NorNickel GMK · RUS:GMKN
NorNickel GMK — Nornickel — Fact Sheet (2019)
19 slides from NorNickel GMK's fact sheet, 2019
Slide 1: Investing in Sustainable Development
INVESTING IN SUSTAINABLE 2018 DEVELOPMENT
Slide 2: Contents
CONTENTS Group profile 2 Key highlights 4 Business model 6 Key investment projects 8 Mineral base 16 Operating performance 18 Polar Division and Bear Creek 20 Kola MMC 22 GRK Bystrinskoye 24 Norilsk Nickel Harjavalta 26 Products and distribution 28 Energy infrastructure 31 Shareholder information 32
Slide 3: Group Profile
Nornickel www.nornickel.com 2 3 GROUP PROFILE OVERVIEW MINERAL RESOURCES The Norilsk Nickel Group (Nornickel) Mining and Metallurgical Company the Group’s production flow, processing Nornickel operates the unique Talnakh Ore deposit on the Taimyr Peninsula ranking the world’s is Russia’s largest me
Slide 4: Key Highlights
Nornickel www.nornickel.com 4 5 Dividends paid per share in the reported period (USD) Dividend yield (%) 13.6 14.0 KEY HIGHLIGHTS 11.8 7.3 7.2 20.7 18.8 21.3 18.1 7.8 FINANCIAL PERFORMANCE 2014 2015 2016 2017 2018 Capital Investments (USD bn) Revenue (USD bn) Net profit (USD bn) EBITDA (USD bn) EBIT
Slide 5: Business Model
S TA K E H O L D E R S BUSINESS MODEL ISS Rankings MSCI ESG Governance – 3, Government Rating B Environmental – 4, Shareholders Reiterated Social – 3 in March 2019 (1 – lowest risk, 10 – highest risk) Reiterated in May 2019 ISS-Oekom Sustainalytics Score 69 (out of 100) Rating C- (medium) Raised Rei
Slide 6: Key Investment Projects: GRK Bystrinskoye
Nornickel www.nornickel.com 8 9 MINING / PROCESSING PROJECTS GRK Bystrinskoye KEY INVESTMENT PROJECTS GRK Bystrinskoye (Bystrinsky GOK / Chita Project) is Nornickel’s new mining project producing copper and gold (as well as iron) concentrates. This is the largest greenfield project realized in the R
Slide 7: Upgrade of Talnakh Concentrator; Development of the South Cluster
Nornickel www.nornickel.com 10 11 Upgrade of Talnakh Concentrator Development of the South Cluster Talnakh Concentrator is operated The South Cluster is comprised by the Company’s Polar of the Norilsk Concentrator Division. It processes rich, (processing capacity of 9.3 mtpa), cuprous and disseminat
Slide 8: Nickel refinery refurbishment and concentrate shipment facility at Kola MMC
Nornickel www.nornickel.com 12 13 Nickel refinery refurbishment at Kola MMC Construction of a concentrate shipment facility and separating shop at Kola MMC Tank-house #2 of Kola MMC’s The project will involve the upgrade Severonickel Plant produces of Kola MMC's Concentrator cathode nickel. Combined
Slide 9: Skalisty Mine and Sulphur Project
Nornickel www.nornickel.com 14 15 MINING PROJECT ENVIRONMENTAL PROJECT Skalisty mine Sulphur Project at Polar Division Skalisty mine is developed Sulphur Project is a large- by Nornickel’s Polar Division scale environmental project and produces ore from the Talnakh designed to achieve a reduction an
Slide 10: Mineral Base
Nornickel www.nornickel.com 16 17 Minerals reserves Metal grade Contained metal and resourses Ore Ni Cu Pd Pt Au 6 PGM Ni Cu Pd Pt Au 6 PGM as at December 31, 2018 kt % % g/t g/t g/t g/t kt kt koz koz koz koz TAIMYR PENINSULA MINERAL BASE Proven and probable reserves 683,625 0.92 1.73 4.23 1.12 0.2
Slide 11: Operating Performance
Nornickel www.nornickel.com 18 19 OPERATING PERFORMANCE Production assets overview Ore output (mt) MINING CONCENTRATION SMELTING REFINING PRODUCT OFFERINGS Asset 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Russian assets Mines: (copper-nickel Cuprous and disseminated Low grade ores Blister sul
Slide 12: Polar Division and Bear Creek
Nornickel www.nornickel.com 20 21 Selected Facts about Norilsk POLAR DIVISION 45 days t Mined ore (mt) AND BEAR CREEK November 30 - January 13 8 months m the average duration average monthly of the polar night temperature below zero 7 3 . in 2 0 1 8 68 days 2 mt 1 May 19 - July 25 Polar Division ove
Slide 13: Kola MMC
Nornickel www.nornickel.com 22 23 Saleable metal production KOLA MMC 158 83 2018 157 81 Mined ore (mt) t 2017 131 70 m Overview Products 2016 9 7. n 2 125 63 8 Kola MMC is Nornickel's wholly-owned subsidiary that is fully integrated upstream into Polar •• nickel cathodes and carbonyl; 1 2015 0 Divi
Slide 14: GRK Bystrinskoye
Nornickel www.nornickel.com 24 25 2018 GRK BYSTRINSKOYE Mined ore Overview Products 7.9 mt The number of employees GRK Bystrinskoye (50.01%-owned) is Nornickel’s new mining and processing project, which produces copper and gold (as well as iron) concentrates. In 2018, Bystrinsky GOK •• •• copper c
Slide 15: Norilsk Nickel Harjavalta
Nornickel www.nornickel.com 26 27 Saleable metal production NORILSK NICKEL HARJAVALTA 61 18 58 11 2018 2018 60 13 42 10 2017 2017 54 10 64 22 Overview Products 2016 2016 43 13 78 33 Harjavalta nickel refinery was acquired by the Group in 2007 (100%-owned). Harjavalta nickel and cobalt feedstock to a
Slide 16: Products and Distribution
Nornickel www.nornickel.com 28 Distribution network PRODUCT RANGE PRODUCTS In 2018, Nornickel maintained its reputation discussions with potential partners In response to strong growth of demand Kola MMC as a reliable supplier of high quality in the battery market to expand its product by battery ma
Slide 17: Energy Infrastructure and Shareholder Information
Nornickel Nornickel www.nornickel.com 31 32 33 Eurobonds Eurobonds Eurobonds Eurobonds Eurobonds ENERGY INFRASTRUCTURE SHAREHOLDER INFORMATION Instrument 2020 (LPN) 2022 (LPN) 2022 (LPN) 2023 (LPN) Issue size USD 1,000 mln USD 500 mln USD 1,000 mln USD 1,000 mln Coupon rate 5.55% 3.849% 6.625% 4.10%
Slide 18: Metal Products and Uses; Consumption Trends
Nornickel www.nornickel.com 34 35 METAL PRODUCTS AND USES CONSUMPTION TRENDS LONG TERM TRENDS SUPPORTING CONSUMPTION GROWTH FOR NORILSK NICKEL METAL BASKET Current consumption trends Prospective consumption trends Ni nickel Cu copper Pd palladium Pt platinum Rising global stainless steel demand in C
Slide 19: Metals Content in Vehicles
Nornickel 36 METALS CONTENT IN VEHICLES METALS CONTENT BY LIGHT VEHICLE TYPE Gasoline Diesel Hybrid incl. PHEV BEV FCEV CAGR 0% 0% +27% +26% +21% Market Share 61% 17% 17% 6% <1% Stainless Steel & Parts +Batteries Ni 2-3 kg 2-4 kg 2-4 kg 5-15 kg 30-110 kg Wires & Parts +Electric Motor, Generator Wi