Slide 1: Pathway to Cashflow
ASX: DVP PATHWAY TO CASHFLOW • ENERGY TRANSITION METALS OWNERSHIP • UNDERGROUND MINING SERVICES COMPANY PRESENTATION – SEPTEMBER 2024
Slide 2: Important Information and Disclaimer
IMPORTANT INFORMATION AND DISCLAIMER The information contained in this document (“Presentation”) has been prepared by DEVELOP Global Limited (“Company”). This Presentation is being used as a presenter’s aid with summarised information. See DEVELOP’s other and periodic disclosure announcements lodged
Slide 3: Develop 5-Year Business Plan
DEVELOP 5-YEAR BUSINESS PLAN WHAT’S BEEN ACHIEVED IN <24 MONTHS HYBRID BUSINESS MODEL: MINE OWNERSHIP AND MINING SERVICES BUSINESS UNITS Build world-class Be one of the most Produce some of Aim for annual Mining Services underground socially responsible the world’s metal output of in capability to o
Slide 4: Our Flagship Asset Is Our People
OUR FLAGSHIP ASSET: IS OUR PEOPLE • The mines of the future will be underground • Demand for underground skills is soaring • Develop’s Executives have one of the largest networks of underground personnel in the Australian industry • Develop has built its world class underground capability • We have
Slide 5: Develop Company Assets
DEVELOP COMPANY ASSETS ALL BUSINESS UNITS ARE LOCATED IN AUSTRALIA Woodlawn Cu/Zn Pioneer Dome - Li Sulphur Springs Zn/Cu Mining Services Project revenue – A$2.6b Project revenue – A$2.2b Project revenue – A$2.9b Bellevue Gold - A$400m contract Free cashflow – A$1.1b Free cashflow – A$666m Free cash
Slide 6: Funding and Balance Sheet
WORLD-CLASS UNDERGROUND CAPABILITY FUNDING AND BALANCE SHEET • Strong cash position as at 30 June 2024 of A$41m • A further ~$10.5m, from in the money options, will be raised in June 2025 • Equipment finance debt of A$36.5m at 30 June, which is covered by our three mining services agreements • Undra
Slide 7: Woodlawn Asset Copper/Zinc Mine
A QUALITY PROJECT FOR THE ENERGY REVOLUTION WOODLAWN ASSET COPPER/ZINC MINE • Purchased in May-22 for A$100M • Inherited ~A$340m of prior capital expenditure • Develop has spent ~A$60m on the mine Major achievements of this spend are; • Key operational team in place • Resource increased by 55% to 11
Slide 8: Funding & Offtake Agreement
WORLD-CLASS CAPABILITY FUNDING & OFFTAKE AGREEMENT • Leading base metals commodity trader, Trafigura, has agreed terms to provide a ~A$100M pre-payment/loan facility to bring Woodlawn into production. Funding terms are flexible • As part of the funding, Develop has also agreed to a ~5 year offtake a
Slide 9: Trafigura – Debt & Offtake Partner
WORLD-CLASS CAPABILITY TRAFIGURA – DEBT & OFFTAKE PARTNER Trafigura is a leading supplier of commodities and has a large share of the global base metals market. It manages complex supply chains to move minerals, metals and energy from where they are produced to where they are needed • Trafigura has
Slide 10: Woodlawn Restart Key Update Results
A QUALITY PROJECT FOR THE ENERGY REVOLUTION WOODLAWN RESTART KEY UPDATE RESULTS Pre-Tax NPV7% 1 A$M July 24 Update 728 April 2024 Release 658 Payback Mths 23 24 • Pre-tax NPV increases by 11% to A$728m Free Cash-flow A$M 1,101 1,003 • Pre-tax free cashflow increases to A$1.1b Maximum Cash Down A$M 7
Slide 11: Project Level Pre-Tax Cashflow
PATHWAY TO CASHFLOW PROJECT LEVEL PRE-TAX CASHFLOW $600 CAPEX Requirements $500 • Woodlawn - $56m (assumed start date of CAPEX spend Aug 2024) 173 198 $400 • Pioneer Dome - $285m (assumed 165 start date of CAPEX spend July #039;m $300 2025) 149 163 68 $200 • Sulphur Springs - $296m (assumed 91 start da
Slide 12: Value Creation So Far..
VALUE CREATION SO FAR.. ASX STOCK SHARE MARKET CASH ENTERPRISE CODE PRICE CAPITALISATION (31 JUNE 24) VALUE DVP A$ 2.10 A$540M A$41M 258m shares on issue No Corporate Debt A$ 499M • Woodlawn Copper and Zinc Mine • Pioneer Dome Lithium • Sulphur Springs Zinc and Copper Project • A$450M Underground SU
Slide 13: Resources Tables
PATHWAY TO CASHFLOW RESOURCES TABLES BASE METALS LITHIUM-TANTALUM Resource SULPHUR SPRINGS Resource Category Tonnes (Mt) Li2O% Ta2O5 ppm Fe2O3% SULPHUR SPRINGS PROJECT Tonnes (Mt) Cu % Pb % Zn % Ag gpt Au gpt PIONEER DOME NORTH Category Cade, Davy & DOME Indicated 8.6 1.23 55 0.46 Heller Indicated 1