Mgx Resources Limited · ASX:MGX
Mgx Resources — Mount Gibson Iron — Shareholder Meeting (November 2013)
14 slides from Mgx Resources's shareholder meeting presentation, Nov 13, 2013
Slide 1: Annual General Meeting - CEO's Presentation
Annual General Meeting For personal use only MGX CEO’s Presentation 13 November 2013 1
Slide 2: Disclaimer
Disclaimer This Document is Confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to For personal use only any other person, or published, in whole or in part, for any purpose without prior written approval from Mount Gibson Iron Limited. This Document is not a
Slide 3: Our Business
Our Business For personal use only Koolan Island Mine • Premium DSO lump and fines • Ramping up to 4 Mtpa by end 2014 • Long life asset with dedicated shiploader Mid West Region Tallering Peak, Extension Hill & Geraldton Port facilities Tallering Peak Mine Extension Hill Mine • Mine life extended •
Slide 4: FY2013 in Review
FY2013 in Review For personal use only • Record ore sales of 8.8 Mwmt, up 68% Strong • Cash increased 28% to $376m at 30 June 2013 • Record sales revenue of $852.9m, up 32% operating • Net profit after tax of $157.3m • Net operating cash flow up 220% to $179.7m and financial • Fully franked full yea
Slide 5: Key underlying achievements
Key underlying achievements For personal use only Completed executive team rebuild Achieved permanent ongoing savings of ~$50m per annum Optimised and implemented detailed Koolan Island ramp-up plan to 4 Mtpa Reduced Koolan Island unit mining costs to ~$8/t moved in Sept Qtr 2013, ~$6/t lowe
Slide 6: Sales profile and growth strategy
Sales profile and growth strategy For personal use only Ore sales history and indicative outlook 10 Actual Forecast Stage Two 8 growth Stage One growth 6 Ore Sales (Mwmt) 4 2 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Year to 30 June FY'14 guidance 9.0 - 9
Slide 7: High potential to extend in the Mid West
High potential to extend in the Mid West For personal use only • Extension Hill South DSO targets located 1-3km from N existing crusher, with known mineralisation • Initial drilling approval received for Extension Hill South in late September • Iron Hill prospect drilling to commence this quarter •
Slide 8: Koolan Island - a quality asset with upside
Koolan Island - a quality asset with upside For personal use only 1km West End exploration targets N Main Pit 8
Slide 9: Positive outlook for FY2014
Positive outlook for FY2014 In the short term… For personal use only • ore inventories at Chinese ports remain low and have not recovered from destocking in 2012 • Chinese steel mill production remains at historic highs • Chinese economic growth is forecast to remain healthy at ~7% pa on a larger ba
Slide 10: Off to a strong start in FY2014
Off to a strong start in FY2014 For personal use only • Cash increased to $420m at 30 Sept Robust • Group ore sales increased to 2.6 Mwmt • Koolan sales increased to 1.1 Mwmt Sept Quarter • Mid West sales of 1.5 Mwmt • On track to achieve 9.0 – 9.5 Mwmt in FY14 performance • Healthy Chinese growth o
Slide 11: Summary
Summary For personal use only • One of Australia's best performing mid-tier iron ore miners with multiple operations in Western Australia • Exporting 9.0-9.5 million tonnes of quality iron ore to China in FY2014 • Strong operating cashflows and balance sheet • Current market capitalisation of ~A$1 b
Slide 12: Thank You
Thankyou Thank You For personal use only For more information: Phone: +618 9426 7500 Email: admin@mtgibsoniron.com.au Web: www.mtgibsoniron.com.au 12
Slide 13: Relative share price performance
Supplementary information For personal use only 275 Relative share price performance ASX listed iron ore companies 250 Mount Gibson Iron 225 Share price (indexed to 100) 200 175 25 June 2013 S&P/ASX 200 Resources 150 index at a 4 year low 125 100 75 50 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Mount Gibson
Slide 14: Appendix - Mineral Resources and Ore Reserves
Appendix – Reserves Supplementary and Resources information For personal use only Mineral Resources and Ore Reserves at 30 June 2013 Total Group Mineral Resources and Ore Reserves at 30 June 2013 Koolan Island Total Group Mineral Resources and Ore Reserves at 30 June 2013 Tonnes Fe SiO2 Al2O3 P mill
Mount Gibson Iron — Shareholder Meeting (November 2013) on 6ix