Press Release

GULF OIL Profit Increases 3 Times to Rs. 26.74 crores in Q4

Highlights for Q4

Highlights for F2009

2007-08. Import of base oils at high international market prices and exposure to

the depreciation of the Indian Rupee during Q3 and Q4 of F 2009 impacted

margins adversely.

The automotive sector continued to witness a slowdown during the quarter,

particularly the commercial & industrial segments, resulting in reduced demand

for lubricants. The SBU managed to retain its base of customers in the bazaar

segment by achieving similar volumes to the previous year by launching

customised promotions & products catering to the agricultural segment, adding

new fleet customers & focussing on promoting sales of new products / skus.

Explosives Division achieved a net sales revenue of Rs. 251 crores during the

financial year 2008-09, a 33% yoy growth. This growth has been possible with

the focus on Value for Customer in both Domestic and exports Market.

Our new Initiating systems offering very low vibration and noise blasts,

Emulsion Explosives in Small Diameter Applications and Emulsion boosters

were well received in the market place. Our working with the customers to get

the best value from our products in their business resulted in organic growth and

also helped us develop several products and services best suited for their

application.

Exports of Explosives grew 51% ( Rs. 40 crores in 2008-09 ). Our international

markets now include Countries in Eastern Europe, Africa, Middle East and

South East Asia. Our products compete with international brands and

companies in these markets.

Contract Mining achieved net sales revenue of Rs. 211 crores during the year.

50% increase over last year and growing 3.3 times in a two year time line.

We started contract operation at a new coal site in Nighai, at Northern

Coalfields limited of Coal India, while, continuing several other metal mining

operations. In spite of recessionary trends, IDLconsult did well in the iron ore

mining sector in Orissa and Karnataka. Production volume from its iron ore

mines at Orissa has increased substantially. The contract in the iron ore mine of

NMDC at Donimalai is being carried out successfully. The Division has bagged

more works from the Aditya Birla Group for Structural works at their Alumina

plant in Orissa.

Our operations are now geographically diverse and well balanced with Coal,

Iron Ore, Manganese and other minerals along with Mining related

infrastructure projects. With National presence, experience in handling a

variety of minerals, ability to handle large volumes efficiently, we have emerged

as a partner of choice for mining companies. We are well prepared to

participate it the new growth of mining industry. Orders booked till date is

valued at over Rs. 400 crores.

subsidiary of the Company with effect from 1st April, 2008.