Reliance Power Limited
Corporate Presentation February 2013
Important Notice
This presentation, which has been prepared by Reliance Power Limited (the Company), has been prepared solely for informatio n purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis of or be relied on in connection with any contract or binding commitment whatsoever. This presentation is strictly confidential and may not be copied, published, distributed or transmitted to any person, in whole or in part, by any medium or in any form for any purpose. The information in this presentation is being provided by the Company and is subject to change without notice. The Company relies on information obtained from sources believed to be reliable but does not guarantee its accuracy or completeness This presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this presentation. This presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this presentation is expressly excluded. Certain matters discussed in this presentation may contain statements regarding the Companys market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the power industry in India and world-wide, competition, the Companys ability to successfully implement its strategy, the Companys future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Companys market preferences and its exposure to market risks, as well as other risks. The Companys actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this presentation. The Company assumes no obligation to update any forward-looking information contained in this presentation. Any forward-looking statements and projections made by third parties included in this presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections. The distribution of this presentation in certain jurisdictions may be restricted by law and persons into whose possession this presentation comes should inform themselves about and observe any such restrictions. You acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Company. This presentation speaks as of February 2013. Neither the delivery of this presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since that date.
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Contents
Birds eye view of Rosa plant
1.Company Overview
2.Performance of Operating plants
3.Projects under implementation
4.Financial Performance
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DRAFT FOR DISCUSSION PURPOSES ONLY
Slide 3
Section 1
Company Overview
Reliance Power: A Snapshot
One of Indias leading power development company
Power Generation
Resources
Largest portfolio of power projects under construction and development in the private sector
1,840 MW of operational capacity Over 20,000 MW under implementation
3 captive coal blocks in India with aggregate coal reserves of c. 2 bn tonnes Coal production started at Moher Mines (Sasan) peak production 20 million tonnes per annum 3 coal concessions in Indonesia with estimated coal resources of c. 2 bn tonnes Planned peak coal production of 95 million tonnes 4 Coal Bed Methane (CBM) blocks
Largest coal reserves amongst private power generation companies
Constructing Indias largest gas-based power plant of 2,400 MW Won 3 of the 4 UMPPs awarded by GoI One of the largest capacities of renewable energy projects under construction in India
Portfolio well diversified by fuel, fuel-source , geography and offtake
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Focus on environmentally friendly technologies
Reliance Groups brand, experience and position in the Indian Power Sector
DRAFT FOR DISCUSSION PURPOSES ONLY
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Reliance Power: Projects Portfolio
Power Operation
Project Hydro Projects * (672 MW) Hydro Project * (400 MW) Barmer 4 Barmer 5 Solar (100 MW) CSP ^ Rosa # (1,200 MW) Hydro Projects * (4,220 MW) Project Coal based Gas based Solar Wind Coal based Solar No. 1 1 Capacity (MW) 1,800 40
Power Implementation
No. 5 1 1 1 Capacity (MW) 15,840 2,400 100 45
Solar PV # (40 MW) Sohagpur
Chitrangi^ (3,960 MW)
Wind ^ (45 MW)
Tilaiya^ Sasan^ (3,960 MW) (3,960 MW) Butibori^ (600 MW) Kothagudem Samalkot^ (2,400 MW) Krishnapatnam^ (3,960 MW)
Power Development
Project
Hydroelectric Coal based
No
12 1
Capacity (MW)
5,292 ~5,000
Resources
Asset Coal blocks-India No 3 3 4 Resources ~ 2 bn tonnes ~2 bn tonnes 193.92 BCM
Coal
Gas
Renewable
Hydro
Coal Mines
CBM blocks
Coal mine-Indonesia CBM blocks
# Operating Projects; ^ Projects Under Construction; * Projects Under Development
Generation portfolio is well diversified by fuel type, offtake and location
Confidential DRAFT FOR DISCUSSION PURPOSES ONLY Slide 6
Section 2
Performance of Operating plants
1,200 MW ROSA: Operating Performance
Units generated (MU)
3,000 2,500
2,407
2,055 1,655 1,191 1,004
2,000
1,500 1,000 500 0 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12
1,109
987
Q1 FY13
Q2 FY13
Q3 FY13
Consistent growth in generation
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1,200 MW ROSA: Financial Performance
1,500 1,000 500 0 600 400 200 0 300 200 100 0 110 208 163 529 474 441
All figs in Rs crore
1,312
Revenue
988 923
514
EBITDA
346 360 218
456
163
PAT
211 136 76 75 78 141
Q1 FY12
Q2 FY12
Q3 FY12
Q4 FY12
Q1 FY13
Q2 FY13
Q3 FY13
Continuous growth in generation and profits
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40 MW Solar PV, Rajasthan
Generation (million units)
16 12.9 12
13.8
15.2
8 Q1 FY13
16 12 8 4 0
Q2 FY13
PAT (Rs crore)
Q3 FY13 12.3
3.6 Q1 FY13
6.7
Q2 FY13
Q3 FY13
Continuous growth in generation and profits
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Section 3 Projects under implementation
Progress of projects under construction
Butibori: 600 MW
Sasan UMPP: 3,960 MW
Samalkot: 2,400 MW
Renewables: 300 MW
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Slide 12
Progress of projects under construction
Butibori: 600 MW
Sasan UMPP: 3,960 MW
Samalkot: 2,400 MW
Renewables: 300 MW
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Slide 13
600 MW Butibori, Maharashtra: Highlights
Unit 1 synchronized on 25th June 2012
Unit 2 synchronized on 2nd January 2013
Exploring multiple avenues for power sale Petition filed with MERC for sale to RInfra on cost plus
FSAs expected to be signed shortly
Petition filed with MERC for cost plus power sale
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Progress of projects under construction
Butibori: 600 MW
Sasan UMPP: 3,960 MW
Samalkot: 2,400 MW
Renewables: 300 MW
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Slide 15
3,960 MW Sasan UMPP, MP : First Unit Highlights
Boiler steam blowing completed
Generator stator erection and TG box-up completed oil flushing in progress
Powerhouse Building structure erection completed
400 kV switchyard connected to the national grid 765 kV switchyard energized
First unit to be synchronized in the next few days
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3,960 MW Sasan UMPP, MP : Other Highlights
Boiler hydro-test completed for second unit
Boiler pressure parts erection commenced in all units
TG deck casting completed in 3 units
Shell concreting of both chimneys completed
All units on track to be commissioned ahead of schedule
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Sasan UMPP: Mine Highlights
Large sized equipment commissioned and put to use
5 out of 6 nos. 42 m3 rope shovels in operation
28 out of 55 nos. 240 tonne Dumpers in operation Mine Auxiliary Equipment (Cranes, Trucks) in Operation
13 out of 18 large size Dozers and 5 out of 9 Graders in operation 8 out of 16 Drills commissioned
Coal produced sufficient to start power plant operations
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Progress of projects under construction
Butibori: 600 MW
Sasan UMPP: 3,960 MW
Samalkot: 2,400 MW
Renewables: 300 MW
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Slide 19
2,400 MW Samalkot, AP: Highlights
Four gas turbines ready for generation
Combined cycle commissioning to be based on gas availability
Evaluating multiple options for gas sourcing
Planning to set up FSRU in Kakinada in partnership with Shell
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Slide 20
Progress of projects under construction
Butibori: 600 MW
Sasan UMPP: 3,960 MW
Samalkot: 2,400 MW
Renewables: 300 MW
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Slide 21
100 MW Solar CSP, Rajasthan: Status Update
Land PPA EPC Financing
Entire land (340 hectare) under possession
Signed with NVVN at a levelized tariff of Rs 11.97/unit Signed with R-Infra AREVA to provide Solar Field technology supply
Financial closure achieved with involvement of US Exim, ADB, FMO and others
Construction
Construction at site in full swing
On track to be commissioned by May 2013
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45 MW Vashpet Wind, Maharashtra: Status Update
PPA
PPA signed with R-Infra, regulated tariff of Rs 5.67/unit
EPC Contract
Signed with Global Wind Power Limited (GWPL) & Global Wind Infrastructure and Services Pvt Ltd ( GWISPL)
Construction Activities
Foundation work: Completed (40 MW) , WIP (5 MW) 40 MW (16 WTGs) erected and trial run for 3 WTG in progress
Financing
USD 25mn - ECB from Axis Bank
Balance through Rupee borrowings
Entire capacity to be commissioned by March 2013
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Progress of projects under development
Chitrangi Power Project: 3,960 MW
Tilaiya UMPP & Coal Mines: 3,960 MW
Hydro Projects: 5,292 MW
Indonesian Coal
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Slide 24
3,960 MW Chitrangi, MP: Highlights
Land
Entire govt. land under possession Entire private land awarded, mutation and diversion completed
Water
CWC clearance for water from Gopad received
Construction
Site leveling completed Main plant civil work ready to commence
Coal
Awaiting Stage II forest clearance for Chhatrasal
To commence construction after forest clearance of Chhatrasal mines
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3,960 MW Tilaiya UMPP, Jharkhand: Highlights
Land
Private land (186 acres): Ownership Transferred Forest land (1220 acres): Stage II Forest Clearance received. Final handover expected shortly Govt. land (167 acres): Final approval expected shortly
R&R
R&R survey complete , R&R plan submitted to district administration
CSR
Medical camps, Hand pump installation, Blanket distribution taken up NGOs identified and SHGs being formed for livelihood generation
Financing
Escrow Assessment study completed; ESIA/ESMP to meet IFC Performance Standards prepared Letter of Intent submitted to US EXIM for project financing; discussion with other overseas & domestic banks in progress
Progress being made on all aspects of project development
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Tilaiya Coal Mines, Jharkhand: Highlights
Land
Application for Section 4 notification under approval at State revenue dept. Forest Diversion proposal under approval at State Forest Department
R&R
Socio-economic survey completed LA proposal for 988 acres of land for R&R colony with State Revenue Dept. for issuance of Section 4
EC & FC
EIA/EMP submitted to MoEF; public hearing conducted in May 2012 Stage-I Forest Clearance being processed for recommendation by State Govt.
Coal Mining
Mining lease application with State Mining Dept. for prior approval to GoI NIT issued for major equipments; Discussions with OEMs in progress
Progress made on land acquisition and mine planning
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5,292 MW Hydro Portfolio
Project
Himachal Pradesh (672 MW) Arunachal Pradesh Uttarakhand (400 MW) (4220 MW)
Location Arunachal Pradesh
Capacity (MW) 700
Tato II
Siyom
Kalai II Urthing Sobla Emini Amulin Mihundon
Arunachal Pradesh
Arunachal Pradesh Uttarakhand Arunachal Pradesh Arunachal Pradesh Arunachal Pradesh Himachal Pradesh Himachal Pradesh Himachal Pradesh Himachal Pradesh
1,000
1,200 400 500 420 400
Purthi Teling
Shangling Sumte Kothang Lara Sumta
300 94
44 130 104 5,292
Himachal Pradesh
Development activities in progress for each project
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700 MW Tato-II, Arunachal Pradesh: Status Update
Land
Award for entire project land (786 acres) pronounced by State Govt. R&R Plan submitted to GoAP for approval & implementation
TechnoEconomic Clearance Environmental Clearance
Techno-economic clearance obtained from CEA
Environmental clearance and Consent to establish obtained
Power Sale
PPA signed with Delhi Discoms for 60% power. Regulatory approval in process PPA signed with Mumbai Discoms for 40% power. Regulatory approval in process
Project at advanced stage of development
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Indonesian Coal: Highlights
51,000 m of drilling completed in all 3 concessions
JORC Resources and Reserves certified by Marston, USA
All major clearances obtained
Detailed mine plan for commencement of mining prepared
Coal production to start in 2013
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Section 4
Financial Performance
Robust Financial Performance
Total Income (Rs crore)
5,000 4,000 3,000 2,000 1,000 0 801 42 FY10 809 869 1,049 FY11 FY12 9 mth FY13 0 1,958 2,000
EBITDA (Rs crore)
342
3,677 1,500 1,000 618 278 1,312
676
500 700 17 FY10 416 FY11
753
FY12
9 mth FY13
PBT (Rs crore)
1,200 1,000 800 600 400 200 0 5 FY10 164 FY11 FY12 9 mth FY13 247 529 608 423 717 1,000 800 600 400 200 0 4 FY10 680
PAT (Rs crore)
528 628 339 132 FY11 FY12
153 592
698
9 mth FY13
Contribution from generating assets Others
Continuous increase in contribution from generating assets
Confidential DRAFT FOR DISCUSSION PURPOSES ONLY Slide 32
Thank You
