in Q1 itself.

In this quarter, through a broader $5 billion refinancing program at Vedanta Resources, we are targeting reduction of around 280 basis points in average funding cost at Vedanta Resources. This would lead to more than ₹1,000 crore of interest cost saving on a yearly basis.

We have recently raised $1.7 billion from international bond markets at average 7.4% coupon rate and average maturity of 8.5 years, and additionally tied up a syndicate term loan of up to $2.25 billion at 6.4% interest rate with average maturity of three years. Overall, this would significantly flatten VRL's repayment liabilities, and that can be serviced through regular brand fee and normal dividend yield.

In conclusion, the demerger has laid the foundation for next phase of growth, backed by strong VRL balance sheet, focused businesses, and disciplined allocation of capital. With this, I now will hand over to operator for Q&A.

Hi, can you hear me? Hello?

Yes.

My first question is on EBITDA for the VAML. When I try to add the EBITDA given in the slides for Jharsuguda and BALCO, the total EBITDA comes at close to ₹10,527 crore, while total reported EBITDA is, as you mentioned, ₹10,499 crore.

Can you explain the difference?

That's a small console adjustment, actually. The difference that you're talking about, no, it gets eliminated at console level for the transactions between BALCO and VAML.

Okay. This is something inter-company kind of stuff, is it?

Yes, absolutely yes. A small portion.

Okay. My second question is on the aluminium sales made this quarter.

I appreciate that you have given the aluminium production for this quarter, but earlier you used to give the sales numbers as well, which is not mentioned in the slides. If you can provide that number as well, that would be great.

The sales number for the quarter is at 615 kt.

615 kt. Correct.

Thanks for that. That's it from my end.

Hi, thank you for the chance. A few questions.

First, I'll start with the aluminium business. Our ask rate for alumina production for the last three quarters is almost 1.1 million tons.

To achieve the 4.1-odd million tons for the full year, how should we look at the trajectory? Will it be more second-half heavy, and given the exit run rate of 1Q and what we are doing in July so far, are you confident of achieving that number?

Yeah. Typically, the monsoon months, both for the power assets as well as the alumina production, are slightly difficult months.

We expect a much higher volume in the H2. If you would have noticed, even the last year, the trends were similar, and this year also, we will follow the same trajectory, and we will meet the estimate which you have given of 4 to 4.1 million tons of alumina production from Lanjigarh.

Sure. Secondly, on purchased alumina cost, despite sequential basis alumina COP going up and alumina integration going down, your alumina cost in aluminium has gone down.

What has been the delta in purchased alumina cost in this quarter, what you have booked in P&L?

Indrajit, on a broad level, no, as you have rightly said, alumina cost has come down 3% quarter-on-quarter. If you would recall, even in the last earnings call, we very clearly articulated that but for the higher LME and the higher API, as we go into the quarters as we go into the second quarter of this financial year, no, we will start seeing alumina cost closer to $750.

Okay. Now, $780 is what we've reported in quarter one.

Now, with increased mix, and you would have seen that we are we have done around 70%, 72% in quarter one, and with the same captive mix in quarter two and a lower API, we are en route to that 750 number, what we talked, Indrajit.

Is there further room for API prices to go down in the subsequent quarters, or we have already bottomed out over there?

I can tell you, see, the further reduction will again come as we ramp up Lanjigarh production, because going forward, no, our captive mix will keep going up and the bought-out alumina will keep coming down, Indrajit. Any reduction from here towards 700, we will have to look at Lanjigarh ramping up, and, of course, some of our captive bauxite coming into the play.

Sure. In 1Q, what was the hedging volume and price at which we had hedged?

Quarter one, we had hedged around 293 kt, and the strike price was 2,813.

Sure. One last question to Ajay, if I may.

Given the high capex or the growth projects at Vedanta demerged entity, can we assume that most of the dividend would now be from Vedanta Aluminium of the five entities in terms of quantum, that's a rupees crore or dollars kind of terms?

The way to look at Indrajit, if you look at historically, Vedanta's dividend yield has been quite high, in fact, double-digit, 12%, 13%. Over the last a couple of years, down to 6%, 7% percentage point.

Our last commitment was to go down to normalized yield of almost 5%. That, on the combined market capitalization, may mean $1.5-odd billion payout on a console basis of all the five business units.

Now, you'll appreciate, Indrajit, dividends will be a board matter, but one way to model this, look at the combined market capitalization of each businesses and look at a 4% to 5% dividend yield. You're right, Vedanta Aluminium being almost at about $18 billion, $20 billion out of 35, practically, one may also assume half the dividend will come from Vedanta Aluminium going forward.

Sure. Thank you.

I have more questions. I'll join back.

Thank you.

Good evening, and thanks for the chance. First question is to Ajay on the overall capital allocation.

One is at the VRL level, can we assume that a large part of deleveraging is behind now given that we've refinanced, and going forward, the focus would be more on growth, or are we expecting further deleveraging from $4.5 billion debt? One is that.

Then at VAML, just want to understand what sort of debt or leverage we are comfortable beyond which we will consider paying dividends. The Chairman has spoken about expansion plans.

At what stage do we start spending towards the next phase of expansion by which we should expect some lower dividends and releveraging?

Sure, Sumangal. I'll start with the first part first.

You're right that at VRL, the deleveraging has been accomplished to a large extent, and over the last three-odd years, debt of $10 billion down to $5 billion as on June 30th. Going forward, what is the path forward?

What we have last time committed, that the VRL debt to come down from $5 billion down to $3 billion. We also committed that Vedanta India, on a combined basis pre-demerger, our leverage 0.9x as on March will be coming down to 0.7 as on coming March on a console basis.

Now, when we look at capital allocation policy, the central theme is allocation, not capital, necessarily. We don't provide guidance in terms of EBITDA, but if one has to model looking at the current run rate, with the current volume, cost, and positioning, and our macro tailwinds in terms of currency and the pricing, the outlook for EBITDA for Vedanta India on a console basis is at about $9.5 to $10 billion.

Our EBITDA to cash conversion is typically 50%. That means we'll be having total free cash flow of roughly $5 billion, ₹45,000 crore, at Vedanta India on a console basis.

We don't have to make choices between growth and deleveraging. Going forward, what we are looking at, we will be keep investing for the growth.

In the current year, at about ₹20,000 crore will be the capex across the five entities. We're looking at deleveraging at VRL level, roughly $2, $2.5 billion, again, ₹20,000 crore.

At the same time, we'll also be rewarding shareholders through dividend. Eventually, growth, deleveraging, and rewarding shareholders should lead to TSR.

In summary, Sumangal, we don't have to make choices between investing for the growth or deleveraging. Both, in the current year, can coexist given robust free cash flows.

Also, Ajay, I think, Sumangal, I can add. Last three years of deleveraging has not caused, unlike other companies, any postponement of a declared capex or any intentional slowdown of a capex project that has been announced in the market.

Rather, in last three years of deleveraging, we have initiated much bigger projects without things like expansion of a million-ton expansion in zinc, aluminium, completing the BALCO project, ESL Bokaro completing the 2 million-ton expansion project or keep on working on 2 million-ton expansion project, Gamsberg Phase 2. All this happened in last three years.

These two are, as Ajay correctly says, it is not one or the other; it is one and the other.

Yes, that's very clear. If you can just share some more thoughts on VAML balance sheet and debt levels which we are comfortable and some expansion plans going forward.

I'll hand over to Mr. Anup Agarwal.

Thank you. See,

if you look at our financials, no, as at end of June, the net debt in our books is around 33,000. Okay.

Now, for the growth that we have undertaken or we are invested in, we have a capex left of around ₹7,000-₹8,000 crore, which we will be spending in, say, 18 to 24 months. That includes BALCO, some leftover Lanjigarh augmentation, and the mines project.

Now, coming to the new expansion 3 MTPA, presently, we explained last time also, as of now, we are on a drawing board. We are in the process of land acquisition, finalizing the technology partners and the packages.

As and when we will have details, we will come to the board. Today, if you ask me, the net debt stands at ₹29,500 crore.

The leftover capex to be spent on the growth already announced is around ₹7,000-₹8,000 crore, including BALCO. That's it, Indrajit.

What would be the total capex for '27 and '28? So ₹7,000-₹8,000 crore and plus some maintenance, right?

Yes, broadly, yes. For this year, it will be around ₹5,000 crore plus another, say, ₹2,000 crore of maintenance.

Understood. Is it safe to assume that the next phase of growth, at least since plans are not yet firmed up, will start towards the end of '28 capex and or maybe in '29 only?

That's why I said, Indrajit, maybe in a quarter or so, no, we will come back to the market with further details.

Understood. I have a couple of more questions.

One on VISL. I just want to understand what are the next key hurdles and milestones we are looking at for starting or completing the expansion of Bokaro Phase 2?

Navin, Pankaj, over to you.

For ESL, I will say that in this quarter, we have received the stage one forest clearance, and we are in the process of getting stage two, and we are expecting by end of quarter two, we will be completing that clearance. By end of this financial year, we will be able to complete the expansion project.

Understood. Just one last question on aluminium again, sorry.

What is the difference of delivered price of bought-out alumina versus captive? With Sijimali coming in, what sort of cost savings do we expect purely from the captive bauxite mines?

See, broadly at today's API, no, and assuming that this Middle East prices will normally bottom out or will even out, the difference will be to the tune of $50, $60 when you look at the mix captive alumina versus the bought-out alumina. Now, this captive alumina also has 50% of the imported bauxite.

To address your question that once Sijimali starts ramping up, we can expect, say, another $40 to $50 per ton reduction. It will all depend on what percentage of Sijimali we will be able to ramp up and how soon we will be able to ramp up.

The idea is to start it after monsoon. This year, we're expecting 1 to 2 million tons, and the next year, it can be between 6 to 7 million tons.

Got it. So $40 to $50 at the alumina level, right?

Yes. All numbers I spoke was on the alumina level.

Understood. Sir, but we've just got stage two forest clearance, EC.

I think mining lease and then consent to operate, all these approvals can come within the next couple of months and we can start production by fourth quarter? Is that a realistic expectation?

Given the current scenario, yes, we have made good progress in the last quarter in terms of getting up to FC2. Now, the efforts are on.

We are working very closely with the government, and this is how we look very positive. The government is also very positive in terms of investments in the state.

We are quite hopeful that this is what will happen.

Understood. Just one last clarification.

All these mines is under VAML. What is the transfer pricing to BALCO, and is it fair to assume then all the cost saving, etc.

will be reflecting more under VAML than BALCO?

The transfer is at arm's length, and we are governed by that as regards transfer from the Lanjigarh to BALCO is concerned. See, just to clarify, now, when you're talking about the mines, no, BALCO also has one mine by the name of Barra.

The coal will come from there. Rest all mines are with VAML, which will be used for VAML's own use.

Coming to bauxite, then the idea is to take it to Lanjigarh, and what Rajesh said, that any alumina from Lanjigarh to BALCO is today also at arm's-length basis.

Sumangal, thank you. We have a very long queue of people

who are

waiting in the queue for questions, so...

Yeah. Thanks, and all the best.

Operator, we can move to the next person in the queue.

Just one question. If I look into your oil and gas numbers, my oil prices have gone up by around 30%, my production is down by around 4% to 5%, but still my revenue has remained flat q-o-q, and my EBITDA is also up ₹200 crore only because of this increase in stock, whereas my opex, etc., everything has remained same.

Can you just give an explanation for this, why it has remained largely flat q-o-q?

Hi, this is Arpit here, I'm the CFO for the oil and gas business. If you see quarter-on-quarter, given the cyclic nature of our sales pattern, about 85% is the volume that we have sold, and post-monsoon, this will get liquidated.

That's a typical sales pattern that we have.

Okay. Got it.

The production and sales number has got a deviation due to which the numbers are like this.

Yeah.

Okay. Got it.

Thank you so much.

Thanks.

Hi. Good evening.

Just on the hot metal cost, this quarter, I think it's gone down a bit. Just wanted to understand, one, given the inflation that we were seeing generally speaking on fuel cost and power cost in the quarter, what were the factors that helped reduce the hot metal cost for you?

Secondly, what would be the outlook for the cost going ahead?

Anup? Hi.

This is Anup. See, I already covered.

Now, let me first cover for the quarter two, we expect the cost to be marginally higher, and we said that because of the planned shutdowns, and you would recall that during the monsoon period, no, there are normally some power plant shutdowns. The cost will be marginal.

Now, coming to the quarter-on-quarter, see, the cost has come down due to increase captive consumption of alumina, the lower coal price per se, and, of course, because we are talking dollar, you can also say that little bit of a rupee cost divided by dollar is also there. Why I'm saying this is because, as you would recall last quarter also, we said that post this Middle East disruptions, no, we have been hit by the carbon cost and the furnace oil cost.

On a net-to-net basis, no, if you look at our guidance, what did we say? $1,650 to $1,700 and additional $50 to $100 for the Middle East disruptions.

We are very much there in the target, and as I stated in my commentary also, that we will be within our guidance of $1,650 to $1,700 as we complete the year.

Sure. Understood.

Just a comment if you could give on the lower sales volume. While production, as you mentioned, is the highest ever, the sales volume has not inched up in the quarter.

Why was this inventory build-up there in Q1?

See, what happens now, normally, at the fourth quarter or the end quarter, no, there is a tendency to clean up the stock. To that extent, if you will see, some 7, 8 kt has been added.

Otherwise, there has been no addition to the inventory. Because normally, in the year-ends, no, there is a tendency that we wipe off the inventory lying at the stocks and everywhere.

Okay. Understood.

Thank you. That's it from me.

Thank you.

Yes, can you hear me? Am I audible?

Yeah.

walk us Sorry. Can you walk us through the Sijimali bauxite mine process?

There was a stage two forest clearance. What are the approvals from here?

What are the timelines you are expecting, to get us an idea of when can you actually start mining and where are the approvals required at national, state, and other agency levels?

We finally have to get the consent to operate. We are in the process of getting that, and we expect that to happen in this quarter, and as mentioned, after this quarter, monsoon and rain, we plan to start the mine.

Okay. Just to be clear, the consent to operate is the only approval required, and after that, you can start mining?

Yes.

Understood. Taking forward the process from regulatory to actual mining, right, what are the activities on the ground, because I assume this is a virgin mine, you would have to overburden removal, the preparation of roads and everything.

How long a process do you see of work on the ground before you can scale up to, let's say, 4 to 5 million tons of bauxite mining?

Compared to coal, bauxite is slightly easier to mine, and very little overburden and these things are required. In addition to that, we operate through MDO partners, who do the mining for us and deliver the ore.

We have already appointed the MDO partner for Sijimali, and so we are ready. In fact, the preparation was done at the beginning of the year itself, as far as the mining activity is concerned.

As soon as we get the approval, the mining can start.

Got it. My last question is on coal.

Given that the mining operation permission has been obtained at the Kurloi coal mine, what is the mined volumes that you expect in FY '28 and '29? Secondly, if you were to draw a similar parallel for the Ghogharpalli mine, what kind of coal production can we expect over the next two years, '28 and '29?"

We expect from Kurloi this financial year to mine up to 2 million tons, and Ghogharpalli, abhi we are just evaluating. This year, I think we will wait when we start the work to estimate.

Kurloi can increase to how much from 2 to next year?

8 million tons.

You are confident that it can go to 8 million tons next year if you start this year? Yeah.

This year 2, and next year 8 is our current plan.

Okay. Got it.

Thank you very much, sir.

Thanks.

Hi, sir. Thanks for the opportunity.

Sir, first question on aluminium. Can you help us with the hedges for the balance three quarters by volume and price by quarter if possible?

See,

Ritesh, as I said, no, for the balance three quarters, we are hedged about 28% at an average price of 3,062. If you are specifically asking about Q2, then we are hedged about 270 kt, and the strike price is 2,830.

270 kt at 2,830, right?

Yes.

Hello? Yep, that helps.

Second, I just wanted to check on Saudi assets. Have we firmed up the capex, because I think you did indicate that exploration partner has been finalized.

How should we look at the incremental progress over there and the timelines? Arun-ji, to you.

As of now, we are on the exploration partner finalization, and after that only, we'll come back and inform you regarding the capex approval for that.

Sure. My third question was on bauxite mix.

Going back to aluminium, it has reduced from 66% to 46%. Just wanted to understand on absolute tonnage standpoint, how much are we procuring from OMC right now?

What is the corresponding price? Outside of OMC, what's the average price that we are looking at?

Just trying to do the math that once Sijimali comes through, how the economics can change.

See, Ritesh, I'll give you some broad numbers. Okay.

Now, domestic, as you rightly said, we are doing about 46% to 50% to 50% of the alumina that we produce. Now, if you look at the alumina cost from the domestic bauxite, because OMC or broadly the other bauxite also that we picked up are more or less at the same price, we make the alumina at a cost of around $300.

Sijimali also, when we begin, we expect that the cost will be at a similar level.

Right. Would it be possible for you to quantify how much is the procurement rate from OMC right now, and has that number changed over last three, four years?

Ritesh, you are aware that this matter is sub judice. That is where I did not want to indicate the number, because you're aware that we are getting this under the court order as of now.

Okay. Fair enough.

Last question, I think probably Ajay can look at. Any particular reason why we are not indicating payout policy for all the companies, though you have indicated pretty good commentary for all the five entities together.

Any timelines over there? Secondly, there is an ICD of ₹960 crore at VISL.

How should we look into that?

Ritesh, in terms of the payout, I presume you mean the dividend payout, isn't it?

That's right.

You may have seen in the board meeting post demerger, and all the new four companies also have adopted their own policy on payment of dividend. The key change remains in the past, our policy was slightly more directive.

It was prescriptive, for example, the payout of 30% of the PAT, or passing on dividend within some time frame. Post demerger, the key change remains the policy has changed from being a prescriptive to more descriptive.

In that case, basically, all the four companies' board will have a far bigger flexibility. Depending upon needs for the capexes, in terms of profit ploughback, and the payout, they can decide.

Having said that, all the four companies are also cut from the same cloth. The Vedanta overall group philosophy continues.

What we earlier committed, that for the parent company, that will go down from current $5 billion down to $3 billion over two years, and overall Vedanta India leverage from 0.9x will go down to 0.7. In summary, overall, one can safely model that 4% to 5% dividend yield on each company's market capitalization is a number what we are targeting for the group.

Sure. Sir, on ICD?

Ritesh, can you repeat the question?

Sir, VISL has an ICD of ₹960 crore. Just wanted to understand where is it heading to and what's the interest cost over there?

This number was ₹9,434 crore March '26. I think it would be because of the demerger, and that number has reduced to 960.

That's right. Navin, can you take this?

Sure. Thanks.

Ritesh, as a part of demerger restructuring, there was a waiver of inter-company loans and related interest to the tune of closer to ₹13,000 crore. This is the amount which is there in the VISL books after the entire restructuring, which was completed.

Sorry, I could not comprehend that. Can you please come again?

This number was ₹13,000 crore. This was waiver of inter-company loans and?

Out of ₹13,000 crore total ₹14,000 crore, ₹13,000 crore had been waived off the inter-company loan, and ₹960 crore stands in the books, which is payable as a part of the restructuring.

This is to VRL?

This is to Vedanta Limited.

It is to Vedanta Limited. Fair.

Lastly, would you like to comment on the real estate value unlocking? The PPT mentions about ₹30,000 crore-plus.

How should one understand, appreciate this?

Ritesh, at a thematic level, it is just the beginning, right, not the conclusion. In fact, demerger lead to many more restructuring possible.

What we are trying to do, and right now we're looking at multiple assets on Vedanta's balance sheet, and they are industrial lands, at the same time, properties at the posh location. In Vedanta alone, as in Vedanta Limited alone, we got more than 2,000 acres of land.

The intention is to demerge those real estate into a pure-play company, and that can, again, lead to significant value unlock. The number of ₹30,000 crore or $3 billion right now is more aspirational.

The whole demerger, if you also look at in Vedanta's experience, the Vedanta demerger was far more complex. It took us two years' time.

Particularly, in the Indian NCLT bounds, anything between 9 to 12 months is a time frame. The entire demerger of real estate also will undergo the same kind of rhythm.

It is almost a year from now. Our intention remains, across the group, entire real estate, which is additional, not required for the business, will be demerged into a company, and we intend to foray in that business.

If you look around, many large business houses, and you can find them are on the same path.

Sure. This was helpful.

Thank you so much. All the very best.

Thank you, Ritesh.

Thank you for taking my question. This is regarding Vedanta Power.

If you can give us some understanding regarding the regulatory approvals required for the restart of Shakti Energy plant in terms of what are the bottlenecks there. Also, if the contractors are already working on the site, or the work is dependent upon the regulatory approvals getting received?

If I could understand your question right, the plant is already under revival. The contractor is already working from almost a month on the revival, and 26% of the revival has already been completed.

We are expecting to start the unit by end of September or first week of October. That's a plan.

As such, there is no hurdle we are seeing at this moment.

Okay. Do you need any statutory approvals, sir, for this, approval of the district magistrate or any such approvals?

We have already intimated to all the authorities before start of work, and the major approval generally is required from the boiler inspector and the factory inspector. All have been intimated before start of work, and they are also coming and doing the in-stage inspection.

Finally, once the boiler is ready for starting, there will be a natural visit by the boiler inspector for certifying the fitness, and then the plant can start. As such, there is no hurdle.

Understood. For the Unit 2, also if you can give us some more color in terms of what percentage of completion, what we've done, and how the work is progressing there?

It is going as per plan. We want to complete all the activities related to Unit 2 by end of this year, and that's where we are as of now.

We're not seeing any issue further.

Understand. For the PPAs, for what has been left out in terms of capacity, some standing there, what PPAs are available and how are we approaching that?

We commissioned 700 megawatt at Meenakshi and 600 megawatt last year at Athena, right? Out of this 1,600 megawatt, we already have tied up 500 megawatt with Tamil Nadu, and recently, we have also got one-year contract with Kerala, which is taking the total capacity tied up to 600 out of these two plants.

We are not very much behind blocking PPAs at any rate. If you look at what we tied up with Tamil Nadu for five years was one of the best rate available among all the PPAs which were tied up last year.

Now when we're tying up for Kerala one year, that also is at a respectable rate of ₹5.96, ₹5.97. We are very picky and choosy because Indian power demand is growing, and so the market rates are.

If you look the difference between last year DAM rate versus this year DAM rate, we're already seeing a difference of around 1 ₹1 average. I think it's a good opportunity for us, but we are only looking at all the opportunities very carefully, because we want to tie up at a respectable rate only.

I'm very hopeful that eventually this year also, we should tie up some capacity which is remaining at a right rate.

Understood, sir. All the best.

Thank you.

Thank you.

Hi, thank you for the opportunity. My first question is for Vedanta Aluminium.

Sir, what's your view on the long term? Firstly, you have given guidance on how second quarter and this couple of quarters will be, but going ahead for the next couple of years, what are the key cost saving and operational efficiency measures that you're taking, and if you can just quantify how much value-accretive they will be, that would be great, sir.

Rajesh, let me take this question. See, we spoke about the hot metal cost of $1,700 per ton in this quarter.

Okay. From here and as

I specified, three, four Sorry? Am I audible?

Yes, sir. Yes.

Yes.

On the cost, if you look at, say, three, four quarters down the line, no, we expect the cost to go down The voice is echoing from somewhere, I think.

My line is on mute only.

No problem. I was saying that in, say, three, four quarters, no, when you look at the cost, say, from $1,700 today, we expect a reduction of $175 to $200.

The areas from where this savings will come: one, as and when the Lanjigarh ramps up. Today, we are doing about 70%, 72%, and with Lanjigarh ramping up to 5 million tons, we will be closer to 90%.

That's one. Second, we spoke about Sijimali and the captive bauxite, how once it ramps up and the cost benefit.

The third is once you have, say, Ghogharpalli coming into the play, we will start getting the advantages out of it. If I were to specify a number, say, on $175 saving, 70% of it will be alumina plus bauxite and the balance will be the coal.

We expect, in say, two to three to four quarters, we should start realizing those savings.

Thank you for this, sir. My second question, again, a little long-term in nature.

BALCO has already become net cash, and given your run rate of EBITDA, there is massive deleveraging potential at Vedanta Aluminium as well. In line with that, sir, I know you have answered it on a group level, but what is the capital allocation policies that you will be following at Vedanta Aluminium?

If you can just quantify what will be this year and next year capex at both Vedanta Aluminium and BALCO separately, sir?

See, yes, you're right. See, Ajay actually elaborated it in details.

I'll not get into that, because he mentioned it. Now, coming to the capex, no, as I said, for the year as a whole, FY '27, okay, we expect the capex to be around ₹5,000 crore for this year.

₹2,000-₹2,500 will be BALCO and the rest will be VAML. Next year also, maybe the capex can be around ₹3,500 to ₹4,000, because BALCO will be done and we will be left with only the mines capex.

Sir, it is safe to say that for next couple of years, the

Here, we have not included what is on the drawing board.

That is the growth

as and when that 3 MTPA comes, no? On 3 MTPA also, see, Arun-ji said, Ajay said, no, with the leverage below one, okay, I don't think, see, the money will come in the way of growth, I'm saying.

As and when we announce, no, we will also come with the details on the funding plans. Robust earnings and the leverage below one, I think we're very comfortable even with that 3 MTPA expansion as and when we announce it.

Just to give you an idea, see, per ton setting up a aluminium facility, I can give the numbers for BALCO, has been around $2,500 per ton. If you set up a 3-million unit, you can easily calculate what will be the capex required.

Having said that, the capex is also phased, and initially, the first two years, you are just ordering, only 10% or whatever is the order cost, that is the money which flows out. The maximum capex would happen in the third year after you start the project.

That is how the capex outflow will be there for the growth. We are very confident given the earnings which we are having currently, and Arun-ji also alluded to that.

See, BALCO has invested ₹10,800 crore on the growth, and even while it has not reached the full capacity, it is debt-free. You can see very easily how much internal accruals can generate.

I hope I have tried to answer your question, or I'm able to answer.

No, thank you so much for this, sir. Just one last question, a little operational one for

question queue

Yeah. Thank you for the opportunity, and congratulations for the very good results.

I just had one question. Given that CRISIL and ICRA have already upgraded Vedanta Limited, while India Ratings continue to maintain an AA- with rating watch, has management received any specific feedback from India Ratings on additional conditions or any milestone required for rating upgrade?

Have you talked with the rating agency?

Shubham, it is only a question of time. You may have seen that the rating upgrade began with ICRA a couple of months ago, and now CRISIL has followed the path.

There's no reason why India Ratings will be different. Typically, from rating companies' viewpoint, it is a function of the numericals, which is a hard fact, and second is a perception.

I think on the both accounts, we do foresee that the India Ratings soon will approach rating committee, and even that will become a AA+. It is only a process and a question of time.

That too, again, within weeks, not even months.

Okay. Thank you so much, sir.

Hi. Thank you, everyone.

Thanks for the opportunity. Two quick questions on BALCO only.

One, where we are at the pot ramp-up at BALCO and how we are seeing the trend going ahead, and when we can reach the full capacity at BALCO? Second thing is, as BALCO has become net cash, and for this 3 million-ton capacity also which we are talking about, that I'm assuming that we are talking about at Vedanta Aluminium standalone level and BALCO may not be participating in that.

What we are going to do with the cash which is being generated by BALCO? Can it be given as a dividend to Vedanta Aluminium, and then it can be passed on to Vedanta shareholders, or what's the thought process on that front?

Yeah. As regards BALCO ramp-up is concerned, against a plan of 22 kt in Q1, BALCO produced 24 kt from the new potline.

As we speak, the rest of the 25% capacity and this is with the 25% capacity being commissioned, and as we speak, the rest 25% is being commissioned, and this year, we will get a volume close to around 260 or 270 kt from BALCO. Having said that, the entire facility will be commissioned or in full production as we exit this quarter.

Next year also, we will get another 190 kt from BALCO, so that we realize our total volume of 435 kt from BALCO expansion. One is that BALCO has some plans to start the Barra mines.

There also government has given some very early-stage initiatives for coal gasification, we are exploring all that. All that is on the drawing board, nothing particular as such as regards the commitment, but these are the options for BALCO to grow.

In addition, it can grow in the power assets also. We are looking at it.

Also, the capital restructure or how the cash will be managed, we will take the decision as and when we have that scenario quarter-on-quarter. Anup-ji, if you can add.

Ashish, I'll only add, see, both because you mentioned 3 MTPA, you mentioned dividend. I'm saying yes, they are prerogative of the board, but I can only tell you all the options are on table.

Why not BALCO see, as a structure, and since we're on the drawing board, BALCO can even participate in 3 MTPA. I'm saying all options are there on the table.

Okay. That's great.

Thank you and all the best.

Thank you. My first question is on VRL.

With the whole deleveraging, refinancing that you've done, what is the outgo expected for this year and next year?

Okay. As on June end, Raashi, VRL debt at about $5 billion, and for the remainder of the year, we need to pay only interest of 0.3, and we also have to fund KCM obligation, 0.1.

In summary, in the remainder of the nine months, we need roughly $400 million out of the Vedanta Resources. How that can be funded, you may have seen in the current fiscal, none of the Vedanta companies has paid dividend.

Vedanta Aluminium just declared a dividend. Out of the current quantum, ₹8 per share, that leads to almost $175 million at Vedanta Resources.

In summary, in the remainder of the year, the need for cash at VRL is about $0.4 billion, and it'll be met mostly through dividend. If I look at next year, FY '28, right now, we got a $1 billion of bridge financing.

It is a temporary arrangement. If I leave that aside, that will be refinanced very soon.

We need again almost a billion at Vedanta Resources. This number in FY '29, the year next year, at about $730 million.

A billion next year, 730 FY '29. Again, it is a combination of the brand fee, almost $400 to $450 million, and the balance 550 to 600, again, will be dividend.

In summary, through a contractual brand fee and a routine 3% to 4% dividend, VRL will be self-managed.

Sorry, you mentioned in FY '20 sorry, this year, it was $300 million interest, and what was the other 100? It

is a KCM funding is at about $100 million.

KCM funding. Okay.

The $1 billion in FY '28, how does that break up?

Roughly, it is equally, the loan repayment at about $330 million, interest again 350, and KCM again around 350. All these three combined, 1/3 each, is almost a billion.

Brand fee percentage is fixed until when?

It's a long-term contract. The entire brand fee agreement is valid till 2038.

All the five companies' board has again now done a revised benchmarking in an unbundled format. Practically, across three businesses, this rate is 3%, and only in case of power and copper, it is 0.75%.

Net-net, for next three years, rate remains unchanged.

When you say three years, FY '30?

'27, '28, and '29. Until March '29, it is fixed.

Okay. Then just on Zinc International, what kind of cost and volume expectations should one have for the remaining year and going forward?

Volume expectation is immediate goal is to get 300 kt mark and then go to 500 kt mark through the Phase 2 expansion, and finally finish at 750 kt mark. If you look at current, 250 kt of concentrator that is being commissioned, if you add that to 200 kt, we see in a year's time surely touching 450 kt mark in Gamsberg.

When it touches 450 kt mark, the cost should come down to $1,200. That's the target that we are having.

This year, FY '27, what should we think about volumes and costs?

There is some shortfall in the beginning, but yes, we'll try to be close to the guidance.

On the cost as well, because the cost appears to be quite high compared to what you've guided?

As of now, but we are surely working towards reducing cost, we will see if we have to revise, we'll do it in H2, not now.

Understood.

Raashi, if you have seen, yeah, Arun in his commentary has explained the restructured contract at BMM, which is aimed at bringing down that cost. You can see the transcript, where we have explained that BMM was having a fixed-cost model.

Now it has been brought down to a variable-cost model. Quarter-on-quarter, you will see a cost reduction, and that's how we are trying to achieve the guidance which has been given for the current financial year.

Got it. Just one last question for me, for Vedanta Limited, you've given the capital expenditure both on growth as well as sustaining for the quarter.

What is the target for FY '27?

Can you repeat your question?

There was a What's capital expenditure for Vedanta Limited Vedanta Limited, what is the growth and sustaining capex targeted for the full year?

Okay. I'll have the number.

In terms of Vedanta Limited, which consists of Zinc India, Zinc International, copper, and couple of businesses, for the growth capex, the number is almost ₹7,000 crore. So 5,000 for Zinc India and 2,000 for the remainder businesses, ₹7,000 crore capex for Vedanta Limited.

The maintenance capex is almost ₹4,000 crore, and out of which a significant portion, almost 70%, again, at Zinc India and the balance at Zinc International. So 7,000 and 4,000, that's the number.

Got it. Thank you.

Hi, thanks for the chance again. Ajay, you mentioned a few times to look at it as a group entity, but still, these are five different listed entities, and the cash flows will clearly be different.

Is it fair to assume that at no point in time, we will see any kind of inter-company transactions among these five entities?

See, routine RPTs, Indrajit, I think is a norm for any large corporate. I can't think of any example in the country where one large company which has multiple businesses don't have RPTs, of course, within the RPT compliances and following all the governance requirement.

If you're leaning towards any inter-corporate loans and deposits, then the answer is no. Across all the five companies, six companies actually in Vedanta India, and from Indian entities to Vedanta Resources, we are not foreseeing any kind of inter-corporate loans.

That is comforting. Thank you so much.

Thank you, Indrajit.

Thank you, Sagar, and thank you, everyone, for joining us today and for your continued interest in Vedanta Group companies. We appreciate your time, your engagement, and the thoughtful questions.

In case there are any further questions, any queries not answered on the call, please feel free to reach out to the IR team. With that, we are concluding today's call, and we look forward to speaking with you again at the end of October, which is our Q2 numbers.

Thank you, and have a good day.