Om Holdings Ltd. · ASX:OMH
Om — Non-Deal Roadshow (September 2013)
40 slides from Om's roadshow presentation, Sep 3, 2013
Slide 1: Investor Presentation ASX cover letter
OM HOLDINGS H LIMITED For personal use only (ARBN 081 028 337) No. of Pages Lodged: 40 3 September 2013 ASX Market Announcements ASX Limited th 4 Floor 20 Bridge Street SYDNEY NSW 2000 Dear Sir/Madam INVESTOR PRESENTATION Please find attached a copy of the presentation to be delivered by Mr Peter To
Slide 2: Background information on OM Holdings Limited
BACKGROUND INFORMATION ON OM HOLDINGS LIMITED OMH listed on the ASX in March 1998 and 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. The OMH Group now operat
Slide 3: Investor Presentation – September 2013
For personal use only INVESTOR PRESENTATION – SEPTEMBER 2013 1
Slide 4: Disclaimer
For personal use only DISCLAIMER This presentation has been prepared and issued by OM Holdings Limited ARBN 081 028 337 (“OMH”). This presentation contains information about OMH. The information in this presentation does not purport to be complete or to provide all information that an investor shoul
Slide 5: Paradigm shift in the global alloy industry
For personal use only PARADIGM SHIFT IN THE GLOBAL ALLOY INDUSTRY
Slide 6: FeSi and Mn alloy industry basics
For personal use only FeSi and Mn alloy industry basics • Ferrosilicon (FeSi) is a raw material used in the steelmaking process to deoxidise molten steel. It is used predominantly in the production of automotive and electrical steels • Manganese is essential to the production of all carbon steels an
Slide 7: Paradigm shift in the global alloy industry
For personal use only Paradigm shift in the global alloy industry POWER COSTS The alloy industry is experiencing significant power cost increases in all major traditional alloy production centres - China, Russia, India and South Africa Future competitiveness in the alloy industry is expected to be d
Slide 8: The road to future smelting success leads to Sarawak
For personal use only The road to future smelting success leads to Sarawak OM SARAWAK SMELTING PROJECT - ACCESS TO COMPETITIVELY PRICED RELIABLE POWER 20 year Power Purchase Agreement – hydro power, competitive price, fixed annual price escalation, reliable long-term supply OM SARAWAK SMELTONG PROJE
Slide 9: OM Sarawak raw material inflows and finished product outflows
For personal use only OM Sarawak raw material inflows and finished product outflows Source: OMH
Slide 10: OM Sarawak Smelting Project Malaysia
For personal use only OM SARAWAK SMELTING PROJECT MALAYSIA
Slide 11: OM Sarawak: Building a world-class ferro alloy smelter
OM SARAWAK For personal use only Building a world-class ferro alloy smelter to supply the Asian steel industry World Class Alloy Smelter Expected to become one of the world’s lowest cost ferro-alloy producers Committed, Complimentary and Experienced Project Partners 80:20 Joint venture with Cahya Ma
Slide 12: OM Sarawak: raw materials, power, smelting and sintering
OM SARAWAK For personal use only Raw Materials Power Smelting and Sintering Manganese Ore Power Smelting + Sintering Proximity to raw materials and Power is major cost component of Malaysia’s opportunity to become Asia’s manganese ore resources manganese and silicon based alloy new lowest-cost-quart
Slide 13: OM Sarawak: Building a world-class ferro alloy smelter
OM SARAWAK For personal use only Building a world-class ferro alloy smelter A world-class alloy smelter, reliably and competitively What supplying the global steel industry In Sarawak, Malaysia, close to hydro power and on the Where Why doorstep of the Asian steel industry Strategically and financia
Slide 14: OM Sarawak: Building a world-class smelter
OM SARAWAK For personal use only Building a world-class smelter • Building a world-class alloy smelter to reliably and competitively supply the steel industry • Unique combination of competitive advantages: competitively priced long-term power contract, coastal industrial land, purpose built port fa
Slide 15: OM Sarawak: Clear strategy and focused execution
OM SARAWAK For personal use only Clear strategy and focused execution • COMMITTED PROJECT PARTNERS • 80% project ownership by OMH and 20% project ownership by Cahya Mata Sarawak Bhd - a leading Malaysian publicly listed industrial conglomerate • PROJECT FUNDING SECURED • 70% project finance + 30% eq
Slide 16: Samalaju Industrial Zone, Sarawak, Malaysia
OM SARAWAK For personal use only Samalaju Industrial Zone, Sarawak, Malaysia Where 14
Slide 17: OM Sarawak phase timetable
OM SARAWAK For personal use only Phase 1 timetable 1Q2012 2Q2012 1Q2013 2Q2013 3Q2013 2Q2014 2Q2015 Power Purchase Environmental USD215m + EPC contract executed Project finance Expected Expected full-scale Agreement approval received MYR436m project with Sinohydro financial close commencement of com
Slide 18: Expected plant layout
OM SARAWAK For personal use only Building a world class smelter – expected plant layout 4 Source: OMH 16
Slide 19: The Bakun Dam – Hydro Power Supply
OM SARAWAK For personal use only The Bakun Dam – Hydro Power Supply 17
Slide 20: OM Sarawak construction progress
OM SARAWAK CONSTRUCTION PROGRESS For personal use only
Slide 21: OM Holdings Ltd overview
For personal use only OM HOLDINGS LTD OVERVIEW
Slide 22: OM Holdings Limited: globally integrated manganese company
For personal use only OM HOLDINGS LIMITED 1 A globally integrated manganese company listed on ASX 2 Vertically integrated business model across the entire value chain 3 High quality and flexible product mix suited for the Chinese market 4 Mine and smelter locations and Chinese distribution centers a
Slide 23: OMH strategic focus
OMH STRATEGIC FOCUS For personal use only A world-class miner and smelter of Manganese and Ferro Silicon Exploration & Mining Ferro Alloy Smelting Marketing & Trading Exploration Smelting – China Equity product sales Bootu + Regional OM Qinzhou – up to Ore, Sinter, Alloys 80ktpa alloys and 300ktpa M
Slide 24: The OMH supply chain
THE OMH SUPPLY CHAIN For personal use only Manganese Mine (Australia & South Africa) Smelting Facilities (China & Malaysia) Marketing & Trading (Singapore) Bootu Creek, Australia (100%) Qinzhou, China (100%) Singapore (100%) High value-in-use siliceous grade manganese ore Currently the largest manga
Slide 25: OMH long term operating performance
OMH LONG TERM OPERATING PERFORMANCE For personal use only Bootu Creek Manganese Ore Production 1,200 1,000 902.1 831.4 672.6 737.8 800 648.1 600 516.4 kt 403.8 400 243.4 200 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 1H OM Qinzhou Manganese Alloy Production 100 81 80 74 60 45 47 39 38 kt 33 37 4
Slide 26: Bootu Creek Manganese Mine Australia
For personal use only BOOTU CREEK MANGANESE MINE AUSTRALIA
Slide 27: Bootu Creek Manganese Mine (Australia)
BOOTU CREEK MANGANESE MINE (AUSTRALIA) For personal use only Established, long term, high grade manganese ore supply • Located in the Northern Territory of Australia • 100% owned, commenced production in 2006 • High Value-in-Use siliceous grade manganese ore-body •Resources of approximately 29.5 mil
Slide 28: Bootu Creek – in pictures
BOOTU CREEK – IN PICTURES For personal use only
Slide 29: Mineral Resource and Reserve - Bootu Creek
Mineral Resource and Reserve - Bootu Creek For personal use only Bootu Creek Manganese Resource Summary for 31 December 2012 Bootu Creek Ore Reserve Summary for 31 December 2012 Competent Person The information in this presentation which relates to Reporting of Exploration Results, Mineral Resources
Slide 30: Tshipi Manganese Mine South Africa
For personal use only TSHIPI MANGANESE MINE SOUTH AFRICA
Slide 31: Tshipi Project (South Africa)
TSHIPI PROJECT (SOUTH AFRICA) For personal use only OMH owns an effective interest of 13.0% in the Tshipi project through 26% stake in majority Black Empowerment partner The Project Competitive Advantages Located in the South Africa’s Kalahari Manganese field, which holds 80% A long life, low cost,
Slide 32: Tshipi Manganese Mine
TSHIPI MANGANESE MINE For personal use only A new, world class mine in the world’s largest manganese basin • Located in the Kalahari Manganese Field in the Northern Cape of South Africa, home to 80% of the world’s manganese resource • OMH a 26% investor in majority 50.1% BEE shareholder • 2.4mtpa @
Slide 33: Tshipi – in pictures
TSHIPI – IN PICTURES For personal use only Why 2 31
Slide 34: Mineral Resource - Tshipi
Mineral Resource - Tshipi For personal use only Tshipi Borwa High Grade Mineral Resource Summary Tshipi Borwa “Top Cut” Only Mineral Resource Summary (excludes Top Cut) Total Classification Zone Tonnes Manganese Iron LOI Relative Deposit Indicated Inferred (Indicated and Inferred) (million) % % % De
Slide 35: OM Qinzhou Smelter and Sinter Plant China
For personal use only OM QINZHOU SMELTER AND SINTER PLANT CHINA
Slide 36: OM Qinzhou (OMQ)
OM QINZHOU (OMQ) For personal use only OMQ owns and operates a ferro alloy and sinter plant located in Qinzhou, Guangxi, China Qinzhou’s strategic location close to power, a major manganese ore import port and customers is a major competitive advantage OMQ utilizes high grade manganese ore from the
Slide 37: OMQ – in pictures
For personal use only OMQ – IN PICTURES
Slide 38: OM Singapore Marketing & Trading
For personal use only OM SINGAPORE MARKETING & TRADING
Slide 39: OM Singapore (OMS) – Marketing & Trading
OM SINGAPORE (OMS) – MARKETING & TRADING For personal use only OMS Supply Distribution Network The marketing and trading arm of OMH based in Singapore Norway Sales of equity Manganese ore production Third party trading of manganese, iron ore and chrome ores, low risk China trading strategy India Foc
Slide 40: OMS – Marketing & Trading
OMS – MARKETING & TRADING For personal use only Customers Pricing Broad customer portfolio of large, medium and Product pricing is referenced to published spot prices for the small sized Chinese and Asian alloy smelters and steel China market companies OMS’ technical marketing efforts focus on extra