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FLSmidth Company Announcements

FLSmidth to supply large material handling system

03.04.2013

Company Announcement to the Danish Financial Supervisory Authority No. 05-2013, 3 April 2013

FLSmidth has received an order worth approximately INR 1900m (approximately DKK 200m) from a leading Indian steel producer, Tata Steel, to supply two pipe conveyors for transport of 6 million tonnes per year of iron ore over a distance of around 9 km from the steel company's Khondbond mines to the railway loading point at Joda in the state of Odisha, located on the east coast of India.

The scope of supply includes two pipe conveyors with a total conveying capacity of 1,400 tonnes per hour. The pipe conveyors are 3,600 and 5,300 metres long, respectively, and will run through a challenging terrain and forest land.

Over the past years, Tata Steel has increased its focus on safety and corporate social responsibility with special attention to environmentally friendly initiatives, and the company therefore chose FLSmidth's globally proven pipe conveyor technology for this application. FLSmidth has previously delivered an in-plant pipe conveyor to Tata Steel's Pellet plant application at their Jamshedpur facility, confirming the advantages of the technology.

"FLSmidth's experience gained over the years through more than 300 pipe conveyor installations operating worldwide along with continued research and development has enabled FLSmidth to master the analysis and design of this particular type of material transport system. An automation team designs FLSmidth's proprietary state-of-the-art drive systems and control philosophy for the material transport systems. Hence, FLSmidth is able to provide its clients with pipe conveyor solutions which minimise the environmental impact of the material transport to near zero, address noise pollution as required, consume as little power as possible and reduce operation and maintenance costs," Group CEO Jørgen Huno Rasmussen says.

The order will be booked by the Material Handling division and contribute beneficially to FLSmidth's earnings until 2014.

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Please address any questions regarding this announcement to Group Executive Vice President Carsten R. Lund, FLSmidth & Co. A/S at +45 36 18 18 00.

For further information about FLSmidth, please visit www.flsmidth.com.

Yours faithfully

Pernille Friis Andersen
Corporate Communications & Investor Relations