1. Andhra Pradesh Your Growth Catalyst…

2. Critical Investor Requirements Easy Access to Domestic & Global Markets Investor Requirements World Class for Infrastructure Mega Chemical Complex Availability of Raw Materials Investor Friendly Contemporary Governance Andhra Pradesh: Your Growth Catalyst

3. I.. Easy Access To Domestic & Global Market

4. Two Pronged Focus of the MCIE Mega Chemical Industrial Estate Fostering Effectively Growth of the Tapping Global Domestic Opportunity Industry Andhra Pradesh: Your Growth Catalyst

5. Visakhapatnam -The Destination for Global Chemical Industry Andhra Pradesh: Your Growth Catalyst

6. Strategically Located: Excellent International Market Connectivity Port to Port Distance From Key Markets - In No of Days VizagShanghai Colombo313 Singapore58 Jakarta78 Tokyo164 Penang49 London2636 Hamburg2737 Dubai920 Cape Town1727 Boston3241 www.distances.com Andhra Pradesh: Your Growth Catalyst

7. Strategically Located: Excellent Domestic Market Connectivity Visakhapatnam’s Proximity to Major Points of Demand: Solvents Paints Kolkata: Plastics & Fiber Major Industrial Auto Components Base Dyes Pune: Agrochemicals Paints & Automobiles Connectivity from Visakhapatnam Hyderabad: Distance in Kilometers Pharma & Biotech Visakhapatnam Hyderabad650 km Chennai & its Mumbai1,361 km Hinterland Auto & Auto Ancillary Kolkata866 km Paint Chennai810 km Tirupur: Textile & Pune1,198 km Apparel Andhra Pradesh: Your Growth Catalyst

8. I.. World Class Infrastructure

9. Established Infrastructure Andhra Pradesh: Your Growth Catalyst

10. Ports Easy Access to Three Major Ports  Exclusive Gangavaram Port - 15 Km by proposed Costal Corridor - 32 Kms through dedicated logistics corridor  Visakhapatnam - 45 km  Kakinada - 100 km Geographical Advantages  Low Tidal Amplitude  Visakhapatnam - Approx. 1.0 mt  Western coast of India : Approx. 5.0 mt  Safe Seismic Zone - Visakhapatnam falls under Seismic Zone II Zone II: The probable intensity is Modified Mercalli (MM ) VI. This zone is referred to as Low Damage Risk Zone. Andhra Pradesh: Your Growth Catalyst

11. Ports : Gangavaram - Dedicated Port for MCIE  Dedicated ‘All-weather Greenfield Sea Port’ at Gangavaram  Deepest Draft Port in India (21 m)  Single Point Mooring Facility - for Ultra Large Crude Carriers (ULCC)  Dedicated Jetties for Chemicals/ Oil Vessels.  Dedicated Storage / Tankage facilities at Port  Pipeline network connecting Storage tanks to Units at MCIE  Dedicated Logistics Corridors connecting the Port to the Site Andhra Pradesh: Your Growth Catalyst Source: Data monitor

12. Connectivity to Gangavaram Port Dedicated Logistics Corridor of 32 Km having:  4 lane road connectivity  Double rail tracks  Pipeline network Gangavaram Port Proposed MCIE Site Costal Corridor - 15 kms Pipeline network for smooth flow of the feedstock from Port Andhra Pradesh: Your Growth Catalyst

13. Availability Of Land  6,000 acres of prime land already acquired  Another 20,000 acres acquisition in process Key Benefits  15 Km from Gangavaram Port (Via Costal Corridor)  45 Km from Visakhapatnam Port  40 Km from Air Port Andhra Pradesh: Your Growth Catalyst

14. Proposed Site for MCIE Visakhapatnam Port (45 Km) Visakhapatnam Airport (40 km) Pharma City (10 km) Gangavaram Port (32 km) Visakhapatnam Steel Plant (25 km) Proposed MCIE Site Additional Land to be Acquired

15. Road  Located on National Highway 5: Part of the 4-lane Golden Quadrilateral Highway  Special Costal Corridor : reducing the distance by 15 Km Key Benefits  Roads radiating in all directions guarantees fast transportation and connects the site with other prominent locations. Andhra Pradesh: Your Growth Catalyst

16. Rail  Key Rail Link Between Southern & Eastern India  MCIE Site - 15 Km from Chennai - Howrah Line  Berth Connectivity to the Ganganvaram and Visakhapatnam Port  Rail link 32 Kms from the Gangavaram Port Key Benefits  Enables transportation of raw material/ feedstock/ final product for domestic market  Facilitates movement of human resources & labour Andhra Pradesh: Your Growth Catalyst

17. Airport  Daily connectivity by air to all Indian Metros  All major Airlines fly to Visakhapatnam  Airport is being up-graded for handling wide bodied aircraft with night landing facilities (NLF) Existing International Air Connectivity from Connectivity From  Proposed International Airport Visakhapatnam Hyderabad Chennai Frankfurt Key Benefits Delhi Singapore  Hyderabad - less than an hour away Hyderabad Amsterdam  Fourth Largest International Airport in the Country Bangkok Mumbai  Hub for Sahara Airlines Riyadh Raipur  Aircraft Movements (in 000’s- April 2004) Kuwait  Domestic: 46.45Growth: 23.6%  International: 11.94 Growth: 17.4% Dubai Andhra Pradesh: Your Growth Catalyst

18. Road /Rail / Airport Proposed Chemical Industry Vishakapatnam Cluster of 30,000+ acres Airport Proposed Special Costal Corridor - 15 km MCIE Special Logistics Corridor - 32 Km Site National Highway 5 (Part of GQ) Railway Line Andhra Pradesh: Your Growth Catalyst

19. Urban Infrastructure Taj Residency The ParkITC Sheraton Green park  Four luxury hotels operated by leading hospitality chains  World class housing/ leisure/ shopping malls  Well Connected ( International & National ) Postal and Telecommunication Network Facility (BSNL, AIRTEL, RELIANCE, IDEA, TATA INDICOM, HUTCH) Key Benefits  Enables attraction and retention of quality human resources  Ability to address rapid industrial growth “Life is a chemical Process” - Antoine Lavoisier Andhra Pradesh: Your Growth Catalyst

20. Education and R&D Hub  Visakhapatnam has one of the oldest universities of India: Andhra University, reputed for high standards in teaching and research  Specialized courses for study in science, technology, engineering, etc.  Andhra Pradesh: Attracting Talent Type of InstitutionsInstitutions ( Nos. ) Student Turnout per Engineering colleges238 ar Polytechnics14022,635 Industrial Training Institutes (ITI)51070,350 Source: Director, Technical Education, Govt. of Andhra Pradesh Andhra Pradesh: Your Growth Catalyst

21. IICT -Mecca of Chemical R&D in India  Indian Institute of Chemical Technology, Hyderabad, the Constituent laboratory (CSIR) will be the nodal R&D lab supporting the MCIE  More than 400 highly qualified and skilled scientists/technical officers.  Over 150 IICT Technologies are in commercial Production and over 50 in Implementation.  Possesses world class infrastructure,instrumental IICT’s Focus R&D Areas and analytical facilities.  Drugs & Pharmaceuticals,  Bulk Organics & Intermediates  Key Overseas Clients of IICT are:  Polymers & Coating  Natural Products  Smith-Kline Beecham (UK),  Agrochemicals  DuPont Merck (USA),  Coal, Gas & Energy  Cargill Inc (USA),  Chemical & Mechanical Design Of  Cytomed (USA), Chemical Process Plants  Novo Nordisk (Denmark)  Biotechnology  Aisien Cosmos, Japan  Environment Engineering  Evola, Switzerland etc.  Process Safety Studies for Petrochemical/ Chemical Plants Andhra Pradesh: Your Growth Catalyst

22. Power Infrastructure in Visakhapatnam  NTPC’s Super Thermal 1000 MW Power Plant at Visakhapatnam  Proposed expansion to 2000 MW by 2007  Dedicated Sub-station of 220 KVA at MCIE Key Benefits  24 x 7 x 365 - Undisrupted availability of power for the units already in place  Most Competitive Industrial Power Tariff in the Country Andhra Pradesh: Your Growth Catalyst

23. Waste Management Waste Management Project Site Infrastructure Existing in Vicinity of MCIE Sitea t Jawaharlal Nehru Pharma City  Common Effluent Treatment Plant (CETP) being set up at Jawaharlal Nehru Pharma City, 10 Km from the Site  Proposed Marine Outfall at Pharma City.  Secured Landfill Facility within 25 km from the site Initiatives by GoAP JNPC- the ONLY pharma park in  Initiated the Rapid environment impact assessment study Indiawhere through leading environment consultants Individual units are exemptedfrom  Dedicated Multiple Effective Evaporator (MEE) will be setup at public hearing for MCIE environmental  Effluent disposal through exclusive Marine Outfall - 5 Km in the clearances Sea Andhra Pradesh: Your Growth Catalyst

24. I.. Raw Material Availability

25. Feedstock Raw Material Availability  Access to Gas Reserves of 20 trillion cubic feet in KG Basin (120 Kms away from Vizag)  Petroleum Companies in process of setting up GAS GRID across AP  Availability of coal: 16926 million tonnes in Godavari Valley Coalfield (700 kms away from Vizag. (Geological Survey Of India, 2005)  HPCL refinery in Visakhapatnam  Current Naptha production at HPCL - 90,000 MTPM  Expected Naptha production at HPCL - 120,000 MTPM (After proposed expansion) Key Benefits  Access to Multiple Cost-effective Fuel Options  Dedicated pipeline from refinery to MCIE - reduced operational costs Andhra Pradesh: Your Growth Catalyst

26. Water Supply View of VIWSCO’s Industrial Water Canal Easy Availability of water for Industrial Use  365 days assured industrial water supply from Visakhapatnam Industrial Water Supply Company Limited (VIWSCO) -  India’s only dedicated industrial water supply project  Dedicated water reservoir of 60 MLD at MCIE Site by 2006. Key Benefits  Assured Industrial Water Supply Andhra Pradesh: Your Growth Catalyst

27. Investor Friendly Contemporary Governance I..

28. Investor Friendly Contemporary Governance  Industrial Single Window Clearance Act  State Investment Promotion Board  New Industrial Investment Promotion Policy  AP Infrastructure Development Enabling Act (AP idea)  SEZ Status  Liberal Labour Laws …. From Red Tape to Red Carpet Andhra Pradesh: Your Growth Catalyst

29. Investor Friendly Contemporary Governance Central Government Facilitations  Simplified Custom Clearance  Import Duty exemption  Specialized Courts Additional State Incentives  Tailor Made Special Incentive Package  GoAP will nominate a Nodal Officer to act as one point Contact  Appointed Environment Consultant to Obtain Clearances from GoI  100% reimbursement of Stamp duty  VAT reimbursement Andhra Pradesh: Your Growth Catalyst

30. I.. Summary

31. Visakhapatnam - The Best Fit Location Significant reduction in transport time to key markets when Easy Access to compared to China Domestic & Access to rapidly growing Domestic Market- projected to be more than 7% of Asia Pacific by 2009 Global Markets Highest Land allocated for chemical Industry in Asia Pacific World Class Around 30,000+ acres Dedicated Greenfield Port with VLCC handling ability Infrastructure 220 KV Power Sub Station at Site Unlimited water supply on demand Excellent market connectivity Easy availability of multiple fuel options and feedstock from alternate sources Availability of Natural Gas availability through GAS Grid connectivity from Raw Materials Krishna-Godavari Gas Basin Special Economic Zone Status Investor Friendly Clearance through Single Window Contemporary Nodal Officer Governance Special Customised Incentive Package Andhra Pradesh: Your Growth Catalyst

32. Thank You Come, feel the chemistry… Andhra Pradesh: Your Growth Catalyst