Syrah Resources Limited · ASX:SYR
Syrah Resources — Shareholder Meeting (May 2024)
23 slides from Syrah Resources's shareholder meeting presentation, May 24, 2024
Slide 1: Annual General Meeting 24 May 2024
For personal use only Annual General Meeting 24 May 2024 Shaun Verner – Managing Director & CEO syrahresources.com.au Syrah Resources | ASX: SYR1 23 May 2024
Slide 2: Important notice and disclaimer
Important notice and disclaimer This presentation is for information purposes only. Neither this presentation nor the information contained in it constitutes an offer, Investor Relations invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. Thi
Slide 3: Our Position
Our Position Syrah is a major ex-China natural graphite and active anode material (AAM) supplier for global customers, with upstream and downstream expansion potential underpinned by its world-class Balama resource For personal use only Natural graphite and Syrah is the only Balama is an up to Rampi
Slide 4: Our Valuation Proposition
Our Valuation Proposition Syrah is leading ex-China natural graphite and anode material production capacity and sales growth For personal use only Vertical Operating and Cost Position ESG Position Expansion Integration Development Potential ▪ Natural graphite ▪ Largest integrated ▪ Cost competitive
Slide 5: Our ESG Profile
Our ESG Profile For personal use only Leading ESG standards Best practice sustainability Low carbon footprint Auditable back to source frameworks ✓ ISO:45001 and ISO:14001 ✓ Sustainability frameworks guided ✓ Independent life cycle assessment ✓ Fully integrated by Syrah from certifications at Balama
Slide 6: Syrah ESG Dashboard
Syrah ESG Dashboard Group Safety and Environment Performance For personal use only 1.6 TRIFR1 4.2 AIFR2 0 Workplace fatalities to date 688 Number of days since a Lost Time Injury at Vidalia 737 Number of days since a Lost Time Injury at Balama 0 Environmental Incidents in Q1 2024 Group Gender Divers
Slide 7: Partnering with the community and stakeholders for sustainability
Syrah is committed to partnering with the community and stakeholders for sustainability For personal use only Local Development Economic Contribution Stakeholder Engagement Social Responsibility Delivering on local development $112M1 USD paid in salaries in Strengthening relationships with key Trans
Slide 8: USD $4M invested in community development at Balama
USD $4M(1) invested in community development at Balama Contributing to the development of the Balama District through investments in areas such as agriculture, education, health and infrastructure For personal use only (2) 1. Gross expenditure includes works completed, work in progress and committed
Slide 9: Health and Safety is Syrah's highest priority
Health and Safety is Syrah’s highest priority Whole-of-business approach to maintaining a strong health and safety culture For personal use only Leading Practice Standards Training Compliance Malaria Mitigation Strategy Emergency Response ISO:45001 Occupational Health and Safety Training in mandator
Slide 10: Group Health and Safety
Group Health and Safety Ongoing focus on in-field visible leadership safety interactions to drive a strong safety culture For personal use only 688 737 Number of days Number of days since a Lost Time since a Lost Time Injury at Vidalia Injury at Balama ✓ Health and safety remains Syrah’s number one
Slide 11: Leading practice environmental standards are maintained across Syrah's operations
Leading practice environmental standards are maintained across Syrah’s operations For personal use only Environmental Management Water Management Tailings Storage Facility Waste Management ISO:14001 Environmental Management Continued focus on reducing water Alignment with leading practice TSF Waste
Slide 12: Balama Solar and Battery System and Tailings Storage Facility
Balama Solar and Battery System and Tailings Storage Facility For personal use only 12
Slide 13: Syrah supports and empowers its people to reach their full potential
Syrah supports and empowers its people to reach their full potential For personal use only Diversity and Inclusion Employee Engagement Learning and Development Local Employment Committed to achieving and maintaining a Enhancing performance and engagement Prioritising the training, development and 1,
Slide 14: Syrah's global business to supply growing battery anode demand
Syrah’s global business to supply growing battery anode demand For personal use only Vidalia, Louisiana, USA Balama, Cabo Delgado Province, Mozambique Sales and Marketing Hub, Dubai, UAE Contract Sales Liaison, Shanghai, China Corporate Office, Melbourne, Australia 14
Slide 15: 2023 focus areas
2023 focus areas Balama ‒ Implemented campaign operating model to reduce operating cash-out flows and maintain market presence For personal use only ‒ Maintained agile operations at Balama considering volatile sales demand conditions and weaker pricing ‒ Executing medium-term natural graphite sales
Slide 16: Vidalia is the cornerstone of Syrah's downstream business
Vidalia is the cornerstone of Syrah’s downstream business Downstream expansion is underpinned by Balama’s world-class resource Vidalia, USA Asia (ex-China) Joint Venture / Tolling (>20ktpa) For personal use only Technology Support to 3rd Party (ex-China) Partners (>50ktpa) Europe Joint Ventures (>20
Slide 17: 11.25ktpa AAM Vidalia facility commenced production in February 2024
11.25ktpa AAM Vidalia facility commenced production in February 2024 For personal use only Milling Purification area area Land for Vidalia Further Expansion to 45ktpa AAM 11.25ktpa AAM facility 11.25ktpa (milling area) AAM facility (furnace area) Furnace Aerial area view 11.25ktpa AAM facility (puri
Slide 18: 2023 Financial Results Summary
2023 Financial Results Summary Revenue (US$m) Net Profit / (Loss) After Tax (US$m) For personal use only 2020 2021 2022 2023 106 48 (27) 29 11 (57) (61) 2020 2021 2022 2023 (85) Free Cash Flow (US$m)1 Cash and Cash Equivalents (US$m) 2020 2021 2022 2023 90 85 75 (45) 53 (54) (135) (198) 2020 2021 20
Slide 19: Continued growth in global EV sales and China anode production
Continued growth in global EV sales and China anode production Global Monthly EV Sales (‘000 Units)1 China Monthly Anode Production (kt)2 For personal use only 1,800 200 1,600 180 160 1,400 +22% 140 1,200 120 1,000 +50% 100 -2% 800 80 600 60 400 40 200 20 0 0 Sep 21 Sep 22 Sep 23 Mar 21 Mar 22 Mar 2
Slide 20: Short-term conditions remain challenging
Short-term conditions remain challenging Anode Capacity Utilisation1 vs. China Anode Production China Natural Graphite Production vs. China Anode Production1 200 110% 200 100% 160 160 90% For personal use only 80% 120 120 70% 80 80 60% 40 50% 40 40% 0 Jul-21 Jul-22 Jul-23 Jan-21 Jan-22 Jan-23 Jan-24
Slide 21: China graphite controls immediately impacted ex-China market
China graphite controls immediately impacted ex-China market Export volumes for purified spherical graphite and finished AAM returned to normalised monthly levels from March 2024 China natural graphite exports (kt) China spherical graphite exports (kt) China natural graphite AAM exports (kt) 70 For
Slide 22: 2024 outlook
2024 outlook End-market growth ‒ Volatile near-term Chinese anode market conditions / customer sales order performance in contrast to strong medium and long-term outlook for ex-China For personal use only AAM demand Balama sales, production and costs ‒ Improving Balama’s sales composition to achieve
Slide 23: Syrah's 2024 targets embedding unique advantages
Syrah’s 2024 targets embedding unique advantages Recent milestones 2024 targets Capital Structure Dec-21 – Binding offtake agreement with Tesla for the supply of natural graphite AAM For personal use only from Vidalia Jul-22 – Received a US$102m binding loan from US DOE for the initial expansion of