Nordic Mining Asa · OSL:NOM
Nordic Mining Asa — Q3 2024 Earnings Presentation
25 slides from Nordic Mining Asa's earnings presentation, Nov 5, 2024
Slide 1: Minerals for a Sustainable Future – Q3 2024 Interim presentation
MINERALS FOR A SUSTAINABLE FUTURE Q3 2024 Interim presentation November 5th, 2024
Slide 2: Contents and Disclaimer
CONTENTS •DISCLAIMER Introduction 4 By Ivar Fossum This document has been used by Nordic Mining during an oral • Engebø Rutile and Garnet 10 presentation. Therefore, this document is incomplete without the Byexplanations, oral Kenneth Nakken Angedal and supporting instruments that comments were subm
Slide 3: 1. Introduction
1. Introduction 2. Engebø Rutile and Garnet 3. Kvinnherad quartz 4. Financial update Q3-2024 5. Q & A 3
Slide 4: Highlights
Highlights • No Lost Time Injuries (LTI) in the 3rd quarter Safety & • 924 days to date without LTI ESG • Focus on water management • NOK 278 million invested in Engebø in 3rd quarter Progress & • NOK 2.6 billion invested in total schedule • Construction on schedule towards production ramp-up in Q4
Slide 5: 2. Engebø Rutile and Garnet
1. Introduction 2. Engebø Rutile and Garnet 3. Kvinnherad quartz 4. Financial update Q3-2024 5. Q & A 5
Slide 6: Health and safety
Health and safety • No Lost Time Injuries (LTI) recorded over the project to date, with a total of 924 days LTI free days. • The quarter peaked with an average of 160 construction workers at site over the period as the project reached mechanical completion and commissioning commenced. • All remainin
Slide 7: Construction on schedule for production ramp-up in Q4
Construction on schedule for production ramp-up in Q4 • All Customer Provided Items (“CPIs”) have been installed by Structural, Mechanical Piping and Plating (“SMPP”) contractor according to plan and are ready for commissioning. • The Civil and Buildings contractor has completed majority of contract
Slide 8: Construction Progress – Mining area
Construction Progress – Mining area Waste rock benches on 305 and RL315 being created to access ore bench on RL295 Pit benches being prepared in north east corner 8
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Slide 11: Mining area ready for production ramp-up
Mining area ready for production ramp-up Open pit area • All infrastructure required for mining operations completed • Haul road tunnel completed • Ore stockpile for first 3 months of operations available in pit Waste rock and stockpile storage area • Forestry work to prepare waste rock and stockpil
Slide 12: Mineral processing plant completed with commissioning ongoing
Mineral processing plant completed with commissioning ongoing Process plant mechanical completed • Comminution and Mineral Processing plant mechanical completed • Filling and testing of water lines ongoing • Comminution and Milling circuit partly hot commissioned and ready for ore • Mineral processi
Slide 13: Focus on hot commissioning of mineral separation units
Focus on hot commissioning of mineral separation units Executed in stages to progress area by area towards production ramp-up Cold Commissioning Hot Commissioning Tuning of process plant • The hot commissioning phase continues into the fourth quarter with the expectation of the following milestones:
Slide 14: Pigment demand in 2H 2024 is lower than expected
Pigment demand in 2H 2024 is lower than expected Titanium pigment After an encouraging first half of 2024, western pigment producers reported lower demand levels for pigment in Q3. Going into Q4, pigment demand is expected to go down further due to lower seasonal demand and weak housing sector. Alth
Slide 15: Nordic Mining – Barton partnership: operational readiness despite soft markets
Nordic Mining – Barton partnership: operational readiness despite soft markets • In Q3, Nordic Mining’s garnet offtake partner, BARTON group, attended IMTS in Chicago, Fabtech in Orlando, and EuroBLECH in Hannover. Each show featured the partnership and news of new European garnet was very well rece
Slide 16: Soft rutile prices expected to recover in 2025
Soft rutile prices expected to recover in 2025 Rutile • Two offtake agreements covering up to full production volume for the first five years. • Price is based on market price mechanisms using global, independent consulting and publishing company TZ Minerals International Pty Ltd. • As from Q3 2023,
Slide 17: 3. Kvinnherad quartz
1. Introduction 2. Engebø Rutile and Garnet 3. Kvinnherad quartz 4. Financial update Q3-2024 5. Q & A 17
Slide 18: Bulk sample collection for large-scale test work
Bulk sample collection for large-scale test work • Field work isProcess ongoing Plant mechanically to extract complete bulk samples from the Kvinnherad quartz deposit. • Comminution and Mineral Processing plant mechanical completed • Filling and testing of water lines ongoing • Bulk samples • will b
Slide 19: High Purity Quartz is critical for the photovoltaic and semiconductor industries
High Purity Quartz is critical for the photovoltaic and semiconductor industries From CNBC onProcess October Plant mechanically complete 3rd, 2024: • Comminution and Mineral Processing plant mechanical completed Filling Virtually all of •the and supply world’s testing of of water lines that a minera
Slide 20: 4. Financial update Q3-2024
1. Introduction 2. Engebø Rutile and Garnet 3. Kvinnherad quartz 4. Financial update Q3-2024 5. Q & A 20
Slide 21: ~ NOK 2.6 billion invested in Engebø Project
~ NOK 2.6 billion invested in Engebø Project • Engebø construction expenditures of NOK 278 million capitalized on the balance sheet in Q3. • NOK 26 million moved from Mine under construction to Property, plant and equipment in Q3. • Engebø project is now fully financed until positive cash flow. • Wi
Slide 22: 5. Q & A
1. Introduction 2. Engebø Rutile and Garnet 3. Kvinnherad quartz 4. Financial update Q3-2024 5. Q & A 22
Slide 23: Highlights and Q&A
No Lost Time Injuries (LTI) in the 3rd quarter 924 days to date without LTI Focus on water management NOK 278 million invested in Engebg in 3rd quarter + NOK 2.6 billion invested in total * Construction on schedule towards production ramp-up in Q4 . —— ¢ Mining contractor agreement kicked off ¢ Firs
Slide 24: Consolidated income statement
Appendix Consolidated income statement Depreciation increased due to activation of 1 Engebø administration building in Q2 2024 and NOK million Q3 2024 Q2 2024 Q3 2023 YTD 2024 FY 2023 maintenance workshop in Q3 2024. Other income - - - - - Payroll and related costs (2.6) (1.8) (4.9) (7.2) (15.1) Dep
Slide 25: Consolidated statement of financial position
Appendix Consolidated statement of financial position NOK million Q3 2024 Q2 2024 YE 2023 1 • Engebø construction works of NOK 278 million Mine under construction 2 515.8 2 264.1 1 377.1 capitalized on balance sheet in Q3 2024, down Property, plant and equipment 1 80.0 46.2 3.1 from NOK 385 million