Energy Resources Of Australia Ltd. Class A · ASX:ERA
Energy Resources Of Australia Ltd. Class A — FY2009 Earnings Presentation
16 slides from Energy Resources Of Australia Ltd. Class A's earnings presentation, Jan 29, 2010
Slide 1: 2009 Full Year Results
2009 Full Year Results Presentation to the Financial Community For personal use only Rob Atkinson – Chief Executive Steeve Thibeault – Chief Financial Officer 29 January 2010 1
Slide 2: Acknowledge Traditional Owners
Acknowledge Traditional Owners For personal use only The mining operations of Energy Resources of Australia Ltd (ERA) are located on Aboriginal land and are surrounded by, but separate from, Kakadu National Park. ERA respectfully acknowledges the Mirarr, Traditional Owners of the land on which the R
Slide 3: Forward-looking statements
Forward-looking statements For personal use only This presentation contains statements which may include predictions as to the future, and which may constitute forward-looking statements within the meaning of Australian or US securities laws. Such statements include, but are not limited to, statemen
Slide 4: Key achievements
Key achievements For personal use only Record sales Record underlying earnings Record dividends Record safety performance Environment remained protected Record Indigenous employment Education partnership with the Northern Territory Department of Education and Training 4
Slide 5: Agenda
Agenda For personal use only Safety People and community Operational performance Financial performance Exploration and evaluation Outlook 5
Slide 6: Safety
Safety For personal use only All Injury Frequency Rates 5 4.5 4.20 Freqency rate (per 200,000 hrs worked) 4 3.5 3 2.54 2.5 1.84 2 1.5 1.00 1.01 0.68 1 0.5 0 2004 2005 2006 2007 2008 2009 6
Slide 7: People and community
People and community For personal use only Indigenous employment • ‘’…during the year there were no reported incidents 120 20 that resulted in any environmental impact off the Ave No. Ind employees 18 immediate minesite. The extensive monitoring and % Ind employees 99 100 research programs of the Su
Slide 8: Operational performance
Operational performance For personal use only 2009 2008 Change Material mined (million tonnes) 19.5 20.2 -3% Ore mined (million tonnes) 2.2 3.5 - 37 % Ore milled (million tonnes) 2.3 2.0 + 14 % Average mill head grade (%) 0.26 0.30 - 13 % Mill recovery (%) 88.3 88.3 - Production – U3O8 - tonnes 5,24
Slide 9: Financial overview
Financial overview For personal use only 2009 2008 Change Net profit after tax - $ million 272.6 221.8 + 23 % Underlying earnings - $ million 272.6 119.0 + 129 % Income - $ million 780.6 691.8 + 13 % Revenue from sales of uranium oxide - $ million 767.8 495.6 + 55 % Net cash flow - $ million 146.8 8
Slide 10: Net profit after tax bridge 2008 to 2009
10 For personal use only AUD $m 200 250 300 350 400 450 2008 222 12 Hedges Price 196 Insurance Rec 131 Net profit after tax 14 Sales Volume 8 Exchange 8 Chge in inventory Labour 10 Royalties 12 14 Depreciation Financing 32 4 Tax & other 2009 273
Slide 11: Sales of uranium oxide
Sales of uranium oxide For personal use only 60.00 6,000 • Contracts are generally: 50.84 50.00 Price 5,800 - 3 to 5 years in duration Volume Sales volume (tonnes) Price (US$ / pound) 5,600 - First delivery 2 to 4 yrs after 40.00 32.53 agreement 5,400 30.00 25.06 5,200 18.36 20.00 16.00 • Contracts
Slide 12: Sales of uranium oxide
Sales of uranium oxide For personal use only 6000 5000 4000 2,562 3,351 2,688 3,124 3,526 3,217 1st Half tonnes 3000 2nd Half 2000 2,254 3,000 3,198 2,200 1,746 2,280 1000 0 2004 2005 2006 2007 2008 2009 12
Slide 13: Capital expenditure
Capital expenditure For personal use only 180 160 Health, Safety & Environment 19 140 Sustaining Development 53 120 100 $ million 18 80 60 37 95 40 3 13 7 20 46 38 25 21 8 5 0 2004 2005 2006 2007 2008 2009 13
Slide 14: Cash flow 2008 to 2009
14 For personal use only $ million -50 0 50 100 150 200 -150 -100 89 2008 Insurance Cash flow 188 recovery Financing 29 Costs Reciepts 127 23 Payments Tax 101 Capex 128 Financing 98 Activities 12 Dividends 2009 147
Slide 15: Exploration and evaluation
Exploration and evaluation For personal use only Heap leach facility project • Strong dedicated team in place • Work continues on the proposed heap leach facility • 15,000 to 20,000 tonnes of uranium oxide contained in low grade material • Environmental Impact Statement to be submitted in 2010 Range
Slide 16: Outlook
Outlook For personal use only ERA has exciting development opportunities • Heap leach facility • Potential underground at Ranger 3 Deeps • Further exploration potential 2010 • 2010 production and sales to be broadly in line with recent years • Drummed production and sales significantly weighted to t
Energy Resources of Australia — FY2009 Earnings Presentation on 6ix