Murray & Roberts — Investor Presentation (April 2014)
19 slides from Murray & Roberts's investor presentation, Apr 23, 2014
Slide 1: Investor Presentation: Global Underground Mining Platform
INVESTOR PRESENTATION GLOBAL UNDERGROUND MINING PLATFORM 23 April 2014 Engineered Excellence
Slide 2: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics 222 • Prospects • Growth & Focus Areas Engineered Excellence 2
Slide 3: Safety: A Critical Differentiating Factor
SAFETY A CRITICAL DIFFERENTIATING FACTOR • “We Build Mines Safely” • Fully support Murray & Roberts Group’s HSE Framework – Focus on Lead Indicators • High Potential Incidents, Enforcement of FRCP’s, Near Miss Reporting, VFL • OHSAS 18001 accreditation – Entrenchment of Stop.Think.Act.24/7 • Platfor
Slide 4: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 4
Slide 5: Structure: Underground Mining Platform Has a Global Footprint
STRUCTURE UNDERGROUND MINING PLATFORM HAS A GLOBAL FOOTPRINT 13 Sudbury Rouyn-Noranda Salt Lake City North Bay 2 4 Hong Kong Accra 12 Kitwe Kalgoorlie Santiago Johannesburg 2 12 Perth Current projects Tendering projects Offices Major projects by region Smaller projects by region Engineered Excellenc
Slide 6: Service Offering: World's Leading Underground Mining Contractor
SERVICE OFFERING WORLD’S LEADING UNDERGROUND MINING CONTRACTOR Murray & Roberts RUC Cementation Cementation Cementation Canada * Mine development: Shaft sinking, raise boring, underground development/equipping Service Specialist Engineering Offering Contract mining Africa’s leading underground Manuf
Slide 7: Projects
PROJECTS Engineered Excellence 7
Slide 8: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 8
Slide 9: Client Base: Focus on Top-Tier Mining Clients
CLIENT BASE FOCUS ON TOP-TIER MINING CLIENTS TOP-TIER MINING Kennecott (USA) Diavik (Canada) LIFE-OF-MINE Resolution (USA) Grasberg (Indonesia) Oyu Tolgoi (Mongolia) Wessels (RSA) STRATEGY TO DEVELOP LIFE Totten (Canada) Kuthala (RSA) Lubambe (Zambia) Resolution (USA) RELATIONSHIPS WITH TOP CLIENTS
Slide 10: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 10
Slide 11: Contracting Arrangements: Platform Risk Profile
CONTRACTING ARRANGEMENTS PLATFORM RISK PROFILE CONTRACTOR RISK CLIENT RISK Cost Reimbursable Lump Sum Cost Plus % + Fee Target Cost Rates Turnkey CONTRACT TYPE RUCC Cementation USA Cementation Canada M&R Cementation Engineered Bubble size representsExcellence relative Order Book 11
Slide 12: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 12
Slide 13: Market Characteristics: Depressed Market Conditions Set to Change
MARKET CHARACTERISTICS DEPRESSED MARKET CONDITIONS SET TO CHANGE Annual Global Mineral Capital Investment ($Bn) 2012-13 • Project deferments, cancellations, scope reductions • Client focus on cost saving & capital 2014-30 110 105 preservation • Increased competition amongst 215 contractors • Average
Slide 14: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 14
Slide 15: Short to Medium Term Prospects Encouraging
PROSPECTS SHORT TO MEDIUM TERM PROSPECTS ENCOURAGING Order book opportunities GREATER BUSINESS UNIT ALIGNMENT Cementation Africa South Africa: Venetia, Impala, Kalagadi Manganese, Tumela OPERATIONAL EXCELLENCE AND - - Zambia: Lubambe, Mopani - Mauritania: Tazadit Encouraging signs of market improvem
Slide 16: Agenda
AGENDA • Safety • Structure & Service Offering • Client Base • Contracting Arrangements • Market Characteristics • Prospects • Growth & Focus Areas Engineered Excellence 16
Slide 17: Growth & Focus Areas: Organic and Acquisition Driven
GROWTH & FOCUS AREAS BOTH ORGANIC & ACQUISITION DRIVEN GREATER BUSINESS UNIT ALIGNMENT Refine and drive focussed African strategy Cementation Africa OPERATIONAL EXCELLENCE AND - Leverage Group’s African regional hub & spoke structure (Organic) Secure (large) local mining contracting project Increase
Slide 18: Venetia Project: First Blast in the Decline
VENETIA PROJECT FIRST BLAST IN THE DECLINE IN MARCH A project that highlights a key strength namely the ability to pool expertise Engineered & skills across the platform to ensure/enable project Excellence delivery 18
Slide 19: Thank You
THANK YOU Engineered Excellence
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