Gcm Resources Plc · LSE:GCM
Gcm Resources — Asia Energy — Investor Presentation (November 2005)
14 slides from Gcm Resources's investor presentation, Nov 29, 2005
Slide 1: Phulbari Coal Project
A S I A E N E R G Y PLC Phulbari Coal Project UK November 29th, 2005 1
Slide 2: The Phulbari Coal Project
The Phulbari Coal Project… A S I A E N E R G Y PLC Phulbari Jamuna Bridge Ishurdi Hardinge Bridge Gazipur Dhaka Darshana Chandpur India Khulna Chittagong Mongla Akram point Handymax 40-45kt Panamax 55-70kt 2
Slide 3: Placing
A S I A E N E R G Y PLC Placing… • US$52M (gross) placing through JPMorgan Cazenove • Allocation Preference existing Institutional shareholders • Firm Placing + Conditional Placing EGM • EGM for Conditional Placing 22nd December 3
Slide 4: Reasons for Placing
A S I A E N E R G Y PLC Reasons for Placing… • Fund certain initial Project development activities in order to achieve current mining plans • Mining Equipment: • purchase initial gear site preparation / operator training • deposit for larger equipment join manufacturers’ delivery queue • Resettl
Slide 5: Reasons for Placing
A S I A E N E R G Y PLC Reasons for Placing… • Water Management: – Purchase pumps / associated equipment – Commence dewatering • preparation for mining late 2006 • Administration & Development: – Build Project development team – Detailed mine planning – Production scheduling – Contract preparation 5
Slide 6: Net Placing Proceeds Expenditure
A S I A E N E R G Y PLC Net Placing Proceeds Expenditure… Resettlement & Community Mining Equipment & Deposits US$10M US$23M Administration & Development US$9M Water Management (Dewatering) US$8M TOTAL US$50M (net) approx. 1/3 of Project Expenditure 2006 6
Slide 7: Funding Strategy
A S I A E N E R G Y PLC Funding Strategy… • Life-of-Mine model estimates: – US$1.07B (excl. financing costs) required before Project reaches +ve cashflow in 3rd year coal production (2010) – CAPEX US$850M – Net OPEX US$220M …to 2010 • 14%2006… 44%2007… 34%2008… 8% 2009 • Estimates will conti
Slide 8: Funding Strategy
A S I A E N E R G Y PLC Funding Strategy… • Barclays Capital August 2004 financial advisors • Finance Options being evaluated (but not limited to): – Equity – Project debt – Debentures – Convertible debentures – Export credit agencies – Multi & bi-lateral agencies – Off-take agreements – JV partne
Slide 9: Progress: Phulbari Coal Project
A S I A E N E R G Y PLC Progress Phulbari Coal Project … • Resource of 572 million tonnes • Approx. 93% Measured + Indicated • Drilling / Geophysics: • basin extends southwards (remains open) • Diverse Product Mix: • Thermal & Semi Soft Coking Coal • Comprehensive Study Completed: • First coal 200
Slide 10: Thermal Coal Cash Cost Curve
A S I A E N E R G Y PLC Thermal Coal Cash Cost Curve 2005 Thermal Coal FOB Cash Cost Curve adjusted to 6350kcal/kg gar 50 45 40 35 USD per Tonne 30 25 20 15 10 5 - 0 40 80 120 160 200 240 280 320 360 400 440 480 520 Million Tonnes Australia Indonesia China South africa Colombia Venezuela Russia East
Slide 11: Metallurgical (Non HCC) Cash Cost Curve
A S I A E N E R G Y PLC Metallurgical (Non HCC) Cash Cost Curve 2005 Metallurgical Coal FOB Cash Cost Curve 70 60 50 USD per Tonne 40 30 20 10 - 0 10 20 30 40 50 60 70 Million Tonnes Australia Canada China South africa Venezuela Russia East USA Indonesia 11
Slide 12: Progress: Phulbari Coal Project
A S I A E N E R G Y PLC Progress Phulbari Coal Project … • Coal Export: • Rail / River Barge / Port Infrastructure requirements established • Environment Clearance • from GoB September 2005 • Feasibility/Scheme of Development • to GoB October 2005 NEXT STEPS • Commence initial development activity
Slide 13: Phulbari Movie
A S I A E N E R G Y PLC Phulbari Movie 13
Slide 14: Important Notice
A S I A E N E R G Y PLC Important Notice… – These presentation materials (“the Presentation Materials”) in respect of Asia Energy Plc (“the Company”) are being issued on a strictly private and confidential basis to, and only to, Investment Professionals as defined in Section 19 of the Financial Serv