HEG — earnings call

The transcript as filed. Every paragraph is addressable: its link names the page and the position it sits at in the call.

Prepared remarks

Moderator · Conference Operator

imited Q T: MR. M LIMIT MR. G OFFIC MR. N EQUIT Pa Q2’FY 2 Novem MANISH G TED GULSHAN CER, HEG NAVIN AG TIES, SKP age 1 of 19 2021 Ea mber 18 GULATI – N KUMAR G LIMITE GARWAL P SECURI arnings C 8, 2020 – EXECUT R SAKHUJ ED – HEAD, ITIES LIM Confere TIVE DIRE JA – CHIE INSTITUT MITED ence Cal ECTOR, H EF FINANC TIONAL ll” HEG CIAL Moderato Navin Ag Manish G or: garwal:

Gulati

Good day Conferenc will be an need assis on your to conferenc Limited.

T Good afte pleasure a leadership We have CFO.

We session.

Over to yo Yes.

Goo Ravi Jhun because so CFO, Mr. Director, H More than continues stringent c use of on some reas improving stage of te started to we can ex The Worl year 2020 steel dem recovery i still marks only a par Pa y, ladies and ge ce Call.

As a re n opportunity f stance during th ouchtone phone ce over to Mr. Thank you and ernoon, ladies a and privilege p team at HEG L with us Mr. M shall have the ou Mr. Gulati fo d afternoon, fr njhunwala, our omething very .

Gulshan Sakh HEG.

So, I will n 1 million live to rise.

In HEG controls at work nline interaction sons to be hop g.

Vaccine trial esting.

As per t recover at a fa xpect a less seve ld Steel Associ 0, the world ste and is expected in steel demand s a deep contra rtial recovery ex age 2 of 19 entlemen.

And eminder, all par for you to ask q he conference c e.

Please note .

Navin Agarw over to you, sir and gentlemen. to welcome y Limited.

Manish Gulati – opening remark for your opening riends.

And we Chairman, Man urgent came up huja, we will b l begin. es have been los G, we have giv kplaces, includ ns and work fro peful.

Testing ls have proceed the recent data aster pace than ere, though still iation in its rec eel demand will d to recover wi d in the rest of t ction in 2020, b xpected in 2021 welcome to th rticipant lines w questions after call, please sign that this confer wal – Head, In r.

On behalf of a ou to this fina – Executive D ks from Mr. Gu g remarks.

Than elcome to our naging Directo p.

So, he got oc be handling this st due to COVI ven top priority ing social dista om home, etc.. has been ram ded at a preced from IMF, wh anticipated afte l deep recession cent short-rang l contract by 2. ith an increase the world has b both from deve 1. he HEG Limite will be in the lis the presentatio nal an operator rence is being nstitutional Eq all of us at SKP ancial results Director; Mr. G ulati, followed nk you.

Q2 financial re r and CEO, cou ccupied with tha s call.

This is M ID since the sta y to the safety o ancing, use of m These are diff mped up, as yo dented pace, wi hich suggests th er reopening fro n in 2020. ge outlook fore .4% due to CO of 4.1% over 2 been stronger th loped and emer HEG November d Q2’ FY 202 ten-only mode. on concludes.

S by pressing “* recorded.

I now quities at SKP P Securities, it i conference cal ulshan Kumar by a question-a esults 2021 con uld not join un at.

So, me, alon Manish Gulati, art of the year, a of our employe mask, sanitizing fficult times, ye ou know.

Trea ith some now i hat many econo om the lockdow casted that in t OVID pandemic 2020.

The post han earlier expe rging economie G Limited 18, 2020 1 Earnings .

And there Should you *” then “0” w hand the Securities is my great ll with the Sakhuja – and-answer n-call.

Mr. nfortunately ng with our Executive and the toll ees and put g, extensive et there are atments are in the final omies have wn.

Hence, the current c, and 2021 t lockdown ected, but it es.

There is Gulshan Kumar Sakhu In the firs 12%, excl arc furnac Europe, U The graph year, COV in this qu reduced E Q2 was ab Since the after quar improve f demand f remaining eased.

An always be helps us electrode production and expor Electric a growth ra choice of considerat decades o Indian cu COVID cr With this through th any querie ja: Thank yo operating The secon resumptio 74% in qu Septembe Pa st nine months o luding China, w ce steel produc U.S., Japan, Sou hite electrode in VID has de-acc uarter were imp EAF steel produ bout 74%. past year, as yo rter to reflect th from the curre from 2021 on g electrode inve nd accordingly, een exporting a in diversifying demand in Q2, n levels at maj rt markets going arc furnace pro ate over the lon f steelmaking d tions, low carb of experience in ustomers.

We h risis and ensure , I will now h he financial num es that you may ou.

Good aftern and financial p nd quarter star on of business a uarter 2 FY 202 er 2020, HEG re age 3 of 19 of the current y which is having ction was dow uth Korea, besi nventory adjustm celerated the rat pacted due to lo uction in the re ou know, the el he market condi ent levels in th nwards, once t entories get con , the prices of about two-third g the market r , which dropped or steel compa g forward into t oduction has se g-term, and we due to its inhere on emissions, l n business, we have taken sig e the health and hand over the f mbers.

And the y have.

Thank y noon everyone performance for rted on a posit activities.

The 21 as compared egistered reven year, the group's g an impact on wn in some of des India, main ment, which wa te of depletion ower sales and est of the world lectrode prices itions.

We now he next two, th the impact of nsumed.

The n needle coke h ds of our produ risks.

We have d by about 50% anies.

We see a the next quarter een an approxim e expect this to ent advantages low capital cost expect to be a gnificant measu d safety of our w floor to our CF en I, along with you. .

I will now b r the quarter und tive note with company gradu d to 45% in the ue from operati s steel producti graphite electr f the large stee nly resulting fro as supposed to g of these accum d lower graphite d, except China have been sequ w expect the pri hree quarters.

W COVID subs needle coke ava ave come dow uction to more e seen some r % in April to Ju a gradual impro r. mately 2% to 3 continue as EA over blast furn ts, ease of oper supplier of ch ures to manag workforce and t FO, Mr. Gulsh h our CFO, will briefly take you der review. a relaxation i ually increased e previous quar ions of Rs.

323 HEG November on has dropped rode demand.

T el producing re om slowdown i get over by the mulated stocks.

O e electrode pric a.

Capacity util uentially dropp icing to remain We expect resu ides, hopefully ailability has su wn substantially than 30 countr recovery in the une period, with ovement both in 3% compounde AF becomes th naces, like env rations, etc. Wi oice to all our ge our operatio team members. han Sakhuja, to l be very happy u through the in lockdown an its capacity ut rter.

For the qua 3 crores as again G Limited 18, 2020 d by almost The electric egions like in demand. end of this Our results ces, due to lization for ing quarter n stable and urgence in y, and the ubstantially y.

We have ries, which e domestic h improved n domestic ed average e preferred vironmental th our four global and ons in this o take you y to answer company's nd gradual tilization to arter ended nst Rs.

233 Moderato Ujwal Ag Gulshan K Ujwal Ag or: garwal: Kumar Sakhu garwal: crores in correspon EBITDA, Rs.

35 cro last financ a net prof improvem continued about Rs.

The comp and carryi right of u indicators of these financial organizati The comp yielding a internal f continuou environme Now we Thank you Thank you is from th Now, my quarter, th know the ja: Yes.

If yo the mater higher sid Okay.

So, material c Pa the previous q nding quarter of including othe ores in the prev cial year.

The c fit of Rs.

11 c ment in the bus d to remain und 1,400 crores at pany has made ing value of its use of assets, i s of future econ assets.

The co resources and ion to conserve pany is long-te an average retu financial report usly review an ent. would now lik u. u very much.

W e line of Ujwal question is th he cost of mate reason for that. ou see in this qu rial consumptio de. , that has not be consumed? age 4 of 19 quarter, an incr f the last financi er income, stoo vious quarter; a company report crores in the pr iness activity, der pressure.

Ou t the end of Sep a detailed asse s assets, compr investments, in nomic condition ompany is ope d also implem cash. erm debt-free a urn of approxi ting and contro nd monitor its ke to address a We will now beg Agarwal from hat when I look erials consumed . uarter, we have on.

Therefore, een included in ease of 38% Q ial year. od at negative R and Rs.

174 cr ted a net loss of revious quarter which was off ur balance shee ptember 2020. essment of its rising property, nventory and t n, the company erating its busi mented stringe and having a tr mately 6.5% p ol system.

The policies and p any questions o gin the question New Horizons k at the conso d has actually in taken an Inven you are obser n the other expe Q-on-Q basis, a Rs.

25 crores in ores in the cor f Rs.

34 crores r.

The perform fset by the low et remains robu liquidity positi , plant and equ trade receivable y expects to rec iness by optim ent cost contr reasury size of per annum.

Th e company is procedures to or queries you ns-and-answer s Finserve.

Pleas olidated results ncreased for th ntory write down rving the mate nses, but it has HEG November and Rs.

564 cro n Q2 FY 2021 rresponding qua in Q2 FY 2021 mance was enco wer realizations ust with a treas ion and the rec uipment, intangi es.

Based on t cover the carryi mal utilization ol measures a f nearly Rs.

1,4 he company ha having a mec adopt with th may have in y session.

The fir se go ahead. of the compan is quarter.

I wo n, and that form erial consumpti been added to G Limited 18, 2020 ores in the vs positive arter of the 1 as against ouraged by as pricing ury size of coverability ible assets, the current ing amount of eligible across the 400 crores, as adequate chanism to e dynamic your mind. rst question ny for this ould like to ms a part of ion on the the cost of Gulshan K Moderato Bhavesh C Manish G Bhavesh C Manish G Moderato Anuj Sha Kumar Sakhu or:

or: arma: ja: It is a part Thank you go ahead.

Sir, just w to Chinese See, I wou where the at a price are using became a one of the keep publ electrodes still under to actually And custo confusion our electr concerned you menti Okay.

Sir one quarte See, they started ear much at t past.

If w there wou system, w processing make the see this p December Thank you Yes.

My competito Pa t of cost of mate u.

The next qu wanted to know e prices.

So, do uld like to answ e adoption gets of 35% lower t all kinds of raw benchmark for e websites and lishing data, bu s, which is not r pressure, but t y match the Ch omers do under n in the minds o rodes and Chin d about that.

W ioned. r, that's helpful. er?

Are they go have been goi rly this year, an this time becau we were to get n uld be decent m which includes g cycle is so lon connecting pin pain, which mi r, and one more u.

The next que first question ors, our realizati age 5 of 19 erial, yes. estion is from t , today as I see oes it indicate th wer this in this w wrong because than HEG price w materials, bl r all the electrod SteelMint, and ut they are all ju correct, actuall that doesn't rea hinese price for rstand this.

Of of customers.

B nese electrode We are very mu .

And sir, secon oing up, flattish? ing down in th nd the prices ha use we are still needle coke at margins.

Our pr s raw material ng, I mean, it ta s.

So, till all thi ight last for an e.

And from Ap estion is from A is, if I just ion seems to be the line of Bha in SteelMint, U hat Indian UHP way that they ar e, of course, Ch es.

But first of ending this, tha de industry.

Bu d there's some ust comparing ly.

It's not a app lly mean that it our product be course, these k ut all the custo s, they know uch aware that t ndly, what is th ? he last, let's say ave been going l holding sizab today's prices roblem is that t l, also work i akes two month is gets flushed nother quarter pril, from next f Anuj Sharma fro look at the re e low.

What wo avesh Chohan f UHP prices of I prices should f re taking Chine hinese electrode all, they are no at.

So, I don't k ut probably, the site called Buy Chinese prices ple-to-apple com t is going to go ecause it's not t kinds of news, mers who have what is what. they are selling he trend in need y, now if we c down.

But that le inventories o and sell the ele till this inventor in progress, a hs to make elec out from the sy or so.

I mean, fiscal, it should om M3 Investm ealization of o uld be the reaso HEG November from IDBI Cap India are at 35% fall hereon? ese as a benchm es are definitely ot two UHP pro know since whe ey are the only y Information, with our price mparison.

So, t down, and we the same produc this was a dam e used both the So, we are n g at this price g dle coke prices count by almos t is actually not of material bou ectrodes at toda ry gets flushed lso finished g ctrodes and five ystem, we will c , this quarter, O correct. ment.

Please go a our company v on for that?

G Limited 18, 2020 ital.

Please % premium mark, that is y available ducts, they en Chinese people and so they all s of Indian the price is don't have ct actually. mpener and electrodes, not unduly gap, which s in the last t a year, it helping us ught in the ay's prices, d out of the goods.

Our e months to continue to October to ahead. versus our Manish G Gulshan K Anuj Sha Manish G Anuj Sha Manish G Anuj Sha Manish G

Kumar Sakhu arma:

arma:

No, I don' depends o can explai ja: For makin the fact th revenue fr and then revenue c Electrode Okay.

In t we are qu than the re First of a remember do hope s the curren companie survive fo coke prici already w should no Okay.

An words, yo account th margins.

W No, we w also to the I am sayin doesn't se Sorry, thi realization I am talki needle cok this.

So, th Pa 't think so.

I me on the prodigies in this better. ng this compari hat they are into from specialties you have to a omprises of oth sales revenue. terms of pricing uoting.

You beli ealized prices? all, the average r there's a portio incerely that th nt prices of nee s to at least hav or servicing the ing has also no went down to th t be further dec d in terms of ne ou would be op here will be h What would tha ill decline to st e needle coke s ng is that there em possible bec is, you are tal n? ing about needl ke and current hat means I am age 6 of 19 ean if you are lo s, but it is not lo ison, you have o the other segm s and other pro arrive at a GE her products als g, it seems that ieve that this w e realization w on of non-UHP hese prices shou edle coke and ve some decen e steel industry ow reached a le he levels which cline in prices o eedle coke, how perating on an historical cost. at number be?

W ate the specific suppliers.

So, I e has been a de cause they are a lking about the le coke first.

A prices of electr expecting that ooking at our In ow.

You have t to make the ad ments also.

The oducts.

You hav E sales revenue so, the same ha t we are roughl was the bottom o which you are t P electrodes also uld not go down the current pri nt margins and .

So, this shoul evel where furt h we had seen b of electrodes, wh w more can you incremental ba On an increm Would that be a c number becau am very sorry, ecline in needle already reachin e raw materia And of course, t rodes is also no this electrode p ndian competiti to look at the fig djustment in the eir Graphite and ve to make an e.

Their Graph as to be elimina ly $3,000 per to or the spot pric taking, the rev o in this.

So, th n any further be ces of electrod survive and do ld not go down ther major decl before they star hich you are se u expect the cos asis, not on the mental basis, yo around $500 per se this is confid but we cannot e coke prices, a ng quite a low le l, the needle c the spread betw ow at a level tha prices will now HEG November on, no, it's not l gures and mayb e competitor re d carbon segme adjustment to hite and carbon ated to derive th onne of realizat es are materiall venue by tonna hat you are divi ecause the sprea des is now enou good for them n, I think, beca line is not poss rted to increase eing. sting to go dow e historic basis ou said you ma r tonne or... dential, not only give out that n and further maj evel. coke prices is ween the curren at it should not start bottoming G Limited 18, 2020 low.

It also be Gulshan esults given nt includes that figure n electrode he Graphite tion, which ly different age, please iding.

But I ad between ugh for all mselves and ause needle sible.

They e.

So, there wn?

In other s because I ake decent y to us, but number.

All ajor decline it, or the nt prices of go beyond g out.

Anuj Sha Gulshan K Anuj Sha Gulshan K Moderato Rajesh M Manish G Rajesh M Manish G arma: Kumar Sakhu arma: Kumar Sakhu or:

Sure.

And there is so realization ja: If you see selling pri fourth qua in the boo down, the there is a might be a As per cu up? ja: For Septe have alrea Thank yo Please go I just wan expected going to g there will industry o No. India much.

Wh quality sc much.

No, I am electrode their dom there right Not exact 20%.

You going to b 104 millio would ha Pa d in terms of ou ome more to g n level? e, as on 30th Se ices.

NRV is a arter or first qua oks of accounts e inventory has ny further dete a possibility tha urrent prices, th ember quarter, w ady shown the h ou.

The next qu ahead. nted to know so by the end of go back to the still be restrict over the longer r was not a net e hat they are try rap from comin m not talking ab exports that Ch mestic industry w t now might ea ly.

Actually, yo u remember, th be 20% by year on, 105 million ave really eased age 7 of 19 ur raw material, go?

So, is our i eptember, the i a factor of futur arter of next fin s.

But if I talk already been w erioration of se at some impact ere is no marke we have alread hit on account o uestion is from omething on th the year.

What old policy?

It's tions on low-qu run? exporter of scra ying to do, I me ng in.

So, that w bout the scrap hina is doing rig would consume se with the scra ou see if China hree years back r 2020.

And w level.

Actually d a lot of pro , is our invento inventory now inventory has a re selling price nancial year wo about the seco written down as elling price in t would come. ed deterioration dy taken that hi of NRV and wri m the line of R he new Chinese t do you mind s not going to g uality scrap imp ap anyway.

So, ean, they are try way, I mean, In price.

I am ta ght now.

So, if e more of elect ap imports.

Tha has not kept up they were talk we are already d y, they should h blems, their ow ory now marked completely ma already been wr es.

What would ould determine ond quarter, it per the current the fourth quar n now in the in t.

If you see th ite down of inv Rajesh Majumd e policy for stee is expectation go back to the ports.

How is t this Chinese po ying to use thei ndia as a count alking about th they are impor trodes.

So, the at's what I was g p the promise o king that, okay, done with 2020 have been at 20 wn internal ele HEG November d to the current arked down to ritten down to d be the selling the actual impa has already be selling prices.

B rter or further, nventory, that's he notes to the ventory. dar from B&K el scrap import on the new po old policy fully that expected to olicy doesn't rea ir own scrap an try, we won't b he impact of th rting more scrap export pressure getting at. of taking the EA , our EAF steel 0, and they are 0 million this y ectrodes would G Limited 18, 2020 prices?

Or the current the current g prices for act of NRV een marked But in case then there all marked results, we Securities. ts, which is olicy?

Is it y, right, so o affect the ally impact nd stop low e impacted he graphite p, naturally e, which is AF share to l portion is still at that year, which d have got Rajesh M Manish G Rajesh M Manish G Moderato Anuj Sha

or: arma: consumed they did s EAF rout million.

A mean, the logic beca having the have been Right.

So, in that in t No. Actua than some is environ steel made all their ea have not d number, i electric ar not 40% l But 20% furnaces. they were Right.

Co are not pra Yes, that i current sc economy, in form of furnace ro Thank you ahead.

Yes.

My some pla implemen Pa d there.

But stil start with a bang te in 2016.

An And the way the eir reliance is s ause now when eir scrap, their n 20%. , if there is a ch terms of the... ally, that's what ehow in China t nment unfriend e, we still find i arlier policy wh done so.

While it's 48%.

So, e rc furnace route long way off be was not diffic So, I don't know talking about. uld that also be actically enoug is what I was s crap prices are when they are f scrap, it shoul oute more econo u.

The next que question is, wh ayers were try ntation or capac age 8 of 19 ll for them, som g, they did incr d in two years ey are going in t still on the blas n the countries electric arc furn hange in the scr t I was trying to they still find th ly.

But probab it more cost com hich they had m e the rest of the excluding Chin e.

And that is w ecause that is a cult to achieve w, they are not e because of the gh for the EAF r aying.

If you lo still not econo e maturing and ld have come.

B omical. estion is from th hile the UHP te ying.

Any su ities coming up mehow blast fu rease from a lev s, they came to this year, the st st furnace route develop, the r nace production rap import polic o say.

Actually, he blast furnace ly around $30, mpetitive makin made that they w e world is aroun a, 48% steel m what was expec a country still re , and they wer t keeping up wi e fact that scrap route because... ook at the cost o omical for them there is a life c But still the scra he line of Anuj echnology was uccess in Chin p? urnace gives th vel of 51 millio o 108 million, teel production e.

Which just g recycling of ste n is still at 10% cy, you don't ex this policy has e route to be m , $40 a tonne, ng it through bl want to take the nd 50% or rath made in the wo cted out of Chin elying more on re putting up a th their plan, th p prices are very . of making steel m.

Although it cycle to steel, a ap prices are suc Sharma from M with few play na-based play HEG November em better econ on tonnes produ then in 2019 i is increasing.

B goes against co eel increases.

B %, 12%, althoug xpect a signific lesser of an im more economica there is still pe last furnace rou e production to her to give a ve orld is made th na, to take it fro n blast furnace p a lot of electri he Blue Sky pol y high, the curre l from the both was expected as steel comes i ch that they stil M3 Investment yers, we heard t yers of succes G Limited 18, 2020 nomies.

So, uction from it was 104 But again, I onventional But despite gh it should cant change mpact rather l, even if it er tonne of ute, defying 20%.

They ery specific hrough the om 10%, if production. c arc steel licy, which ent spreads routes, the that as an in a market ll find blast t.

Please go that China, ssful UHP Manish G Anuj Sha Manish G Anuj Sha Manish G

arma:

See first, I big learni example, in Malays this proce materials, binder pit technical or two are size up to have to us is equal to The fight materials same prod forever.

B product th product an Sure.

And expansion See, UHP greenfield capacity o what they UHP.

But materials, Sure.

You supplied diversifica remain co The major two Japan Indian com needle cok them are are puttin needle cok make this Pa I will answer th ing curve in th even one of ou sia.

And that pl ss is such that i whatever they tches, etc. So, front has been, e able to make e 24 inches.

But se 100% needle o that of HEG comes when w or using them duct.

See, our t But it's just a pr hat we cannot m nd stay competi d what is the n in UHP space?

P space if I haz d type of expan out of the total, y have.

But abo t just having a and they need u explained th by very few ation in the sup oncentrated in th r players in the nese companies mpetitor, all of ke from these th Japanese.

Now g up a lot of, i ke.

So, in Inner needle coke or age 9 of 19 he technical par his and even t ur multinational lant still gives t it takes a while y have.

The nee it takes a wh , there are abou electrodes, let's t it is going to t e coke, take it th or other world we are making in a blended w target is to rem ricing pressure, match up with o itive in our cost amount of qu ? zard a guess, th nsions.

I don't I think, they h out, let's say, 8 UHP capacity to have the righ hat earlier.

And concentrated pply source?

O he next three, fi e industry, whic s; and GrafTec f these compani hree suppliers. w when it come it's not needle c r Mongolia they r the substitute rt.

Then, yes, of the same comp competitors, th them a lot of tr for each compa edle coke is fin hile.

But the C ut five integrate say, up to a ce take time, if the hrough a certain d majors.

And t g different thin way or somethin main cost compe , not a technica on the quality po ts.

So, that is go uantum of capa hey were puttin t know if, let's have about, amo 80,000 tonnes t y doesn't mean ht technology. d one last que guys.

Is there Or that still rem ive years? ch is like the li ch which is an ies are using th One of them is s to Chinese, th coke as such, i y are putting up of petroleum-b f course, everyb pany, I mean, he world leader rouble as far as any to perfect t ne, then the pitc hinese progres ed producers in ertain size, let's ey really make n process and th that is where th gs.

If they are ng, then they, of etitive.

See, the al pressure that oint.

So, we hav oing to be the m acity you are t ng up a lot of, I say, let me p ong the five pla to 100,000 tonn nothing, they h estion is, needl e any thought mains concentra ikes of Showa D American com his standard, pro s an American c hey have their it's coal tar bas p a lot of these p ased needle cok HEG November body knows tha I am just givi rs, they set up a quality is conc that with the av ches are mostly ss, if you ask n China.

Out of say, I will give a true UHP pro hen make a pro hey cannot figh using other k f course, canno ese pressures w t, okay, they ha ve to make a go mantra for the fu talking about i I don't know, b put it this way ayers itself abou nes capacity w have to use the le coke has alw ts or any exp ated?

And is e Denkos and To mpany, and HE oven, year-long company, P66, own raw mate sed, it's pitch b plants, which a ke from the coa G Limited 18, 2020 at there is a ng you an a new plant cerned.

So, ailable raw y local, the me on the f them, one e you a best oduct, they duct which ht on price. ind of raw ot make the ill be there ave made a ood quality uture. in Chinese brownfield, that UHP ut 6 lakh is would be of e right raw ways been pansion or expected to okais, these EG and our g history of and two of erials.

They ased needs are going to al tar based Moderato Kriti Jain Manish G Kriti Jain Manish G Kriti Jain Manish G Kriti Jain Manish G Kriti Jain Manish G or: n:

pitch cok electrode petroleum 60 years, of coal tar Thank yo Please go Sir, in term two quart utilization See, our January to Okay.

Wh It was 74% So, you ex No, no. In 70% for th No, sir, fr Second qu should be Okay.

Sir move, tha more econ See now customers slowly com were just the steel c are trying months.

N back to ou Pag ke route.

So, th to meet their o m-based needle they are still us r based pitch co ou.

The next qu ahead. ms of utilizatio ters?

Given tha n moving up? expectation fo o March, we are hat is currently, %.

And prior to xpect to come d n total we are e he second half. om second qua uarter, third and around 70%. r, like any desto at relate to volu nomic ordering one positive si s who were abs ming out of the not hazarding I companies prob g to get in the p Now these are e ur earlier modu ge 10 of 19 hat they are go own demand, th coke.

So, these sing the proven oke are coming uestion is from on, how you see at the demand or the next two e expecting to b sir, what was i o that it was 48% down, sir? xpecting to go arter to third and d fourth, that's v ocking or stock ume ramp up, an quality? gn, which we h solutely shy of eir insecurity an I mean their pu bably now have position to take early indication ules of at least b oing to do bec hey are rampin e companies wh n suppliers.

But up in China. m the line of K e our utilization d is improving o quarters, by be around 70%. it in July to Sep %. up.

In the first d fourth, sir? very marginal. king will happe nything do you have started to f just taking mo nd trying to take urchase beyond better visibility a call on tying ns, and I hope th being six month cause if they h ng up their loca ho have been in yes, new capac Kriti Jain from n expected to m for the steel the October t ptember quarter half, it is 60%, Actually, I am en, sir, given th u see or your cu notice in the l ore than three e a six month c three months, w y of demand.

S g up their raw m hey will sustain hs the three com HEG November have to service al supplies.

Bu n the business cities which are Sundaram Mu move over the n sector, how yo to December q ? , and we are tal just giving an hat prices are e ustomers are or last one month month call, the all on prices.

E which actually o, they are able materials for, le n.

Because onc mpanies used t G Limited 18, 2020 their own ut that's not for 40, 50, e based out utual Fund. next one or ou see our quarter and lking about estimate, it expected to rdering you is that the ey are now Earlier, they means that e to or they et's say, six e we come to order six Kriti Jain Manish G Kriti Jain Manish G Kriti Jain Manish G n:

months at a much be a product the curren Europe co happening about stee Okay.

Sir raw mater Yes, it ha seen NRV Septembe today and same whi five mont getting im furnaces, to finish i prices, thi prices had material, w it's kind o So, the cu benefit in Yes, yes. consumed Because consumpt inventory, That's cor already st needle cok But you h In the thir third of th inventory Pag t a time, we use etter, much mor whose cycle it nt time and er omes out of loc g.

Let's see, let's el demand of 20 , in terms of ou rial price declin as, but it doesn V hit we took in er.

So, we wou d sell electrodes ch we have, I a ths to make th mported becaus two months of inventory gone is is a minimum d shot up, we we had work in f somewhat a re urrent inventory next year, Apri By the time m d and sold. when we see ion is roughly R , right, sir? rrect.

Two quar tarted buying a ke starts flowin have very rightl rd quarter, the he electrodes m .

So, that will b ge 11 of 19 ed to contract th re stable enviro tself is two mon ra which we ar ckdown then a s hope, by Mar 021, how COVI ur RM bucket, f ne very substant n't help us actua n the quarter c uld have been v s at prices of to am just repeatin he connecting p se always we f raw materials , so it's eight m m which we hav had these raw n progress, we h eversal of what y, suppose say il to June, corre majority of ou our inventory Rs.

250 crores rters for sure.

A particular grad ng in and then ly noticed, and new prices wil made out of n be the return to p he needle coke onment rather th nths.

So, there re going throu again goes back rch, I think the s ID unfolds.

Let' from, say, Janua tial, sir? ally because st closing March a very happy to g oday, and we w ng myself, it ta pins.

So, it's re have two mo in our silos, tw months.

So, whe ve to contend w w materials, I m had finished go t is happening. if you buy tod ect, sir? ur inventory, w y, it is like ro of inventory.

S And then the thi de.

So, it becom some which is yes, so that's w ll take over and eedle coke at profitability. six months at a han just selling are positive ind gh, this COVI k into lockdow situation will b 's see. ary to March to till we are hold and, again, the get those raw m would have ma akes two month eally natural an onths of the e wo months on h enever there is with.

The revers mean, we had oods.

So, we ha day's inventory, which is in all oughly Rs.

75 So, it takes thre rd quarter, wha mes a blend ac outgoing, and why we are say d, let's say, the current prices HEG November a time.

So, that three months at dications.

But th ID thing is so wn.

So, a lot of ecome much m o July to Septem ding our stocks preceding quar materials at the ade good margi hs to make elec nd all these raw lectrodes actua high seas, and tw fluctuation in se had happened this needle co ave enjoyed tha , we would be forms, would 50 crores.

Our e quarters to co at happens is th tually.

The new it's mix of blen ying two quarter n we will be se and one-third G Limited 18, 2020 t is actually t a time for then, again, confusing, f things are more clearer mber, is the , you have rter ending e prices of ins.

So, the ctrodes and w material ally in the wo months the market d when the oke as raw at time.

So, getting the have been r quarterly onsume the hat we have w prices of nd actually. rs for sure. elling two- out of the Kriti Jain Manish G Kriti Jain Manish G Kriti Jain Moderato Rahul Jai Manish G Rahul Jai Manish G Rahul Jai Gulshan K Moderato n:

n: or: in:

in:

in: Kumar Sakhu or: Sir, my la capacities the resou antidumpi No. Antid Yes, sir.

So, far, o actually s very tryin Chinese w if they con But sir, yo and the in for year o itself, sir.

Thank you Sir, I just consumpt It actually of the tota Okay.

An See, in thi power.

How muc ja: Rahul, th statements costs and Thank yo ahead.

Pag ast question is, s are being creat urces.

Sir, hav ing relief or som dumping relief o our answer is, upporting the s ng times and w will stop this.

B ntinue to do so, ou know the go ndustry will be v or two, then ou u.

Next questio t wanted to as ion? y depends upon al cost. d which other m is business, our h that would co ese are the thi s, you can wor all such things. ou.

The next q ge 12 of 19 sir, given that ted in Chinese m e we along w mething, sir? on electrodes, w no because wh steel industry i we supported th But if let's say, w , then at the app overnment proce very high, sir.

I tcome comes a n is from the lin sk that how mu n the selling pri major raw mate r next important onstitute to the t ings which are rk out the bifurc .

We cannot spe question is from t to earlier one markets, and go with our indus which are comin hen the electro in India, and w he removal of a we will watch t propriate time w ess, it takes its I mean once the and then it will ne of Rahul Jain uch does the n ices.

But as a v erial would be u t constituent is total raw mater e confidential cation between eak specific num m Dewang San e of the particip overnment is lo try partners, h ng from China t odes were very we volunteered antidumping w this situation fo we will do that. own time and a ey start the inve be very long. n from Anand R needle coke co very rough benc using in product power.

So, first rial cost? in nature.

So, n raw material, mbers on costin nghvi from ICI HEG November pant you told th ooking for self-r have we gone to India? y tight in India and said, okay ith the hope th or another six m again then the i estigation proce So, shouldn't w Rathi.

Please go onstitute to the chmark, it shou tion? t is needle coke if you see ou other material ng part.

ICI Securities.

G Limited 18, 2020 that a large reliance for for some a, we were y, these are hat actually months and injury to us ess goes on we try now o ahead. e total RM uld be 30% e, second is ur financial and power Please go Dewang S Manish G Dewang S Manish G Dewang S Manish G Dewang S Gulshan K

Sanghvi

Kumar Sakhu My questi pace that fiscal year See, now customers why it cau situation speaking. market.

B Right, sir. terms of s Yes, it has only 30 m However, utilization 80% plus also.

Right, sir. tonnes, ar We just p everything We were lot of risk were havi to just put very much Right, sir. year, FY 2 ja: Dewang, i have alrea cash outfl months.

T Rs.

200 cr you can s then again Pag ion is regarding is going on?

A r end? we are almost s had made, ac used them a lo behind us, ma By September ut because of th .

And this India steel production s helped some o million tonnes electrodes are ns have improv , now 80% to .

That was help e we delaying t put a temporar g is on the way getting about 1 k as we don't kn ing a lot of issu t civil work at h on the way.

S .

So, how much 2021, sir? if I talk about t ady opened the low would be in Total spend wou rores or Rs.

225 ay, 18 months. n, we will take ge 13 of 19 g the destockin And can we exp t reaching the e tually, their ow ot of problems. ajority of it.

A , we were expe his COVID thin an demand has n in India.

So, h of the volumes. from electric also used in th ved in India fro 85%, certainly pful.

And on yo this particular e ry hold on it, .

We just stopp 1,000 workers in now where they ues with the gov stop.

Rest of it So, we will just h CAPEX you till date, we app LC’s, the amo n the range of uld be around R 5 crores in the And we have the call that ho ng trend.

Can y pect that to be end of it.

And wn steel produc So, I think by Actually, it sho ecting that this ng, it's taking lo picked up quit as that helped o .

But India is on arc furnace r hem for the refi om a level of, l y we have seen our capacity exp expansion mayb I mean, of co ed the work for nside the prem y come from.

So vernment rules , all the long le look at the righ have incurred proximately spe ount has already around Rs.

200 Rs.

400 crores, pipeline, and th been reviewing ow we have to you just throw s over at the cu whatever the c ction dropped b y March we sho ould have been inventory overh onger. te a bit of last, off late? nly, let's say, ou route and rest ining in the furn let's say, 60% n a growth in e pense plan from be by six month ourse, the equip r a few months. ises every day. o, that was one that work with ead equipments ht timing and re in H1?

And wh ent Rs.

180 cro y been committ 0 crores or Rs. means Rs.

180 hat will be spen g the situation. proceed furthe HEG November some light sir w ustomers end by commitments so by about 25%. ould have majo n done by now hang should be say two, three ut of 100 millio are still blast naces.

But as th in April to Jun electrode deman m 80,000 tonne hs or so? pment has bee .

One reason wa So, that was in major reason b h 50% people.

S , which were o begin. hat is the plan res plus on that ted, we are exp 225 crores in t 0 crores already nt over the peri And on the ba er.

Based on th G Limited 18, 2020 what is the y, say, this ome of the So, that is ority of the w, honestly e out of the e months in on tonnes is t furnaces. he capacity ne to about nd in India es to 1 lakh en ordered, as COVID. ncreasing a because we So, we had ordered, are for the full t.

Since we pecting, the the next 18 y spent and od of next, asis of that, hat, we will Dewang S Gulshan K Dewang S Gulshan K Dewang S Gulshan K Moderato Kriti Jain Gulshan K Kriti Jain Gulshan K Kriti Jain Gulshan K

Kumar Sakhu

Kumar Sakhu or: n: Kumar Sakhu n: Kumar Sakhu n: Kumar Sakhu see the m would aga Right, sir.

CAPEX? ja: Yes, pleas YTD tota spent up t ja: Around R Rs.

180 cr ja: We alread Thank you Sir, just o extent of n ja: We have d realizable in the first Okay.

An would be ja: For RM, w there wou would acc means wh production first two q No, no, si RM would ja: I understa have alrea downward Pag arket situation, ain assess as to .

And on YTD, se come again. al CAPEX on t ill now?

Rs.

180 crores.

W rores. dy spent it.

Yes. u.

The next que one clarificatio net realizable v done it as per th value.

So, for a t half, has been nd RM would b marked to that? we have already uld be a further cess, how much hatever amoun n vs selling pri quarters. r.

What I mean d have fallen rig and.

I have boug ady taken a hi d revision in th ge 14 of 19 demand, suppl how we have to how much you the expansion p We have already . estion is from K n.

In the inven value or marked hat Ind AS and all the WIP and n written down be at the near ? y taken the hit i deterioration in h hit would com nt we have tak ice.

The amoun nt, sir, RM woul ght, sir?

But we ght RM at x pri it of x minus d he raw material ly capacity util o proceed furth u have spend on plan from 80,0 y spent it.

Kriti Jain from S ntory, which h d near to the cur d accordingly w d FG, the hit tha to the level of s to the current in the last finan n selling price, me into the profi ken, around R nt that we have ld have fallen f e would have pu ice, and it has c delta on 31st o l prices, so that ization of all el her to spend mo n the expansion 000 to 1 lakh, h Sundaram Mutu as been marke rrent purchase p we have to write at we have take selling price. price as on the ncial year.

But n then based upo fit and loss acco Rs.

32 crores, already taken t from, say, June urchased suppo ome x minus de of March.

And t has not been HEG November lectrode players re. n till date in ter how much you ual Fund.

Please ed in the books price? down inventor en in the books e September 30 now the questio on accounting st ount.

But as of S is based on o the hit of Rs.

3 30 to, say, Sep ose say, in July. elta on 31st of M d again, there i accounted so f G Limited 18, 2020 s.

Then we rms of total u will have e go ahead. s, is to the ry to its net of account 0, sir?

RM on comes if tandard we September, our cost of 2 crores in ptember 30, .

March.

We s a further far because Moderato Saket Kap Gulshan K Saket Kap Gulshan K Saket Kap Gulshan K Saket Kap Gulshan K or: poor: Kumar Sakhu poor: Kumar Sakhu poor: Kumar Sakhu poor: Kumar Sakhu the NRV margin be 2020.

Thank yo Please go Just to tak down part carrying, goods? ja: Yes.

And sir, w the prices ja: Sir, if I ta question o of this fin the prices of invento Come aga ja: In case, if financial y hit of NRV No, sir.

W 31st Dece same? ja: Sir, NRV December quarter or deteriorate the hit tha selling pri what is th in the curr four mont Pag does not trigg ecause still that ou.

The next qu ahead. ke forward the t, then it is up to that gets mark what have been declined furthe alk about Octo of inventory wr nancial year or f deteriorates fu ory write down ain, sir, I just m f there would b year or a first q V would come When you close ember.

Whatev V impact will b r vis-à-vis the r the first quarte es, then we hav at we have tak ice that we are e projected sell rent market sce ths.

So, that's w ge 15 of 19 ger at that parti t raw material i uestion is from conversation f o September.

T ked down to th the trend, sir, f er from whateve ober or Novem rite down will a first quarter of urther, from wh comes into pict issed your part. be a further det quarter of next into play. the quarter in D ver will be the be calculated on selling price fo er of next finan ve to take a furt ken in the book having for thi ling price for ne enario, all the or why we have to icular price.

B is on the higher m the line of Sa from the previo That is as on Sep e prices for bo for the month of er marked down mber, the prices arise when the e next financial y hat we have tak ture. . terioration of s financial year, December, then selling price, y n the closing s or the next qua ncial year.

In ca ther hit in the in ks of accounts s third quarter. ext quarter or n rders are in the assess it on qu ut that is goin r side what we aket Kapoor fr ous speaker.

Si ptember 30, wh oth raw materia f October and N n we have taken s are more or l expected selling year would det en on 30th Sep selling price in , then there is a n also the NRV you have to ma stock which we arter.

Next qua ase if the prices n third quarter, as on 30th Se We have to ev next four month range of two o uarterly basis th HEG November g to affect tha valued on 31s om Kapoor & ir, if we take t hatever inventor al as well as th November as of n? less similar.

Bu g prices for fou teriorate further ptember, then th the fourth qua a possibility tha V will definitely ark down or m e would have arter means for s of fourth quar sir.

But for now eptember, is ba valuate on quar hs or five month r three months, hat this is projec G Limited 18, 2020 at EBITDA st of March Company. this written ry we were he finished f now?

Has ut now the urth quarter r.

In case if he question arter of this at a further y play as on mark up the on 31st of the fourth rter further w whatever ased on the rterly basis hs.

Because , maximum cted selling Saket Kap Manish G Saket Kap Manish G Saket Kap Manish G Saket Kap Manish G Saket Kap poor:

Gulati

poor:

poor: price and down in th Okay, sir. corrected equivalen impact of See, the e between t is getting of in any course, th further.

B years of o should be Where an have the v That will to our num Absolutely be two mo Two more Yes, two m And sir, fo Septembe are the tre There is s October, t to be som course, yo please do Correct.

A Pag this is the cost he books of acc And sir, curren to a greater e tly?

Or the fal f the fall in need electrode prices the prices of ne corrected.

That industry, which he needle coke But they are actu our existence, th e such to be abl nywhere betwee volumes after ex play out only in mbers for the D y.

Absolutely. ore quarters. e quarters of pa more quarters o for the electrode er, October and ends indicating? still a pressure. there's not muc me more pressu ou can always m remember that And for the sale ge 16 of 19 of production, counts in a parti ntly, I think as extent.

So, sir, ll in the graph dle coke? went skyrocke eedle coke and t was peak spre h was unusual. prices have co ually returning hat the spread b le to be able to en 25%, 30% m xpansion, so tha n the first half o December and th Absolutely cor ain. of pain.

Exactly e price trends, w as of Novemb ?

If you are talk ch difference.

B ure on the price make some est there's a produ es mix part, sir, we have to take icular quarter. articulated by y with this fall, hite prices have eted.

Of course the price or ele ead at which we And once in a ome down, but to reality.

Tha between the nee give us health margins is cons at will give us g of next financia he March quarte rrect.

That's wh y.

You said it.

Y what have been er?

If you take king about the But when we st e.

But we cann timate from our uct mix.

We hav how much is do e this much of a you, it is the ne has that depr e been somewh , needle coke p ectrode in 2018 e were at 75% m blue moon type electrode price at is how it has edle coke price hy margins and sidered good in good profits. al year.

This ben er? hat I said in the Yes. the price trend e the spot prices trends in, let's tart booking fur not indicate the r revenues and ve certain non-U omestic and exp HEG November amount as inven edle coke price essed the grap hat less arreste prices also.

But was very high margins, which e of an occurre es have come d been in the la es and the electr rest come from n our business. nefit will not be e beginning that d for, say, for th s into considera say, between S rther orders, th e specific numb capacity utiliz UHP portion als port for the firs G Limited 18, 2020 ntory write es that have phite prices ed than the the spread h.

Now that is unheard ence.

So, of down even st so many rode prices m volumes.

So, if you e attributed t there will he month of ation, what September, ere's going ber.

But of ations.

But so in this. st half?

Manish G Saket Kap Manish G Saket Kap Manish G Saket Kap Gulshan K Moderato Anubhav

poor:

poor: Kumar Sakhu or:

Sahu

It is one- export.

It correspon And sir, fo Yes, SR, Vardhman All across Yes.

Anyb almost eve Correct, s sir, what a put mone sharehold investors w ja: Yes.

From and has re buyback. seven or payout in profitabili you see th this financ sheet poin March to strengthen already ev decided to hold, and utilization put this m Thank you Sir, a cou somewher 80,000 to Pag third, two-third keeps varying ndingly export s for us, the key d JSPL, Jindal S n Steel, Mukun s the board, sir. body who has eryone. ir.

And sir, for are we exactly ey for the CAP ers?

Because r who are there in m a reward poin ewarded that to The payout rat eight years, the the ratio of 30% ity, definitely w he first half, be cial year to be nt of view, the o o September.

A ned.

And as far valuated at lea o go for expans d we have been n or steel comp money for the ex u.

The next que uple of questio re you mention 1 lakh tonnes. ge 17 of 19 d, it keeps var actually.

Anyw sales between 7 domestic player Stainless, Tata d, Kalyani.

Yes an electric arc the utilization o will be doing t PEX.

Other th right now, the n the journey w nt of view, if y o all the shareh tio was in the e company has % - 32%.

And o we would try to ecause of COVI a difficult year overall treasury And going fo r as the other bu ast two or thre sion, but becaus n reviewing tha pany comes into xpansion from 8 estion is from A ons.

One is reg ed that UHP gr And of course, rying.

Sometim where the India 0% to 60% dep s, our buyers ar Steel Authorit s. furnace in Ind of cash, sir, sin to do with that han that, any w business sentim with you, in wha ou see last two holders in the fo range of 32% s always rewar once that we co maintain the s ID coupled wit r from profitabi y position has b orward, by Ma usiness parts ar ee or four prop se of COVID a at.

And once t o the normal ca 80,000 to 100,0 Anubhav Sahu f garding China's rades from Chin it has made fro mes it will beco an sales vary b pending quarter re SR and the B ty and many a dia, is using ele nce Ravi sir is n cash?

Definitel way in which ments are sour at way can they o years, the com form of dividen - 33%.

And if rded to the shar ome into black, ame payout rat th high cost inv ility point of vi been strengthene arch 2021, it re concerned th posals.

But ulti and all such fac the market com apacity utilizati 000 mt. from MC Resea s graphite elec na production i om a different r HEG November ome 35% India between 30% to -on-quarter.

Bhushan? alloy steel prod ectrodes, is our not here today p ly, expansion is we are trying for the industr y be rewarded? mpany made a g nd and also in t f you see the tr reholders and h means once we tio for the share ventory, we are iew.

But from t ed by Rs.

300 c is going to hat you just said imately, the m ctors. that has b mes into norma ion, then we w arch.

Please go a trode productio s roughly range raw material.

So G Limited 18, 2020 a and 65% o 40% and ducers like r customer, present.

So, s there.

We to reward ry.

So, the good profit the form of rend of last have made e come into eholders.

If e expecting the balance crores from be further d, we have management been put on al capacity would try to ahead. on; I think e of around o, I wanted Manish G Anubhav Manish G Anubhav Manish G Anubhav Manish G

Gulati

to comme any marke saw, if I r the UHP..

I would s quality pe need two, 10% requ they know 50% of th they are a does put s us and the that it's n somebody make it at also some limited ac some savi Okay.

So warrant fr But is it a to?

For the lo still give a the world And sir, j would be It should of UHP e As an indu Right, righ you make No, I am t Pag ent on how is th ed change perce remember right .. ay, because yo erformance ove three years' wo uirement or a 5% w that they will heir business.

S also an approve some pressure o ey also get dow not a UHP pro y has used prim t that price at w ewhere.

But at cceptability in s ing upfront.

Tha o, sir, other tha rom the end cli a different size ower diameters, a 10%, 15% hig demand is mor just to bring a total global UH be around, let's electrodes.

But ustry, I am sayi ht.

But this is t a distinction th talking about al ge 18 of 19 he acceptance eption over the t, it was not see ou see the steel er years.

It's ve orth of experien % requirement, l get the same q So, the acceptab ed vendor.

But y on us as far as p wn because they oduct cannot be me needle coke which they are least custome ome furnaces, w at's about it. an quality, is t ient?

For exam of electric arc , they can still gher consumpti re towards the b context.

I me HP grade produc s say, the capac again, at presen ing I am countin the total graphit hat way? ll the players, a of Chinese UH years?

The que en as a key com l companies ne ery difficult to nce to just chan , it doesn't mea quality year afte bility of their p yes, they go in per only pricing also call the U e made at this from these prim selling.

So, we r give them a which are not a there any other mple, I mean, of furnace, which get their value ion.

And for low bigger diameter an, would you ction ex of Chin city would be a nt, the industry ng all the suppl te you are talki ll the major UH HP grade in glo estion is coming mpetitive produ ed reliability o change that.

N nge and award a an much until th er year that the product is still l the market wit g is concerned, HP product, alt s price, made a mary suppliers, e know that it's trial here and as strong, weak r requirement f course, it goe h is more suitab e proposition or wer sizes, they rs.

There they ar u have a approx na for capacity? around 700,000 y is working at liers put togethe ing about or the HP players.

HEG November obal market now g with the cont uct for us.

So, i of supply and a Normally custo a major busines he customers ar y can allocate 3 low, I would sa th a 35% lower because custom though we know and sold at thi then they actua s not that.

And there.

So, ther er or customers which the Chi es for electric a ble for what C r sell at 35% ch y still make it, b re still not as su ximate number ?

0 tonnes, exclud 50% capacity er. e UHP grade?

I G Limited 18, 2020 w?

Is there ext that we s it that sir a consistent omers, they s.

Giving a re sure and 30%, 40%, ay.

I mean, r pricing.

It mers do ask w for a fact is price.

If ally cannot d customers re is some s who want inese UHP arc furnace. hina caters heaper and but actually uccessful. r that what ding China utilization.

I mean can Anubhav Manish G Anubhav Manish G Moderato Manish G Gulshan K Moderato

or:

Kumar Sakhu or: Okay.

An EAF rout production It's about be around means we electrodes Okay.

An production China righ Must be a should be That was Manish G Yes.

Than better visi ja: Thank you Thank you for joining Pag nd sir, of cours te, and there's n through EAF 105 million ton d 105 million to e need a lot, a s. nd about this, n from China, ht now, given th around 50% to about it. the last questi Gulati for closing nk you for listen ibility next quar u. u very much.

O g us, ladies and ge 19 of 19 se, China did m up and delay route in China nnes.

When we onnes, which is, another 100 mi sir, again, co would you hav hat there is a de 60%.

I don't h ion in queue.

I g comments. ning to us frien rter.

Thank you On behalf of HE d gentlemen.

Yo mention about 2 in that.

In perc ? close the year, , let's say, 10% illion tonnes w oming back to ve an idea how elay in EAF rou ave a hang of t I would now li nds, and we loo u very much.

EG Limited, th ou may now dis 20% target for cent is the how we will get the , 11% shouldn't would have abs o the same fig w much of that ute production? those figures fr ike to hand the ok forward to sp hat concludes th sconnect your li HEG November steel productio w much is righ e figure.

But I th t be 2020.

So, f sorbed 200,000 gure, like, 100 would be exp rom China reall e conference ba peaking to you he conference. ines.

G Limited 18, 2020 on through ht now the hink it will for 2020, it 0 tonnes of 0,000 UHP orted from ly, but that ack to Mr. again with Thank you