Northam Platinum Holdings Limited · JSE:NPH
Northam Platinum — H1 2004 Earnings Presentation
17 slides from Northam Platinum's earnings presentation, Feb 5, 2004
Slide 1: Interim Results for the six months ended 31 December 2003
INTERIM RESULTS for the six months ended 31 December 2003 Glyn Lewis – General Manager
Slide 2: Key features
Key features • Tonnes milled up 7.3% • Metals in concentrate produced up 9.4% to 5 694 kg • Metal sales up 32.4% to 6 486 kg • Increase in unit cash costs contained at 2.5% • R418 million cash on hand • Interim dividend of 45 cents per share
Slide 3: Safety performance
Safety performance 10 3 9 7.99 8 2.06 7 2 6 5.28 1.51 4.82 5 1.28 1.21 4.02 1.14 1.16 4 2.80 1 3 2.50 2 1 0 0 F1999 F2000 F2001 F2002 F2003 H1 2004 F1999 F2000 F2001 F2002 F2003 H1 2004 LTIIR (per 200 000 man hours) RIIR (per 200 000 man hours) • Tragically, two employees died in mining accidents du
Slide 4: Operational overview
Operational overview • Total square metres mined up 3.7% to 245 360m2 • Tonnes milled up 7.3% to 1.2 million • Combined head grade improved by 1.9% to 5.5g/t(3PGE+Au) • PGMs in concentrate produced up 9.4% to 5 694 kg • Metal sales up 32.4% to 6 486 kg • Development metres down 5.0% to 7 450m • Mere
Slide 5: Mine plan
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Slide 6: Metals production
Metals production Six months ended Dec 2003 Dec 2002 Change Platinum (kg) 3 544 3 195 10.9% Palladium (kg) 1 721 1 567 9.8% Rhodium (kg) 308 339 (9.1%) Gold (kg) 121 104 19.6% Total 5 694 5 205 9.4%
Slide 7: Refined metal sales
Refined metal sales Six months ended Dec 2003 Dec 2002 Change Platinum (kg) 4 086 2 991 36.6% Palladium (kg) 1 904 1 490 27.7% Rhodium (kg) 366 316 15.8% Gold (kg) 130 101 28.7% Total 6 486 4 898 32.4%
Slide 8: Metal prices realised (R/kg)
Metal prices realised (R/kg) Six months ended Dec 2003 Dec 2002 Change Platinum 162 933 181 705 (10.3%) Palladium 43 121 99 725 (56.8%) Rhodium 108 213 230 492 (53.1%) Gold 84 654 102 744 (17.6%) Basket (3PGEs+Au) 123 125 158 289 (22.2%)
Slide 9: Basket price
Basket price R/kg US$/oz R’000 800 190 700 180 600 170 500 160 400 150 300 140 200 130 100 120 0 110 Jan- F M A M J J A S O N D Jan- F M A M J J A S O N D 02 03 Platinum (US$/oz) Palladium (US$/oz) US$ Basket Price R/kg Basket Price
Slide 10: Price sensitivity
Price sensitivity R 000’s 200 $400/ oz $450/ oz 18 0 $500/ oz 16 0 $550/ oz $600/ oz R/kg Basket price (3PGE+Au) 14 0 $650/ oz $700/ oz 12 0 $750/ oz $800/ oz 10 0 $850/ oz Cost 80 60 Pt = x 40 Pd = $200/oz 9 .0 0 8 .75 8 .50 8 .2 5 8 .0 0 7.75 7.50 7.2 5 7.0 0 6 .75 6 .50 6 .2 5 6 .0 0 Rh = $490/oz
Slide 11: Sales revenue (R000s)
Sales revenue (R000s) Six months ended Dec 2003 Dec 2002 Change Platinum 665 742 543 373 22.5% Palladium 82 103 148 568 (44.7%) Rhodium 39 714 72 910 (45.5%) Gold 11 005 10 386 6.0% Other 83 513 79 145 3.8% Total 882 077 854 382 3.2%
Slide 12: Unit operating costs
Unit operating costs Six months ended Dec 2003 Dec 2002 Change Operating costs (R/kg) 106 091 103 881 2.1% Operating costs (R/t milled) 498 478 4.2% Cash costs (R/kg) 97 051 94 705 2.5% Cash costs (R/t milled) 456 437 4.3%
Slide 13: Capital Expenditure
Capital Expenditure R million Accelerated development 21.8 Access infrastructure to 1 level 8.3 20 Line fissure development (7 & 8 lev) 2.0 Refrigeration 10.1 Shaft upgrade 2.4 Backfill reticulation 4.5 Routine 11.2 Total 60.3
Slide 14: Operating cash flow
Operating cash flow Rand million 1000 900 800 700 600 449 500 532 400 81 300 293 352 308 200 215 262 81 100 130 88 0 F1999 F2000 F2001 F2002 F2003 F2004 1st Half 2nd Half
Slide 15: Cash distributions
Cash distributions Cents per share 300 250 200 135 175 150 35 100 110 100 100 50 70 15 45 0 10 20 F1999 F2000 F2001 F2002 F2003 F2004 1st Half 2nd Half
Slide 16: Outlook
Outlook • Production in the second half of the financial year is expected to be slightly lower than in the first half due to the fewer working shifts available. • Earnings dependant on Rand metal prices. • Continue pursuing expansion opportunities - the mining licence for Pandora is still awaiting a
Slide 17: Interim Results
INTERIM RESULTS for the six months ended 31 December 2003 Glyn Lewis – General Manager
Northam Platinum Holdings — H1 2004 Earnings Presentation on 6ix