Slide 1: Bayside Aluminium Presentation to Analysts
-1- Bayside Aluminium Presentation to Analysts 29 March 2006
Slide 2: Disclaimer
-2- Disclaimer The views expressed herein contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. Any forward-looking information in this presentat
Slide 3: Bayside Products – Rolling Ingot/Slab
-3- Bayside Products – Rolling Ingot/Slab Rolling Ingot /Slab represents almost half of Bayside’s production.
Slide 4: Bayside Products - Rod
-4- Bayside Products - Rod Rod is used in the overhead power line industry as well as for de- oxidising material in the steel industry
Slide 5: Bayside Products – Extrusion Ingot/Billet
-5- Bayside Products – Extrusion Ingot/Billet Extrusion Ingot/Billet is used to produce extruded products for the building industry.
Slide 6: Bayside Products – Foundry Alloy/Rim
-6- Bayside Products – Foundry Alloy/Rim Foundry Alloy / Rim is produced for the Automotive wheel industry
Slide 7: Bayside Key Messages
-7- Bayside Key Messages • Continued focus on sustainability • System in transformation – Potline A outage recovery – Metal quality has improved – Focussed on replicating improvement throughout system
Slide 8: Safety
Jul-03 Safety Sep-03 Nov-03 Felt leadership Jan-04 Bayside Mar-04 Behavioural Based Safety May-04 Jul-04 Sep-04 Nov-04 Hillside 12MMA TRIFR Jan-05 Mar-05 May-05 Jul-05 Mozal Sep-05 Nov-05 Jan-06 0 2 4 6 8 10 12 14 -8-
Slide 9: Environment – SO2 emissions
-9- Environment SO2 emissions 7000 6300 6000 5000 4011 3925 3913 3958 4032 3831 4000 Tonnes 3462 3000 2000 1000 0 FY00 FY01 FY02 FY03 FY04 FY05 YTD
Slide 10: Health
-10- Health • HIV/Aids - Peer Educator Training – May 06 - Voluntary Confidential Counselling and Testing Campaign – June 06 - Line Management Training – August 06 - Medical Staff Training – August 06 • Employee Wellness Program
Slide 11: Community
-11- Community In excess of 250 employees have participated in community projects Projects Team at Phakamisani Crèche
Slide 12: Community
-12- Community HSE & General Management Teams at Ethembeni Care Centre
Slide 13: Community
-13- Community Maintenance team at Bevie’s Crèche and Orphanage
Slide 14: Key Metric - Metal Quality
-14- Key Metric - Metal Quality • Two potlines – Reduction A – Reduction B&C • Significant improvement achieved • Bayside is operating around world’s best levels for similar technology.
Slide 15: Metal Quality: Reduction B&C
-15- Feb-06 1515 1605 Jan-06 Benchmark 1758 Dec-05 Nov-05 Oct-05 Sep-05 Aug-05 Metal Quality: Reduction B&C Jul-05 Jun-05 May-05 4734 Apr-05 3,655 2005 2,352 2004 5000 4500 4000 3500 3000 2500 2000 1500 1000 Monthly average Fe; ppm
Slide 16: Metal Quality: Reduction A
-16- 634 Feb-06 Benchmark 600 Jan-06 700 Dec-05 Nov-05 Oct-05 Sep-05 Aug-05 4260 Jul-05 Jun-05 Metal Quality: Reduction A May-05 Apr-05 Mar-05 Feb-05 1660 Jan-05 1,927 2005 1,100 2004 4500 4000 3500 3000 2500 2000 1500 1000 500 0 Monthly average Fe; ppm
Slide 17: Production Volume
-17- Production Volume 190 184 184 185 182 180 180 178 177 178 174 tonnes '000 174 175 170 166 165 160 155 FY96 FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05
Slide 18: EBIT Fiscal Year 1997 – 2005
-18- EBIT Fiscal Year 1997 – 2005 60 57 50 50 48 42 42 40 28 US$m 30 24 21 21 20 10 0 FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05
Slide 19: Cost Structure
-19- Cost Structure Other Consumables 3% Alumina & Power 11% Maint. & Sust. Capex 45% 8% Contractors 5% Labour 12% Pot Relining Other raw materials 8% 8% Fixed cost Variable cost
Slide 20: Cash Cost Index
-20- Cash Cost Index 140 120 100 80 60 FY01 FY02 FY03 FY04 FY05 LME3 Cash Cost per tonne (Indexed to 100 – Base FY01)
Slide 21: Cost Management
-21- Cost Management Pressure Mitigate • Raw materials costs • Global sourcing • Long term contracts • Blending & usage strategies • Power cost • Long term price linked contracts • Optimisation of power efficiency • Labour costs • Labour and contractor productivity increased • Product diversificatio
Slide 22: Pot Relining in ASA
-22- Pot Relining in ASA $ Million 90 80 70 60 50 40 30 20 10 0 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 Bayside Hillside Mozal
Slide 23: 2005 Cash Cost Curves By Asset
-23- 2005 Cash Cost Curves By Asset (Source Brook Hunt) Aluminium Bayside B&C Bayside A Mozal
Slide 24: Key Messages
-24- Key Messages • Sustainability is key • Quality indicators are at benchmark levels • Now focussing on replicating this performance throughout the organization • Represents upside potential
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