Iluka Resources Limited · ASX:ILU
Iluka Resources — H1 2025 Earnings Presentation
33 slides from Iluka Resources's earnings presentation, Aug 20, 2025
Slide 1: Iluka Resources 2025 Half Year Results
1 Iluka Resources (ASX:ILU) 2025 Half Year Results 20 August 2025 Eneabba, Western Australia
Slide 2: Disclaimer
Disclaimer 2 This presentation has been prepared by Iluka Resources Limited (Iluka). By accessing this presentation you acknowledge that you have read and understood the following statement. This presentation includes forward-looking statements reflecting Iluka’s current expectations. These statemen
Slide 3: Key features
Key features 3 Financial Operational Strategic Operational and NPAT Zircon/Rutile/Synthetic ZIC production (and Eneabba rare earths Balranald on track for marketing discipline $92 million Rutile production of sales) of ~60kt refinery construction commissioning H2 in the context of Net debt (excludin
Slide 4: Safety and environment
Safety and environment 4 As at 30 June 2025 136ha of land rehabilitated Winner of the 2025 Virginia (H1 2025) Mineral Mine Reclamation 1.5 SPIFR 136ha of land rehabilitated including Award Serious Potential Incident 26ha of progressive rehabilitation Frequency Rate (3.3 in FY 2024) For work complete
Slide 5: Operations
Operations 5 Narngulu processing H1 H1 Change Production (kt) 2025 2024 (%) Zircon sand 71.8 70.7 2 Zircon-in-concentrate (ZIC) 59.9 27.5 118 Rutile (incl. HyTi) 35.6 35.6 - Processing: zircon, rutile, ilmenite Synthetic rutile 113.1 94.7 19 Total Z/R/SR 280.4 228.5 23 Cataby mine H1 2025 overview •
Slide 6: Results overview
Results overview 6 Units Half year 2025 Half year 2024 % Change Z/R/SR production kt 280 229 23 Z/R/SR sales kt 249 242 3 $218m Underlying mineral sands Mineral sands revenue $m 558 606 (8) EBITDA Underlying mineral sands EBITDA $m 218 252 (13) Underlying mineral sands EBITDA margin % 39 42 (3) $92m
Slide 7: Underlying net profit H1 2024 vs H1 2025
Underlying net profit 7 $m Underlying NPAT H1 2024 vs H1 2025 160 140 134 • Lower realised prices, with zircon sand prices holding flat across H1 2025 at US$1,695/t following a reduction 120 from Q4 2024. H1 2024 zircon sand prices were 20 92 100 US$1,892/t. Synthetic rutile prices were down ~US$90/
Slide 8: Cash flow and balance sheet: Mineral Sands
Cash flow and balance sheet: Mineral Sands 8 $m 250 115 Cash flow six months to 30 June 2025 200 (6) (2) 150 • Mineral sands business in a net debt position of $164 million 90 following $223 million of investment in mineral sands capital 100 ( 71 ) expenditure 50 – $196 million of execute spending o
Slide 9: Mineral sands net debt/cash
Mineral sands net debt/cash 9 $m Mineral sands 600 400 $164m net debt (excluding non-recourse net debt) 200 $800m MOFA facilities 0 $220m drawn (200) Net cash (debt) (excluding non-recourse debt) (400) (600) H1 15 H2 15 H1 16 H2 16 H1 17 H2 17 H1 18 H2 18 H1 19 H2 19 H1 20 H2 20 H1 21 H2 21 H1 22 H2
Slide 10: Cash flow and balance sheet: Rare Earths
Cash flow and balance sheet: Rare Earths 10 $m- Cash flow six months to 30 June 2025 ( 50 ) ( 100 ) • Capital expenditure of $178 million ( 150 ) • Iluka equity contribution of $55 million ( 200 ) ( 250 ) (205) ( 300 ) 55 ( 350 ) (338) ( 400 ) ( 178 ) ( 10 ) ( 450 ) 31 December 2024 Capex Capitalise
Slide 11: Inventory position
Inventory position 11 Well positioned to respond to improvement in market conditions Z/R/SR kt HMC kt 450 1,600 400 1,400 • Heavy mineral concentrate (HMC) inventory of ~700kt and finished goods inventory of ~325kt of Z/R/SR 350 1,200 Iluka’s inventory 300 • HMC inventory build largely reflects Cata
Slide 12: Deterra Royalties Key Features
Deterra Royalties 12 Key Features Run rate with Mining Area C royalty receipts (A$m)1 Mining Area C Production (Mwmt) South Flank = 145 mwmt2 265 239 239 228 20 46 13 140 71 121 64 64 92 2 126 119 116 62 1 68 89 29 57 30 31 34 47 118 69 41 93 96 104 63 61 28 49 44 48 31 26 30 28 28 26 2018 2019 2020
Slide 13: Markets
Markets
Slide 14: Markets – zircon
Markets – zircon 14 Global economic uncertainty impacting market conditions; disciplined approach maintained Zircon (premium and standard) 97kt 61kt US$/t net realised FOB price Zircon sand sales Zircon-in-concentrate sales 2,800 (H1 2024: 108kt) (H1 2024: 25kt) 2,400 2,000 1,600 US$1,695/t 1,200 Zi
Slide 15: Markets – high-grade titanium feedstocks
Markets – high-grade titanium feedstocks 15 Global economic uncertainty impacting market conditions; changes in industry underway Synthetic rutile sales and net realised FOB price3 70kt 21kt Price (US$/t) SR sales SR price Sales (kt) Synthetic rutile sales Rutile1 sales 1,400 250 (H1 2024: 86kt) (H1
Slide 16: Global pigment price history
Global pigment price history 16 Anti-dumping duties implemented in low price environment (2024-2025) Iluka’s major customers are located in North America and Europe 4,500 4,000 Europe • 14-40% duties on Chinese pigment imports from June 2024 US$ per tonne (Real 2024 dollars) 3,500 3,000 2025 North A
Slide 17: Markets – rare earths
Markets – rare earths 17 Rare earths industry developments align with Iluka’s approach Growing recognition of the risks posed to global supply chains by China’s dominance in rare earths February 2025 April 2025 June 2025 July 2025 Global trade tensions rise China restricts rare earths US and China a
Slide 18: Rare earths demand set to increase materially
Rare earths demand set to increase materially 18 Global demand forecasts vary on market penetration, substitution and magnet composition Even low forecasts imply demand increases of 45-50% for both light and heavy magnet rare earth oxides over the next decade Global demand for magnet rare earth oxid
Slide 19: Magnet manufacturing capacity increasing
Magnet manufacturing capacity increasing 19 Ex-China rare earths supply chain continues to expand in parallel with Eneabba rare earths refinery construction and commissioning Estimated current and future NdFeB magnet production capacity ktpa 5ktpa NdFeB magnet NdPr Oxide ROW 2ktpa 10ktpa 350 Vietnam
Slide 20: Projects
Projects Balranald, New South Wales
Slide 21: Operations and projects
Operations and projects 21 Narngulu Iluka processing projects Processing: zircon, rutile, ilmenite Eneabba rutile, zircon, ilmenite 1. Balranald rare earths and rare earths refining rare earths, zircon, 2. Wimmera ilmenite, rutile 1 2 Refining: rare earths Jacinth- Capel Cataby Ambrosia processing m
Slide 22: Balranald
Balranald 22 Balranald project remains on schedule and budget – commissioning in H2 2025 Mining panels • $196 million execute capital expenditure in H1 2025 De-sliming cyclones • Construction work continues to progress safely and on schedule Flotation – all modules for the concentrator structure are
Slide 23: Eneabba rare earths refinery
Eneabba rare earths refinery 23 Construction progressing on schedule at Australia’s first fully-integrated refinery for the production of separated light and heavy rare earth oxides • Equipment arriving on site in preparation for placement including: – mixer settlers – agitators for the SX building
Slide 24: Eneabba rare earths refinery
Eneabba rare earths refinery 24 Reagent preparation unloading and storage Roaster kiln (cracking) and leach tanks Purification and washing thickeners Upstream SX (SX building 1) Control room and operations centre Downstream SX and evaporators (SX building 2) Product finishing: precipitation, filteri
Slide 25: Refinery capital expenditure update
Refinery capital expenditure update 25 Continued confidence in project capital cost estimate • Total estimated capital cost remains $1.7-1.8 billion; total capital expenditure to date of $570 million, at 30 June • Spent and committed expenditure of $1.0 billion at 31 July, representing ~57% of the t
Slide 26: Wimmera
Wimmera 26 A series of large, fine-grained deposits in Western Victoria, providing a potential multi-decade source of both rare earths and zircon – including the highly valuable heavy rare earths, dysprosium and terbium • Definitive feasibility study (DFS) continues to progress • Field work well adv
Slide 27: Rare earth concentrate supply
Rare earth concentrate supply 27 Feedstock agreement with Lindian Resources for 6ktpa rare earth concentrate for 15 years • Lindian is an ASX-listed company with rare earths and bauxite assets • Kangankunde is a large, high-grade rare earths deposit with an Ore Reserve of 23.7mt at 2.9% REO1 • Lindi
Slide 28: Supplementary Information
Supplementary Information
Slide 29: Supplementary information – Production, sales, revenue and costs
Supplementary information – Production, sales, revenue and costs 29 H1 2025 H1 2024 % change Production Zircon kt 71.8 70.7 1.6 ZIC kt 59.9 27.6 117 Rutile kt 35.6 35.6 - Synthetic rutile kt 113.1 94.7 19.4 Total Z/R/SR production kt 280.4 228.6 22.7 Ilmenite – saleable and upgradeable kt 190.8 190.
Slide 30: Supplementary information – Income statement
Supplementary information – Income statement 30 A$ million H1 2025 H1 2024 % change Z/R/SR revenue 521.6 560.2 (6.9) Ilmenite and other revenue 36.1 46.0 (21.5) Mineral sands revenue 557.7 606.2 (8.0) Cash costs of production (319.1) (321.2) (0.7) By-product costs (10.9) (9.3) 17.2 Inventory movemen
Slide 31: Supplementary information – Reconciliation of non-IFRS information
Supplementary information – Reconciliation of non-IFRS information 31 Non-Operating $m Mineral Sands Rare Earths Idle Total Operations Group (Corp & Other) Mineral sands revenue 557.7 - - 557.7 - 557.7 Freight revenue 20.1 - - 20.1 - 20.1 Expenses (312.8) - (9.0) (321.8) (14.8) (336.6) Share of prof
Slide 32: Supplementary information – Weighted average received prices
Supplementary information – Weighted average received prices 32 FY 24 Q4 24 Q1 25 Q2 25 H1 25 US$/tonne FOB Zircon premium and standard 1,882 1,819 1,698 1,692 1,695 Zircon 1,721 1,587 1,557 1,442 1,491 (all products, including zircon-in-concentrate)1 Rutile 1,694 1,662 1,549 1,496 1,519 (excluding
Slide 33: For more information contact
33 For more information contact Luke Woodgate, General Manager, Investor Relations and Corporate Affairs investor.relations@iluka.com Jacinth-Ambrosia, South Australia