Fortescue Ltd · ASX:FMG
Fortescue — Fortescue Metals Group — CCI Conference 2017
20 slides from Fortescue's conference presentation, Jun 29, 2017
Slide 1: People and Innovation Driving Performance
For personal use only People and Innovation Driving Performance
Slide 2: Forward looking statements
Forward looking statements For personal use only Important Notice Additional Information The purpose of this presentation is to provide general information about This presentation should be read in conjunction with the Annual Report at 30 Fortescue Metals Group Limited ("Fortescue"). It is not recom
Slide 3: Building a world class company
Building a world class company Core supplier to China’s growth For personal use only Safety focus First ore Low cost Engagement Empowerment Leadership in 2008 producer Shipped over 165-170mt Production rate 850mt Unique culture 3
Slide 4: Delivering on targets
Delivering on targets For personal use only Focus on safety, productivity and efficiency ✓ Safety TRIFR reduced 33% to 2.9 ✓ 165-170mtpa shipped ✓ Productivity + efficiency ✓ Low cost global producer ✓ Debt repayment priority ✓ Consistent dividend policy 4
Slide 5: Corporate video placeholder
For personal use only • PLACEHOLDER – NEW CORPORATE VIDEO 5
Slide 6: Corporate video placeholder
For personal use only • PLACEHOLDER – NEW CORPORATE VIDEO 6
Slide 7: Continuous + sustainable cost improvements
Continuous + sustainable cost improvements For personal use only Focus on productivity and efficiency delivering cost savings US$/wmt 1 Solomon operations 60 50 48 44 2 Blending strategy 58% Fe 40 34 3 Processing, wet plants + de-sands 30 27 15 4 Operational efficiencies 20 10 $12 - $13 12-13 5 Fx a
Slide 8: Moving down the global cost curve
Moving down the global cost curve For personal use only China's Iron Ore Supply CFR Costs (including royalties & ocean freight) 2012 2017 Source: Metalytics – March 2017 8
Slide 9: March quarter FY17 financial outcomes
March quarter FY17 financial outcomes For personal use only Productivity initiatives delivering sustainable cost reductions and financial results C1 Cost $13.06/wmt US$2.7bn 39.6mt FY17 US$12-13 Debt repaid Shipped for the quarter US$4.3bn US$1.5bn 22% Gross Debt Cash on hand Net gearing 9
Slide 10: Innovative Culture
For personal use only Innovative Culture
Slide 11: Our Vision: The safest, lowest cost, most profitable iron ore producer
Our Vision: The safest, lowest cost, most profitable iron ore producer v Fortescue i Determination The New Force in Iro! Set yourself stretch targets Enthusiasm Empowerment Generating ideas
Slide 12: Values based approach
Values based approach Embracing technology and innovation For personal use only 12 12
Slide 13: Early adopters and future opportunities
Early adopters and future opportunities For personal use only Supports planning for Firetail Replacement project Solomon Hub Chichester Hub Port and Rail Autonomous Haulage Dewatering telemetry Integrated Operations Centre Early Autonomous Drilling OPF optimisation Fortescue Ore Carriers adopter Aut
Slide 14: Innovation delivering results
For personal use only Innovation delivering results
Slide 15: Automating equipment and processes
Automating equipment and processes For personal use only Delivering productivity and efficiency benefits Autonomous trucks Improvement in safety 56 20% Increase in productivity Integrated Autonomous Operations drills Centre 23% improvement 24/7 remote operations operating time and productivity 15
Slide 16: What will a mine look like in the future?
What will a mine look like in the future? For personal use only How will technology influence, or completely change, our decisions?
Slide 17: Focussed strategy
For personal use only Focussed strategy
Slide 18: Key strategic focus
Key strategic focus For personal use only Disciplined value creation ✓ Debt repayment and capital flexibility ✓ Long term sustainability of iron ore ✓ Returns to shareholders ✓ Create low cost growth options - Leverage skills and culture - Exploration and early stage development 18 18
Slide 19: The new force in iron ore
The new force in iron ore For personal use only Continuous improvement Sustainable low cost World class producer assets & people Customer focus Unique culture Reliable drives performance Competitive 19
Slide 20: For personal use only
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