Metro Mining Limited · ASX:MMI
Metro Mining — Sydney RIU Conference 2024
18 slides from Metro Mining's conference presentation, May 9, 2024
Slide 1: Investor Update - Sydney RIU Conference
NOT FOR DISTRIBUTION IN THE US For personal use only ASX: MMI Investor Update- Sydney RIU Conference May 2024
Slide 2: Disclosures
Disclosures IMPORTANT INFORMATION The purpose of this presentation is to provide general information about Metro Mining Limited (Metro or the Company) and it subsidiaries and business. NO OFFER OF SECURITIES This presentation is for information purposes only and does not constitute or form any part
Slide 3: 7+ million WMT, low-cost, high-grade, Australian bauxite producer
ASX MMI: 7+ million WMT, low-cost, high-grade, Australian bauxite producer – unique to ASX Clear vegetation & Return overburden & replace remove overburden topsoil - then revegetate Large-scale, high-quality resource For personal use only ▪ “Weipa” style bauxite from well-known West Cape York platea
Slide 4: Highly experienced team with strong culture of safety, community and sustainability
Highly experienced team with strong culture of safety, community and sustainability Executive Leadership Team Board of Directors Diverse Broader Team Simon Wensley, CEO & Managing Director Douglas Ritchie, Independent Non-Executive For personal use only ▪ 34 years experience Chair ▪ 40 years experie
Slide 5: Corporate snapshot prior to equity to debt raise on 1 May 2024
ASX MMI: Corporate snapshot prior to equity to debt raise on 1 May 2024 Share Price Performance – Since Jan ‘224 Shares on Market A$ Share Price1 $0.050 Issue Capitalisation For personal use only $0.046 A$0.046 4,842 million A$222.7 million $0.040 Performance Warrants2 Rights $0.030 124.6 million 11
Slide 6: Expansion provides pathway to lowest global delivered cost supplier to China
7 Mt/a expansion provides pathway to lowest global delivered cost supplier to China within steepening cost curve China Seaborne Bauxite Supply and Costs 2022 and 20261 For personal use only 100 2022 2026 90 80 2026 2022 70 US$/DMT CIF Shandong 60 50 40 30 20 10 0 0 50 100 150 200 Supply (MT) 1st Qua
Slide 7: Unique exposure to Australian bauxite at operational inflection point
Unique exposure to Australian bauxite at operational inflection point Rare opportunity: large scale resource, simple operation, pathway to lowest cost supplier to China in 2026 1 7+ million WMT, low-cost, high-grade, Australian bauxite producer – unique to ASX For personal use only 2 Global Aluminiu
Slide 8: Global Aluminium demand expected to rise by ~40% by 2030
Global Aluminium demand expected to rise by ~40% by 20301 Aluminium central to long-term renewable energy generation/storage, Global Aluminium demand expected to rise by ~40% by 20301 Electric Vehicles (EVs) and electrification thematics 35 2020 2030 For personal use only ▪ Transitioning the world t
Slide 9: Robust supply / demand backdrop for bauxite price
Robust supply / demand backdrop for bauxite price ▪ China imports a good proxy for APAC traded market Australian bauxite price around US$55/DMT+, up 39% since Jan ’221 ▪ Record bauxite imports to China in 2023, up 13% y-o-y 75 AUS HT GUINEA LT ▪ Indonesia has ceased all bauxite exports, constraining
Slide 10: Offtake underpins expanded production: 6.9 M WMT contracted in 2024
Offtake underpins expanded production: 6.9 M WMT contracted in 2024 New contracts with Lubei Chemical and a leading Aluminium producer add to existing baseload customers for 2024 offtake of 6.9 Mt For personal use only ▪ Longstanding baseload customers Xinfa Contract offtake - Xinfa Group and Xiangs
Slide 11: Track record of 6.0+ M WMT run-rate, guiding to 6.3 to 6.8 M WMT in 2024
Track record of 6.0+ M WMT run-rate1, guiding to 6.3 to 6.8 M WMT in 2024 Production Output (7 Day Rolling Average)2,3 30,000 For personal use only 7 Mt /a run rate 25,000 6 Mt /a run rate 20,000 5 Mt /a run rate Guidance Range 15,000 2024 2023 2022 10,000 5,000 0 Mar 24 Apr 24 May 24 Jun 24 Jul 24
Slide 12: 7+ million WMT capacity operational by end of Q2 2024
7+ million WMT capacity operational by end of Q2 2024 MINING & HAULAGE SCREENING BARGE LOADING TOWAGE TRANSHIPPING 7.5 Mt/a 9 Mt/a 8 Mt/a 7.5 Mt/a 9 Mt/a For personal use only OPERATIONAL NOW OPERATIONAL: MAY ‘24 OPERATIONAL NOW OPERATIONAL NOW OPERATIONAL NOW Mining HME: 9 Mt/a Screen loading: 9 Mt
Slide 13: Cash generation inflection point: on-track to achieve average site EBITDA of A$15/WMT
Cash generation inflection point: on-track to achieve average site EBITDA of A$15/WMT in 2024 Economies of scale & evolution of freight book drives forecast margin potential up For personal use only $70 $68 $60 Current Spot Cargo Price $57 $5 2023 2H Average Pricing $53 $50 DFS Pricing $6 $6 $21 $40
Slide 14: Strong, simplified, flexible balance sheet post equity for debt raise
Strong, simplified, flexible balance sheet post “equity for debt” raise: Senior debt repayments due from Mar ’25 Capital raising significantly strengthens balance sheet For personal use only Net Junior Debt Accelerated debt repayments Mar ‘24 Warrants Proceeds of Pro Forma Repayment Offer ▪ $25m rep
Slide 15: Debt reduction raise frees up cash flow to pursue value-creation opportunities
This debt reduction raise frees up cash flow & resources to pursue potential value-creation opportunities earlier Strategic Target Latent capacity in key ▪ Mining assets, new OFT Ikamba and wobbler screening circuit have significant latent capacity 0.5 M WMT/a For personal use only areas of flow she
Slide 16: Ikamba – Offshore Floating Terminal Commencement of Operations
Ikamba – Offshore Floating Terminal Commencement of Operations For personal use only 16 | ASX : MMI | May 2024 I
Slide 17: Welcome to Ikamba Ceremony – May 2024
Welcome to Ikamba Ceremony – 1 May 2024 For personal use only 17 | ASX : MMI | May 2024 I
Slide 18: For Further Information Contact
For personal use only For Further Information Contact: Investor Relations: Peter Taylor Peter@nwrcommunications.com .au Ph: +61 (0) 4120 3631 Company Secretary: Robin Bates info@metromining.com.au Ph: +61 (0) 7 3009 8000