Essar Steel Algoma Inc provide the following corporate update. The Board of Directors has initiated a search for a new Chief Executive Officer.

Mr Kalyan Ghosh CCO will continue to serve the Company as Chief Executive Officer on an interim basis.

The Board of Directors further advises that the Essar Group remains fully committed to the ongoing success of Essar Steel Algoma.

Management remains focused on a variety of initiatives to improve margins and manage liquidity in the near and long term.

Essar Steel Algoma is an integral part of the Essar Group's North American strategy which includes Essar Steel Minnesota LLC, a 7 million ton per annum iron ore project at a total capital outlay of USD 1.7 billion, and Trinity Coal, an operating metallurgical coal miner in West Virginia.

In addition, Essar Steel Algoma, in partnership with Essar Steel Minnesota LLC is pleased to announce they will host Investor Days in Hibbing, Minnesota and Sault Ste. Marie, Ontario on December 10-11, 2012 respectively.