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Vedanta Resources (VED)

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Wednesday 07 January, 2004

Vedanta Resources

Production Report

Vedanta Resources PLC
07 January 2004

Wednesday, 07 January 2004



                         Vedanta Resources plc



         Production report for the quarter and nine months ended
                           31 December 2003


Vedanta Resources plc is releasing this third quarter production report to
update the information provided at the time of Vedanta's listing on the London
Stock Exchange.



Production summary


                                  Nine months          % change                   Quarter          % change

                             2003-2004  2002-2003     9 mths 04              2003-04    2002-03       Q3 04
                                                             vs                   Q3                     vs
                                                      9 mths 03                              Q3       Q3 03

Copper - mined    ('000 t)           37         26          36%                   13         11         17%
metal content
Copper - cathode  ('000 t)          137        114          20%                   44         42          5%
Copper - rods     ('000 t)           91         69          32%                   32         22         45%
Alumina           ('000 t)          200        185           8%                   66         61          8%
Aluminium         ('000 t)           97         94           3%                   32         33        (3%)
Zinc - mined      ('000 t)          232        190          23%                   80         64         27%
metal content
Zinc - refined    ('000 t)          165        149          11%                   56         52          8%
Lead - mined      ('000 t)           34         26          32%                   12          9         39%
metal content
Lead - refined    ('000 t)           20         21         (5%)                    7          7         -


Operational overview


Copper:

Cathode production in the nine months ended 31 December 2003 was 20% ahead of
the equivalent period in the last financial year as further benefits of the
group's de-bottlenecking programme have been realised.  Rod production of 91,000
tonnes in the first nine months of the current financial year was up 32% on the
equivalent period in the previous year due to higher market off take.



Aluminium:

Aluminium production in the nine months ended 31 December 2003 was at planned
capacity levels, some 3% ahead of the equivalent period in the last financial
year.



Zinc:

The zinc business continues to perform strongly.  Thanks to productivity
improvements, figures for mined and refined zinc are well ahead of the
corresponding periods in the last financial year on both a nine month and
quarterly basis.  Additional production of concentrate not used within the
business was sold in the market or used in increased tolling.




Pricing



TC/RC levels remain weak however commodity pricing in India has benefited from
recent improvements in worldwide commodity prices.  Further details will be
provided when Vedanta's Indian listed subsidiaries release their quarterly
reports at the end of this month.



Update on expansions


As outlined in the listing particulars, the company is continuing to make good
progress with its expansion projects:



Copper:

Mechanical completion of the 300,000 tpa smelter and 127,000 tpa refinery at the
Tuticorin complex is in the final stages and commissioning is slated to commence
soon there after.



Aluminium:

The expansion of the Korba smelter at BALCO to 350,000 tpa and the associated
power plant continues as per plan and over 30% of the project cost has now been
committed.



Zinc:

Work on the 170,000 tpa brownfield smelter expansion at Chanderiya is proceeding
and equipment orders for approximately 80% of the project have now been placed.
Work to increase the capacity of the Rampura Agucha mine to supply the
Chanderiya smelter continues.



Orissa:

Work on the bauxite mine and alumina refinery (ultimate capacity of 1.4 Mtpa of
alumina), with an associated 90 MW captive power plant, has commenced in
Lanjigarh in the state of Orissa. Key contracts (including the calciner,
crusher, conveyor and precipitator) have now been placed and now over 20% of the
project cost has been committed.  The design and basic engineering work being
undertaken by Worley continues per plan.





                                     -ends-





For further information, please contact:

Peter Sydney Smith
Finance Director
Vedanta Resources plc
www.vedantaresources.com                                 Tel:  +44 207 629 6070


Andrew Lorenz
Peter Otero
Financial Dynamics                                       Tel:  +44 207 831 3113


Scott Fulton
Fallon Stewart                                           Tel:  +44 1525 634 536




                      This information is provided by RNS
            The company news service from the London Stock Exchange