Bharat Coking Coal Ltd IPO

Information relating to its reserve and resource base included in this Red Herring Prospectus are estimates, and the company's actual production, revenues and expenditure with respect to its reserves and resources may differ materially from these estimates. Additionally, certain reserve and resource base information provided in this Red Herring Prospectus has been prepared and classified in accordance with Indian Standard Procedure guidelines (the "ISP Guidelines"), which has not been audited by SRK Mining Services (India) Private Limited ("SRK") and differs from international standards.

The company's mines and washeries are concentrated in Jharia, Jharkhand and Raniganj, West Bengal and the eventual exhaustion of coal reserves in these areas or its inability to successfully exploit existing reserves may adversely affect the company's business, results of operations, financial conditions and cash flows.

A significant portion of its revenues is derived from production of raw coking coal, which accounted for 77.20%, 74.13%, 75.72%, 75.75% and 74.79% of the company's revenue from operations in the six months period ended September 30, 2025 and 2024 and Fiscals 2025, 2024 and 2023, respectively. Any decline in demand for raw coking coal could have an adverse impact on its business, results of operations, financial condition and cash flows.

The companyn has certain contingent liabilities that have been disclosed in the Restated Financial Information (Rs. 35,985.90 million as of September 30, 2025), which if materialize, may adversely affect its business, results of operations, financial condition and cash flows.

The company is dependents upon the pricing and continued supply of raw materials, the costs and supply of which can be subject to significant variation due to factors outside its control.

The company's business largely depends upon its top 10 customers which accounted for 83.89%, 82.46%, 88.88%, 80.79% and 83.10% of the company's revenue from operations in the six months period ended September 30, 2025 and 2024 and Fiscals 2025, 2024 and 2023, respectively. The loss of any of these customers could have an adverse effect on its business, financial condition, results of operations and cash flows.

The company depends on a limited number of vendors to provide contractual services and any disruptions in their supply of services could adversely affect its business, results of operations, financial condition and cash flows.

A portion of its coal production and coal handling operations are conducted through third party contractors which exposes it to fluctuations in contractual costs and risks relating to the quality of their services.

The company is a wholly-owned subsidiary of Coal India Limited and the company rely on the support and resources provided by Coal India Limited. Any misalignment in strategic priorities or changes in Coal India Limited's overall strategy could affect its long-term planning and operational stability and may have an adverse impact on the company's business, results of operations, financial conditions and cash flows

The company's ability to negotiate coal distribution and allocation is significantly influenced by the regulatory framework established by the Government of India under the New Coal Distribution Policy.