Pt Merdeka Copper Gold Tbk · IDX:MDKA
Pt Merdeka Copper Gold Tbk — Credit Suisse 14th ASEAN Conference 2023
36 slides from Pt Merdeka Copper Gold Tbk's conference presentation, Jan 5, 2023
Slide 1: Credit Suisse 14th ASEAN Conference
Click to edit Master textPT styles Merdeka Copper Gold Tbk Credit Suisse 14th ASEAN Conference 5 – 6th January 2023 IDX: MDKA I www.merdekacoppergold.com 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by PT Merdeka Copper Gold Tbk (“Merdeka” or “MDKA”) and consists of written materials/slides for a presentation concerning Merdeka. By reviewing/attending this presentation, you agree to be bound by the following considerations: No representation or war
Slide 3: Portfolio Overview
Portfolio Overview Merdeka controls a portfolio of globally significant assets across Indonesia with group mineral resources of 34.8Moz of gold, 8.5Mt of copper, 13.8Mt of nickel and ~1.0Mt of cobalt Pani Gold Project Ownership: 70% Merdeka Battery Materials (MBM) Status: Early works and detailed fe
Slide 4: Merdeka Corporate Structure
Merdeka Corporate Structure Institutional and Thohir Group Other Shareholders 5% <45% Merdeka Battery Materials1 Base and Precious Metals Business Existing and Future SCM Nickel and AIM Project Wetar Copper Mine Tujuh Bukit Gold Mine Metal Processing Cobalt Mine (80%) (100%) (100%) Facilities Indust
Slide 5: Strong and Sound Financial Position
Strong and Sound Financial Position Merdeka is well positioned as the leading Indonesian mining company with a unique growth pipeline and a track record of value creation for all shareholders 6,000 180.0 Institutional Shareholders include Market Capitalisation / Enterprise Value (USD M) Value 160.0
Slide 6: Delivering Value to Shareholders
Delivering Value to Shareholders Merdeka has a proven track record in project execution and operational performance resulting in sustained growth and value creation for all shareholders +1,325%2 Increase in Market Capitalisation since Future IPO Value Further, significant re- Upside3 US$6.3 billion
Slide 7: 3Q 2022 Financial Highlights
3Q 2022 Financial Highlights Revenue EBITDA 120 Gold Silver Copper NPI 300 105 100 250 78 80 200 161 67 64 US$ M 94 60 US$ M 150 40 100 46 52 44 66 5 4 5 50 3 20 72 67 68 50 - - Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 • 3Q 2022 revenue consists of MBM’s NPI sales of 10,345 to
Slide 8: 3Q 2022 Production Highlights
3Q 2022 Production Highlights Gold Copper Nickel Pig Iron 40 1,100 7.0 3.50 12.0 16,000 37 36 3.27 1,032 1,026 10.4 34 1,050 3.30 35 6.0 5.7 5.8 14,804 14,000 989 10.0 9.7 1,000 5.3 3.01 3.10 9.1 13,967 29 8.9 30 2.87 3.12 12,898 12,000 934 5.0 4.7 950 2.90 12,279 8.0 25 10,000 900 2.70 4.0 US$/oz U
Slide 9: Tujuh Bukit Gold Mine
Tujuh Bukit Gold Mine On track to achieve 2022 guidance of 110,000 – 125,000 ounces of gold at an AISC of US$1,000 – US$ 1,200/oz net of silver credits 37.4koz of gold and 242koz of silver produced and sold at an average price of US$1,727/oz and $18/oz during 3Q 2022 US$73 million revenue achieved d
Slide 10: Wetar Copper Mine
Wetar Copper Mine On track to achieve 2022 guidance of 18,000 – 22,000 ounces of copper at an AISC of US$3.20 – US$3.60/lb 5,842 tonnes of copper produced during the quarter and sold 5,227 tonnes at an average price of US$8,407/t during 3Q 2022 US$44 million revenue achieved during the quarter and U
Slide 11: Tujuh Bukit Copper Project
Tujuh Bukit Copper Project Merdeka has invested US$131 million to date in its wholly owned Tujuh Bukit Copper Project Pre-Feasibility Study which is targeted for completion in 1Q 2023 Pre-Feasibility Study targeting an underground mining scenario of up to 24Mtpa throughout and a copper smelter proce
Slide 12: Competitive “Cycle-Proof” Cost Structure
Competitive “Cycle-Proof” Cost Structure Tujuh Bukit Copper Project is anticipated to be a low-cost, long-life operation with a 1st quartile AISC of US$0.50/lb net of gold credits1 – favourably positioned compared to peer SLC and block caving operations US$/lb 12.0 Underground Open Pit/ Mixed Develo
Slide 13: Pani Gold Project
Pani Gold Project Pani is a significant undeveloped gold resource located across two adjacent mining tenements in Gorontalo Province Sulawesi Pani is expected to become a long-life and low-cost gold mine with the potential to produce 250koz+ per annum of gold for 15+ years Predevelopment constructio
Slide 14: AIM Project
AIM Project AIM is a significant growth opportunity for Merdeka and is well positioned to benefit from the growth in acid demand expected as additional HPAL plants are constructed at IMIP and across Indonesia Wetar IMIP 1 High-grade pyrite (FeS2) AIM feedstock from Step One Step Two Step Three Step
Slide 15: Construction Progress at AIM Project
Construction Progress at AIM Project Construction activities continue to progress with design reaching 98% completion while international procurement reached 75% completion Pyrite Plant Acid Plant Site works completed during the quarter include: • Pyrite Plant: construction activities ahead of sched
Slide 16: Merdeka Battery Materials
Merdeka Battery Materials Merdeka’s acquisition of nickel mining and refining assets firmly establishes it as a vertically integrated, global player in the strategic minerals and EV battery value chain • JORC nickel resource of 1.9b wmt (equivalent to ~1.1b dmt) at 1.22% Ni, containing 13.8Mt nickel
Slide 17: World Class Nickel Resource
World Class Nickel Resource The SCM Mine is one of the world’s largest pre-production nickel resources with containing 13.8Mt of nickel and 1.0Mt of cobalt 2.200 Sudbury 2.000 Pomalaa East Pomalaa 1.800 Tapunopaka Gag Island Bugotu Nakety/Moneo 1.600 Southern Samar Biankouma-Sipilou Weda Bay 1.400 G
Slide 18: Capturing the Entire Nickel Battery Value Chain
Capturing the Entire Nickel Battery Value Chain Merdeka Battery Materials is well positioned to capture most of the nickel value chain Limonite, Acid, Steam, Limestone Limestone Other HPAL SCM Mine AIM Projects Plants Mine 2023 2024 Acid and Steam Limestone MBM EV Battery Value Chain HPALs1 Potentia
Slide 19: MBM Development Strategy
MBM Development Strategy MBM’s various high quality EV value chain assets in Indonesia establishes MBM as a vertically integrated, global player in the strategic minerals and EV battery value chain Map of MBM’s Assets – Central and South East Sulawesi, Indonesia 1 SCM Mine 2 Under Development 3 IMIP
Slide 20: IKIP Development Strategy
IKIP Development Strategy IKIP is in the planning and feasibility phase – the industrial park is focused on HPAL technology, benefiting from SCM Mine’s rich limonite resource IKIP will be built inside SCM’s concession Large Site area (21,100 ha) and is expected to be comparable in size to IMIP HPAL
Slide 21: Commitment to Sustainability
Commitment to Sustainability Merdeka is committed to delivering a 29% reduction in GHG emissions by 20301 and reach Net-Zero Emission by 2050. Merdeka recently signed an agreement with PLN which ensures future electricity used by the Tujuh Bukit Gold Mine will be sourced from renewable energy power
Slide 22: Summary
Summary Established and Experienced Well placed to Strong balance Commitment to proven gold and Board and deliver value to sheet with low sustainability, copper management team shareholders leverage and safety, production with a proven through its ability to access environmental capability on track
Slide 23: For more information, please contact or visit
Click to edit Master text styles For more information, please contact or visit investor.relations@merdekacoppergold.com www.merdekacoppergold.com 23
Slide 24: Appendix
Click to edit Master text styles Appendix 24
Slide 25: Overview of Key Merdeka Shareholders
Overview of Key Merdeka Shareholders Provident and Saratoga have a history of co-investment over many years with a proven track record in building value through multi-billion-dollar companies, as well as attracting blue chip international institutional investors Winato Kartono Hardi Wijaya Liong Gav
Slide 26: Management Team with a Proven Track
Management Team with a Proven Track Albert Saputro Simon Milroy Andrew Starkey Gavin Caudle David Fowler Titien Supeno Eric Rahardja Boyke Abidin Peter Scanlon Luke Morris CEO & Vice Executive President Commercial and Title President Chairman & Director CFO & Director Director External Affairs Const
Slide 27: Merdeka Project Developments Overview
Merdeka Project Developments Overview Merdeka is advancing multiple operations and growth projects through exploration, feasibility study and development phases Prior to 2022 2022 2023 2024 2025 2026 2027 Tujuh Bukit Future annual production guidance of 100,000 to 120,000 ounces of gold Produced fir
Slide 28: Select Merdeka Corporate Developments
Select Merdeka Corporate Developments Since IPO, Merdeka has engaged in a number of value adding acquisitions, as well as attracting blue chip international institutional investors and a consortium of high-quality lenders 2012-18 2019 2020 2021 2022 Sept 2012 Jun 2015 Nov 2020 Merdeka Initial Public
Slide 29: Tujuh Bukit Gold Mine
Tujuh Bukit Gold Mine Production Information Operational & Financial Performance Mining Method Conventional open pit 2019 2020 2021 YTDSep22 Unit Actual Actual Actual Actual Metals Gold and silver Open Pit Mining Ore Mined Mt 7.4 6.7 6.5 6.8 Mineralisation Type High sulphidation epithermal Waste Min
Slide 30: Wetar Copper Mine
Wetar Copper Mine Production Information Operational & Financial Performance Mining Method Conventional open pit 2019 2020 2021 YTDSep22 Unit Actual Actual Actual Actual Metals Copper Open Pit Mining Mineralisation Type Volcanogenic massive sulphide (“VMS”) Ore Mined Mt 2.3 0.5 2.4 1.7 Waste Mined M
Slide 31: Established Partnerships with Global EV Battery Leaders
Established Partnerships with Global EV Battery Leaders Merdeka Battery Materials has strong strategic cooperation with CATL, Tsingshan and Huayou Cobalt, who are all major global players in the EV battery value chain • One of the world’s largest nickel and stainless-steel producers • World’s no.1 E
Slide 32: Indonesia’s Rich Resources and Supportive Government Makes it an Optimal Country for EV
Indonesia’s Rich Resources and Supportive Government Makes it an Optimal Country for EV Indonesia large nickel resource base and strong government support allows it to be the global EV supply chain hub Indonesia Nickel Reserves (m tonnes) Indonesia Nickel Estimated Production Indonesia has the large
Slide 33: World’s Leading EV Players in Indonesia
World’s Leading EV Players in Indonesia Merdeka Battery Materials is well positioned as a leading supplier of EV battery precursors to capture future commercial opportunities with the world’s leading EV players • Launched the first locally made • Announced a US$6bn integrated EV IONIQ 5 in March 202
Slide 34: Competent Person’s Statements
Click to edit Master text styles Competent Person’s Statements 34
Slide 35: Merdeka Competent Person’s Statement
Merdeka Competent Person’s Statement The information in this report which relates to Exploration Activities and Exploration Results is based on, and fairly represents, information compiled by Mr. Zach Casley, BSc (Hons). Mr. Casley is full-time employee of PT Merdeka Copper Gold Tbk. Mr. Casley is a
Slide 36: SCM Mine Competent Person’s Statement
SCM Mine Competent Person’s Statement The information in this report that relates to Mineral Resources is based on information compiled by Mr. Mick Elias and Mr. Dmitry Pertel. Mr. Elias is a part-time employee of CSA Global Pty Ltd and Mr. Pertel is a full-time employee of AMC. Mr. Elias is a Fello
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