Murray & Roberts Holdings Ltd

Murray & Roberts — Investor Presentation (June 2017)

26 slides from Murray & Roberts's investor presentation, Jun 26, 2017

  1. Slide 1: Underground Mining Platform – Orrie Fenn

    BUSINESS PLATFORM PRESENTATIONS Underground Mining Platform – Orrie Fenn 26 June 2017 ENGINEERED EXCELLENCE

  2. Slide 2: Organisational Context

    • Organisational Context - Structure, Service Offering, Client Base, Commodities • Safety • Strategic Themes • Risks & Opportunities 222 • Prospects • Key Projects Oyu Tolgoi Mongolia Freeport Grasberg Indonesia Oyu Tolgoi © Murray & Roberts 2017 | 2 ENGINEERED EXCELLENCE 2

  3. Slide 3: Platform entities, service offering and positioning

    Entity MRC¹ RUCC CCI² (CSA) Region Africa Australasia & Asia Americas & Europe Specialist Mine Engineering (concept/pre-feasibility/feasibility to final design) Service Mine Development: Shaft sinking, development, construction, equipping & raise boring Offering Contract Mining • Africa’s leading un

  4. Slide 4: Current projects, tenders and offices

    Sudbury Rouyn-Noranda Vancouver North Bay Salt Lake City Hong Kong Accra Kitwe Kalgoorlie Johannesburg Perth Current/recent projects Tendering projects Offices © Murray & Roberts 2017 | 4 Note: Chile Santiago Office closed FY16 ENGINEERED EXCELLENCE

  5. Slide 5: ENGINEERED EXCELLENCE

    © Murray & Roberts 2017 | 5 ENGINEERED EXCELLENCE

  6. Slide 6: Canadian Shaft Sinking

    23 May 2016 • South Deep world’s deepest single-drop shaft • Kidd Mine Canada’s deepest shaft 222 18 Nov 2014 Canadian Shaft Sinking © Murray & Roberts 2017 | 6 ENGINEERED EXCELLENCE

  7. Slide 7: Relationships with top tier clients

    RELATIONSHIPS WITH TOP TIER CLIENTS Kennecott (USA) - 6* Mufulira (Zambia) - 5 Diavik (Canada) - 7 STRATEGY TO DEVELOP LIFE-OF-MINE Synclinorium (Zambia) - 5 Resolution (USA) - 11 George Fischer (Australia) Oyu Tolgoi (Mongolia) - 5 Fraser (Canada Totten (Canada) - 10 Wessels (RSA) - 7 Lubambe (Zamb

  8. Slide 8: Good spread of commodities in order book

    Total Platform Total Platform The Americas Australasia Africa R16.3bn R12.9bn R2.5bn R1.2bn R9.2bn Dec 2015 Dec 2016 7% 12% 12% 18% 8% 9% 42% 36% 37% 8% Copper 15% Gold 17% 1% 15% Copper-Gold 12% 2% Diamonds 11% 24% 6% Silver 13% 1% 14% Platinum 9% Coal 53% 12% 4% 62% Potash 30% 38% Manganese 6% 26%

  9. Slide 9: Safety

    • Organisational Context • Safety - Lead & Lag Indicators • Strategic Themes • Risks & Opportunities 222 • Prospects • Key Projects Freeport Oyu Tolgoi © Murray & Roberts 2017 | 9 ENGINEERED EXCELLENCE 2

  10. Slide 10: Safety: We Deliver Mines - Safely

    • Platform’s mantra: ‘We Deliver Mines - Safely’ • Fully support Group’s HSE framework & Stop.Think. Act 24/7 - Focus on lead indicators & critical controls (MAP) • MRC 19 months fatality-free - MRCSA (85% of workforce) 32 months fatality-free: CCI 28 months fatality-free • Platform FY17 LTIFR & TRC

  11. Slide 11: Strategic Themes

    • Organisational Context • Safety • Strategic Themes - Growth, Operational Excellence, Innovation • Risks & Opportunities 222 • Prospects • Key Projects Freeport Oyu Tolgoi Diavik Canada © Murray & Roberts 2017 | 11 ENGINEERED EXCELLENCE 2

  12. Slide 12: Strategic themes: growth by entity

    • Drive focused African strategy via targeted client engagement & selective local partnerships MRC • Further develop Rapid Access Development capability • Enhance/hone Trackless Mechanised Mining skills/ability • Continue to consolidate, promote & expand mine development service offering RUCC • Maxi

  13. Slide 13: Order book by segment

    Order Book 100% • Operations (contract mining) = 60% of order book (March 2017) 80% • Projects include Booysendal, EPL2, Kalagadi (MRC), Eagle (CUSA), Diavik (CC), Karari & Dacian (RUCC) 60% • ~33% of FY17E revenue will be generated by Operations segment 40% • Objective to secure further contract mi

  14. Slide 14: Innovation

    • Virtual reality 3D modelling tools & visualisation techniques as part of the design process • Slurry-based injection hoisting system for muck/rock transport - Joint winner of Goldcorp’s global innovation competition (March 2017) • Minetec ether-based network of wireless data communications for equ

  15. Slide 15: Risks & Opportunities

    • Organisational Context • Safety • Strategic Themes • Risks & Opportunities • Prospects Brucejack Canada 222 • Key Projects Freeport Oyu Tolgoi © Murray & Roberts 2017 | 15 ENGINEERED EXCELLENCE 2

  16. Slide 16: Risks and opportunities

    Risks Opportunities • Commodity upturn stalls & demand • Leverage synergies between platform tapers off entities (including Merit Consulting & CemAG) to increase service offering • Lack of skills impacts the platform’s & to clients worldwide the clients’ ability to deliver projects under strong orga

  17. Slide 17: Prospects

    • Organisational Context • Safety • Strategic Themes • Risks & Opportunities • Prospects 222 • Key Projects Freeport Oyu Tolgoi Venetia RSA © Murray & Roberts 2017 | 17 ENGINEERED EXCELLENCE 2

  18. Slide 18: Prospects and pipeline opportunities

    • Near orders include Venetia & Mufulira MRC • Key targets include Bokoni, Mponeng, Platreef, Swartberg, Munali, ~R9.3bn Booysendal, Wesizwe • Good progress made by Kalagadi & project could commence shortly* CCI • Near orders Kennecott, Cargill & Eagle East • Key targets include Vale CCM, IC Potash,

  19. Slide 19: Oyu Tolgoi shafts and decline progress

    Shafts & Decline Progress to Date Proposed Underground Development For Block Cave • 3.4km decline • 1km shafts © Murray & Roberts 2017 | 19 ENGINEERED EXCELLENCE

  20. Slide 20: Key Projects

    • Organisational Context • Safety • Strategic Themes • Risks & Opportunities • Prospects 222 • Key Projects - Goderich, Freeport, Booysendal Freeport Oyu Tolgoi © Murray & Roberts 2017 | 20 ENGINEERED EXCELLENCE 2

  21. Slide 21: Goderich salt mine

    • Goderich biggest underground salt mine in the world • Situated 550m under Lake Huron (Ontario) • Compass Minerals put the project out to tender with a prescribed methodology • Selected CC as the EPC contractor to design/construct two headframes & design/replace linings in two existing shafts • CC

  22. Slide 22: Freeport Grasberg

    • Freeport-McMoRan’s Grasberg mine (Indonesia) - World’s largest gold mine & third largest copper mine • RUCC current contract tenure 2011-2020 - Cost reimbursable contract • Scope has steadily grown since Jan 2011 - Initial entry via raiseboring; then shaft design/construction with CC • RUCC’s scop

  23. Slide 23: Booysendal mine

    • Northam Platinum Booysendal mine (Mpumalanga) - 105moz PGM resource; UG2 & Merensky ore bodies • Mechanised board & pillar mine utilising low profile TMM - Mining fleet 169 (52 LHDs + 23 Drill Rigs + 27 Bolters) • Production UG2 200kt/month & Merensky 25kt/month - 185k ounces (steady state) reache

  24. Slide 24: Mt. Morgans Booysendal Central

    Mt. Morgans Booysendal Central © Murray & Roberts 2017 | 24 ENGINEERED EXCELLENCE

  25. Slide 25: Forward-looking statements

    1. This presentation includes certain various “forward-looking statements” within the meaning of Section 27A of the US Securities Act 10 1933 and Section 21E of the Securities Exchange Act of 1934 that reflect the current views or expectations of the Board with respect to future events and financial

  26. Slide 26: Business Platform Presentations

    BUSINESS PLATFORM PRESENTATIONS Underground Mining Platform – Orrie Fenn This presentation is available on www.murrob.com ENGINEERED EXCELLENCE

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