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Our Business - An Overview
 Iron Ore

We are essentially a company trading in commodities needed by the Power, Steel, Cement & Aluminum Industries wherein global demand is rising sharply since the last 30 to 40 years. This rapid rise is closely correlated with growth in gross domestic product and higher standards of living, thus increasing the demand for all goods. Demand for  power/electricity demand has continued to increase over the past four decades, largely due to the emergence of new technologies as well as the urbanization and modernization of populations in emerging economies.

The Steel, Aluminum, Cement and Power industries require various raw material inputs from local as well as overseas markets.  Vesta International has identified Coal and Limestone, amongst other minerals, for overseas trade.

The world’s strongest economies continue to turn to coal as the only sustainable fuel that can meet growing energy needs. Thermal coal makes up 60% of global energy resources. It is widely dispersed, broadly available, transportable, energy dense and accessible. Thermal coal is the preferred source of energy for electricity generation globally, especially in Asia. By the year 2020 coal is expected to surpass oil as the key fuel for the global economy.

India imported 127 million tons of coal in the year 2012. The Indian government expects coal demand to grow at 11% during twelfth plan, while local production would rise only 7%. India already has demand-supply gap of 163 million tons of coal based on the existing benchmarks. Indian thermal coal has very high ash content adding to costs besides causing serious environmental pollution, thereby necessitating blending with very low ash Indonesian thermal coal. Hence, import of Indonesian coal has become essential for the power sector in India.  China and Japan has also likewise imported huge quantities of Indonesian thermal coal to cater to the domestic demands.

Under the circumstances Vesta International will supply 8 million tons of Indonesian thermal coal annually to the Indian market by year 2015, by satisfying and fulfilling the expectations of the Power Utilities, thereby contributing partly to the energy security of India. We will also supply 3 million tons of Indonesian thermal coal annually to the Chinese and Japanese market by year 2015. The total volume would be augmented to 20 million tons by the year 2018. Currently we have the capacity to supply 14 million tons of coal per annum from secured assets. The coal available with us is in the range of 3400 GAR to 5400 GAR (Gross calorific value on As Received basis).

We will supply 3 million tons of steel and cement grade limestone from the Middle Eastern countries to Indian market in the year 2014 and augment it to 8 million tons by year 2015.

We will also export 1 million tons of aggregate and air washed sand per annum from UAE by year 2015.