Slide 1: Iluka Resources 2024 Full Year Results
1 Iluka Resources (ASX:ILU) 2024 Full Year Results 19 February 2025 Balranald, New South Wales
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 Rutile Balranald on track production of 496kt Eneabba rare earths marketing discipline $231 million for commissioning refinery fully funded maintained; market Net cash (excluding Zircon (including ZIC) 227kt
Slide 4: Sustainability outcomes
Sustainability outcomes 4 Maintain zero fatalities and Strengthen community Optimise mine closure Deliver commercial reduce injuries relationships outcomes decarbonisation solutions 3.3 SPIFR (3.6 in FY 2023) Introduced Iluka Lends a 403ha of land rehabilitated Commissioned 9MW solar Hand community
Slide 5: Results overview
Results overview 5 Units Full year 2024 Full year 20231 % Change Z/R/SR Production kt 496 639 $477m (22%) Z/R/SR Sales kt 475 494 (4%) Underlying mineral sands EBITDA Mineral sands revenue $m 1,129 1,238 (9%) Underlying mineral sands EBITDA $m 477 582 (18%) $231m Underlying mineral sands EBITDA marg
Slide 6: Underlying net profit – FY 2023 to FY 2024
Underlying net profit – FY 2023 to FY 2024 6 $m 400 Underlying NPAT FY 2023 vs FY 2024 343 350 • Growth in zircon sand sales volumes were offset partly by lower prices, particularly in Q4 2024, while 300 35 ZIC sales represented available production 3 • Synthetic rutile sales were in line with Iluka
Slide 7: Group balance sheet
Group balance sheet 7 $m Group net cash (debt) $90m net cash 600 (excluding non-recourse net debt) 400 200 0 $800m MOFA facilities (200) (400) Net cash (debt) (excluding non-recourse debt) Reported net cash (debt) Non-recourse debt $1,650m non-recourse (600) H1 15 H2 15 H1 16 H2 16 H1 17 H2 17 H1 18
Slide 8: Cash flow and balance sheet: mineral sands
Cash flow and balance sheet: mineral sands 8 Net cash 31 December 2023 to 31 December 2024 600 252 12 ( 12 ) • Mineral sands business remains in a net cash position of $90m 500 despite investing $272 million in mineral sands capital expenditure 400 ( 129 ) – Investment in Balranald extends Iluka’s p
Slide 9: Cash flow and balance sheet: rare earths (non-recourse funding)
Cash flow and balance sheet: rare earths (non-recourse funding) 9 - ( 50 ) Net debt 31 December 2023 to 31 December 2024 ( 100 ) ( 82 ) • Capital expenditure of $162 million $m ( 150 ) • Iluka equity contribution of $50 million ( 200 ) 50 6 ( 205 ) ( 250 ) ( 162 ) ( 13 ) (3) ( 300 ) 31 December Cape
Slide 10: Deterra Royalties Key Features
Deterra Royalties 10 Key Features Run rate with Mining Area C royalty receipts (A$m)1 Mining Area C Production (Mwmt) South Flank = 145 mwmt2 265 228 239 46 13 140 64 69 121 62 92 2 126 119 104 1 68 89 29 31 34 57 30 47 63 61 69 118 104 49 28 41 93 96 48 31 26 30 28 28 26 44 2018 2019 2020 2021 2022
Slide 11: Operations
Operations 11 Narngulu processing Change Production (kt) 2024 2023 (%) Zircon sand 158.0 239.5 (34) Zircon-in-concentrate (ZIC) 69.2 87.5 (21) Processing: zircon, rutile, ilmenite Rutile (incl. HyTi) 57.8 52.7 10 Synthetic rutile 211.2 259.5 (19) Total Z/R/SR 496.2 639.2 (22) Cataby 2024 overview mi
Slide 12: Markets
Markets
Slide 13: Markets – zircon
Markets – zircon 13 Maintained a disciplined approach to markets 165kt 65kt Zircon sand sales Zircon in concentrate sales US$/t Zircon (premium and standard) net realised FOB price (2023: 147kt) (2023: 87kt) 2,800 2,400 2,000 US$1,882/t 1,600 Zircon premium and standard price 1,200 (2023: US$2,066/t
Slide 14: Markets – high-grade titanium feedstocks
Markets – high-grade titanium feedstocks 14 Demand for Iluka’s high grade feedstock products is stable Price Sales 200kt 45kt (US$/t) High grade titanium sales 1 and net realised FOB price 2 (kt) Synthetic rutile sales Rutile1 sales 2,500 Rutile sales (Iluka ex SRL) SR sales 250 (2023: 211kt) (2023:
Slide 15: Global pigment market tariffs
Global pigment market tariffs 15 Pigment industry trade flows undergoing change as a result of tariffs - potentially favourable to Iluka Iluka’s major customers are located in North America and Europe Europe • 14-40% duties on Chinese pigment imports from June 2024 North America • ~130ktpa of unecon
Slide 16: Inventory position
Inventory position 16 • During 2024, Iluka added ~20kt finished goods inventory to close at ~300kt, with ~$480 million closing stock at 31 December 2024 Z/R/SR finished goods and HMC inventory • Heavy mineral concentrate inventory (HMC) of ~700kt at 31 December 2024 700 1,600 Iluka’s • HMC inventori
Slide 17: Projects
Projects Balranald, New South Wales
Slide 18: Operations and projects
Operations and projects 18 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 mi
Slide 19: Eneabba rare earths refinery
Eneabba rare earths refinery 19 Australia’s first fully integrated refinery for the production of separated light and heavy rare earth oxides • $162 million capital expenditure in 2024 – total capital expenditure of $337 million • Long lead packages awarded and activity progressing across all work p
Slide 20: Refinery capital expenditure update
Refinery capital expenditure update 20 Improved confidence in project capital cost estimate driven by awarded packages tracking closely to budget and significant remaining contingency, growth and escalation allowances A$m • Total estimated capital cost is $1.7-1.8 billion 2,000 ~1,020 - 1,120 ~1,700
Slide 21: Balranald, New South Wales
Balranald, New South Wales 21 Balranald is a rutile-rich critical minerals development in south western New South Wales. Owing to its relative depth, Iluka is developing Balranald via an internally developed, remotely operated underground mining technology. Final investment decision (FID) approved F
Slide 22: Wimmera, Victoria
Wimmera, Victoria 22 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) progressing, field work well adva
Slide 23: Supplementary Information
Supplementary Information
Slide 24: Outlook for 2025
Outlook for 2025 24 Key Parameters 20231 2024 20252 Comments Production Zircon sand kt 240 158 165 Zircon in concentrate kt 88 69 60 Rutile3 kt 53 58 50 Synthetic Rutile kt 260 211 220 Total Z/R/SR kt 639 496 495 Cash costs of production (Z/R/SR) $m 661 644 680 Unit cash costs of production $/t Z/R/
Slide 25: Outlook for 2025
Outlook for 2025 25 Key Parameters 20231 2024 20252 Comments Other cash costs ($m) By-product costs 11 16 10 Restructure, idle costs and other non-production 18 35 40 Includes $25m for Balranald Operational readiness Major projects, exploration and innovation 54 40 40 Corporate and other 33 49 40 Ma
Slide 26: Supplementary Information – Production, Sales, Revenue and Costs
Supplementary Information – Production, Sales, Revenue and Costs 26 FY 2024 FY 2023 % change Production Zircon kt 158.0 239.5 (34.0%) ZIC kt 69.2 87.5 (20.9%) Rutile kt 57.8 52.7 9.7% Synthetic rutile kt 211.2 259.5 (18.6%) Total Z/R/SR production kt 496.2 639.2 (22.4%) Ilmenite – saleable and upgra
Slide 27: Supplementary Information – Income Statement
Supplementary Information – Income Statement 27 A$ million FY 2024 FY 2023 % change Z/R/SR revenue 1,043.4 1,143.2 (8.7) Ilmenite and other revenue 85.1 95.1 (10.5) Mineral sands revenue 1,128.5 1,238.3 (8.9) Cash costs of production (644.0) (660.5) (2.5) By-product costs (16.4) (11.2) 46.4 Inventor
Slide 28: Supplementary Information – Reconciliation of non-IFRS information
Supplementary Information – Reconciliation of non-IFRS information 28 Non-Operating $m Mineral Sands Rare Earths Idle Total Operations Group (Corp & Other) Mineral sands revenue 1,128.5 - - 1,128.5 - 1,128.5 Freight revenue 41.8 - - 41.8 - 41.8 Expenses (611.1) - (15.5) (626.6) (37.7) (664.3) Share
Slide 29: Supplementary Information - Weighted average received prices
Supplementary Information - Weighted average received prices 29 Q1 24 Q2 24 Q3 24 Q4 24 FY 24 FY 23 US$/tonne FOB Zircon premium and standard 1,873 1,907 1,891 1,819 1,882 2,066 Zircon 1,753 1,801 1,674 1,587 1,721 1,849 (all products, including zircon in concentrate)1 Rutile 1,828 1,690 1,589 1,662
Slide 30: For more information contact
30 For more information contact Luke Woodgate, General Manager, Investor Relations and Corporate Affairs investor.relations@iluka.com Jacinth-Ambrosia, South Australia