PSL Limited (PSL), a global leader in manufacturing and coating of pipes for transporting hydrocarbon products and the largest manufacturer of high-grade large diameter Helical Submerged Arc Welded (HSAW) pipes in India, announced its results for the third quarter and nine months ended December 31, 2007.

Q3 FY 2008 financial performance (compared with Q3 FY 2007)

¢ Revenues improves 34.28% from Rs. 504.86 cr. to Rs. 677.91 cr.

¢ PBIDT increases 34.07% from Rs. 53.94 cr. to Rs. 70.75 cr.

¢ PAT grows 45.14% from Rs. 20.80 cr. to Rs. 30.19 cr.

¢ EPS better at Rs. 7.72 from Rs. 6.48

9M FY 2008 financial performance (compared with 9M 2007)

¢ Revenues up by 33.33% from Rs. 1196.73 cr. to Rs. 1595.64 cr.

¢ PBIDT better by 18.89 % from Rs. 133.92 cr. to Rs. 172.46 cr.

¢ PAT improves 35.06% from Rs. 49.20 cr. from Rs. 66.45 cr.

¢ EPS increase to Rs. 16.98 from Rs. 15.33

Commenting on the performance for Q3 & 9M FY2008, Mr. Ashok Punj, Managing Director of PSL Limited, said:

“I am glad to announce that the Company has delivered strong performance for the period under review owing to a healthy order execution and robust order book position.

Following the Duliajan-Numaligarh Gas Pipeline order in Assam, our order book as on 31 December 2007 stands at Rs. 2200 cr. We expect to close FY2008 on a strong note given the robust order book and the opportunity to obtain new orders going forward.

The outlook of our business continues to remain buoyant with large number of pipeline projects planned and executed world-wide including India. The oil and gas pipeline infrastructure story remains extremely positive with crude touching all time highs. We are equally bullish on the water pipeline infrastructure and expect it to generate huge demand in the next two years.”

Order book position

Healthy order book of Rs. 2200 cr. as on 31 December 2007

Recent Orders:

¢ Receives order worth Rs. 125 cr. for Duliajan-Numaligarh Gas Pipeline in the state of Assam from DNP Ltd.

o Order comprises 200 km coated pipeline having 16-inch outer diameter with API 5L (X65 Grade)

Key developments

Consecutive dividend returns since 1995

o Company completed twelve years of successive payment of dividend ever since its maiden Public issue in February 1995.

U.S. project update

¢ PSL-NA, the Company’s U.S. subsidiary, has achieved financial closure for development of its 300,000 MTPA spiral pipe facility in the state of Mississippi, USA with placement of US$ 78 million Bonds via US Municipal Bond Route

o Out of US$ 78 million, US$ 68 million would be tax-free leading to noticeable savings in capex costs

o PSL plans to invest US$ 103 million for the facility located in Bay St. Louis, Mississippi. Plant and machinery will be supplied by the Company’s in-house engineering department from India resulting in a win-win situation for PSL in terms of engineering revenues as well as for PSL-NA by lowering capex costs

o Construction work of the Two-Step spiral pipe mill with an integrated coating facility is on schedule and the mill is expected to be commissioned by Q1 FY2009

Note on quarterly results:

The Company operates in a sector where the major revenues and profit are booked on completion of projects or on completion of specific milestones, which may lead to uneven revenue and profit reporting on a quarter to quarter basis. The performance of the Company is therefore best monitored on an annual basis and the health of the business can be determined more from the order book position / order profile / sector developments, and the Company’s ability and capacity to execute large orders.

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About PSL Limited

PSL Limited (PSL) is the largest manufacturer of high-grade large diameter Helical Submerged Arc Welded (HSAW) pipes in India. The Company manufactures and supplies pipes certified to API (American Petroleum Institute) standards for oil, gas and water transmission as well as structural and piling applications for both onshore and offshore sector.

PSL is one of the largest pipe manufacturers in India with 12 pipe mills at multiple and strategically coast based locations in Chennai, Kandla, Visakhapatnam, Jaipur and Ahmedabad along with the recently commissioned Sharjah unit. The annual pipe manufacturing capacity of the Company now stands at 1,175,000 MT per year.

Other business segments that PSL caters to, include pipes coating, induction pipe bending and sacrificial anode manufacturing. PSL has over the years successfully demonstrated its ability to simultaneously manage multiple assignments in a qualitatively and timely manner, both within and outside the country.

For further information please contact:
Good Relations India
Shilpi Bawa / Kheman Kumar
011-40669900
shilpi@gri.co.in / kheman@gri.co.in

Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward-looking statements. PSL Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances.