Altius Minerals Corporation · TSX:ALS

Altius Minerals — Q1 2018 Earnings Presentation

11 slides from Altius Minerals's earnings presentation, May 15, 2018

  1. Slide 1: 1st Quarter Fiscal 2018 Financial Results

    1st QUARTER FISCAL 2018 FINANCIAL RESULTS May 15, 2018

  2. Slide 2: Forward Looking Statements

    FORWARD LOOKING STATEMENTS This document includes certain statements that constitute “forward‐looking statements” and “forward-looking information” within the meaning of applicable securities laws (collectively, “forward‐looking statements”). Forward-looking statements include statements regarding A

  3. Slide 3: Overview of Q1 2018

    OVERVIEW OF Q1 2018 $15.8M ▪ Royalty revenues and EBITDA continue to grow in comparison to the prior 2-month period (2 months) $13.7M $13.4M $12.7M and year-ago quarter ended April 30, 2017. $11.0M $10.3M ▪ Repaid $3.25M in debt and paid $3.5M in dividends. ▪ In late March, acquired additional potas

  4. Slide 4: Revenue Mix (Total Revenue Basis Including Project Generation)

    REVENUE MIX (TOTAL REVENUE BASIS INCLUDING PROJECT GENERATION) Other 2% Met. Met. Other Coal Coal 4% Iron 5% 5% Ore Iron 7% Ore 7% Zinc 10% Zinc April 30-2017 Copper Copper 9% March 31-2018 36% (Three Months Period) 36% (Three Months Period) Revenue Revenue Potash Commodity Mix Commodity Mix 12% Pot

  5. Slide 5: Highlights – Revenue Growth From Commodity Price Appreciation & Production Gains

    HIGHLIGHTS – REVENUE GROWTH FROM COMMODITY PRICE APPRECIATION & PRODUCTION GAINS ▪ Our exposure to copper continues to grow with price increases of 22% above the three months ended April 2017. ▪ Chapada volumes have increased period over period offset by some production declines in copper at 777. ▪

  6. Slide 6: Borrowing & Liquidity

    BORROWING & LIQUIDITY ▪ Increased interest in potash royalties through $65 million investment that was financed through revolver while longer term financing is being organized. ▪ Acquired investments of $6.7 million ($5.1 million additional Alderon) during the three months ended March 31, 2018. ▪ In

  7. Slide 7: Commodity Price Sensitivity to EBITDA

    COMMODITY PRICE SENSITIVITY TO EBITDA ▪ Various mine production volumes which are moderately seasonal ▪ Base metal and bulk commodity prices Average Prices (1) Price EBITDA Commodity Price Leverage (March 31, 2018) (+/- 10%) (∆) Copper US$3.16/lb $0.31 $1.7M Zinc US$1.55/lb $0.16 $0.6M Potash $314/t

  8. Slide 8: Project Generation Business

    PROJECT GENERATION BUSINESS ▪ Project Generation business and equity portfolio remains strong. ― Added to portfolio with Alderon and other small investments/vend-ins. ― Several additional shares for properties positions subject to pending closings 8

  9. Slide 9: Outlook

    OUTLOOK ▪ Revenue guidance of $64 – $69 million unchanged ▪ Next quarter growth from potash royalties at the higher 91.3% ownership of PRLP ▪ Yamana’s announcements on three-phase Chapada expansion could increase production from 120 mm lbs annually to 150-160 million pounds annually ▪ IOC strike con

  10. Slide 10: Blue Sky Renewable Royalties

    BLUE SKY RENEWABLE ROYALTIES ▪ Blue Sky Renewable Energy Royalties is under development as a co- venture of Great Bay Renewables and Altius ▪ Great Bay Renewables is a proven renewable energy sector investor and developer ▪ Altius expects to be the largest shareholder of Blue Sky while other strateg

  11. Slide 11: Non-IFRS Measures

    NON-IFRS MEASURES Attributable revenue and adjusted EBITDA is intended to provide additional information only and do not have any standardized meaning prescribed under IFRS and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Othe

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