Lynas Rare Earths Limited · ASX:LYC
Lynas Rare Earths — FY2023 Earnings Presentation
24 slides from Lynas Rare Earths's earnings presentation, Aug 29, 2023
Slide 1: FY23 Results Presentation
Lynas Rare Earths Limited FY23 Results Presentation 29 August 2023
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Lynas Rare Earths Limited (ABN 27 009 066 648) (Lynas as a general guide only and should not be relied upon as an indication or guarantee of future or the Company) this presentation contains summary information about Lynas and its subsidiaries perfor
Slide 3: Acknowledgement of Country
Acknowledgement of Country You will need to 1. 2. Lynas xx Rare Earths acknowledges the Traditional Owners of the lands on which we live, work and meet, across Australia. We acknowledge and value Lynas’ Aboriginal and Torres Strait Islander employees, partners and communities and pay respect to thei
Slide 4: FY23 financial highlights
FY23 financial highlights You will need to NPAT Sales Revenue $310.7m $739.3m FY22 NPAT: $540.8M FY22: $920.0m EBITDA Cash and Short Term Deposits $377.7m $1.01b FY22: $601.2m 30 June 2022: $965.6m 44
Slide 5: FY23 operational highlights
FY23 operational highlights 16,780t 6,142t Total REO production NdPr production FY22: 15,970 tonnes FY22: 5,880 tonnes $46.2 $595.5m Average selling price Property, plant & per kg REO equipment capital spend FY22: $60.3/kg 30 June 2022: $186.3m 55
Slide 6: Safety in focus
Safety in focus Lost Time Injury Total Recordable Frequency Rate Injury Frequency (LTIFR) Rate (TRIFR) FY23 FY23 1.2 per million hours 3.2 per million hours worked worked* FY22 FY22 0.8 per million hours 2.4 per million hours worked worked** • Additional sites and increased activity on each site has
Slide 7: FY23 ESG highlights
FY23 ESG highlights Gender diversity • 25% women senior executives at 30 June • 25% women employees at 30 June • 43% women Board members Climate change resilience • Tender released, proposals evaluated and early works contract awarded for gas-renewable hybrid power station at Mt Weld • Contract sign
Slide 8: Rare earths production & market price
Rare earths production & market price 2000 1864 1800 1687 1725 1579 350 1600 1508 1389 1393 1359 1400 300 1255 1200 250 1045 1000 200 800 150 600 100 400 50 200 0 0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY21 FY21 FY22 FY22 FY22 FY22 FY23 FY23 FY23 FY23 FY21 FY21 FY22 FY22 FY22
Slide 9: Mt Weld delivered record concentrate production
Mt Weld delivered record concentrate production • Record concentrate production in FY23 - sufficient to feed the Lynas Malaysia plant and build inventory for the new Kalgoorlie Rare Earths Processing Facility • Mining campaign 4-1 completed 9
Slide 10: Mt Weld exploration programme continues
Mt Weld exploration programme continues Mt Weld Exploration to date: • Completed 97 drill holes, totaling 17,432 metres • Exploration horizon is 200m below surface 10
Slide 11: Mt Weld Capacity expansion project commenced in FY23
Mt Weld Capacity expansion project commenced in FY23 Target 12,000 tonnes in FY25 Minor & preliminary works Hybrid gas-renewable power Modern Manufacturing Initiative approved March 2023 station $20 million grant received from Australian Earthworks nearing completion, concrete Proposals evaluated &
Slide 12: Kalgoorlie Rare Earths Processing Facility preparing for first production
Kalgoorlie Rare Earths Processing Facility preparing for first production Final major construction and Project budget forecast updated to Nameplate production capacity commissioning approx. $730m* increased to approx. 9,000tpa* General cost inflation Additional resources to achieve external Waste ga
Slide 13: Malaysia delivered record NdPr production Q3 & Q4
Malaysia delivered record NdPr production Q3 & Q4 • Record NdPr production achieved Q3 & Q4 FY23 • Early FY23 production limited by significant water supply issues • Lynas Malaysia plant achieved highest possible rating of “Very Satisfactory” in DAE (Department of Atomic Energy) licence renewal audi
Slide 14: Lynas Malaysia – MREC filter building & dissolution facility constructed
Lynas Malaysia – MREC filter building & dissolution facility constructed Works to receive Mixed Rare Equipment fabricated and Tie-in works to integrate the new Earth Carbonate feedstock are delivered for MREC receiving facilities with downstream nearing completion facilities processes 98% complete 1
Slide 15: Malaysia regulatory update
Malaysia regulatory update • Lynas seeks to ensure the company is treated fairly and equitably in Malaysia as a foreign direct investor, and significant employer and contributor to the Malaysian economy • The Lynas Malaysia operating licence was renewed in February 2023 with conditions prohibiting t
Slide 16: Celebrating over 10 years in Malaysia advertising campaign
‘Celebrating over 10 years in Malaysia’ – advertising campaign • “Over 10 years of Lynas Malaysia” advertising campaign launched in Malaysia • Campaign features our people and local community leaders • Shares facts about Lynas Malaysia, our safe operation, and Malaysia’s important role in global man
Slide 17: U.S. Rare Earths Processing Facility
U.S. Rare Earths Processing Facility 2,500- 5,000tpa approx. 3,000tpa LRE products approx. Including 1,250tpa HRE products approx. of NdPr US$258 million US$30 million approx. matched grant U.S. DoD grant funding from U.S. funding DoD for LRE plant for HRE plant HRE contract July 2025 – Located on a
Slide 18: U.S. Rare Earths Processing Facility site acquired
U.S. Rare Earths Processing Facility site acquired • Updated approx. US$258m expenditure-based contract signed with U.S. Department of Defense (DoD) for construction of Heavy Rare Earths separation plant in Texas (1 August 2023) • 149-acre greenfield site purchased in Seadrift, Texas • Large site al
Slide 19: Our Mt Weld community
Our Mt Weld community Mt Weld team participated in Clean Up Australia Day Mt Weld welcomed Mining Engineering students from Curtin University's WA School of Mines: Minerals, Energy and Chemical Engineering Lynas signed a Social Cultural Heritage Management Plan (SCHMP) for Mt Weld with Our Mt Weld t
Slide 20: Our Kalgoorlie community
Our Kalgoorlie community Lynas donated 100 solar light kits to North Kalgoorlie Primary School. The students assemble Lynas Kalgoorlie team with our contracting partners at Indigenous Personnel & Training the lights and send to children living in energy poverty through the SolarBuddy program (IPT) w
Slide 21: Our Kuantan community
Our Kuantan community Lynas held the Kuantan sports carnival held for over 4,000 community members in Lynas Malaysia’ “Back to School” program provides students from 16 local schools November 2022 stationery and uniforms Women from Lynas Malaysia gathered in Kuantan in March 2023 to celebrate Lynas
Slide 22: FY23: A productive year
FY23: A productive year Malaysia: New facility to receive MREC from Kalgoorlie United States: Texas site acquired, further DoD funding secured, detailed engineering & long lead procurement Kalgoorlie: Mt Weld: Major construction activities Exploration program and finalised & full plant capacity expa
Slide 23: Visit us at LynasRareEarths.com
Visit us at LynasRareEarths.com 23
Slide 24: Appendix A: JORC Compliance and Competent Person's Statement
Appendix A: JORC Compliance and Competent Person’s Statement Exploration Results The information in this report that relates to the Exploration Results is based on information compiled by Dr Sadangaya Ganesh Bhat. Dr Sadangaya Ganesh Bhat is a full-time employee of Lynas Rare Earths. Dr Sadangaya Ga