Slide 1: 2022 Half-Year Financial Results Investor Presentation
ASX ANNOUNCEMENT Monday, 29 August 2022 2022 Half-Year Financial Results Investor Presentation Accompanying this release is a presentation summarising the financial results for the six months ended 30 June 2022 for 29Metals Limited (‘29Metals’ or, the ‘Company’) and its controlled entities. The info
Slide 2: 2022 Half-Year Financial Results
2022 Half-Year Financial Results Peter Albert Managing Director & Chief Executive Officer Peter Herbert Chief Financial Officer 29 August 2022
Slide 3: Important information
Important information The information in this presentation is provided for general information regarding 29Metals Limited (the ‘Company’) and its subsidiaries (together with the Company, ‘29Metals‘). Material information in this presentation has principally been derived from the Appendix 4D and Half
Slide 4: Highlights
Highlights Production & Costs Projects Growth 34kt Cu-eq 2 Production de-risking Successful campaigns C1 Costs US$2.38/lb 2 Ventilation upgrades at both operating sites Gossan Valley & Cervantes studies on track Paste plant construction at Golden Grove Excellent Esperanza South & Cervantes r
Slide 5: Sustainability & ESG
Sustainability & ESG At 29Metals, we believe that Sustainability and ESG must be part of everything we do, not something we do Safe and Responsible Partnering 29Metals’ first Sustainability & ESG report published with 2021 Annual Report inclusive workplace environmental stewardship with stakeholde
Slide 6: Basis of Preparation
Basis of Preparation HY22 Financial Results released today for 29Metals: REPORTING PERIOD PRIOR CORRESPONDING PERIOD 4 (6 months to 30-Jun-22) (6 months to 30-Jun-21) Statutory Statutory Pro forma 1, 6 Results for the 29Metals Group 2 for the Results for the Golden Grove Group 3 for Prepared a
Slide 7: Financial Performance Summary
Financial Performance Summary Stronger production, higher prices and strong cashflow generation Revenue 1 of $356m a 23% increase on 2021 pro forma 2 revenues ― Higher production, favourable prices, weaker Australian dollar EBITDA 3 of $94m a 23% increase on 2021 pro forma 2 EBITDA Operating c
Slide 8: Sales Mix and Metal Production
Sales Mix and Metal Production Improvement in copper and zinc production relative to prior corresponding period on a pro forma 1 basis Sales Mix (HY2022) 2 Copper & Zinc Production 29 30 79 47 Cu Zn Au Ag Copper (kt) 39 – 46 3 41 25 18 19 43% 10 10 16 Golden 5% 7 10 11% Grove HY2021 HY2022 2021 2022
Slide 9: Costs Control
Costs Control Cost discipline in challenging business environment Site Operating Costs 1 13% higher than 2021 pro forma 2 a result of: ― Higher mining (3%) and milling (8%) tonnes relative to 2021 pro forma outcomes; and ― Industry-wide cost inflation pressures ~11% reduction in pro forma 2 C1 C
Slide 10: Pro forma EBITDA Bridge
Pro forma EBITDA Bridge 1 Improvement in pro forma EBITDA supported by increased production and pricing partly offset by higher costs 25 9 67 Increased 11 1 3 activity and external cost pressures Higher volumes, metals prices Lower AUD Off-site and unit freight administration $m costs costs Increase
Slide 11: Cash Bridge
Cash Bridge Increase in cash supported by production and prices as well as timing of sales 62 109 5 21 Mine development, $m TSF, paste plant Includes Depreciation of and exploration AASB16 lease the AUD on US$ Strong operating accounting of cash balances margins for the $16m Reporting Period Net of
Slide 12: Net Cash Position
Net Cash 1 Position Strong cash generation from improved performance and higher commodity prices US$150m term loan increased to $213m (31-Dec-21: $201m) due to AUD depreciation ― Repayments to commence second half 2022 Provision for stamp duty of $26m maintained at 30-Jun-22 Strong cash positi
Slide 13: Hedging Position Update
Hedging Position Update Full exposure to copper prices from Dec-Qtr Outstanding copper hedges $8,999 Cu price (A$/t) Remaining copper hedges to settle in the Sep-Qtr 2022 Cu tonnes ― 3,204 tonnes @ $8,999/tonne 1 ― No copper hedges in place beyond the Sep-Qtr in 2022 3,204 Remaining gold hedges
Slide 14: HY22 Financial Results Summary
HY22 Financial Results Summary Higher production delivered increased revenues and reduced operating unit costs Cost discipline in the face of significant industry-wide cost pressures Cashflow generation delivered a Net Cash 1 position, maintaining balance sheet strength First dividend of 2cps, fully
Slide 15: Appendix
Appendix
Slide 16: Definitions of Non-IFRS Financial Information Metrics
Definitions of Non-IFRS Financial Information Metrics METRIC DEFINITION Adjusted EPS is adjusted earnings per share, and is calculated using Adjusted NPAT divided by the weighted average number of ordinary shares outstanding for the period. is NPAT for the year attributable to members adjusted for n
Slide 17: Reconciliation of Non-IFRS Financial Information Metrics
Reconciliation of Non-IFRS Financial Information Metrics RECONCILIATION OF ADJUSTED NPAT TO NPAT STATUTORY PRO FORMA 1 For the 6 months ended 30 June UNITS 2022 2021 VAR 2021 VAR NPAT #039;000 390 0 390 (13,212) 13,602 Add: Increase in net assets attributable to the partners in GGLP #039;000 0 14,955 (14,
Slide 18: Unlocking value to empower the future
Unlocking value to empower the future 17