Document:

<PAGE>

                                                                   EXHIBIT 10.11

(CLIFFORD CHANCE LOGO)                             LIMITED LIABILITY PARTNERSHIP

                                                               EXECUTION VERSION

                        US$92,600,000 FACILITY AGREEMENT
                              dated 22 March 2006

                                       for

                       STERLITE INDUSTRIES (INDIA) LIMITED
                                   as Borrower

                                       and

                                     CALYON
                      ICICI BANK LIMITED, SINGAPORE BRANCH
                             STANDARD CHARTERED BANK
                           as Mandated Lead Arrangers

                                       and

                     THE FINANCIAL INSTITUTIONS NAMED HEREIN
                                   as Lenders

                                       and

                             STANDARD CHARTERED BANK
                                    as Agent

                                   ----------

                             TERM FACILITY AGREEMENT

                                   ----------

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
CLAUSE                                                                      PAGE
------                                                                      ----
<S>                                                                         <C>
1.  Definitions And Interpretation.......................................      1
2.  The Facilities.......................................................     11
3.  Purpose..............................................................     11
4.  Conditions Of Utilisation............................................     11
5.  Utilisation..........................................................     13
6.  Repayment............................................................     15
7.  Prepayment And Cancellation..........................................     15
8.  Interest.............................................................     18
9.  Interest Periods.....................................................     19
10. Changes To The Calculation Of Interest...............................     19
11. Tax Gross Up  And Indemnities........................................     21
12. Increased Costs......................................................     22
13. Other Indemnities....................................................     23
14. Mitigation By The Lenders............................................     24
15. Costs And Expenses...................................................     25
16. Representations......................................................     26
17. Information Undertakings.............................................     28
18. Financial Covenants..................................................     32
19. General Undertakings.................................................     35
20. Events Of Default....................................................     37
21. Changes To The Lenders...............................................     42
22. Changes To The Borrower..............................................     45
23. Role Of The Agent....................................................     46
24. Conduct Of Business By The Lenders And The Agent.....................     51
25. Sharing Among The Lenders............................................     51
26. Payment Mechanics....................................................     53
27. Set-Off..............................................................     55
28. Notices..............................................................     55
29. Calculations And Certificates........................................     57
30. Partial Invalidity...................................................     58
31. Remedies And Waivers.................................................     58
32. Amendments And Waivers...............................................     58
</TABLE>

<PAGE>

<TABLE>
<S>                                                                         <C>
33. Counterparts.........................................................     59
34. Governing Law........................................................     60
35. Enforcement..........................................................     60

Schedule 1 CONDITIONS PRECEDENT..........................................     61

Schedule 2 UTILISATION REQUEST...........................................     63

Schedule 3 MANDATORY COST FORMULAE.......................................     64

Schedule 4 FORM OF TRANSFER CERTIFICATE..................................     66

Schedule 5 FORM OF COMPLIANCE CERTIFICATE................................     68

Schedule 6 TIMETABLES....................................................     70

Schedule 7 INITIAL LENDERS...............................................     71
</TABLE>
<PAGE>

THIS AGREEMENT is dated 22nd March 2006 and made between:

(1)  STERLITE INDUSTRIES (INDIA) LIMITED (the "BORROWER");

(2)  CALYON, ICICI BANK LIMITED, SINGAPORE BRANCH and STANDARD CHARTERED BANK
     (together, the "MANDATED LEAD ARRANGERS");

(3)  THE FINANCIAL INSTITUTIONS NAMED IN SCHEDULE 7 (the "INITIAL LENDERS"); and

(4)  STANDARD CHARTERED BANK, as agent of the Lenders (the "AGENT").

IT IS AGREED as follows:

                                    SECTION 1
                                 INTERPRETATION

1.   DEFINITIONS AND INTERPRETATION

1.1  DEFINITIONS

     In this Agreement:

     "ADDITIONAL COST RATE" has the meaning given to it in Schedule 3 (Mandatory
     Cost formulae).

     "AFFILIATE" means, in relation to any person, a Subsidiary of that person
     or a Holding Company of that person or any other Subsidiary of that Holding
     Company.

     "AGENT'S RATE OF EXCHANGE" means on any day, the mid-rate quoted by the
     Bank of Japan on Reuters' page TKYFX for the purchase of yen with dollars
     at or about 5.00pm (Tokyo time) on that day.

     "AUTHORISATION" means an authorisation, consent, approval, resolution,
     licence, exemption, filing, notarisation or registration.

     "AUTHORISED SIGNATORY" means the managing director, a director or the chief
     financial officer of the Borrower, or any person so authorised by the board
     of directors of the Borrower.

     "AVAILABILITY PERIOD" means the period from and including the date of this
     Agreement to and including the date which is 90 days after the date of this
     Agreement (or such later date as may be agreed between the Lenders and the
     Borrower), provided that if the Availability Period would otherwise end on
     a day which is not a Business Day, it will instead end on the preceding
     Business Day.

     "AVAILABLE COMMITMENT" means, at any time and save as otherwise provided
     herein, the aggregate of the Available Tranche A Commitment and the
     Available Tranche B Commitment.

     "AVAILABLE FACILITY" means, at any time and save as otherwise provided
     herein, the aggregate of the Available Tranche A Facility and the Available
     Tranche B Facility.

                                      -1-

<PAGE>

     "AVAILABLE TRANCHE A COMMITMENT" means the Tranche A Commitment minus:

     (a)  the amount of any outstanding Loans; and

     (b)  in relation to any proposed Utilisation, the amount of any Loans that
          are due to be made on or before the proposed Utilisation Date.

     "AVAILABLE TRANCHE A FACILITY" means the aggregate for the time being of
     the Available Tranche A Commitment.

     "AVAILABLE TRANCHE B COMMITMENT" means the Tranche B Commitment minus:

     (a)  the amount of any outstanding Loans; and

     (b)  in relation to any proposed Utilisation, the amount of any Loans that
          are due to be made on or before the proposed Utilisation Date.

     "AVAILABLE TRANCHE B FACILITY" means the aggregate for the time being of
     the Available Tranche B Commitment.

     "BREAK COSTS" means the amount (if any) by which:

     (a)  the interest which a Lender should have received for the period from
          the date of receipt of all or any part of its participation in a Loan
          or Unpaid Sum to the last day of the current Interest Period in
          respect of that Loan or Unpaid Sum, had the principal amount or Unpaid
          Sum received been paid on the last day of that Interest Period;

     exceeds:

     (b)  the amount which that Lender would be able to obtain by placing an
          amount equal to the principal amount or Unpaid Sum received by it on
          deposit with a leading bank in the Relevant Interbank Market for a
          period starting on the Business Day following receipt or recovery and
          ending on the last day of the current Interest Period.

     "BUSINESS DAY" means a day (other than a Saturday or Sunday) on which banks
     are open for general business in London (in respect of interest rate fixing
     only) and New York, Mumbai, Singapore and Tokyo (in respect of payments
     only).

     "COMMITMENT" means the Tranche A Commitment or the Tranche B Commitment.

     "COMPLIANCE CERTIFICATE" means a certificate substantially in the form set
     out in Schedule 5 (Form of Compliance Certificate).

     "DEFAULT" means an Event of Default or any event or circumstance specified
     in Clause 20 (Events of Default) which would (with the expiry of a grace
     period, the giving of notice, the making of any determination under the
     Finance Documents or any combination of any of the foregoing) be an Event
     of Default.

     "EVENT OF DEFAULT" means any event or circumstance specified as such in
     Clause 20 (Events of Default).

                                      -2-

<PAGE>

     "FACILITIES" means the term loan facilities made available under this
     Agreement as described in Clause 2 (The Facilities) and "FACILITY" means
     any one of them.

     "FACILITY OFFICE" means the office or offices notified by a Lender to the
     Agent in writing on or before the date it becomes a Lender (or, following
     that date, by not less than five Business Days' written notice) as the
     office or offices through which it will perform its obligations under this
     Agreement.

     "FEE LETTER" means any letter or letters entered or to be entered into
     between the Mandated Lead Arrangers, the Agent and the Borrower.

     "FINANCE DOCUMENT" means this Agreement, any Fee Letter and any other
     document designated as such by the Agent and the Borrower.

     "FINANCIAL INDEBTEDNESS" means any indebtedness for or in respect of:

     (a)  moneys borrowed;

     (b)  any amount raised by acceptance under any acceptance credit facility;

     (c)  any amount raised pursuant to any note purchase facility or the issue
          of bonds, notes, debentures, loan stock or any similar instrument;

     (d)  the amount of any liability in respect of any lease or hire purchase
          contract which would, in accordance with GAAP, be treated as a finance
          or capital lease;

     (e)  receivables sold or discounted (other than any receivables to the
          extent they are sold on a non-recourse basis);

     (f)  any amount raised under any other transaction (including any forward
          sale or purchase agreement) having the commercial effect of a
          borrowing;

     (g)  any derivative transaction entered into in connection with protection
          against or benefit from fluctuation in any rate or price (and, when
          calculating the value of any derivative transaction, only the marked
          to market value shall be taken into account);

     (h)  any counter-indemnity obligation in respect of a guarantee, indemnity,
          bond, standby or documentary letter of credit or any other instrument
          issued by a bank or financial institution;

     (i)  any amount raised by the issue of redeemable shares;

     (j)  any amount of any liability under an Loan or deferred purchase
          agreement if one of the primary reasons behind the entry into this
          Agreement is to raise finance; and

     (k)  (without double counting) the amount of any liability in respect of
          any guarantee or indemnity for any of the items referred to in
          paragraphs (a) to (j) above.

     "GAAP" means generally accepted accounting principles in India.

                                      -3-

<PAGE>

     "GROUP" means the Borrower and it's Subsidiaries for the time being.

     "GST" means goods and services tax, levied in accordance with the Goods and
     Services Tax Act, Chapter 117A of Singapore.

     "HOLDING COMPANY" means, in relation to a company or corporation, any other
     company or corporation in respect of which it is a Subsidiary.

     "INFORMATION MEMORANDUM" means the information memorandum prepared or to be
     prepared (as the context may require) by the Mandated Lead Arrangers for
     and on behalf of (and at the request of) the Borrower.

     "INTEREST PERIOD" means, in relation to a Loan, each period determined in
     accordance with Clause 9 (Interest Periods) and in relation to an Unpaid
     Sum, each period determined in accordance with Clause 8.4 (Default
     Interest).

     "LENDERS" means the Tranche A Lenders and the Tranche B Lenders.

     "LIBOR" means, in relation to any Loan:

     (a)  the applicable Screen Rate; or

     (b)  (if no Screen Rate is available for yen or for the Interest Period of
          that Loan) the arithmetic mean of the rates (rounded upwards to four
          decimal places) as supplied to the Agent at its request quoted by the
          Reference Banks to leading banks in the London interbank market,

     as of the Specified Time on the Quotation Day for the offering of deposits
     in yen and for a period comparable to the Interest Period for that Loan.

     "LOAN" means the Tranche A Loan and/or the Tranche B Loan.

     "MAJORITY LENDERS" means:

     (a)  if there are no Loans then outstanding, a Lender or Lenders whose
          Commitments aggregate more than 66 2/3% of the Total Commitments (or
          if the Total Commitments have been reduced to zero, aggregate more
          than 66 2/3% of the Total Commitments immediately prior to the
          reduction); or

     (b)  at any other time, a Lender or Lenders whose participations in the
          Loans then outstanding aggregate more than 66 2/3% of all the Loans
          then outstanding.

     "MANDATORY COST" means the percentage rate per annum calculated by the
     Agent in accordance with Schedule 3 (Mandatory Cost formulae).

     "MARGIN" means zero point four three five per cent. (0.435%) per annum.

     "MATERIAL ADVERSE EFFECT" means a material adverse effect on:

     (a)  the business, operations, property, condition (financial or otherwise)
          or prospects of the Borrower or the Group taken as a whole;

                                      -4-

<PAGE>

     (b)  the ability of the Borrower to perform its obligations under any of
          the Finance Documents; or

     (c)  the validity, legality or enforceability of the Finance Documents or
          the rights or remedies of any Lender or the Agent under the Finance
          Documents.

     "MONTH" means a period starting on one day in a calendar month and ending
     on the numerically corresponding day in the next calendar month, except
     that:

     (a)  if the numerically corresponding day is not a Business Day, that
          period shall end on the next Business Day in that calendar month in
          which that period is to end if there is one, or if there is not, on
          the immediately preceding Business Day;

     (b)  if there is no numerically corresponding day in the calendar month in
          which that period is to end, that period shall end on the last
          Business Day in that calendar month.

     The above rules will only apply to the last Month of any period.

     "ORIGINAL FINANCIAL STATEMENTS" means the Borrower's audited financial
     statements and the Group's audited consolidated financial statements for
     the financial year ended 31 March 2005.

     "PARENT" means Vedanta Resources plc, a corporation incorporated and
     existing under the laws of England.

     "PARTICIPATING MEMBER STATE" means any member state of the European Union
     that adopts or has adopted the euro as its lawful currency in accordance
     with legislation of the European Union relating to Economic and Monetary
     Union.

     "PARTY" means a party to this Agreement.

     "PROTECTED PARTY" means the Agent, the Mandated Lead Arrangers, or a Lender
     which is or will be subject to any liability, or required to make any
     payment, for or on account of Tax in relation to a sum received or
     receivable (or any sum deemed for the purposes of Tax to be received or
     receivable) under a Finance Document.

     "QUOTATION DAY" means, in relation to any period for which an interest rate
     is to be determined, no longer than three Business Days before the first
     day of that period unless market practice differs in the Relevant Interbank
     Market, in which case the Quotation Day will be determined by the Agent in
     accordance with market practice in the Relevant Interbank Market (and if
     quotations would normally be given by leading banks in the Relevant
     Interbank Market on more than one day, the Quotation Day will be the last
     of those days).

     "RBI" means the Reserve Bank of India.

     "REFERENCE BANK" means the principal London offices of Calyon, ICICI Bank
     Limited and Standard Chartered Bank and/or such other bank or banks as may
     be selected by the Agent in consultation with the Borrower.

                                      -5-

<PAGE>

     "RELEVANT INTERBANK MARKET" means the London interbank market.

     "REPEATING REPRESENTATIONS" means each of the representations set out in
     Clause 16.

     "SCREEN RATE" means the rate per annum determined by the Agent to be the
     offered rate (if any) appearing on the appropriate page of the Telerate
     screen (being currently page 3750) which displays the British Bankers
     Association Interest Settlement Rate for deposits in yen. If the agreed
     page is replaced or service ceases to be available, the Agent may specify
     another page or service displaying the appropriate rate after consultation
     with the Borrower and the Lenders.

     "SECURITY" means a mortgage, charge, pledge, lien or other security
     interest securing any obligation of any person or any other agreement or
     arrangement having a similar effect.

     "SPECIFIED TIME" means a time determined in accordance with Schedule 6
     (Timetables).

     "SUBSIDIARY" means in relation to any company or corporation, a company or
     corporation:

     (a)  which is controlled, directly or indirectly, by the first mentioned
          company or corporation;

     (b)  more than half the issued share capital of which is beneficially
          owned, directly or indirectly by the first mentioned company or
          corporation; or

     (c)  which is a Subsidiary of another Subsidiary of the first mentioned
          company or corporation,

     and for this purpose, a company or corporation shall be treated as being
     controlled by another if that other company or corporation is able to
     direct its affairs and/or to control the composition of its board of
     directors or equivalent body.

     "SYNDICATION DATE" means the day specified by the Mandated Lead Arrangers
     as the day on which primary syndication of the Facilities is completed.

     "TAX" means any tax, levy, impost, duty or other charge or withholding of a
     similar nature (including any penalty or interest payable in connection
     with any failure to pay or any delay in paying any of the same).

     "TAX DEDUCTION" means a deduction or withholding for or on account of Tax
     from a payment under a Finance Document.

     "TAX PAYMENT" means either the increase in a payment made by the Borrower
     to a Lender or the Agent under Clause 11.2 (Tax gross-up) or a payment
     under Clause 11.3 (Tax indemnity).

     "TOTAL SECURED DEBT" has the meaning given to it in Clause 18.1 (Financial
     Definitions).

     "TRANCHE" means any of Tranche A or Tranche B, as the context may require.

     "TRANCHE A" or "TRANCHE A FACILITY" means the term loan facility granted to
     the Borrower in this Agreement by the Tranche A Lenders pursuant to clause
     2.1.

                                      -6-

<PAGE>

     "TRANCHE A COMMITMENT" means:

     (a)  in relation to a Tranche A Lender, the amount in dollars set opposite
          its name under the heading "Commitment" in Part 1 of Schedule 7
          (Initial Lenders) and as amended by the amount of any other Tranche A
          Commitment transferred to it or by it under this Agreement to the
          extent not cancelled or reduced under this Agreement; and

     (b)  in relation to any other Lender, the amount in dollars of any Tranche
          A Commitment transferred to it under this Agreement.

     "TRANCHE A LENDER" means any financial institution:

     (a)  named in Part 1 of Schedule 7 (Initial Lenders); or

     (b)  which has become a party hereto with rights and/or obligations in
          respect of Tranche A in accordance with Clause 21 (Changes to the
          Lenders) or pursuant to an accession agreement with the Borrower and
          the Initial Lenders,

     and which has not ceased to be a party hereto in accordance with the terms
     hereof.

     "TRANCHE A LOAN" means a loan made or to be made under the Tranche A
     Facility or the principal amount outstanding for the time being of that
     loan.

     "TRANCHE A TERMINATION DATE" means 5th June 2007, or, if that is not a
     Business Day, the immediately preceding Business Day.

     "TRANCHE B" or "TRANCHE B FACILITY" means the term loan facility granted to
     the Borrower in this Agreement by the Tranche B Lenders pursuant to Clause
     2.2.

     "TRANCHE B COMMITMENT" means:

     (a)  in relation to a Tranche B Lender, the amount in dollars set opposite
          its name under the heading "Commitment" in Part 2 of Schedule 7
          (Initial Lenders) and as amended by the amount of any other Tranche B
          Commitment transferred to it or by it under this Agreement to the
          extent not cancelled or reduced under this Agreement; and

     (b)  in relation to any other Lender, the amount in dollars of any Tranche
          B Commitment transferred to it under this Agreement.

     "TRANCHE B LENDER" means any financial institution:

     (a)  named in Part 2 of Schedule 7 (Initial Lenders); or

     (b)  which has become a party hereto with rights and/or obligations in
          respect of Tranche B in accordance with Clause 21 (Changes to the
          Lenders) or pursuant to an accession agreement with the Borrower and
          the Initial Lenders,

     and which has not ceased to be a party hereto in accordance with the terms
     hereof.

                                      -7-

<PAGE>

     "TRANCHE B LOAN" means a loan made or to be made under the Tranche B
     Facility or the principal amount outstanding for the time being of that
     loan.

     "TRANCHE B TERMINATION DATE" means 24th September 2008 or, if that is not a
     Business Day, the immediately preceding Business Day.

     "TRANSFER CERTIFICATE" means a certificate substantially in the form set
     out in Schedule 4 (Form of Transfer Certificate) or any other form agreed
     between the Agent and the Borrower.

     "TRANSFER DATE" means, in relation to a transfer, the later of:

     (a)  the proposed Transfer Date specified in the Transfer Certificate; and

     (b)  the date on which the Agent executes the Transfer Certificate.

     "UNPAID SUM" means any sum due and payable but unpaid by the Borrower under
     the Finance Documents.

     "US$25,000,000 FACILITY AGREEMENT" means the facility agreement between the
     Borrower, Credit Agricole Indosuez as Lender and Credit Agricole Indosuez,
     Singapore Branch as Agent dated 1 September 2003.

     "US$67,600,000 FACILITY AGREEMENT" means the facility agreement between the
     Borrower, ABN AMRO Bank N.V., ANZEF Limited and ICICI Bank Limited,
     Singapore Branch as Lead Arrangers and Underwriters, ABN AMRO Bank N.V. as
     Agent and the financial institutions named therein as Lenders dated 3 June
     2004.

     "UTILISATION" means a utilisation of the Facilities.

     "UTILISATION DATE" means the date of a Utilisation, being the date on which
     the relevant Loan is to be made.

     "UTILISATION REQUEST" means a notice substantially in the form set out in
     Schedule 2 (Utilisation Request).

     "VAT" means value added tax as provided for in the Value Added Tax Act 1994
     (UK) and any other tax of a similar nature in any applicable jurisdiction
     (including any service tax or interest tax or GST).

     "YEN EQUIVALENT" of a dollar amount means that amount of dollars converted
     to yen at the Agent's Rate of Exchange on the Business Day prior to the
     proposed date for making that Loan.

1.2  CONSTRUCTION

     (a)  Unless a contrary indication appears any reference in this Agreement
          to:

          (i)  The "AGENT", any "LENDER", the "BORROWER" or any "PARTY" shall be
               construed so as to include its successors in title, permitted
               assigns and permitted transferees;

                                      -8-

<PAGE>

          (ii) "ASSETS" includes present and future properties, revenues and
               rights of every description;

          (iii) a "FINANCE DOCUMENT" or any other agreement or instrument is a
               reference to that Finance Document or other agreement or
               instrument as amended, restated, supplemented or novated;

          (iv) "INDEBTEDNESS" includes any obligation (whether incurred as
               principal or as surety) for the payment or repayment of money,
               whether present or future, actual or contingent;

          (v)  a "PERSON" includes any person, firm, company, corporation,
               government, state or agency of a state or any association, trust
               or partnership (whether or not having separate legal personality)
               of two or more of the foregoing;

          (vi) a "REGULATION" includes any regulation, rule, official directive,
               request or guideline (whether or not having the force of law) of
               any governmental, intergovernmental or supranational body,
               agency, department or regulatory, self-regulatory or other
               authority or organisation;

          (vii) a provision of law is a reference to that provision as amended
               or re-enacted; and

          (viii) a time of day is a reference to London time.

     (b)  Section, Clause and Schedule headings are for ease of reference only.

     (c)  Unless a contrary indication appears, a term used in any other Finance
          Document or in any notice given under or in connection with any
          Finance Document has the same meaning in that Finance Document or
          notice as in this Agreement.

     (d)  A Default (other than an Event of Default) is "CONTINUING" if it has
          not been remedied or waived and an Event of Default is "CONTINUING" if
          it has not been waived.

     (e)  Words importing the plural shall include the singular and vice versa.

     (f)  Reference to the words "INCLUDE" or "INCLUDING" shall be construed
          without limitation.

     (g)  In the event of any disagreement or dispute between any Finance
          Party(ies) and the Borrower regarding the materiality of any matter
          including of any event, occurrence, circumstance, change, fact,
          information, document, authorisation, proceeding, act, omission,
          claims, breach, default or otherwise, the opinion of the Majority
          Lenders as to the materiality of any of the foregoing shall be final
          and binding on the Borrower (without prejudice to the Borrower's legal
          rights under this Agreement).

1.3  CURRENCY SYMBOLS AND DEFINITIONS

     (a)  "$" and "DOLLAR" denote lawful currency of the United States of
          America.

                                      -9-

<PAGE>

     (b)  "YEN" and "YEN" denote lawful currency of Japan.

1.4  THIRD PARTY RIGHTS

     (a)  Unless expressly provided to the contrary in a Finance Document, a
          person who is not a Party has no right under the Contracts (Rights of
          Third Parties) Act 1999 (the "THIRD PARTIES ACT") to enforce or to
          enjoy the benefit of any term of this Agreement.

     (b)  Notwithstanding any term of any Finance Document, the consent of any
          person who is not a Party is not required to rescind or vary this
          Agreement at any time.

                                      -10-

<PAGE>

                                    SECTION 2
                                  THE FACILITY

2.   THE FACILITIES

2.1  TRANCHE A FACILITY

     Subject to the terms of this Agreement, the Tranche A Lenders make
     available to the Borrower a yen term loan facility in an aggregate amount
     equal to the Tranche A Commitment.

2.2  TRANCHE B FACILITY

     Subject to the terms of this Agreement, the Tranche B Lenders make
     available to the Borrower a yen term loan facility in the aggregate amount
     equal to the Tranche B Commitment.

2.3  AGENT AND LENDERS' RIGHTS AND OBLIGATIONS

     (a)  The obligations of each Lender and the Agent under the Finance
          Documents are several. Failure by a Lender or the Agent to perform its
          obligations under the Finance Documents does not affect the
          obligations of any other Party under the Finance Documents. No Lender
          nor the Agent is responsible for the obligations of any other Party
          under the Finance Documents.

     (b)  The rights of each Lender and the Agent under or in connection with
          the Finance Documents are separate and independent rights and any debt
          arising under the Finance Documents to a Lender or the Agent from the
          Borrower shall be a separate and independent debt.

     (c)  The Agent or a Lender may, except as otherwise stated in the Finance
          Documents, separately enforce its rights under the Finance Documents.

3.   PURPOSE

3.1  PURPOSE OF TRANCHE A FACILITY

     The Borrower shall apply all amounts borrowed by it under the Tranche A
     Facility to repay all amounts outstanding under the US$67,600,000 Facility
     Agreement.

3.2  PURPOSE OF TRANCHE B FACILITY

     The Borrower shall apply all amounts borrowed by it under the Tranche B
     Facility to repay all amounts outstanding under the US$25,000,000 Facility
     Agreement.

3.3  MONITORING

     No Lender nor the Agent is bound to monitor or verify the application of
     any amount borrowed pursuant to this Agreement.

4.   CONDITIONS OF UTILISATION

4.1  INITIAL CONDITIONS PRECEDENT

     The Borrower may not deliver a Utilisation Request unless the Agent has
     received all of the documents and other evidence listed in Schedule 1
     (Conditions precedent) in form and substance satisfactory to the Agent. The
     Agent shall notify the Borrower and the Lenders promptly upon being so
     satisfied.

                                      -11-

<PAGE>

4.2  FURTHER CONDITIONS PRECEDENT

     The Lenders will only be obliged to comply with Clause 5.4 (Loan) if on the
     date of the Utilisation Request and on the proposed Utilisation Date:

     (a)  no Default is continuing or would result from the proposed Loan; and

     (b)  the Repeating Representations to be made by the Borrower are true in
          all material respects.

                                      -12-

<PAGE>

                                    SECTION 3
                                   UTILISATION

5.   UTILISATION

5.1  UTILISATION OF TRANCHE A

     (a)  The Borrower may utilise the Tranche A Facility by delivery to the
          Agent of a duly completed Utilisation Request not later than the
          Specified Time.

     (b)  The Borrower shall be entitled (subject to the terms of this
          Agreement) to utilise the Tranche A Facility for a single Loan only.

     (c)  A Utilisation Request for the making of a Tranche A Loan is
          irrevocable and will not be regarded as having been duly completed
          unless:

          (i)  the proposed Utilisation Date for the making of the Tranche A
               Loan is a Business Day within the Availability Period;

          (ii) the currency and amount of the Utilisation of the Tranche A Loan
               comply with Clause 5.3; and

          (iii) the proposed Interest Period applicable to the Tranche A Loan
               complies with Clause 9 (Interest Periods).

     (d)  The amount of the proposed Loan under the Tranche A Facility must be
          an amount which is equal to the Available Tranche A Facility.

5.2  UTILISATION OF TRANCHE B

     (a)  The Borrower may utilise the Tranche B Facility by delivery to the
          Agent of a duly completed Utilisation Request not later than the
          Specified Time.

     (b)  The Borrower shall be entitled (subject to the terms of this
          Agreement) to utilise the Tranche B Facility for a single Loan only.

     (c)  A Utilisation Request for the making of a Tranche B Loan is
          irrevocable and will not be regarded as having been duly completed
          unless:

          (i)  the proposed Utilisation Date for the making of the Tranche B
               Loan is a Business Day within the Availability Period;

          (ii) the currency and amount of the Utilisation of the Tranche B Loan
               comply with Clause 5.3; and

          (iii) the proposed Interest Period applicable to the Tranche B Loan
               complies with Clause 9 (Interest Periods).

     (d)  The amount of the proposed Loan under the Tranche B Facility must be
          an amount which is equal to the Available Tranche B Facility.

5.3  CURRENCY AND AMOUNT

     (a)  The currency specified in a Utilisation Request must be in dollars.

     (b)  Each Loan shall be made available in yen.

                                      -13-

<PAGE>

     (c)  The amount of the relevant Loan shall be the Yen Equivalent of the
          dollar amount specified in the relevant Utilisation Request, as
          calculated by the Agent using the Agent's Rate of Exchange.

5.4  LOAN

     (a)  If the conditions set out in this Agreement have been met, each
          Tranche A Lender shall make its portion of the Tranche A Loan
          available by the Utilisation Date through its Facility Office in the
          proportion borne by its Available Tranche A Commitment to the
          Available Tranche A Facility immediately prior to the making of the
          Tranche A Loan.

     (b)  If the conditions set out in this Agreement have been met, each
          Tranche B Lender shall make its portion of the Tranche B Loan
          available by the Utilisation Date through its Facility Office in the
          proportion borne by its Available Tranche B Commitment to the
          Available Tranche B Facility immediately prior to the making of the
          Tranche B Loan.

5.5  REDUCTION IN COMMITMENTS

     (a)  If a Lender's Available Tranche A Commitment is reduced in accordance
          with the terms hereof (whether before or after the Agent has received
          the Utilisation Request for the Loans) and such reduction was not
          taken into account in the Available Tranche A Facility, then the
          amount of the Tranche A Loan shall be reduced accordingly.

     (b)  If a Lender's Available Tranche B Commitment is reduced in accordance
          with the terms hereof (whether before or after the Agent has received
          the Utilisation Request for the Loans) and such reduction was not
          taken into account in the Available Tranche B Facility, then the
          amount of the Tranche B Loan shall be reduced accordingly.

                                      -14-
<PAGE>

                                    SECTION 4
                     REPAYMENT, PREPAYMENT AND CANCELLATION

6.   REPAYMENT

6.1  REPAYMENT OF LOANS

     (a)  The Borrower shall repay the Tranche A Loan in full on the Tranche A
          Termination Date.

     (b)  The Borrower shall repay the Tranche B Loan in full on the Tranche B
          Termination Date.

7.   PREPAYMENT AND CANCELLATION

7.1  ILLEGALITY

     If, at any time, it is or will become unlawful in any applicable
     jurisdiction for a Lender to perform any of its obligations as contemplated
     by this Agreement or to fund or maintain its participation in any Loan:

     (a)  that Lender shall promptly notify the Agent upon becoming aware of
          that event;

     (b)  upon the Agent notifying the Borrower, the Commitment of that Lender
          will be immediately cancelled; and

     (c)  the Borrower shall repay that Lender's participation in the Loans made
          to the Borrower on the last day of the Interest Period for each Loan
          occurring after the Agent has notified the Borrower or on the date
          specified by the Lender in the notice delivered to the Agent
          (whichever is earlier).

7.2  AUTOMATIC CANCELLATION

     At the close of the last Business Day of the Availability Period (or, if
     earlier, the Utilisation Date), the undrawn Commitment at that time shall
     automatically be cancelled.

7.3  VOLUNTARY CANCELLATION

     The Borrower may, if it gives the Agent not less than 5 Business Days' (or
     such shorter period as the Majority Lenders may agree) prior written
     notice, cancel the whole or any part (but, if in part, in a minimum amount
     of $5,000,000 and, if higher, in integral multiples of $1,000,000) of the
     Available Facility provided that no amount of the Tranche A Facility may be
     cancelled while any amount of the Available Tranche B Facility remains
     undrawn.

7.4  VOLUNTARY PREPAYMENT OF LOANS

     (a)  The Borrower may, if it gives the Agent not less than 30 days' (or
          such shorter period as the Majority Lenders may agree) prior written
          notice of an intended prepayment, and if all necessary regulatory
          approvals are obtained (if any), prepay the whole or any part of the
          Loans (but, if in part, being an amount that reduces the amount of the
          Loans pro rata and by a minimum amount which is the Yen Equivalent of
          $5,000,000 (based on the Agent's Rate of Exchange used in connection
          with the drawdown of the Loans) and, if higher, in integral multiples
          which are the Yen Equivalent of $1,000,000 (based on the Agent's

                                      -15-

<PAGE>

          Rate of Exchange used in connection with the drawdown of the Loans))
          on the last day of an Interest Period.

     (b)  The Loans may only be prepaid after the last day of the Availability
          Period (or, if earlier, the day on which the Available Facility is
          zero).

     (c)  Any prepayment under this Clause 7.4 shall reduce each of the Lenders'
          participations in the Loans pro rata.

     (d)  Any prepayment under this Clause 7.4 shall be made in compliance with
          the ECB guidelines of the RBI.

7.5  RIGHT OF REPAYMENT IN RELATION TO A SINGLE LENDER

     (a)  If:

          (i)  any Lender claims indemnification from the Borrower under Clause
               11.3 (Tax indemnity) or Clause 12 (Increased costs); or

          (ii) any Lender notifies the Agent of its Additional Cost Rate under
               paragraph 3 of Schedule 3 (Mandatory Cost formulae),

          the Borrower may, whilst (in the case of paragraph (i) above) the
          circumstance giving rise to the requirement or indemnification
          continues or (in the case of paragraph (ii) above) that Additional
          Cost Rate is greater than zero, give the Agent notice of its intention
          to procure the repayment of that Lender's participation in the Loans.

     (b)  On the last day of each Interest Period which ends after the Borrower
          has given notice under paragraph (a) above or on the date specified by
          the Borrower in that notice (whichever is earlier), the Borrower shall
          repay that Lender's participation in that Loan.

7.6  RESTRICTIONS

     (a)  Any notice of cancellation or prepayment given by any Party under this
          Clause 7 shall be irrevocable and, unless a contrary indication
          appears in this Agreement, shall specify the date or dates upon which
          the relevant cancellation or prepayment is to be made and the amount
          of that cancellation or prepayment.

     (b)  Any prepayment under this Agreement shall be made together with
          accrued interest on the amount prepaid and any applicable Break Costs,
          but without any other premium or penalty.

     (c)  The Borrower may not reborrow any part of the Facilities which is
          prepaid.

     (d)  The Borrower shall not repay or prepay all or any part of the Loans or
          cancel all or any part of the Commitments except at the times and in
          the manner expressly provided for in this Agreement.

     (e)  No amount of the Commitments cancelled under this Agreement may be
          subsequently reinstated.

                                      -16-

<PAGE>

     (f)  If the Agent receives a notice under this Clause 7 it shall promptly
          forward a copy of that notice to either the Borrower or the affected
          Lender, as appropriate.

                                      -17-

<PAGE>

                                    SECTION 5
                              COSTS OF UTILISATION

8.   INTEREST

8.1  INTEREST RATE

     The rate of interest on the Loan for each Interest Period is the percentage
     rate per annum which is the aggregate of the applicable:

     (a)  Margin;

     (b)  LIBOR; and

     (c)  Mandatory Cost, if any.

8.2  CALCULATION OF INTEREST

     Interest shall accrue from day to day at the rate determined under Clause
     8.1 (Interest Rate), on the basis of actual days elapsed and a 360 day
     year.

8.3  PAYMENT OF INTEREST

     On the last day of each Interest Period the Borrower shall pay accrued
     interest on the Loan to which that Interest Period relates.

8.4  DEFAULT INTEREST

     (a)  If the Borrower fails to pay any amount payable by it under a Finance
          Document on its due date, interest shall accrue on the overdue amount
          from the due date up to the date of actual payment (both before and
          after judgment) at a rate which, subject to paragraph (b) below is two
          per cent higher than the rate which would have been payable if the
          overdue amount had, during the period of non-payment, constituted a
          Loan in the currency of the overdue amount for successive Interest
          Periods, each of a duration selected by the Agent (acting reasonably).
          Any interest accruing under this Clause 8.4 shall be immediately
          payable by the Borrower on demand by the Agent.

     (b)  If any overdue amount consists of all or part of a Loan which became
          due on a day which was not the last day of an Interest Period relating
          to that Loan:

          (i)  the first Interest Period for that overdue amount shall have a
               duration equal to the unexpired portion of the current Interest
               Period relating to that Loan; and

          (ii) the rate of interest applying to the overdue amount during that
               first Interest Period shall be two per cent. higher than the rate
               which would have applied if the overdue amount had not become
               due.

     (c)  Default interest (if unpaid) arising on an overdue amount will be
          compounded with the overdue amount at the end of each Interest Period
          applicable to that overdue amount but will remain immediately due and
          payable.

                                      -18-

<PAGE>

8.5  NOTIFICATION OF RATES OF INTEREST

     The Agent shall promptly notify the Lenders and the Borrower from time to
     time of the determination of a rate of interest under this Agreement. The
     certificate of the Agent as to the rate and the amount of interest payable
     under this Agreement shall, in the absence of manifest error, be conclusive
     and binding on all Parties.

9.   INTEREST PERIODS

9.1  INTEREST PERIODS

     (a)  The Interest Periods for the Loans will, subject to the remainder of
          this clause 9 and save as otherwise provided herein, be one, two,
          three or six Months (or such other period as the Borrower and the
          Lenders may agree) as the Borrower may select in the Utilisation
          Request starting on the Utilisation Date or (for subsequent Interest
          Periods) no later than the Specified Time.

     (b)  An Interest Period for Tranche A Loan shall not extend beyond the
          Tranche A Termination Date and an Interest Period for Tranche B Loan
          shall not extend beyond the Tranche B Termination Date.

     (c)  Prior to the earlier of (a) the Syndication Date and (b) the last day
          of the second Interest Period for a Tranche A Loan (the "RELEVANT
          DATE"):

          (i)  Interest Periods shall, (subject in the case of the first
               Interest Period for a Tranche B Loan to paragraph (ii) below), be
               one Month or such other period as the Agent and the Borrower may
               agree; and

          (ii) the Borrower shall ensure that the first Interest Period for a
               Tranche B Loan shall end at the same time as the first Interest
               Period for a Tranche A Loan.

     (d)  Interest Periods for a Loan under a particular Tranche commencing on
          or after the Relevant Date shall be of the same duration as Interest
          Periods commencing at the same time under the other Tranche.

9.2  NON-BUSINESS DAYS

     If an Interest Period would otherwise end on a day which is not a Business
     Day, that Interest Period will instead end on the preceding Business Day.

9.3  CONSOLIDATION OF LOANS

     If two or more Interest Periods for Loans under a particular Tranche end on
     the same date, those Loans will be consolidated into, and treated as, a
     single Loan on the last day of the Interest Period.

10.  CHANGES TO THE CALCULATION OF INTEREST

10.1 ABSENCE OF QUOTATIONS

     Subject to Clause 10.2 (Market disruption), if LIBOR is to be determined by
     reference to the Reference Banks but a Reference Bank does not supply a
     quotation by the Specified Time on the Quotation Day, the applicable LIBOR
     shall be determined on the basis of the quotations of the remaining
     Reference Banks.

                                      -19-

<PAGE>

10.2 MARKET DISRUPTION

     (a)  If a Market Disruption Event occurs in relation to a Loan for any
          Interest Period, then the rate of interest on each Lender's share of
          that Loan for the Interest Period shall be the rate per annum which is
          the sum of:

          (i)  the Margin;

          (ii) the rate notified to the Agent by that Lender as soon as
               practicable and in any event before interest is due to be paid in
               respect of that Interest Period, to be that which expresses as a
               percentage rate per annum the cost to that Lender of funding its
               participation in that Loan from whatever source it may reasonably
               select; and

          (iii) the Mandatory Cost, if any, applicable to that Lender's
               participation in the Loan.

     (b)  In this Agreement "MARKET DISRUPTION EVENT" means:

          (i)  at or about noon on the Quotation Day for the relevant Interest
               Period the Screen Rate is not available and none of the Reference
               Banks supplies a rate to the Agent to determine LIBOR for yen and
               the relevant Interest Period; or

          (ii) before close of business in London on the Quotation Day for the
               relevant Interest Period, the Agent receives notifications from a
               Lender or Lenders (whose participations in a Loan exceed 35 per
               cent. of that Loan) that the cost to it of obtaining matching
               deposits in the Relevant Interbank Market would be in excess of
               LIBOR.

10.3 ALTERNATIVE BASIS OF INTEREST OR FUNDING

     (a)  If a Market Disruption Event occurs, the Agent and the Borrower shall
          (in good faith) enter into negotiations (for a period of not more than
          thirty days) with a view to agreeing a substitute basis for
          determining the rate of interest.

     (b)  Any alternative basis agreed pursuant to paragraph (a) above shall,
          with the prior consent of all the Lenders and the Borrower, take
          effect in accordance with its terms and be binding on all Parties.

10.4 BREAK COSTS

     (a)  The Borrower shall, within seven Business Days of demand by a Lender,
          pay to that Lender its Break Costs attributable to all or any part of
          a Loan or Unpaid Sum being paid by the Borrower on a day other than
          the last day of an Interest Period for that Loan or Unpaid Sum.

     (b)  Each Lender shall, as soon as reasonably practicable after a demand by
          the Agent, provide a certificate confirming the amount of its Break
          Costs for any Interest Period in which they accrue.

                                      -20-

<PAGE>

                                    SECTION 6
                         ADDITIONAL PAYMENT OBLIGATIONS

11.  TAX GROSS UP AND INDEMNITIES

11.1 DETERMINATIONS

     Unless a contrary indication appears, in this Clause 11 a reference to
     "determines" or "determined" means a determination made in the absolute
     discretion of the person making the determination.

11.2 TAX GROSS-UP

     (a)  The Borrower shall make all payments to be made by it to any Lender or
          the Agent without any Tax Deduction, unless a Tax Deduction is
          required by law.

     (b)  The Borrower shall promptly upon becoming aware that it must make a
          Tax Deduction (or that there is any change in the rate or the basis of
          a Tax Deduction) notify the Agent accordingly. Similarly, a Lender
          shall notify the Agent on becoming so aware in respect of a payment
          payable to that Lender. If the Agent receives such notification from a
          Lender it shall notify the Borrower.

     (c)  If a Tax Deduction is required by law or regulation to be made by the
          Borrower, the amount of the payment due from the Borrower shall be
          increased to an amount which (after making any Tax Deduction) leaves
          an amount equal to the payment which would have been due if no Tax
          Deduction had been required.

     (d)  If the Borrower is required to make a Tax Deduction, it shall make
          that Tax Deduction and any payment required in connection with that
          Tax Deduction within the time allowed and in the minimum amount
          required by law.

     (e)  Within thirty days of making either a Tax Deduction or any payment
          required in connection with that Tax Deduction, the Borrower shall
          deliver to the Agent for itself or the Lender entitled to the payment
          evidence reasonably satisfactory to that person that the Tax Deduction
          has been made or (as applicable) any appropriate payment paid to the
          relevant taxing authority.

11.3 TAX INDEMNITY

     (a)  The Borrower shall (within three Business Days of demand by the Agent)
          pay to a Protected Party an amount equal to the loss, liability or
          cost which that Protected Party determines will be or has been
          (directly or indirectly) suffered for or on account of Tax by that
          Protected Party in respect of a Finance Document.

     (b)  Paragraph (a) above shall not apply:

          (i)  with respect to any Tax assessed on a Lender or the Agent:

               (A)  under the law of the jurisdiction in which that Lender or
                    the Agent is incorporated or, if different, the jurisdiction
                    (or jurisdictions) in which that Lender or the Agent is
                    treated as resident for tax purposes; or

                                      -21-

<PAGE>

               (B)  under the law of the jurisdiction in which that Party's
                    Facility Office is located in respect of amounts received or
                    receivable in that jurisdiction,

               if that Tax is imposed on or calculated by reference to the net
               income received or receivable (but not any sum deemed to be
               received or receivable) by that Party; or

          (ii) to the extent a loss, liability or cost is compensated for by an
               increased payment under Clause 11.2 (Tax gross-up).

     (c)  A Protected Party making, or intending to make a claim under paragraph
          (a) above shall promptly notify the Agent of the event which will
          give, or has given, rise to the claim, following which the Agent shall
          notify the Borrower.

     (d)  A Protected Party shall, on receiving a payment from the Borrower
          under this Clause 11.3, notify the Agent.

11.4 STAMP TAXES

     The Borrower shall pay and, within three Business Days of demand, indemnify
     each Lender or the Agent against any cost, loss or liability that Lender or
     the Agent incurs in relation to all stamp duty, registration and other
     similar Taxes payable in respect of any Finance Document.

11.5 VALUE ADDED TAX

     (a)  All consideration expressed to be payable under a Finance Document by
          any Party to a Lender or the Agent shall be deemed to be exclusive of
          any VAT. If VAT is chargeable on any supply made by any Lender or the
          Agent to any Party in connection with a Finance Document, that Party
          shall pay to the Lender or the Agent (in addition to and at the same
          time as paying the consideration) an amount equal to the amount of the
          VAT.

     (b)  Where a Finance Document requires any Party to reimburse a Lender or
          the Agent for any costs or expenses, that Party shall also at the same
          time pay and indemnify the Lender or the Agent against all VAT
          incurred by the Lender or the Agent in respect of the costs or
          expenses to the extent that the Lender or the Agent reasonably
          determines that it is not entitled to credit, repayment, return or
          refund of the VAT.

12.  INCREASED COSTS

12.1 INCREASED COSTS

     (a)  Subject to Clause 12.3 (Exceptions) the Borrower shall, within three
          Business Days of a demand by the Agent, pay for the account of a
          Lender or the Agent the amount of any Increased Costs incurred by that
          Lender or the Agent or any of its Affiliates as a result of (i) the
          introduction of or any change in (or in the interpretation,
          administration or application of) any law or regulation or (ii)
          compliance with any law or regulation made after the date of this
          Agreement. The terms "law" and "regulation" in this paragraph (a)
          shall include, without

                                      -22-

<PAGE>

          limitation, any law or regulation concerning capital adequacy,
          prudential limits, liquidity, reserve assets or Tax.

     (b)  In this Agreement "INCREASED COSTS" means:

          (i)  a reduction in the rate of return from the Facility or on a
               Lender or the Agent's (or its Affiliate's) overall capital;

          (ii) an additional or increased cost; or

          (iii) a reduction of any amount due and payable under any Finance
               Document,

          which is incurred or suffered by a Lender or the Agent or any of its
          Affiliates to the extent that it is attributable to that Lender or the
          Agent having entered into its Commitment or funding or performing its
          obligations under any Finance Document.

12.2 INCREASED COST CLAIMS

     (a)  A Lender intending to make a claim pursuant to Clause 12.1 (Increased
          costs) shall notify the Agent of the event giving rise to the claim,
          following which the Agent shall promptly notify the Borrower.

     (b)  Each Lender shall, as soon as practicable after a demand by the Agent,
          provide a certificate confirming the amount of its Increased Costs.

12.3 EXCEPTIONS

     Clause 12.1 (Increased costs) does not apply to the extent any Increased
     Cost is:

     (a)  attributable to a Tax Deduction required by law to be made by the
          Borrower;

     (b)  compensated for by Clause 11.3 (Tax indemnity) (or would have been
          compensated for under Clause 11.3 (Tax indemnity) but was not so
          compensated solely because any of the exclusions in paragraph (b) of
          Clause 11.3 (Tax indemnity) applied);

     (c)  compensated for by the payment of the Mandatory Cost; or

     (d)  attributable to the wilful breach by the relevant Lender or the Agent
          or its Affiliates of any law or regulation.

13.  OTHER INDEMNITIES

13.1 CURRENCY INDEMNITY

     (a)  If any sum due from the Borrower under the Finance Documents (a
          "SUM"), or any order, judgment or award given or made in relation to a
          Sum, has to be converted from the currency (the "FIRST CURRENCY") in
          which that Sum is payable into another currency (the "SECOND
          CURRENCY") for the purpose of:

          (i)  making or filing a claim or proof against the Borrower;

          (ii) obtaining or enforcing an order, judgment or award in relation to
               any litigation or arbitration proceedings,

                                      -23-

<PAGE>

          the Borrower shall as an independent obligation, within three Business
          Days of demand, indemnify each Lender or the Agent to whom that Sum is
          due against any cost, loss or liability arising out of or as a result
          of the conversion including any discrepancy between (A) the rate of
          exchange used to convert that Sum from the First Currency into the
          Second Currency and (B) the rate or rates of exchange available to
          that person at the time of its receipt of that Sum.

     (b)  The Borrower waives any right it may have in any jurisdiction to pay
          any amount under the Finance Documents in a currency or currency unit
          other than that in which it is expressed to be payable.

13.2 OTHER INDEMNITIES

     The Borrower shall, within three Business Days of demand, indemnify each
     Lender or the Agent against any cost and expense (including legal fees),
     loss or liability incurred by that Party as a result of:

     (a)  the occurrence of any Event of Default;

     (b)  a failure by the Borrower to pay any amount due under a Finance
          Document on its due date, including without limitation, any cost, loss
          or liability arising as a result of Clause 25 (Sharing among the
          Lenders);

     (c)  funding, or making arrangements to fund, its participation in a Loan
          requested by the Borrower in a Utilisation Request but not made by
          reason of the operation of any one or more of the provisions of this
          Agreement (other than by reason of default or negligence by that Party
          alone); or

     (d)  a Loan (or part of a Loan) not being prepaid in accordance with a
          notice of prepayment given by the Borrower.

13.3 INDEMNITY TO THE AGENT

     The Borrower shall promptly indemnify the Agent against any cost and
     expense (including legal fees), loss or liability incurred by the Agent
     (acting reasonably) as a result of:

     (a)  investigating any event which it believes is a Default; or

     (b)  acting or relying on any notice, request or instruction which it
          believes to be genuine, correct and appropriately authorised.

14.  MITIGATION BY THE LENDERS

14.1 MITIGATION

     (a)  Each Lender and the Agent shall, in consultation with the Borrower,
          take all reasonable steps to mitigate any circumstances which arise
          and which would result in any amount becoming payable under or
          pursuant to, or cancelled pursuant to, any of Clause 7.1 (Illegality),
          Clause 12 (Increased costs) or paragraph 3 of Schedule 3 (Mandatory
          Cost formulae) including (but not limited to) transferring its rights
          and obligations under the Finance Documents to another Affiliate or
          Facility Office.

                                      -24-

<PAGE>

     (b)  Paragraph (a) above does not in any way limit the obligations of the
          Borrower under the Finance Documents.

14.2 LIMITATION OF LIABILITY

     (a)  The Borrower shall indemnify each Lender and the Agent for all costs
          and expenses (including legal fees) reasonably incurred by that Party
          as a result of steps taken by it under Clause 14.1 (Mitigation).

     (b)  The Agent or a Lender is not obliged to take any steps under Clause
          14.1 (Mitigation) if, in the opinion of that Party (acting
          reasonably), to do so might be prejudicial to it.

15.  COSTS AND EXPENSES

15.1 TRANSACTION EXPENSES

     The Borrower shall promptly on demand pay the Agent the amount of all costs
     and expenses (including legal fees and fees of other external advisors)
     reasonably incurred by any of them in connection with the negotiation,
     preparation, printing, execution and syndication of:

     (a)  this Agreement and any other documents referred to in this Agreement;
          and

     (b)  any other Finance Documents executed after the date of this Agreement.

15.2 AMENDMENT COSTS

     If (a) an amendment, waiver or consent is required in relation to any
     Finance Document or (b) an amendment is required pursuant to Clause 26.9
     (Change of currency), the Borrower shall, within three Business Days of
     demand, reimburse the Agent for the amount of all costs and expenses
     (including legal fees) reasonably incurred by the Agent in responding to,
     evaluating, negotiating or complying with that request or requirement.

15.3 ENFORCEMENT COSTS

     The Borrower shall, within three Business Days of demand, pay to each
     Lender and the Agent the amount of all costs and expenses (including legal
     fees and fees of other external advisors) incurred by that Party in
     connection with the enforcement of, or the preservation of any rights
     under, any Finance Document.

                                      -25-

<PAGE>

                                    SECTION 7
               REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT

16.  REPRESENTATIONS

     The Borrower makes the representations and warranties set out in this
     Clause 16 to each Lender and the Agent on the date of this Agreement.

16.1 STATUS

     (a)  It is a corporation, duly incorporated and validly existing under the
          law of its jurisdiction of incorporation.

     (b)  It and each of its Subsidiaries has the power to own its assets and
          carry on its business as it is being conducted.

16.2 BINDING OBLIGATIONS

     The obligations expressed to be assumed by it in each Finance Document are,
     subject to any general principles of law as at the date of this Agreement
     limiting the enforcement of its obligations (as referred to in the legal
     opinions provided in connection with this transaction pursuant to Schedule
     1, paragraph 2), legal, valid, binding and enforceable obligations.

16.3 NON-CONFLICT WITH OTHER OBLIGATIONS

     The entry into and performance by it of, and the transactions contemplated
     by, the Finance Documents do not and will not conflict with:

     (a)  any law or regulation applicable to it;

     (b)  its or any of its Subsidiaries' constitutional documents; or

     (c)  any agreement or instrument binding upon it or any of its Subsidiaries
          or any of its or any of its Subsidiaries' assets.

16.4 POWER AND AUTHORITY

     It has the power to enter into, perform and deliver, and has taken all
     necessary action to authorise its entry into, performance and delivery of,
     the Finance Documents to which it is a party and the transactions
     contemplated by those Finance Documents.

16.5 VALIDITY AND ADMISSIBILITY IN EVIDENCE

     All Authorisations required or desirable:

     (a)  to enable it lawfully to enter into, exercise its rights and comply
          with its obligations in the Finance Documents to which it is a party;
          and

     (b)  to make the Finance Documents to which it is a party admissible in
          evidence in its jurisdiction of incorporation and in England,

     have been obtained or effected and are in full force and effect.

                                      -26-

<PAGE>

16.6 GOVERNING LAW AND ENFORCEMENT

     (a)  The choice of English law as the governing law of the Finance
          Documents will be recognised and enforced in its jurisdiction of
          incorporation.

     (b)  Any judgment obtained in England in relation to a Finance Document
          will be recognised and enforced in its jurisdiction of incorporation.

16.7 DEDUCTION OF TAX

     It is not required under the law of its jurisdiction of incorporation to
     make any deduction for or on account of Tax from any payment it may make
     under any Finance Document (other than withholding Tax which must be
     grossed-up in accordance with Clause 12 of this Agreement).

16.8 NO LENDER AUTHORISATION REQUIRED

     It is not necessary for a Lender to establish a place of business in India
     or to obtain any Authorisation in India in order to participate in the
     Facility or to enforce its rights, or the obligations of the Borrower,
     under the Finance Documents.

16.9 REGISTRATION AND STAMP TAXES

     All registrations, approvals, recordings, billings or notarisations of any
     of the Finance Documents and all payments of any duty or stamp,
     registration or similar tax on the Finance Documents and all other action
     which is necessary to ensure the validity, enforceability or priority of
     the Finance Documents (or the transactions contemplated by the Finance
     Documents) in the Republic of India have been or will be duly effected,
     taken or made.

16.10 NO DEFAULT

     (a)  No Default is continuing or might reasonably be expected to result
          from the making of any Utilisation.

     (b)  No other event or circumstance is outstanding which constitutes a
          default under any other agreement or instrument which is binding on it
          or any of its Subsidiaries or to which its (or any of its
          Subsidiaries') assets are subject which might have a Material Adverse
          Effect.

16.11 NO WINDING UP

     No event or circumstance as contemplated in Clauses 20.7 (Insolvency), 20.8
     (Insolvency Proceedings) or 20.9 (Creditors' Process) exists.

16.12 NO NON-COMPLIANCE OF NEGATIVE PLEDGE

     No event or circumstance exists which might result in non-compliance of
     Clause 19.4 (Negative Pledge).

16.13 FINANCIAL STATEMENTS

     (a)  Its Original Financial Statements were prepared in accordance with
          GAAP consistently applied.

     (b)  Its Original Financial Statements fairly represent its financial
          condition and operations during the relevant financial year.

                                      -27-

<PAGE>

     (c)  There has been no material adverse change in its business or financial
          condition (or the business or consolidated financial condition of the
          Group) since the date of the Original Financial Statements.

16.14 PRIORITY

     The claims of the Agent and the Lenders against the Borrower under the
     Finance Documents will rank at least pari passu with the claims of all its
     unsecured creditors, save in relation to those whose claims are preferred
     solely by any bankruptcy, insolvency, liquidation or other similar laws of
     general application.

16.15 NO PROCEEDINGS PENDING OR THREATENED

     No litigation, arbitration or administrative proceedings of or before any
     court, arbitral body or agency which, if adversely determined, might
     reasonably be expected to have a Material Adverse Effect have (to the best
     of its knowledge and belief) been started or threatened against it or any
     of its Subsidiaries.

16.16 TAXATION

     It has duly and punctually paid and discharged all Taxes imposed upon it or
     its assets within the time period allowed without incurring penalties (save
     to the extent that (i) payment is being contested in good faith, (ii) it
     has maintained adequate reserves for those Taxes and (iii) payment can be
     lawfully withheld).

16.17 NO IMMUNITY

     In any proceedings taken in its jurisdiction of incorporation in relation
     to this Agreement, it will not be entitled to claim for itself or any of
     its assets immunity from suit, execution, attachment or other legal
     process.

16.18 PRIVATE AND COMMERCIAL ACTS

     Its execution of the Finance Documents constitutes, and its exercise of its
     rights and performance of its obligations hereunder will constitute,
     private and commercial acts done and performed for private and commercial
     purposes.

16.19 DISCLOSURE

     The information provided by the Borrower to the Mandated Lead Arrangers and
     Lenders (including, without limitation, the information provided in the
     Information Memorandum) is true and accurate in all material respects and
     fully discloses in all material respects the business and financial
     condition of the Borrower and its operations.

16.20 NO MATERIAL ADVERSE EFFECT

     No event of circumstance exists which might have a Material Adverse Effect.

16.21 REPETITION

     The Repeating Representations are deemed to be made by the Borrower (by
     reference to the facts and circumstances then existing) on the date of each
     Utilisation Request and the first day of each Interest Period.

17.  INFORMATION UNDERTAKINGS

     The undertakings in this Clause 17 remain in force from the date of this
     Agreement for so long as any amount is outstanding under the Finance
     Documents or any Commitment is in force.

                                      -28-

<PAGE>

17.1 FINANCIAL STATEMENTS

     The Borrower shall supply to the Agent in sufficient copies for all the
     Lenders:

     (a)  as soon as the same become available, but in any event within 180 days
          after the end of each of its financial years, its audited financial
          statements and the Group's audited consolidated financial statements
          for that financial year; and

     (b)  as soon as the same become available, but in any event within 90 days
          after the end of each half of each of its financial years, its
          financial statements and the Group's consolidated financial statements
          for that financial half year.

17.2 COMPLIANCE CERTIFICATE

     (a)  The Borrower shall supply to the Agent, with each set of financial
          statements delivered pursuant to paragraph (a) or (b) of Clause 17.1
          (Financial statements), a Compliance Certificate setting out (in
          reasonable detail) computations as to compliance with Clause 18
          (Financial covenants) as at the date as at which those financial
          statements were drawn up.

     (b)  Each Compliance Certificate shall be signed by two Authorised
          Signatories of the Borrower and, if required to be delivered with the
          financial statements delivered pursuant to paragraph (a) of Clause
          17.1 (Financial statements) shall be reported on by the Borrower's
          auditors, in the form set out in the Compliance Certificate.

     (c)  Each Compliance Certificate delivered with the financial statements
          delivered pursuant to paragraphs (a) and (b) of Clause 17.1 (Financial
          statements) shall set out details of the Total Secured Debt.

17.3 REQUIREMENTS AS TO FINANCIAL STATEMENTS

     (a)  Each set of financial statements delivered by the Borrower pursuant to
          Clause 17.1 (Financial statements) shall be certified by a director of
          the relevant company as fairly representing its financial condition as
          at the date as at which those financial statements were drawn up.

     (b)  The Borrower shall ensure that each set of financial statements
          delivered pursuant to Clause 17.1 (Financial statements) is prepared
          using GAAP.

17.4 INFORMATION: MISCELLANEOUS

     The Borrower shall supply to the Agent (in sufficient copies for all the
     Lenders, if the Agent so requests):

     (a)  all documents dispatched by the Borrower to its shareholders (or any
          class of them) or its creditors generally at the same time as they are
          dispatched;

     (b)  promptly upon becoming aware of them, the details of any litigation,
          arbitration or administrative proceedings which are current,
          threatened or pending against any member of the Group, and which
          might, if adversely determined, have a Material Adverse Effect; and

                                      -29-

<PAGE>

     (c)  promptly, such further information regarding the financial condition,
          business and operations of any member of the Group as any Lender
          (through the Agent) or the Agent may reasonably request.

17.5 NOTIFICATION OF DEFAULT

     (a)  The Borrower shall notify the Agent of any Default (and the steps, if
          any, being taken to remedy it) promptly upon becoming aware of its
          occurrence.

     (b)  Promptly upon a request by the Agent, the Borrower shall supply to the
          Agent a certificate signed by two of its Authorised Signatories on its
          behalf certifying that no Default is continuing (or if a Default is
          continuing, specifying the Default and the steps, if any, being taken
          to remedy it).

17.6 USE OF WEBSITES

     (a)  The Borrower may satisfy its obligation under this Agreement to
          deliver any information in relation to those Lenders ( the "Website
          Lenders") who accept this method of communication by posting this
          information onto an electronic website designated by the Borrower and
          the Agent (the "Designated Website") if:

          (i)  the Agent expressly agrees (after consultation with each of the
               Lenders) that it will accept communication of the information by
               this method;

          (ii) both the Borrower and the Agent are aware of the address of and
               any relevant password specifications for the Designated Website;
               and

          (iii) the information is in a format agreed between the Borrower and
               the Agent (acting on the instructions of the Majority Lenders).

          If any Lender (a "Paper Form Lender") does not agree to the delivery
          of information electronically then the Borrower shall supply the
          information to the Agent (in sufficient copies for each Paper Form
          Lender) in paper form. In any event the Borrower shall supply the
          Agent with at least one copy in paper form of any information required
          to be provided by it.

     (b)  The Agent shall supply each Website Lender with the address of and any
          relevant password specifications for the Designated Website following
          designation of that website by the Borrower and the Agent.

     (c)  The Borrower and the Website Lenders shall promptly upon becoming
          aware of its occurrence notify the Agent if:

          (i)  the Designated Website cannot be accessed due to technical
               failure;

          (ii) the password specifications for the Designated Website change;

          (iii) any new information which is required to be provided under this
               Agreement is posted onto the Designated Website;

          (iv) any existing information which has been provided under this
               Agreement and posted onto the Designated Website is amended; or

                                      -30-

<PAGE>

          (v)  the Borrower becomes aware that the Designated Website or any
               information posted onto the Designated Website is or has been
               infected by any electronic virus or similar software.

          If the Borrower notifies the Agent under paragraph (c)(i) or paragraph
          (c)(v) above, all information to be provided by the Borrower under
          this Agreement after the date of that notice shall be supplied in
          paper form unless and until the Agent and each Website Lender is
          satisfied that the circumstances giving rise to the notification are
          no longer continuing.

          Any Website Lender may request, through the Agent, one paper copy of
          any information required to be provided under this Agreement which is
          posted onto the Designated Website. The Borrower shall comply with any
          such request within ten Business Days.

17.7 "KNOW YOUR CUSTOMER" CHECKS

     (a)  If:

          (i)  the introduction of or any change in (or in the interpretation,
               administration or application of) any law or regulation made
               after the date of this Agreement;

          (ii) any change in the status of any member of the Group or the
               composition of the shareholders of any member of the Group after
               the date of this Agreement; or

          (iii) a proposed assignment or transfer by a Lender of any of its
               rights and/or obligations under this Agreement to a party that is
               not a Lender prior to such assignment or transfer,

               obliges the Agent or any Lender (or, in the case of paragraph
               (iii) above, any prospective new Lender) to comply with "know
               your customer" or similar identification procedures in
               circumstances where the necessary information is not already
               available to it, the Borrower shall promptly upon the request of
               the Agent or any Lender supply, or procure the supply of, such
               documentation and other evidence as is reasonably requested by
               the Agent (for itself or on behalf of the Lender) or any Lender
               (for itself or, in the case of the event described in paragraph
               (iii) above, on behalf of any prospective new Lender) in order
               for the Agent, such Lender or, in the case of the event described
               in paragraph (iii) above, any prospective new Lender to carry out
               and be satisfied with the results of all necessary "know your
               customer" or other checks in relation to any relevant person
               pursuant to the transactions contemplated in the Finance
               Documents.

     (b)  Each Lender shall promptly upon the request of the Agent supply, or
          procure the supply of, such documentation and other evidence as is
          reasonably requested by the Agent (for itself) in order for the Agent
          to carry out and be satisfied with the results of all necessary "know
          your customer" or other checks

                                      -31-

<PAGE>

          on Lenders or prospective new Lenders pursuant to the transactions
          contemplated in the Finance Documents.

18.  FINANCIAL COVENANTS

18.1 FINANCIAL DEFINITIONS

     In this Clause 18:

     "BORROWINGS" means, at any time, the outstanding principal, capital or
     nominal amount and any fixed or minimum premium payable on prepayment or
     redemption of any indebtedness for or in respect of:

     (a)  moneys borrowed and debit balances with banks and other financial
          institutions;

     (b)  any amount raised by acceptance under any acceptance credit facility;

     (c)  any amount raised pursuant to any note purchase facility or the issue
          of bonds, notes, debentures, loan stock or any similar instrument;

     (d)  the amount of any liability in respect of any lease or hire purchase
          contract which would, in accordance with GAAP, be treated as a finance
          or capital lease (but only the capitalised value therefore);

     (e)  receivables sold or discounted (other than any receivables to the
          extent they are sold on a non-recourse basis);

     (f)  any amount of any liability under an advance or deferred purchase
          agreement; and

     (g)  any amount raised under any other transaction (including any forward
          sale or purchase agreement) having the commercial effect of a
          borrowing.

     "CONTINGENT LIABILITIES" means, at any time, the aggregate amount of all
     contingent obligations of the Borrower for or in respect of financial
     guarantees or other commitments made or given by the Borrower on behalf of
     any other person (including, without limitation, its Subsidiaries and
     Affiliates).

     "CURRENT PORTION OF LONG TERM DEBT" means in respect of a Relevant Period:

     (a)  that portion of Long Term Debt outstanding as at the commencement of
          that Relevant Period originally scheduled for repayment in that
          Relevant Period (whether or not paid when due); and

     (b)  all other repayments or prepayments made (or required to be made)
          during that Relevant Period which were not originally scheduled to be
          paid during that Relevant Period (whether or not paid when due),
          excluding any such prepayments relating to a refinancing of the
          amounts prepaid,

     "DEBT SERVICE" means, in respect of any Relevant Period, the aggregate of:

     (a)  Current Portion of Long Term Debt; and

     (b)  Gross Interest Expense.

                                      -32-
<PAGE>

     "EBIT" means the profits of the Borrower from ordinary activities before
     taxation:

     (a)  before deducting any Finance Charges; and

     (b)  before taking into account any items treated as exceptional or
          extraordinary items,

     in each case, to the extent added, deducted or taken into account, as the
     case may be, for the purposes of determining profits of the Borrower from
     ordinary activities before taxation.

     "EBITDA" means EBIT before deducting any amount attributable to the
     amortisation of intangible assets or the depreciation of tangible assets.

     "FINANCE CHARGES" means, for any Relevant Period, the aggregate amount of
     the accrued interest, commission, fees, discounts, prepayment penalties or
     premiums and other finance payments in respect of Borrowings whether paid,
     payable or capitalised by the Borrower in respect of that Relevant Period:

     (a)  including the interest element of leasing and hire purchase payments;
          and

     (b)  including any accrued commission, fees, discounts and other finance
          payments payable by the Borrower under any interest rate hedging
          arrangement.

     "GROSS INTEREST EXPENSE" means the aggregate amount of accrued interest
     payable by the Borrower in respect of Borrowings plus Finance Charges
     (whether or not paid or payable).

     "INR" means the lawful currency of the Republic of India.

     "LONG TERM DEBT" means, at any time, all Borrowings of the Borrower but
     only to the extent that the principal element of the same was not
     originally due for repayment within 12 months from the date such Borrowings
     were first incurred.

     "RELEVANT DEBT SERVICE PERIOD" means each period of thirty six months
     ending on the last day of the Borrower's financial year and each period of
     thirty six months ending on the last day of the first half of the
     Borrower's financial year (or such other period as agreed between the
     Borrower and the Majority Lenders).

     "RELEVANT PERIOD" means each period of twelve months ending on the last day
     of the Borrower's financial year and each period of twelve months ending on
     the last day of the first half of the Borrower's financial year (or such
     other period as agreed between the Borrower and the Majority Lenders).

     "TANGIBLE NET WORTH" means at any time the aggregate of:

     (a)  the amount paid up or credited as paid up on the issued share capital
          of the Borrower (other than any shares which are expressed to be
          redeemable);

     (b)  the amount standing to the credit of the reserves of the Borrower; and

     (c)  any amount set aside for deferred taxation,

                                      -33-

<PAGE>

     but deducting:

     (d)  (to the extent included) any amount shown in respect of intangible
          assets of the Borrower, including goodwill;

     (e)  (to the extent included) any amount set aside for taxation or bad
          debts; and

     (f)  any amount in respect of any dividend or distribution declared,
          recommended or made by the Borrower and to the extent such
          distribution is not provided for in the most recent financial
          statements,

     and so that no amount shall be included or excluded more than once.

     "TOTAL DEBT" means, at any time, the aggregate amount of all obligations of
     the Borrower for or in respect of Borrowings.

     "TOTAL LIABILITIES" means Total Debt plus Contingent Liabilities.

     "TOTAL SECURED DEBT" means, at any time, the aggregate amount of all
     obligations of the Borrower for or in respect of Borrowings, and in respect
     of which repayment is secured by a first (or equal first) ranking charge on
     the fixed assets of the Borrower.

18.2 FINANCIAL CONDITION

     The Borrower shall ensure that:

     (a)  INTEREST COVER

          The ratio of EBITDA to Gross Interest Expense for any Relevant Period
          shall not at any time be less than 2.0 : 1.0

     (b)  LEVERAGE

          The ratio of Total Liabilities to Tangible Net Worth for any Relevant
          Period shall not at any time equal or exceed 2.0 : 1.0

     (c)  DEBT SERVICE

          The mean average ratio of EBITDA to Debt Service for any Relevant Debt
          Service Period shall not at any time be less than 1.25 : 1.0

     (d)  TANGIBLE NET WORTH

          The Tangible Net Worth of the Borrower shall at no time be less than
          INR 35,790,000,000

     (e)  GEARING

          The ratio of Total Secured Debt to Tangible Net Worth shall at no time
          exceed 1.50 : 1.0

18.3 FINANCIAL TESTING

     The financial covenants set out in Clause 18.2 (Financial condition) shall
     be tested by reference to each of the annual audited financial statements
     and semi-annual unaudited

                                      -34-

<PAGE>

     financial statements as well as each Compliance Certificate delivered
     pursuant to Clause 17.2 (Compliance Certificate).

19.  GENERAL UNDERTAKINGS

     The undertakings in this Clause 19 remain in force from the date of this
     Agreement for so long as any amount is outstanding under the Finance
     Documents or any Commitment is in force.

19.1 AUTHORISATIONS

     The Borrower shall promptly:

     (a)  obtain, comply with and do all that is necessary to maintain in full
          force and effect; and

     (b)  supply certified copies to the Agent of,

     any Authorisation required under any law or regulation of its jurisdiction
     of incorporation to enable it to perform its obligations under the Finance
     Documents and to ensure the legality, validity, enforceability or
     admissibility in evidence in its jurisdiction of incorporation of any
     Finance Document.

19.2 PRIORITY

     The Borrower shall ensure that, at all times, the claims of the Agent and
     the Lenders against the Borrower under the Finance Documents will rank at
     least pari passu with the claims of all its unsecured creditors, save in
     relation to those whose claims are preferred solely by any bankruptcy,
     insolvency, liquidation or other similar laws of general application.

19.3 COMPLIANCE WITH LAWS

     The Borrower shall comply in all respects with all laws to which it may be
     subject, if failure so to comply would materially impair its ability to
     perform its obligations under the Finance Documents.

19.4 NEGATIVE PLEDGE

     (a)  The Borrower shall not create or permit to subsist any Security over
          all or any part of its present or future assets or revenues.

     (b)  The Borrower shall not:

          (i)  sell, transfer or otherwise dispose of any of its assets on terms
               whereby they are or may be leased to or re-acquired by the
               Borrower or any other member of the Group;

          (ii) sell, transfer or otherwise dispose of any of its receivables on
               recourse terms;

          (iii) enter into any arrangement under which money or the benefit of a
               bank or other account may be applied, set-off or made subject to
               a combination of accounts; or

                                      -35-

<PAGE>

          (iv) enter into any other preferential arrangement having a similar
               effect, in circumstances where the arrangement or transaction is
               entered into primarily as a method of raising Financial
               Indebtedness or of financing the acquisition of an asset.

     (c)  Paragraphs (a) and (b) above do not apply to:

          (i)  any Security existing as at the date of this Agreement and
               disclosed to the Agent and the Lenders;

          (ii) any netting or set-off arrangement entered into by any member of
               the Group in the ordinary course of its banking arrangements for
               the purpose of netting debit and credit balances;

          (iii) any lien arising by operation of law and in the ordinary course
               of trading;

          (iv) any borrowing obtained in the domestic market; or

          (v)  any Security entered into pursuant to any Finance Document.

19.5 DISPOSALS

     (a)  The Borrower shall not enter into a single transaction or a series of
          transactions (whether related or not) and whether voluntary or
          involuntary to sell, lease, transfer or otherwise dispose of any
          asset.

     (b)  Paragraph (a) above does not apply to any sale, lease, transfer or
          other disposal:

          (i)  made in the ordinary course of trading of the disposing entity
               provided that the total aggregate amount of such transactions
               during any financial year is below $35,000,000; or

          (ii) where the Agent (acting on the instructions of the Majority
               Lenders) has provided prior written consent.

19.6 MERGER

     The Borrower shall not (and shall ensure that no other member of the Group
     will) enter into any amalgamation, demerger, merger or corporate
     reconstruction, if to do so might have a Material Adverse Effect.

19.7 CHANGE OF BUSINESS

     The Borrower shall ensure that no substantial change is made to the general
     nature of its business (as a copper business) or the business of the Group
     from that carried on at the date of this Agreement, save as has already
     been disclosed.

19.8 INVESTMENTS AND ACQUISITIONS

     The Borrower shall not acquire any company, business, assets or
     undertaking, other than in line with its core business of non-ferrous
     metals, if the amount of the acquisition cost, when aggregated with the
     aggregate acquisition cost of any other companies, business, assets or
     undertaking acquired by the Borrower during that financial year exceeds 10%
     of its total Tangible Net Worth (as defined in Clause 18) without the prior
     written consent of the Agent (acting on the instructions of all the
     Lenders).

                                      -36-

<PAGE>

19.9 INSURANCE

     The Borrower shall (and shall ensure that each member of the Group will)
     maintain insurances on and in relation to its business and assets with
     reputable underwriters or insurance companies against those risks and to
     the extent as is usual for companies carrying on the same or substantially
     similar business.

19.10 TAXATION

     The Borrower shall (and shall ensure that each member of the Group will)
     duly and punctually pay and discharge all Taxes imposed upon it or its
     assets within the time period allowed without incurring penalties (save to
     the extent that (i) payment is being contested in good faith, (ii) adequate
     reserves are being maintained for those Taxes and (iii) payment can be
     lawfully withheld).

19.11 LOANS AND GUARANTEES

     The Borrower shall not (and shall ensure that no member of the Group will)
     make any loans, grant any credit or give any guarantee or indemnity (except
     as required under any of the Finance Documents) to or for the benefit of
     any person or otherwise voluntarily assume any liability, whether actual or
     contingent (save in the ordinary course of business), in respect of any
     obligation of any person, of an aggregate amount which would exceed the
     limits prescribed under section 372A(1) of the Indian Companies Act.

19.12 DIVIDENDS

     While any Default is continuing, the Borrower shall not (and shall ensure
     that no member of the Group will) pay, make or declare any dividend or
     other distribution in respect of any financial year of that member of the
     Group (unless the Agent, acting on the instructions of all the Lenders, has
     provided its prior written consent).

19.13 FINANCIAL YEAR

     The Borrower agrees not to change the date of the end of its financial year
     or financial half-year without the consent of the Agent (acting on the
     instructions of the Majority Lenders).

19.14 OWNERSHIP

     The Borrower shall remain a Subsidiary of its Parent.

19.15 FURTHER ASSURANCE

     The Borrower shall, at its own cost, from time to time on request by the
     Agent (or by any other Finance Party through the Agent) do or procure the
     doing of all such acts and will execute or procure the execution of all
     such documents as any Finance Party may reasonably consider necessary for
     giving full effect to each of the Finance Documents or securing to the
     Finance Parties the full benefits of all rights, powers and remedies
     conferred upon the Finance Parties in any of the Finance Documents to which
     the Borrower is a party.

20.  EVENTS OF DEFAULT

     Each of the events or circumstances set out in Clause 21 is an Event of
     Default.

                                      -37-

<PAGE>

20.1 NON-PAYMENT

     The Borrower does not pay on the due date any amount payable pursuant to a
     Finance Document at the place at and in the currency in which it is
     expressed to be payable.

20.2 FINANCIAL COVENANTS

     Any requirement of Clause 18 (Financial covenants) is not satisfied.

20.3 OTHER OBLIGATIONS

     (a)  The Borrower does not comply with any provision of the Finance
          Documents (other than those referred to in Clause 20.1 (Non-payment)
          and Clause 20.2 (Financial covenants) or elsewhere in this Clause 20).

     (b)  No Event of Default under paragraph (a) above will occur if the
          failure to comply is capable of remedy and is remedied within 5
          Business Days of the Agent giving notice to the Borrower or the
          Borrower becoming aware of the failure to comply.

20.4 MISREPRESENTATION

     Any representation or statement made or deemed to be made by the Borrower
     in the Finance Documents or any other document delivered by or on behalf of
     the Borrower under or in connection with any Finance Document is or proves
     to have been incorrect or misleading in any material respect when made or
     deemed to be made.

20.5 CONSTITUTIONAL CHANGES

     The Borrower effects changes in its constitution (i.e. memorandum and
     articles of association) without the prior written consent of the Majority
     Lenders.

20.6 CROSS DEFAULT

     (a)  Any Financial Indebtedness of any member of the Group is not paid when
          due nor within any originally applicable grace period.

     (b)  Any Financial Indebtedness of any member of the Group is declared to
          be or otherwise becomes due and payable prior to its specified
          maturity as a result of an event of default (however described).

     (c)  Any commitment for any Financial Indebtedness of any member of the
          Group is cancelled or suspended by a creditor of any member of the
          Group as a result of an event of default (however described).

     (d)  Any creditor of any member of the Group becomes entitled to declare
          any Financial Indebtedness of any member of the Group due and payable
          prior to its specified maturity as a result of an event of default
          (however described).

     (e)  No Event of Default will occur under this Clause 20.6 if the aggregate
          amount of Financial Indebtedness or commitment for Financial
          Indebtedness falling within paragraphs (a) to (d) above is less than
          US$10,000,000 (or its equivalent in any other currency or currencies)
          EXCEPT THAT if such Financial Indebtedness or commitment for Financial
          Indebtedness has fallen due or been cancelled as a result of a default
          other than a payment default (and the Majority Lenders determine in
          their absolute discretion that such default is a technical default),

                                      -38-

<PAGE>

          such threshold shall be increased to US$20,000,000 (or its equivalent
          in any other currency or currencies) PROVIDED THAT the Borrower cures
          (to the satisfaction of the Majority Lenders) such technical default
          within 7 days of its occurrence. If during such 7 day period, any
          lenders in relation to any other Financial Indebtedness in excess of
          US$10,000,000 (or its equivalent in any other currency or currencies)
          declare such Financial Indebtedness to be due and payable or cancel
          their commitment for Financial Indebtedness (whether as a result of
          such technical default or otherwise), an Event of Default shall
          immediately occur under this Clause 20.6 without reference to the
          increased threshold or cure period referred to in this Clause 20.6(e).

20.7 INSOLVENCY

     (a)  The Borrower is unable or admits inability to pay its debts as they
          fall due, suspends making payments on any of its debts or, by reason
          of actual or anticipated financial difficulties, commences
          negotiations with one or more of its creditors with a view to
          rescheduling any of its indebtedness.

     (b)  The value of the assets of the Borrower is less than its liabilities
          (taking into account contingent and prospective liabilities).

     (c)  A moratorium is declared in respect of any indebtedness of the
          Borrower.

     (d)  Any of the events described in (a) to (c) above occurs in respect of a
          Subsidiary of the Borrower, but only where such event might have a
          Material Adverse Effect.

20.8 INSOLVENCY PROCEEDINGS

     Any corporate action, legal proceedings or other procedure or step is taken
     in relation to:

     (a)  the suspension of payments, a moratorium of any indebtedness,
          winding-up, dissolution, administration or reorganisation (by way of
          voluntary arrangement, scheme of arrangement or otherwise) of the
          Borrower;

     (b)  a composition, compromise, assignment or arrangement with any creditor
          of the Borrower;

     (c)  the appointment of a provisional liquidator, a liquidator, receiver,
          receiver or manager, administrative receiver, administrator,
          compulsory or interim manager or other similar officer in respect of
          the Borrower or any of its assets;

     (d)  the Borrower becoming sick or potentially sick and/or the Borrower is
          referred to the Indian Board of Industrial and Financial
          Reconstruction or any other body similarly empowered;

     (e)  enforcement of any Security over any assets of the Borrower; or

     (f)  any of the events described in (a) to (d) above in respect of a
          Subsidiary of the Borrower, but only where such event might have a
          Material Adverse Effect,

     or any analogous procedure or step is taken in any jurisdiction.

                                      -39-

<PAGE>

20.9 CREDITORS' PROCESS

     Any expropriation, attachment, sequestration, distress or execution affects
     any asset or assets of the Borrower.

20.10 CREDIT RATING

     The Borrower's current domestic credit rating falls below A+ by The Credit
     Rating Information Services of India Limited (CRISIL) and, if the Borrower
     should be rated by an internationally recognised credit rating agency after
     the date of this Agreement, the Borrower's international credit rating
     falls two notches below its first applicable international credit rating by
     Moody's Investor Services Limited and/or Standard and Poor's Rating
     Services.

20.11 UNLAWFULNESS

     It is or becomes unlawful for the Borrower to perform any of its
     obligations under the Finance Documents.

20.12 REPUDIATION

     The Borrower repudiates a Finance Document or evidences an intention to
     repudiate a Finance Document.

20.13 GOVERNMENT INTERVENTION

     By or under the authority of any government:

     (a)  the management of any member of the Group is wholly or partially
          displaced or the authority of any member of the Group in the conduct
          of its business is wholly or partially curtailed; or

     (b)  all or a majority of the issued shares in any member of the Group or
          the whole or any part of its revenues or assets is seized,
          nationalised, expropriated or compulsorily acquired.

20.14 MATERIAL ADVERSE CHANGE

     Any event or circumstance occurs which the Majority Lenders reasonably
     believe might have a Material Adverse Effect.

20.15 CESSATION OF BUSINESS

     Any member of the Group ceases (or threatens to cease) to carry on, or
     materially changes (or threatens to materially change), all or a
     substantial part of its business.

20.16 REVOCATION OF LICENCES

     Any Authorisation required by the Borrower for the operation of its
     business or the performance of its obligations under any Finance Document
     is revoked.

20.17 OWNERSHIP

     The Borrower ceases to be a Subsidiary of its Parent.

20.18 MATERIAL LITIGATION

     There has been commenced or threatened against the Borrower or any of its
     Subsidiaries any litigation, arbitration, administrative proceedings or
     similar proceedings of or before any court, arbitral body, agency or
     similar body which, if adversely determined, might reasonably be expected
     to have a Material Adverse Effect on the Borrower's ability to

                                      -40-
<PAGE>

     discharge its obligations under this Agreement (including, without
     limitation, the due and punctual payment of the Loan by the Borrower).

20.19 RBI LOAN IDENTIFICATION NUMBER

     The Borrower fails to provide to the Agent within 10 Business Days of the
     date hereof the loan identification number allocated to the Facility under
     this Agreement by the Department of Statistical Analysis and Computer
     Services (DESACS) of the RBI.

20.20 ACCELERATION

     On and at any time after the occurrence of an Event of Default which is
     continuing the Agent may, and shall if so directed by the Majority Lenders,
     by notice to the Borrower:

     (a)  cancel the Commitments whereupon they shall immediately be cancelled;

     (b)  declare that all or part of the Loans, together with accrued interest,
          and all other amounts accrued or outstanding under the Finance
          Documents be immediately due and payable, whereupon they shall become
          immediately due and payable; and/or

     (c)  declare that all or part of the Loans be payable on demand, whereupon
          they shall immediately become payable on demand by the Agent on the
          instructions of the Majority Lenders.

                                      -41-

<PAGE>

                                    SECTION 9
                               CHANGES TO PARTIES

21.  CHANGES TO THE LENDERS

21.1 ASSIGNMENTS AND TRANSFERS BY THE LENDERS

     Subject to this Clause 21, a Lender (the "EXISTING LENDER") may:

     (a)  assign any of its rights; or

     (b)  transfer by novation any of its rights and obligations,

     to another bank or financial institution or to a trust, fund or other
     entity which is regularly engaged in or established for the purpose of
     making, purchasing or investing in loans, securities or other financial
     assets (the "NEW LENDER").

21.2 CONDITIONS OF ASSIGNMENT OR TRANSFER

     (a)  An assignment will only be effective on receipt by the Agent of
          written confirmation from the New Lender (in form and substance
          satisfactory to the Agent) that the New Lender will assume the same
          obligations to the other Lenders and the Agent as it would have been
          under if it was an original Lender.

     (b)  A transfer will only be effective if the procedure set out in Clause
          21.5 (Procedure for transfer) is complied with.

     (c)  A Lender may only assign or transfer its rights and obligations after
          the Loan has been advanced under the Facility.

21.3 ASSIGNMENT OR TRANSFER FEE

     The New Lender shall, on the date upon which an assignment or transfer
     takes effect, pay to the Agent (for its own account) a fee of US$1,000.
     Such fee shall become payable for assignment or transfer effective after
     the Syndication Date.

21.4 LIMITATION OF RESPONSIBILITY OF EXISTING LENDERS

     (a)  Unless expressly agreed to the contrary, an Existing Lender makes no
          representation or warranty and assumes no responsibility to a New
          Lender for:

          (i)  the legality, validity, effectiveness, adequacy or enforceability
               of the Finance Documents or any other documents;

          (ii) the financial condition of the Borrower;

          (iii) the performance and observance by the Borrower of its
               obligations under the Finance Documents or any other documents;
               or

          (iv) the accuracy of any statements (whether written or oral) made in
               or in connection with any Finance Document or any other document,

          and any representations or warranties implied by law are excluded.

                                      -42-

<PAGE>

     (b)  Each New Lender confirms to the Existing Lender and the other Lenders
          and the Agent that it:

          (i)  has made (and shall continue to make) its own independent
               investigation and assessment of the financial condition and
               affairs of the Borrower and its related entities in connection
               with its participation in this Agreement and has not relied
               exclusively on any information provided to it by the Existing
               Lender in connection with any Finance Document; and

          (ii) will continue to make its own independent appraisal of the
               creditworthiness of the Borrower and its related entities whilst
               any amount is or may be outstanding under the Finance Documents
               or any Commitment is in force.

     (c)  Nothing in any Finance Document obliges an Existing Lender to:

          (i)  accept a re-transfer from a New Lender of any of the rights and
               obligations assigned or transferred under this Clause 21; or

          (ii) support any losses directly or indirectly incurred by the New
               Lender by reason of the non-performance by the Borrower of its
               obligations under the Finance Documents or otherwise.

21.5 PROCEDURE FOR TRANSFER

     (a)  Subject to the conditions set out in Clause 21.2 (Conditions of
          assignment or transfer) a transfer is effected in accordance with
          paragraph (b) below when the Agent executes an otherwise duly
          completed Transfer Certificate delivered to it by the Existing Lender
          and the New Lender. The Agent shall, as soon as reasonably practicable
          after receipt by it of a duly completed Transfer Certificate appearing
          on its face to comply with the terms of this Agreement and delivered
          in accordance with the terms of this Agreement, execute that Transfer
          Certificate.

     (b)  On the Transfer Date:

          (i)  to the extent that in the Transfer Certificate the Existing
               Lender seeks to transfer by novation its rights and obligations
               under the Finance Documents the Borrower and the Existing Lender
               shall be released from further obligations towards one another
               under the Finance Documents and their respective rights against
               one another under the Finance Documents shall be cancelled (being
               the "DISCHARGED RIGHTS AND OBLIGATIONS");

          (ii) the Borrower and the New Lender shall assume obligations towards
               one another and/or acquire rights against one another which
               differ from the Discharged Rights and Obligations only insofar as
               the Borrower and the New Lender have assumed and/or acquired the
               same in place of the Borrower and the Existing Lender;

          (iii) the Agent, the New Lender and other Lenders shall acquire the
               same rights and assume the same obligations between themselves as
               they would

                                      -43-

<PAGE>

               have acquired and assumed had the New Lender been an original
               Lender with the rights and/or obligations acquired or assumed by
               it as a result of the transfer and to that extent the Agent and
               the Existing Lender shall each be released from further
               obligations to each other under the Finance Documents; and

          (iv) the New Lender shall become a Party as a "Lender".

21.6 DISCLOSURE OF INFORMATION

     (a)  Any Finance Party and any of its officers may disclose to any person:

          (i)  (where that Finance Party is a Lender) to (or through) whom that
               Lender assigns or transfers (or may potentially assign or
               transfer) all or any of its rights and obligations under this
               Agreement;

          (ii) (where that Finance Party is a Lender) with (or through) whom
               that Lender enters into (or may potentially enter into) any
               sub-participation in relation to, or any other transaction under
               which payments are to be made by reference to, this Agreement or
               any member of the Group;

          (iii) (where that Finance Party is the Agent) who is succeeding (or
               may potentially succeed) that Finance Party in such capacity;

          (iv) to the Borrower' tax and legal advisers for the preparation and
               execution of this Agreement;

          (v)  to any of the Finance Parties' Affiliates, head offices and other
               branches;

          (vi) to whom, and to the extent that, information is required to be
               disclosed by any applicable law or regulation; or

          (vii) to whom that Finance Party is under a duty to disclose;

     (b)  Any Finance Party and any of its officers shall, as they may deem
          appropriate and necessary, be entitled to disclose all or any:

          (i)  information and data relating to the Borrower;

          (ii) information or data relating to the Facility or any other credit
               facility availed or to be availed by the Borrower from the
               Lenders;

          (iii) obligations assumed or to be assumed by the Borrower in relation
               to the Facility; or

          (iv) Default, if any, committed by the Borrower in discharge of the
               aforesaid obligations,

          to any agency or credit bureau (the "AGENCY") authorised in this
          behalf by RBI or any other regulator in any relevant country and the
          Agency so authorised may use, process the aforesaid information and
          data disclosed by the Lenders in the manner as deemed fit by them and
          furnish for consideration, the processed information and data or
          products thereof prepared by them, to banks or financial

                                      -44-

<PAGE>

          institutions and other credit grantors or registered users, as may be
          specified by RBI or other regulators in this behalf.

     (c)  If the Borrower commits a Default in payment of any amount under the
          Facility, any Finance Party will have an unqualified right to disclose
          or publish the details of such Default and the name of the Borrower
          and its directors as defaulters, in such manner and through such
          medium as such Finance Party in its absolute discretion may think fit.

     (d)  The Borrower authorises each Finance Party to exchange, share or part
          with all the information relating to the Borrower's financial and
          other information to other Lenders' Affiliates, banks, financial
          institutions, credit bureaus, agencies or statutory bodies as may be
          required and shall not hold such Finance Party liable for use of such
          information.

22.  CHANGES TO THE BORROWER

     The Borrower may not assign any of its rights or transfer any of its rights
     or obligations under the Finance Documents without prior written consent of
     all the Lenders.

                                      -45-

<PAGE>

                                   SECTION 10
                            THE LENDERS AND THE AGENT

23.  ROLE OF THE AGENT

23.1 APPOINTMENT OF THE AGENT

     (a)  Each Lender appoints the Agent to act as its agent under and in
          connection with the Finance Documents.

     (b)  Each Lender authorises the Agent to exercise the rights, powers,
          authorities and discretions specifically given to the Agent under or
          in connection with the Finance Documents together with any other
          incidental rights, powers, authorities and discretions.

23.2 DUTIES OF THE AGENT

     (a)  The Agent shall promptly forward to a Party the original or a copy of
          any document which is delivered to the Agent for that Party by any
          other Party.

     (b)  Except where a Finance Document specifically provides otherwise, the
          Agent is not obliged to review or check the adequacy, accuracy or
          completeness of any document it forwards to another Party.

     (c)  If the Agent receives notice from a Party referring to this Agreement,
          describing a Default and stating that the circumstance described is a
          Default, it shall promptly notify the other Lenders.

     (d)  If the Agent is aware of the non-payment of any principal, interest,
          commitment fee or other fee payable to a Lender under this Agreement
          it shall promptly notify the other Lenders.

     (e)  The Agent's duties under the Finance Documents are solely mechanical
          and administrative in nature.

23.3 NO FIDUCIARY DUTIES

     (a)  Nothing in this Agreement constitutes the Agent as a trustee or
          fiduciary of any other person.

     (b)  The Agent shall not be bound to account to any Lender for any sum or
          the profit element of any sum received by it for its own account.

23.4 BUSINESS WITH THE GROUP

     The Agent may accept deposits from, lend money to and generally engage in
     any kind of banking or other business with any member of the Group.

23.5 RIGHTS AND DISCRETIONS OF THE AGENT

     (a)  The Agent may rely on:

          (i)  any representation, notice or document believed by it to be
               genuine, correct and appropriately authorised; and

                                      -46-

<PAGE>

          (ii) any statement made by a director, authorised signatory or
               employee of any person regarding any matters which may reasonably
               be assumed to be within his knowledge or within his power to
               verify.

     (b)  The Agent may assume (unless it has received notice to the contrary in
          its capacity as agent for the Lenders) that:

          (i)  no Default has occurred (unless it has actual knowledge of a
               Default arising under Clause 20.1 (Non-payment)); and

          (ii) any right, power, authority or discretion vested in any Party or
               the Majority Lenders has not been exercised.

     (c)  The Agent may engage, pay for and rely on the advice or services of
          any lawyers, accountants, surveyors or other experts.

     (d)  The Agent may act in relation to the Finance Documents through its
          personnel and agents.

     (e)  The Agent may disclose to any other Party any information it
          reasonably believes it has received as agent under this Agreement.

     (f)  Notwithstanding any other provision of any Finance Document to the
          contrary, the Agent is not obliged to do or omit to do anything if it
          would or might in its reasonable opinion constitute a breach of any
          law or regulation or a breach of a fiduciary duty or duty of
          confidentiality.

23.6 MAJORITY LENDERS' INSTRUCTIONS

     (a)  Unless a contrary indication appears in a Finance Document, the Agent
          shall (i) exercise any right, power, authority or discretion vested in
          it as Agent in accordance with any instructions given to it by the
          Majority Lenders (or, if so instructed by the Majority Lenders,
          refrain from exercising any right, power, authority or discretion
          vested in it as Agent) and (ii) not be liable for any act (or
          omission) if it acts (or refrains from taking any action) in
          accordance with an instruction of the Majority Lenders.

     (b)  Unless a contrary indication appears in a Finance Document, any
          instructions given by the Majority Lenders will be binding on all the
          Lenders and the Agent.

     (c)  The Agent may refrain from acting in accordance with the instructions
          of the Majority Lenders (or, if appropriate, the Lenders) until it has
          received such security as it may require for any cost, loss or
          liability (together with any associated VAT) which it may incur in
          complying with the instructions.

     (d)  In the absence of instructions from the Majority Lenders, (or, if
          appropriate, the Lenders) the Agent may act (or refrain from taking
          action) as it considers to be in the best interest of the Lenders.

     (e)  The Agent is not authorised to act on behalf of a Lender (without
          first obtaining that Lender's consent) in any legal or arbitration
          proceedings relating to any Finance Document.

                                      -47-

<PAGE>

23.7 RESPONSIBILITY FOR DOCUMENTATION

     The Agent is not:

     (a)  responsible for the adequacy, accuracy and/or completeness of any
          information (whether oral or written) supplied by the Agent, the
          Borrower or any other person given in or in connection with any
          Finance Document; or

     (b)  responsible for the legality, validity, effectiveness, adequacy or
          enforceability of any Finance Document or any other agreement,
          arrangement or document entered into, made or executed in anticipation
          of or in connection with any Finance Document.

23.8 EXCLUSION OF LIABILITY

     (a)  Without limiting paragraph (b) below, the Agent will not be liable for
          any action taken by it under or in connection with any Finance
          Document, unless directly caused by its gross negligence or wilful
          misconduct.

     (b)  No Party (other than the Agent) may take any proceedings against any
          officer, employee or agent of the Agent in respect of any claim it
          might have against the Agent or in respect of any act or omission of
          any kind by that officer, employee or agent in relation to any Finance
          Document and any officer, employee or agent of the Agent may rely on
          this Clause subject to Clause 1.4 (Third Party Rights) and the
          provisions of the Contracts (Rights of Third Parties) Act 1999.

     (c)  The Agent will not be liable for any delay (or any related
          consequences) in crediting an account with an amount required under
          the Finance Documents to be paid by the Agent if the Agent has taken
          all necessary steps as soon as reasonably practicable to comply with
          the regulations or operating procedures of any recognised clearing or
          settlement system used by the Agent for that purpose.

     (d)  Nothing in this Agreement shall oblige the Agent to carry out any
          "know your customer" or other checks in relation to any person on
          behalf of any Lender and each Lender confirms to the Agent that it is
          solely responsible for any such checks it is required to carry out and
          that it may not rely on any statement in relation to such checks made
          by the Agent.

23.9 LENDERS' INDEMNITY TO THE AGENT

     Each Lender shall (in proportion to its participation in the Loan or, if
     the Loan is then zero, to its participation in the Loan immediately prior
     to its reduction to zero) indemnify the Agent, within three Business Days
     of demand, against any cost, loss or liability incurred by the Agent
     (otherwise than by reason of the Agent's gross negligence or wilful
     misconduct) in acting as Agent under the Finance Documents (unless the
     Agent has been reimbursed by the Borrower pursuant to a Finance Document).

23.10 RESIGNATION OF THE AGENT

     (a)  The Agent may resign and appoint one of the financial institutions as
          successor by giving notice to the Lenders and the Borrower.

                                      -48-

<PAGE>

     (b)  Alternatively the Agent may resign by giving notice to the Lenders and
          the Borrower, in which case the Majority Lenders (after consultation
          with the Borrower) may appoint a successor Agent.

     (c)  If the Majority Lenders have not appointed a successor Agent in
          accordance with paragraph (b) above within 30 days after notice of
          resignation was given, the Agent (after consultation with the
          Borrower) may appoint a successor Agent.

     (d)  The retiring Agent shall, at its own cost, make available to the
          successor Agent such documents and records and provide such assistance
          as the successor Agent may reasonably request for the purposes of
          performing its functions as Agent under the Finance Documents.

     (e)  The Agent's resignation notice shall only take effect upon the
          appointment of a successor.

     (f)  If the Borrower fails to pay any fees due to the Agent under any Fee
          Letter or the Lenders fail to indemnify the Agent pursuant to Clause
          23.9 (Lenders' Indemnity to the Agent), the Agent may resign within 30
          days after notice of resignation was given to the Borrower and the
          Lenders. Such resignation shall become effective upon the expiry of
          such notice period notwithstanding that a successor Agent may not have
          been appointed in accordance with this Clause 23.10.

     (g)  Upon the appointment of a successor or upon the Agent's resignation
          pursuant to paragraph (f), the retiring Agent shall be discharged from
          any further obligation in respect of the Finance Documents but shall
          remain entitled to the benefit of this Clause 23. Its successor and
          each of the other Parties shall have the same rights and obligations
          amongst themselves as they would have had if such successor had been
          an original Party.

     (h)  After consultation with the Borrower, the Majority Lenders may, by
          notice to the Agent, require it to resign in accordance with paragraph
          (b) above. In this event, the Agent shall resign in accordance with
          paragraph (b) above.

23.11 CONFIDENTIALITY

     (a)  In acting as agent for the Lenders, the Agent shall be regarded as
          acting through its agency division which shall be treated as a
          separate entity from any other of its divisions or departments.

     (b)  If information is received by another division or department of the
          Agent, it may be treated as confidential to that division or
          department and the Agent shall not be deemed to have notice of it.

23.12 RELATIONSHIP WITH THE LENDERS

     (a)  The Agent may treat each Lender as a Lender, entitled to payments
          under this Agreement and acting through its Facility Office unless it
          has received not less than five Business Days prior notice from that
          Lender to the contrary in accordance with the terms of this Agreement.

                                      -49-

<PAGE>

     (b)  Each Lender shall supply the Agent with any information required by
          the Agent in order to calculate the Mandatory Cost in accordance with
          Schedule 3 (Mandatory Cost formulae).

23.13 CREDIT APPRAISAL BY THE LENDERS

     Without affecting the responsibility of the Borrower for information
     supplied by it or on its behalf in connection with any Finance Document,
     each Lender confirms to the Agent that it has been, and will continue to
     be, solely responsible for making its own independent appraisal and
     investigation of all risks arising under or in connection with any Finance
     Document including but not limited to:

     (a)  the financial condition, status and nature of each member of the
          Group;

     (b)  the legality, validity, effectiveness, adequacy or enforceability of
          any Finance Document and any other agreement, arrangement or document
          entered into, made or executed in anticipation of, under or in
          connection with any Finance Document;

     (c)  whether that Lender has recourse, and the nature and extent of that
          recourse, against any Party or any of its respective assets under or
          in connection with any Finance Document, the transactions contemplated
          by the Finance Documents or any other agreement, arrangement or
          document entered into, made or executed in anticipation of, under or
          in connection with any Finance Document; and

     (d)  the adequacy, accuracy and/or completeness of any information provided
          by the Agent, any Party or by any other person under or in connection
          with any Finance Document, the transactions contemplated by the
          Finance Documents or any other agreement, arrangement or document
          entered into, made or executed in anticipation of, under or in
          connection with any Finance Document.

23.14 AGENT'S MANAGEMENT TIME

     Any amount payable to the Agent under Clause 13.2 (Other indemnities),
     Clause 13.3 (Indemnity to the Agent), Clause 15 (Costs and expenses) and
     Clause 23.9 (Lenders' indemnity to the Agent) shall include the cost of
     utilising the Agent's management time or other resources and will be
     calculated on the basis of such reasonable daily or hourly rates as the
     Agent may notify to the Borrower and the Lenders, and is in addition to any
     fee paid or payable to the Agent under any Fee Letter.

23.15 DEDUCTION FROM AMOUNTS PAYABLE BY THE AGENT

     If any Party owes an amount to the Agent under the Finance Documents the
     Agent may, after giving notice to that Party, deduct an amount not
     exceeding that amount from any payment to that Party which the Agent would
     otherwise be obliged to make under the Finance Documents and apply the
     amount deducted in or towards satisfaction of the amount owed. For the
     purposes of the Finance Documents that Party shall be regarded as having
     received any amount so deducted.

                                      -50-

<PAGE>

24.  CONDUCT OF BUSINESS BY THE LENDERS AND THE AGENT

     No provision of this Agreement will:

     (a)  interfere with the right of any Lender or the Agent to arrange its
          affairs (tax or otherwise) in whatever manner it thinks fit;

     (b)  oblige any Lender or the Agent to investigate or claim any credit,
          relief, remission or repayment available to it or the extent, order
          and manner of any claim; or

     (c)  oblige any Lender or the Agent to disclose any information relating to
          its affairs (tax or otherwise) or any computations in respect of Tax.

25.  SHARING AMONG THE LENDERS

25.1 PAYMENTS TO LENDERS

     If a Lender (a "RECOVERING LENDER") receives or recovers any amount from
     the Borrower other than in accordance with Clause 26 (Payment mechanics)
     and applies that amount to a payment due under the Finance Documents then:

     (a)  the Recovering Lender shall, within three Business Days, notify
          details of the receipt or recovery, to the Agent;

     (b)  the Agent shall determine whether the receipt or recovery is in excess
          of the amount the Recovering Lender would have been paid had the
          receipt or recovery been received or made by the Agent and distributed
          in accordance with Clause 26 (Payment mechanics), without taking
          account of any Tax which would be imposed on the Agent in relation to
          the receipt, recovery or distribution; and

     (c)  the Recovering Lender shall, within three Business Days of demand by
          the Agent, pay to the Agent an amount (the "SHARING PAYMENT") equal to
          such receipt or recovery less any amount which the Agent determines
          may be retained by the Recovering Lender as its share of any payment
          to be made, in accordance with Clause 26.5 (Partial payments).

25.2 REDISTRIBUTION OF PAYMENTS

     The Agent shall treat the Sharing Payment as if it had been paid by the
     Borrower and distribute it between the Lenders (other than the Recovering
     Lender) in accordance with Clause 26.5 (Partial payments).

25.3 RECOVERING LENDER'S RIGHTS

     (a)  On a distribution by the Agent under Clause 25.2 (Redistribution of
          payments), the Recovering Lender will be subrogated to the rights of
          the Lenders which have shared in the redistribution.

     (b)  If and to the extent that the Recovering Lender is not able to rely on
          its rights under paragraph (a) above, the Borrower shall be liable to
          the Recovering Lender for a debt equal to the Sharing Payment which is
          immediately due and payable.

                                      -51-

<PAGE>

25.4 REVERSAL OF REDISTRIBUTION

     If any part of the Sharing Payment received or recovered by a Recovering
     Lender becomes repayable and is repaid by that Recovering Lender, then:

     (a)  each Lender which has received a share of the relevant Sharing Payment
          pursuant to Clause 25.2 (Redistribution of payments) shall, upon
          request of the Agent, pay to the Agent for account of that Recovering
          Lender an amount equal to the appropriate part of its share of the
          Sharing Payment (together with an amount as is necessary to reimburse
          that Recovering Lender for its proportion of any interest on the
          Sharing Payment which that Recovering Lender is required to pay); and

     (b)  that Recovering Lender's rights of subrogation in respect of any
          reimbursement shall be cancelled and the Borrower will be liable to
          the reimbursing Lender for the amount so reimbursed.

25.5 EXCEPTIONS

     (a)  This Clause 25 shall not apply to the extent that the Recovering
          Lender would not, after making any payment pursuant to this Clause,
          have a valid and enforceable claim against the Borrower.

     (b)  A Recovering Lender is not obliged to share with any other Lender or
          the Agent any amount which the Recovering Lender has received or
          recovered as a result of taking legal or arbitration proceedings, if:

          (i)  it notified that other Party of the legal or arbitration
               proceedings; and

          (ii) that other Party had an opportunity to participate in those legal
               or arbitration proceedings but did not do so as soon as
               reasonably practicable having received notice and did not take
               separate legal or arbitration proceedings.

                                      -52-
<PAGE>

                                   SECTION 11
                                 ADMINISTRATION

26.  PAYMENT MECHANICS

26.1 PAYMENTS TO THE AGENT

     (a)  On each date on which the Borrower or a Lender is required to make a
          payment under a Finance Document, the Borrower or Lender shall make
          the same available to the Agent (unless a contrary indication appears
          in a Finance Document) for value on the due date at the time and in
          such funds specified by the Agent as being customary at the time for
          settlement of transactions in the relevant currency in the place of
          payment.

     (b)  Payment shall be made to such account in the principal financial
          centre of the country of that currency with such bank as the Agent
          specifies.

26.2 DISTRIBUTIONS BY THE AGENT

     Each payment received by the Agent under the Finance Documents for another
     Party shall, subject to Clause 26.3 (Distributions to the Borrower), Clause
     26.4 (Clawback) and Clause 23.15 (Deduction from amounts payable by the
     Agent) be made available by the Agent as soon as practicable after receipt
     to the Party entitled to receive payment in accordance with this Agreement
     (in the case of a Lender, for the account of its Facility Office), to such
     account as that Party may notify to the Agent by not less than five
     Business Days' notice with a bank in the principal financial centre of the
     country of that currency.

26.3 DISTRIBUTIONS TO THE BORROWER

     The Agent may (with the consent of the Borrower or in accordance with
     Clause 27 (Set-off)) apply any amount received by it for the Borrower in or
     towards payment (on the date and in the currency and funds of receipt) of
     any amount due from the Borrower under the Finance Documents or in or
     towards purchase of any amount of any currency to be so applied.

26.4 CLAWBACK

     (a)  Where a sum is to be paid to the Agent under the Finance Documents for
          another Party, the Agent is not obliged to pay that sum to that other
          Party (or to enter into or perform any related exchange contract)
          until it has been able to establish to its satisfaction that it has
          actually received that sum.

     (b)  If the Agent pays an amount to another Party and it proves to be the
          case that the Agent had not actually received that amount, then the
          Party to whom that amount (or the proceeds of any related exchange
          contract) was paid by the Agent shall on demand refund the same to the
          Agent together with interest on that amount from the date of payment
          to the date of receipt by the Agent, calculated by the Agent to
          reflect its cost of funds.

26.5 PARTIAL PAYMENTS

     (a)  If the Agent receives a payment that is insufficient to discharge all
          the amounts then due and payable by the Borrower under the Finance
          Documents, the Agent

                                      -53-

<PAGE>

          shall apply that payment towards the obligations of the Borrower under
          the Finance Documents in the following order:

          (i)  FIRST, in or towards payment pro rata of any unpaid fees, costs
               and expenses of the Agent under the Finance Documents;

          (ii) SECONDLY, in or towards payment pro rata of any accrued interest,
               fee or commission due but unpaid under this Agreement;

          (iii) THIRDLY, in or towards payment pro rata of any principal due but
               unpaid under this Agreement; and

          (iv) FOURTHLY, in or towards payment pro rata of any other sum due but
               unpaid under the Finance Documents.

     (b)  The Agent shall, if so directed by the Majority Lenders, vary the
          order set out in paragraphs (a)(ii) to (iv) above.

     (c)  Paragraphs (a) and (b) above will override any appropriation made by
          the Borrower.

26.6 NO SET-OFF THE BORROWER

     All payments to be made by the Borrower under the Finance Documents shall
     be calculated and be made without (and free and clear of any deduction for)
     set-off or counterclaim.

26.7 BUSINESS DAYS

     (a)  Any payment which is due to be made on a day that is not a Business
          Day shall be made on the next Business Day in the same calendar month
          (if there is one) or the preceding Business Day (if there is not).

     (b)  During any extension of the due date for payment of any principal or
          Unpaid Sum under this Agreement interest is payable on the principal
          or Unpaid Sum at the rate payable on the original due date.

26.8 CURRENCY OF ACCOUNT

     (a)  Subject to paragraphs (b) and (c) below yen is the currency of account
          and payment for any sum from the Borrower under any Finance Document.

     (b)  Each payment in respect of costs, expenses or Taxes shall be made in
          the currency in which the costs, expenses or Taxes are incurred.

     (c)  Any amount expressed to be payable in a currency other than yen shall
          be paid in that other currency.

26.9 CHANGE OF CURRENCY

     (a)  Unless otherwise prohibited by law, if more than one currency or
          currency unit are at the same time recognised by the central bank of
          any country as the lawful currency of that country, then:

          (i)  any reference in the Finance Documents to, and any obligations
               arising under the Finance Documents in, the currency of that
               country shall be

                                      -54-

<PAGE>

               translated into, or paid in, the currency or currency unit of
               that country designated by the Agent (after consultation with the
               Borrower); and

          (ii) any translation from one currency or currency unit to another
               shall be at the official rate of exchange recognised by the
               central bank for the conversion of that currency or currency unit
               into the other, rounded up or down by the Agent (acting
               reasonably).

     (b)  If a change in any currency of a country occurs, this Agreement will,
          to the extent the Agent (acting reasonably and after consultation with
          the Borrower) specifies to be necessary, be amended to comply with any
          generally accepted conventions and market practice in the Relevant
          Interbank Market and otherwise to reflect the change in currency.

27.  SET-OFF

     A Lender or the Agent may set off any matured obligation due from the
     Borrower under the Finance Documents (to the extent beneficially owned by
     that Lender or the Agent) against any matured obligation owed by that
     Lender or the Agent to the Borrower, regardless of the place of payment,
     booking branch or currency of either obligation. If the obligations are in
     different currencies, the Lender or the Agent may convert either obligation
     at a market rate of exchange in its usual course of business for the
     purpose of the set-off.

28.  NOTICES

28.1 COMMUNICATIONS IN WRITING

     (a)  All notices or any communication to be made under or in connection
          with the Finance Documents shall be made in writing and, unless
          otherwise stated, shall be made by fax, letter, telex, electronic mail
          or any other electronic communication.

     (b)  For the purpose of the Finance Documents, an electronic communication
          shall be treated as being in writing.

     (c)  Unless it is agreed to the contrary, any consent or agreement required
          under a Finance Document shall be given in writing by fax.

     (d)  A notice given in accordance with this Clause 28.1 but received on a
          day other than a Business Day or after close of business in the place
          of receipt shall only be deemed to be given on the immediately
          succeeding Business Day.

28.2 ADDRESSES

     The address, fax number and telex number (and the department or officer, if
     any, for whose attention the communication is to be made) of each Party for
     any communication or document to be made or delivered under or in
     connection with the Finance Documents is:

     (a)  in the case of the Borrower, that identified with its name below;

                                      -55-

<PAGE>

     (b)  in the case of each Lender, that notified in writing to the Agent on
          or prior to the date on which it becomes a Party; and

     (c)  in the case of the Agent, that identified with its name below,

     or any substitute address, fax number, telex number or department or
     officer as the Party may notify to the Agent (or the Agent may notify to
     the other Parties, if a change is made by the Agent) by not less than five
     Business Days' notice.

28.3 DELIVERY

     (a)  Any communication or document made or delivered by one person to
          another under or in connection with the Finance Documents will only be
          effective:

          (i)  if by way of fax, when received in legible form; or

          (ii) if by way of letter, when it has been left at the last known
               address or five Business Days after being deposited in the post
               postage prepaid in an envelope addressed to it at that address;
               or

          (iii) if by way of telex, when despatched, but only if, at the time of
               transmission, the correct answerback appears at the start and at
               the end of the sender's copy of the notice,

          and, if a particular department or officer is specified as part of its
          address details provided under Clause 28.2 (Addresses), if addressed
          to that department or officer.

     (b)  Any communication or document to be made or delivered to the Agent
          will be effective only when actually received by the Agent and then
          only if it is expressly marked for the attention of the department or
          officer identified with the Agent's signature below (or any substitute
          department or officer as the Agent shall specify for this purpose).

     (c)  All notices from or to the Borrower shall be sent through the Agent.

     (d)  Any communication or document made or delivered to the Borrower in
          accordance with this Clause will be deemed to have been made or
          delivered to the Borrower.

28.4 NOTIFICATION OF ADDRESS, FAX NUMBER AND TELEX NUMBER

     Promptly upon receipt of notification of an address, fax number and telex
     number or change of address, fax number or telex number pursuant to Clause
     28.2 (Addresses) or changing its own address, fax number or telex number,
     the Agent shall notify the other Parties.

                                      -56-

<PAGE>

28.5 ELECTRONIC COMMUNICATION

     (a)  Any communication to be made between the Agent and a Lender under or
          in connection with the Finance Documents may be made by electronic
          mail or other electronic means, if the Agent and the relevant Lender:

          (i)  agree that, unless and until notified to the contrary, this is to
               be an accepted form of communication;

          (ii) notify each other in writing of their electronic mail address
               and/or any other information required to enable the sending and
               receipt of information by that means; and

          (iii) notify each other of any change to their address or any other
               such information supplied by them.

     (b)  Any electronic communication made between the Agent and a Lender will
          be effective only when actually received in readable form and in the
          case of any electronic communication made by a Lender to the Agent
          only if it is addressed in such a manner as the Agent shall specify
          for this purpose.

28.6 ENGLISH LANGUAGE

     (a)  Any notice given under or in connection with any Finance Document must
          be in English.

     (b)  All other documents provided under or in connection with any Finance
          Document must be:

          (i)  in English; or

          (ii) if not in English, and if so required by the Agent, accompanied
               by a certified English translation and, in this case, the English
               translation will prevail unless the document is a constitutional,
               statutory or other official document.

29.  CALCULATIONS AND CERTIFICATES

29.1 ACCOUNTS

     In any litigation or arbitration proceedings arising out of or in
     connection with a Finance Document, the entries made in the accounts
     maintained by a Lender or the Agent are prima facie evidence of the matters
     to which they relate.

29.2 CERTIFICATES AND DETERMINATIONS

     Any certification or determination by a Lender or the Agent of a rate or
     amount under any Finance Document is, in the absence of manifest error,
     conclusive evidence of the matters to which it relates.

29.3 DAY COUNT CONVENTION

     Any interest, commission or fee accruing under a Finance Document will
     accrue from day to day and is calculated on the basis of the actual number
     of days elapsed and a year of 360 days or, in any case where the practice
     in the Relevant Interbank Market differs, in accordance with that market
     practice.

                                      -57-

<PAGE>

30.  PARTIAL INVALIDITY

     If, at any time, any provision of the Finance Documents is or becomes
     illegal, invalid or unenforceable in any respect under any law of any
     jurisdiction, neither the legality, validity or enforceability of the
     remaining provisions nor the legality, validity or enforceability of such
     provision under the law of any other jurisdiction will in any way be
     affected or impaired.

31.  REMEDIES AND WAIVERS

     No failure to exercise, nor any delay in exercising, on the part of any
     Lender or the Agent, any right or remedy under the Finance Documents shall
     operate as a waiver, nor shall any single or partial exercise of any right
     or remedy prevent any further or other exercise or the exercise of any
     other right or remedy. The rights and remedies provided in this Agreement
     are cumulative and not exclusive of any rights or remedies provided by law.

32.  AMENDMENTS AND WAIVERS

32.1 REQUIRED CONSENTS

     (a)  Subject to Clauses 32.2 (Exceptions), any term of the Finance
          Documents may be amended or waived only with the consent of the
          Majority Lenders and the Borrower and any such amendment or waiver
          will be binding on all Parties.

     (b)  The Agent may effect, on behalf of itself or any Lender, any amendment
          or waiver permitted by this Clause.

32.2 EXCEPTIONS

     (a)  An amendment or waiver that has the effect of changing or which
          relates to:

          (i)  the definition of "Majority Lenders" in Clause 1.1 (Definitions);

          (ii) an extension to the date of payment of any amount under the
               Finance Documents;

          (iii) a reduction in the Margin or a reduction in the amount of any
               payment of principal, interest, fees or commission payable;

          (iv) an increase in or an extension of any Commitment;

          (v)  a change to the Borrower;

          (vi) any provision which expressly requires the consent of all the
               Lenders; or

          (vii) Clause 2.3 (Lenders' rights and obligations), Clause 21 (Changes
               to the Lenders) or this Clause 32,

          shall not be made without the prior consent of all the Lenders.

     (b)  An amendment or waiver which relates to the rights or obligations of
          the Agent may not be effected without the consent of the Agent.

                                      -58-

<PAGE>

33.  COUNTERPARTS

     Each Finance Document may be executed in any number of counterparts, and
     this has the same effect as if the signatures on the counterparts were on a
     single copy of the Finance Document.

                                      -59-

<PAGE>

                                   SECTION 12
                          GOVERNING LAW AND ENFORCEMENT

34.  GOVERNING LAW

     This Agreement is governed by English law.

35.  ENFORCEMENT

35.1 JURISDICTION

     (a)  The courts of England have exclusive jurisdiction to settle any
          dispute arising out of or in connection with this Agreement (including
          a dispute regarding the existence, validity or termination of this
          Agreement) (a "DISPUTE").

     (b)  The Parties agree that the courts of England are the most appropriate
          and convenient courts to settle Disputes and accordingly no Party will
          argue to the contrary.

     (c)  This Clause 35.1 is for the benefit of the Lenders and the Agent only.
          As a result, no Lender or the Agent shall be prevented from taking
          proceedings relating to a Dispute in any other courts with
          jurisdiction. To the extent allowed by law, the Lenders and the Agent
          may take concurrent proceedings in any number of jurisdictions.

35.2 WAIVER OF IMMUNITY

     The Borrower waives generally all immunity it or its assets or revenues may
     otherwise have in any jurisdiction, including immunity in respect of:

     (a)  the giving of any relief by way of injunction or order for specific
          performance or for the recovery of assets or revenues; and

     (b)  the issue of any process against its assets or revenues for the
          enforcement of a judgment or, in an action in rem, for the arrest,
          detention or sale of any of its assets and revenues.

35.3 SERVICE OF PROCESS

     Without prejudice to any other mode of service allowed under any relevant
     law, the Borrower:

     (a)  irrevocably appoints Morgan Walker Solicitors of 115A Chancery Lane,
          London, WC2A 1PR, as its agent for service of process in relation to
          any proceedings before the English courts in connection with any
          Finance Document; and

     (b)  agrees that failure by a process agent to notify the Borrower of the
          process will not invalidate the proceedings concerned.

THIS AGREEMENT HAS BEEN ENTERED INTO ON THE DATE STATED AT THE BEGINNING OF THIS
AGREEMENT.

                                      -60-

<PAGE>

                                   SCHEDULE 1
                              CONDITIONS PRECEDENT

                   CONDITIONS PRECEDENT TO INITIAL UTILISATION

1.   BORROWER

     (a)  A copy of the memorandum and articles of association of the Borrower,
          certified to be true and correct on the date it is submitted.

     (b)  A copy of a resolution of the board of directors of the Borrower:

          (i)  approving the terms of, and the transactions contemplated by, the
               Finance Documents to which it is a party and resolving that it
               execute the Finance Documents to which it is a party;

          (ii) authorising a specified person or persons to execute the Finance
               Documents to which it is a party on its behalf; and

          (iii) authorising a specified person or persons, on its behalf, to
               sign and/or despatch all documents and notices (including, if
               relevant, any Utilisation Request) to be signed and/or despatched
               by it under or in connection with the Finance Documents to which
               it is a party.

     (c)  A specimen of the signature of each person authorised by the
          resolution referred to in paragraph (b) above.

     (d)  A certificate of the Borrower (signed by an Authorised Signatory)
          confirming that borrowing the Commitment would not cause any
          borrowing, guaranteeing or similar limit binding on it to be exceeded.

     (e)  A certified copy of the resolution of the shareholders of the Borrower
          passed in a general meeting in accordance with Section 293(1)(d) of
          the Indian Companies Act approving the current borrowing limit of the
          Borrower.

     (f)  A certificate of an Authorised Signatory of the Borrower certifying
          that each copy document relating to it specified in this Schedule 1 is
          correct, complete and in full force and effect as at a date no earlier
          than the date of this Agreement.

2.   LEGAL OPINIONS

     (a)  A legal opinion of the legal advisers to the Agent and Lenders in
          India in form and substance satisfactory to the Agent.

     (b)  A legal opinion from Clifford Chance Wong Pte Ltd, in relation to
          English law.

3.   OTHER DOCUMENTS AND EVIDENCE

     (a)  Evidence that any process agent referred to in Clause 35.3 (Service of
          process) has accepted its appointment.

                                      -61-

<PAGE>

     (b)  A copy of any other Authorisation or other document, opinion or
          assurance which the Agent considers to be necessary or desirable (if
          it has notified the Borrower accordingly) in connection with the entry
          into and performance of the transactions contemplated by any Finance
          Document or for the validity and enforceability of any Finance
          Document.

     (c)  The Original Financial Statements of the Borrower.

     (d)  Evidence that the fees, costs and expenses then due from the Borrower
          under the Fee Letters and Clause 15 (Costs and expenses) have been
          paid or will be paid by the Utilisation Date.

     (e)  Evidence (in the form of a letter from the Borrower to the Agent and
          the Lenders) that each of the representations and undertakings in
          Clauses 16 (Representations), 17 (Information Undertakings), 18
          (Financial Covenants) and 19 (General Undertakings) are true and
          accurate by reference to the facts and circumstances subsisting on the
          date of execution of this Agreement.

     (f)  Evidence that the Borrower has delivered a duly completed Form 83 to
          the Department of Statistical Analysis and Computer Services (DESACS)
          of the RBI to obtain a loan identification number and that the DESACS
          has issued a loan registration number for the Facility under this
          Agreement.

     (g)  A copy of each Finance Document executed by the parties to those
          documents.

                                      -62-

<PAGE>

                                   SCHEDULE 2
                               UTILISATION REQUEST

From:  Sterlite Industries (India) Limited

To:    Standard Chartered Bank as Agent

Dated: _______________

Dear Sirs

    STERLITE INDUSTRIES (INDIA) LIMITED - $92,600,000 TERM FACILITY AGREEMENT
                        DATED [______] (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Utilisation Request. Terms defined in
     the Agreement have the same meaning in this Utilisation Request unless
     given a different meaning in this Utilisation Request.

2.   We wish to borrow a [Tranche A Loan/Tranche B Loan] on the following terms:

     Proposed Utilisation Date: [___]  (or, if that is not a Business Day, the
                                next Business Day)
     Currency of Loan:          dollar equivalent in yen
     Amount:                    $[_____]
     Interest Period:           [1, 2, 3 or 6 months]

3.   We confirm that each condition specified in Clause 4.1 (Initial conditions
     precedent) and Clause 4.2 (Further conditions precedent) is satisfied on
     the date of this Utilisation Request.

4.   The proceeds of this [Tranche A Loan/Tranche B Loan] should be credited to
     [account].

5.   This Utilisation Request is irrevocable.

                                        Yours faithfully

                                        ----------------------------------------
                                        authorised signatory for
                                        STERLITE INDUSTRIES (INDIA) LIMITED

                                      -63-

<PAGE>

                                   SCHEDULE 3
                             MANDATORY COST FORMULAE

1.   The Mandatory Cost is an addition to the interest rate to compensate
     Lenders for the cost of compliance with (a) the requirements of the
     Financial Services Authority or any other authority which replaces all or
     any of its functions) or (b) the requirements of the European Central Bank.

2.   On the first day of each Interest Period (or as soon as possible
     thereafter) the Agent shall calculate, as a percentage rate, a rate (the
     "ADDITIONAL COST RATE") for each Lender, in accordance with the paragraphs
     set out below. The Mandatory Cost will be calculated by the Agent as a
     weighted average of the Lenders' Additional Cost Rates (weighted in
     proportion to the percentage participation of each Lender in the relevant
     Loan) and will be expressed as a percentage rate per annum.

3.   The Additional Cost Rate for any Lender lending from a Facility Office in a
     Participating Member State will be the percentage notified by that Lender
     to the Agent. This percentage will be certified by that Lender in its
     notice to the Agent to be its reasonable determination of the cost
     (expressed as a percentage of that Lender's participation in all Loans made
     from that Facility Office) of complying with the minimum reserve
     requirements of the European Central Bank in respect of loans made from
     that Facility Office.

4.   The Additional Cost Rate for any Lender lending from a Facility Office in
     the United Kingdom will be calculated by the Agent as follows:

     E x 0.01
     -------- per cent. per annum.
        300

     Where:

     E    is designed to compensate Lenders for amounts payable under the Fees
          Rules and is calculated by the Agent as being the average of the most
          recent rates of charge supplied by the Reference Banks to the Agent
          pursuant to paragraph 7 below and expressed in pounds per
          GBP1,000,000.

5.   For the purposes of this Schedule:

     (a)  "FEES RULES" means the rules on periodic fees contained in the FSA
          Supervision Manual or such other law or regulation as may be in force
          from time to time in respect of the payment of fees for the acceptance
          of deposits;

     (b)  "FEE TARIFFS" means the fee tariffs specified in the Fees Rules under
          the activity group A.1 Deposit acceptors (ignoring any minimum fee or
          zero rated fee required pursuant to the Fees Rules but taking into
          account any applicable discount rate); and

     (c)  "TARIFF BASE" has the meaning given to it in, and will be calculated
          in accordance with, the Fees Rules.

                                      -64-

<PAGE>

6.   If requested by the Agent, each Reference Bank shall, as soon as
     practicable after publication by the Financial Services Authority, supply
     to the Agent, the rate of charge payable by that Reference Bank to the
     Financial Services Authority pursuant to the Fees Rules in respect of the
     relevant financial year of the Financial Services Authority (calculated for
     this purpose by that Reference Bank as being the average of the Fee Tariffs
     applicable to that Reference Bank for that financial year) and expressed in
     pounds per GBP1,000,000 of the Tariff Base of that Reference Bank.

7.   Each Lender shall supply any information required by the Agent for the
     purpose of calculating its Additional Cost Rate. In particular, but without
     limitation, each Lender shall supply the following information on or prior
     to the date on which it becomes a Lender:

     (a)  the jurisdiction of its Facility Office; and

     (b)  any other information that the Agent may reasonably require for such
          purpose.

     Each Lender shall promptly notify the Agent of any change to the
     information provided by it pursuant to this paragraph.

8.   The Agent shall have no liability to any person if such determination
     results in an Additional Cost Rate which over or under compensates any
     Lender and shall be entitled to assume that the information provided by any
     Lender or Reference Bank pursuant to paragraphs 3, 7 and 8 above is true
     and correct in all respects.

9.   The Agent shall distribute the additional amounts received as a result of
     the Mandatory Cost to the Lenders on the basis of the Additional Cost Rate
     for each Lender based on the information provided by each Lender and each
     Reference Bank pursuant to paragraphs 3, 7 and 8 above.

10.  Any determination by the Agent pursuant to this Schedule in relation to a
     formula, the Mandatory Cost, an Additional Cost Rate or any amount payable
     to a Lender shall, in the absence of manifest error, be conclusive and
     binding on all Parties.

11.  The Agent may from time to time, after consultation with the Borrower and
     the Lenders, determine and notify to all Parties any amendments which are
     required to be made to this Schedule in order to comply with any change in
     law, regulation or any requirements from time to time imposed by the
     Financial Services Authority or the European Central Bank (or, in any case,
     any other authority which replaces all or any of its functions) and any
     such determination shall, in the absence of manifest error, be conclusive
     and binding on all Parties.

                                      -65-

<PAGE>

                                   SCHEDULE 4
                          FORM OF TRANSFER CERTIFICATE

To:  Standard Chartered Bank as Agent

From: [The Existing Lender] (the "EXISTING LENDER") and [The New Lender] (the
     "NEW LENDER")

Dated:

    STERLITE INDUSTRIES (INDIA) LIMITED -$92,600,000 TERM FACILITY AGREEMENT
                        DATED [______] (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Transfer Certificate. Terms defined in
     the Agreement have the same meaning in this Transfer Certificate unless
     given a different meaning in this Transfer Certificate.

2.   We refer to Clause 21.5 (Procedure for transfer):

     (a)  The Existing Lender and the New Lender agree to the Existing Lender
          transferring to the New Lender by novation all or part of the Existing
          Lender's Commitment, rights and obligations referred to in the
          Schedule in accordance with Clause 21.5 (Procedure for transfer).

     (b)  The proposed Transfer Date is [__].

     (c)  The Facility Office and address, fax number and attention details for
          notices of the New Lender for the purposes of Clause 28.2 (Addresses)
          are set out in the Schedule.

3.   The New Lender expressly acknowledges the limitations on the Existing
     Lender's obligations set out in Clause 21.4 (Limitation of responsibility
     of Existing Lenders).

4.   This Transfer Certificate may be executed in any number of counterparts and
     this has the same effect as if the signatures on the counterparts were on a
     single copy of this Transfer Certificate.

5.   This Transfer Certificate is governed by English law.

                                      -66-

<PAGE>

                                  THE SCHEDULE

               COMMITMENT/RIGHTS AND OBLIGATIONS TO BE TRANSFERRED

                           [insert relevant details]
   [Facility Office address, fax number and attention details for notices and
                         account details for payments,]

[Existing Lender]                       [New Lender]

By:                                     By:
    ---------------------------------       ------------------------------------

This Transfer Certificate is acknowledged by the Agent.

Standard Chartered Bank as Agent

By:
    ---------------------------------

                                      -67-
<PAGE>

                                   SCHEDULE 5

                         FORM OF COMPLIANCE CERTIFICATE

To:    Standard Chartered Bank as Agent

From:  Sterlite Industries (India) Limited

Dated: ___________________________________

Dear Sirs

    STERLITE INDUSTRIES (INDIA) LIMITED -$92,600,000 TERM FACILITY AGREEMENT
                      DATED [__________] (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Compliance Certificate Letter. Terms
     defined in the Agreement have the same meaning in this Compliance
     Certificate Letter unless given a different meaning in this Compliance
     Certificate.

2.   We confirm that:

     (a)  Interest Cover

          The ratio of EBITDA to Gross Interest Expense for the Relevant Period
          is not less than 2.0 : 1.0.

          The actual ratio of EBITDA to Gross Interest Expense for the Relevant
          Period is [insert, with calculations].

     (b)  LEVERAGE

          The ratio of Total Liabilities to Tangible Net Worth shall not at any
          time equal or exceed 2.0 : 1.0.

          The actual ratio of Total Liabilities to Tangible Net Worth for the
          Relevant Period is: [insert, with calculations]

     (c)  DEBT SERVICE

          The mean average ratio of EBITDA to Debt Service for any Relevant Debt
          Service Period shall not at any time be less than 1.25 : 1.0

          The actual mean average ratio of EBITDA to Debt Service for the
          Relevant Debt Service Period is: [insert, with calculations]

     (d)  TANGIBLE NET WORTH

          The Tangible Net Worth of the Borrower shall at no time be less than
          INR 35,790,000,000

          As at the end of the Relevant Period, the Tangible Net Worth of the
          Borrower is: [insert, with calculations]

     (e)  GEARING

                                      -68-

<PAGE>

          The ratio of Total Secured Debt to Tangible Net Worth shall at no time
          exceed 1.50 : 1.0.

          As at the end of the Relevant Period, the ratio of the Total Secured
          Debt to Tangible Net Worth of the Borrower is: [insert, with
          calculations].

3.   Details of Total Secured Debt:

4.   [We confirm that no Default is continuing.]*

Signed:
        -----------------------------------  -----------------------------------
        Authorised Signatory Of              Authorised Signatory Of
        Sterlite Industries (India) Limited  Sterlite Industries (India) Limited

REPORT BY AUDITOR ON COMPLIANCE CERTIFICATE***

In our opinion the attached Compliance Certificate and the financial statements
upon which it is based give a true and fair view of the state of affairs of the
Borrower at [insert date of certificate] and of the profit and source and
application of funds of the Borrower for the financial year ended [date] and
have been properly prepared in accordance with [insert relevant accounting
principles].

------------------------------------
for and on behalf of
[name of auditors of the Borrower]

*    If this statement cannot be made, the certificate should identify any
     Default that is continuing and the steps, if any, being taken to remedy it.

***  Only applicable if the Compliance Certificate accompanies the audited
     financial statements and is to be signed by the auditors.

                                      -69-

<PAGE>

                                   SCHEDULE 6

                                   TIMETABLES

<TABLE>
<S>                                                          <C>
Delivery of a duly completed Utilisation Request (Clause     U - 3 (by 9.00am)
5.1(a)/5.2(a))

Agent notifies the Lenders of the Loan amount in             U - 3 (no later than 3.00pm)
accordance with Clause 5.4 (Loan)

Borrower notifies the Agent of the next Interest Period in   U - 3 (by 9.00am)
accordance with Clause 9.1 (Interest Periods)

Agent notifies the Lenders of the next Interest Period       U - 3 (no later than 3.00pm)

LIBOR is fixed                                               Quotation Day as of 11.00am
</TABLE>

"U" = Utilisation Date or end of an Interest Period as the case may be (which
must be a Business Day)

"U - X" = X Business Days prior to date of utilisation

                                      -70-

<PAGE>

                                   SCHEDULE 7

                                 INITIAL LENDERS

                                     PART 1

<TABLE>
<CAPTION>
THE TRANCHE A LENDERS                                            COMMITMENTS ($)
---------------------                                            ---------------
<S>                                                              <C>
(1) CALYON                                                          22,850,000
(2) STANDARD CHARTERED BANK                                         22,850,000
(3) ICICI BANK LIMITED, SINGAPORE BRANCH                            14,600,000
(4) ICICI BANK LIMITED, BAHRAIN BRANCH                               3,650,000
(5) ICICI BANK LIMITED, HONG KONG BRANCH                             3,650,000
TOTAL                                                               67,600,000
</TABLE>

                                     PART 2

<TABLE>
<CAPTION>
THE TRANCHE B LENDERS                                            COMMITMENTS ($)
---------------------                                            ---------------
<S>                                                              <C>
(1) CALYON                                                           8,450,000
(2) STANDARD CHARTERED BANK                                          8,450,000
(3) ICICI BANK LIMITED, SINGAPORE BRANCH                             5,400,000
(4) ICICI BANK LIMITED, BAHRAIN BRANCH                               1,350,000
(5) ICICI BANK LIMITED, HONG KONG BRANCH                             1,350,000
TOTAL                                                               25,000,000
</TABLE>

                                      -71-

<PAGE>

                                   SIGNATURES

THE BORROWER

STERLITE INDUSTRIES (INDIA) LIMITED

By: Santosh Maheshwari Kishore Kumar
                                             /s/  Santosh Maheshwari
Address:   Business Square                   /s/  Kishore Kumar
           'C' Wing, 2nd Floor
           Chakala,
           Andheri-Kurla Road
           Andheri (E)
           Mumbai 400 093

Fax:       +91 22 5643 4551

Attention: Santosh Maheshwari/Sushil Gupta

MANDATED LEAD ARRANGERS

CALYON

By:                                                         (SIGNED)
    --------------------------------

ICICI BANK LIMITED, SINGAPORE BRANCH

By:                                                         (SIGNED)
    --------------------------------

STANDARD CHARTERED BANK

By:                                                         (SIGNED)
    --------------------------------

THE INITIAL LENDERS

CALYON

By:                                                         (SIGNED)
    --------------------------------

                                      -72-

<PAGE>

ICICI BANK LIMITED, SINGAPORE BRANCH

By:                                                         (SIGNED)
    --------------------------------

ICICI BANK LIMITED, BAHRAIN BRANCH

By:                                                         (SIGNED)
    --------------------------------

ICICI BANK LIMITED, HONG KONG BRANCH

By:                                                         (SIGNED)
    --------------------------------

STANDARD CHARTERED BANK

By:                                                         (SIGNED)
    --------------------------------

                                      -73-

<PAGE>

THE AGENT

STANDARD CHARTERED BANK

By:                                             (SIGNED)
    --------------------------------

Address:   19th Floor
           New London Bridge House
           25 London Bridge Street
           London
           SE1 9TB

Fax:       + 44 (0) 207 280 6460

Attention: Travor Laflin/ Darren Osborne

                                      -74-<PAGE>

                                                                   EXHIBIT 10.12

                                                               EXECUTION VERSION

                         TERM LOAN FACILITIES AGREEMENT

                             dated 19 September 2005

                                       for

                       STERLITE INDUSTRIES (INDIA) LIMITED

                                   arranged by
                                  DBS BANK LTD
                      ICICI BANK LIMITED, SINGAPORE BRANCH
                       SUMITOMO MITSUI BANKING CORPORATION
                            as Mandated Lead Arranger

                                      with

                                  DBS BANK LTD
                                 acting as Agent

                           Linklaters Allen & Gledhill

                                  Ref: PHJB/JGC

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
CLAUSE                                                                      PAGE
------                                                                      ----
<S>                                                                         <C>
                                    SECTION 1
                                 INTERPRETATION
 1. Definitions and interpretation.......................................     3

                                     SECTION 2
                                  THE FACILITIES
 2. The Facilities.......................................................    13
 3. Purpose..............................................................    13
 4. Conditions of Utilisation............................................    13

                                     SECTION 3
                                    UTILISATION
 5. Utilisation..........................................................    15

                                     SECTION 4
                      REPAYMENT, PREPAYMENT AND CANCELLATION
 6. Repayment............................................................    16
 7. Prepayment and cancellation..........................................    16

                                     SECTION 5
                               COSTS OF UTILISATION
 8. Interest.............................................................    19
 9. Interest Periods.....................................................    20
10. Changes to the calculation of interest...............................    20
11. Fees.................................................................    21

                                    SECTION 6
                         ADDITIONAL PAYMENT OBLIGATIONS
12. Tax gross up and indemnities.........................................    22
13. Increased costs......................................................    24
14. Other indemnities....................................................    25
15. Mitigation by the Lenders............................................    26
16. Costs and expenses...................................................    26

                                    SECTION 7
               REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT
17. Representations......................................................    28
18. Information undertakings.............................................    31
19. Financial covenants..................................................    33
20. General undertakings.................................................    36
21. Events of Default....................................................    39

                                    SECTION 8
                               CHANGES TO PARTIES
22. Changes to the Lenders...............................................    42
23. Changes to the Borrower..............................................    44
</TABLE>

<PAGE>

<TABLE>
<S>                                                                         <C>
                                    SECTION 9
                               THE FINANCE PARTIES
24. Role of the Agent and the Mandated Lead Arranger.....................    45
25. Conduct of business by the Finance Parties...........................    49
26. Sharing among the Finance Parties....................................    50

                                   SECTION 10
                                 ADMINISTRATION
27. Payment mechanics....................................................    52
28. Set-off..............................................................    54
29. Notices..............................................................    54
30. Calculations and certificates........................................    56
31. Partial invalidity...................................................    56
32. Remedies and waivers.................................................    56
33. Amendments and waivers...............................................    56
34. Counterparts.........................................................    57

                                   SECTION 11
                          GOVERNING LAW AND ENFORCEMENT
35. Governing law........................................................    58
36. Enforcement..........................................................    58
</TABLE>

                                  THE SCHEDULES

<TABLE>
<CAPTION>
SCHEDULE                                                                    PAGE
--------                                                                    ----
<S>                                                                         <C>
SCHEDULE 1 The Original Lenders..........................................    60
SCHEDULE 2 Conditions Precedent..........................................    61
SCHEDULE 3 Requests......................................................    63
SCHEDULE 4 Form of Transfer Certificate..................................    65
SCHEDULE 5 Form of Compliance Certificate................................    67
SCHEDULE 6 Timetables....................................................    69
</TABLE>
<PAGE>

THIS AGREEMENT is dated 19 September 2005 and made between:

(1)  STERLITE INDUSTRIES (INDIA) LIMITED, registration number 21833/TA (the
     "BORROWER");

(2)  DBS BANK LTD, ICICI BANK LIMITED, SINGAPORE BRANCH, SUMITOMO MITSUI BANKING
     CORPORATION as mandated lead arrangers (whether acting individually or
     collectively, the "MANDATED LEAD ARRANGER");

(3)  THE FINANCIAL INSTITUTIONS listed in Schedule 1 as lenders (the "ORIGINAL
     LENDERS"); and

(4)  DBS BANK LTD as agent of the other Finance Parties (the "AGENT").

IT IS AGREED as follows:

                                    SECTION 1

                                 INTERPRETATION

1.   DEFINITIONS AND INTERPRETATION

1.1  DEFINITIONS

     In this Agreement:

     "AFFILIATE" means, in relation to any person, a Subsidiary of that person
     or a Holding Company of that person or any other Subsidiary of that Holding
     Company.

     "AGENT'S SPOT RATE OF EXCHANGE" means, on any day, the Agent's spot rate of
     exchange on that day for the purchase of US Dollars with any relevant
     currency.

     "APLMA" means the Asia Pacific Loan Market Association.

     "AUTHORISATION" means:

     (a)  an authorisation, consent, approval, resolution, licence, exemption,
          filing, notarisation, lodgement or registration; or

     (b)  in relation to anything which will be fully or partly prohibited or
          restricted by law or regulation if a Governmental Agency intervenes or
          acts in any way within a specified period after lodgement, filing,
          registration or notification, the expiry of that period without
          intervention or action.

     "AVAILABILITY PERIOD" means the period of 30 days from and including the
     date of this Agreement.

     "BORROWINGS" has the meaning given to it in Clause 19 (Financial
     covenants).

     "BREAK COSTS" means the amount (if any) by which:

     (a)  the interest which a Lender should have received for the period from
          the date of receipt of all or any part of its participation in a Loan
          or Unpaid Sum to the last day of the current Interest Period in
          respect of that Loan or Unpaid Sum, had the principal amount or Unpaid
          Sum received been paid on the last day of that Interest Period;

     exceeds:

                                      -3-

<PAGE>

     (b)  the amount which that Lender would be able to obtain by placing an
          amount equal to the principal amount or Unpaid Sum received by it on
          deposit with a leading bank in the Relevant Interbank Market for a
          period starting on the Business Day following receipt or recovery and
          ending on the last day of the current Interest Period.

     "BUSINESS DAY" means a day (other than a Saturday or Sunday) on which banks
     are open for general business in Singapore and Mumbai and:

     (a)  in relation to any date for payment in Yen, London and Tokyo; and

     (b)  in relation to any date for payment in US Dollars, London and New
          York.

     "COMMITMENT" means a Facility A Commitment or Facility B Commitment.

     "COMPLIANCE CERTIFICATE" means a certificate substantially in the form set
     out in Schedule 5 (Form of Compliance Certificate).

     "CONFIDENTIALITY UNDERTAKING" means a confidentiality undertaking
     substantially in a recommended form of the APLMA from time to time or in
     any other form agreed between the Borrower and the Agent.

     "CRISIL" means Credit Rating Information Service of India Limited.

     "DEFAULT" means an Event of Default or any event or circumstance specified
     in Clause 21 (Events of Default) which would (with the expiry of a grace
     period, the giving of notice, the making of any determination under the
     Finance Documents or any combination of any of the foregoing) be an Event
     of Default.

     "EBITDA" has the meaning given to it in Clause 19 (Financial covenants).

     "ENVIRONMENT" means living organisms including the ecological systems of
     which they form part and the following media:

     (a)  air (including air within natural or man-made structures, whether
          above or below ground);

     (b)  water (including territorial, coastal and inland waters, water under
          or within land and water in drains and sewers); and

     (c)  land (including land under water).

     "ENVIRONMENTAL LAW" means all laws and regulations of any relevant
     jurisdiction which:

     (a)  have as a purpose or effect the protection of, and/or prevention of
          harm or damage to, the Environment;

     (b)  provide remedies or compensation for harm or damage to the
          Environment; or

     (c)  relate to Hazardous Substances or health and safety matters.

     "ENVIRONMENTAL LICENCE" means any Authorisation required at any time under
     Environmental Law.

     "EVENT OF DEFAULT" means any event or circumstance specified as such in
     Clause 21 (Events of Default).

                                      -4-

<PAGE>

     "EXISTING CORE BUSINESS" means the business of mining, producing, smelting
     and distributing non-ferrous metals.

     "EXISTING SECURITY" means the Security created to secure the UBI Loan.

     "EXTERNAL INDEBTEDNESS" means Financial Indebtedness of the Borrower other
     than Financial Indebtedness of the Borrower made available to the Borrower
     in India by Indian branches of banks or financial institutions.

     "FACILITY" means Facility A or Facility B.

     "FACILITY A" means the term loan facility in Yen made available under this
     Agreement as described in Clause 2 (The Facilities).

     "FACILITY A COMMITMENT" means:

     (a)  in relation to an Original Lender, the amount in Yen set opposite its
          name under the heading "Facility A Commitment" in Schedule 1 (The
          Original Lenders) and the amount of any other Facility A Commitment
          transferred to it under this Agreement; and

     (b)  in relation to any other Lender, the amount in Yen of any Facility A
          Commitment transferred to it under this Agreement,

     to the extent not cancelled, reduced or transferred by it under this
     Agreement.

     "FACILITY A LENDER" means:

     (a)  any Original Facility A Lender; and

     (b)  any bank or financial institution, trust fund or other entity which
          has become a Facility A Lender in accordance with Clause 22 (Changes
          to the Lenders),

     which in each case has not ceased to be a Facility A Lender in accordance
     with the terms of this Agreement.

     "FACILITY A LOAN" means the loan made or to be made under Facility A or the
     principal amount outstanding for the time being of that loan.

     "FACILITY B" means the term loan facility in US Dollars made available
     under this Agreement as described in Clause 2 (The Facilities).

     "FACILITY B COMMITMENT" means:

     (a)  in relation to an Original Lender, the amount in US Dollars set
          opposite its name under the heading "Facility B Commitment" in
          Schedule 1 (The Original Lenders) and the amount of any other Facility
          B Commitment transferred to it under this Agreement; and

     (b)  in relation to any other Lender, the amount in US Dollars of any
          Facility B Commitment transferred to it under this Agreement,

     to the extent not cancelled, reduced or transferred by it under or
     otherwise pursuant to this Agreement.

     "FACILITY B LENDER" means:

     (a)  any Original Facility B Lender; and

                                      -5-

<PAGE>

     (b)  any bank or financial institution, trust fund or other entity which
          has become a Facility B Lender in accordance with Clause 22 (Changes
          to the Lenders),

     which in each case has not ceased to be a Facility B Lender in accordance
     with the terms of this Agreement.

     "FACILITY B LOAN" means the loan made or to be made under Facility B or the
     principal amount outstanding for the time being of that loan.

     "FACILITY OFFICE" means the office or offices notified by a Lender to the
     Agent in writing on or before the date it becomes a Lender (or, following
     that date, by not less than five Business Days' written notice) as the
     office or offices through which it will perform its obligations under this
     Agreement.

     "FEE LETTER" means any letter or letters dated on or about the date of this
     Agreement between, as the case may be, the Mandated Lead Arranger and the
     Borrower or the Agent and the Borrower setting out any of the fees referred
     to in Clause 11 (Fees).

     "FINANCE DOCUMENT" means this Agreement, any Fee Letter and any other
     document designated as such by the Agent and the Borrower.

     "FINANCE PARTY" means the Agent, the Mandated Lead Arranger or a Lender.

     "FINANCIAL INDEBTEDNESS" means any indebtedness for or in respect of:

     (a)  moneys borrowed;

     (b)  any amount raised under any acceptance credit, bill acceptance or bill
          endorsement facility;

     (c)  any amount raised pursuant to any note purchase facility or the issue
          of bonds, notes, debentures, loan stock or any similar instrument;

     (d)  the amount of any liability in respect of any lease or hire purchase
          contract which would, in accordance with GAAP, be treated as a finance
          or capital lease;

     (e)  receivables sold or discounted (other than any receivables to the
          extent they are sold on a non-recourse basis);

     (f)  any amount raised under any other transaction (including any forward
          sale or purchase agreement) having the commercial effect of a
          borrowing;

     (g)  any derivative transaction entered into in connection with protection
          against or benefit from fluctuation in any rate or price (and, when
          calculating the value of any derivative transaction, only the marked
          to market value shall be taken into account);

     (h)  shares which are expressed to be redeemable;

     (i)  any counter-indemnity obligation in respect of a guarantee, indemnity,
          bond, standby or documentary letter of credit or any other instrument
          issued by a bank or financial institution; and

     (j)  the amount of any liability in respect of any guarantee or indemnity
          for any of the items referred to in paragraphs (a) to (i) above.

                                      -6-

<PAGE>

     "GAAP" means generally accepted accounting principles, standards and
     practices in India.

     "GOVERNMENTAL AGENCY" means any government or any governmental agency,
     semi-governmental or judicial entity or authority (including, without
     limitation, any stock exchange or any self-regulatory organisation
     established under statute).

     "GROUP" means the Borrower and its Subsidiaries for the time being.

     "HAZARDOUS SUBSTANCE" means any waste, pollutant, contaminant or other
     substance (including any liquid, solid, gas, ion, living organism or noise)
     that may be harmful to human health or other life or the Environment or a
     nuisance to any person or that may make the use or ownership of any
     affected land or property more costly.

     "HOLDING COMPANY" means, in relation to a company or corporation, any other
     company or corporation in respect of which it is a Subsidiary.

     "ICRA" means ICRA Limited.

     "INDIA" means the Republic of India and its constituent states from time to
     time and includes where the context so requires, the Government of the
     Republic of India, the Government of any constituent state thereof and any
     Governmental Agency of or in India.

     "INDIRECT TAX" means any goods and services tax, consumption tax, value
     added tax or any tax of a similar nature.

     "INFORMATION MEMORANDUM" means the document in the form approved by the
     Borrower concerning the Group which, at its request and on its behalf, was
     prepared in relation to this transaction and distributed by the Mandated
     Lead Arranger to selected financial institutions before the date of this
     Agreement.

     "INTEREST PERIOD" means, in relation to the Loan, each period determined in
     accordance with Clause 9 (Interest Periods) and, in relation to an Unpaid
     Sum, each period determined in accordance with Clause 8.3 (Default
     interest).

     "LENDER" means a Facility A Lender or a Facility B Lender.

     "LIBOR" means, in relation to any Loan:

     (a)  the applicable Screen Rate; or

     (b)  (if no Screen Rate is available for the currency or Interest Period of
          that Loan) the arithmetic mean of the rates (rounded upwards to four
          decimal places) as supplied to the Agent at its request quoted by the
          Reference Banks to leading banks in the London interbank market,

     as of the Specified Time on the Quotation Day for the offering of deposits
     in the currency of that Loan for a period comparable to the Interest Period
     for that Loan.

     "LOAN" means the Facility A Loan or the Facility B Loan.

     "LONDON BUSINESS DAY" means a day (other than a Saturday or Sunday) on
     which deposits may be dealt in on the London interbank market and banks are
     open for general business in London.

                                      -7-

<PAGE>

     "LONG TERM DEBT" has the meaning given to it in Clause 19 (Financial
     covenants).

     "MAJORITY LENDERS" means:

     (a)  if there are no Loans then outstanding, a Lender or Lenders whose
          Commitments aggregate more than 66 2/3% of the Total Commitments (or,
          if the Total Commitments have been reduced to zero, aggregated more
          than 66 2/3% of the Total Commitments immediately prior to the
          reduction); or

     (b)  at any other time, a Lender or Lenders whose participations in the
          Loans then outstanding aggregate more than 66 2/3% of all the Loans
          then outstanding,

     and for the purposes of any determination of the Majority Lenders, any Loan
     or Commitment (or part thereof) that is not denominated in US Dollars shall
     be notionally converted into US Dollars at the Agent's Spot Rate of
     Exchange on the relevant date of determination.

     "MARGIN" means 0.42 per cent. per annum.

     "MATERIAL ADVERSE EFFECT" means a material adverse effect on:

     (a)  the financial condition, assets, prospects or business of the
          Borrower;

     (b)  the ability of the Borrower to perform and comply with its obligations
          under any Finance Document; or

     (c)  the validity, legality or enforceability of any Finance Document.

     "MONTH" means a period starting on one day in a calendar month and ending
     on the numerically corresponding day in the next calendar month, except
     that:

     (a)  if the numerically corresponding day is not a Business Day, that
          period shall end on the next Business Day in that calendar month in
          which that period is to end if there is one, or if there is not, on
          the immediately preceding Business Day; and

     (b)  if there is no numerically corresponding day in the calendar month in
          which that period is to end, that period shall end on the last
          Business Day in that calendar month.

     The above rules will only apply to the last Month of any period.

     "NET INTEREST EXPENSE" has the meaning given to it in Clause 19 (Financial
     covenants).

     "ORIGINAL FACILITY A LENDER" means a Lender listed in Schedule 1 (The
     Original Lenders) as having a Facility A Commitment.

     "ORIGINAL FACILITY B LENDER" means a Lender listed in Schedule 1 (The
     Original Lenders) as having a Facility B Commitment.

     "ORIGINAL FINANCIAL STATEMENTS" means the audited unconsolidated financial
     statements of the Borrower for the financial year ended 31 March 2005.

     "PARTY" means a party to this Agreement.

     "QUOTATION DAY" means, in relation to any period for which an interest rate
     is to be determined, two London Business Days before the first day of that
     period unless market practice differs in the Relevant Interbank Market for
     a currency, in which case the Quotation Day for that currency will

                                       -8-

<PAGE>

     be determined by the Agent in accordance with market practice in the
     Relevant Interbank Market (and if quotations for that currency and period
     would normally be given by leading banks in the Relevant Interbank Market
     on more than one day, the Quotation Day will be the last of those days).

     "RBI" means The Reserve Bank of India or any successor thereof.

     "REFERENCE BANKS" means, in relation to LIBOR, the principal London offices
     of DBS Bank Ltd, ICICI Bank (UK) Limited and Sumitomo Mitsui Banking
     Corporation or such other banks as may be appointed by the Agent in
     consultation with the Borrower.

     "REFINANCING DEBT" means all principal amounts outstanding under or in
     connection with the Term Loan (being US$19,645,591.69 and
     YEN3,570,000,000 as at the date of this Agreement).

     "REFINANCING SECURITY" means the Security created to secure the Refinancing
     Debt.

     "RELEVANT INTERBANK MARKET" means the London interbank market.

     "RELEVANT PERIOD" has the meaning given to it in Clause 19 (Financial
     covenants).

     "REPAYMENT DATES" means each of 19 August 2006, 19 February 2007, 19 August
     2007, 19 February 2008 and 19 August 2008.

     "REPAYMENT INSTALMENT" means each instalment for the repayment of the Loans
     specified in Clause 6.1 (Repayment of Loans).

     "RUPEES" or "RS" means the lawful currency for the time being of India.

     "SCREEN RATE" means the British Bankers' Association Interest Settlement
     Rate the relevant currency and period displayed on page 3750 of the
     Telerate screen. If the agreed page is replaced or service ceases to be
     available, the Agent may specify another page or service displaying the
     appropriate rate after consultation with the Borrower and the Lenders.

     "SECURITY" means a mortgage, charge, pledge, lien or other security
     interest securing any obligation of any person or any other agreement or
     arrangement having a similar effect.

     "SELECTION NOTICE" means a notice substantially in the form set out in Part
     II of Schedule 3 (Requests) given in accordance with Clause 9 (Interest
     Periods).

     "SPECIFIED TIME" means a time determined in accordance with Schedule 6
     (Timetables).

     "STANDING PAYMENT INSTRUCTION" means:

     (a)  in relation to an Original Lender, payment instructions delivered to
          the Agent in writing on or prior to the date of this Agreement;

     (b)  in relation to any other Lender, payment instructions set out in the
          Transfer Certificate to which that Lender is signatory,

     or such other payment instructions as the Lender may notify to the Agent by
     not less that five Business Day's notice.

     "SUBSIDIARY" means any other company in which the Borrower directly or
     indirectly at any time holds more than 50 per cent. of the equity share
     capital or voting power of such company.

                                      -9-

<PAGE>

     "TANGIBLE NET WORTH" has the meaning given to it in Clause 19 (Financial
     covenants).

     "TAX" means any tax, levy, impost, duty or other charge or withholding of a
     similar nature (including any penalty or interest payable in connection
     with any failure to pay or any delay in paying any of the same).

     "TERM LOAN" means the term loan facilities agreement dated 7 August 2002
     entered into by the Borrower and The Development Bank of Singapore, amongst
     others.

     "TERMINATION DATE" means 19 August 2008.

     "THIRD PARTIES ACT" means the Contracts (Rights of Third Parties Act) 1999.

     "TOTAL COMMITMENTS" means the aggregate of the Total Facility A Commitments
     and the Total Facility B Commitments and, for the purposes of any
     determination of Total Commitments pursuant to Clause 24.10 (Lenders'
     indemnity to the Agent) and the definition of Majority Lenders under Clause
     1.1 (Definitions), any Commitment that is not denominated in US Dollars
     shall be notionally converted into US Dollars at the Agent's Spot Rate of
     Exchange on the relevant date of determination.

     "TOTAL FACILITY A COMMITMENTS" means the aggregate of the Facility A
     Commitments, being YEN3,570,000,000 at the date of this Agreement.

     "TOTAL FACILITY B COMMITMENTS" means the aggregate of the Facility B
     Commitments, being US$19,645,591.69 at the date of this Agreement.

     "TOTAL LIABILITIES" has the meaning given to it in Clause 19 (Financial
     covenants).

     "TOTAL SECURED BORROWINGS" has the meaning given to it in Clause 19
     (Financial covenants).

     "TRANSFER CERTIFICATE" means a certificate substantially in the form set
     out in Schedule 4 (Form of Transfer Certificate) or any other form agreed
     between the Agent and the Borrower.

     "TRANSFER DATE" means, in relation to a transfer, the later of:

     (a)  the proposed Transfer Date specified in the Transfer Certificate; and

     (b)  the date on which the Agent executes the Transfer Certificate.

     "UBI LOAN" means the amounts outstanding under or in connection with the
     US$25,000,000 facility agreement entered into by the Borrower and the Union
     Bank of India dated 7 October 2002.

     "UNPAID SUM" means any sum due and payable but unpaid by the Borrower under
     the Finance Documents.

     "US DOLLARS" or "US$" means the lawful currency for the time being of the
     United States of America.

     "UTILISATION" means the utilisation of the Facilities.

     "UTILISATION DATE" means the date of the Utilisation, being the date on
     which the Loans are to be made.

                                      -10-

<PAGE>

     "UTILISATION REQUEST" means a notice substantially in the form set out in
     Part I of Schedule 3 (Requests).

     "VEDANTA" means Vedanta Resources plc a company with the registration
     number 04740415 and its registered office at (as of date of this Agreement)
     Hill House, 1 Little Street, London EC4A 3TR.

     "VEDANTA GROUP" means Vedanta, its subsidiaries and its Affiliates.

     "YEN" and "YEN" means the lawful currency for the time being of Japan.

1.2  CONSTRUCTION

(a)  Unless a contrary indication appears, any reference in this Agreement to:

     (i)  the "AGENT", the "MANDATED LEAD ARRANGER", any "FINANCE PARTY", any
          "LENDER", the "BORROWER" or any "PARTY" shall be construed so as to
          include its successors in title, permitted assigns and permitted
          transferees;

     (ii) "ASSETS" includes present and future properties, revenues and rights
          of every description;

     (iii) a "FINANCE DOCUMENT" or any other agreement or instrument is a
          reference to that Finance Document or other agreement or instrument as
          amended, novated, supplemented, restated or replaced (including any
          waiver or consent granted in respect of any provision of a Finance
          Document and includes any increase in, extension of or change to any
          facility made available under that Facility Document);

     (iv) "INDEBTEDNESS" includes any obligation (whether incurred as principal
          or as surety) for the payment or repayment of money, whether present
          or future, actual or contingent;

     (v)  a "PERSON" includes any person, firm, company, corporation,
          government, state or agency of a state or any association, trust or
          partnership (whether or not having separate legal personality) or two
          or more of the foregoing;

     (vi) a "GUARANTEE" also includes an indemnity and any other obligation
          (whatsoever called) of any person to pay, purchase, provide funds
          (whether by the advance of money, the purchase of or subscription for
          shares or other securities, the purchase of assets or services or
          otherwise) for the payment of, indemnity against the consequences of
          default in the payment of, or otherwise be responsible for, any
          indebtedness of any other person;

     (vii) a "REGULATION" includes any regulation, rule, official directive,
          request or guideline (whether or not having the force of law) of any
          governmental, intergovernmental or supranational body, agency,
          department or regulatory, self-regulatory or other authority or
          organisation;

     (viii) a provision of law is a reference to that provision as amended or
          re-enacted; and

     (ix) a time of day is a reference to Singapore time.

(b)  Section, Clause and Schedule headings are for ease of reference only.

                                      -11-

<PAGE>

(c)  Unless a contrary indication appears, a term used in any other Finance
     Document or in any notice given under or in connection with any Finance
     Document has the same meaning in that Finance Document or notice as in this
     Agreement.

(d)  A Default (other than an Event of Default) is "CONTINUING" if it has not
     been remedied or waived and an Event of Default is "CONTINUING" if it has
     not been waived.

1.3  THIRD PARTY RIGHTS

(a)  Except as provided in a Finance Document, the terms of a Finance Document
     may be enforced and enjoyed only by a Party to it and the operation of the
     Third Parties Act is excluded.

(b)  Notwithstanding any provision of any Finance Document, the consent of any
     person who is not a party to a Finance Document is not required to vary,
     rescind or terminate that Finance Document.

                                      -12-

<PAGE>

                                    SECTION 2

                                 THE FACILITIES

2.   THE FACILITIES

2.1  THE FACILITIES

     Subject to the terms of this Agreement:

     (a)  the Facility A Lenders make available to the Borrower a term loan
          facility in Yen in an aggregate amount equal to the Total Facility A
          Commitments; and

     (b)  the Facility B Lenders make available to the Borrower a term loan
          facility in US Dollars in an aggregate amount equal to the Total
          Facility B Commitments.

2.2  FINANCE PARTIES' RIGHTS AND OBLIGATIONS

(a)  The obligations of each Finance Party under the Finance Documents are
     several. Failure by a Finance Party to perform its obligations under the
     Finance Documents does not affect the obligations of any other Party under
     the Finance Documents. No Finance Party is responsible for the obligations
     of any other Finance Party under the Finance Documents.

(b)  The rights of each Finance Party under or in connection with the Finance
     Documents are separate and independent rights and any debt arising under
     the Finance Documents to a Finance Party from the Borrower shall be a
     separate and independent debt.

(c)  A Finance Party may, except as otherwise stated in the Finance Documents,
     separately enforce its rights under the Finance Documents.

3.   PURPOSE

3.1  PURPOSE

     The Borrower shall apply all amounts borrowed by it under the Facilities
     towards refinancing the Refinancing Debt.

3.2  MONITORING

     No Finance Party is bound to monitor or verify the application of any
     amount borrowed pursuant to this Agreement.

4.   CONDITIONS OF UTILISATION

4.1  INITIAL CONDITIONS PRECEDENT

     The Borrower may not deliver a Utilisation Request unless the Agent has
     received all of the documents and other evidence listed in and appearing to
     comply with the requirements of Schedule 2 (Conditions Precedent) in form
     and substance satisfactory to the Agent. The Agent shall notify the
     Borrower and the Lenders promptly upon receiving such documents and other
     evidence.

4.2  FURTHER CONDITIONS PRECEDENT

     The Lenders will only be obliged to comply with Clause 5.4 (Lenders'
     participation) if on the date of the Utilisation Request and on the
     proposed Utilisation Date:

                                      -13-

<PAGE>

     (a)  no Default is continuing or would result from the proposed Loans; and

     (b)  the representations and warranties deemed to be made by the Borrower
          pursuant to paragraph (a) of Clause 17.18 (Repetition) are true in all
          material respects.

4.3  MAXIMUM NUMBER OF LOANS

     The Borrower may only deliver one Utilisation Request under this Agreement
     for the Utilisation of both Facilities at the same time.

                                      -14-

<PAGE>

                                    SECTION 3

                                   UTILISATION

5.   UTILISATION

5.1  DELIVERY OF A UTILISATION REQUEST

     The Borrower may utilise the Facilities by delivery to the Agent of a duly
     completed Utilisation Request not later than the Specified Time.

5.2  COMPLETION OF A UTILISATION REQUEST

(a)  The Utilisation Request is irrevocable and will not be regarded as having
     been duly completed unless:

     (i)  the proposed Utilisation Date is a Business Day within the
          Availability Period;

     (ii) the currency and amount of the Utilisation comply with Clause 5.3
          (Currency and amount);

     (iii) the proposed Interest Period complies with Clause 9 (Interest
          Periods); and

     (iv) it specifies the accounts and banks (which must be the appropriate
          accounts of the Agent (as defined in the Term Loan)) to which the
          proceeds of the Utilisation are to be credited.

(b)  The Borrower shall request for one Facility A Loan and one Facility B Loan
     in the Utilisation Request.

5.3  CURRENCY AND AMOUNT

(a)  The currency specified in the Utilisation Request must be:

     (i)  (in the case of the Facility A Loan) in Yen; and

     (ii) (in the case of the Facility B Loan) in US Dollars.

(b)  The amount of the proposed Loans must be equal to the Total Facility A
     Commitments for the Facility A Loan and the Total Facility B Commitments
     for the Facility B Loan.

5.4  LENDERS' PARTICIPATION

(a)  If the conditions set out in this Agreement have been met, each Facility A
     Lender shall make its participation in the Facility A Loan available by the
     Utilisation Date through its Facility Office and each Facility B Lender
     shall make its participation in the Facility B Loan available by the
     Utilisation Date through its Facility Office.

(b)  The amount of each Lender's participation in each Loan will be equal to the
     proportion borne by its Commitment to the Total Facility A Commitments or,
     as the case may be, the Total Facility B Commitments, immediately prior to
     making the Loan.

(c)  The Agent shall notify each Facility A Lender of the amount of the Facility
     A Loan and each Facility B Lender of the amount of the Facility B Loan, in
     each case by the Specified Time.

                                      -15-

<PAGE>

                                    SECTION 4

                     REPAYMENT, PREPAYMENT AND CANCELLATION

6.   REPAYMENT

6.1  REPAYMENT OF LOANS

     The Borrower shall repay each of the Loans outstanding on the Utilisation
     Date in five equal semi-annual instalments with one instalment falling due
     on each Repayment Date.

6.2  REBORROWING

     The Borrower may not reborrow any part of the Facilities which is repaid.

7.   PREPAYMENT AND CANCELLATION

7.1  ILLEGALITY

     If it becomes unlawful in any applicable jurisdiction for a Lender to
     perform any of its obligations as contemplated by this Agreement or to fund
     or maintain its participation in any Loan:

     (a)  that Lender shall promptly notify the Agent upon becoming aware of
          that event;

     (b)  upon the Agent notifying the Borrower, the Commitment of that Lender
          will be immediately cancelled; and

     (c)  the Borrower shall repay that Lender's participation in that Loan on
          the last day of the Interest Period for that Loan occurring after the
          Agent has notified the Borrower or, if earlier, the date specified by
          the Lender in the notice delivered to the Agent (being no earlier than
          the last day of any applicable grace period permitted by law).

7.2  CHANGE OF CONTROL

(a)  If:

     (i)  any person or group of persons acting in concert, other than a member
          (or members) of the Vedanta Group, gains control of the Borrower; or

     (ii) the Vedanta Group (taken as a whole) holds less than 51 per cent. of
          each class of the Borrower's share capital,

     then:

          (A)  the Borrower shall promptly notify the Agent upon becoming aware
               of that event;

          (B)  the Borrower may not make a Utilisation unless otherwise agreed
               by the Majority Lenders; and

          (C)  if the Majority Lenders so require, the Agent shall, by not less
               than 30 days' notice to the Borrower, cancel the Facilities and
               declare the Loans, together with accrued interest, and all other
               amounts accrued under the Finance Documents immediately due and
               payable, whereupon the Facilities will be cancelled and all such
               outstanding amounts will become immediately due and payable.

                                      -16-

<PAGE>

(b)  For the purpose of paragraph (a) above, "CONTROL" and "ACTING IN CONCERT"
     have the meanings given to them on the Securities and Exchange Board of
     India (Substantial Acquisition of Shares and Takeovers) Regulations 1997.

7.3  VOLUNTARY PREPAYMENT OF LOANS

(a)  The Borrower may, if it gives the Agent not less than 30 days' prior
     notice, prepay all or any part of the Loans (but not a single Loan only).
     Any partial prepayment of the Loans shall be made in such amounts that:

     (i)  reduces the Facility A Loan and the Facility B Loan rateably; and

     (ii) to the closest extent possible (as determined by the Agent to comply
          with sub-paragraph (i)), reduces the Facility A Loan by a minimum
          amount of YEN500,000,000 and in integral multiples of YEN500,000,000,
          or as the case may be, the Facility B Loan by a minimum amount of
          US$5,000,000 and in integral multiples of US$5,000,000.

(b)  Any notice of prepayment given by the Borrower under paragraph (a) of this
     Clause 7.3 shall be accompanied with such evidence satisfactory to the
     Agent that all Authorisations in connection with the proposed prepayment
     have been obtained and are in full force and effect.

(c)  Any prepayment under this Clause 7.3 shall satisfy the obligations under
     Clause 6.1 (Repayment of Loans) in inverse order of maturity and shall be
     applied rateably among the participations of all Lenders.

7.4  RIGHT OF REPAYMENT AND CANCELLATION IN RELATION TO A SINGLE LENDER

(a)  If:

     (i)  by reason of the introduction after the date of this Agreement of or
          any change after the date of this Agreement in (or in the
          interpretation, administration or application of) any law or
          regulation, any sum payable to any Lender by the Borrower is required
          to be increased under paragraph (c) of Clause 12.2 (Tax gross-up) to a
          greater extent than would have been required had that payment been
          made on the date of this Agreement; or

     (ii) any Lender claims indemnification from the Borrower under Clause 12.3
          (Tax indemnity) or Clause 13.1 (Increased costs),

     the Borrower may, subject to paragraph (d) below, whilst the circumstance
     giving rise to the requirement or indemnification continues, give the Agent
     notice of cancellation of the Commitment of that Lender and its intention
     to procure the repayment of that Lender's participation in the Loans.

(b)  On receipt of a notice referred to in paragraph (a) above, the Commitment
     of that Lender shall immediately be reduced to zero.

(c)  On the last day of each Interest Period which ends after the Borrower has
     given notice under paragraph (a) above (or, if earlier, the date specified
     by the Borrower in that notice), the Borrower shall repay that Lender's
     participation in the Loans.

                                      -17-

<PAGE>

(d)  Any notice of prepayment given by the Borrower under paragraph (a) above
     shall only be valid if accompanied by evidence satisfactory to the Agent
     that all Authorisations necessary or desirable in connection with the
     proposed prepayment have been obtained and are in full force and effect.

7.5  RESTRICTIONS

(a)  Any notice of cancellation or prepayment given by any Party under this
     Clause 7 shall be irrevocable and, unless a contrary indication appears in
     this Agreement, shall specify the date or dates upon which the relevant
     cancellation or prepayment is to be made and the amount of that
     cancellation or prepayment.

(b)  Any prepayment under this Agreement shall be made together with accrued
     interest on the amount prepaid and without premium or penalty, subject only
     to payment of any applicable Break Costs if prepayment is not made on the
     last day of an Interest Period.

(c)  The Borrower may not reborrow any part of the Facilities which is prepaid.

(d)  The Borrower shall not repay or prepay all or any part of the Loans or
     cancel all or any part of the Commitments except at the times and in the
     manner expressly provided for in this Agreement.

(e)  No amount of the Total Commitments cancelled under this Agreement may be
     subsequently reinstated.

(f)  If the Agent receives a notice under this Clause 7 it shall promptly
     forward a copy of that notice to either the Borrower or the affected
     Lender, as appropriate.

                                      -18-
<PAGE>

                                    SECTION 5

                              COSTS OF UTILISATION

8.   INTEREST

8.1  CALCULATION OF INTEREST

     The rate of interest on each Loan for each Interest Period is the
     percentage rate per annum which is the aggregate of the applicable:

     (a)  Margin; and

     (b)  LIBOR.

8.2  PAYMENT OF INTEREST

     The Borrower shall pay accrued interest on each Loan on the last day of
     each Interest Period.

8.3  DEFAULT INTEREST

(a)  If the Borrower fails to pay any amount payable by it under a Finance
     Document on its due date, interest shall accrue on the overdue amount from
     the due date up to the date of actual payment (both before and after
     judgment) at a rate which, subject to paragraph (b) below, is the sum of
     two per cent. and the rate which would have been payable if the overdue
     amount had, during the period of non-payment, constituted a Loan in the
     currency of the overdue amount for successive Interest Periods, each of a
     duration of one Month or such other period as the Agent may from time to
     time select. Any interest accruing under this Clause 8.3 shall be
     immediately payable by the Borrower on demand by the Agent.

(b)  If any overdue amount consists of all or part of a Loan which became due on
     a day which was not the last day of an Interest Period relating to that
     Loan:

     (i)  the first Interest Period for that overdue amount shall have a
          duration equal to the unexpired portion of the current Interest Period
          relating to that Loan; and

     (ii) the rate of interest applying to the overdue amount during that first
          Interest Period shall be the sum of two per cent. and the rate which
          would have applied if the overdue amount had not become due.

(c)  Default interest (if unpaid) arising on an overdue amount will be
     compounded with the overdue amount at the end of each Interest Period
     applicable to that overdue amount but will remain immediately due and
     payable.

8.4  NOTIFICATION OF RATES OF INTEREST

     The Agent shall promptly notify the relevant Lenders and the Borrower of
     the determination of a rate of interest under this Agreement.

                                      -19-

<PAGE>

9.   INTEREST PERIODS

9.1  SELECTION OF INTEREST PERIODS

(a)  The Borrower may select an Interest Period for a Loan in the Utilisation
     Request for that Loan or (if that Loan has already been borrowed) may
     select an Interest Period for that Loan in a Selection Notice.

(b)  Each Selection Notice for the Loans is irrevocable and must be delivered to
     the Agent by the Borrower not later than the Specified Time.

(c)  If the Borrower fails to deliver a Selection Notice to the Agent in
     accordance with paragraph (b) above, the relevant Interest Period will be
     three Months or of such shorter duration which ensures that the relevant
     Interest Period ends on the next Repayment Date.

(d)  Subject to this Clause 9, the Borrower may select an Interest Period of
     one, three or six Months or any period less than six Months agreed between
     the Borrower and the Agent (acting on the instructions of all the Lenders
     participating in the relevant Loan). In addition, the Borrower may select
     an Interest Period of a duration of less than one Month if necessary to
     ensure that the relevant Interest Period ends on the next Repayment Date.

(e)  An Interest Period for the Loans shall not extend beyond the next Repayment
     Date to occur following the first day of that Interest Period or
     Termination Date.

(f)  Each Interest Period for the Loans shall start on the Utilisation Date or
     (if already made) on the last day of its preceding Interest Period.

9.2  NON-BUSINESS DAYS

     If an Interest Period would otherwise end on a day which is not a Business
     Day, that Interest Period will instead end on the next Business Day in that
     calendar month (if there is one) or the preceding Business Day (if there is
     not).

10.  CHANGES TO THE CALCULATION OF INTEREST

10.1 ABSENCE OF QUOTATIONS

     Subject to Clause 10.2 (Market disruption), if LIBOR is to be determined by
     reference to the Reference Banks but a Reference Bank does not supply a
     quotation by the Specified Time on the Quotation Day, the applicable LIBOR
     shall be determined on the basis of the quotations of the remaining
     Reference Banks.

10.2 MARKET DISRUPTION

(a)  If a Market Disruption Event occurs in relation to a Loan for any Interest
     Period, then the rate of interest on each Lender's share of that Loan for
     the Interest Period shall be the rate per annum which is the sum of:

     (i)  the Margin; and

     (ii) the rate notified to the Agent by that Lender as soon as practicable
          and in any event before interest is due to be paid in respect of that
          Interest Period, to be that which expresses as a percentage rate per
          annum the cost to that Lender of funding its participation in that
          Loan from whatever source it may reasonably select.

                                      -20-

<PAGE>

(b)  In this Agreement "MARKET DISRUPTION EVENT" means:

     (i)  at or about noon on the Quotation Day for the relevant Interest Period
          the Screen Rate is not available or the Screen Rate is zero or
          negative and none or only one of the Reference Banks supplies a rate
          to the Agent to determine LIBOR for the relevant currency and Interest
          Period; or

     (ii) before close of business in Singapore on the first Business Day after
          the Quotation Day for the relevant Interest Period, the Agent receives
          notifications from a Lender or Lenders (whose participations in a Loan
          exceed 35 per cent. of that Loan) that the cost to it or them of
          obtaining matching deposits in the Relevant Interbank Market would be
          in excess of LIBOR.

10.3 ALTERNATIVE BASIS OF INTEREST OR FUNDING

(a)  If a Market Disruption Event occurs and the Agent or the Borrower so
     requires, the Agent and the Borrower shall enter into negotiations (for a
     period of not more than thirty days) with a view to agreeing a substitute
     basis for determining the rate of interest.

(b)  Any alternative basis agreed pursuant to paragraph (a) above shall, with
     the prior consent of all the Lenders and the Borrower, be binding on all
     Parties.

10.4 BREAK COSTS

(a)  The Borrower shall, within three Business Days of demand by a Finance
     Party, pay to that Finance Party its Break Costs attributable to all or any
     part of a Loan or Unpaid Sum being paid by the Borrower on a day other than
     the last day of an Interest Period for that Loan or Unpaid Sum.

(b)  Each Lender shall, as soon as reasonably practicable after a demand by the
     Agent, provide a certificate confirming the amount of its Break Costs for
     any Interest Period in which they accrue.

11.  FEES

11.1 FRONT-END FEE

     The Borrower shall pay to the Mandated Lead Arranger a front-end fee in the
     amount and at the times agreed in a Fee Letter.

11.2 AGENCY FEE

     The Borrower shall pay to the Agent (for its own account) an agency fee in
     the amount and at the times agreed in a Fee Letter.

                                      -21-

<PAGE>

                                    SECTION 6

                         ADDITIONAL PAYMENT OBLIGATIONS

12.  TAX GROSS UP AND INDEMNITIES

12.1 DEFINITIONS

(a)  In this Agreement:

     "PROTECTED PARTY" means a Finance Party which is or will be subject to any
     liability, or required to make any payment, for or on account of Tax in
     relation to a sum received or receivable (or any sum deemed for the
     purposes of Tax to be received or receivable) under a Finance Document.

     "TAX CREDIT" means a credit against, relief or remission for, or repayment
     of any Tax.

     "TAX DEDUCTION" means a deduction or withholding for or on account of Tax
     from a payment under a Finance Document.

     "TAX PAYMENT" means an increased payment made by the Borrower to a Finance
     Party under Clause 12.2 (Tax gross-up) or a payment under Clause 12.3 (Tax
     indemnity).

(b)  Unless a contrary indication appears, in this Clause 12 a reference to
     "determines" or "determined" means a determination made in the absolute
     discretion of the person making the determination.

12.2 TAX GROSS-UP

(a)  The Borrower shall make all payments to be made by it without any Tax
     Deduction, unless a Tax Deduction is required by law.

(b)  The Borrower shall promptly upon becoming aware that the Borrower must make
     a Tax Deduction (or that there is any change in the rate or the basis of a
     Tax Deduction) notify the Agent accordingly. Similarly, a Lender shall
     notify the Agent on becoming so aware in respect of a payment payable to
     that Lender. If the Agent receives such notification from a Lender it shall
     notify the Borrower.

(c)  If a Tax Deduction is required by law to be made by the Borrower, the
     amount of the payment due from the Borrower shall be increased to an amount
     which (after making any Tax Deduction) leaves an amount equal to the
     payment which would have been due if no Tax Deduction had been required.

(d)  If the Borrower is required to make a Tax Deduction, it shall make that Tax
     Deduction and any payment required in connection with that Tax Deduction
     within the time allowed and in the minimum amount required by law.

(e)  Within thirty days of making either a Tax Deduction or any payment required
     in connection with that Tax Deduction, the Borrower shall deliver to the
     Agent for the Finance Party entitled to the payment evidence reasonably
     satisfactory to that Finance Party that the Tax Deduction has been made or
     (as applicable) any appropriate payment paid to the relevant taxing
     authority.

                                      -22-

<PAGE>

12.3 TAX INDEMNITY

(a)  The Borrower shall (within three Business Days of demand by the Agent) pay
     to a Protected Party an amount equal to the loss, liability or cost which
     that Protected Party determines will be or has been (directly or
     indirectly) suffered for or on account of Tax by that Protected Party in
     respect of a Finance Document.

(b)  Paragraph (a) above shall not apply:

     (i)  with respect to any Tax assessed on a Finance Party:

          (A)  under the law of the jurisdiction in which that Finance Party is
               incorporated or, if different, the jurisdiction (or
               jurisdictions) in which that Finance Party is treated as resident
               for tax purposes; or

          (B)  under the law of the jurisdiction in which that Finance Party's
               Facility Office is located in respect of amounts received or
               receivable in that jurisdiction,

          if that Tax is imposed on or calculated by reference to the net income
          received or receivable (but not any sum deemed to be received or
          receivable) by that Finance Party;

          or

     (ii) to the extent a loss, liability or cost is compensated for by an
          increased payment under Clause 12.2 (Tax gross-up).

(c)  A Protected Party making, or intending to make, a claim under paragraph (a)
     above shall promptly notify the Agent of the event which will give, or has
     given, rise to the claim, following which the Agent shall notify the
     Borrower.

(d)  A Protected Party shall, on receiving a payment from the Borrower under
     this Clause 12.3, notify the Agent.

12.4 TAX CREDIT

     If the Borrower makes a Tax Payment and the relevant Finance Party
     determines that:

     (a)  a Tax Credit is attributable to that Tax Payment; and

     (b)  that Finance Party has obtained, utilised and retained that Tax
          Credit,

     the Finance Party shall pay an amount to the Borrower which that Finance
     Party determines will leave it (after that payment) in the same after-Tax
     position as it would have been in had the Tax Payment not been made by the
     Borrower.

12.5 STAMP TAXES

     The Borrower shall pay and, within three Business Days of demand, indemnify
     each Finance Party against any cost, loss or liability that Finance Party
     incurs in relation to all stamp duty, registration and other similar Taxes
     payable in respect of any Finance Document.

12.6 INDIRECT TAX

(a)  All consideration expressed to be payable under a Finance Document by any
     Party to a Finance Party shall be deemed to be exclusive of any Indirect
     Tax. If Indirect Tax is chargeable on any supply made by any Finance Party
     to any Party in connection with a Finance Document, that

                                      -23-

<PAGE>

     Party shall pay to the Finance Party (in addition to and at the same time
     as paying the consideration) an amount equal to the amount of the Indirect
     Tax.

(b)  Where a Finance Document requires any Party to reimburse a Finance Party
     for any costs or expenses, that Party shall also at the same time pay and
     indemnify the Finance Party against all Indirect Tax incurred by the
     Finance Party in respect of the costs or expenses, save to the extent that
     the Finance Party is entitled to repayment or credit in respect of the
     Indirect Tax.

13.  INCREASED COSTS

13.1 INCREASED COSTS

(a)  Subject to Clause 13.3 (Exceptions) the Borrower shall, within three
     Business Days of a demand by the Agent, pay for the account of a Finance
     Party the amount of any Increased Costs incurred by that Finance Party or
     any of its Affiliates as a result of (i) the introduction of or any change
     in (or in the interpretation, administration or application of) any law or
     regulation or (ii) compliance with any law or regulation made after the
     date of this Agreement. The terms "law" and "regulation" in this paragraph
     (a) shall include, without limitation, any law or regulation concerning
     capital adequacy, prudential limits, liquidity, reserve assets or Tax.

(b)  In this Agreement "INCREASED COSTS" means:

     (i)  a reduction in the rate of return from the Facilities or on a Finance
          Party's (or its Affiliate's) overall capital (including; without
          limitation, as a result of any reduction in the rate of return on
          capital brought about by more capital being required to be allocated
          by such Finance Party (or by any of its Affiliates);

     (ii) an additional or increased cost; or

     (iii) a reduction of any amount due and payable under any Finance Document,

     which is incurred or suffered by a Finance Party or any of its Affiliates
     to the extent that it is attributable to that Finance Party having entered
     into its Commitment or funding or performing its obligations under any
     Finance Document.

13.2 INCREASED COST CLAIMS

(a)  A Finance Party intending to make a claim pursuant to Clause 13.1
     (Increased costs) shall notify the Agent of the event giving rise to the
     claim, following which the Agent shall promptly notify the Borrower.

(b)  Each Finance Party shall, as soon as practicable after a demand by the
     Agent, provide a certificate confirming the amount of its Increased Costs.

13.3 EXCEPTIONS

(a)  Clause 13.1 (Increased costs) does not apply to the extent any Increased
     Cost is:

     (i)  attributable to a Tax Deduction required by law to be made by the
          Borrower;

     (ii) compensated for by Clause 12.3 (Tax indemnity) (or would have been
          compensated for under Clause 12.3 (Tax indemnity) but was not so
          compensated solely because one of the exclusions in paragraph (b) of
          Clause 12.3 (Tax indemnity) applied); or

                                      -24-

<PAGE>

     (iii) attributable to the wilful breach by the relevant Finance Party or
          its Affiliates of any law or regulation.

(b)  In this Clause 13.3, a reference to a "TAX DEDUCTION" has the same meaning
     given to the term in Clause 12.1 (Definitions).

14.  OTHER INDEMNITIES

14.1 CURRENCY INDEMNITY

(a)  If any sum due from the Borrower under the Finance Documents (a "SUM"), or
     any order, judgment or award given or made in relation to a Sum, has to be
     converted from the currency (the "FIRST CURRENCY") in which that Sum is
     payable into another currency (the "SECOND CURRENCY") for the purpose of:

     (i)  making or filing a claim or proof against the Borrower; or

     (ii) obtaining or enforcing an order, judgment or award in relation to any
          litigation or arbitration proceedings,

     the Borrower shall as an independent obligation, within three Business Days
     of demand, indemnify each Finance Party to whom that Sum is due against any
     cost, loss or liability arising out of or as a result of the conversion
     including any discrepancy between (A) the rate of exchange used to convert
     that Sum from the First Currency into the Second Currency and (B) the rate
     or rates of exchange available to that person at the time of its receipt of
     that Sum.

(b)  The Borrower waives any right it may have in any jurisdiction to pay any
     amount under the Finance Documents in a currency or currency unit other
     than that in which it is expressed to be payable.

14.2 OTHER INDEMNITIES

     The Borrower shall, within three Business Days of demand, indemnify each
     Finance Party against any cost, loss or liability incurred by that Finance
     Party as a result of:

     (a)  the occurrence of any Event of Default;

     (b)  the Information Memorandum or any other information produced or
          approved by the Borrower being or being alleged to be misleading
          and/or deceptive in any respect;

     (c)  any enquiry, investigation, subpoena (or similar order) or litigation
          with respect to the Borrower or with respect to the transactions
          contemplated or financed under the Finance Documents;

     (d)  a failure by the Borrower to pay any amount due under a Finance
          Document on its due date, including without limitation, any cost, loss
          or liability arising as a result of Clause 26 (Sharing among the
          Finance Parties);

     (e)  funding, or making arrangements to fund, its participation in a Loan
          requested by the Borrower in a Utilisation Request but not made by
          reason of the operation of any one or more of the provisions of this
          Agreement (other than by reason of default or negligence by that
          Finance Party alone); or

                                      -25-

<PAGE>

     (f)  a Loan (or part of a Loan) not being prepaid in accordance with a
          notice of prepayment given by the Borrower.

14.3 INDEMNITY TO THE AGENT

     The Borrower shall promptly indemnify the Agent against any cost, loss or
     liability incurred by the Agent as a result of:

     (a)  investigating any event which it believes is a Default; or

     (b)  acting or relying on any notice, request or instruction which it
          believes to be genuine, correct and appropriately authorised.

15.  MITIGATION BY THE LENDERS

15.1 MITIGATION

(a)  Each Finance Party shall, in consultation with the Borrower, take all
     reasonable steps to mitigate any circumstances which arise and which would
     result in any amount becoming payable under or pursuant to, or cancelled
     pursuant to, any of Clause 7.1 (Illegality), Clause 12 (Tax gross-up and
     indemnities) (other than Clause 12.6 (Indirect Tax)) or Clause 13
     (Increased costs) including (but not limited to) transferring its rights
     and obligations under the Finance Documents to another Affiliate or
     Facility Office.

(b)  Paragraph (a) above does not in any way limit the obligations of the
     Borrower under the Finance Documents.

15.2 LIMITATION OF LIABILITY

(a)  The Borrower shall indemnify each Finance Party for all costs and expenses
     reasonably incurred by that Finance Party as a result of steps taken by it
     under Clause 15.1 (Mitigation).

(b)  A Finance Party is not obliged to take any steps under Clause 15.1
     (Mitigation) if, in the opinion of that Finance Party (acting reasonably),
     to do so might be prejudicial to it.

16.  COSTS AND EXPENSES

16.1 TRANSACTION EXPENSES

     Subject, to the extent applicable, to any agreed cap, the Borrower shall
     promptly on demand pay the Agent and the Mandated Lead Arranger the amount
     of all costs and expenses (including legal fees) reasonably incurred by any
     of them in connection with the negotiation, preparation, printing,
     execution and syndication of:

     (a)  this Agreement and any other documents referred to in this Agreement;
          and

     (b)  any other Finance Documents executed after the date of this Agreement.

16.2 AMENDMENT COSTS

     If (a) the Borrower requests an amendment, waiver or consent or (b) an
     amendment is required pursuant to Clause 27.9 (Change of currency), the
     Borrower shall, within three Business Days of demand, reimburse the Agent
     for the amount of all costs and expenses (including legal fees) reasonably
     incurred by the Agent in responding to, evaluating, negotiating or
     complying with that request or requirement.

                                      -26-

<PAGE>

16.3 ENFORCEMENT COSTS

     The Borrower shall, within three Business Days of demand, pay to each
     Finance Party the amount of all costs and expenses (including legal fees)
     incurred by that Finance Party in connection with the enforcement of, or
     the preservation of any rights under, any Finance Document.

                                      -27-

<PAGE>

                                    SECTION 7

               REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT

17.  REPRESENTATIONS

     The Borrower makes the representations and warranties set out in this
     Clause 17 to each Finance Party on the date of this Agreement.

17.1 STATUS

(a)  It is a corporation, duly incorporated and validly existing under the laws
     of its jurisdiction of incorporation.

(b)  It has the power to own its assets and carry on its business as it is being
     conducted.

17.2 BINDING OBLIGATIONS

     The obligations expressed to be assumed by it in each Finance Document are
     legal, valid, binding and enforceable subject to any general principles of
     law limiting its obligations which are specifically referred to in any
     legal opinion accepted pursuant to Clause 4 (Conditions of Utilisation).

17.3 NON-CONFLICT WITH OTHER OBLIGATIONS

     The entry into and performance by it of, and the transactions contemplated
     by, the Finance Documents do not and will not conflict with:

     (a)  any law or regulation applicable to it;

     (b)  its constitutional documents; or

     (c)  any agreement or instrument binding upon it or any of its assets,

     nor result in the existence of, or oblige it to create, any Security over
     any of its assets.

17.4 POWER AND AUTHORITY

     It has the power to enter into, perform and deliver, and has taken all
     necessary action to authorise its entry into, performance and delivery of,
     the Finance Documents and the transactions contemplated by those Finance
     Documents.

17.5 VALIDITY AND ADMISSIBILITY IN EVIDENCE

     All Authorisations required or desirable:

     (a)  to enable it lawfully to enter into, exercise its rights and comply
          with its obligations in the Finance Documents;

     (b)  to make the Finance Documents admissible in evidence in its
          jurisdiction of incorporation; and

     (c)  for it to carry on their business as now conducted or contemplated,

     have been obtained or effected and are in full force and effect subject to
     the registrations which are specifically referred to in any legal opinion
     accepted pursuant to Clause 4 (Conditions of Utilisation).

                                      -28-

<PAGE>

17.6 GOVERNING LAW AND ENFORCEMENT

(a)  The choice of English law as the governing law of the Finance Documents
     will be recognised and enforced in its jurisdiction of incorporation.

(b)  Any judgment obtained in England in relation to a Finance Document will
     (subject to the provisions of Section 44A (read with Section 13) of the
     Code of Civil Procedure 1908 of India) be recognised and enforced in its
     jurisdiction of incorporation.

17.7 DEDUCTION OF TAX

     Subject to any matters which are specifically referred to in any legal
     opinion accepted pursuant to Clause 4 (Conditions to Utilisation), it is
     not required under the law of its jurisdiction of incorporation to make any
     deduction for or on account of Tax from any payment it may make under any
     Finance Document.

17.8 NO FILING OR STAMP TAXES

     Subject to any matters which are specifically referred to in any legal
     opinion accepted pursuant to Clause 4 (Conditions to Utilisation), under
     the law of its jurisdiction of incorporation it is not necessary that the
     Finance Documents be filed, recorded or enrolled with any court or other
     authority in that jurisdiction or that any stamp, registration or similar
     tax be paid on or in relation to the Finance Documents or the transactions
     contemplated by the Finance Documents.

17.9 NO DEFAULT

(a)  No Event of Default is continuing or might reasonably be expected to result
     from the making of any Utilisation.

(b)  No other event or circumstance is outstanding which constitutes a default
     under any other agreement or instrument which is binding on it or to which
     its assets are subject which might have a Material Adverse Effect.

17.10 NO MISLEADING INFORMATION

(a)  Any factual information provided by or on behalf of any member of the Group
     for the purposes of the Information Memorandum was true and accurate in all
     material respects as at the date it was provided or as at the date (if any)
     at which it is stated.

(b)  All financial projections provided to any Finance Party in connection with
     the Facilities were prepared on the basis of recent historical information
     and on the basis of reasonable assumptions.

(c)  Nothing has occurred or been omitted from the Information Memorandum and no
     information has been given or withheld that results in the information
     contained in the Information Memorandum being untrue or misleading in any
     material respect.

17.11 FINANCIAL STATEMENTS

(a)  Its Original Financial Statements were prepared in accordance with GAAP
     consistently applied.

(b)  Its Original Financial Statements give a true and fair view of its, and its
     unconsolidated, financial condition and operations as at the end of and for
     the relevant financial year.

(c)  There has been no material adverse change in its business or financial
     condition since 31 March 2005.

                                      -29-

<PAGE>

17.12 PARI PASSU RANKING

     Its payment obligations under the Finance Documents rank at least pari
     passu with the claims of all its other unsecured and unsubordinated
     creditors, except for obligations mandatorily preferred by law applying to
     companies generally.

17.13 NO PROCEEDINGS PENDING OR THREATENED

     No litigation, arbitration, investigative or administrative proceedings of
     or before any court, arbitral body or agency (including any arising from or
     relating to Environmental Law) which, if adversely determined, might
     reasonably be expected to have a Material Adverse Effect have (to the best
     of its knowledge and belief) been started or threatened against it.

17.14 AUTHORISED SIGNATURES

     Any person specified as its authorised signatory under Schedule 2
     (Conditions Precedent) or paragraph (d) of Clause 18.4 (Information:
     miscellaneous) is, subject to any notice to the contrary delivered pursuant
     to that Clause 18.4, authorised to sign Utilisation Requests and other
     notices on its behalf under or in connection with the Finance Documents.

17.15 NO IMMUNITY

     Neither it nor any of its assets is entitled to immunity from suit,
     execution, attachment or other legal process in England or India. Its entry
     into the Finance Documents constitutes, and the exercise of its rights and
     performance of and compliance with its obligations under the Finance
     Documents will constitute, private and commercial acts done and performed
     for private and commercial purposes.

17.16 ENVIRONMENTAL LAWS AND LICENCES

     It has:

     (a)  complied with all Environmental Laws to which it may be subject;

     (b)  obtained all Environmental Licences required or desirable in
          connection with its business; and

     (c)  complied with the terms of those Environmental Licences,

     in each case where failure to do so might have a Material Adverse Effect.

17.17 ENVIRONMENTAL RELEASES

     No:

     (a)  property currently or previously owned, leased, occupied or controlled
          by it (including any offsite waste management or disposal location
          utilised by it) is contaminated with any Hazardous Substance; and

     (b)  discharge, release, leaching, migration or escape of any Hazardous
          Substance into the Environment has occurred or is occurring on, under
          or from that property,

     in each case in circumstances where this might have a Material Adverse
     Effect.

17.18 REPETITION

     The representations and warranties set out in Clauses 17.1 (Status) to
     17.17 (Environmental releases) above are deemed to be made by the Borrower
     by reference to the facts and

                                      -30-

<PAGE>

     circumstances then existing on the date of the Utilisation Request and the
     first day of each Interest Period.

18.  INFORMATION UNDERTAKINGS

     The undertakings in this Clause 18 remain in force from the date of this
     Agreement for so long as any amount is outstanding under the Finance
     Documents or any Commitment is in force.

18.1 FINANCIAL STATEMENTS

     The Borrower shall supply to the Agent in sufficient copies for all the
     Lenders:

     (a)  as soon as the same become available, but in any event within 90 days
          after the end of each of its financial years, its audited consolidated
          and non consolidated financial statements for that financial year; and

     (b)  as soon as the same become available, but in any event within 60 days
          after the end of each half of each of its financial years, its
          consolidated and non consolidated financial statements for that
          financial half year.

18.2 COMPLIANCE CERTIFICATE

(a)  The Borrower shall supply to the Agent, with each set of financial
     statements delivered pursuant to Clause 18.1 (Financial statements) (and
     within 30 days after any request made by the Agent from time to time), a
     Compliance Certificate setting out (in reasonable detail) computations as
     to compliance with Clause 19 (Financial covenants) as at the date as at
     which those financial statements were drawn up (or, as the case may be, as
     at the date specified in the Agent's request, which date must be the last
     day of the most recently completed calendar quarter).

(b)  Each Compliance Certificate shall be signed by two persons authorised by
     the Borrower to sign Compliance Certificates and, in respect of Compliance
     Certificates supplied together with financial statements delivered pursuant
     to paragraph (a) of Clause 18.1 (Financial Statements), shall be reported
     on by the Borrower's auditors in the manner specified in Schedule 5 (Form
     of Compliance Certificate).

18.3 REQUIREMENTS AS TO FINANCIAL STATEMENTS

(a)  Each set of financial statements delivered by the Borrower pursuant to
     Clause 18.1 (Financial statements) shall be certified by a director of the
     Borrower or a person acceptable to the Agent who has been authorised by the
     Borrower for that purpose as giving a true and fair view of its (or, as the
     case may be, its consolidated) financial condition and operations as at the
     end of and for the period in relation to which those financial statements
     were drawn up.

(b)  The Borrower shall procure that each set of financial statements delivered
     pursuant to Clause 18.1 (Financial statements) is prepared using GAAP,
     accounting practices and financial reference periods consistent with those
     applied in the preparation of the Original Financial Statements unless, in
     relation to any set of financial statements, it notifies the Agent that
     there has been a change in GAAP, the accounting practices or reference
     periods and its auditors deliver to the Agent:

                                      -31-

<PAGE>

     (i)  a description of any change necessary for those financial statements
          to reflect the GAAP, accounting practices and reference periods upon
          which the Original Financial Statements were prepared; and

     (ii) sufficient information, in form and substance as may be reasonably
          required by the Agent, to enable the Lenders to determine whether
          Clause 19 (Financial covenants) has been complied with and make an
          accurate comparison between the financial position indicated in those
          financial statements and the Original Financial Statements.

     Any reference in this Agreement to those financial statements shall be
     construed as a reference to those financial statements as adjusted to
     reflect the basis upon which the Original Financial Statements were
     prepared.

18.4 INFORMATION: MISCELLANEOUS

     The Borrower shall supply to the Agent (in sufficient copies for all the
     Lenders, if the Agent so requests):

     (a)  all documents despatched by the Borrower to its shareholders (or any
          class of them) or its creditors generally at the same time as they are
          despatched;

     (b)  promptly upon becoming aware of them, the details of any litigation,
          arbitration, investigative or administrative proceedings which are
          current, threatened or pending against the Borrower, and which might,
          if adversely determined, have a Material Adverse Effect;

     (c)  promptly, such further information regarding the financial condition,
          business and operations of the Borrower as any Finance Party (through
          the Agent) may reasonably request; and

     (d)  promptly, notice of any change in authorised signatories of the
          Borrower signed by a director, company secretary or a continuing
          authorised signatory of the Borrower, a specimen whose signature has
          previously been provided to the Agent, accompanied (where relevant) by
          specimen signatures of any new authorised signatories.

18.5 NOTIFICATION OF DEFAULT

(a)  The Borrower shall notify the Agent of any Default (and the steps, if any,
     being taken to remedy it) promptly upon becoming aware of its occurrence.

(b)  Promptly upon a request by the Agent, the Borrower shall supply to the
     Agent a certificate signed by two of its directors or authorised
     signatories on its behalf certifying that no Default is continuing (or if a
     Default is continuing, specifying the Default and the steps, if any, being
     taken to remedy it).

18.6 "KNOW YOUR CUSTOMER" CHECKS

(a)  If:

     (i)  the introduction of or any change in (or in the interpretation,
          administration or application of) any law or regulation made after the
          date of this Agreement;

     (ii) any change in the status of the Borrower after the date of this
          Agreement; or

                                      -32-

<PAGE>

     (iii) a proposed assignment or transfer by a Lender of any of its rights
          and obligations under this Agreement to a party that is not a Lender
          prior to such assignment or transfer,

     obliges the Agent or any Lender (or, in the case of paragraph (iii) above,
     any prospective new Lender) to comply with "know your customer" or similar
     identification procedures in circumstances where the necessary information
     is not already available to it, the Borrower shall promptly upon the
     request of the Agent or any Lender supply, or procure the supply of, such
     documentation and other evidence as is reasonably requested by the Agent
     (for itself or on behalf of any Lender) or any Lender (for itself or, in
     the case of the event described in paragraph (iii) above, on behalf of any
     prospective new Lender) in order for the Agent, such Lender or, in the case
     of the event described in paragraph (iii) above, any prospective new Lender
     to carry out and be satisfied it has complied with all necessary "know your
     customer" or other similar checks under all applicable laws and regulations
     pursuant to the transactions contemplated in the Finance Documents.

(b)  Each Lender shall promptly upon the request of the Agent supply, or procure
     the supply of, such documentation and other evidence as is reasonably
     requested by the Agent (for itself) in order for the Agent to carry out and
     be satisfied it has complied with all necessary "know your customer" or
     other similar checks under all applicable laws and regulations pursuant to
     the transactions contemplated in the Finance Documents.

19.  FINANCIAL COVENANTS

19.1 FINANCIAL CONDITION

     The Borrower shall ensure that for so long as any amount is outstanding
     under the Finance Documents, or any Commitment is in force:

     (a)  Tangible Net Worth will not any time be less than Rs 30,000,000,000;

     (b)  the ratio of Total Liabilities to Tangible Net Worth will not at any
          time be more than 2.0 to 1.0:

     (c)  the ratio of Total Secured Borrowings to Tangible Net Worth will not
          at any time exceed 1.50 to 1.0;

     (d)  the ratio of EBITDA in respect of any Relevant Period to Net Interest
          Expense for that Relevant Period will not be less than 2.0 to 1.0; and

     (e)  the ratio of EBITDA in respect of a Relevant Period to the sum for
          that Relevant Period of (i) the Current Portion of Long Term Debt and
          (ii) Net Interest Expense will not be less than 1.25 to 1.0.

19.2 FINANCIAL COVENANT CALCULATIONS

     Borrowings, Current Portion of Long Term Debt, EBITDA, Net Interest
     Expense, Long Term Debt, Tangible Net Worth, Total Liabilities and Total
     Secured Borrowings shall be calculated and interpreted on an unconsolidated
     basis in accordance with the GAAP applicable to the Original Financial
     Statements of the Borrower and shall be expressed in Rupees.

19.3 DEFINITIONS

     In this Clause 19:

                                      -33-

<PAGE>

     "BORROWINGS" means, as at any particular time, the aggregate outstanding
     principal, capital or nominal amount (and any fixed or minimum premium
     payable on prepayment or redemption) of the Financial Indebtedness of the
     Borrower, other than any indebtedness referred to in paragraph (g) of the
     definition of Financial Indebtedness in Clause 1.1 (Definitions) and any
     guarantee or indemnity in respect of such indebtedness.

     For this purpose, any amount outstanding or repayable in a currency other
     than Rupees shall on that day be taken into account in its Rupee equivalent
     at the rate of exchange that would have been used had an audited
     unconsolidated balance sheet of the Borrower been prepared as at that day
     in accordance with the GAAP applicable to the Original Financial Statements
     of the Borrower.

     "CURRENT PORTION OF LONG TERM DEBT" means in respect of a Relevant Period:

     (a)  that portion of Long Term Debt outstanding as at the commencement of
          that Relevant Period originally scheduled for repayment in that
          Relevant Period (whether or not paid when due); and

     (b)  all other repayments or prepayments made (or required to be made)
          during that Relevant Period which were not originally scheduled to be
          paid during that Relevant Period (whether or not paid when due),
          excluding any such prepayments relating to a refinancing of the
          amounts prepaid.

     "EBITDA" means, in relation to any Relevant Period, the total operating
     profit of the Borrower for that Relevant Period:

     (a)  before taking into account:

          (i)  goodwill amortisation;

          (ii) any amount taken into account in the calculation of Net Interest
               Expense;

          (iii) Tax;

          (iv) any share of the profit of any associated company or undertaking,
               except for dividends received in cash by the Borrower; and

          (v)  extraordinary and exceptional items; and

     (b)  after adding back all amounts provided for depreciation and
          amortisation for that Relevant Period,

     as determined (except as needed to reflect the terms of this Clause 19)
     from the financial statements of the Borrower and Compliance Certificates
     delivered under Clause 18.1 (Financial statements) and Clause 18.2
     (Compliance Certificate).

     "LONG TERM DEBT" means, at any time, all Borrowings of the Borrower but
     only to the extent that the principal element of the same was not
     originally due for repayment within 12 months from the date such Borrowings
     were first incurred.

     "NET INTEREST EXPENSE" means, in relation to any Relevant Period, the
     aggregate amount of interest and any other finance charges (whether or not
     paid, payable or capitalised) accrued by the Borrower in that Relevant
     Period in respect of Borrowings including:

                                      -34-
<PAGE>

     (a)  the interest element of leasing and hire purchase payments;

     (b)  commitment fees, commissions, arrangement fees and guarantee fees; and

     (c)  amounts in the nature of interest payable in respect of any shares
          other than equity share capital,

     adjusted (but without double counting) by:

     (a)  adding back the net amount payable (or deducting the net amount
          receivable) by the Borrower in respect of that Relevant Period under
          any interest or (so far as they relate to interest) currency hedging
          arrangements; and

     (b)  deducting the Borrower's interest income in respect of that Relevant
          Period to the extent freely distributable to the Borrower in cash,

     all as determined (except as needed to reflect the terms of this Clause 19)
     from the financial statements of the Borrower and Compliance Certificates
     delivered under Clause 18.1 (Financial Statements) and 18.2 (Compliance
     Certificate).

     "RELEVANT PERIOD" means:

     (a)  each financial year of the Borrower; and

     (b)  each period beginning on the first day of the second half of a
          financial year of the Borrower and ending on the last day of the first
          half of its next financial year.

     "TANGIBLE NET WORTH" means, as at any particular time, the aggregate of:

     (a)  the amount paid up or credited as paid up on the issued share capital
          of the Borrower (other than any shares which are expressed to be
          redeemable); and

     (b)  the amount standing to the credit of the reserves of the Borrower,

     less (but without double counting) any amount included in the above which
     is attributable to:

     (i)  goodwill or other intangible assets;

     (ii) amounts set aside for Tax;

     (iii) minority interests;

     (iv) the amount by which the net book value of any asset has been written
          up after 31 March 2005 by way of revaluation; and

     (v)  any dividend or other distribution declared, recommended or made by
          the Borrower or declared or recommended by another member of the Group
          but not received by the Borrower immediately distributable funds,

     but ignoring any variation in the credit or debit balance on the Borrower's
     unconsolidated profit and loss account since the date of the then latest
     audited unconsolidated balance sheet of the Borrower except to the extent
     reflected in any later unconsolidated profit and loss statement delivered
     to the Agent under Clause 18 (Information undertakings).

     "TOTAL LIABILITIES" means, as at any particular time, all liabilities and
     indebtedness of the Borrower including, without limitation, its Borrowings,
     but excluding any indebtedness referred to

                                      -35-

<PAGE>

     in paragraph (i) of the definition of Financial Indebtedness in Clause 1.1
     (Definitions) to the extent that it does not relate to any contingent
     indebtedness in respect of the Financial Indebtedness of any other person.

     "TOTAL SECURED BORROWINGS" means, at any time, all Borrowings of the
     Borrower owed to a creditor or creditors who benefit from Security securing
     or otherwise assuring or purporting to assure payment and repayment of such
     Borrowings (whether or not the value of the assets the subject of the same
     exceeds the indebtedness secured).

20.  GENERAL UNDERTAKINGS

     The undertakings in this Clause 20 remain in force from the date of this
     Agreement for so long as any amount is outstanding under the Finance
     Documents or any Commitment is in force.

20.1 AUTHORISATIONS

(a)  The Borrower shall promptly:

     (i)  obtain, comply with and do all that is necessary to maintain in full
          force and effect; and

     (ii) supply certified copies to the Agent of,

     any Authorisation required under any law or regulation of its jurisdiction
     of incorporation to enable it to perform its obligations under the Finance
     Documents (including, without limitation, in connection with any payment to
     be made thereunder) and to ensure the legality, validity, enforceability or
     admissibility in evidence in its jurisdiction of incorporation of any
     Finance Document.

(b)  The Borrower shall promptly make the registrations and comply with the
     other requirements which are specifically referred to in any legal opinion
     accepted pursuant to Clause 4 (Conditions of Utilisation).

(c)  Following the lodgement of this Agreement with RBI pursuant to paragraph
     3(g) of Schedule 2 (Conditions Precedent), the Borrower shall promptly
     obtain, and provide the Agent with, the docket number issued by RBI in
     respect of this Agreement.

20.2 COMPLIANCE WITH LAWS

     The Borrower shall comply in all respects with all laws to which it may be
     subject, if failure so to comply would materially impair its ability to
     perform its obligations under the Finance Documents.

20.3 NEGATIVE PLEDGE

(a)  The Borrower shall not create or permit to subsist any Security over any of
     its assets which secures External Indebtedness unless such Security shall
     equally and rateably secure, in a manner satisfactory to the Agent (acting
     on the instructions of the Majority Lenders), the payment of all amounts
     (including, without limitation, principal and interest) payable under or in
     connection with any Finance Document.

(b)  For the avoidance of doubt, the Borrower's obligations in Clause 19
     (Financial covenants) are not in any way excused or otherwise limited by
     any provision of this Clause 20.3.

(c)  Paragraph (a) above shall not apply to:

                                      -36-

<PAGE>

     (i)  the Existing Security; and

     (ii) any Refinanced Security provided that such Security is discharged
          within 90 days from the first Utilisation Date and does not secure any
          Financial Indebtedness once the Refinancing Indebtedness has been
          repaid on the first Utilisation Date.

20.4 DISPOSALS

(a)  The Borrower shall not enter into a single transaction or a series of
     transactions (whether related or not and whether voluntary or involuntary)
     to sell, lease, transfer or otherwise dispose of any asset.

(b)  Paragraph (a) above does not apply to any sale, lease, transfer or other
     disposal:

     (i)  made in the ordinary course of trading of the disposing entity;

     (ii) of assets in exchange for other assets comparable or superior as to
          type, value and quality and for a similar purpose; or

     (iii) where the higher of the market value or consideration receivable
          (when aggregated with the higher of the market value or consideration
          receivable for any other sale, lease, transfer or other disposal,
          other than any permitted under paragraphs (i) and (ii) above) does not
          exceed US$35,000,000 (or its equivalent in another currency or
          currencies) in any financial year.

20.5 MERGER

(a)  Except with the prior written consent of the Majority Lenders and subject
     to paragraph (b) below, the Borrower shall not enter into any amalgamation,
     demerger, merger or corporate reconstruction, where such change might
     result in a reduction of the Borrower's Tangible Net Worth in an amount
     equal to or exceeding the lesser of US$75,000,000 and 10% of the Borrower's
     Tangible Net Worth (as of the Borrower's most recent audited financial
     statement and Compliance Certificate provided pursuant to Clause 18.1
     (Financial statement) and Clause 18.2 (Compliance Certificate) or, if none,
     the Original Financial Statements).

(b)  The Borrower or successor entity shall assume or retain (in each case to
     the satisfaction of the Majority Lenders) all of the Borrower's existing
     and prospective obligations to the Finance Parties under or in connection
     with the Finance Documents.

20.6 CHANGE OF BUSINESS

(a)  The Borrower shall procure that no substantial change is made to the
     general nature of the business of the Borrower from that carried on at the
     date of this Agreement.

(b)  The Borrower shall not carry on any business other than the Existing Core
     Business save to the extent that it may do so as a result of any
     investment, acquisition or action permitted under Clause 20.10 (Acquisition
     and Investments).

20.7 INSURANCE

     The Borrower shall maintain insurances on and in relation to its business
     and assets with reputable underwriters or insurance companies against those
     risks, and to the extent, usually insured against by prudent companies
     located in the same or a similar location and carrying on a similar
     business.

                                      -37-

<PAGE>

20.8 ENVIRONMENTAL UNDERTAKINGS

     The Borrower shall:

     (a)  comply with all Environmental Laws to which it may be subject;

     (b)  obtain all Environmental Licences required or desirable in connection
          with its business; and

     (c)  comply with the terms of all those Environmental Licences,

     in each case where failure to do so might have a Material Adverse Effect.

20.9 ENVIRONMENTAL CLAIMS

     The Borrower shall promptly notify the Agent of any claim, notice or other
     communication received by it in respect of any actual or alleged breach of
     or liability under Environmental Law which, if substantiated, might have a
     Material Adverse Effect.

20.10 ACQUISITIONS AND INVESTMENTS

     The Borrower shall not:

     (a)  invest in or acquire, whether by incorporation or otherwise, any share
          in or any security issued by any person, or any interest therein or in
          the capital of any person, or make any capital contribution to any
          person;

     (b)  invest in or acquire any business or going concern, or the whole or
          substantially the whole business of the assets, property or business
          of any person or any assets that constitute a division or operating
          unit of the business of any person; or

     (c)  enter into any joint venture, consortium, partnership or similar
          arrangement with any person,

     except to the extent that such investment, acquisition or action:

          (i)  constitutes a further investment in the Existing Core Business;
               or

          (ii) (in the case of any investment, acquisition or activity that does
               not relate, directly or indirectly, to the Existing Core Business
               of the Borrower) would not, when aggregated with all other such
               investment(s), acquisition(s) or action(s) since the date of this
               Agreement, cause the aggregate amount so expended by the Borrower
               in relation thereto to exceed 10 per cent. of the Tangible Net
               Worth as determined from the latest financial statements and
               Compliance Certificate of the Borrower delivered to the Agent
               under Clause 18.1 (Financial Statements) and Clause 18.2
               (Compliance Certificate).

20.11 FINANCIAL YEAR

     Except with the prior written consent of the Majority Lenders, the Borrower
     shall not alter its financial year so that such financial year ends on any
     date other than on 31 March of each year.

20.12 LOANS AND GUARANTEES

(a)  The Borrower will not:

     (i)  make any loan, or provide any form of credit or financial
          accommodation, to any other person; or

                                      -38-

<PAGE>

     (ii) give or issue any guarantee, indemnity, bond or letter of credit to or
          for the benefit of any person; or

     (iii) permit to subsist any guarantee of any Financial Indebtedness of any
          of its Subsidiaries.

(b)  Paragraph (a) above does not apply to:

     (i)  trade credit given in the ordinary course of trading on normal
          commercial terms; and

     (ii) (A) loans made, credit or other financial accommodation provided to;

          (B)  guarantees, indemnities, bonds or letters of credit issued in
               favour of; or

          (C)  guarantees of Financial Indebtedness of,

          any member of the Group or any other company or corporation in which
          the Vedanta Group (taken as a whole) holds at least 20 per cent. of
          its issued ordinary share capital, where the making, grant or issue of
          the same would not at any time exceed the relevant maximum limit
          prescribed under section 372A of the Indian Companies Act.

20.13 ARM'S LENGTH DEALINGS

     The Borrower will not enter into any arrangement, agreement or commitment
     with any person or pay any fees, commissions or other sums on any account
     whatsoever to any persons other than:

     (a)  in the ordinary course of trading, at arm's length and on normal
          commercial terms;

     (b)  as required by the Finance Documents; or

     (c)  those to which the Majority Lenders have given their prior written
          consent.

21.  EVENTS OF DEFAULT

     Each of the events or circumstances set out in Clause 21 is an Event of
     Default.

21.1 NON-PAYMENT

     The Borrower does not pay on the due date any amount payable pursuant to a
     Finance Document at the place at and in the currency in which it is
     expressed to be payable unless:

     (a)  its failure to pay is caused by administrative or technical error; and

     (b)  payment is made within 3 Business Days of its due date.

21.2 FINANCIAL COVENANTS

(a)  Any requirement of Clause 19 (Financial covenants) is not satisfied.

(b)  No Event of Default will occur under paragraph (a) above in relation to
     paragraph (c) of Clause 19.1 (Financial Condition) if the Borrower, within
     30 days after being requested to do so by the Agent, provides additional
     Security in such form and manner acceptable to the Lenders that would
     ensure (or otherwise has prepaid the Loans in an amount which would have
     been sufficient to ensure) that the requirement under paragraph (c) of
     Clause 19.1 (Financial Condition) is satisfied to the satisfaction of the
     Agent.

21.3 OTHER OBLIGATIONS

(a)  The Borrower does not comply with any provision of the Finance Documents
     (other than those referred to in Clause 21.1 (Non-payment) and Clause 21.2
     (Financial covenants)).

                                      -39-

<PAGE>

(b)  No Event of Default under paragraph (a) above in relation to Clause 20.1
     (Authorisations) will occur if the failure to comply is capable of remedy
     and is remedied within 5 Business Days of the Agent giving notice to the
     Borrower or the Borrower becoming aware of the failure to comply.

21.4 MISREPRESENTATION

     Any representation or statement made or deemed to be made by the Borrower
     in the Finance Documents or any other document delivered by or on behalf of
     the Borrower under or in connection with any Finance Document is or proves
     to have been incorrect or misleading in any material respect when made or
     deemed to be made.

21.5 CROSS DEFAULT

(a)  Any Financial Indebtedness of the Borrower is not paid when due nor within
     any originally applicable grace period.

(b)  Any Financial Indebtedness of the Borrower is declared to be or otherwise
     becomes due and payable prior to its specified maturity as a result of an
     event of default (however described).

(c)  Any commitment for any Financial Indebtedness of the Borrower is cancelled
     or suspended by any of its creditors as a result of an event of default
     (however described).

(d)  Any creditor of the Borrower becomes entitled to declare any of its
     Financial Indebtedness due and payable prior to its specified maturity as a
     result of an event of default (however described).

(e)  No Event of Default under this Clause 21.5 will occur if the aggregate
     amount of Financial Indebtedness or commitment for Financial Indebtedness
     falling within paragraphs (a) to (d) above is less than US$2,000,000 (or
     its equivalent in any other currency or currencies).

21.6 INSOLVENCY

(a)  The Borrower is or is presumed or deemed to be unable or admits inability
     to pay its debts as they fall due, suspends making payments on any of its
     debts or, by reason of actual or anticipated financial difficulties,
     commences negotiations with one or more of its creditors with a view to
     rescheduling any of its indebtedness.

(b)  The value of the assets of the Borrower is less than its liabilities
     (taking into account contingent and prospective liabilities).

(c)  A moratorium is declared in respect of any indebtedness of the Borrower.

21.7 INSOLVENCY PROCEEDINGS

     Any corporate action, legal proceedings or other procedure or step is taken
     in relation to:

     (a)  the suspension of payments, a moratorium of any indebtedness,
          winding-up, dissolution, administration, provisional supervision or
          reorganisation (by way of voluntary arrangement, scheme of arrangement
          or otherwise) of the Borrower;

     (b)  a composition, assignment or arrangement with any creditor of the
          Borrower;

     (c)  the appointment of a liquidator, receiver, administrator,
          administrative receiver, compulsory manager, provisional supervisor or
          other similar officer in respect of the Borrower or any of its assets;
          or

     (d)  enforcement of any Security over any assets of the Borrower,

                                      -40-

<PAGE>

     or any analogous procedure or step is taken in any jurisdiction.

21.8 JUDGMENTS, CREDITORS' PROCESS

(a)  The Borrower fails to comply with or pay any sum in an amount equal to or
     greater than US$2,000,000 (or its equivalent in any other currency or
     currencies) due from it under any final judgment or any final order made or
     given by a court of competent jurisdiction.

(b)  Any expropriation, attachment, sequestration, distress or execution affects
     any asset or assets of the Borrower and is not discharged within 5 Business
     Days.

21.9 UNLAWFULNESS

     It is or becomes unlawful for the Borrower to perform any of its
     obligations under the Finance Documents.

21.10 REPUDIATION

     The Borrower repudiates a Finance Document or evidences an intention to
     repudiate a Finance Document.

21.11 MATERIAL ADVERSE CHANGE

     Any event or circumstance occurs which the Majority Lenders determine might
     have a Material Adverse Effect.

21.13 RATINGS DOWNGRADE

     The credit rating assigned from time to time by CRISIL, ICRA or any other
     credit rating agency acceptable to the Agent (acting on the instructions of
     the Majority Lenders) to the Borrower's long-term debt (not credit enhanced
     by an unrelated third party) falls below A, or no such credit rating is
     maintained by the Borrower.

21.14 ACCELERATION

     On and at any time after the occurrence of an Event of Default the Agent
     may, and shall if so directed by the Majority Lenders, by notice to the
     Borrower:

     (a)  cancel the Total Commitments whereupon they shall immediately be
          cancelled;

     (b)  declare that all or part of the Loans, together with accrued interest,
          and all other amounts accrued or outstanding under the Finance
          Documents be immediately due and payable, whereupon they shall become
          immediately due and payable; and/or

     (c)  declare that all or part of the Loans be payable on demand, whereupon
          they shall immediately become payable on demand by the Agent on the
          instructions of the Majority Lenders.

                                      -41-

<PAGE>

                                    SECTION 8

                               CHANGES TO PARTIES

22.  CHANGES TO THE LENDERS

22.1 ASSIGNMENTS AND TRANSFERS BY THE LENDERS

     Subject to this Clause 22, a Lender (the "EXISTING LENDER") may:

     (a)  assign any of its rights; or

     (b)  transfer by novation any of its rights and obligations,

     to another bank or financial institution or to a trust, fund or other
     entity which is regularly engaged in or established for the purpose of
     making, purchasing or investing in loans, securities or other financial
     assets (the "NEW LENDER") without the consent of the Borrower.

22.2 CONDITIONS OF ASSIGNMENT OR TRANSFER

(a)  An assignment will only be effective on:

     (i)  receipt by the Agent of written confirmation from the New Lender (in
          form and substance satisfactory to the Agent) that the New Lender will
          assume the same obligations to the other Finance Parties as it would
          have been under if it was an Original Lender; and

     (ii) performance by the Agent of all "know your customer" or other checks
          relating to any person that it is required to carry out in relation to
          such assignment to a New Lender, the completion of which the Agent
          shall promptly notify to the Existing Lender and the New Lender.

(b)  A transfer will only be effective if the procedure set out in Clause 22.5
     (Procedure for transfer) is complied with.

(c)  If:

     (i)  a Lender assigns or transfers any of its rights or obligations under
          the Finance Documents or changes its Facility Office; and

     (ii) as a result of circumstances existing at the date the assignment,
          transfer or change occurs, the Borrower would be obliged to make a
          payment to the New Lender or Lender acting through its new Facility
          Office under Clause 12 (Tax gross-up and indemnities) or Clause 13
          (Increased Costs),

     then the New Lender or Lender acting through its new Facility Office is
     only entitled to receive payment under those Clauses to the same extent as
     the Existing Lender or Lender acting through its previous Facility Office
     would have been if the assignment, transfer or change had not occurred.

22.3 ASSIGNMENT OR TRANSFER FEE

     The New Lender shall, on the date upon which an assignment or transfer
     takes effect, pay to the Agent (for its own account) a fee of US$1,000.

                                      -42-

<PAGE>

22.4 LIMITATION OF RESPONSIBILITY OF EXISTING LENDERS

(a)  Unless expressly agreed to the contrary, an Existing Lender makes no
     representation or warranty and assumes no responsibility to a New Lender
     for:

     (i)  the legality, validity, effectiveness, adequacy or enforceability of
          the Finance Documents or any other documents;

     (ii) the financial condition of the Borrower;

     (iii) the performance and observance by the Borrower of its obligations
          under the Finance Documents or any other documents; or

     (iv) the accuracy of any statements (whether written or oral) made in or in
          connection with any Finance Document or any other document,

     and any representations or warranties implied by law are excluded.

(b)  Each New Lender confirms to the Existing Lender and the other Finance
     Parties that it:

     (i)  has made (and shall continue to make) its own independent
          investigation and assessment of the financial condition and affairs of
          the Borrower and its related entities in connection with its
          participation in this Agreement and has not relied exclusively on any
          information provided to it by the Existing Lender in connection with
          any Finance Document; and

     (ii) will continue to make its own independent appraisal of the
          creditworthiness of the Borrower and its related entities whilst any
          amount is or may be outstanding under the Finance Documents or any
          Commitment is in force.

(c)  Nothing in any Finance Document obliges an Existing Lender to:

     (i)  accept a re-transfer from a New Lender of any of the rights and
          obligations assigned or transferred under this Clause 22; or

     (ii) support any losses directly or indirectly incurred by the New Lender
          by reason of the non-performance by the Borrower of its obligations
          under the Finance Documents or otherwise.

22.5 PROCEDURE FOR TRANSFER

(a)  Subject to the conditions set out in Clause 22.2 (Conditions of assignment
     or transfer) a transfer is effected in accordance with paragraph (c) below
     when the Agent executes an otherwise duly completed Transfer Certificate
     delivered to it by the Existing Lender and the New Lender. The Agent shall,
     subject to paragraph (b) below, as soon as reasonably practicable after
     receipt by it of a duly completed Transfer Certificate appearing on its
     face to comply with the terms of this Agreement and delivered in accordance
     with the terms of this Agreement, execute that Transfer Certificate.

(b)  The Agent shall only be obliged to execute a Transfer Certificate delivered
     to it by the Existing Lender and the New Lender once it is satisfied it has
     complied with all necessary "know your customer" or other similar checks
     under all applicable laws and regulations in relation to the transfer to
     such New Lender.

                                      -43-

<PAGE>

(c)  On the Transfer Date:

     (i)  to the extent that in the Transfer Certificate the Existing Lender
          seeks to transfer by novation its rights and obligations under the
          Finance Documents the Borrower and the Existing Lender shall be
          released from further obligations towards one another under the
          Finance Documents and their respective rights against one another
          under the Finance Documents shall be cancelled (being the "DISCHARGED
          RIGHTS AND OBLIGATIONS");

     (ii) the Borrower and the New Lender shall assume obligations towards one
          another and/or acquire rights against one another which differ from
          the Discharged Rights and Obligations only insofar as the Borrower and
          the New Lender have assumed and/or acquired the same in place of the
          Borrower and the Existing Lender;

     (iii) the Agent, the Mandated Lead Arranger, the New Lender and other
          Lenders shall acquire the same rights and assume the same obligations
          between themselves as they would have acquired and assumed had the New
          Lender been an Original Lender with the rights and/or obligations
          acquired or assumed by it as a result of the transfer and to that
          extent the Agent, the Mandated Lead Arranger and the Existing Lender
          shall each be released from further obligations to each other under
          the Finance Documents; and

     (iv) the New Lender shall become a Party as a "Lender".

22.6 DISCLOSURE OF INFORMATION

     Any Lender may disclose to any of its Affiliates and any other person:

     (a)  to (or through) whom that Lender assigns or transfers (or may
          potentially assign or transfer) all or any of its rights and
          obligations under this Agreement;

     (b)  with (or through) whom that Lender enters into (or may potentially
          enter into) any sub-participation in relation to, or any other
          transaction under which payments are to be made by reference to, this
          Agreement or the Borrower; or

     (c)  to whom, and to the extent that, information is required or permitted
          to be disclosed by any applicable law or regulation,

     any information about the Borrower, the Group and the Finance Documents as
     that Lender shall consider appropriate if, in relation to paragraph (a)
     above, the person to whom the information is to be given has entered into a
     Confidentiality Undertaking. This Clause supersedes any previous agreement
     relating to the confidentiality of this information.

23.  CHANGES TO THE BORROWER

     The Borrower may not assign any of its rights or transfer any of its rights
     or obligations under the Finance Documents.

                                      -44-

<PAGE>

                                    SECTION 9

                               THE FINANCE PARTIES

24.  ROLE OF THE AGENT AND THE MANDATED LEAD ARRANGER

24.1 APPOINTMENT OF THE AGENT

(a)  Each other Finance Party appoints the Agent to act as its agent under and
     in connection with the Finance Documents.

(b)  Each other Finance Party authorises the Agent to exercise the rights,
     powers, authorities and discretions specifically given to the Agent under
     or in connection with the Finance Documents together with any other
     incidental rights, powers, authorities and discretions.

24.2 DUTIES OF THE AGENT

(a)  The Agent shall promptly forward to a Party the original or a copy of any
     document which is delivered to the Agent for that Party by any other Party.

(b)  Except where a Finance Document specifically provides otherwise, the Agent
     is not obliged to review or check the adequacy, accuracy or completeness of
     any document it forwards to another Party.

(c)  If the Agent receives notice from a Party referring to this Agreement,
     describing a Default and stating that the circumstance described is a
     Default, it shall promptly notify the Finance Parties.

(d)  If the Agent is aware of the non-payment of any principal, interest,
     commitment fee or other fee payable to a Finance Party (other than the
     Agent or the Mandated Lead Arranger) under this Agreement it shall promptly
     notify the other Finance Parties.

(e)  The duties of the Agent under the Finance Documents are solely mechanical
     and administrative in nature. The Agent shall have no other duties save as
     expressly provided for in the Finance Documents.

24.3 ROLE OF THE MANDATED LEAD ARRANGER

     Except as specifically provided in the Finance Documents, no Mandated Lead
     Arranger has any obligations of any kind to any other Party under or in
     connection with any Finance Document.

24.4 NO FIDUCIARY DUTIES

(a)  Nothing in this Agreement constitutes the Agent or the Mandated Lead
     Arranger as a trustee or fiduciary of any other person.

(b)  Neither the Agent nor the Mandated Lead Arranger shall be bound to account
     to any Lender for any sum or the profit element of any sum received by it
     for its own account.

24.5 BUSINESS WITH THE GROUP

     The Agent and the Mandated Lead Arranger may accept deposits from, lend
     money to and generally engage in any kind of banking or other business with
     any member of the Group.

24.6 RIGHTS AND DISCRETIONS OF THE AGENT

(a)  The Agent may rely on:

                                      -45-

<PAGE>

     (i)  any representation, notice or document believed by it to be genuine,
          correct and appropriately authorised and shall have no duty to verify
          any signature on any document; and

     (ii) any statement purportedly made by a director, authorised signatory or
          employee of any person regarding any matters which may reasonably be
          assumed to be within his knowledge or within his power to verify.

(b)  The Agent may assume, unless it has received notice to the contrary in its
     capacity as agent for the Lenders that:

     (i)  no Default has occurred (unless it has actual knowledge of a Default
          arising under Clause 21.1 (Non-payment)); and

     (ii) any right, power, authority or discretion vested in any Party or the
          Majority Lenders has not been exercised.

(c)  The Agent may engage, pay for and rely on the advice or services of any
     lawyers, accountants, surveyors or other experts.

(d)  The Agent may act in relation to the Finance Documents through its
     personnel and agents.

(e)  The Agent may disclose to any other Party any information it reasonably
     believes it has received as agent under this Agreement.

(f)  Notwithstanding any other provision of any Finance Document to the
     contrary, neither the Agent nor the Mandated Lead Arranger is obliged to do
     or omit to do anything if it would or might in its reasonable opinion
     constitute a breach of any law or regulation or a breach of a fiduciary
     duty or duty of confidentiality.

24.7 MAJORITY LENDERS' INSTRUCTIONS

(a)  Unless a contrary indication appears in a Finance Document, the Agent shall
     (i) exercise any right, power, authority or discretion vested in it as
     Agent, in accordance with any instructions given to it by the Majority
     Lenders (or, if so instructed by the Majority Lenders, refrain from
     exercising any right, power, authority or discretion vested in it as Agent,
     and (ii) not be liable for any act (or omission) if it acts (or refrains
     from taking any action) in accordance with an instruction of the Majority
     Lenders.

(b)  Unless a contrary indication appears in a Finance Document, any
     instructions given by the Majority Lenders will be binding on all the
     Finance Parties.

(c)  The Agent may refrain from acting in accordance with the instructions of
     the Majority Lenders (or, if appropriate, the Lenders) or under paragraph
     (d) below until it has received such security as it may require for any
     cost, loss or liability (together with any associated Indirect Tax) which
     it may incur in complying with the instructions.

(d)  In the absence of instructions from the Majority Lenders (or, if
     appropriate, the Lenders), the Agent may act (or refrain from taking
     action) as it considers to be in the best interest of the Lenders.

(e)  The Agent is not authorised to act on behalf of a Lender (without first
     obtaining that Lender's consent) in any legal or arbitration proceedings
     relating to any Finance Document.

                                      -46-

<PAGE>

24.8 RESPONSIBILITY FOR DOCUMENTATION

     Neither the Agent nor the Mandated Lead Arranger:

     (a)  is responsible for the adequacy, accuracy and/or completeness of any
          information (whether oral or written) supplied by the Agent, the
          Mandated Lead Arranger, the Borrower or any other person given in or
          in connection with any Finance Document or the Information Memorandum;
          or

     (b)  is responsible for the legality, validity, effectiveness, adequacy or
          enforceability of any Finance Document or any other agreement,
          arrangement or document entered into, made or executed in anticipation
          of or in connection with any Finance Document.

24.9 EXCLUSION OF LIABILITY

(a)  Without limiting paragraph (b) below, the Agent will not be liable for any
     action taken by it or omitting to take any action under or in connection
     with any Finance Document, unless directly caused by its gross negligence
     or wilful misconduct.

(b)  No Party (other than the Agent) may take any proceedings against any
     officer, employee or agent of the Agent in respect of any claim it might
     have against the Agent or in respect of any act or omission of any kind by
     that officer, employee or agent in relation to any Finance Document and any
     officer, employee or agent of the Agent may rely on this Clause. Any third
     party referred to in this paragraph (b) may enjoy the benefit of or enforce
     the terms of this paragraph in accordance with the provisions of the
     Contracts (Rights of Third Parties) Act 1999.

(c)  The Agent will not be liable for any delay (or any related consequences) in
     crediting an account with an amount required under the Finance Documents to
     be paid by it if it has taken all necessary steps as soon as reasonably
     practicable to comply with the regulations or operating procedures of any
     recognised clearing or settlement system used by it for that purpose.

(d)  Nothing in this Agreement shall oblige the Agent or the Arranger to carry
     out any "know your customer" or other checks in relation to any person on
     behalf of any Lender and each Lender confirms to the Agent and the Arranger
     that it is solely responsible for any such checks it is required to carry
     out and that it may not rely on any statement in relation to such checks
     made by the Agent or the Arranger.

24.10 LENDERS' INDEMNITY TO THE AGENT

     Each Lender shall (if there are no Loans then outstanding, in proportion to
     its share of the Total Commitments or, at any other time, to its share of
     the Loans then outstanding) indemnify the Agent, within three Business Days
     of demand, against any cost, loss or liability incurred by the Agent
     (otherwise than by reason of its gross negligence or wilful misconduct) in
     acting as Agent under the Finance Documents (unless it has been reimbursed
     by the Borrower pursuant to a Finance Document) or any fee or expense
     outstanding from and not paid by the Borrower pursuant to a Finance
     Document.

24.11 RESIGNATION OF THE AGENT

(a)  The Agent may resign and appoint one of its Affiliates acting through an
     office in Singapore as successor by giving notice to the other Finance
     Parties and the Borrower.

                                      -47-

<PAGE>

(b)  Alternatively the Agent may resign by giving notice to the other Finance
     Parties and the Borrower, in which case the Majority Lenders (after
     consultation with the Borrower) may appoint a successor Agent.

(c)  If the Majority Lenders have not appointed a successor Agent in accordance
     with paragraph (b) above within 30 days after notice of resignation was
     given, the Agent (after consultation with the Borrower) may appoint a
     successor Agent (acting through an office in Singapore).

(d)  The retiring Agent shall make available to its successor such documents and
     records and provide such assistance as its successor may reasonably request
     for the purposes of performing its functions as Agent under the Finance
     Documents.

(e)  The resignation notice of the Agent shall only take effect upon the
     appointment of a successor.

(f)  Upon the appointment of a successor, the retiring Agent shall be discharged
     from any further obligation in respect of the Finance Documents but shall
     remain entitled to the benefit of this Clause 24. Its successor and each of
     the other Parties shall have the same rights and obligations amongst
     themselves as they would have had if such successor had been an original
     Party.

(g)  After consultation with the Borrower, the Majority Lenders may, by notice
     to the Agent require it to resign in accordance with paragraph (b) above.
     In this event, the Agent shall resign in accordance with paragraph (b)
     above.

24.12 CONFIDENTIALITY

(a)  The Agent (in acting as agent for the Finance Parties) shall be regarded as
     acting through its agency division which in each case shall be treated as a
     separate entity from any other of its divisions or departments.

(b)  If information is received by another division or department of the Agent,
     it may be treated as confidential to that division or department and the
     Agent shall not be deemed to have notice of it.

24.13 RELATIONSHIP WITH THE LENDERS

     The Agent may treat each Lender as a Lender, entitled to payments under
     this Agreement and acting through its Facility Office unless it has
     received not less than 5 Business Days prior notice from that Lender to the
     contrary in accordance with the terms of this Agreement.

24.14 CREDIT APPRAISAL BY THE LENDERS

     Without affecting the responsibility of the Borrower for information
     supplied by it or on its behalf in connection with any Finance Document,
     each Lender confirms to the Agent and the Mandated Lead Arranger that it
     has been, and will continue to be, solely responsible for making its own
     independent appraisal and investigation of all risks arising under or in
     connection with any Finance Document including but not limited to:

     (a)  the financial condition, status and nature of each member of the
          Group;

     (b)  the legality, validity, effectiveness, adequacy or enforceability of
          any Finance Document and any other agreement, Security arrangement or
          document entered into, made or executed in anticipation of, under or
          in connection with any Finance Document;

                                      -48-

<PAGE>

     (c)  whether that Lender has recourse, and the nature and extent of that
          recourse, against any Party or any of its respective assets under or
          in connection with any Finance Document, the transactions contemplated
          by the Finance Documents or any other agreement, Security arrangement
          or document entered into, made or executed in anticipation of, under
          or in connection with any Finance Document; and

     (d)  the adequacy, accuracy and/or completeness of the Information
          Memorandum and any other information provided by the Agent, any Party
          or by any other person under or in connection with any Finance
          Document, the transactions contemplated by the Finance Documents or
          any other agreement, Security arrangement or document entered into,
          made or executed in anticipation of, under or in connection with any
          Finance Document.

24.15 REFERENCE BANKS

     If a Reference Bank (or, if a Reference Bank is not a Lender, the Lender of
     which it is an Affiliate) ceases to be a Lender, the Agent shall (in
     consultation with the Borrower) appoint another Lender or an Affiliate of a
     Lender to replace that Reference Bank.

24.16 MANAGEMENT TIME OF THE AGENT

     Any amount payable to the Agent under Clause 24.10 (Lenders' indemnity to
     the Agent) shall include the cost of utilising its management time or other
     resources and will be calculated on the basis of such reasonable daily or
     hourly rates as it may notify to the Lenders, and is in addition to any fee
     paid or payable to it under Clause 11 (Fees).

24.17 DEDUCTION FROM AMOUNTS PAYABLE BY THE AGENT

     If any Party owes an amount to the Agent under the Finance Documents the
     Agent may, after giving notice to that Party, deduct an amount not
     exceeding that amount from any payment to that Party which the Agent would
     otherwise be obliged to make under the Finance Documents and apply the
     amount deducted in or towards satisfaction of the amount owed. For the
     purposes of the Finance Documents that Party shall be regarded as having
     received any amount so deducted.

25.  CONDUCT OF BUSINESS BY THE FINANCE PARTIES

     No provision of this Agreement will:

     (a)  interfere with the right of any Finance Party to arrange its affairs
          (tax or otherwise) in whatever manner it thinks fit;

     (b)  oblige any Finance Party to investigate or claim any credit, relief,
          remission or repayment available to it or the extent, order and manner
          of any claim; or

     (c)  oblige any Finance Party to disclose any information relating to its
          affairs (tax or otherwise) or any computations in respect of Tax.

                                      -49-

<PAGE>

26.  SHARING AMONG THE FINANCE PARTIES

26.1 PAYMENTS TO FINANCE PARTIES

     If a Finance Party (a "RECOVERING FINANCE PARTY") receives or recovers any
     amount from the Borrower other than in accordance with Clause 27 (Payment
     mechanics) and applies that amount to a payment due under the Finance
     Documents then:

     (a)  the Recovering Finance Party shall, within three Business Days, notify
          details of the receipt or recovery to the Agent;

     (b)  the Agent shall determine whether the receipt or recovery is in excess
          of the amount the Recovering Finance Party would have been paid had
          the receipt or recovery been received or made by the Agent and
          distributed in accordance with Clause 27 (Payment mechanics), without
          taking account of any Tax which would be imposed on the Agent in
          relation to the receipt, recovery or distribution; and

     (c)  the Recovering Finance Party shall, within three Business Days of
          demand by the Agent, pay to the Agent an amount (the "SHARING
          PAYMENT") equal to such receipt or recovery less any amount which the
          Agent determines may be retained by the Recovering Finance Party as
          its share of any payment to be made, in accordance with Clause 27.5
          (Partial payments).

26.2 REDISTRIBUTION OF PAYMENTS

     The Agent shall treat the Sharing Payment as if it had been paid by the
     Borrower and distribute it between the Finance Parties (other than the
     Recovering Finance Party) in accordance with Clause 27.5 (Partial
     payments).

26.3 RECOVERING FINANCE PARTY'S RIGHTS

(a)  On a distribution by the Agent under Clause 26.2 (Redistribution of
     payments), the Recovering Finance Party will be subrogated to the rights of
     the Finance Parties which have shared in the redistribution.

(b)  If and to the extent that the Recovering Finance Party is not able to rely
     on its rights under paragraph (a) above, the Borrower shall be liable to
     the Recovering Finance Party for a debt equal to the Sharing Payment which
     is immediately due and payable.

26.4 REVERSAL OF REDISTRIBUTION

     If any part of the Sharing Payment received or recovered by a Recovering
     Finance Party becomes repayable and is repaid by that Recovering Finance
     Party, then:

     (a)  each Finance Party which has received a share of the relevant Sharing
          Payment pursuant to Clause 26.2 (Redistribution of payments) shall,
          upon request of the Agent, pay to the Agent for account of that
          Recovering Finance Party an amount equal to the appropriate part of
          its share of the Sharing Payment (together with an amount as is
          necessary to reimburse that Recovering Finance Party for its
          proportion of any interest on the Sharing Payment which that
          Recovering Finance Party is required to pay); and

                                      -50-

<PAGE>

     (b)  that Recovering Finance Party's rights of subrogation in respect of
          any reimbursement shall be cancelled and the Borrower will be liable
          to the reimbursing Finance Party for the amount so reimbursed.

26.5 EXCEPTIONS

(a)  This Clause 26 shall not apply to the extent that the Recovering Finance
     Party would not, after making any payment pursuant to this Clause, have a
     valid and enforceable claim against the Borrower.

(b)  A Recovering Finance Party is not obliged to share with any other Lender
     any amount which the Recovering Finance Party has received or recovered as
     a result of taking legal or arbitration proceedings, if:

     (i)  it notified that other Finance Party of the legal or arbitration
          proceedings; and

     (ii) that other Finance Party had an opportunity to participate in those
          legal or arbitration proceedings but did not do so as soon as
          reasonably practicable having received notice and did not take
          separate legal or arbitration proceedings.

                                      -51-
<PAGE>

                                   SECTION 10

                                 ADMINISTRATION

27.  PAYMENT MECHANICS

27.1 PAYMENTS TO THE AGENT

(a)  On each date on which the Borrower or a Lender is required to make a
     payment under a Finance Document, the Borrower or that Lender shall make
     the same available to the Agent (unless a contrary indication appears in a
     Finance Document) for value on the due date at the time and in such funds
     specified by the Agent as being customary at the time for settlement of
     transactions in the relevant currency in the place of payment.

(b)  Payment shall be made to such account in the principal financial centre of
     the country of that currency with such bank as the Agent specifies.

27.2 DISTRIBUTIONS BY THE AGENT

(a)  Each payment received by the Agent under the Finance Documents for another
     Party shall, subject to paragraph (b) and to Clause 27.3 (Distributions to
     the Borrower) and Clause 27.4 (Clawback), be made available by the Agent as
     soon as practicable after receipt to the Party entitled to receive payment
     in accordance with this Agreement (in the case of a Lender, for the account
     of its Facility Office), to such account as that Party may notify to the
     Agent by not less than five Business Days' notice with a bank in the
     principal financial centre of the country of that currency.

(b)  Notwithstanding paragraph (a) above, any payment to be made under the
     Finance Documents by the Agent to a Lender shall be made in accordance with
     that Lender's Standing Payment Instruction.

27.3 DISTRIBUTIONS TO THE BORROWER

     The Agent may (with the Borrower's consent or in accordance with Clause 28
     (Set-off)) apply any amount received by it for the Borrower in or towards
     payment (on the date and in the currency and funds of receipt) of any
     amount due from the Borrower under the Finance Documents or in or towards
     purchase of any amount of any currency to be so applied.

27.4 CLAWBACK

(a)  Where a sum is to be paid to the Agent under the Finance Documents for
     another Party, the Agent is not obliged to pay that sum to that other Party
     (or to enter into or perform any related exchange contract) until it has
     been able to establish to its satisfaction that it has actually received
     that sum.

(b)  If the Agent pays an amount to another Party and it proves to be the case
     that it had not actually received that amount, then the Party to whom that
     amount (or the proceeds of any related exchange contract) was paid shall on
     demand refund the same to the Agent together with interest on that amount
     from the date of payment to the date of receipt by the Agent calculated by
     it to reflect its cost of funds.

                                      -52-

<PAGE>

27.5 PARTIAL PAYMENTS

(a)  If the Agent receives a payment that is insufficient to discharge all the
     amounts then due and payable by the Borrower under the Finance Documents,
     the Agent shall apply that payment towards the Borrower's obligations under
     the Finance Documents in the following order:

     (i)  FIRST, in or towards payment pro rata of any unpaid fees, costs and
          expenses of the Agent or the Mandated Lead Arranger under the Finance
          Documents;

     (ii) SECONDLY, in or towards payment pro rata of any accrued interest, fee
          (other than as provided in (i) above) or commission due but unpaid
          under this Agreement;

     (iii) THIRDLY, in or towards payment pro rata of any principal due but
          unpaid under this Agreement; and

     (iv) FOURTHLY, in or towards payment pro rata of any other sum due but
          unpaid under the Finance Documents.

(b)  The Agent shall, if so directed by the Majority Lenders, vary the order set
     out in paragraphs (a)(ii) to (iv) above.

(c)  Paragraphs (a) and (b) above will override any appropriation made by the
     Borrower.

27.6 NO SET-OFF BY THE BORROWER

     All payments to be made by the Borrower under the Finance Documents shall
     be calculated and be made without (and free and clear of any deduction for)
     set-off or counterclaim.

27.7 BUSINESS DAYS

(a)  Any payment which is due to be made on a day that is not a Business Day
     shall be made on the next Business Day in the same calendar month (if there
     is one) or the preceding Business Day (if there is not).

(b)  During any extension of the due date for payment of any principal or Unpaid
     Sum under this Agreement interest is payable on the principal or Unpaid Sum
     at the rate payable on the original due date.

27.8 CURRENCY OF ACCOUNT

(a)  Subject to paragraphs (b) to (e) below, US Dollars is the currency of
     account and payment for any sum due from the Borrower under any Finance
     Document.

(b)  A repayment of a Loan or Unpaid Sum or a part of a Loan or Unpaid Sum shall
     be made in the currency in which the Loan or Unpaid Sum is denominated on
     its due date.

(c)  Each payment of interest shall be made in the currency in which the sum in
     respect of which the interest is payable was denominated when that interest
     accrued.

(d)  Each payment in respect of costs, expenses or Taxes shall be made in the
     currency in which the costs, expenses or Taxes are incurred.

(e)  Any amount expressed to be payable in a currency other than US Dollars
     shall be paid in that other currency.

                                      -53-

<PAGE>

27.9 CHANGE OF CURRENCY

(a)  Unless otherwise prohibited by law, if more than one currency or currency
     unit are at the same time recognised by the central bank of any country as
     the lawful currency of that country, then:

     (i)  any reference in the Finance Documents to, and any obligations arising
          under the Finance Documents in, the currency of that country shall be
          translated into, or paid in, the currency or currency unit of that
          country designated by the Agent (after consultation with the
          Borrower); and

     (ii) any translation from one currency or currency unit to another shall be
          at the official rate of exchange for the conversion of that currency
          or currency unit into the other recognised by the central bank
          designated by the Agent (after consultation with the Borrower),
          rounded up or down by the Agent (acting reasonably).

(b)  If a change in any currency of a country occurs, this Agreement will, to
     the extent the Agent (acting reasonably and after consultation with the
     Borrower) specifies to be necessary, be amended to comply with any
     generally accepted conventions and market practice in the Relevant
     Interbank Market and otherwise to reflect the change in currency.

28.  SET-OFF

     A Finance Party may set off any matured obligation due from the Borrower
     under the Finance Documents (to the extent beneficially owned by that
     Finance Party) against any matured obligation owed by that Finance Party to
     the Borrower, regardless of the place of payment, booking branch or
     currency of either obligation. If the obligations are in different
     currencies, the Finance Party may convert either obligation at a market
     rate of exchange in its usual course of business for the purpose of the
     set-off.

29.  NOTICES

29.1 COMMUNICATIONS IN WRITING

     Any communication to be made under or in connection with the Finance
     Documents shall be made in writing and, unless otherwise stated, may be
     made by fax or letter.

29.2 ADDRESSES

     The address and fax number (and the department or officer, if any, for
     whose attention the communication is to be made) of each Party for any
     communication or document to be made or delivered under or in connection
     with the Finance Documents is:

     (a)  in the case of the Borrower, that identified with its name below;

     (b)  in the case of each Lender, that notified in writing to the Agent on
          or prior to the date on which it becomes a Party; and

     (c)  in the case of the Agent that identified with its name below,

     or any substitute address, fax number or department or officer as the Party
     may notify to the Agent (or the Agent may notify to the other Parties, if a
     change is made by the Agent) by not less than five Business Days' notice.

                                      -54-

<PAGE>

29.3 DELIVERY

(a)  Any communication or document made or delivered by one person to another
     under or in connection with the Finance Documents will only be effective:

     (i)  if sent by fax before 5 p.m. (local time in the place to which it is
          sent) on a working day in that place, when sent or, if sent by fax at
          any other time, at 9 a.m.(local time in the place to which it is sent)
          on the next working day in that place, provided, in each case, that
          the person sending the fax shall have received a transmission receipt;
          or

     (ii) if by way of letter, when it has been left at the relevant address or
          10 Business Days after being deposited in the post postage prepaid in
          an envelope addressed to it at that address,

     and, if a particular department or officer is specified as part of its
     address details provided under Clause 29.2 (Addresses), if addressed to
     that department or officer.

(b)  Any communication or document to be made or delivered to the Agent will be
     effective only when actually received by the Agent and then only if it is
     expressly marked for the attention of the department or officer identified
     with the Agent's signature below (or any substitute department or officer
     as the Agent shall specify for this purpose).

(c)  All notices from or to the Borrower shall be sent through the Agent.

29.4 NOTIFICATION OF ADDRESS AND FAX NUMBER

     Promptly upon receipt of notification of an address and fax number or
     change of address or fax number pursuant to Clause 29.2 (Addresses) or
     changing its own address or fax number, the Agent shall notify the other
     Parties.

29.5 RELIANCE

(a)  Any notice sent under this Clause 29 can be relied on by the recipient if
     the recipient reasonably believes the notice to be genuine and if it bears
     what appears to be the signature (original or facsimile) of an authorised
     signatory of the sender, without the need for any further enquiry or
     confirmation.

(b)  Each Party must take reasonable care to ensure that no forged, false or
     unauthorised notices are sent to another Party.

29.6 ENGLISH LANGUAGE

(a)  Any notice given under or in connection with any Finance Document must be
     in English.

(b)  All other documents provided under or in connection with any Finance
     Document must be:

     (i)  in English; or

     (ii) if not in English, and if so required by the Agent, accompanied by a
          certified English translation and, in this case, the English
          translation will prevail unless the document is a constitutional,
          statutory or other official document.

                                      -55-

<PAGE>

30.  CALCULATIONS AND CERTIFICATES

30.1 ACCOUNTS

     In any litigation or arbitration proceedings arising out of or in
     connection with a Finance Document, the entries made in the accounts
     maintained by a Finance Party are prima facie evidence of the matters to
     which they relate.

30.2 CERTIFICATES AND DETERMINATIONS

     Any certification or determination by a Finance Party of a rate or amount
     under any Finance Document is, in the absence of manifest error, conclusive
     evidence of the matters to which it relates.

30.3 DAY COUNT CONVENTION

     Any interest, commission or fee accruing under a Finance Document will
     accrue from day to day and is calculated on the basis of the actual number
     of days elapsed and a year of 360 days or, in any case where the practice
     in the Relevant Interbank Market differs, in accordance with that market
     practice.

31.  PARTIAL INVALIDITY

     If, at any time, any provision of the Finance Documents is or becomes
     illegal, invalid or unenforceable in any respect under any law of any
     jurisdiction, neither the legality, validity or enforceability of the
     remaining provisions nor the legality, validity or enforceability of such
     provision under the law of any other jurisdiction will in any way be
     affected or impaired.

32.  REMEDIES AND WAIVERS

     No failure to exercise, nor any delay in exercising, on the part of any
     Finance Party, any right or remedy under the Finance Documents shall
     operate as a waiver, nor shall any single or partial exercise of any right
     or remedy prevent any further or other exercise or the exercise of any
     other right or remedy. The rights and remedies provided in this Agreement
     are cumulative and not exclusive of any rights or remedies provided by law.

33.  AMENDMENTS AND WAIVERS

33.1 REQUIRED CONSENTS

(a)  Subject to Clauses 33.2 (Exceptions) and 33.3 (Amendments of an
     administrative nature), any term of the Finance Documents may be amended or
     waived only with the consent of the Majority Lenders and the Borrower and
     any such amendment or waiver will be binding on all Parties.

(b)  The Agent may effect, on behalf of any Finance Party, any amendment or
     waiver permitted by this Clause.

33.2 EXCEPTIONS

(a)  An amendment or waiver that has the effect of changing or which relates to:

     (i)  the definition of "Majority Lenders" in Clause 1.1 (Definitions);

     (ii) an extension to the date of payment of any amount under the Finance
          Documents;

                                      -56-

<PAGE>

     (iii) a reduction in the Margin or a reduction in the amount of any payment
          of principal, interest, fees or commission payable;

     (iv) an increase in or an extension of any Commitment;

     (v)  a change to Clause 23 (Changes to the Borrower);

     (vi) any provision which expressly requires the consent of all the Lenders;
          or

     (vii) Clause 2.2 (Finance Parties' rights and obligations), Clause 22
          (Changes to the Lenders), Clause 26 (Sharing among the Finance
          Parties), or this Clause 33.

     shall not be made without the prior consent of all the Lenders.

(b)  An amendment or waiver which relates to the rights or obligations of the
     Agent or the Mandated Lead Arranger may not be effected without the consent
     of the Agent or, as the case may be, the Mandated Lead Arranger.

33.3 AMENDMENTS OF AN ADMINISTRATIVE NATURE

     Notwithstanding Clauses 33.1 (Required consents) and 33.2 (Exceptions), the
     Agent may agree, without the consent of any Lender, to any modification of
     any Finance Document of a minor or technical nature or to correct a
     manifest error.

34.  COUNTERPARTS

     Each Finance Document may be executed in any number of counterparts, and
     this has the same effect as if the signatures on the counterparts were on a
     single copy of the Finance Document.

                                      -57-

<PAGE>

                                   SECTION 11

                          GOVERNING LAW AND ENFORCEMENT

35.  GOVERNING LAW

     This Agreement is governed by English law.

36.  ENFORCEMENT

36.1 JURISDICTION OF ENGLISH COURTS

(a)  The courts of England have exclusive jurisdiction to settle any dispute
     arising out of or in connection with this Agreement (including a dispute
     regarding the existence, validity or termination of this Agreement) (a
     "DISPUTE").

(b)  The Parties agree that the courts of England are the most appropriate and
     convenient courts to settle Disputes and accordingly no Party will argue to
     the contrary.

(c)  This Clause 36.1 is for the benefit of the Finance Parties only. As a
     result, no Finance Party shall be prevented from taking proceedings
     relating to a Dispute in any other courts with jurisdiction. To the extent
     allowed by law, the Finance Parties may take concurrent proceedings in any
     number of jurisdictions.

36.2 SERVICE OF PROCESS

     Without prejudice to any other mode of service allowed under any relevant
     law, the Borrower:

     (a)  irrevocably appoints Morgan Walker Solicitors, of 115A Chancery Lane,
          London WC2A 1PR, as its agent for service of process in relation to
          any proceedings before the English courts in connection with any
          Finance Document; and

     (b)  agrees that failure by a process agent to notify the Borrower of the
          process will not invalidate the proceedings concerned.

36.3 CONSENT TO ENFORCEMENT ETC.

     The Borrower irrevocably and generally consents in respect of any
     proceedings anywhere in connection with any Finance Document to the giving
     of any relief or the issue of any process in connection with those
     proceedings including, without limitation, the making, enforcement or
     execution against any assets whatsoever (irrespective of their use or
     intended use) of any order or judgment which may be made or given in those
     proceedings.

36.4 WAIVER OF IMMUNITY

     The Borrower irrevocably agrees that, should any Party take any proceedings
     anywhere (whether for an injunction, specific performance, damages or
     otherwise in connection with any Finance Document), no immunity (to the
     extent that it may at any time exist, whether on the grounds of sovereignty
     or otherwise) from those proceedings, from attachment (whether in aid of
     execution, before judgment or otherwise) of its assets or from execution of
     judgment shall be claimed by it or with respect to its assets, any such
     immunity being irrevocably waived. The Borrower irrevocably agrees that it
     and its assets are, and shall be, subject to such proceedings, attachment
     or execution in respect of its obligations under the Finance Documents.

                                      -58-

<PAGE>

THIS AGREEMENT HAS BEEN ENTERED INTO ON THE DATE STATED AT THE BEGINNING OF THIS
AGREEMENT.

                                      -59-

<PAGE>

                                   SCHEDULE 1

                              THE ORIGINAL LENDERS

<TABLE>
<CAPTION>
NAME OF ORIGINAL LENDER                FACILITY A COMMITMENT   FACILITY B COMMITMENT
-----------------------                ---------------------   ---------------------
<S>                                    <C>                     <C>
ICICI Bank Limited, Singapore Branch                     --       US$ 9,331,656.06
ICICI Bank Limited, Offshore Banking
   Unit, Manama, Bahrain                                 --       US$ 7,367,096.88
ICICI Bank Limited, Offshore Banking
   Unit, SEEPZ, Mumbai                                   --       US$ 2,946,838.75
Sumitomo Mitsui Banking Corporation,
   Singapore Branch                        YEN1,785,000,000                     --
DBS Bank Ltd                               YEN1,785,000,000                     --
                                           ----------------       ----------------
Totals                                     YEN3,570,000,000       US$19,645,591.69
</TABLE>

                                      -60-

<PAGE>

                                   SCHEDULE 2

                              CONDITIONS PRECEDENT

1.   THE BORROWER

(a)  A copy of the constitutional documents of the Borrower.

(b)  A copy of a resolution of the board of directors of the Borrower:

     (i)  approving the terms of, and the transactions contemplated by, the
          Finance Documents and resolving that it execute the Finance Documents;

     (ii) authorising a specified person or persons to execute the Finance
          Documents on its behalf; and

     (iii) authorising a specified person or persons, on its behalf, to sign
          and/or despatch all documents and notices (including, if relevant, any
          Utilisation Request and Selection Notice) to be signed and/or
          despatched by it under or in connection with the Finance Documents.

(c)  A specimen of the signature of each person authorised by the resolution
     referred to in paragraph (b) above.

(d)  A certificate of the Borrower (signed by two authorised signatories of the
     Borrower) confirming that borrowing the Total Commitments would not cause
     any borrowing or similar limit binding on the Borrower to be exceeded
     together with a copy of a resolution of the shareholders of the Borrower
     passed in general meeting under and in accordance with section 293(i)(d) of
     the Indian Companies Act approving the current borrowing limit of the
     Borrower.

(e)  A certificate of an authorised signatory of the Borrower certifying that
     each copy document relating to it specified in this Schedule 2 is correct,
     complete and in full force and effect as at a date no earlier than the date
     of this Agreement.

2.   LEGAL OPINIONS

(a)  A legal opinion of Linklaters Allen & Gledhill, legal advisers to the
     Mandated Lead Arranger and the Agent in England.

(b)  A legal opinion of Amarchand & Mangaldas & Suresh, A. Shroff & Co., legal
     advisers to the Mandated Lead Arranger and the Agent in India.

3.   OTHER DOCUMENTS AND EVIDENCE

(a)  Evidence that the process agent referred to in Clause 36.2 (Service of
     process) has accepted its appointment.

(b)  A copy of any other Authorisation or other document, opinion or assurance
     which the Agent considers to be necessary or desirable (if it has notified
     the Borrower accordingly) in connection with the entry into and performance
     of the transactions contemplated by any Finance Document or for the
     validity and enforceability of any Finance Document.

(c)  The Original Financial Statements.

                                      -61-

<PAGE>

(d)  Evidence that the fees, costs and expenses then due from the Borrower
     pursuant to Clause 11 (Fees) and Clause 16 (Costs and expenses) have been
     paid or will be paid by the first Utilisation Date.

(e)  Evidence that all Taxes (including stamp duty) payable in India and England
     and Wales in connection with the execution, performance and/or enforcement
     of the Finance Documents have been paid.

(f)  Certified copies of any other Authorisation or other document, opinion or
     assurance which the Agent, acting on the advice of Indian counsel,
     considers to be necessary or desirable (if it has notified the Borrower
     accordingly) in connection with the entry into and performance of the
     transactions contemplated by any Finance Document or for the validity and
     enforceability of any Finance Document including certified copies of all
     necessary approvals from the Government of India or the Reserve Bank of
     India or the Ministry of Finance, as the case may be, or all of them, for
     transferability and convertibility of any foreign exchange as required
     under any Finance Document.

(g)  Evidence that the Borrower has filed Form 83 prescribed by the Reserve Bank
     of India under its circular dated 1 August 2005 in respect of external
     commercial borrowings and that the Department of Statistical Analysis and
     Computer Service of the Reserve Bank of India has issued a loan
     registration number for the full amount of the Facility.

(h)  Evidence satisfactory to the Agent that prepayment of the Refinancing Debt
     will occur on the date of the first Utilisation (including copies of any
     notice of prepayment).

                                      -62-

<PAGE>

                                   SCHEDULE 3

                                    REQUESTS

                                     PART I

                               UTILISATION REQUEST

From:  Sterlite Industries (India) Limited

To:    DBS Bank Ltd, as Agent

Dated: __________________

Dear Sirs

      STERLITE INDUSTRIES (INDIA) LIMITED - TERM LOAN FACILITIES AGREEMENT
                    DATED 19 SEPTEMBER 2005 (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Utilisation Request. Terms defined in
     the Agreement have the same meaning in this Utilisation Request unless
     given a different meaning in this Utilisation Request.

2.   We wish to borrow the following Loans on the following terms:

     Proposed Utilisation Date: [__________________] (or, if that is not a
                                Business Day, the next Business Day)

     Amount:

     (a)  Facility A Loan    YEN[________]

     (b)  Facility B Loan    US$[________]

     Interest Period:           [__] Months

3.   We confirm that each condition specified in Clause 4.2 (Further conditions
     precedent) is satisfied on the date of this Utilisation Request.

4.   The proceeds of the Facility A Loan should be credited to [account in
     Tokyo].

5.   The proceeds of the Facility B Loan should be credited to [account in New
     York].

6.   This Utilisation Request is irrevocable.

                                        Yours faithfully

                                        ----------------------------------------
                                        authorised signatory for
                                        Sterlite Industries (India) Limited

                                      -63-
<PAGE>

                                     PART II

                                SELECTION NOTICE

From:  Sterlite Industries (India) Limited

To:    DBS Bank Ltd, as Agent

Dated: __________________

Dear Sirs

      STERLITE INDUSTRIES (INDIA) LIMITED - TERM LOAN FACILITIES AGREEMENT
                    DATED 19 SEPTEMBER 2005 (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Selection Notice. Terms defined in the
     Agreement have the same meaning in this Selection Notice unless given a
     different meaning in this Selection Notice.

2.   We refer to the Loans with an Interest Period ending on [____________]. We
     request that the next Interest Period for the Loans is [____________].

3.   This Selection Notice is irrevocable.

                                        Yours faithfully

                                        ----------------------------------------
                                        authorised signatory for
                                        Sterlite Industries (India) Limited

                                      -64-

<PAGE>

                                   SCHEDULE 4

                          FORM OF TRANSFER CERTIFICATE

To:    DBS Bank Ltd, as Agent

From:  [The Existing Lender] (the "Existing Lender") and [The New Lender] (the
       "New Lender")

Dated: __________________

      STERLITE INDUSTRIES (INDIA) LIMITED - TERM LOAN FACILITIES AGREEMENT
                    DATED 19 SEPTEMBER 2005 (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Transfer Certificate. Terms defined in
     the Agreement have the same meaning in this Transfer Certificate unless
     given a different meaning in this Transfer Certificate.

2.   We refer to Clause 22.5 (Procedure for transfer):

     (a)  The Existing Lender and the New Lender agree to the Existing Lender
          transferring to the New Lender by novation all or part of the Existing
          Lender's Commitment, rights and obligations referred to in the
          Schedule in accordance with Clause 22.5 (Procedure for transfer).

     (b)  The proposed Transfer Date is [____________].

     (c)  The Facility Office and address, fax number and attention details for
          notices of the New Lender for the purposes of Clause 29.2 (Addresses)
          are set out in the Schedule.

3.   The New Lender expressly acknowledges the limitations on the Existing
     Lender's obligations set out in paragraph (c) of Clause 22.4 (Limitation of
     responsibility of Existing Lenders).

4.   This Transfer Certificate may be executed in any number of counterparts and
     this has the same effect as if the signatures on the counterparts were on a
     single copy of this Transfer Certificate.

5.   This Transfer Certificate is governed by English law.

                                      -65-

<PAGE>

                                  THE SCHEDULE

               COMMITMENT/RIGHTS AND OBLIGATIONS TO BE TRANSFERRED

                            [insert relevant details]

         [Facility Office address, fax number and attention details for
                   notices and account details for payments.]

[Existing Lender]                       [New Lender]

By:                                     By:
    ---------------------------------       ------------------------------------

This Transfer Certificate is accepted by the Agent and the Transfer Date is
confirmed as

[____________].

DBS Bank Ltd

By:
    ---------------------------------

                                      -66-

<PAGE>

                                   SCHEDULE 5

                         FORM OF COMPLIANCE CERTIFICATE

To:    DBS Bank Ltd, as Agent

From:  Sterlite Industries (India) Limited

Dated: __________________

Dear Sirs

      STERLITE INDUSTRIES (INDIA) LIMITED - TERM LOAN FACILITIES AGREEMENT
                    DATED 19 SEPTEMBER 2005 (THE "AGREEMENT")

1.   We refer to the Agreement. This is a Compliance Certificate. Terms defined
     in the Agreement have the same meaning when used in this Compliance
     Certificate unless given a different meaning in this Compliance
     Certificate.

2.   We confirm that:

     (a)  at all times during the Relevant Period, Tangible Net Worth at its
          lowest amount was [_____] and as at the [last day of the Relevant
          Period] the Tangible Net Worth was [_____];

     (b)  at all times during the Relevant Period ended on [____________], the
          maximum ratio of Total Liabilities to Tangible Net Worth was [__]:1
          and as at [last day of Relevant Period], the ratio was [_____];

     (c)  at all times during the Relevant Period ended on [____________], the
          maximum ratio of Total Secured Borrowings to Tangible Net Worth was
          [__]:1 and as at [last day of Relevant Period], the ratio was [_____];

     (d)  for the Relevant Period ended on [____________], the ratio of EBITDA
          to Net Interest Expense was [_____];

     (e)  for the Relevant Period ended on [____________], the ratio of EBITDA
          to the sum for that Relevant Period of (i) the Current Portion of Long
          Term Debt and (ii) Net Interest Expense was [_____].

3.   [We confirm that no Default is continuing.]*

Signed:
        -----------------------------   ----------------------------------------
        Director/authorised signatory   Director/authorised signatory
        of                              of
        Sterlite Industries (India)     Sterlite Industries (India) Limited
        Limited

                                      -67-

<PAGE>

[We have reviewed the Agreement and audited financial statements of the Borrower
for the year ended [_____________].

On the basis of that review and audit, nothing has come to our attention which
would require any modifications to the confirmations in paragraph 2 of the above
Compliance Certificate or which we know to be a continuing Default.

-------------------------------------
for and on behalf of
[name of auditors of the Borrower]]**

----------
*    If this statement cannot be made, the certificate should identify any
     Default that is continuing and the steps, if any, being taken to remedy it.

**   Delete unless certification made in relation to financial covenants is
     calculated by reference to annual audited accounts.

                                      -68-

<PAGE>

                                   SCHEDULE 6

                                   TIMETABLES

"D - "refers to the number of Business Days before the Utilisation Date/the
first day of the relevant Interest Period.

<TABLE>
<S>                                         <C>
Delivery of a duly completed Utilisation          D - 5
Request (Clause 5.1 (Delivery of a             10:00 a.m.
Utilisation Request)) or a Selection
Notice (Clause 9.1 (Selection of Interest
Periods))

Agent notifies the Lenders of the Loans           D - 3
in accordance with Clause 5.4 (Lenders'         1:00 p.m.
participation)

LIBOR is fixed                                Quotation Day
                                            as of 11:00 a.m.
                                              (London time)
</TABLE>

                                      -69-

<PAGE>

THE BORROWER

STERLITE INDUSTRIES (INDIA) LIMITED

Address:   Vedanta, 75, Nehru Road
           Vile Parle (E),
           Mumbai 400099

Fax No:    +91 22 5646 1245

Attention: Sushil Gupta/
           Santosh Maheshwari

By: /s/ Santosh Maheshwari              /s/ A.S. Khandwala
    ---------------------------------   ----------------------------------------

THE MANDATED LEAD ARRANGER

DBS BANK LTD

By:                                     (SIGNED)
    ---------------------------------

ICICI BANK LIMITED, SINGAPORE BRANCH

By:                                     (SIGNED)
    ---------------------------------

SUMITOMO MITSUI BANKING CORPORATION

By: /s/ Hiroshi Kobayashi
    ---------------------------------
    General Manager, Debt Capital
    Markets Department

THE ORIGINAL LENDERS

DBS BANK LTD

By:                                     (SIGNED)
    ---------------------------------

SUMITOMO MITSUI BANKING CORPORATION,
SINGAPORE BRANCH

By: /s/ Masaya Hirayama
    ---------------------------------
    Joint General Manager

                                      -70-

<PAGE>

ICICI BANK LIMITED, SINGAPORE BRANCH

By:                                                         (SIGNED)
    ---------------------------------

ICICI BANK LIMITED, OFFSHORE BANKING
UNIT, MANAMA, BAHRAIN

By:                                                         (SIGNED)
    ---------------------------------

ICICI BANK LIMITED, OFFSHORE BANKING
UNIT, SEEPZ, MUMBAI

By: /s/ G V S Ramesh
    ---------------------------------
    Joint General Manager

THE AGENT

DBS BANK LTD

Address:   6 Shenton Way
           DBS Building Tower One
           Singapore 068809

Fax No:    +65 6324 4427

Attention: Wendy Ke Hui Chong /
           Jeremy Hoong Choy Lai

By:                                                         (SIGNED)
    ---------------------------------

                                      -71-

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