OREANDA-NEWS. July 25, 2011. This has reference to comments that have appeared in certain sections of the media about Sesa Goa. We wish to clarify as under

At the outset, being a responsible mining company, our mines are operating legally as required by law. As far as the Mulgao mines are concerned, the company is working within the framework of the mining plan as approved by the Indian Bureau of Mines. The entire lease area has been clearly demarcated by boundary pillars separating the mine from surrounding areas.

The company had applied for renewal of consents from GSPCB and the same are under process.

On the recent incident, our Company is committed to ensure a speedy resolution in a transparent manner. Despite following our best mine management practices, owing to the extraordinarily heavy rains that the state received recently, a settling pond breached. Our teams have been working fervently, right after the incident, to ensure fast and effective assistance is offered to those affected.

Adequate measures have been taken to contain the situation and to ensure that similar incidents do not recur in the future at any of the company's mines. Presently, technical experts are conducting an extensive study and will submit a comprehensive report along with an infallible plan for the future.

The damage to agricultural property is being assessed in consultation with the local community and state government officials. In addition to adequate compensation for crop loss, Sesa Goa will assist the local community in cultivation activities and will aid in the restoration of the affected agricultural properties.

Sesa Goa is committed to the safe operations and well-being of all its stakeholders, employees and the community it operates in. Over the next few days, we will initiate all necessary measures required to assist the affected. We will hold hands with community representatives and nurse the affected land back to its original state.