Om Holdings Ltd. · ASX:OMH
Om — RIU Sydney Resources Round-up Conference 2006
26 slides from Om's conference presentation, May 16, 2006
Slide 1: ASX cover letter: RIU Sydney Resources Conference Presentation
OM HOLDINGS LIMITED (ARBN 081 028 337) No. of Pages Lodged: 26 16 May 2006 Company Announcements Office Australian Stock Exchange Limited 4" Floor 20 Bridge Street SYDNEY NSW 2000 Dear Sir/Madam RIU SYDNEY RESOURCES CONFERENCE PRESENTATION Please find attached a copy of a presentation to be delivere
Slide 2: Background Profile of OM Holdings Limited
BACKGROUND PROFILE OF OM HOLDINGS LIMITED OMH which was listed on the ASX in March 1998 has its foundations in metals trading — incorporating the sourcing and distribution of manganese ore products and subsequently in processing ores into ferro-manganese intermediate products. In the immediate futur
Slide 3: OMH — An Overview
OM HOLDINGS LTD ASX Code: OMH Website: www.omholdingsitd.com OMH — An Overview Paul Chapman RIU Sydney Resources Round-up 16 May 2006
Slide 4: Forward looking statements
This presentation may contain forward looking statements that are subject to risk factors associated with commodities businesses. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlying assumptions
Slide 5: Overview
Overview Marketing Manganese Operations — Qinzhou Ferro-alloy Smelter — Bootu Creek Manganese Mine Summary
Slide 6: Singapore based commodity house
* Singapore based commodity house — ASX listing, March 1998 * China focussed marketing division — Ores, alloys, metals * Integrated manganese producer — Qinzhou Ferro-alloy Smelter — Bootu Creek Manganese Mine
Slide 7: Group structure
Bootu Creek comieas Manganese Mine Manufacturing Territory Iron Lt d Ginzhou Ferro-alloy Marketing (25%) ASX: TFE Singapore Liaoyang Marketing & Logistics Boron Alloy (51%)
Slide 8: Issued Capital
Issued Capital * Listed ordinary 136.3m * Unlisted options 5.6m 141.9m Major Shareholders * Institutions 30% * Strategic partners 5% * Board/management 25% * Top 20 shareholders ~75% Market Capitalisation A$150m
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Slide 10: Marketing
@ Beijing @ Shanghai « Services @ Hong Kong * Core Products
Slide 11: Services and Products
« Services — Source materials for Chinese buyers — Logistics, credit & product management — Fee for service, not a position taker « Products — Ores: manganese, chrome, iron — Alloys: manganese, chrome, silicon, ferro-silicon / boron — Metals: stainless scrap, zinc ingots « New business — Newrelation
Slide 12: Chrome, iron and manganese ore markets
* Chrome ore — Improved chrome & ferrochrome prices * Iron ore — Territory lron, trial of Indian product — Positive price outlook * Manganese ore — Supply ~ 20% of China’s Mn ore — Destocking, prices soft but steady — Price improvement expected post June — Expected medium term range US$2.50-3.00
Slide 13: Qinzhou Smelter
@ Beijing * Overview eshenghe ¢ Expansion | tang Kova * Competitive Advantage
Slide 14: Overview
* Overview * Shanghai Shenjia Joint Venture Investment to date - US$8 million Significant appreciation in land value Three furnaces - 55k tpa ferro alloy Power constrained until early 2007 Large ferro-alloy smelter & marketer OMH 70% Agreement mid 2006, expansion 2007 140k tpa at minimal cost to OMH
Slide 15: Significant competitive advantage
@ Belling * Significant competitive advantage — — Power cost & availability ® Hong Kong — Inland freight differentials
Slide 16: Overview — Operations, Finance, Growth
e Overview Operations Finance Growth @ Darwin @ jennant Creek ® Alice Springs AUSTRALIA
Slide 17: Bootu Creek Manganese Mine
WO: OM HOLDINGS LIMITED BOOTU CREEK MANGANESE MINE oe
Slide 18: Mining
¢ Mining - Good consistency & widths - Shekuma pit optimisation underway Ore stocks ~165kt @ 25% Mn
Slide 19: Processing
¢ Processing — Temporary crusher & scrubber - May 2006 — Plant performs well - availability improving — Excellent product quality - >20kt @ 45% Mn
Slide 20: Road, rail, port and first shipment
¢ Road, rail, port — All tested ¢ First shipment — Late May / early June 2006 — 245% Mn, 30kt lump
Slide 21: A$ per tonne costs
A$ Tonne 180 160 140 120 100 $165 $33
Slide 22: EBITDA (Steady State) and sensitivities
¢ EBITDA (Steady State) — US$2.50 Mn unit @ 0.7500 $22m pa — US$2.75 Mn unit @ 0.7500 $30m pa ¢ Manganese Price — +/- US$0.10 $3.4m pa * Diesel Fuel — +/- 10 cents $1.2m pa * Exchange Rate & Hedging — +/- 1 cent $1.1m pa — Options @ 0.7450 (US$8m) — Forwards @ 0.7295 (US$10m) CBA Project Finance A$2
Slide 23: Exploration
¢ Exploration ~ — ou | — Target: double resource base eos — 20,000 metres / $2 million — Shekuma resource ~ Tf 20% — Chugga encouraging drilling Helicopter EM (27 strike kms) oy ie Gi dk ee) ke ‘Niles
Slide 24: Expansion option
¢« Expansion option to 1 million tpa — Parallel drum plant, accommodation, logistics — Incremental cost ~A$10 million, requires feasibility study ¢ Timing — Expanded resource base — Market conditions
Slide 25: Summary
* Marketing — China focused, extensive networks * Integrated manganese producer — Bootu Creek in production — Price improvement expected ¢ Growth opportunities — Quinzhou expansion, underway — Exploration program, early successes — Expansion option
Slide 26: OM Holdings Ltd
OM HOLDINGS LTD ASX Code: OMH Website: www.omholdingsitd.com OMH — An Overview Paul Chapman RIU Sydney Resources Round-up 16 May 2006
OM Holdings — RIU Sydney Resources Round-up Conference 2006 on 6ix