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SHAREHOLDERS' AGREEMENT OF 

NACIONAL MINÉRIOS S.A. 

This Shareholders' Agreement is entered into by and among: 

I. as parties: 

COMPANHIA SIDERÚRGICA NACIONAL, with head offices in the city of Rio de Janeiro, state of Rio de Janeiro, at Rua São José N. 20, group 1602 (part), enrolled with the Federal Taxpayer's Registry under N. 33.042.730/0001 -04,
herein represented in accordance with its by-laws ("CSN"); and 

BIG JUMP ENERGY PARTICIPAÇÕES S.A., with head offices in the city of São Paulo, state of São Paulo, at Rua da Consolação, 247, 3rd Floor, Room 85A, enrolled with the Federal Taxpayer's Registry
under N. 09.431.882/0001 -14, herein represented in accordance with its by-laws ("New Investor"); 

II. as intervening parties: 

NACIONAL MINÉRIOS S.A., with head offices in the city of Congonhas, state of Minas Gerais, at Logradouro Casa da Pedra, without number, part, enrolled with the Federal Taxpayer's Registry under N. 08.446.702/0001 -05, herein represented in
accordance with its by-laws ("Company"); 

BRAZIL JAPAN IRON ORE CORPORATION, with its head office at 5-1, Kita-Aoyama 2-chome, Minato-ku, Tokyo 107-8077, Japan, herein represented in accordance with its by-laws  ("Japanese SPC"); and 

POSCO, with its head office at 892 Daechi 4-dong Gangnam-gu, Seoul, 135-777, Korea, herein represented in accordance with its by-laws ("Posco"). 

(CSN and the New Investor jointly referred to as "Parties" or "Shareholders" and individually as "Party" or "Shareholder") 

WHEREAS: 

(A) the Parties are the owners of all of the shares issued by the Company, including shares transferred to the members of the Board of Directors appointed by each Shareholder;

(B) the New Investor will be merged into the Company or the Company will be merged into the New Investor, resulting that, in any case, the Japanese SPC and Posco will become direct shareholders' of the Company; and 

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(C) by means of this agreement, the Parties intend to agree upon principles, procedures and rules which shall govern their relationship as shareholders of the Company; 

NOW, THEREFORE, the Parties and the intervening parties agree to enter into this shareholders' agreement ("Shareholders' Agreement"), which shall be governed by the following provisions: 

SECTION I. BASIC PRINCIPLES APPLICABLE TO THE COMPANY 

1.1 The Parties shall exercise their voting rights and controlling power so as to ensure that the activities of the Company comply with the following basic principles and premises: 

(i) the management of the businesses of the Company shall be exercised by capable and experienced professionals, who must be duly qualified to hold their positions;

(ii) the strategic decisions of the Company shall procure the growth of its business, the development of new projects, and the maximization of the return of the investment made by its shareholders in compliance with prudent management practices;

(iii) the management (administração) of the Company shall always seek high levels of profitability, efficiency and competitiveness pursuant to applicable law; and 

(iv) basic guiding principles and premises set forth in Exhibit 1.1 attached hereto. 

1.2 The Parties agree and acknowledge that Exhibit 1.1 attached hereto constitutes the Long-Term Business Plan (as defined below) of the Company approved by the Parties.  Subject to events not under reasonable control of the Parties, the
Parties agree to cause the Company to construct the production facilities listed on such Exhibit 1.1, including the beneficiation plant and the pellet plants substantially in accordance with those descriptions. 

1.3 The Parties agree to adopt the draft of the by-laws attached hereto, as amended from time to time from the date hereof, as the by-laws of the Company, the terms and conditions of which are (i) in accordance with the terms and conditions hereof;
and (ii) appropriate to enforce the rights and obligations of the Parties pursuant to this Shareholders’ Agreement ("By-Laws"). 

1.3.1 If any provision hereof is deemed to be conflicting or otherwise not enforceable vis-à-vis any provision of the By-Laws, the Parties agree (i) that such
provision of this Shareholders’ Agreement shall prevail over the applicable provision of the By-Laws; and (ii) to cause the Company to hold an Extraordinary Shareholders’ Meeting as soon as reasonably practicable and approve in such
meeting amendments to the By-Laws so that the terms and conditions hereof can be fully enforced by the Parties during all times.

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SECTION II. SHARES SUBJECT TO THIS AGREEMENT 

2.1 All shares issued by the Company and owned by the Parties on the date hereof or which may be acquired during the term of this Shareholders' Agreement by any of them in any capacity and in any manner, including all rights inherent to such shares
("Shares"), are subject to this Shareholders' Agreement. 

2.2 Each of CSN and the New Investor hereby represents on the date hereof, and for the remaining term of this Shareholders’ Agreement, that (i) it owns of record and beneficially its Shares that are registered in its respective name in the
Nominative Shares Registry Book of the Company; (ii) its Shares have been duly authorized and validly issued and are fully paid in and nonassessable; (iii) its Shares are free and clear of any and all Liens (as defined below) for the benefit of any
third party, debts or obligations of any nature whatsoever, except for the Liens created pursuant to this Shareholders' Agreement; (iv) except for this Shareholders' Agreement, there are no voting agreements or understandings of any nature involving
its Shares for the benefit of any third party; and (v) there is no pending Action (as defined below) which may in any way, directly or indirectly, involve its Shares. For the purposes of this Shareholders’ Agreement, (a) "Lien" means
any lien (gravame), pledge (penhor), usufruct, security interest (any direito real de garantia including, but not limited to, alienação fiduciária), charge, claim, mortgage, deed of trust,
option, call, warrant, purchase right, lease, priority rights, preemptive rights, rights of first refusal, purchase preference rights, commitments, rights of conversion, rights to exchange, transfer restrictions of any nature, or other agreements or
commitments, of any nature, providing for the purchase, issuance, or sale of securities, voting trusts, stockholder agreements, proxies or other agreements or understandings in effect with respect to any rights attributable to securities, or any
other encumbrance (gravame) whatsoever, and (b) "Action" means any litigation, action, suit, proceeding, condemnation, investigation, judicial or administrative claim, or audit commenced, brought or conducted by, before or with any
court or governmental authority, or any arbitration proceeding. 

2.3 Notwithstanding the provisions of Section III and Section IV below, in the event a Party is authorized to make a Direct Transfer (as defined below) of its Shares to a third party, such Direct Transfer will not be valid until the acquirer adheres
in writing to this Shareholders' Agreement and, in case CSN is the transferor, CSN complies with its obligations under Section 15.3.1. 

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2.4 Unless such act is carried out with the prior written consent of all Parties, no Party shall be permitted to create a Lien, directly or indirectly, on its Shares to secure any of its obligations or those of any third party. 

2.5 The Parties agree that any and all Direct Transfers of Shares are hereby prohibited, except

(i) for direct purchases and sales of the Shares in accordance with Section III (Right of First Refusal),

(ii) transfer of Shares from [•] to [•]1 as a result of the Downstream Merger (as defined in Section 9.4),

(iii) after consummation of the Downstream Merger or Upstream Merger (as defined in Section 9.4.3), as the case may be, Direct Transfer of all or part of the Shares held by Posco to any third party, provided, however, that (1) Japanese SPC, one or
more shareholders of the Japanese SPC (on the date hereof) and/or Posco shall hold, directly or indirectly, [•]% [•] of all Shares held by the New Investor on the date hereof, (2) such acquiring person adheres to this Shareholders'
Agreement, and (3) be considered jointly with the Japanese SPC as one single Party for any and all purposes hereunder;

(iv) Direct Transfer of Shares by and between Japanese SPC and Posco;

(v) Direct Transfer of Shares between a Party and any entity directly or indirectly Controlled by such Party, provided that (i) the transferring Party is, during all times, the direct and/or indirect owner of at least [•]% [•] of voting
and total capital stock of the acquirer, which shall remain during all times as the direct holder of all acquired Shares, and (ii) the acquirer adheres in writing to this Shareholders' Agreement, becoming a Party hereto and undertaking to comply
with all obligations set forth herein; provided, however, that the transferring Party shall remain jointly and severally liable with respect to the obligations (including transfer restrictions) provided in this Shareholders' Agreement; and 

(vi) as expressly provided for in Sections IV (Tag Along Rights), X (Put and Call – Disagreement) and XV (Put and Call – Default under the
Shareholders’ Agreement and the Operational Agreements) (each such permitted Direct Transfer a "Permitted Transfer").

____________________

1Text marked as [•] denotes CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT. 

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2.5.1 For the purposes of this Shareholders' Agreement, "Direct Transfer" shall mean any direct sale, transfer, assignment, exchange, donation, increase of the capital stock of a company with, disposal of,
cancellation or replacement of the Shares, with or without consideration therefor, foreclosure on a pledge (excussão de penhor ou caução), placement in trust (fideicomisso), or any other transaction (including,
without limitation, any corporate restructuring event, such as spin-off, merger, amalgamation or drop down of assets) which results in the Direct Transfer of ownership of, and/or rights inherent to, the Shares.

2.5.2 Permitted Transfers may not be used to circumvent any of the provisions of this Shareholders' Agreement, including, but not limited to, the right of first refusal set forth in Section III and the tag along rights
set forth in Section IV. 

2.6 The Parties agree that any and all indirect sale, transfer, assignment, exchange, donation, increase of the capital stock of a company with, disposal of, cancellation or replacement of the Shares, with or without consideration therefor,
foreclosure on a pledge (excussão de penhor ou caução), placement in trust (fideicomisso), or any other transaction (including, without limitation, any corporate restructuring event, such as spin-off, merger,
amalgamation or drop down of assets) which results in the indirect transfer of ownership of, and/or rights inherent to, the Shares ("Indirect Transfers") are hereby permitted, provided that, in case of any Indirect Transfer by the Japanese
SPC, Posco and/or one or more shareholders of the Japanese SPC (on the date hereof), then Posco and/or one or more shareholders of the Japanese SPC (on the date hereof) shall continue to hold, directly or indirectly, at least, [•]% [•] of
all Shares held by the New Investor on the date hereof. 

2.7 Any and all Direct Transfers of Shares in accordance with this Shareholders’ Agreement must include all, but not less than all, of the Shares held by a Party, except Direct Transfers under Sections 2.5(iii) and 2.5(iv) . 

2.8 Nothing contained in this Shareholders’ Agreement shall be interpreted as prohibiting, preventing or otherwise restricting or impairing a change in the corporate ownership structure of (i) CSN or its Controlled companies (other than the
Company and/or its Controlled companies), (ii) shareholders of Japanese SPC (as of the date hereof) and/or (iii) Posco (including a change in Control), and no such change in corporate ownership structure shall give right to any of the rights
provided in Section III (Right of First Refusal) and Section IV (Tag Along Rights). For the purposes of this Shareholders' Agreement, the concept of "Control", "Controlling" or "Controlled", as used with respect to any person,
means direct or indirect ownership of majority of equity interest in such person and/or the possession, directly or indirectly, of the right to direct or cause the direction of the management and
policies of a corporation, limited liability company, partnership, association, or other business entity, whether through ownership of voting securities, by contract or otherwise. 

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2.9 Notwithstanding anything to the contrary set forth in this Shareholders’ Agreement, (a) CSN acknowledges and agrees that except for Related Party Permitted Transfer, it shall not make any Direct Transfer and/or Indirect Transfer of all or
part of its Shares until the earlier of (i) December 31st, 2014; or (ii) the completion of the construction of the second Pellet Plant by the Company (as contemplated in Exhibit 1.1) without the prior written consent of the New
Investor; and (b) while CSN, directly or indirectly, is a shareholder of the Company, the New Investor agrees that it shall not make any Direct Transfer and/or Indirect Transfer of all or part of its Shares to Companhia Vale do Rio Doce (or
any of its direct or indirect Controlled companies) or Banco Bradesco S.A. (or any of its direct or indirect Controlled or Controlling companies) at any time during the term of this Shareholders’ Agreement without prior written consent of
CSN.

SECTION III. RIGHT OF FIRST REFUSAL 

3.1 In case a Party ("Notifying Party") receives a third party bona fide firm cash offer to sell its Shares ("Third Party Offer"), it shall deliver a written notice ("RoFR Notice") to that effect to the other Party
("Notified Party") containing (i) the Notifying Party's intention to sell its Shares and the name and address of the proposed transferee; (ii) the proposed price for the Shares, which shall consist solely of cash to be paid at the closing of
the proposed sale; (iii) the number of Shares proposed to be transferred, which must include all, but not less than all, of the Shares held by the Notifying Party; and (iv) any other material terms of the Third Party Offer, and give the Notified
Party the right of first refusal to acquire all, but not less than all, of the Shares held by the Notifying Party, as set forth herein. 

3.1.1 The Party intending to make a Direct Transfer of Shares without having received a Third Party Offer shall negotiate the terms and conditions of such Direct Transfer with the other Party and obtain its prior written consent. 

3.2 The right of first refusal shall be exercised by means of a written notice ("RoFR Exercise Notice") to be delivered by the Notified Party within [•] days from the date of receipt of the RoFR Notice. In case the Notified Party does not deliver a RoFR Exercise Notice as set forth in this Section within such
[•] day period, the Notifying Party may sell such Shares to the person identified in the RoFR Notice on the same price, terms and conditions set forth in the RoFR Notice. The sale must take place within [•] days from the date of the
receipt of the RoFR Notice. After such period, if the sale does not occur, the Shares subject to the Third Party Offer shall again be subject to the right of first refusal set forth in this Section III. 

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3.3 If the Notified Party exercises the right of first refusal as per this Section III, it shall acquire all, but not less than all, of the Shares owned by the Notifying Party, on the same price and terms and conditions set forth in the RoFR
Notice.

3.4 If the Notified Party exercises its right of first refusal pursuant to this Section, it may carry out any and all acts and execute any and all documents on behalf of the Notifying Party that may be necessary for the performance of the
transaction contemplated by this Section, including the execution of the Shares Transfer Book of the Company on behalf of the Notifying Party and cause the Company to annotate in the Nominative Shares Registry Book of the Company the transfer of
ownership of the Shares subject to the right of first refusal in the event the Notifying Party fails to do so on the day in which, pursuant to the RoFR Notice, the Direct Transfer of such Shares is deemed to occur.

3.5 Upon consummation of the Downstream Merger or the Upstream Merger, as applicable, Posco and the Japanese SPC shall be considered jointly as one single Party for any and all purposes of this Shareholders Agreement.

3.6 Any Lien, Direct Transfer or Indirect Transfer of Shares which violates this Shareholders' Agreement shall be null and void and of no effect with respect to the Company or any Party. 

SECTION IV. TAG ALONG RIGHTS 

4.1 Any of the Shareholders will have the right to sell all of its Shares, on the same conditions, including the price per Share, in case of any sale of Shares by another Shareholder, provided that the Shares to be transferred, directly or
indirectly, represent, at least, [•]% [•] Share of the capital stock of the Company. 

4.2 For the exercise of the tag along right set forth in this Section, the transferring Shareholder ("Tag Along Shareholder") must send to the
  other Shareholder a notice to that effect, containing (i) the Shareholder's intention to sell its Shares and the name and address of the proposed transferee; (ii) the proposed consideration for such Shares, which shall consist solely of cash to be
  paid at the closing of the proposed sale; (iii) the number of Shares proposed to be sold, which must include all, but not less than all, of the Shares held by such Party; and (iv) any other material terms of the proposed sale.

4.3 The other Shareholder must, within [•] days from the receipt of the notice referred to in Section 4.2 above, inform as to whether it wants to (i) exercise the right of first refusal set forth in Section III above, to purchase all of the
Shares held by the Tag Along Shareholder, at the price per Share set forth in the notice; or (ii) exercise its tag along right as set forth in this Section IV. In case of a negative answer or failure to provide such answer within the term provided
for herein, the 

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Tag Along Shareholder may carry out the sale of all of its Shares on the same conditions as set forth in the notice referred to in Section 4.2 above.

4.4 In the event the Tag Along Shareholder fails to carry out the sale in accordance with Section 4.2 above within [•] days from the receipt of the notice set forth in Section 4.2 above, the Tag Along Shareholder must not sell its Shares
without complying again with all the requirements set forth in this Shareholders' Agreement.

4.5 The tag along right set forth in this Section IV is not applicable to Permitted Transfers or Indirect Transfers. 

SECTION V. VOTING RIGHTS 

5.1 Each Party hereby agrees to exercise its voting rights so as to fully comply with its obligations set forth herein. 

5.2 Any vote cast by a Party at a shareholders' meeting of the Company in breach of the provisions of this Shareholders' Agreement shall be null and void. 

SECTION VI. MANAGEMENT OF THE COMPANY  

6.1 Subject to the terms of Section IX below, the Company shall be managed by a Board of Directors (Conselho de Administração) and a Board of Officers (Diretoria), in accordance with (i) this Shareholders' Agreement; (ii)
the By-Laws; (iii) the resolutions adopted at shareholders' meetings or at the meetings of the Board of Directors, as the case may be; and (iv) the applicable law. 

SECTION VII. BOARD OF DIRECTORS 

7.1 Each Party hereby agrees to make the Directors (as defined below) elected pursuant to the terms hereunder to exercise their voting rights and duties so as to fully comply with the obligations set forth herein. 

7.2 The Board of Directors of the Company shall consist of 9 (nine) members (conselheiros) (each, a "Director") and 9 (nine) alternates, provided, however, that, if CSN holds [•]% [•] of the Shares and the New Investor the
remaining [•]% [•] of the Shares, the Board of Directors shall consist of 10 (ten) members.  The members of the Board of Directors shall be shareholders, may or may not reside in Brazil, and shall be elected by the shareholders at a
shareholders' meeting for a term of 2 (two) years or until his or her successor is appointed and qualified, or until such Director's earlier death, disability, retirement, resignation or removal. Each Director may serve an unlimited number of
consecutive terms.

7.3 So long as a Party holds in the aggregate the percentage of the Shares set forth in the first column below, that Party shall be entitled to nominate the number
of Directors set forth in the second column below, and the Shareholders shall take such actions as necessary to cause such nominees to be appointed as Directors.

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	PERCENTAGE OF THE SHARES	NUMBER OF DIRECTORS*
	 	 
	Less than or equal to [•] 	[•] 
	More than [•], but less than [•]	 [•] 
	More than or equal to [•], but less than [•]	 [•]
	 [•] 	[•] 
	More than [•], but less than or equal to [•]	 [•] 
	More than
[•], but less than [•]	 [•] 
	More than or equal to [•]	 [•] 

* And respective alternate. 

7.4 The Board of Directors shall appoint one of the Directors as Chairman of the Board of Directors, who shall hold office for the same term as he or she holds office as a Director.  So long as CSN owns not less than [•]% [•] of the
Shares, the Chairman shall be a Director nominated by CSN. In all other cases, the Chairman will be elected by the majority of the members of the Board of Directors.  The Chairman of the Board of Directors shall preside over all meetings of the
Board of Directors. In the event of a tie vote with respect to any matter, the Chairman shall not have an additional deciding or casting vote.

7.5 Each of the Parties may request, at any time, the replacement of a member of the Board of Directors appointed by such Party, appointing a new member to be elected under the terms of this Section VII.

7.6 The election and replacement of the members of the Board of Directors of the Company as set forth in this Section shall take place at a shareholders' meeting of the Company called for this specific purpose, and the Parties shall vote to elect or
dismiss the Directors and alternates appointed by the Party as indicated in this Section. 

7.7 In the event a Party no longer has the right to nominate the number of Directors by which it is currently represented on the Board of Directors, (i) the exceeding member(s) of the Board of Directors and respective alternate(s), appointed by such
Party and elected under the terms of this Section shall be automatically prevented from taking part in any decision of the Board of Directors of the Company; (ii) a shareholders' meeting shall be immediately called and held to remove from office the
exceeding member(s) of the Board of Directors and
alternate(s) referred to in item (i) above and to elect new Director(s) and alternate(s) as provided in item (iii) below; and (iii) in order to replace the exceeding member(s) and respective alternate(s) removed from office, each of the Parties
shall appoint the number of members of the Board of Directors and respective alternates for election under the terms of this Section at the shareholders' meeting called as provided in item (ii) above. 

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7.8 Each Party shall, for the purposes of article 146 of Law N. 6,404, of December 15, 1976, as amended, transfer 1 (one) Share to each of the members of the Board of Directors appointed by such Party. A right of usufruct shall be constituted on
such Shares to the benefit of the transferring Party, which shall have the right to repurchase the Shares. For the purposes of this Shareholders' Agreement, the Shares transferred to the members of the Board of Directors under the terms of this
Section 7.8 shall be considered as shares held by the transferring Party. 

7.9 At all meetings of the Board of Directors, the presence of a majority of Directors, including at least [•] Director nominated by each Party (if such Party has the right to nominate a Director pursuant to this Section VII), shall constitute
a quorum at a duly convened meeting.  If a quorum is not present at any duly convened meeting of the Board of Directors, the Directors present at such meeting may adjourn the meeting and such adjourned meeting shall be reconvened by the Chairman or
any other Director present at such meeting on not less than 7 (seven) business days prior written notice to each Director. At such reconvened meeting, the quorum shall be a majority of Directors, but the presence of at least 1 (one) Director
nominated by each Party shall not be required in order to constitute a quorum.  Notwithstanding the foregoing, if a quorum is not present at such reconvened meeting as a result of the absence of the Director(s) nominated by a Party, the quorum shall
be 1 (one) less than a majority of Directors; provided, however, that in any case no action may be taken at any such reconvened meeting except with respect to the matters set forth in the notice of such reconvened meeting. 

7.10 Each Director shall be entitled to 1 (one) vote at meetings of the Board of Directors.

7.11 Resolutions at meetings of the Board of Directors shall be adopted with the affirmative vote of a majority of the members (or their respective alternates) (other than with respect to Major Decisions) present at any meeting at which there is a
quorum. 

7.12 The Parties may create, within the jurisdiction of the Board of Directors, other consulting or executive committees, permanent or not, to analyze and give opinions on any matters, as required by the Board of Directors. The members of such
committees, whether shareholders or not, shall have expertise in the areas to be
decided by their committees, being elected by the Board of Directors of the Company.

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SECTION VIII. BOARD OF OFFICERS 

8.1 Except as otherwise agreed by the Parties pursuant to Section 8.3, the Company shall have a senior management team consisting of 6 (six) officers (diretores) (each, an "Officer"), who shall be the Chief Executive Officer, the Chief
Financial Officer, the Chief Operating Officer, the Chief Administrative Officer, the Chief Commercial Officer and the General Counsel. Such executive Officers shall comprise the Board of Officers and shall be responsible for conducting the
day-today management activities and operations of the Company. 

8.2 Each Officer must reside in Brazil, be eligible for the position of managers and shall hold office for a term of 2 (two) years and may serve an unlimited number of consecutive terms;
  provided, however, that any such Officer, if not reappointed by the Board of Directors as a Major Decision in accordance with Section IX, shall tender his or her resignation letter or otherwise be removed by the Board of Directors upon his or her
  completion of each such term. Any such term otherwise shall be terminated by such Officer's earlier death, disability, retirement, resignation or removal. Any Officer may resign at any time upon notice in writing to the Board of Directors. Such
  resignation shall take effect at the time specified in such written notice and, unless otherwise specified therein, no acceptance of such resignation shall be necessary to make it effective. Any Officer may be removed at any time, with or without
  cause, by the Board of Directors.

8.3 The appointment of the Officers shall take place at a meeting of the Board of Directors called for this specific purpose and the Directors may only appoint Officers with expertise in the related area, provided that each Party shall have the
right to appoint [•]Officer of the Company, and the New Investor shall have the right to appoint no more than [•] managers for the following areas or departments of the Company: [•]. The position of the Officer to be appointed
pursuant to this Section 8.3 shall be mutually agreed by the Parties.  The right of the Parties to appoint each one Officer of the Company set forth in this Section 8.3 may be exercised at any time during the term of this Shareholders’
Agreement. For such purposes, the Shareholders shall cause the members of the Board of Directors appointed by each of them to exercise their voting rights in order to comply with the provision of this Section 8.3. 

SECTION IX. MAJOR DECISIONS 

9.1 Notwithstanding any provision to the contrary in this Shareholders' Agreement, the following actions by the Company and/or its Controlled subsidiaries (together with the actions set forth in Section 9.2 below, "Major Decisions") shall be taken by the Company, only with the affirmative vote of [•] Directors of the Company: 

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(i) approval of the annual compensation of each member of (a) the Board of Officers of the Company and (b) of the Board of Directors, Board of Officers or Fiscal Council of any Controlled subsidiaries; 

(ii) the appointment and removal of any member of (a) the Board of Officers of the Company, subject to Section 8.3 above and (b) the Board of Directors, Board of Officers or Fiscal Council of any Controlled subsidiaries and/or Affiliates of the
Company (to the extent the Company has such rights and may legally exercise such rights with respect to such Affiliates).  For the purposes of this Shareholders Agreement, "Affiliate" means as to the person specified, any person in which the
Company has an equity interest of, at least, [•]% [•] and less than [•]% [•] of the total capital stock; 

(iii) approval of any amendment or change in any condition of the operational agreements of the Company and/or its
  Controlled subsidiaries (including the following agreements as defined in the SPA (defined below in Section 9.3): [•] (being (i) to (viii) collectively "Operational Agreements") and (ix) [•], provided that the Directors appointed by
  CSN shall not have the right to vote in any such resolution if CSN has breached such operational agreements and has not cured such breach within the applicable grace period, in which case the Major Decision shall be taken by Company with the
  affirmative vote of all the remaining Directors;

(iv) any decision involving (a) existing or future mining rights held, or leased, by the Company (including the transfer of, or liens over, such rights), (b) the Pellet Plants, and (c) any other material assets of the Company and/or its Controlled
subsidiaries; 

(v) approval of any guarantee, security or indemnification by the Company and/or its Controlled subsidiaries in connection with indebtedness or obligations of any third party;

(vi) the appointment of auditors and any and all changes on the accounting policies of the Company and/or its Controlled subsidiaries;

(vii) the settlement of any material dispute or lawsuit by the Company and/or its Controlled subsidiaries; and 

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(viii) approval, renewal, material modification, or termination of pension plans and other employee benefit plans of the Company and/or its Controlled subsidiaries. 

9.2 Notwithstanding any provision to the contrary in this Shareholders' Agreement, the following actions shall be taken by the Company and/or its Controlled subsidiaries only with the prior approval of the Shareholders holding more than or equal to
[•] % [•] of the Shares: 

(i) approval of the annual financial statements, the Long-Term Business Plan, the Mid-Term Business Plan and the Annual Operating Budget (as defined below) and any material amendment thereof; 

(ii) entry into, modification, renewal or termination of any transaction or agreement or any series of transactions or agreements with a total annual expenditure in excess of US$25,000,000 (twenty-five million dollars) (or its equivalent in
local currency), individually or in the aggregate, except if such action has been expressly approved in conjunction with the relevant Annual Operating Budget without reservation; 

(iii) incurrence of indebtedness in excess of US$150,000,000 (one hundred and fifty million dollars) (or its equivalent in local currency) at any one time outstanding, except for the Financing Agreements (as defined below) or for such actions
that have been expressly approved in conjunction with the relevant Annual Operating Budget without reservation; 

(iv) modification, renewal or termination of any of the Financing Agreements; 

(v) entry into any joint ventures, equity investments in, acquisition of all or substantially all of the assets of another person or entry into, or approval of, any other investment by the Company in excess of US$ 20,000,000 (twenty million
dollars), except for the Financing Agreements or if such action has been expressly approved in conjunction with the relevant Annual Operating Budget without reservation; 

(vi) entry into, modification, renewal or termination of any transaction (including, without limitation, guarantee, security and/or indemnification) or agreement with or involving any Controlled subsidiary or Affiliate of the Company or any
Shareholder (a "Related Party Agreement") or the granting of any waiver, consent or forbearance under any Related Party Agreement, provided that approval of such events shall not be unreasonably withheld; 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(vii) declaration of dividends and/or interest on capital or the distribution of any surplus or earnings, change in or deviation from the dividend policy of the Company and/or its Controlled subsidiaries, or any decision to retain for capital
expenditure funds otherwise available for distributions of dividends; 

(viii) any increase of capital stock of the Company and/or its Controlled subsidiaries, or any loan to any Shareholder or Controlled subsidiaries of the Company, except as otherwise agreed by the Shareholders with a written agreement; 

(ix) any reduction of capital stock, payment of cash or assets to shareholders, or cancellation or issuance or redemption of, shares of capital stock of the Company and/or its Controlled subsidiaries, any rights or warrants exercisable for, or bonds
convertible into, shares of capital stock of the Company and/or its Controlled subsidiaries, except for those shares of capital stock to be issued in accordance with a written agreement among the Shareholders; 

(x) merger, spin-off, amalgamation or any act of corporate restructuring (including the creation of group of companies), or sale of any material assets, or of a relevant amount of assets of the Company and/or its Controlled subsidiaries; 

(xi) winding-up, dissolution or liquidation of, or any bankruptcy claim or court reorganization request (pedido de recuperação judicial) by the Company and/or its Controlled subsidiaries; 

(xii) the annual remuneration of each member of the Board of Directors of the Company;

(xiii) any increase or decrease in the size of the Board of Directors of the Company or the Board of Officers of the Company, except as otherwise expressly provided herein; and 

(xiv) any amendments to the By-Laws, including, but not limited to, any change to the management or its respective duties and responsibilities, to the name or to the corporate purposes of the Company and/or its Controlled subsidiaries as set forth
in the By-Laws. 

9.3 Notwithstanding anything to the contrary provided in Section 9.2 above, each of CSN and the New Investor undertakes to vote in favor of, and cause to be taken the necessary steps to, rectifying the issuance price of the shares newly issued in
connection with the capital increase approved in the extraordinary general
shareholders meeting of the Company held on the date hereof pursuant to Article III of the Share Purchase Agreement and Other Covenants entered into on October 21, 2008, by and among the New Investor, CSN and the Company ("SPA"). 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

9.4 Notwithstanding anything to the contrary provided in Section 9.2 above, each of CSN and the New Investor undertakes to vote in favor of, and cause to be taken the necessary steps to, effect the downstream merger of the New Investor with and into
the Company ("Downstream Merger"), in which the Company will be the surviving entity. The Parties hereby acknowledge and agree that the Downstream Merger shall take place as soon as reasonably practicable, following the date that a notice in
this regard is delivered by the New Investor to the Company and CSN. Each of CSN and the New Investor undertakes to cooperate and endeavor its best efforts to consummate the Downstream Merger as soon as reasonably possible following the referred
notice from the New Investor. Upon the consummation of the Downstream Merger, the Japanese SPC and Posco shall become Parties to this Shareholders’ Agreement as successors of the New Investor, provided, however, that the Japanese SPC and Posco
shall be considered as one single Party for any and all purposes of this Shareholders’ Agreement. The Downstream Merger shall not in any way result in changes to the current percentage of capital stock of the Company held by each of the
Parties. 

9.4.1 The Parties shall cause the Company to deliver to them, as soon as reasonably practicable but in no event later that December 5th, 2008, a consolidated balance sheet of the Company prepared in accordance with the Brazilian GAAP, in
Reais, dated as of November 30, 2008. 

9.4.2 New Investor shall (i) obtain and deliver to the Company, as soon as reasonably practicable but in no event later that December 5th, 2008, the tax clearance certificates of the New Investor issued by (i) the Brazilian social
security authority ("INSS") (Certidão Negativa de Débito junto ao INSS emitida pelo Instituto Nacional de Seguro Social); (ii) the Brazilian unemployment guarantee fund ("FGTS") (Certificado de Regularidade do
FGTS emitido pela Caixa Econômica Federal); and (iii) the Brazilian federal tax authorities (Certidão Negativa de Débito de Tributos e Contribuições para com a Fazenda Nacional emitida pela Receita Federal
and Certidão Negativa de Inscrição de Dívida Ativa da União emitida pela Procuradoria Geral da Fazenda Nacional); provided that all such certificates shall be valid at least for additional 30 (thirty)
days as from their presentation by the Company to the Parties and (ii) prepare and deliver to the Company the appraisal report of New Investor and such other documents necessary to permit the Company to implement the Downstream Merger as provided in
Section 9.3 above, in accordance with the provisions of Law N. 6,404, of December 15, 1976, as amended. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

9.4.3 In case the Downstream Merger is not consummated by December 31, 2008, each of CSN and the New Investor undertakes to vote in favor of, and cause to be taken the necessary steps to, effect an upstream merger, rather than Downstream Merger, in
which the Company will be merged into the New Investor, so that the New Investor will be the surviving entity ("Upstream Merger"). Upon the consummation of the Upstream Merger as described herein, (i) any reference to Company shall take into
consideration the Company as merged into the New Investor and, as a result, this Shareholders’ Agreement will remain in force in respect of the shares issued by the New Investor, as successor of the Company hereunder, and (ii) the Japanese SPC
and Posco shall become Parties to this Shareholders’ Agreement, as direct shareholders of the New Investor, provided, however, that the Japanese SPC and Posco shall be considered as one single Party for any and all purposes of this
Shareholders’ Agreement. For the avoidance of doubt, upon the Upstream Merger the Japanese SPC and Posco shall, jointly, as one single party, be assignees of the New Investor hereunder. The Upstream Merger shall not in any way result in
changes to the current percentage of capital stock of the Company held by each of the Parties.

9.5 If the Board of Directors or the Shareholders are unable to reach a joint decision and to cast the necessary votes to approve a Major Decision ("Major Decision Disagreement"), any Shareholder holding more than or equal to 40%
(forty percent) of the Shares may notify the other Shareholder and the Board of Directors (any such notice, a "Disagreement Notice"), and the Shareholders shall cause such unresolved matter to be referred to 2 (two) mediators, appointed by
each of CSN and the New Investor ("Mediators"), who shall attempt to identify possible solutions and to settle the matter within 30 (thirty) days following the date of the Disagreement Notice. If the Mediators fail to reach an agreement
within such period, or if any Shareholder fails to select and appoint its Mediator within 5 (five) days from the date of the Disagreement Notice, the Shareholders shall cause the Major Decision Disagreement to be referred to the Chief Executive
Officer of CSN and to the senior representative appointed by the New Investor for this purposes, who shall attempt to identify possible solutions and settle the matter within [•] days following the date of the Disagreement Notice
("Disagreement Term"). 

SECTION X. PUT AND CALL - DISAGREEMENT 

10.1 If the Shareholders cannot resolve a Major Decision as described in the Major Decision Disagreement, then: 

(i) within [•] days following the Disagreement Term ("Exercise Period") (x) the New Investor may elect to give written notice to CSN designating to sell all, but not less than all, of its Shares to CSN ("Put Option –
Deadlock"), and/or (y) CSN may elect to give written notice to New Investor designating to purchase all, but not less than all, of the
Shares held by New Investor ("Call Option – Deadlock"), provided that both Put Option – Deadlock and Call Option – Deadlock shall be exercised at a price per Share equal to (a) the Fair Market Value of the Company (as
defined in Section 15.4 below) divided by (b) the total number of the outstanding shares issued by the Company ("Exercise Price per Share"), or, alternatively, 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(ii) in case there are reasonable evidences that the Major Decision Disagreement was caused by a Shareholder ("Challenged Shareholder") that is not acting in good faith or in compliance with the basic principles set forth in Section
1.1 ("Improper Behavior"), the other Shareholder ("Challenging Shareholder") may, within [•] days following the Disagreement Term, refer the matter to an Arbitral Tribunal (as defined in Section XIX), which shall determine whether or not
there was Improper Behavior by the Challenged Shareholder. In case the Arbitral Tribunal determines that the Challenged Shareholder acted with Improper Behavior, the Challenging Shareholder shall have the right to individually approve such Major
Decision matter subject to the Major Decision Disagreement. In case the Arbitral Tribunal determines there was no Improper Behavior by the Challenged Shareholder (a) the New Investor may elect to give written notice to CSN, within [•] days from
the issuance of the final Arbitral Tribunal award, exercising its Put Option – Deadlock, and/or (b) CSN may elect to give written notice to New Investor, within [•] days from the issuance of the final Arbitral Tribunal award, exercising
its Call Option – Deadlock. Both Put Option – Deadlock and Call Option – Deadlock shall be exercised at the Exercise Price per Share. 

10.1.1 The provisions of Section 19.11 below shall be applicable to the arbitration procedure set forth in Section 10.1(ii) above. 

10.1.2 Notwithstanding anything to the contrary, until the final arbitral award with respect to the matters referred to in Section 10.1(ii) is granted, (i) the related Put Option – Deadlock and Call Option – Deadlock rights are
suspended; and (ii) the Parties shall cause the Company to conduct its activities in the ordinary course of business. 

10.2 The Parties agree that any Major Decision Disagreement shall be subject to the provisions of Section 10.1, except for the following matters:

(i) [•]; 

(ii) [•]; 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(iii) [•]; 

(iv) [•]; 

(v) [•]; 

(vi) [•]; and

(vii) [•]. 

10.2.1 The Parties agree that the Party presenting, or causing to be presented, at any shareholders' meeting, a material amendment to either the Long-Term Business Plan or Mid-Term Business Plan, and such amendment is not approved by the Parties
causing a Major Decision Disagreement not resolved in accordance with Section 9.5 above, the Party that presented, or caused to be presented, such amendment shall not be entitled to the Put Option – Deadlock or the Call Option – Deadlock
right, as applicable. For the avoidance of doubt, any material changes, amendments and/or updates relating to the review and/or renewal process of the Mid-Term Business Plan, pursuant to Section 11.1 are not subject to the exception of the Put
Option – Deadlock or Call Option – Deadlock set forth in this Section 10.2.1, provided that the proposed amendments are generally aligned and in accordance with the Long-Term Business Plan.

10.3 Unless otherwise agreed by the Parties, the closing of the purchase and sale pursuant to this Section X ("Closing Date") shall take place in Brazil, at the principal place of business of the Company, on or prior to the [•] business
day following the receipt of either the notices provided for in Section 10.1. At Closing Date, (A) CSN shall (i) purchase all, but not less than all, of the Shares held by the New Investor for the Exercise Price per Share; and (ii) irrevocably and
unconditionally replace, until the Closing Date, any and all financial obligations and/or guarantees related to the Company (either personal or in rem) undertaken and/or granted by the New Investor or, in case such immediate replacement is
not allowed by the beneficiary of such financial obligations and/or guarantees, to provide adequate banking counter-guarantees in connection thereto; and (B) the New Investor shall be obligated to deliver to CSN a properly executed assignment of all
of its Shares, free and clear of all Liens, but if the New Investor fails to do so, CSN may execute such assignment on behalf of the New Investor pursuant to the power of attorney described in Section 10.5 below. 

10.4 Notwithstanding the provisions of Section 10.3 above, (i) in case of a Put Option – Deadlock, CSN shall pay for all Shares held by the New Investor, in immediately available funds in US dollars, the Exercise Price per Share above in 3
(three) equal installments, provided that (a) the first installment shall be paid on the 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

Closing Date, and (b) the remaining 2 (two) installments shall be paid annually, one in each of the following 2 (two) anniversaries of the Closing Date and shall be adjusted on an annual basis by the London Inter-Bank Offer Rate - LIBOR plus 1.5%
from the Closing Date until the date of their actual payment, provided that said interest shall accrue on each of the outstanding installments and be fully paid on the date of their respective payment, and (ii) in case of Call Option –
Deadlock, CSN shall pay for all Shares held by the New Investor, in immediately available funds in US dollars, the Exercise Price per Share in one single installment on the Closing Date. In either case, the transfer of the Shares to be purchased and
sold pursuant to the provisions of this Section X shall occur on Closing Date. 

10.5 For the purposes of Section 10.3 and 10.4 above, the New Investor hereby irrevocably designates and appoints CSN as its lawful attorney-in-fact to execute on behalf of the New Investor any and all documents necessary for the Direct Transfer of
ownership of the Shares to be transferred to CSN pursuant to the provisions of this Section X on the relevant Closing Date, should New Investor fails to do so in accordance with the provisions of this Section X. 

SECTION XI. ANNUAL OPERATING BUDGET AND FINANCING AGREEMENTS 

11.1 The Company's expenditures and business operations shall be made in accordance with (a) a long-term business plan (as modified from time to time in accordance with Section 9.2) attached herein as Exhibit 1.1 ("Long-Term Business
Plan"), (b) a mid-term business plan (as modified from time to time in accordance with Section 9.2), which shall comprise a period of 3 (three) years and be subsequently reviewed and renewed for additional periods of 3 (three) years, provided
that the first mid-term business plan shall be adopted on the date hereof, as attached herein in Exhibit 11.1, which comprises a period of 6 (six) years, counted as of the date of its approval, but subject to review after 3 (three) years,
counted as of the date of its approval ("Mid-Term Business Plan") and (c) an annual operating budget (as modified from time to time in accordance with Section 9.2), which shall be adopted not less than 30 (thirty) days following the date
hereof and 30 (thirty) days prior to commencement of each fiscal year as approved by the Shareholders as a Major Decision ("Annual Operating Budget").

11.1.1 The Parties shall cause the Board of Officers to finish the production of each draft of the subsequent Annual Operating Budget and/or Mid-Term Business Plan, as applicable, at least 3 (three) months prior to the date in which such documents
shall be approved as a Major Decision by the Shareholders. 

11.1.2 All Annual Operating Budgets shall include (i) the Company's business strategy and organizational structure, basic goals, projected revenues, expenses (including the compensation package for each member of the Board of Officers), capital
expenditures, financing plans, insurance, cash flows, appointment of agents
or advisers and strategic alliances, in each case with projections for not less than the next 3 (three) succeeding fiscal years; and (ii) operating projections of the Company for not less than the next 3 (three) succeeding fiscal years. The Annual
Operating Budget shall be based on the Long-Term Business Plan and the Mid-Term Business Plan. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

11.2 The Parties acknowledge that the Company has entered into (i) [•] and (ii) [•] ("Financing Agreements") and that any modification, renewal or termination of the Financing Agreements is a Major Decision subject to Section IX
above. 

SECTION XII. DIVIDEND POLICY 

12.1 Subject to applicable law, the By-Laws or any Major Decision of the members of the Board of Directors to retain funds for capital expenditures, the Company shall distribute as dividends or interests over capital of, at least, [•]% [•]
of its annual net profit, calculated pursuant to Law N. 6,404, of December 15, 1976, as amended ("Minimum Dividends"). The Parties hereby represent that the dividend policy of the Company set forth in this Section 12.1 is a legal, valid and
binding obligation of the Parties and the Company. For the avoidance of doubt, the annual net profits of the Company shall be calculated including, without limitation, the results derived from the equity pick-up method in relation to all its
Controlled subsidiaries and/or Affiliates, directly or indirectly, located in Brazil or abroad, in accordance with Brazilian GAAP (as defined below). 

12.1.1 The Shareholders and the management of the Company must ensure that upon approval of the declaration of dividends of the Company by Shareholders pursuant to Section 9.2(vii), the Company shall have funds available for making the full payment
of the dividends declared, including, but without limitation, by means of (i) execution of intercompany loans with its Controlled subsidiaries and/or (ii) receipt of funds deriving from distributions of dividends of its Controlled subsidiaries. 

12.1.2 In case the cash available for distribution as Minimum Dividends is not sufficient for the full payment of such dividends in any given fiscal year, the unpaid portion of the applicable Minimum Dividends shall be allocated to the unrealized
profit reserve (reserva de lucros a realizar) and distributed as dividends to Shareholders as soon as the Company obtains the necessary funds for such payment, in accordance with Law N. 6,404, of December 15, 1976, as amended. 

12.1.3. Upon the Downstream Merger or the Upstream Merger, in case the net profits are adversely affected by the potential amortization of the goodwill, the Shareholders agree to adopt the accounting mechanism prescribed by the Instruction
of the Brazilian Securities and Exchange Commission (Instrução da Comissão de Valores Mobiliários - CVM) N. 319/99, as amended, in order to prevent that such amortization adversely affects the generation of net
profits. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

SECTION XIII. ACCESS TO INFORMATION 

13.1 The Company shall keep or cause to be kept complete and accurate books and records with respect to the business and affairs of the Company in accordance with Brazilian law and in accordance with Brazilian generally accepted accounting
principles ("Brazilian GAAP") as well as in accordance with the United States generally accepted accounting principles ("US GAAP"). The books of the Company shall at all times be maintained by the Board of Officers at the principal
place of business of the Company. 

13.2 Each Shareholder and its duly authorized representatives as well as the members of any auditing firm appointed by a Shareholder pursuant to Section 13.3 below shall have the right to examine the Company's books, records and other documents
during normal business hours upon reasonable advance notice to the Company, provided that Section 19.10 below is duly complied with.

13.3 Each Shareholder shall have the right to hire an auditing firm, at its own expenses, in order to examine and inspect the Company’s financial and accounting condition, provided that no additional costs related thereto shall be borne by the
Company or any other Shareholder. 

13.4 The Company shall provide to each Shareholder as soon as available, but in any event no later than 90 (ninety) days after the end of each fiscal year, a copy of the audited balance sheet, profits and losses statement, statements of changes in
shareholders’ equity and cash flow statement (jointly referred to as "Financial Statements") of the Company as at the end of such fiscal year, all in reasonable detail and stating in comparative form the figures as at the end of
and for the previous fiscal year. The Financial Statements shall be prepared, in Portuguese and in English, both in accordance with the Brazilian GAAP and the US GAAP applied on a consistent basis throughout the periods reflected therein, except as
stated otherwise. 

13.5 The Company shall provide to each Shareholder as soon as available, but in any event no later than 45 (forty-five) days after the end of each quarter of each fiscal year, the unaudited Financial Statements as at the end of such quarter and for
the elapsed period in such fiscal year, all in reasonable detail and stating in comparative form the figures as of the end of and for the comparable periods of the preceding fiscal year, and prepared in accordance with the Brazilian GAAP and the US
GAAP and applied on a consistent basis throughout the periods reflected therein,
except as stated otherwise. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

13.6 CSN agrees to share with the Company, so long the Company remains a shareholder of MRS Logística S.A. ("MRS"), all relevant data and information requested by the Company or by the New Investor in connection with MRS and that CSN
have had access to in its capacity as one of the Controlling shareholder of MRS, to the extent that CSN deems the disclosure of such data or information permitted under Law N. 6404, of December 15, 1976, as amended, under any other applicable law or
regulation, and is not prohibited under any confidentiality arrangement, judicial, regulatory or arbitral decision. 

SECTION XIV. SPECIFIC PERFORMANCE 

14.1 Failure to comply with any of the obligations set forth herein shall subject the defaulting Party to the available remedies, including, but not limited to, the specific performance of the defaulted obligation. In the event specific performance
is not available and there is no remedy that provides a practical result similar to the satisfaction of the defaulted obligation, it is hereby agreed that indemnification for the losses incurred as a result of the default shall not constitute an
appropriate compensation.

14.2 Any Party shall have the right to request (i) the Chairman of a shareholders' meeting or the Chairman of the Board of Directors meeting of the Company to declare a vote exercised in breach of a provision of this Shareholders' Agreement null and
void and (ii) the Board of Officers to immediately cancel the registration of any Direct Transfer of Shares in breach of any of the Direct Transfer restrictions imposed by this Shareholders' Agreement, regardless of any judicial or extrajudicial
procedures. 

14.3 Without prejudice to other rights of the non-defaulting Party set forth herein (including, without limitation, the put and call right provided in Section 15.1 below), any Party may seek pursuant to Section 19.11 below: (i) the annulment of a
shareholders' or Board of Directors' meeting that accepts as valid a vote exercised in breach of a provision of this Shareholders' Agreement; (ii) the cancellation of any registration of a Direct Transfer of Shares carried out in violation of any
provision of this Shareholders' Agreement; and (iii) an order that substitutes a shareholders' refusal to vote pursuant hereto or to comply with any of its obligations set forth herein.

14.4 Any refusal to vote in compliance with this Shareholders' Agreement or abstention to vote shall be subject to the provisions of article 118, paragraph 9 of Law N. 6,404, of December 15, 1976, as amended. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

SECTION XV. PUT AND CALL – DEFAULT UNDER SHAREHOLDERS’ AGREEMENT AND OPERATIONAL AGREEMENTS 

15.1 Without prejudice to the other rights of the Parties provided for herein, upon the occurrence of any breach of any material obligation by any of the Parties under this Shareholders’ Agreement and so long as such breach has not been cured
within 90 (ninety) days as from the date of the delivery of a written notice by the non-defaulting party ("Non-Defaulting Party") to the defaulting party reasonably detailing the nature of such breach, (i) if the New Investor is the Non-Defaulting
Party, New Investor shall have the right, exercisable by delivery of a written notice to CSN within [•] days following the deadline to cure such breach, to sell all, but not less than all, of its Shares to CSN ("Put Option – Default
SHA") or (ii) if CSN is the Non-Defaulting Party, CSN shall have the right, exercisable by delivery of a written notice to the New Investor within [•] days following the deadline to cure such breach, to purchase all, but not less than all,
of the Shares held by the New Investor ("Call Option – Default SHA"), provided that both Put Option – Default SHA and Call Option Default SHA shall be exercised at a price per Share equal to the Exercise Price per Share. Unless
otherwise agreed by the Parties, the closing of such purchase and sale shall take place in accordance with the procedures set forth in Section 10.3 above mutatis mutandis and the aggregate price per Share shall be paid in one single
installment on the closing date of the purchase and sale of the Shares.

15.2 With respect to certain Operational Agreements listed in Section 9.1(iii), the Parties hereby acknowledge and agree that in the case of a Material Breach by CSN under the (i) [•] occurs, then within [•] days following the delivery of
a written notice provided by the New Investor relevant Party exercising its right ("Notice – Operational Agreements"), the New Investor may elect to sell all, but not less than all, of its Shares to CSN ("Put Option –
Operational Agreements"), at the Exercise Price per Share. Unless otherwise agreed by the Parties, the closing of the purchase and sale provided for in this Section shall take place in accordance with Section 10.3 above mutatis mutandis
and the aggregate Exercise Price per Share shall be paid in one single installment on the closing date of the purchase and sale of the Shares.

15.3 CSN acknowledges and agrees that the Put Option – Operational Agreements provided for in Section 15.2 above shall be enforceable against CSN during all times while the New Investor remains as a shareholder of the Company.  For the
avoidance of doubt, such put option rights shall not be affected by any event extinguishing or somehow changing the current relationship of the parties as shareholders of the Company, including, but without limitation, (i) the expiration of the term
or termination by any reason of this Shareholders’ Agreement, (ii) any Direct Transfer of Shares by CSN to the New Investor or to a third party, and 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(iii) any direct or indirect assignment of CSN’s rights under the Operational Agreements. 

15.3.1 CSN agrees that its obligation under Section 15.3 shall be reflected in a separate agreement as a condition of any Direct Transfer of Shares or assignment of its obligations under this Shareholders’ Agreement and/or Operational
Agreements by CSN to a third party.

15.4 For the purposes of determining "Fair Market Value", the following procedures shall apply: 

15.4.1 Within [•] days following the date of any of the notices referred to in Sections 10.1, 15.1 or 15.2 above, each of the Parties shall select one investment bank of international standing, which shall make an independent valuation of the
fair market value of the Company in US dollars amounts, based on the assumptions set forth in Section 15.4.2. Parties agree that they shall cause such independent valuations to be made up to [•] days following the date of the relevant notice
and shall submit such determination to the other Party.  If the valuations differ by an amount that is 10% (ten percent) or less of the higher valuation, then the fair market value shall be calculated by averaging the independent valuations of the 2
(two) investment banks. If any investment bank’s valuation exceeds that of the other by more than 10% (ten percent) of the higher valuation, the 2 (two) investment banks shall select a third investment bank, which shall make its own
independent valuation of the Company within [•] days following the date on which both initial valuations have been submitted to the Parties by the initial 2 (two) investment banks. In case the valuation prepared by the third investment bank
falls within the valuations prepared by the 2 (two) initial investment banks (i.e., the third valuation is greater than the lowest of the 2 (two) previous valuations and lesser than the greatest of such 2 (two) previous valuations), then the
valuation prepared by the third investment bank shall be considered the final fair market value of the Company. In case the valuation prepared by the third investment bank does not fall within the valuations prepared by the 2 (two) initial
investment banks, then the final fair market value of the Company shall be one of the valuations performed by the initial 2 (two) investment banks that most closely resemble the valuation prepared by the third investment bank. The Parties shall each
bear the costs and expenses associated with the investment bank they have engaged and shall share the costs of the third investment bank, as applicable.

15.4.2 Such valuations by the investment banks mentioned in Section 15.4.1 above shall be primarily based on the assumption of full and timely compliance by the Company with the Long-Term Business Plan and Mid-Term Business Plan of the Company
approved by the Parties, in effect at the time of applicable notice under Sections X or XV (except for such uncured or otherwise non-remedied delays and
non-compliances resulting from a breach by the Buyer of its obligations) and considering the then prevailing market conditions, including: 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(i) timely construction and completion of the high silica beneficiation plant, pellet plants and other facilities thereby considered, in accordance with the Long-Term Business Plan, Mid-Term Business Plan and the Annual Operating Budget,

(ii) timely purchase or lease of any and all relevant lands and assets, as well as the timely obtainment of any and all permits, licenses, consents, approvals, orders, waivers, authorizations, declarations, filings and other governmental approvals
required in connection with the facilities described in item (i) above, as applicable; and 

(iii) full compliance with the Operational Agreements, Amendment to Transportation Agreement and Shareholders’ Agreement by their relevant parties. For the avoidance of doubt, the Company's operational costs as described in certain Operational
Agreements should be considered as follows: (a) P1 shall be considered as cash expenses of the Company, which are incurred throughout the life of the applicable Operational Agreement and (b) P2 shall be considered as non-cash expenses of the
Company, which are incurred throughout the life of the applicable Operational Agreement and deducted from the advance payment amount under such Operational Agreement. 

15.4.3 For the avoidance of doubt, for the purposes of calculating the Fair Market Value of the Company under this Section 15.4, "full compliance" with Operational Agreements and Amendment to Transportation Agreement shall mean that all obligations
of the parties under such agreements shall be considered on a one hundred percent basis of the applicable contracted amounts (disregarding (i) any decrease of volume potentially allowed under such agreements and (ii) any Material Breach and its
potential adverse effects under such agreements). 

15.5 For the purposes of Section 15.2, "Material Breach" shall have the meaning ascribed to it in each of the following agreements: (i) [•]. 

SECTION XVI. NON-COMPETE AND REFERRALS 

16.1 The Parties hereto agree that each of the Parties (directly or through any entity that Controls, is Controlled by, or is under direct or indirect common Control with, such Party) may independently engage in the same type of business as the
Company. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

16.2 CSN hereby agrees that it shall not enter, directly or indirectly, into any agreements, arrangements or transactions in connection with purchases of iron ore ("Iron Ore Purchases"), except and to the extent that such Iron Ore Purchases do not impact or otherwise cause a reduction in the estimated Iron Ore Purchases of the Company, pursuant to the projections included in Exhibit 1.1 attached
hereto. For the purposes of clarification, but without limiting the generality of the foregoing, Iron Ore Purchases by CSN will not impact or otherwise reduce the estimated Iron Ore Purchases of the Company provided that the Company has the ability
to make Iron Ore Purchases in a volume equal to, at least, [•] up and until [•] and [•] thereafter. 

SECTION XVII. TERM 

17.1 The Parties (i) acknowledge that the investment of the New Investor into the Company is economically justified, among other aspects, by the existence of the Operational Agreements, entered into by CSN and the Company on the date hereof and (ii)
agree that this Shareholders' Agreement shall remain in full force and effect for an initial term corresponding to the term of such Operational Agreements, i.e., until [•]. This Shareholders’ Agreement shall be automatically renewed for
successive [•] periods unless the Parties mutually agree (based on relevant economic reasons) not to renew this Shareholders’ Agreement.

SECTION XVIII. NOTICES 

18.1 Any notice by any Party shall be prepared and delivered in English and addressed as follows:

I. COMPANHIA SIDERÚRGICA NACIONAL: 

 Avenida Brigadeiro Faria Lima, 3.400, 20th Floor

  04538-132, São Paulo, SP, Brazil 

  Telephone: (55 11) 3049-7505 

  Facsimile: (55 11) 3049-7140/7212 

  e-mail: juarez.saliba@csn.com.br 

  Att.:  Mr. Juarez Saliba de Avelar 

  With copy
  to: 

Mr. Fernando Quintana Merino 

Telephone: (55 11) 3049-7238 

Facsimile: (55 11) 3049-7140/7212 

e-mail: fernando.merino@csn.com.br 

II. BIG JUMP ENERGY PARTICIPAÇÕES S.A.: 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

Rua da Consolação, 247, 3rd Floor, Room 85A 

01031-903, São Paulo, SP, Brazil 

Telephone: (55 11) 3170-8509 

Facsimile: (55 11)3170-8549 

Att.: Chief Executive Officer 

III. NACIONAL MINÉRIOS S.A.: 

Alameda da Serra, 400, 9th Floor 

34.000 -000, Nova Lima, MG, Brazil 

Telephone: (55 31) 3269-1410 

Facsimile: (55 31)3269-1414 

e-mail: adherbal.rego@csn.com.br and ricardo.abramof@csn.com.br 

Att.: Mr. Ricardo Abramof and Mr. Adherbal Guimarães Rêgo 

IV. BRAZIL JAPAN IRON ORE CORPORATION: 

5-1, Kita-Aoyama 2-chome, Minato-ku 

Tokyo 107-8077, Japan 

Telephone: (81 3) 3497-3365 

Facsimile: (81 3)3497-3342 

e-mail: miyata-ya@itochu.co.jp 

Att.: Mr. Yasuhiro Miyata 

V. POSCO 

POSCO Iron Ore Procurement Group 

POSCO Center 23 F 

Daechi-4dong, Gangnam-gu, 

Seoul, 135-777, Korea 

Telephone: (82 2) 3457-0306 

Facsimile: (82 2) 3457-1908

e-mail: mdseo@posco.com

Att.:  Mr. Myung Deuk Seo / Group Leader 

18.2 Notices shall be deemed to have been delivered when sent with a return receipt or "aviso de recebimento" issued by the Empresa Brasileira de Correios e Telégrafos (Brazilian Official Post Office) to the above mentioned
addresses or, in case of facsimile transmissions or e-mail communication, when a confirmation of such transmission or confirmation receipt is obtained.  The original version of documents sent via facsimile or e-mail shall be sent to the above
mentioned addresses no later than 2 (two) business days after such transmission. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

SECTION XIX. MISCELLANEOUS 

19.1 No waiver by any Party of any term or provision of this Shareholders' Agreement or of any default hereunder shall affect such Party's rights thereafter to enforce such term or provision or to exercise any right or remedy in the event of any
other default, under the terms of applicable law.

19.2 The Parties undertake to fulfill and cause others to fulfill all obligations hereunder and acknowledge that any acts performed or measures taken by the Parties or third parties in violation of this Shareholders' Agreement or in breach of the
provisions hereunder are null and void among themselves, the Company and any third party. 

19.3 This Shareholders' Agreement shall be binding upon and shall inure to the benefit of the Company, the Parties and their respective successors and assigns and shall be enforceable by the Parties hereto and their respective successors. Unless
otherwise provided herein, or agreed upon all the Parties in writing, this Shareholders Agreement and all of its rights and obligations must not be assigned to any third party.

19.4 The obligations undertaken in this Shareholders' Agreement are irrevocable and unconditional. 

19.5 Copies of this Shareholders' Agreement shall be delivered to the managers (administradores) of the Company. The documents evidencing their assumption of office shall contain a representation pursuant to which they acknowledge the
provisions of this Shareholders' Agreement and undertake to comply with all obligations set forth herein, upon penalty of the sanctions provided for by applicable law. 

19.6 This Shareholders' Agreement is the entire agreement between the Parties hereto in connection with the subject hereof (unless otherwise provided herein) and supersedes, as of the date hereof, any other agreement, contract, promise, undertaking,
letter or any other form of agreement, communication or obligation, whether oral or written, by any Party (or any representative thereof) in respect of the matters covered in this Shareholders' Agreement (unless otherwise provided herein). 

19.7 This Shareholders' Agreement is subject to specific performance under the terms of purposes of article 118 of Law N. 6,404, of December 15, 1976, as amended, and shall be filed at the Company's head office.  The Company hereby
irrevocably agrees on its own behalf and on behalf of its successors of any kind to comply with this Shareholders' Agreement and therefore executes it as intervening party. The Nominative Shares Registry Book of the Company, on the margin of the
Shares registration, and the certificates representing the Shares, if issued, shall bear
the following text: "The shares held by [Name of Shareholder] are subject to the restrictions on transfer, voting arrangements, and other provisions set forth in a Shareholders’ Agreement dated [ ]. All transfers of such
shares shall be made in accordance with such Shareholders’ Agreement, otherwise shall be null and void". 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

19.8 The invalidity, in whole or in part, of any Section of this Shareholders' Agreement, shall not affect the other Sections, which shall continue to be valid and in effect until the remaining term of this Shareholders ́ Agreement. In the
event of any such invalidity, the Parties hereby undertake to negotiate, in the shortest period of time possible, in substitution for the invalidated clause, the inclusion in this Shareholders' Agreement of valid terms and conditions that reflect
the terms and conditions of the invalidated clause, taking into consideration the intention and the purpose of the Parties at the time of the negotiation of the invalidated clause and the context in which it appears. 

19.9 All rights and remedies of any Party hereto are cumulative of each other and of every other right or remedy such Party may otherwise have in law or in other agreements (including the Operational Agreements), and the exercise of one or more
rights or remedies shall not prejudice or impair the concurrent or subsequent exercise of other rights or remedies, except that in case of exercise of either put or call rights under Sections X and XV above, in which case it shall be the sole and
exclusive remedy for any breach related to such exercise. 

19.10 Each of the Parties hereto shall maintain the confidentiality of any information received from the other Party and/or the Company ("Confidential Information"), including, without limitation, all data and information obtained by
any of them pursuant to this Shareholders’ Agreement, except for any information which (i) at the time of disclosure, is public information, (ii) after disclosure, is published or otherwise becomes part of the public domain without any
violation of this Shareholders’ Agreement by the Parties, (iii) is received by the disclosing Party from a third party, provided that such third party, or any other party from whom such third party received such information, is not in breach
of any confidentiality obligation in respect of such information. In the event that any Party becomes legally obligated (whether by applicable law, court order or otherwise) to disclose any of the Confidential Information, such Party shall (a)
immediately notify the other Party of the existence, terms and circumstances in connection therewith, (b) to cooperate with the other Party in the event that any Party seeks a protective order or other appropriate remedy, (c) to furnish only that
portion of the Confidential Information which is legally required and (d) to exercise its reasonable efforts to obtain reliable assurances that confidential treatment will be accorded to the Confidential Information. The Parties hereby acknowledge
that each of them may disclose any Confidential Information, to the extent necessary and permitted by applicable law, to any of their respective direct or indirect shareholder, employee, officer, attorney, consultant, financial advisor, accountant
or other representative
thereof, in compliance with the provisions of this Section 19.10. Notwithstanding the foregoing, with regard to the Company, any Party may disclose certain financial information and other records, pertinent corporate documents and documents
relating to the business of any member of the Company, to the extent reasonably necessary, to any prospective purchaser of such Party’s Shares, and to any employee, officer, attorney, consultant, financial advisor, accountant or other
representative thereof, provided that such Party shall cause the prospective purchaser and employee, officer, attorney, accountant or other representative to enter into a confidentiality agreement in compliance with the provisions of this Section
19.10. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

19.11 Any dispute, controversy or claim arising out of or relating to this Shareholders' Agreement ("Dispute") will be solved by arbitration, in accordance with the following provisions:

(i) The Dispute will be finally settled under the Rules of Arbitration of the International Chamber of Commerce (the "ICC Rules") in force at the time the Dispute arises. 

(ii) Each Party shall appoint one arbitrator, and the 2 (two) party-appointed arbitrators shall designate a third arbitrator ("Arbitral Tribunal"). However, it is hereby agreed that if any Party fails to appoint its arbitrator, such
arbitrator shall be appointed by the Court of Arbitration of the International Chamber of Commerce (the "ICC Court"). In case the 2 (two) appointed arbitrators fail to appoint the third arbitrator within [•] days from the date of their
appointment, upon a written request of each of the parties, the ICC Court will appoint the third arbitrator.

(iii) The arbitration will be held in the City of São Paulo, Brazil.  The arbitration procedure will be held in English language and in accordance with the Brazilian Law. 

(iv) The Parties elect the courts of the City of São Paulo, State of São Paulo, exclusively for interim or conservatory measures, as provided for in the ICC rules. 

(v) The Arbitral Tribunal will render its final award within [•] months as of the beginning of the arbitration. This term may be extended for up to [•] by the Arbitral Tribunal, provided it is justified. 

(vi) Except for attorney’s fees, which shall be born individually by each Party, all expenses, costs and legal fees will be borne by one or both Parties as determined by the Arbitral Tribunal.

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(vii) The Parties shall keep the confidentiality of each and every information concerning the arbitration. 

(viii) All the Parties to the Agreement shall participate in any arbitration, joining the claimant or the defendant as the case may be. The Parties agree that any order, decision or determination of the Arbitral Tribunal shall be definitely binding.

IN WITNESS WHEREOF, the Parties hereto, together with the intervening parties, have caused this Shareholders' Agreement to be duly signed in 3 (three) counterparts, each of which shall be deemed to be an original, but all of which together shall
constitute the same agreement, binding upon the Parties and the intervening parties and their respective heirs and successors in the presence of the 2 (two) witnesses below. 

São Paulo, [•], 2008 

[SIGNATURES ON THE NEXT PAGES] 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONALProvided by MZ Data Products

Table of Contents

HIGH SILICA ROM IRON ORE SUPPLY CONTRACT 

By means of this private legal instrument, on the one hand, in its capacity as buyer, 

NACIONAL MINÉRIOS S/A, a joint stock corporation organized and existing under Brazilian law, with its head office located in the City of Congonhas, State of Minas Gerais, Federal Republic of Brazil, at the address known as
“Logradouro Casa de Pedra”, s/n (unnumbered), Part, enrolled with the General Registry of Corporate Taxpayers of the Brazilian Ministry of Finance (CNPJ/MF) under No. 08.446.702/0001 -05 (and its successors, hereinafter referred to
as “BUYER”), 

and, on the other hand, in its capacity as seller, 

COMPANHIA SIDERÚRGICA NACIONAL, a joint stock corporation organized and existing under Brazilian law, with its head office located in the City of Rio de Janeiro, State of Rio de Janeiro, at Rua São José No. 20, Suite
1,602, Part, enrolled with the CNPJ/MF under No. 33.042.730/0001 -04 (hereinafter referred to as “SELLER”), 

(BUYER and SELLER are individually identified as “Party” and jointly as “Parties”). 

and, as intervening parties: 

BIG JUMP ENERGY PARTICIPAÇÕES S.A., a corporation organized and existing under Brazilian law, with its head offices located in the City of São Paulo, State of São Paulo, at Rua da Consolação, 247,
3rd Floor, Room 85A, enrolled with the CNPJ/MF under No. 09.431.882/0001 -14, herein represented in accordance with its by-laws (and its successors, hereinafter referred to as the “Brazilian SPC”); 

BRAZIL JAPAN IRON ORE CORPORATION, a company duly organized and existing under the laws of Japan, with its head office located at 5-1, Kita-Aoyama 2-chome, Minato-ku, Tokyo 107-8077, Japan, herein represented in accordance with its by-laws
(hereinafter referred to as the “Japanese SPC”); 

POSCO, a company duly incorporated and validly existing under the laws of Korea, with head offices at 892 Daechi 4-dong Kangnam-gu, Seoul, 135-777, Korea, herein represented in accordance with its by-laws (“Posco”); 

(the Brazilian SPC, the Japanese SPC and Posco are collectively hereinafter referred to as the “Intervening Parties”); 

RECITALS 

WHEREAS: 

(A) SELLER owns mining rights that assure it the operation of the iron ore mine known as the “Casa de Pedra Mine”, located in the City of Congonhas, State of Minas Gerais (hereinafter referred to as the “Casa de Pedra
Mine”); 

(B) BUYER produces and sells iron ore and intends to acquire crushed iron ore with high silica SiO2) content on a run-of-mine (ROM) basis from SELLER;

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(C) SELLER intends to supply BUYER with crushed iron ore with high silica (SiO2) content obtained from the Casa de Pedra Mine and BUYER intends to acquire such iron ore from SELLER; 

(D) the Parties simultaneously execute (i) a Low Silica ROM Iron Ore Supply Contract, (ii) an Iron Ore Supply Contract and Other Covenants (Tailing Dam Rejects), (iii) a Port Operating Services Agreement; and (iv) a Support Agreement (solely
in relation to Clause 2 thereof) (all such agreements, including this High Silica ROM Iron Ore Supply Contract, but excluding the Iron Ore Supply Contract and Other Covenants (Tailing Dam Rejects), the “Related Contracts”);
and 

(E) the performance of each Related Contract will be considered part of the performance of a more comprehensive transaction between the Parties, which encompasses the supply of iron ore, railway transport of iron ore, port operating services
and other transactions, as reflected in such Related Contracts and other arrangements and documents executed between the Parties. 

The Parties hereby sign and execute this Iron Ore Supply Contract (the “Contract”), which shall be governed by the following clauses and conditions: 

CLAUSE ONE – SCOPE 

1.1. The scope of this Contract is the supply by SELLER to BUYER of crushed iron ore run-of-mine (ROM) from the Casa de Pedra Mine, with high silica (SiO2) content and such other chemical and physical properties as set forth in Attachment I hereto (the “Product”), free of any encumbrance, charges, debts or doubts, with due regard to the other clauses of this Contract. 

CLAUSE TWO – TERM, QUANTITIES AND CONDITIONS FOR SUPPLY 

2.1. Term of Supply. The Product shall be supplied for [•]1 Mining Years, beginning in the Mining Year in which the SELLER effectively starts the supply of Product to BUYER, which shall occur when the
beneficiation plant of BUYER starts to operate (the “Beneficiation Plant”) (originally expected to occur in the Mining Year of [•]). For the intents and purposes of this Contract, “Mining Year” shall
mean the period of 12 (twelve) months beginning on April 1st of a calendar year and ending on March 31st of the immediately subsequent calendar year, except for the first Mining Year, which shall start on the date the
Beneficiation Plant of BUYER starts to operate. 

2.1.1. Extension. In case there are any quantities of Products outstanding as of the end of the [•] Mining Year of this Contract, the term shall be automatically extended for as much time as necessary for the supply of such
outstanding quantities, subject to all terms and conditions hereof. In case the term of this Contract is extended according to this Clause 2.1.1, the maximum Basic Annual Quantities applicable to all subsequent Mining Years shall be [•] wet
metric tons of Product.

2.2. Contractual Quantity and Basic Annual Quantities. Without prejudice to the provision contained in Clause 2.2.1 below, SELLER undertakes to make available to BUYER in each Mining Year the quantity of Product indicated in the
respective column of Attachment II hereto (with such quantity of Product being hereinafter referred to as the “Basic Annual Quantity” and the sum of the Basic Annual Quantities as the “Contractual Quantity”). 

_________________

1 Text marked as [•] denotes CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

2.2.1. Notwithstanding the provision contained in Clauses 2.2 and 2.1.1. above, BUYER may acquire, at BUYER’s sole discretion, in each Mining Year, a quantity of Product that ranges from [•] to [•]% [•] of the Basic Annual
Quantity set forth for the Mining Year in question (“Nominated Annual Quantity”), provided that: 

(a) the total quantity of Product to be supplied under this Contract shall never exceed the Contractual Quantity;

(b) if BUYER, in a certain Mining Year, for any reason whatsoever, acquires a quantity of Product lower than the Basic Annual Quantity applicable to such Mining Year, BUYER shall have the right to carry over the difference between the Basic
Annual Quantity and the actual quantity of Product supplied to BUYER in such Mining Year (the “Carry-Over Amount”) for the subsequent Mining Years; provided that, in any given Mining Year, the effective quantities of Product
to be supplied, including any Carry-Over Amounts, shall not be greater than [•]% [•] of the Basic Annual Quantity for the relevant Mining Year; and 

(c) the acquisition by BUYER of amounts below the Basic Annual Quantity shall not be considered as a BUYER’s Default (as defined in Clause 10.4 below). 

2.3. Monthly Quantity. SELLER undertakes to make available to BUYER in each month of a Mining Year, the quantity of Product indicated in the respective column of Attachment II hereto (with such quantity of Product being
hereinafter referred to as the “Monthly Quantity”), provided, however, that BUYER may, without prejudice to the provision contained in Clause 2.2 above, acquire, and SELLER shall supply in such case, in each month of a
Mining Year a quantity of Product that is up to [•]% [•] greater than the Monthly Quantity, and BUYER shall nominate such additional quantity in the quarterly nomination, as provided in Clause 2.5.2. 

2.4. Quantities Exceeding Threshold. If, for any reason whatsoever, BUYER requires more than [•]% of the Monthly Quantity or Basic Annual Quantity during, respectively, each month of the term of this Contract or each Mining
Year, BUYER and SELLER shall discuss in good faith such additional Product requirement. 

2.5. Nomination Procedure. The quantity of Product to be supplied by SELLER to BUYER under this Contract during the term hereof shall be determined as follows: 

2.5.1. BUYER shall inform by written notice to SELLER the Nominated Annual Quantity and an estimate of the Monthly Quantities to be supplied under this Contract in each Mining Year, determined in accordance with BUYER's annual budget, subject
to Clauses 2.2, 2.3 and 2.4 above, by October 31 of the preceding Mining Year. Unless the Nominated Annual Quantity informed by BUYER is not in accordance with Clauses 2.2, 2.3 and 2.4 above, such Nominated Annual Quantity shall be the quantity of
Product established for the relevant Mining Year. For the avoidance of doubt, the acquisition by BUYER of amounts below the Nominated Annual Quantity shall not be considered as BUYER’s Default (as defined in Clause 10.4 below). 

2.5.2. At least [•] days before the commencement of each quarter of each Mining Year, BUYER shall deliver to SELLER a nomination of the Monthly Quantity(ies) (hereinafter referred to as the “Nominated Monthly
Quantity”). SELLER undertakes to make available to BUYER in each month of a Mining Year, but BUYER shall not in any event be obligated to take delivery of, the quantity of the Nominated Monthly Quantity. For the avoidance of doubt, the
acquisition by BUYER of amounts below the Nominated Monthly Quantities shall not be considered as BUYER’s Default (as defined in Clause 10.4 below). 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

2.6. Quantities Effectively Supplied. The quantities of Product effectively supplied under this Contract shall be determined based on the weighing of each Batch (as defined below) of Product supplied, to be carried out in
accordance with the criteria and other procedures set forth in Attachment III hereto, and shall be based on the weighing certificates provided under the terms of said Attachment III hereto. For the purposes of this
Contract, the term “Batch” means the quantity of Product effectively supplied during the period encompassed between the first and last day of a determined month, as indicated on the weighing certificates provided. 

2.7. Place of Delivery, Transfer of Ownership and Quantities not Received. SELLER shall deliver Product at NAMISA’s stockyard located near the Beneficiation Plant, to be implemented in an area belonging to NAMISA, around
the Casa de Pedra Mine, for production of pellet feed type iron ore. Title to and risks related to the Product shall be transferred from SELLER to BUYER upon such delivery. 

2.7.1. Whenever BUYER fails to withdraw any quantity of Product effectively delivered pursuant to Clause 2.7 above and, as a result of such failure, the storage capacity of such stockyard becomes full, SELLER may suspend any further supply of
the Product. SELLER shall resume supply of the Product within 24 (twenty four) hours following the effective date on which BUYER resumes withdrawal of Product.

2.8. Chain of Contracts. The Parties acknowledge and agree that this Contract jointly with the other Related Contracts form a chain of contracts, so that the performance of the obligations arising out of this Contract may
(i) depend on the due performance of the obligations of the Parties under the other Related Contracts and/or (ii) may affect the performance of the obligations of the Parties under the other Related Contracts.

2.8.1. In case the performance of any obligations under this Contract is prevented or becomes unfeasible or uneconomical due to the non-performance of the obligations of either Party under any other Related Contract (the “Affected
Contracts”), the Parties shall be subject to the following provisions:

(i) in case the failure to perform any Related Contract is attributable to either Party hereto, such Party shall also be liable for the non-performance of this Contract if and to the extent that this Contract is an Affected Contract; 

(ii) in case of any failure to perform any Related Contract due to a Force Majeure Event, as defined in any such Related Contract,  the non-performance hereof shall also be deemed to have occurred under a Force Majeure Event if and to the extent
such failure prevents the performance of this Contract.

2.9. Communication between SELLER and BUYER. The Parties undertake to keep close and frequent communication throughout the term of this Contract aiming at the achievement of the performance of their obligations under this
Contract, as follows: 

2.9.1 Monthly Meetings. Each Party shall indicate by written notice to the other Party, no later than 30 (thirty) days of the date of signature of this Contract, a committee of three or four officers and/or employees in
charge of representing that Party in the management of the day-to-day operations under the Contract (the “Representation Committee”). The Representation Committee of each Party shall convene on a monthly basis, on a date to be
agreed upon by the Parties through mutual discussion in good faith to discuss and define any issues related to the operations under this Contract and the Parties’ performance of their obligations hereunder, such as: 

- Planning and nomination of Quantity to be supplied by SELLER in the next month; 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

- Review of the actual performance and quality of the supply of the Product for the immediately preceding month; 

- Reconciliation of Actual vs Budget for the operation of the month; and 

- Discuss and agree in good faith any counter-measures (but in
any event without prejudice to any provision in this Contract) that shall be taken by each Party, as applicable, for any non-conformity, quality deviations or nonperformance of the Parties’ obligations under this Contract. 

2.9.2 Yearly Meetings. The Representation Committee of the Parties shall annually convene on a date to be mutually agreed by the Parties in each Mining Year to discuss the operations and performance of the Parties’
obligations under this Contract for the preceding Mining Year, as well as issues such as: 

- Planning for next Mining Year;

- Review the actual performance and quality of the supply of the Product for the previous Mining Year; 

- Reconciliation of Actual vs Budget for the operation of the Mining Year; and 

- Discuss and agree in good faith any counter-measures that shall
be taken by each Party, as applicable, for any non-conformity, quality deviations or nonperformance of the Parties’ obligations under this Contract. 

2.9.3. Third Parties’ Attendance. The Brazilian SPC may appoint representatives being entitled to attend the Yearly and/or Monthly Meetings provided in Clause 2.9.1 and 2.9.2 at its sole discretion. 

2.9.4. Day-to-day Communication. Further to the above, the Parties shall keep, through any of the members of the Representation Committee, close daily communication in connection with the operations of this Contract. 

2.10. Access to SELLER’s Daily Operations under this Contract. BUYER and the Brazilian SPC will be entitled to access and supervise SELLER’s daily operations under this Contract, through a representative
indicated by BUYER, including but not limited to quality control procedures, such as weighing, sampling and analysis, among others, and related operations at Casa de Pedra Mine. SELLER will endeavor its best efforts to provide such clarification or
information requests which may be submitted by BUYER as a result thereof. 

CLAUSE THREE – PRODUCT QUALITY 

3.1. Quality of the Product Supplied. The Parties hereby acknowledge and agree that all the characteristics set out in Attachment I hereto as guaranteed specifications (the “Guaranteed
Specifications”) are mandatory and guaranteed by SELLER. The quality of the Product supplied shall be determined based on sampling and analysis to be carried out on each Batch in accordance with the criteria and other procedures set out
in Attachment III hereto. 

3.1.1. Quality Report. SELLER shall verify and report in writing to BUYER, on both a weekly and monthly basis, the average quality of the Product supplied to BUYER at the immediately previous week and month,
respectively, based on the model quality control sheet included in Attachment V hereto. 

 3.1.1.1. Weekly Basis. If the actual average quality of the Product during the period between the first and last day of a determined week is lower than the Guaranteed Specifications, SELLER shall provide, jointly with
the model quality control sheet, the background reason for
such Product not satisfying the Guaranteed Specifications. In such case, BUYER shall be entitled to further request SELLER to take countermeasures to improve the quality of the Product for the next weeks, and such issue shall be discussed at the
next Monthly Meeting, as provided in Clause 2.9.1 above.  

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

3.1.1.2. Monthly Basis. If the actual average quality of the Product during the period between the first and last day of a determined month is lower than the Guaranteed Specifications, BUYER shall be entitled to further request
SELLER to take countermeasures required for quality improvement, and SELLER shall explain the background reasons for such Product not satisfying the Guaranteed Specifications and propose suitable countermeasures at the next Monthly Meeting, as
provided in Clause 2.9.1 above.  

3.1.2. Target Specifications. The target specifications described in Attachment I hereto shall be used to calculate the Penalty / Bonus Component described in the formula set forth in Clause 4.1 below (the
“Target Specifications”). 

3.1.3. Rejection Level. In case any “Pile” (a certain quantity of Product mandatorily ranging from [•] to [•] wet metric tons, except as otherwise agreed by the Parties) pertaining to any Batch
falls under the rejection level set forth in Attachment I hereto, BUYER shall have the right to reject such Pile. Within one week counted from the day on which SELLER is made aware of any rejection, in case SELLER does not take any
countermeasures to correct the quality of the Products of any rejected Pile, SELLER shall have such rejected Pile replaced with a new Pile of Product in the same quantity which shall satisfy chemical and physical specifications which shall be at
least higher than the rejection level described in Attachment I hereto.

3.1.4. Additional Expenses of BUYER. In the event that BUYER incurs additional expenses and/or actual damages due to admixture of foreign material(s) and/or different products of iron ore and/or Product which size exceeds the
guaranteed limit, as defined in Attachment I, SELLER shall, notwithstanding anything to the contrary as contained herein, compensate BUYER for such additional expenses and/or actual damages within 90 (ninety) days. 

CLAUSE FOUR – UNIT PRICE  

4.1. Unit Price. The price per wet metric ton (wmt) of Product supplied shall be – according to the conditions for delivery set out in Clause 2.7 above - determined on the basis of the quantities and quality (content of
iron or “Fe”) of each Batch, based on the following formula (the price, per wet metric ton (wmt), resulting from application of the cited formula, the “Unit Price”): 

	PU = P1 + P2 + P3 

Where: 

PU = means Unit Price for a determined month of supply; 

P1 = Y + [Penalty / Bonus Component] (cash component of the Product price) 

Y = means, as of April 1st, 2008, the equivalent in Brazilian currency of US$[•] (two US Dollars and fifty cents), it being certain that such amount shall be readjusted, at the beginning of each Mining Year, based on the
same percentage readjustment as iron ore fines of the type known as [•], as produced by the [•] (hereinafter referred to as “[•]”) and aimed for shipment through the Port of Tubarão to Japan (such ore being
hereinafter referred to as the “Reference Ore”), as disclosed (by order): 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(i) in the Tex Report, as published by the Tex Report, Ltd. (or successor thereto); 

(ii) if the Tex Report, for any reason, is no longer available or does not any longer disclose the Reference Ore, the Metal Bulletin, published by Metal Bulletin, plc (or successor thereto); or 

(iii) if the Metal Bulletin, for any reason, is no longer available or does not any longer disclose the price of the Reference Ore, then the [•] website or any other [•] publication. 

Notwithstanding the provisions above, if, upon commencement of a Mining Year, the percentage readjustment applicable to the Reference Ore is not available and no other readjustment has been agreed between the Parties in view of the conditions of the
international iron ore market, the “Y” applicable to the supplies to be carried out in the Mining Year that is about to begin shall temporarily be the “Y” then in effect until such time as the percentage readjustment applicable
to the Reference Ore is known or determined. As soon as the percentage readjustment applicable to the Reference Ore is known or determined, the new “Y” shall be determined in accordance with the provisions contained in this Clause, with
retroactive effects to the beginning of the Mining Year in question, with any eventual differences (either upwards or downwards) resulting from temporary use of the “Y” then in effect in the formula for determination of the Unit Price
being agreed between the Parties within a period of 30 (thirty) days counting from the date on which the new “Y” has been disclosed and communicated in writing by SELLER to BUYER. 

In the event the Reference Ore should no longer be produced or sold, the Parties shall promptly replace it, for purposes of readjusting “Y”, with such product that succeeds Reference Ore or with such other type of iron ore that is
representative on the international iron ore market that is agreed to by the Parties. 

For purposes of translating the “Y” into Brazilian currency, SELLER shall use the average of quotations for sale of the United States Dollar as disclosed by the Brazilian Central Bank (BACEN) by means of transaction PTAX 0800, option 5 (or
such transaction as may replace same on the BACEN System - SISBACEN), in the month prior to that for issuance of the invoice relating to the supply of the Product, and shall take “Y” to 2 (two) decimal places after rounding off.
“PTAX” means the ask rate which means the Brazilian Reais’ bid and Dollar’s ask rate, expressed as the amount of Brazilian Reais per one Dollar, published by the Brazilian Central Bank on SISBACEN Data System under
transaction code PTAX-800, Option 5, "Venda" by approximately 6:00 p.m., São Paulo time. 

Penalty / Bonus Component = (Fe% - Fe% Target Specifications) * US$[•]/wmtu wmtu = [•]% of Fe Content of each wmt (=[•]kg of Fe content in wmt);

Fe% = means the actual average iron content of QL in a determined month; 

QL = means the quantity of the Batch effectively supplied to BUYER in a determined month, as indicated on the weighing certificates issued in the manner set forth in Attachment III hereto; 

Fe % Target Specifications = means the applicable iron content of Fe set forth in Attachment I hereto; 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

P2 = means the amount in Brazilian Reais equivalent to US$ [•], an amount that is fixed and non-adjustable for the entire period that this Contract remains in effect (non-cash amount of the Product
price); and 

 For purposes of translating the P2 into Brazilian currency, SELLER shall use PTAX applicable at the close of the business of the day that is 2 (two) Business Days (as defined in Clause 5.1.1 below) prior to the relevant calculation date, which relevant calculation date for the purpose of the payment of the Advance Payment shall
mean the date on which such payment effectively occurs. If no PTAX value is available on such date, PTAX value on the date shall be replaced by the exchange rate freely practiced in the financial market. 

P3= means the amount that is non-adjustable equivalent in Brazilian currency (Reais) to US$ [•] from the beginning of the supply of Product under this Contract, up to the end of the [•] Mining Year
thereafter, and, the equivalent in Brazilian currency (Reais) to US$ [•] from such date onwards.

  For purposes of translating the P3 into Brazilian currency, SELLER shall use the average of quotations for sale of the United States Dollar as disclosed by the Brazilian Central Bank (BACEN) by means of transaction PTAX 0800, option 5 (or such transaction as may replace same on the BACEN System - SISBACEN), in the month prior to
that for issuance of the invoice relating to the supply of the Product, and shall >take P3 to 2 (two) decimal places after rounding off. 

4.2. Taxes. The Parties acknowledge and agree that the amounts attributed to “P1”, “P2” and “P3” in Clause 4.1 above do not include taxes of any kind levied on the Product and/or on the supply of the Product (subject to Clauses 8.2, 8.3 and 8.4, as and if applicable), such as the Federal Social Integration Program – PIS, the Social Security
Finance – COFINS contributions and the State Value-Added Tax on Circulation of Goods and Services – ICMS. The taxes currently imposed on the Product and/or on the supply of the Product as well as the formula for the addition of those
taxes, if applicable, to the Unit Price are disclosed in Attachment VI hereto. 

CLAUSE FIVE – ADVANCE PAYMENT 

5.1. Advance Payment. On the date agreed by the Parties but not later than 90 (ninety) days from the date of execution of this Contract, BUYER shall make available to SELLER, in advance, on account of the Product to be supplied
by BUYER under this Contract, the amount in Brazilian Reais corresponding to US$ [•] (hereinafter referred to as the “Advance Payment”), which amount corresponds to the sum of each one of the results of multiplication (a)
of each Monthly Quantity set forth in Attachment II hereto (for each one of the months of each Mining Year) by, (b) US$ [•], adjusted to present value through the signing date of this Contract based on a discount rate of [•]%
per annum.

5.1.1 The conversion of amounts in Dollars into Brazilian Reais, under this Contract, shall use PTAX applicable at the close of the business of the day that is 2 (two) Business Days (as defined below) prior to the relevant calculation date,
which relevant calculation date for the purpose of the payment of the Advance Payment shall mean the date on which such payment effectively occurs. If no PTAX value is available on such date, PTAX value on the date shall be replaced by the exchange
rate freely practiced in the financial market.

 “Business Day” means any day (excluding Saturdays and Sundays) on which commercial banks generally are open for the transactions of normal banking business (i) in the City of São Paulo,
Brazil, (ii) in the City of New York, United States of America, (iii) in the City of Tokyo, Japan and (iv) in the City of Seoul, South Korea. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

5.1.2. The Advance Payment shall be made by means of available electronic transfer (TED - “transferência eletrônica disponível”) of funds to SELLER’s current account indicated in Attachment IV
hereto (or to such other account as may be notified by SELLER to BUYER under the terms of this Contract). 

5.2. Deduction of the Advance Payment upon Supply of each Batch of Product. At the end of each month of supply, SELLER shall automatically deduct from the balance of SELLER’s debt to BUYER in relation to the Advance Payment
a fixed and non-adjustable amount corresponding to the portion of the Advance Payment attributable to the Batch of Product supplied in such month, which amount is equivalent to: 

(a)P2(as defined in Clause 4.1 above); 

(b) multiplied by QL (as defined in Clause 4.1 above). 

5.3. Updating of SELLER’s Debt to BUYER in relation to the Advance Payment. The balance of SELLER’s debt to BUYER in relation to the Advance Payment shall be subject to the levying of interest charges, determined on
the basis of an interest rate of [•]% per annum, calculated on a monthly pro rata basis.  

5.3.1. The interest charges provided in Clause 5.3 above shall be computed through the end of each month (or fraction thereof), as from the date for making the Advance Payment and through the termination or expiration of this Contract, based
on the balance of SELLER’s debt to BUYER in relation to the Advance Payment on such date, after the deduction dealt with in Clause 5.2 above. Such interest charges, after being calculated, are to be treated in the following manner:

(a) [•] of the amount corresponding to the interest charges shall be added to the balance of the cited SELLER’s debt at the end of each Mining Year;

(b) [•] of the amount corresponding to the interest charges shall be paid by SELLER to BUYER on the second Working Day of the month subsequent to the one in question, by means of available electronic transfer (TED -
“transferência eletrônica disponível”) of funds to SELLER’s current account indicated in Attachment IV hereto. For the purposes of this Contract, the term “Working Day” means any day
except Saturdays, Sundays and holidays on which banks are not authorized to open for business in the City of São Paulo, State of São Paulo; and 

(c) the Parties shall redefine the proportion of interest charges provided in items (a) and (b) above in case of creation or alteration of taxes in order to maintain the financial balance of the date of execution hereof. 

5.4. Every [•] years as from the commencement of the Products supply under this Contract, the Parties shall negotiate in good faith an increase of P2, as defined in Clause 4.1 above, which (i) shall never result in a total PU that is higher than the market price for the Product, and (ii) shall not result in any tax adverse effect for either Party. If the Parties fail to reach an agreement as to such increase, the then current P2shall not be varied.

CLAUSE SIX – BILLING AND PAYMENT 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

6.1. Issuance of Invoices. On the last day of each month, SELLER shall issue an invoice (“NFF”) for each Batch of Product supplied and submit such NFF to BUYER within no more than 3 (three) Working Days from the
issue date, with due regard to the provisions of this Clause and Applicable Law. 

6.1.1. The NFFs shall be issued to BUYER based on the weighing certificates provided in the manner set forth in Attachment III hereto in relation to each Batch of Product supplied. Each NFF is to reflect (a) the value of the Batch of
Product supplied, in view of the Unit Price and the quantity of the Batch, (b) the portion of the Advance Payment attributable to the Batch of Product supplied, calculated in the manner provided by Clause 5.2 above and for the purposes set forth in
such Clause, and (c) the balance to pay. 

6.2. Payment Term of the NFFs. The NFFs are to be paid by BUYER within a period of no more than 30 (thirty) days counting from the date of BUYER’s receipt of original NFF, without any financial compensation or inflation
adjustment being due for such payment term. 

6.2.1. In the event any NFF contains any irregularity, in BUYER’s opinion, BUYER shall return it to SELLER within a period of no more than 5 (five) Working Days from receipt thereof, with SELLER being responsible for remedying such irregularity and resubmitting it to BUYER within a period of no more than 5 (five) Working Days. 

6.2.2. In case there is any disagreement between the Parties in relation to any NFF received by BUYER, such disagreement shall be resolved in a period of no more than 30 (thirty) days counting from the date such disagreement is notified by
any Party to the other, with any adjustments (either upwards or downwards) in the value of the NFF in relation to which there has been a disagreement being reflected in the immediately subsequent NFF or, if there are none, paid within the same
deadline established in accordance with Clause 6.2 above, counting from the date on which such adjustments have been determined and agreed by the Parties. 

6.2.3. BUYER shall issue a debit note for such sums as SELLER expressly recognizes as being owed to BUYER under this Contract, with full offset of such amounts as are due to BUYER, at the latter’s discretion, against amounts that BUYER
has to pay to SELLER. In the event it is not possible or advisable to carry out the offset set forth in this Clause, the debit note shall be paid by SELLER within the same deadline established under Clause 6.2 above counting from the issue day of
such debit note. 

6.3. Manner of Payment. Any payment due by BUYER to SELLER shall be made by means of available electronic transfer (TED - “transferência eletrônica disponível”) of funds to SELLER’s
current account indicated in Attachment IV hereto (or to such other account as may be notified by SELLER to BUYER under the terms of this Contract), with the transfer voucher slip serving as proof of payment and discharge of the respective
obligation. Any payment due by SELLER to BUYER shall also be carried out through the TED system for transferring funds to BUYER’s current account indicated in Attachment IV hereto (or to such other account as may be notified by BUYER to
SELLER under the terms of this Contract), with the transfer voucher slip serving as proof of payment and discharge of the respective obligation. 

6.4. Late Payment Charges. In the event any delay should occur with respect to payment of amounts due under this Contract by one Party to the other, the amount due and not paid shall be monetarily restated based on the variation
in the Reference Rate – TR (or other such index as may replace the latter), plus late payment interest of 1% (one per cent) per month, calculated on a pro rata basis between the due date and the date of effective payment, with no other
type of increase being due. 

CLAUSE SEVEN – REPRESENTATIONS OF THE PARTIES 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

7.1. Representations of SELLER. SELLER hereby declares to BUYER, as of the signing date below and on the date of each supply of the Product, assuming responsibility for the correctness and truthfulness and completeness of such
representations, that: 

(a) it is a duly organized and validly established public joint stock corporation under the laws of Brazil and that it has full legal capacity to own and operate its facilities and conduct its business as conducted at present, and is duly
qualified to supply the Product to BUYER under the terms of this Contract; 

(b) it has obtained all the corporate or similar authorizations required to sign this Contract and to comply with the obligations attributed to it hereunder; 

(c) this Contract has been duly and validly executed and delivered by SELLER and constitutes a legal, valid and binding obligation insofar as SELLER is concerned and is enforceable against it on the terms hereof;

(d) it is not insolvent, under court protection from creditors, extrajudicial or judicial recovery, and it is neither impeded from paying its obligations and nor has it been declared bankrupt; 

(e) neither the execution and delivery of this Contract nor the consummation of the transactions and performance of the terms and conditions of this Contract by SELLER will (i) result in a violation or breach of or default under any provision
of the by-laws of SELLER; (ii) will result in a violation or breach of or default under any provision of any agreement, indenture or other instrument under which SELLER is bound; or (iii) violate any constitution, statute, law, regulation, rule,
ruling, charge, order, writ, injunction, judgment or decree (“Applicable Law”) of or by any federal, national, state, municipal, local or similar government, governmental, regulatory, administrative or tax authority, agency or
commission or any court, tribunal, or judicial or arbitral body (“Governmental Authority”), which may negatively affect or prevent the performance of its obligations hereunder or under the other Related Contracts; 

(f) it has good, valid and marketable title to, valid and subsisting leasehold or acquisition interests in or to, or valid, binding and enforceable rights to the Casa de Pedra Mine, and will have and keep good, valid and marketable title to,
valid and subsisting leasehold or acquisition interests in or to, or valid, binding and enforceable rights to the Crushing Units and to TCLD, and other relevant assets and rights required for the performance hereof (“Assets”); 

(g) all Assets are (i) in good operating condition and repair, and are adequate for the uses to which they are being put and (ii) sufficient for the performance of the obligations of SELLER hereunder;

(h) it is not a party and will not enter into any agreement, arrangement, transaction, lease, license, note, mortgage, indenture, contract and other contractual rights and obligations, whether written or oral which negatively affect or
prevent the performance of its obligations hereunder; 

(i) it has been and will continue to be in full compliance with all Applicable Law related to the performance of this Contract, including without limitation those regarding tax, environmental, labor and social security matters; 

(j) it has obtained and will keep all licenses, permits and authorizations required for its operation and the performance of this Contract; and 

(k) there is no court or administrative litigation, action, suit, proceeding, condemnation, investigation, claim, audit, order, decision, decree, writ, judgment, injunction, determination or
award or any arbitration proceeding that may prevent, limit or affect SELLER’s ability to perform any of its obligations under this Contract. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

7.2. Representations of BUYER. BUYER hereby declares to SELLER, as of the signing date below and on the date of each supply of the Product, assuming responsibility for the correctness and truthfulness of such representations,
that: 

(a) it is a duly organized and validly established joint stock corporation under the laws of Brazil and that it has full legal capacity to own and operate its facilities and conduct its business as conducted at present, and is duly qualified
to acquire the SELLER’s Product under the terms of this Contract; 

(b) it has obtained all the corporate or similar authorizations required to sign this Contract and to comply with the obligations attributed to it hereunder; 

(c) this Contract has been duly and validly executed and delivered by BUYER and constitutes a legal, valid and binding obligation insofar as BUYER is concerned and is enforceable against it on the terms hereof; 

(d) it is not insolvent, under court protection from creditors, extrajudicial or judicial recovery, and it is neither impeded from paying its obligations and nor has it been declared bankrupt; 

(e) neither the execution and delivery of this Contract nor the consummation of the transactions and performance of the terms and conditions of this Contract by BUYER will (i) result in a violation or breach of or default under any provision
of the by-laws of BUYER; (ii) will result in a violation or breach of or default under any provision of any agreement, indenture or other instrument under which BUYER is bound; or (iii) violate any Applicable Law of or by any Governmental Authority
which may negatively affect or prevent the performance of its obligations hereunder; 

(f) it has been and will continue to be in full compliance with all Applicable Law related to the performance of this Contract, including without limitation those regarding tax, environmental, labor and social security matters; 

(g) it has obtained and will keep all licenses, permits and authorizations required for its operation and the performance of this Contract; and 

(h) there is no court or administrative litigation, action, suit, proceeding, condemnation, investigation, claim, audit, order, decision, decree, writ, judgment, injunction, determination or award or any arbitration proceeding that may
prevent, limit or affect BUYER’s ability to perform any of its obligations under this Contract. 

CLAUSE EIGHT – EFFECTIVE TERM 

8.1. This Contract shall take effect on the signing date below, except, however, that the supply of the Product shall begin on the date set out in Clause 2.1 above. This Contract shall be terminated (a) upon expiration of the
term set forth in Clause 2.1 above or (b) in the manner provided by Clause 10 below, whichever occurs first. 

8.2. The Parties acknowledge and agree that BUYER shall be registered with the Brazilian Revenue Service (Secretaria da Receita Federal do Brasil) as a preponderantly exporting company (empresa preponderantemente exportadora),
to obtain the benefit of the incentive tax regime addressed to Brazilian exporters for the suspension of the imposition of the PIS and COFINS
Contributions under Law 10,865 dated April 30, 2004. BUYER shall use its best efforts to obtain registration as a preponderantly exporting company within 6 (six) months as from the execution of this Contract or before the commencement of Product
supply hereunder, whatever occurs later. 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

8.2.1. If BUYER fails to obtain registration as a preponderantly exporting company, or if at any time during the term of this Contract PIS and COFINS Contributions are imposed on the supply of Products under this Contract, the Parties agree
that the cost of PIS and COFINS Contributions shall be added to the Unit Price in accordance with Clause 4.2 above and Attachment VI hereto, and BUYER shall use, to the extent possible, the tax credits related to the imposition of PIS and
COFINS contributions on the supply of Products hereunder for each monthly supply of Products to set-off against BUYER’s federal tax liabilities related to the Brazilian Corporate Income Taxes or other federal taxes, within 12 (twelve) months
counted from such monthly supply of Products.

8.2.2. If during such 12 (twelve) month term BUYER does not fully set-off the PIS and COFINS credits recognized as a result of the supply of Products hereunder (in the manner described in Clause 8.2.1 above) for each monthly supply of
Products, SELLER shall grant BUYER with non-interest bearing loans, under a current account mechanism, in the amount equivalent to 50% (fifty per cent) of the economic and financial burden equivalent to the amount of PIS and COFINS credits not
set-off, at the end of each 12 (twelve) month term after the date on which the supply of Products hereunder commences to be subject to the imposition of PIS and COFINS Contributions. 

8.2.3. If and when BUYER succeeds on fully setting-off the PIS and COFINS credits mentioned in Clause 8.2.2, above against federal taxes, BUYER shall repay to SELLER the portion of the loan referred to in Clause 8.2.2 equivalent to the amount
of the credits fully set-off. 

8.3. In addition, the Parties shall use their best efforts to obtain within six (6) months as from the date of execution of this Contract, a binding ruling, in form and substance acceptable to both parties and each shareholder of BUYER, from
the Tax Authorities of the States of Minas Gerais (Secretaria de Estado da Fazenda de Minas Gerais) providing that no ICMS or similar tax will be payable by any of the Parties, or its Affiliates, in connection with any transactions
contemplated herein.

8.3.1. If the ICMS starts to be effectively imposed on the supply of Products under this Contract, the Parties agree that the cost of ICMS shall be added to the Unit Price in accordance with Clause 4.2 above and Attachment VI hereto.
In this case, SELLER hereby commits to acquire or cause its Affiliates (as defined in Clause 11.4.2 below) to acquire, for every 6 (six) months (the initial date of the first six-month period shall be considered the date on which the ICMS shall be
considered due according to this Clause 8.3.1), all ICMS credits generated to BUYER and its Affiliates under this Contract and accumulated during each such 6 (six)-month period. The ICMS credits acquisition herein shall be made at nominal value, up to the amount of the ICMS tax debts registered by any branches of SELLER and/or any of the branches of its Affiliates located in the State of Minas Gerais, which credits were
generated in the relevant 6 (six)-month period. SELLER and SELLER’s Affiliates shall acquire all BUYER’s and BUYER Affiliates’ ICMS credits generated in the State of Minas Gerais up to the limit of SELLER’s and SELLER
Affiliates’ ICMS tax debts generated in that State excluding the SELLER’s and SELLER Affiliates’ ICMS tax debts offset against (i) SELLER’s own ICMS tax credits and (ii) ICMS tax credits of branches of wholly owned subsidiaries
of SELLER.

8.3.2. If the ICMS starts to be effectively imposed on the supply of Products under this Contract and the SELLER and/or its Affiliates are not able to acquire all ICMS credits generated to BUYER and its Affiliates under this Contract every 6
(six)-month period, SELLER shall submit to BUYER within 10 days after each 6 (six)-month period (as regulated under this Clause 8.3), documents evidencing (i) the amount of ICMS tax debts registered by each of its branches and
the branches of SELLER’s Affiliates located in the State of Minas Gerais; (ii) the amount of ICMS tax credits registered by SELLER’s branches and the branches of its wholly owned subsidiaries that were or shall be transferred to SELLER
within said 6 (six)-month period and (iii) the amount of ICMS tax credits registered by BUYER or any of its Affiliates as a result of the acquisition of Products under this Contract which are transferable to SELLER or SELLER’s Affiliates (the
“Transferable ICMS Tax Credits”). 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

8.3.3. If the amount of ICMS tax debts of SELLER and its Affiliates registered in the relevant 6 (six) month period as a result of the supply of Products under this Contract is lower than the Transferable ICMS Tax Credits determined under
Clause 8.3.2 above, such difference may be carried over (to be set-off) within the following 12 (twelve) months to be transferred from BUYER or BUYER’s Affiliates to SELLER and/or SELLER’s Affiliates as provided in this Clause 8.3. 

8.3.4. If the Parties fail to obtain the authorizations required by the Tax Authorities of the State of Minas Gerais to transfer ICMS credits as provided in this Clause 8.3 or if any difference mentioned in Clause 8.3.3 above is not
transferred by BUYER or its Affiliates to SELLER or SELLER’s Affiliates within the 12 (twelve) month period mentioned in Clause 8.3.3 above, SELLER shall grant BUYER with non-interest bearing loans, under a current account mechanism, in the
amount equivalent to 50% (fifty per cent) of the economic and financial burden equivalent to the non-transferable portion of the ICMS tax credits registered by BUYER or BUYER’s Affiliates as from the end of each 12 month-term after the date on
which the supply of Products hereunder commences to be subject to the imposition of ICMS. 

8.3.5. If and when BUYER succeeds on transferring the ICMS tax credits mentioned in Clause 8.3.4, above, BUYER shall repay to the SELLER the portion of the loan referred to in Clause 8.3.4 in the amount of the transferred ICMS tax credits.

8.4. Once BUYER’s right to offset or recover the PIS and COFINS credits or to transfer the ICMS tax credits in connection with a given month elapsed after the 5 (five) year period of statute of limitation set forth by the applicable
legislation counted from the recognition of tax credits by BUYER or its Affiliates (as defined in Clause 11.4.2 below) related to PIS and COFINS contributions as set forth in Clause 8.2.1 or related to the ICMS, as set forth in Clause 8.3.1, the
balance, if any, of the relevant loans made in accordance with Clauses 8.3.1, 8.3.2, 8.3.4 and 8.3.5, above, shall be forgiven by the SELLER. 

8.5. In the event that the physical and/or symbolic transfers, flows of invoices, transfer of title or the supply of the Product under this Contract becomes subject to the ICMS at any time during this Contract, or to any value added
tax imposed by the States in a form identical to the ICMS imposition, the Parties agree that Clauses 8.3.1 to 8.3.4 shall apply to the ICMS or such value added tax. 

8.6. If at any time during the term of this Contract, as a result of change of Applicable Law, PIS and COFINS Contributions and/or the ICMS are replaced by new taxes imposed by any federal, state or municipal authority, which are imposed on
the supply of Products under this Contract, or if other taxes are created and so imposed, the Parties shall negotiate in good faith on how the tax burden will be shared between them. If there is no agreement between the Parties within the period of
six months counted from the change in Applicable Law mentioned in this Clause, the Parties shall share on a 50/50 basis the economic and financial burden equivalent to the amount of said tax burden. 

CLAUSE NINE – ACTS OF GOD AND FORCE MAJEURE 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

9.1. Provided that the provisions of this Clause are complied with, neither of the Parties shall be held liable to the other Party due to non-fulfillment of any obligation (except pecuniary obligations) attributed to it under this Contract
and insofar as such non-fulfillment is directly attributable to an event of force majeure or act of God under Brazilian law, as defined by article 393, sole paragraph, of the Civil Code, including but not limited to (a) acts of wars (whether
declared or not), epidemics, sabotage, military actions or hostilities and acts of terrorism or the escalation thereof occurring after the date hereof; (b) regional or national strikes, work stoppages, slowdowns or lockouts of any trade category
involved in production of the Product or adversely affecting abilities of either Party to comply with the terms and conditions of this Contract; (c) acts of God and inclement weather or such other atypical events of nature that are not predictable
and/or the effects of which cannot be avoided by employing reasonable control measures; (d) accidents or emergency stoppages in order to prevent accidents which impede or restrict the operation and/or construction and/or expansion of installations
related to the production of the Product; (e) any decision by an arbitration panel or court of law (even if preliminary and subject to further appeal), obtained by or granted in favor of third parties that prevents compliance with either
Party’s obligations under this Contract), except for litigation pertaining to right of first refusal on iron ore from Casa de Pedra Mine, included but not limited the lawsuits listed in Attachment VII hereto (for the avoidance of doubt,
those lawsuits shall not be considered nor deemed to be Force Majeure Event for every and all purposes of this Contract); (f) expropriation, or statement of eminent domain for expropriation purposes (declaração de utilidade
pública), or any other restriction imposed by any public authority on either Party's assets adversely affecting either Party’s assets or abilities to comply with the terms and conditions of this Contract; (g) any changes in
Applicable Law occurring after the date hereof which prevents either Party from complying with the terms and conditions of this Contract; and (h) any other circumstance, change, development, event or fact that is unpredictable or unavoidable by the
affected Party and which prevents such Party from complying with the terms and conditions of this Contract, if and to the extent any such events qualify as force majeure under article 393 sole paragraph of the Civil Code (“Force
Majeure Event”). 

9.1.1 For all purposes, a Force Majeure Event under the other Related Contracts that renders unfeasible or otherwise prevents the performance of the Related Contracts in whole or part, including this Contract, shall be considered a Force
Majeure Event under this Contract. 

9.2. In case of the occurrence of a Force Majeure Event, the Party whose obligations are being affected by such event of force majeure or act of God (such Party being hereinafter referred to as the “Affected Party”) shall
have 5 (five) Working Days counting from such event to notify the other Party of same and prove by means of appropriate documents, as the case may be, the occurrence of such event, as well as its direct or indirect impact on its obligations under
this Contract. Notwithstanding, the Affected Party is to implement at its own expenses and as soon as possible measures to mitigate the effects and the direction of the event of force majeure or act of God, indicating such measures to the other
Party and keeping the latter constantly informed on the progress of such measures. 

9.3. Should a Force Majeure Event occur: 

(a) up to the end of [•], SELLER shall pay to BUYER a compensation equal to: 

K = P2 x A 

Being: 

K – Compensation Amount 

A – Quantity of Product not supplied due to the Force Majeure Event

 and 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(b) On or after [•], SELLER shall pay to BUYER a compensation equal to: 

X = P2 x B 

Being: 

X – Compensation Amount 

B – Quantity of Product not supplied due to the Force Majeure Event in the first 365 days of such Force Majeure Event. 

9.3.1. Compensation amounts under Clause 9.3 shall be paid by SELLER to BUYER on a monthly basis until the 30th day of the subsequent month after the occurrence of a Force Majeure Event. Such provision shall apply to subsequent
months, if the Force Majeure Event continues. 

CLAUSE TEN – DEFAULT, MATERIAL DEFAULT, MATERIAL BREACH, INDEMNIFICATION, TERMINATION AND CONSEQUENCES OF TERMINATION 

10.1. SELLER shall not be deemed to have breached this Contract if the annual quantity of Product supplied by SELLER to BUYER in any given Mining Year is equal to or greater than [•]% [•] of the Nominated Annual Quantity, provided
that amounts delivered below the Basic Annual Quantity shall be considered as Carry-Over Amounts. 

10.2. SELLER shall be deemed to have breached this Contract if, for reasons attributable to SELLER, the annual quantity of Product supplied by SELLER to BUYER in any given Mining Year is lower than [•]% [•] but equal to or greater
than [•]% of the Nominated Annual Quantity (“Default”).

10.2.1. Should a Default occur under Clause 10.2, then SELLER shall cure the Default, as early as practicable, but not later than [•] days from the date of receipt of a written communication by BUYER to that effect, either by (i)
supplying Product to BUYER (but solely to the extent necessary to reach at least [•]% [•] of the Nominated Annual Quantity), or (ii) paying a monetary compensation to BUYER for the difference between [•]% [•] of the Nominated
Annual Quantity and the quantities effectively supplied, or (iii) both supplying Product (in an amount lower than the necessary to reach [•]% [•] of the Nominated Annual Quantity) and paying monetary compensation for the difference between
the quantity of Products effectively supplied and [•]% of the applicable Nominated Annual Quantity, in either case of (i), (ii) and (iii), as approved by the Brazilian SPC (which approval shall not be unreasonably withheld or delayed). If the
Brazilian SPC does not approve such cure, SELLER shall cure the Default by paying the monetary compensation to BUYER. Any monetary compensation payable by SELLER to BUYER hereunder shall be determined as follows: 

(a) the amount of such monetary compensation shall be discussed and agreed in good faith between SELLER and BUYER (with the Brazilian SPC’s good faith approval) within 30 (thirty) days from the date a written request to that effect is
made by BUYER and shall correspond to (without the duplication or double counting) (x) the cash flow (fluxo de caixa) shortfall in connection with the loss of revenues resulting from sales of products not effected by BUYER (it being
understood that “cash flow” shall mean BUYER’s net sales revenues (receita líquida de vendas) minus variable costs (custos variáveis) associated with such revenues shortfall and determined based on the then
effective long and mid-term business plans of BUYER) and (y) any penalties, damages or indemnities paid by BUYER to any third parties under commercial arrangements as a result of the Default or Material Default, as the
case may be (but excluding penalties, damages or indemnities, if any, payable to purchasers of BUYER’s products in connection with offtake or similar agreements) (the amount of such compensation, the “Compensation Amount”). For
the avoidance of doubt, an example of the calculation of the Compensation Amount is attached hereto as Attachment VIII;  

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(b) in case SELLER and BUYER do not reach an agreement on the Compensation Amount, such amount shall be determined by BUYER’s independent auditor within 30 (thirty) days from the date a written request to that effect is made either by
SELLER or BUYER; and 

(c) the Compensation Amount shall be payable by SELLER to BUYER within 30 (thirty) days from the date (i) SELLER and BUYER reach an agreement on such amount or (ii) such amount is determined by BUYER’s independent auditor, as the case
may be. 

10.3. SELLER shall be deemed to have materially breached an obligation set forth in this Contract if, for reasons attributable to SELLER, (i) the annual quantity of Product supplied by SELLER to BUYER in any given Mining Year is lower than
[•]% [•] of the Nominated Annual Quantity; or (ii) if the weighted average of Fe contents of Products supplied to BUYER in any given Mining Year is lower than the Fe content indicated in the Guaranteed Specifications (“Material
Default”). 

10.3.1. Should a Material Default occur under Clause 10.3, then SELLER shall cure the Material Default, as early as practicable, but not later than [•] days from the date of receipt of a written communication to that effect, either by
(i) supplying Product to BUYER (but, in case of Material Default under Clause 10.3 (i), solely to the extent necessary to reach [•]% [•] of the Nominated Annual Quantity and/or, in case of Material Default under Clause 10.3 (ii), solely to
the extent necessary to meet the Guaranteed Specifications in relation to the Products supplied to BUYER in the relevant Mining Year), (ii) paying the Compensation Amount to BUYER, or (iii) both supplying a quantity of Product (in an amount lower
than the necessary to reach [•]% [•] of the Nominated Annual Quantity) and paying monetary compensation for the difference between the quantity of Products effectively supplied and [•]% of the applicable Nominated Annual Quantity, in
either case of (i), (ii) and (iii), as approved by the Brazilian SPC (which approval shall not be unreasonably withheld or delayed). If BUYER does not approve such cure, SELLER shall cure the Material Default by paying the Compensation Amount to
BUYER. If such Material Default remains uncured for a period of [•] days from the date of receipt of a written communication to that effect, then, BUYER may claim for determination of the indemnification amount according to the provisions of
Clause 10.2.1, items (b) and (c). 

10.4. If BUYER breaches any obligation set forth herein (“BUYER’s Default”), SELLER shall provide written notice of default to BUYER within [•] days following the occurrence of such breach (“Notice of BUYER’s Default”). SELLER and BUYER shall discuss in good faith the amount of the indemnification due by BUYER to SELLER, or any other remedies reasonably available, which, in no event, shall be greater than the
loss of income of SELLER deriving from sales of Product to BUYER not effected as a consequence of the BUYER’s Default. If no agreement is reached by the Parties within [•] days as from receipt of the Notice of BUYER’s Default, SELLER
may claim for determination of the indemnification amount by SELLER’s independent auditor. 

10.5. The Parties acknowledge and agree that this Contract is not intended to be terminated before the full performance hereof unless exceptional circumstances occur or otherwise expressly provided hereunder, due to the substantial
investments made by both Parties for the performance thereof and the reliance of both Parties on the continued and full performance hereof. Without prejudice to any other rights provided in this Contract, but with the exclusion of any other
termination right, except for those provided in this Clause 10, this Contract may be terminated in the cases indicated below and the Party that gives rise to such termination, either due to breach of contract or other circumstance attributable
to it (with such Party being hereinafter referred to as the “Defaulting Party”), shall not have any right to file a complaint and/or claim of any kind of indemnity whatsoever: 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

(a) by the other Party, at its exclusive discretion, in the event of non-compliance by the Defaulting Party with any monetary obligation set forth in this Contract, provided that the other Party notifies the Defaulting Party with
respect to such non-performance and the Defaulting Party does not remedy such non-compliance within a period of [•] days counting from the date of receipt of such notification; or 

(b) by the other Party, at its exclusive discretion, in the event of occurrence of a Material Default not cured according to Clause 10.3 (“Material Breach”); or

(c) by the other Party, at its exclusive discretion, in case any representation made in this Contract by the Party in Default proves to be incorrect or untruthful, for any reason, as a result of which, at such other Party’s reasonable
judgment, the due performance of this Contract is materially adversely affected, provided that if such incorrect or untruthful matter can be remedied and is not remedied within a period of [•] days counting from the date of receipt of such
notification pointing out the incorrect or untruthful representation; or 

(d) by the other Party, at its exclusive discretion, in the event of acceptance of a process for court recovery, the commencement of extrajudicial recovery, declaration of bankruptcy or dissolution of the Party in Default; or 

(e) by BUYER, if any other Related Contract is terminated by BUYER due to a Material Breach by SELLER, as defined in such Related Contract. 

10.6. In the event this Contract should be terminated for a reason attributable to BUYER, BUYER shall indemnify SELLER for losses and damages (including any loss of income (business interruption) and indirect losses and damages, including
consequential damages) effectively incurred due to termination of this Contract, which indemnity is hereby fixed in an amount equal to the balance of SELLER’s debt to BUYER in relation to the Advance Payment (if any) as of the termination date,
with SELLER being authorized, to such end, to offset the amount of such indemnity against SELLER’s debt to BUYER in relation to the Advance Payment. 

10.7. If upon full supply of the Contractual Quantity by SELLER to BUYER, there is any balance of the Advance Payment made by BUYER to SELLER under Clause 5.1 (“Balance”), BUYER shall pay to SELLER an amount equal to such
Balance (“Payment”), in consideration for (i) the investments made by SELLER in order to produce and supply the Product to BUYER (purchasing equipment, hiring personnel, implementing systems, etc.), and (ii) the commitment assumed
by SELLER to make the Contractual Quantity available to BUYER, including prejudice to any other business opportunities involving the iron ore from Casa de Pedra Mine. It is hereby agreed by the Parties on an irrevocable basis that the Advance
Payment shall be immediately offset against the Payment. 

10.8. In case SELLER commits a Default or Material Default under this Contract and such Default or Material Default is also deemed a Default or Material Default under any other Related Contract, SELLER’s indemnification to BUYER under
Clauses 10.2 and 10.3, as applicable, will be considered as SELLER’s indemnification to BUYER for the Default or Material Default for all Affected Contracts.  

10.8.1. For the avoidance of doubt, the Parties hereby acknowledge that any Compensation Amount (as defined in each Related Contract or herein) shall be alternative and not cumulative remedies. 

Therefore, if BUYER receives any Compensation Amount under this Contract or any Related Contract for a specific Default or Material Default, BUYER shall not be entitled to receive any further compensation whether under this Contract, the other
Related Contracts, or otherwise, for
such Default or Material Default (to the extent that the Compensation Amount under this Contract overlaps the Compensation Amount under the other Related Contracts, and vice-versa). 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

CLAUSE ELEVEN – GENERAL PROVISIONS 

11.1. The Parties acknowledge and agree that this Contract contains all the requisites needed for this instrument serving as a valid document for commencement of execution proceedings (título executivo extrajudicial), for all
legal intents and purposes. 

11.2. This Contract reflects the entire understanding of the Parties with respect to its scope and replaces any and all previous agreements and understandings. Each one of the Parties hereby acknowledges and confirms that it is not signing
this Contract based on any representation, guarantee or other commitment by the other Party that is not fully reflected in the provisions hereof. Any matter relating to supply of the Product that is not specifically provided in this Contract shall
be examined separately and mutually agreed upon by the Parties. 

11.3. Without prejudice to the provisions contained in Clause 11.4 below, this Contract binds the Parties, and/or successors on any degrees whatsoever. In this sense, in the event of merger, amalgamation (upstream merger under Brazilian law),
spin-off or change in control of either of the Parties, continuity of this Contract is expressly assured, obligating the successor or any third parties related in any manner to the merger, amalgamation, spin-off or change in control of either of the
Parties to comply with all the clauses, terms and conditions established in this Contract. 

11.4. Neither Party shall assign or transfer (in whole or in part) its rights or obligations under this Contract without the prior written consent of the other Party, which consent shall not be unreasonably withheld, delayed or conditioned;
provided, however, that (i) each of the Parties may assign all (but not a part) of its rights and obligations under this Contract without the prior written consent of the other Party to one of its Affiliates, and (ii) in case any third party or an
Affiliate of SELLER acquires the mining rights relating to the Casa de Pedra Mine, (x) SELLER shall assign all (but not a part) of its rights and obligations under this Contract to such third party or Affiliate of SELLER if there is no split
(desmembramento) of such mining rights or (y) if split (desmembramento) of such mining rights occurs, SELLER and BUYER shall discuss in good faith to agree as to whether and how this Contract will be assigned (in whole or in part)
based on the shared understanding that the Parties shall seek the best way to ensure that all obligations under this Contract shall continue to be fulfilled in accordance with the terms hereof. This Contract shall be binding upon and inure to the
benefit of the Parties and their respective successors and permitted assigns and shall be enforceable by the Parties hereto and their respective successors and permitted assigns.

11.4.1. In addition to the foregoing, in the event of an assignment or transfer as stated in Clause 11.4 (i) the assigning Party shall (a) ensure that, as a part of such assignment, the assignee accepts the assignment of all rights and
obligations of the assigning Party under this Contract, and (b) shall remain jointly liable with the assignee for all obligations under this Contract. 

11.4.2. For the purposes of this Contract, “Affiliates” shall mean, with respect to any Party, a person that directly or indirectly controls, or is under common control with, or is controlled by, such person.  As used in this
definition, “control” (including, with its correlative meanings, “controlled by” and “under common control with”) shall mean possession, directly or indirectly, of securities having 50% or more of
the voting power for the election of directors or other governing body of a corporation or 50% or more of the partnership or other ownership interests of any other person (other than as a limited partner of such other person). 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

11.5. This Contract may only be amended or modified by means of prior agreement between the Parties and the signing of a specific amendment signed by both. 

11.6. Any omission or tolerance by the Parties in requiring the correct and punctual compliance with the specific or generic terms and conditions contained in this Contract, or in exercising any prerogative hereunder, shall not constitute any
kind of waiver, desistance or novation, and nor shall it affect the right of the Parties to exercise them at any time. 

11.7. In the event any provision of this Contract should be considered invalid, illegal or unenforceable for any reason, the validity, legality and enforceability of the remaining provisions contained in this Contract shall not in any manner
whatsoever be affected or prejudiced thereby and shall remain in full force and effect. The Parties shall negotiate in good faith to replace any provisions considered invalid, illegal or unenforceable with valid, legal and enforceable provisions,
the effects of which shall approximate as closely as possible the legal and economic effects intended by the provisions considered invalid, illegal or unenforceable. 

11.8. This Contract does not create or intend to create any kind of company, association, joint venture, cooperative, partnership, consortium, agency, and neither does it attribute or aim to create any kind of relationship involving principal
and agent, commercial representation, business management or other kind of similar legal arrangement between the Parties, except for those expressly provided in this Contract and directly related to the supply of the Product by SELLER to BUYER. 

11.9. Each Party is responsible for covering its own costs and other expenses incurred or to be incurred in relation to the signing and execution of this Contract. 

11.10. Should, after the signature of this Contract, any taxes be created, or any tax rates, taxable base or manners for calculating any tax existing at the signing date below and involving taxable events related in any manner to this
Contract be altered, via Applicable Law, or any special tax benefit available to the Parties related to this Contract granted by any federal, state of municipal taxing authorities be extinguished, the Parties shall negotiate, in good faith, to amend
this Contract in order to restore its economic and financial balance.

CLAUSE TWELVE – CONFIDENTIALITY 

12.1. During the time this Contract remains in effect and for the period of 5 (five) years after termination hereof, the Parties undertake – for themselves as well as on behalf of third parties related to them – to maintain absolute
secrecy regarding the terms and conditions of this Contract, and also with respect to any and all information obtained as a result of this Contract, except (a) if the disclosure of such information is determined by this Contract or if such
information is already proven to be in the public domain without failure of the Party receiving confidential information of the other Party, (b) with the express and prior authorization of the other Party, (c) in order to exercise any rights
attributed to the Parties according to this Contract, (d) required by Applicable Law, by an order of any governmental authority or as a result of a judicial order, in which case the disclosure shall be limited to the terms and conditions that are to
be disclosed pursuant to such determination, and provided that the Party subject to such judicial order shall promptly notify the other Party and thus give such other Party the opportunity to limit or avoid the disclosure, to the extent permitted by
the Applicable Law or (e) in case of BUYER, the disclosure of information to the Brazilian SPC, Japanese SPC, shareholders of Japanese SPC and Posco. 

CLAUSE THIRTEEN – COMMUNICATIONS 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

13.1. All notices, communications, requests, authorizations and consents that have to be transmitted or given by the Parties under this Contract shall only be valid and effective if provided in writing through correspondence (under protocol
or sent against notice of receipt) or fax (with proof of transmission) addressed in the following manner (or in such other manner as may be notified subsequently by one Party to the other): 

(a) BUYER: 

Address: Alameda da Serra, no 400, 9o andar 

             CEP 34000-000 – Nova Lima – MG 

Phone: (0xx31) 3269-1410 

Fax: (0xx31) 3269-1414 

At.: Diretor Comercial (Attention of Commercial Director) 

Cc.: Diretor de Operações e Diretor Jurídico (Copied to Operations Director and Legal Director) 

(b) SELLER: 

Address: Av. Brigadeiro Faria Lima, no 3.400, 20o andar

             CEP 04538-132 – São Paulo – SP 

Phone: (0xx31) 3749-1210 

Fax: (0xx31) 3749-1284 

At.: Diretor de Mineração (Attention of Mining Director) 

Cc.: Diretor Comercial de Minério de Ferro e Diretor Jurídico (Copied to Iron Ore Commercial Director and Legal Director) 

(c) BIG JUMP PARTICIPAÇÕES S.A.: 

Address: Rua da Consolação, 247, 3rd Floor, Room 85A, São Paulo, Brazil

Phone: (0xx11) 3170-8509 

Fax: (0xx11) 3170-8549 

At.: Diretor Presidente (Attention of Director-President) 

(d) BRAZIL JAPAN IRON ORE CORPORATION: 

Address: 5-1, Kita-Aoyama 2-chome, Minato-ku, Tokyo, 107-8077, Japan

Phone: (81 3) 3497-3365 

Fax: (81 3) 3497-3342 

At.: Mr. Yasuhiro Miyata 

(e) POSCO: 

Address:  892 Daechi 4-dong Kangnam-gu, Seoul, 135-777, Korea 

Phone: (82 2) 3457-0306 

Fax: (82 2) 3457-1908 

At.: Mr. Myung Deuk Seo (Group Leader) 

CLAUSE FOURTEEN – ARBITRATION 

CONFIDENTIAL TREATMENT REQUESTED BY COMPANHIA SIDERURGICA NACIONAL 

14.1. The Parties are to submit any dispute, controversy or disagreement resulting from this Contract or related to same solely and exclusively to arbitration in the manner provided by Law No. 9.307 of September 23, 1996 and by this Clause,
provided that such dispute, controversy or disagreement is not settled amicably by the Parties within a period of 30 (thirty) days counting from the date on which one of the Parties has notified the other regarding the existence of such dispute,
controversy or disagreement. Arbitration shall be definitive and the results thereof binding on the Parties. 

14.2. The arbitration proceedings shall take place in the City of São Paulo, State of São Paulo, and shall be administered by the International Court of Arbitration of the International Chamber of Commerce
(“ICC”) and, except as provided in this Contract, shall be instituted and processed according to the Rules of Arbitration of the ICC (“Rules”). 

14.3. The arbitration panel shall be made up of 3 (three) arbitrators, with each one of the Parties being responsible for appointing 1 (one) arbitrator and these 2 (two) arbitrators appointed by the Parties responsible for jointly appointing
the third arbitrator, who shall preside over the arbitration panel. 

14.4. The charges, fees and other expenses directly related to the arbitration proceedings, which include the costs due to the ICC and the arbitrators’ fees and, as the case may be, any expert witnesses called, shall be initially borne
by both Parties in the same proportion, provided that the provisions contained in the Rules are complied with, though the arbitration award shall define the final allocation of such charges, fees and other expenses between the Parties. Each Party
shall cover the expenses of the respective attorneys and assistants that it engages to represent it or to assist it during the arbitration proceedings. 

14.5. Without prejudice to the other provisions contained in this Contract, the Parties hereby acknowledge and admit the possibility of appealing to the Judiciary to obtain any urgent court measures that may be considered necessary to
preserve their respective rights and interests and such measures are not to be interpreted as a waiver by the Parties of arbitration proceedings. For such purposes and for any court enforcement of an arbitration award issued by the arbitration
panel, the Parties hereby choose the courts of the Judicial District of São Paulo, State of São Paulo, as having sole jurisdiction, with express waiver of any other courts, regardless of however much jurisdictional privilege they might
have. 

In witness whereof, the Parties have caused this Contract to be executed in six (6) counterparts with the same form and contents, before the five (5) undersigned witnesses. 

São Paulo, SP, October 21st, 2008 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 

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