Slide 1: HY2024 results presentation
HY2024 results presentation 2 3 M AY 2 0 2 4
Slide 2: Why Mining, Why Now, Why Tharisa
WHY MINING • WHY NOW • WHY THARISA NOW THARISA MINING OECD forecasts that global materials Mine builders and operators “If it is not grown it is mined” demand will more than double in 2060 Multi-generational assets of strategic Critical to supply into the clean energy Significant global
Slide 3: Continued macro adversity
CONTINUED MACRO ADVERSITY HEADWINDS TAILWINDS COMMODITIES MACRO Co-product business model Electricity constraints in South Africa Buoyant chrome commodity market Transport infrastructure challenges Counter cyclical commodities in basket Geopolitical complexities Fundamentals for both c
Slide 4: 10 years listed on the JSE
10 YEARS LISTED ON THE JSE 4 enriching lives through innovating the resources company of the future
Slide 5: The vital numbers
US$1 344/oz US$288/t THE VITAL NUMBERS down 39.3% PGM BASKET PRICE up 16.9% MET GRADE PRICE REVENUE EBITDA NET PROFIT AFTER TAX US$369.1 m US$79.6 m US$38.8 m up 10.1% down 2.0% down 29.1% (HY2023: US$335.3 m) (HY2023: US$81.2 m) (HY2023: US$54.7 m) NET CASH FROM OPERATING ACTIVITIES CAPITAL EXPENDI
Slide 6: Commodities: PGMs
US$1 460/oz COMMODITIES SPOT PGM BASKET PRICE Ru Ir Ru 14.4% 1.9% 4.2% Au PGMS Ir 4.4% 8.0% Primary supply reduction should be main catalyst for PGM price Au Rh 4.3% increases 0.2% THARISA KARO Pt Recycling less of a supply contributor as vehicle ownership Rh MINERALS PLATINUM 42.0% PRILL SPLIT
Slide 7: Commodities: Chrome
US$310/t COMMODITIES SPOT MET GRADE PRICE CHROME No substitution for chrome in stainless steel production METALLURGICAL GRADE PRICE AND PORT STOCKS (US$/t) and (Mt) Stainless steel demand growth for 2023 of ~5%, Chinese production increased 12.6% for 2023 310 3.5 Chrome prices remain robust on
Slide 8: Strategy
STRATEGY | ca es
Slide 9: Vision 2025
VISION 2025 EXPANSION expand and roll out the business sustainably OPTIMISATION optimise existing operations INNOVATION continue to invest in innovative thinking DIVERSIFICATION become a globally diversified business INVESTMENT be the investment of choice in our chosen sector ENRICHMENT responsibly
Slide 10: Security of raw material supply through shallow multigenerational mineral assets
39.4 Moz & 11.3 Moz 166.2 Mt IN CONTAINED PGMS (6E) IN CONTAINED CHROME Karo Platinum SECURITY OF RAW MATERIAL Redox One Tharisa Mine Arxo Metals Renewable Energy Centre SUPPLY THROUGH SHALLOW MULTIGENERATIONAL MINERAL ASSETS, ENABLED BY Dortmund Victoria Falls Harare TECHNOLOGY AND INNOVATION Arxo
Slide 11: Ttharisa Minerals
THARISA MINERALS UNLOCKING STRATEGIC VALUE AND FLEXIBILITY LTIFR 0.05 per 200 000 man hours worked Reef tonnes mined 2.1 Mt, down 0.8% Reef milled 2.8 Mt, up 0.2% PGM production 71.1 koz, down 7.7% Chrome production 865.6 kt, up 9.9% Accelerating underground studies, ensuring sustainable
Slide 12: Karo Project
KARO PROJECT MULTIGENERATIONAL PGM DEVELOPMENT ASSET – LONG TERM STRATEGIC VIEW THROUGH THE CYCLE LTIFR 0.11 per 200 000 man hours worked Construction continues steadily with value engineering running in parallel Finalising fiscal regime necessary for a tier one project Current market condit
Slide 13: An ethos of innovation
AN ETHOS OF INNOVATION ARXO METALS BENEFICIATION SITE Commercial pyrometallurgical site – producing novel alloys Unique PGM refining process proven ARXO METALS TECHNOLOGY DEVELOPMENT CENTRE Facility to run laboratory and pilot scale test work – downstream focus ARXO METALS RENEWABLE ENERGY CEN
Slide 14: Mine to megawatt
MINE TO MEGAWATT DECARBONISATION CIRCULAR ECONOMY PGMS CHROME PATHWAYS Producing lower carbon Catalytic properties Stainless steel requirement in Electrification (solar renewable energy minerals Slower BEV uptake, hybrid project) All metals will be in demand solutions increase in uptake
Slide 15: Financial highlights
FINANCIAL ae HIGHLIGHTS Bs
Slide 16: Financial resilience through our co-production model
FINANCIAL RESILIENCE THROUGH OUR CO-PRODUCTION MODEL MULTI COMMODITIES CASH FLOW GENERATIVE CAPITAL DISCIPLINE CONTINUED INVESTMENT Share repurchase programme Technology and downstream Co-production model Net cash flows from of US$5 m beneficiation investment Polymetallic basket of operatio
Slide 17: Multi commodity revenue stream
MULTI COMMODITY REVENUE STREAM Agency and Manufacturing and trading consulting 9.8% 1.0% FCA REVENUE* PGM Chrome 26.0% 63.2% US$369.1 m Revenue increase of 10.1% Benefits of co-production model PGM sales of 70.6 koz Average PGM basket price of US$1 344/oz Au Ni Cu Ru 1.5% Specialty 3.2% grade Metall
Slide 18: EBITDA waterfall
EBITDA WATERFALL 18 enriching lives through innovating the resources company of the future
Slide 19: Unit costs
UNIT COSTS % Units HY2024 HY2023 change Overheads 10.4% Labour Cubes mined Mm3 8.7 7.3 19.2 13.6% Cost per cube mined* US$/m3 10.6 10.9 (2.8) Reef tonnes mined Mt 2.1 2.1 Consumables Mining Cost per reef tonne mined* US$/t 44.1 37.7 17.0 3.6% ON MINE CASH 24.8% COSTS Tonnes milled Mt 2.8 2.8 Electri
Slide 20: Resilient gross profit
RESILIENT GROSS PROFIT GROSS PROFIT AND MARGIN 300.0 (US$ m) 40.0% 34.8% 35.8% 35.0% 32.1% 250.0 245.7 30.0% US$81.4 m 200.0 207.4 25.0% Gross profit decrease of 13.0% 23.6% 22.1% 150.0 20.0% 153.3 130.4 15.0% Weakening ZAR to US$ exchange rate of 6.3% partially offset inflation 100.0 Stable gross p
Slide 21: Investing in the future
INVESTING IN THE FUTURE Land and buildings Other US$0.6 m US$1.8 m R+D and innovation US$2.3 m Mining fleet US$10.4 m US$114.1 m HY2024 Assets and Total capital spent CAPITAL infrastructure US$4.3 m SPENT* Sustainable operations enabled by continued investment in asset base Includes: Deferred stripp
Slide 22: Balance sheet
BALANCE SHEET FREE CASH FLOW (US$ m) US$198.5 m Cash and cash equivalents* Cash generative despite PGM pricing environment and inflationary pressures Net cash flow from operations of US$86.2 m Net cash of US$86.3 m* US$112.3 m Leases 1.9% Total debt Bond 24.3% Short term US$49.4 m 89.4% US$ denomina
Slide 23: Returns to shareholders
3.6% RETURNS TO SHAREHOLDERS DIVIDEND YIELD (TTM) US 1.5 cents Interim dividend 15.0 24.5%* 24.5%* of NPAT including share repurchase programme underway 13.0 22.0% Policy minimum of 15% of NPAT 20.5% 19.2% 18.5% 11.0 17.8% 17.1% 17.7% 17.3% 16.3% 17.0% 9.0 US$5 m 12.0% 9.0 7.0 Share repurchase progr
Slide 24: Guidance & value proposition
GUIDANCE & VALUE PROPOSITION
Slide 25: Guidance
GUIDANCE FY2024 GUIDANCE PGMs (6E basis) of 145 koz to 155 koz Chrome concentrates of 1.7 Mt to 1.8 Mt 25 enriching lives through innovating the resources company of the future
Slide 26: Long term value play
LONG TERM VALUE PLAY Critical commodities Diversification, beneficiation and energy transition Co-producer of PGMs and chrome concentrates, mine two commodities critical to a sustainable Maxmising the value of our commodities by future using innovation and technology 1 6 OUR Output to double at Inte
Slide 27: Tharisa is an end to end critical metals and energy solution provider
THARISA IS AN END TO END CRITICAL METALS AND ENERGY SOLUTION PROVIDER INNOVATING THE RESOURCES COMPANY OF THE FUTURE 15 years 10 years 9 years ~US$100 m ~US$695 m operations cash generative profitable returned to capital invested shareholders
Slide 28: Questions
QUESTIONS Kgopotso Mashiane Junior Operations Metallurgist
Slide 29: Disclaimer
DISCLAIMER These Presentation Materials are for information purposes only and must not be used or relied upon for the purpose of making any investment decision or engaging in any investment activity. Whilst the information contained herein has been prepared in good faith, neither Tharisa plc (the ‘C