SunCoke Energy and VISA Steel Launch Joint Venture in India

  SunCoke Energy and VISA Steel Launch Joint Venture in India

Business Wire

LISLE, Ill. -- March 18, 2013

SunCoke Energy, Inc. (NYSE: SXC) and VISA Steel Limited (BSE: 532721 and NSE:
VISASTEEL) announced today the official launch of their cokemaking joint
venture in India. The new joint venture will be called VISA SunCoke Limited.
SunCoke Energy holds a 49% interest in the joint venture, with VISA Steel
holding the remaining 51%. SunCoke has invested approximately Rs. 368 Crores
(USD 67 million) to acquire a 49% stake in the joint venture.

VISA SunCoke Limited is comprised of a 400,000 metric ton heat recovery coke
plant, and the associated steam generation units at Kalinganagar in Odisha,
India. SunCoke and VISA Steel will co-manage the business with equal
representation on the partnership’s board.

“This partnership marks a key milestone in SunCoke Energy’s international
growth strategy. By teaming with VISA Steel, SunCoke is entering India with
the wisdom and experience of a premier and highly regarded local partner,”
said Frederick “Fritz” Henderson, Chairman and Chief Executive Officer of
SunCoke Energy, Inc. Henderson emphasized, “As infrastructure, housing and
transportation needs accelerate in India, local steelmaking companies will
require high quality coke and VISA SunCoke is prepared to be their supplier of
choice.”

Vishambhar Saran, Chairman of VISA Steel said, “We are pleased to finalize our
partnership with SunCoke and it’s a great opportunity for VISA SunCoke to
leverage its operating and technological expertise to serve customers across
India with the highest quality coke. The coke industry in India is a key
market that offers attractive growth opportunities and we believe that VISA
SunCoke is well-positioned to grow its coke business and become an industry
leader.”

SUNCOKE ENERGY, INC.

SunCoke Energy, Inc. is the largest independent producer of metallurgical coke
in the Americas, with 50 years of experience supplying coke to the integrated
steel industry. Our advanced, heat recovery cokemaking process produces
high-quality coke for use in steelmaking, captures waste heat for derivative
energy resale and meets or exceeds environmental standards. Our cokemaking
facilities are located in Virginia, Indiana, Ohio, Illinois and Vitoria,
Brazil, and our coal mining operations, which have more than 114 million tons
of proven and probable reserves, are located in Virginia and West Virginia. To
learn more about SunCoke Energy, Inc., visit website www.suncoke.com.

VISA STEEL LIMITED

VISA Steel is a leading player in the specialty steel, sponge iron, coke and
ferro chrome industry in India with manufacturing facilities located at
Kalinganagar Industrial Complex in Odisha. VISA Steel has transferred its
business of manufacturing and sale of metallurgical coke and associated steam
generation units located at Kalinganagar, Odisha by way of slump sale on a
going concern basis to VISA SunCoke Limited where it holds 51% stake. VISA
Steel also holds a 65% stake in VISA BAO Limited, a joint venture company with
Baosteel, one of China’s leading steel companies, which is setting up a ferro
chrome plant in Odisha. Further information about VISA Steel is available at
www.visasteel.com.

FORWARD LOOKING STATEMENTS

Some of the statements included in this press release constitute “forward
looking statements” (as defined in Section 27A of the Securities Act of 1933,
as amended and Section 21E of the Securities Exchange Act of 1934, as
amended). Such forward-looking statements are based on SunCoke Energy’s
management’s beliefs and assumptions and on information currently available.
You should not put undue reliance on any forward-looking statements.
Forward-looking statements include all statements that are not historical
facts and may be identified by the use of forward looking terminology such as
the words “believe,” “expect,” “plan,” “project,” “intend,” “anticipate,”
“estimate,” “predict,” “potential,” “continue,” “may,” “will,” “should” or the
negative of these terms or similar expressions. Forward-looking statements
involve risks, uncertainties and assumptions.

Risks and uncertainties that could cause actual results to differ materially
from those expressed in forward-looking statements include economic, business,
competitive and/or regulatory factors affecting SunCoke Energy’s business, as
well as uncertainties related to the outcomes of pending or future litigation,
legislation, or regulatory actions. Among such risks are: changes in levels of
production, production capacity, pricing and/or margins for metallurgical coal
and coke; variation in availability, quality and supply of metallurgical coal
used in the cokemaking process, including as a result of non-performance by
our suppliers; changes in the marketplace that may affect supply and demand
for our metallurgical coal and/or coke products, including increased exports
of coke from China related to reduced export duties and export quotas and
increasing competition from alternative steelmaking and cokemaking
technologies that have the potential to reduce or eliminate the use of
metallurgical coke; our dependence on, and relationships with, and other
conditions affecting, our customers; severe financial hardship or bankruptcy
of one of more of our major customers, or the occurrence of a customer default
and other events affecting our ability to collect payments from our customers;
volatility and cyclical downturns in the carbon steel industry and other
industries in which our customers operate; our ability to enter into new, or
renew existing, long-term agreements upon favorable terms for the supply of
metallurgical coke to domestic and/or foreign steel producers; our ability to
develop, design, permit, construct, start up or operate new cokemaking
facilities in the U.S.; our ability to successfully implement our
international growth strategy; our ability to realize expected benefits from
investments and acquisitions, including our investment in the Indian joint
venture; our ability to consummate investments under favorable terms,
including with respect to existing cokemaking facilities, which may utilize
by-product technology, in the U.S. and Canada, and integrate them into our
existing businesses and have them perform at anticipated levels; the timing
and structure of the planned MLP may change; unanticipated developments may
delay or negatively impact the planned MLP; receipt of regulatory approvals
and compliance with contractual obligations required in connection with the
planned MLP; the impact of the planned MLP on our relationships with our
employees, customers and vendors and our credit rating and cost of funds;
changes in market conditions; future opportunities that our Board of Directors
may determine present greater potential value to stockholders than the planned
MLP; age of, and changes in the reliability, efficiency and capacity of the
various equipment and operating facilities used in our coal mining and/or
cokemaking operations, and in the operations of our major customers, business
partners and/or suppliers; changes in the expected operating levels of our
assets; our ability to meet minimum volume requirements, coal-to-coke yield
standards and coke quality requirements in our coke sales agreements; changes
in the level of capital expenditures or operating expenses, including any
changes in the level of environmental capital, operating or remediation
expenditures; our ability to service our outstanding indebtedness; our ability
to comply with the restrictions imposed by our financing arrangements;
nonperformance or force majeure by, or disputes with or changes in contract
terms with, major customers, suppliers, dealers, distributors or other
business partners; availability of skilled employees for our coal mining
and/or cokemaking operations, and other workplace factors; effects of
railroad, barge, truck and other transportation performance and costs,
including any transportation disruptions; effects of adverse events relating
to the operation of our facilities and to the transportation and storage of
hazardous materials (including equipment malfunction, explosions, fires,
spills, and the effects of severe weather conditions); our ability to enter
into joint ventures and other similar arrangements under favorable terms;
changes in the availability and cost of equity and debt financing; impact on
our liquidity and ability to raise capital as a result of changes in the
credit ratings assigned to our indebtedness; changes in credit terms required
by our suppliers; risks related to labor relations and workplace safety;
changes in, or new, statutes, regulations, governmental policies and taxes, or
their interpretations, including those relating to the environment and global
warming; the existence of hazardous substances or other environmental
contamination on property owned or used by us; the availability of future
permits authorizing the disposition of certain mining waste; claims of our
noncompliance with any statutory and regulatory requirements; changes in the
status of, or initiation of new litigation, arbitration, or other proceedings
to which we are a party or liability resulting from such litigation,
arbitration, or other proceedings; historical combined and consolidated
financial data may not be reliable indicator of future results; effects
resulting from our separation from Sunoco, Inc.; incremental costs as a
stand-alone public company; our substantial indebtedness; certain covenants in
our debt documents; our ability to secure new coal supply agreements or to
renew existing coal supply agreements; our ability to acquire or develop coal
reserves in an economically feasible manner; defects in title or the loss of
one or more mineral leasehold interests; disruptions in the quantities of coal
produced by our contract mine operators; our ability to obtain and renew
mining permits, and the availability and cost of surety bonds needed in our
coal mining operations; changes in product specifications for either the coal
or coke that we produce; changes in insurance markets impacting costs and the
level and types of coverage available, and the financial ability of our
insurers to meet their obligations; changes in accounting rules and/or tax
laws or their interpretations, including the method of accounting for
inventories, leases and/or pensions; changes in financial markets impacting
pension expense and funding requirements; the accuracy of our estimates of
reclamation and other mine closure obligations; and effects of geologic
conditions, weather, natural disasters and other inherent risks beyond our
control. Unpredictable or unknown factors not disclosed in this release also
could have material adverse effects on forward-looking statements.

In accordance with the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, SunCoke Energy has included in its filings with
the Securities and Exchange Commission cautionary language identifying
important factors (but not necessarily all the important factors) that could
cause actual results to differ materially from those expressed in any
forward-looking statement made by SunCoke Energy. For more information
concerning these factors, see SunCoke Energy’s Securities and Exchange
Commission filings. All forward-looking statements included in this press
release are expressly qualified in their entirety by such cautionary
statements. SunCoke Energy does not have any intention or obligation to update
any forward-looking statement (or its associated cautionary language) whether
as a result of new information or future events, after the date of this press
release except as required by applicable law.

Contact:

VISA Steel Limited
Investors:
Jyoti Jhunjhunwala, +91-33-30119229
Media:
Ms. Shyamali Banerjee: +91-33-30119224
or
SunCoke Energy, Inc.
Investors:
Ryan Osterholm, +1-630-824-1907
Media:
Anna Rozenich, +1-630-824-1945
 
Press spacebar to pause and continue. Press esc to stop.