Slide 1: www.bayan.com.sg
www.bayan.com.sg 0
Slide 2: Overview
Overview Market prices have increased significantly and are currently forecast to remain strong throughout the remainder of 2022. 1H 2022 revenue and average selling price (“ASP”) above Budget. Operationally 1H22 was a challenging quarter with the Government of Indonesia’s export ban and signi
Slide 3: Bayan's Financial and Operational Performance
Bayan’s Financial and Operational Performance 2020 2021 1H21 1H22 Financial Performance (In Million USD) Revenue 1,395.1 2,852.2 1,023.7 2,005.0 Gross Profit 462.9 1,901.1 591.7 1,450.2 EBITDA 356.7 1,743.0 528.7 1,326.4 Net Profit After Tax * 1 344.5 1,266.0 359.0 1,008.0 Financial Ratios Gross Pro
Slide 4: One of the Largest Coal Producers
One of the Largest Coal Producers 1H22 Production Bayan is ranked 4th by production and sales volumes in Indonesia. 40 34.5 35 Even though we expect 2H 2022 Million Tonnes 30 28.0 25 17.6 production to be higher than 1H 20 16.9 15 16.4 15.9 2022, Bayan’s sales volumes will 10 7.7 remain at simil
Slide 5: Low Cost Incremental Growth
Low Cost Incremental Growth Capex Intensity by Country (1) Construction of the new haul road Tabang Capacity Growth commenced in December 2019 250 60+ 218 and is progressing albeit behind …Unlocking tangible capacity schedule. 207 200 30+ upside at ~US$13/ton 175 discretionary growth Capex 159 161
Slide 6: One of the Lowest Cost Producers in Indonesia
One of the Lowest Cost Producers in Indonesia Global Cost Competitive Positioning Tabang is independently rated as one of the worlds lowest cost energy-adjusted producers of seaborne thermal coal. Tabang has large reserves and a very low Life of Mine (LOM) stripping ratio of 4.3. A new JORC re
Slide 7: And One of the Highest Margin Producers in Indonesia
And One of the Highest Margin Producers in Indonesia 1H22 EBITDA Margin (%) Over the last few years, Bayan 70 66.2 66.0 has transformed itself into one of 60 50.1 the highest margin producers in 50 45.6 40.8 Indonesia. 40 30 This is due to the ramp up of its 20 world class Tabang coal complex, 1
Slide 8: Deleveraged the Group
Deleveraged the Group Net Debt / EBITDA In January 2020, the Company x issued a 3 year Non-Call Life “NCL” 8 bond of US$ 400 million to ensure 5.8x 6 adequate liquidity going forward. 4 2.6x In 4Q21 Bayan fully prepaid all the 2 0.1x 0 0.5x 0.1x outstanding Bonds. (0.6)x (0.7)x (0.2)x 0 2015 201
Slide 9: 2Q 2022
2Q 2022 Overburden Removal Coal Production Weighted Average Strip Ratio Average Cash Costs Coal Sales Average Selling Price Committed & Contracted Sales EBITDA Debt and Cash Position Capital Expenditure 8 www.bayan.com.sg
Slide 10: Overburden Removal (OB)
Overburden Removal (OB) (million BCM) 50 2Q22 OB of 37.8 million BCM was 40 36.1 39.0 37.8 slightly lower than the Budget due 30.4 to higher rainfall. 30 2Q22 OB was higher than 1Q22 20 due to Tabang site principally 10 completed rectification work on the geotechnical slippage and the 0 fast tra
Slide 11: Coal Production
Coal Production (million MT) 12 9.9 2Q22 coal production of 9.9 million 9.4 10 9.0 MT was higher than the Budget and 8 6.9 1Q22 as Tabang improved performance to catch up for the 6 production loss in 1Q22 as we 4 focused on expanding Pakar North. 2 0 2Q21 1Q22 2Q22B 2Q22 Note : B stands for Budget
Slide 12: Weighted Average Stripping Ratio (SR)
Weighted Average Stripping Ratio (SR) 6 5 2Q22 weighted average stripping 4.4 4.0 4.1 3.8 ratio was lower than the Budget 4 and 1Q22 due to: 3 Lower SR at TSA/FKP due to 2 change in mine sequence. 1 0 Expansion of Pakar North in 2Q21 1Q22 2Q22B 2Q22 low SR areas. Note : B stands for Budget Fig
Slide 13: Average Cash Costs (Budget vs Actual)
Average Cash Costs (Budget vs Actual) 45 40.8 2Q22 Cash Costs were higher than 40 35.4 Budget due to: 35 30 Higher royalties due to (US$ / MT) 25 significantly higher ASP. 20 15 Annual bonus paid in 2Q22 whilst 10 the Budget spread the cost over 5 the whole year. 0 2Q22B 2Q22 Higher unit cos
Slide 14: Average Cash Costs (2Q22 vs 1Q22)
Average Cash Costs (2Q22 vs 1Q22) 40.8 2Q22 Cash Costs of US$ 40.8/MT were 40 37.4 higher than 1Q22 of US$ 37.4/MT due to: 35 30 27.5 Full bonus paid in 2Q22 whilst only partial accrual in 1Q22. (US$ / MT) 25 20 Higher royalty due to higher ASP 15 than 1Q22. 10 5 Higher unit costs of coal pu
Slide 15: Coal Sales (by volume)
Coal Sales (by volume) 12 (million MT) 10 9.1 10.4 9.5 2Q22 coal sales volumes of 9.5 8 7.8 million MT were lower than the Budget but higher than 1Q22 due 6 to improved performance at 4 Tabang especially at Pakar North. 2 0 2Q21 1Q22 1Q22B 2Q22 Group inventory levels low at 2.4 Note : B stands f
Slide 16: Coal Sales (by volume) (continued)
Coal Sales (by volume) (continued) Geographic Distribution (1H22) – by Volume The Company is focusing on Per Region Per Country continuing to build its long term North Vietnam Others contracts to Indonesian and Domestic Asia Malaysia 4% 5% other South East Asian IPP’s. 19% Philippines 27% 5% 30% B
Slide 17: Average Selling Price (ASP)
Average Selling Price (ASP) 2Q22 ASP of US$ 127.9/MT was 140 127.9 significantly higher than the Budget 120 and 1Q22 due to market prices 101.0 continuing to strengthen. 100 (US$ / MT) Forecasts by Wood Mackenzie as per 80 July 2022 were for market prices to 65.9 57.6 remain strong, at an averag
Slide 18: EBITDA
EBITDA 1,000 2Q22 EBITDA was significantly 831.9 800 higher than the Budget and 1Q22 due to significantly higher ASP 600 494.5 partially offset by higher cash cost. 317.7 400 273.9 200 2Q22 EBITDA was the best quarter ever in the history of Bayan. 0 2Q21 1Q22 2Q22B 2Q22 Note : B stands for Budge
Slide 19: Total Debt and Cash Position
Total Debt and Cash Position Issued US$ 400 million 3NCL 1600 Bonds at 6.125% coupon on 24 January 2020. 1400 1,346.7 Bayan fully repaid the Bond in (in million US$) 1200 2021. 994.8 1000 Working capital facilities of 800 approximately US$ 280 million 600 620.2 remain available. 547.9 400 338.
Slide 20: Capital Expenditure
Capital Expenditure 2Q22 Capex was US$ 47.2 million, 120 which was below the Budget 97.7 (US$ 71.9 million) due to slower 100 than Budgeted progress on the new Tabang 100km coal hauling road 80 69.8 71.9 and overland conveyor (“OLC”) In Million USD 60 55.8 56.1 facilities primarily as a result of
Slide 21: Appendix
Appendix PT Perkasa Inakakerta PIK PT Teguh Sinarabadi TSA PT Firman Ketaun Perkasa FKP PT Wahana Baratama Mining WBM PT Brian Anjat Sentosa BAS PT Bara Tabang BT Tabang PT Fajar Sakti Prima FSP PT Dermaga Energi DE North PT Tanur Jaya TJ Pakar PT Tiwa Abadi TA PT Silau Kencana SK PT Orkida Makmur O
Slide 22: Appendix
Appendix Kangaroo Resources Pty Ltd KRL PT Dermaga Perkasapratama DPP PT Indonesia Pratama IP PT Muji Lines Muji PT Bayan Energy BE PT Metalindo Prosestama MP PT Sumber Aset Utama SAU PT Karsa Optima Jaya KOJ PT Gunungbayan Pratamacoal GBP 21 www.bayan.com.sg
Slide 23: Disclaimer
Disclaimer This presentation contains forward-looking statements based on assumptions and forecasts made by PT. Bayan Resources Tbk management. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are base
Slide 24: Thank You
Thank You 23 www.bayan.com.sg