Exhibit 4.3

ESOP Scheme 2012

Objective:

To build a strong organization founded on engaging competent employees who are aligned with companys objectives. To have in place an appropriate holistic
reward mechanism that will incentivize and motivate these employees, besides other initiatives to attract and retain the best talent and also to provide opportunities for wealth creation and building strong emotional connect.

Salient Features of the proposal:

In order to achieve
the above stated objectives, we propose ESOP scheme that reflects rewarding of performance on pre-defined criteria linked to Business Performance. This scheme proposes to bring in greater ownership in achievement of business targets and imbibes high
performance culture.



| | a. | Eligibility for coverage: M7 and above employees will be eligible for coverage in ESOP scheme based on the potential, individual performance and criticality of role.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------

Employees who have joined as Freshers in M6 grade will be eligible for ESOP scheme on completion of a minimum of 1 year service with the Group
and freshers who have joined in M7 grade will be eligible on completion of minimum service period of 2 years with the Group.

Employees due
to retire within 6 months of the date of grant will not be eligible for coverage.



| | b. | Coverage: Select employees in M7 and above grades across Group will be covered including Executive Directors.
| | -- | -------------------------------------------------------------------------------------------------------------



| | c. | Grant of options: VR Plc Options will be awarded to employees under ESOP scheme 2012 effective 24th September 2012. For vesting condition, the performance
period considered will be FY 2012-13.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The tranche shall vest based on the achievement of business performance in the
performance period as defined and applicable to the eligible participants. The vesting schedule will be staggered at 50% vesting at the end of 1st year, 30% at the end 2nd year and balance 20% at the end of the 3rd year subject to continuation of employment at the time of vesting.



| | d. | Determining number of options:In order to determine the number of options, the grant value will be divided by the average share price of the last thirty days from date of grant. The exercise price will be 10
cents per share of VR Plc.
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | e. | Ceiling:The aggregate quantum of options that may be granted by the company under this Plan over a period of ten years shall be limited to 10% of the companys ordinary share capital.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | f. | Performance conditions:
| | -- | -----------------------



| |  |  | For Businesses - The vesting of options will be dependent on the achievement of business performance measured against BOA and enablers.
| | - |  | ---------------------------------------------------------------------------------------------------------------------------------------



|                                     |                |                 
|------------------------------------ | -------------- | ----------------
|Performance Condition for Businesses |                | Parameters      
|Operational Deliverables             |                | Volume          
|                                     | COP           
|                                     | Free Cash Flow
|                                     | HSE Scorecard 
|Enablers                             |                | Company Specific



| |  |  | For projects like TSPL, VGCB, Fujairah Gold and WCL - For projects the performance parameters would be the achievement of milestones as mentioned in respective Business Plans.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | For EDs and Corporate Team based in Mumbai, Delhi and LondonThe performance conditions considered for EDs and Corp Team is weighted average score of businesses, financial aspects and
Sustainability.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

It may be noted that for EDs, Sustainability will be considered as an separate parameter, in addition to
the already inbuilt sustainability component forming part of weighted average score of businesses.



| |  |            
| |  | -----------
| |  | Page 1 of 5



---

| | g. | Population distribution of covered employees and weightage of performance conditions:Employees will be categorized on the basis of performance, potential, market pull, and criticality of current and expected
role for award of options. The categories of population distribution will have differing weightages to operational deliverables and Enablers considering their role and impact on each of these parameters.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|                                                |                 |                          |             |                                                   |            |                                
|----------------------------------------------- | --------------- | ------------------------ | ----------- | ------------------------------------------------- | ---------- | -------------------------------
|Distribution of population for award of options |                 | Value of Options         |             | Weightage of Operational 
Deliverables & Enablers
|                                                | (Not exceeding) |                          | A
(Sr Mgmt) |                                                   | B
(Others)
|Category I - 25% of 
covered population         |                 | 100% of individual CTC * |             | 70% - Operational deliverables
30% - Enablers     |            | 100% - Operational deliverables
|Category II - 50% of covered population         |                 | 75% of individual CTC *  |             |                                                  
|Category III - 25% of covered population        |                 | 50% of individual CTC *  |             |                                                  



|* a) | CTC refers to fixed CTC and excludes variable pay, production incentives, vehicle reimbursements and location specific allowances.
|---- | ------------------------------------------------------------------------------------------------------------------------------------

|b) | For overseas locations, options will be granted based on equivalent work levels.
|-- | --------------------------------------------------------------------------------



| | h. | Business Performance Score - The combined score of operational deliverables and enablers will result in the Business Performance Score.
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------



| | i. | Details on Performance Conditions:
| | -- | ----------------------------------



| | (i) | For Businesses: The entities will have varying weightages to the operational deliverables and Enablers based on the entities business drivers as follows:
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------

Operational Deliverables:



|               |  |     |    |    |    |  |    |     |  |  |     |    |  |     |    |   |       |  |    |       |  |  |       |    |  |     |    |   |      |  |    |       |  |  |    |   |  |  |    |    |  |  |    |  
|-------------- |  | --- | -- | -- | -- |  | -- | --- |  |  | --- | -- |  | --- | -- | - | ----- |  | -- | ----- |  |  | ----- | -- |  | --- | -- | - | ---- |  | -- | ----- |  |  | -- | - |  |  | -- | -- |  |  | -- | -
|Parameters     |  | HZL |    |    | ZI |  |    | KCM |  |  | CMT |    |  | SGL |    |   | Balco |  |    | VAL-J |  |  | VAL-L |    |  | SEL |    |   | S Cu |  |    | Malco | 
|Volume         |  |     | 40 | %1 |    |  | 33 | %   |  |  | 40  | %3 |  |     | 50 | % |       |  | 50 | %4    |  |  | 40    | %5 |  |     | 35 | % |      |  | 50 | %     |  |  | 30 | % |  |  | 20 | %7 |  |  | 30 | %
|COP            |  |     | 20 | %2 |    |  | 20 | %   |  |  | 30  | %  |  |     | 30 | % |       |  | 10 | %     |  |  | 30    | %6 |  |     | 35 | % |      |  | 30 | %     |  |  | 30 | % |  |  | 20 | %  |  |  | 30 | %
|Free Cash Flow |  |     | 30 | %  |    |  | 20 | %   |  |  | 20  | %  |  |     | 10 | % |       |  | 30 | %     |  |  | 20    | %  |  |     | 20 | % |      |  | 10 | %     |  |  | 30 | % |  |  | 50 | %  |  |  | 30 | %
|HSE            |  |     | 10 | %  |    |  | 27 | %   |  |  | 10  | %  |  |     | 10 | % |       |  | 10 | %     |  |  | 10    | %  |  |     | 10 | % |      |  | 10 | %     |  |  | 10 | % |  |  | 10 | %  |  |  | 10 | %

Note:



|1 | Volume weightage of 40% comprises 30% for MIC volume and 10% for Integrated Silver volume.
|- | ------------------------------------------------------------------------------------------

|2 | COP weightage of 20% comprises 15% for Zn COP and 5% for Pb COP
|- | ---------------------------------------------------------------

|3 | Volume refers to integrated production
|- | --------------------------------------

|4 | Volume refers to Iron Ore sales
|- | -------------------------------

|5 | Volume weightage of 40% comprises 20% for Al volume and 20% for power sales
|- | ---------------------------------------------------------------------------

|6 | COP weightage of 30% comprises 15% for Al COP and 15% for commercial power COP
|- | ------------------------------------------------------------------------------

|7 | Volume refers to production of fresh anode
|- | ------------------------------------------

Enablers:



|                   |  |     |    |   |    |  |    |     |  |  |     |   |  |     |    |   |       |  |    |         |  |  |         |   |  |     |    |   |      |  |    |       |  |  |    |   |  |  |    |   |  |  |    |  
|------------------ |  | --- | -- | - | -- |  | -- | --- |  |  | --- | - |  | --- | -- | - | ----- |  | -- | ------- |  |  | ------- | - |  | --- | -- | - | ---- |  | -- | ----- |  |  | -- | - |  |  | -- | - |  |  | -- | -
|Parameter          |  | HZL |    |   | ZI |  |    | KCM |  |  | CMT |   |  | SGL |    |   | BALCO |  |    | VAL - J |  |  | VAL - L |   |  | SEL |    |   | S Cu |  |    | MALCO | 
|PR *               |  |     | 15 | % |    |  | 33 | %   |  |  | 10  | % |  |     | 10 | % |       |  | 20 | %       |  |  | 25      | % |  |     | 40 | % |      |  | 40 | %     |  |  | 40 | % |  |  | 25 | % |  |  | 50 | %
|HR                 |  |     | 15 | % |    |  |    |     |  |  | 15  | % |  |     | 10 | % |       |  | 15 | %       |  |  | 15      | % |  |     | 15 | % |      |  | 10 | %     |  |  | 10 | % |  |  | 15 | % |  |  | 25 | %
|Asset Optimization |  |     | 15 | % |    |  |   |     |  |  | 20  | % |  |     | 10 | % |       |  |   |         |  |  | 20      | % |  |     | 10 | % |      |  |   |       |  |  |   |   |  |  | 20 | % |  |  | 25 | %
|Growth **          |  |     | 20 | % |    |  |    |     |  |  | 20  | % |  |     |   |   |       |  | 50 | %       |  |  | 40      | % |  |     | 40 | % |      |  | 50 | %     |  |  | 50 | % |  |  | 40 | % |  |  |   |  
|Mine Development   |  |     | 15 | % |    |  | 67 | %   |  |  | 20  | % |  |     | 30 | % |       |  |   |         |  |  |        |   |  |     |   |   |      |  |   |       |  |  |   |   |  |  |   |   |  |  |   |  
|Exploration        |  |     | 10 | % |    |  |    |     |  |  | 15  | % |  |     | 40 | % |       |  | 15 | %       |  |  |        |   |  |     |   |   |      |  |   |       |  |  |   |   |  |  |   |   |  |  |   |  
|Market Cap         |  |     | 10 | % |    |  |   |     |  |  |    |   |  |     |   |   |       |  |   |         |  |  |        |   |  |     |   |   |      |  |   |       |  |  |   |   |  |  |   |   |  |  |   |  



|                       |  |                                                                                                                                                                        
|---------------------- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------
|*      PR refers to a) |  | Media (local, State and National level), Community Relations and CSR initiatives                                                                                       
|b)                     |  | Effective relationship at all levels for smooth operation and growth mission like PCB, MOEF, Industry depts., SEBs, Coal Ministry, Power Ministry, Mines Ministry, etc.

|
|
|

|** | Growth Includes Projects / Approvals / Coal block / Coal Linkage / Bauxite / Karnataka / Zawar / etc.
|-- | -----------------------------------------------------------------------------------------------------



| |  |            
| |  | -----------
| |  | Page 2 of 5



---

| | (ii) | For EDs and Corporate Team based in Mumbai, Delhi and London  The performance conditions considered for EDs and Corp Team is as follows:
| | ---- | -----------------------------------------------------------------------------------------------------------------------------------------



For EDs  Sl No

Parameter

Weightage1

Weighted Average Score of Businesses *


30
%2

Market Capitalization of VR Plc**


60
%3

Sustainability


10
%Total


100
%


For Corp Team at Mumbai, Delhi and London  Sl No

Parameter

Weightage1

Weighted Average Score of Businesses *


50
%2

Market Capitalization of VR Plc**


20
%3

Sesa Sterlite Merger


20
%4

Sesa Sterlite Valuation


10
%Total


100
%






|* | Weightages for Business Scores of entities will be as follows:
|- | --------------------------------------------------------------



|          |  |                                                  |  |                                                  |  |     |  |                        |  |    |  |      |  |       |  |    
|--------- |  | ------------------------------------------------ |  | ------------------------------------------------ |  | --- |  | ---------------------- |  | -- |  | ---- |  | ----- |  | ---
|Company   |  | HZL                                              |  | SGL                                              |  | KCM |  | Av of Balco, VAL & SEL |  | ZI |  | S Cu |  | Malco |  | CMT
|Score     |  | Simple average of above entities Business Score |  | Simple average of above entities Business Score
|Weightage |  | 80%                                              |  | 20%                                             



|** | The Comparator Group comprises of 14 companies as in Alcoa, Anglo American, Antofagasta, BHP Billiton, ENRC, First Quantum, FMG  Fortescue, Glencore, Khazamkhys, Rio Tinto, Teck, Tullow, Vale and Xstrata. The
score against market capitalization parameter for (ii) above shall be determines using the table below relying upon the relative ranking in the comparator Group. The relative ranking will be calculated on the basis of last 30 days average share
price at the beginning and at end of performance period (1st April to 31st March).
|-- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|                 |  |      
|---------------- |  | -----
|Relative Ranking |  | Score
|1                |  | 100  
|2                |  | 100  
|3                |  | 100  
|4                |  | 90   
|5                |  | 85   
|6                |  | 80   
|7                |  | 75   
|8                |  | 70   
|9                |  | 60   
|10               |  | 50   
|11               |  | 40   
|12               |  | 30   
|13               |  | Nil  
|14               |  | Nil  
|15               |  | Nil  

While at the top 3 ranking, with the score of 100, the vesting would be at 100%, whereas at the median (8th
Rank) the score will be 70 which will result in corresponding vesting of 30%.



| | j. | Vesting proportion:The vesting proportion will be dependent on achievement of pre-determined performance conditions as follows:
| | -- | -------------------------------------------------------------------------------------------------------------------------------



|                           |  |                                                                                  
|-------------------------- |  | ---------------------------------------------------------------------------------
|Business Performance Score |  | Vesting %                                                                        
|Above 100%                 |  | 100% plus 2% for every additional 1% score above 100(upto a max vesting of 120%)*
|95% - 100%                 |  | 100%                                                                             
|Below 95%                  |  | 100% minus 2% for every 1% fall in score below 95                                
|Below 90%                  |  | 90% minus 3% for every 1% fall in score below 90                                 
|At 70%                     |  | 30%                                                                              
|Below 70%                  |  | Nil                                                                              



|* | For EDs vesting will be upto a maximum of 100%
|- | ----------------------------------------------



| |  |            
| |  | -----------
| |  | Page 3 of 5



---

| | k. | Financial Implication:The average number of options per employee is 1,818 and the total financial impact is Rs 424 cr approx. Table below details out the cost implication of the proposed tranche as well as
previous tranches:
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|                                    |   |           |               |   |           |         |               |           |   |         |               |   |   |                        |               |   |   |         |               |  
|----------------------------------- | - | --------- | ------------- | - | --------- | ------- | ------------- | --------- | - | ------- | ------------- | - | - | ---------------------- | ------------- | - | - | ------- | ------------- | -
|Details                             |   | LTIP 2006 |               |   | LTIP 2007 |         |               | LTIP 2009 |   |         | LTIP 2011     |   |   | Proposed for ESOP 2012 |              
|No of employees covered             |   |           | 1330          |   |           |         | 2148          |           |   |         | 2246          |   |   |                        | 2684          |   |   |         | 2820          |  
|Total no. of eligible employees     |   |           | 2699          |   |           |         | 5986          |           |   |         | 7576          |   |   |                        | 8896          |   |   |         | 7234          |  
|%age of eligible population covered |   |           | 49            | % |           |         | 36            | %         |   |         | 30            | % |   |                        | 30            | % |   |         | 39            | %
|No of options allocated             |   |           | 2,531,350     |   |           |         | 1,692,349     |           |   |         | 2,478,000     |   |   |                        | 2,862,100     |   |   |         | 5,127,240     |  
|Share Price (in GBP)                |   |           | 9.9           |   |           |         | 20            |           |   |         | 15            |   |   |                        | 19            |   |   |         | 9.5           |  
|Exchange rate                       |   |           | 82.06         |   |           |         | 77.18         |           |   |         | 80            |   |   |                        | 72            |   |   |         | 87            |  
|Average no of options per employee  |   |           | 1,903         |   |           |         | 788           |           |   |         | 1,103         |   |   |                        | 1,066         |   |   |         | 1,818         |  
|Average share value per employee    |   |           | Rs 15.45 lacs |   |           |         | Rs 12.16 lacs |           |   |         | Rs 13.24 lacs |   |   |                        | Rs 14.58 lacs |   |   |         | Rs 15.02 lacs |  
|                                    |   |           |               |   |           |         |               |           |   |         |               |   |   |                        |               |   |   |         |               |  
|Total Financial Impact              |   |           | Rs 205.64 cr  |   |           |         | Rs 261.20 cr  |           |   |         | Rs 297.36 cr  |   |   |                        | Rs 391.53 cr  |   |   |         | Rs 423.78 cr  |  
|                                    |   |           |               |   |           |         |               |           |   |         |               |   |   |                        |               |   |   |         |              
|                                    | $ | 45.69 m   |               |   | $         | 58.04 m |               |           | $ | 66.08 m |               |   | $ | 86.90 m                |               |   | $ | 77.05 m |              
|                                    |   |           |               |   |           |         |               |           |   |         |               |   |   |                        |               |   |   |         |              

AT / 24.09.2012

Enclosed:

Annexure A  Business Plan numbers for
Operational Deliverables (excluding HSE)

Annexure B  Vesting percentage for various Business Performance score scenarios

Annexure C  Vesting percentage for various Performance score scenarios for Corp Team and EDs



| |  |            
| |  | -----------
| |  | Page 4 of 5



---

Annexure A: Business Plan figures for OD parameters for each Business

Target figures for 2012-13 as per Business Plan



|                         |  |     |     |   |       |  |                  |       |  |  |         |  |  |     |           |  |          |  |       |      |  |  |                  |  |  |     |         |   |    |  |      |     |  |  |         |  |  |    |         |  |     |  |        |  |  |  |         |  |  |  |         |  |  |  |        | 
|------------------------ |  | --- | --- | - | ----- |  | ---------------- | ----- |  |  | ------- |  |  | --- | --------- |  | -------- |  | ----- | ---- |  |  | ---------------- |  |  | --- | ------- | - | -- |  | ---- | --- |  |  | ------- |  |  | -- | ------- |  | --- |  | ------ |  |  |  | ------- |  |  |  | ------- |  |  |  | ------ | 
|Parameters               |  | SGL |     |   | HZL * |  |                  | VAL-J |  |  | VAL-L   |  |  | SEL |           |  | Balco ** |  |       | S Cu |  |  | Malco            |  |  | KCM |         |   | ZI |  |      | BMM |  |  | LM      |  |  | SZ |         |  | CMT | 
|Volume (in MT)           |  |     | 21  | 1 |       |  | Referbelow table |       |  |  | 665,529 |  |  |     | 1,200,000 |  |          |  | 14702 | 2    |  |  | Referbelow table |  |  |     | 350,830 |   |    |  | 869  |     |  |  | 203,230 |  |  |    | 419,519 |  |     |  | 82,994 |  |  |  | 186,275 |  |  |  | 150,250 |  |  |  | 27,070 | 
|COP (in $/MT)            |  |     | 22  |   |       |  |                  |       |  |  | 1,900   |  |  |     | 310       |  |          |  | 1.83  | 3    |  |  |                  |  |  |     | 0.32    | 4 |    |  | 3.55 | 3   |  |  | 169     |  |  |    | 1,262   |  |     |  | 1,406  |  |  |  | 1,233   |  |  |  | 1,213   |  |  |  | 207    | 
|Free Cash Flow (in $ Mn) |  |     | 725 |   |       |  | 1,385            |       |  |  | 33     |  |  |     | 22       |  |          |  | 380   |      |  |  | 285              |  |  |     | 249     |   |    |  | 37   |     |  |  | 604     |  |  |    | 265     |  |     |  | 57     |  |  |  | 82      |  |  |  | 125     |  |  |  | 52     | 



Note: 1
Sesa Goa volume is in mt 2
SEL Volume is in MU 3
SEL & MALCOCOP is in Rs./kwh 4
Copper COP is in c/lb


 HZLZinc MIC (in MT)


815,049Lead MIC (in MT)


115,691Integrated Silver (in kg)


354,702Zinc COP (in $/MT)


800Lead COP (in $/MT)


745


 BALCOAluminium (in MT)


359241Power Sales (in MU)


6,116Aluminium COP (in $/MT)


1,795Power COP (n Rs/Kwh)


2.15






Annexure B: Vesting percentage for
various Business Performance score scenarios

To have a better understanding on the calculation of vesting proportions for different business
performance score, below table demonstrates the actual vesting proportion for sample business scores.



|                           |  |                   |  |                 |  |                   
|-------------------------- |  | ----------------- |  | --------------- |  | ------------------
|Business Performance Score |  | Particulars       |  | Calculation     |  | Vesting Proportion
|105%                       |  | 5% more than 100% |  | 100% + (5% * 2) |  | 110%              
|100%                       |  |                  |  |                |  | 100%              
|95%                        |  |                  |  |                |  | 100%              
|90%                        |  | 5% less than 95%  |  | 100% - (5% * 2) |  | 90%               
|85%                        |  | 5% less than 90%  |  | 90% - (5% * 3)  |  | 75%               
|80%                        |  | 10% less than 90% |  | 90% - (10% * 3) |  | 60%               
|75%                        |  | 15% less than 90% |  | 90% - (15% * 3) |  | 45%               
|70%                        |  | 20% less than 90% |  | 90% - (20 * 3)  |  | 30%               

Annexure C: Vesting percentage for various Performance score scenarios for Corp Team and EDs

Hypothetical projection of vesting for Group (ii) namely Corporate Team and EDs under different performance conditions as follows:



Scenario 1  Parameters

Score


For EDs


For Others inCorp TeamWeightage


FinalScore


Weightage


FinalScoreWeighted Avg Business Score


90



30
%


27.00



50
%


45Market Cap Score (Rank 3)


100



60
%


60.00



20
%


20Sesa Sterlite Merger


90











20
%


18Sesa Sterlite Valuation


90











10
%


9Sustainability


80



10
%


8.00







Total










95.00







92.00Vesting percentage










100
%






94
%


Scenario 2  Parameters

Score


For EDs


For Others inCorp TeamWeightage


FinalScore


Weightage


FinalScoreWeighted Avg Business Score


90



30
%


27.00



50
%


45Market Cap Score (Rank 4)


90



60
%


54.00



20
%


18Sesa Sterlite Merger


80











20
%


16Sesa Sterlite Valuation


80











10
%


8Sustainability


50



10
%


5.00







Total










86.00







87.00Vesting percentage










78
%






81
%






Scenario 3  Parameters

Score


For EDs


For Others inCorp TeamWeightage


FinalScore


Weightage


FinalScoreWeighted Avg Business Score


85



30
%


25.50



50
%


42.5Market Cap Score (Rank 5)


85



60
%


51.00



20
%


17Sesa Sterlite Merger


70











20
%


14Sesa Sterlite Valuation


70











10
%


7Sustainability


25



10
%


2.50Total










79.00







80.50Vesting percentage










57
%






62
%


Scenario 4  Parameters

Score


For EDs


For Others inCorp TeamWeightage


FinalScore


Weightage


FinalScoreWeighted Avg Business Score


70



30
%


21.00



50
%


35Market Cap Score (Rank 9)


60



60
%


36.00



20
%


12Sesa Sterlite Merger


75











20
%


15Sesa Sterlite Valuation


75











10
%


7.5Sustainability


75



10
%


7.50







Total










64.50







69.50Vesting percentage










Nil







Nil






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| |  | Page 5 of 5