Mgx Resources Limited · ASX:MGX
Mgx Resources — Mount Gibson Iron — FY2015 Earnings Presentation
13 slides from Mgx Resources's earnings presentation, Aug 19, 2015
Slide 1: FY2015 Financial Results
FY2015 Financial Results For personal use only MGX Investor Presentation 19 August 2015
Slide 2: Disclaimer
Disclaimer For personal use only This Document is Confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to 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: FY2015 Overview
FY2015 Overview For personal use only Full year sales revenue of A$325 million (FY2014: A$898 million) on iron ore sales of 5.8 million wet metric tonnes^ (Mwmt) (FY2014: 9.7 Mwmt). Underlying gross loss* of A$13.9 million before impairments (FY2014: A$173.0 million gross profit). Reported net
Slide 4: Profit/Loss: A challenging year
FY2015 Profit/Loss A challenging year: Impacted by seawall and falling prices Results for 12 months ended 30 June 2015 compared with the prior 12 months 12 months For personal use only ended ended corresponding 12 month period: 30 June 30 June 2015 2014 Ore tonnes mined^ wmt (mill) 5.9 7.9 Ore tonne
Slide 5: Cash Movements
FY2015 Cash Movements A challenging year For personal use only FY2015 Cash Movement Summary A$m Opening cash balance at 30 June 2014 520 Dividend paid (44) Interest received 12 Corporate & Projects (24) Exploration (3) Redundancies and accrued benefits (17) Extension Hill cashflow (after royalties a
Slide 6: A challenging year: Impacted by Koolan seawall and falling prices
FY2015 A challenging year: Impacted by Koolan seawall and falling prices For personal use only 12 months ended 30 June: 2015 2014 Sales Volume (Mwmt) 5.8 9.7 Sales Revenue (A$m) 325 898 Realised FOB Price (A$/wmt sold, incl. penalties & FX hedging) 56 92 Cost Performance (continued operations) A$m A
Slide 7: Extension Hill: Solid operational and cost performance
FY2015 Extension Hill: Solid operational and cost performance For personal use only Extension Hill Sep-14 Dec-14 Mar-15 Jun-15 2014/15 Quarterly Cash Cost & Unit Quarter Quarter Quarter Quarter Year Cashflow Performance Sales volume ‘000 wmt 705 847 776 1,080 3,408 Cash operating cost A$/wmt 54.73 4
Slide 8: FY2016 Outlook
FY2016 Outlook Continued focus on cash margins and cost reductions For personal use only Sales Guidance: − Extension Hill production to increase to 3.5-4.0 million tonnes per annum in FY2016. − Second stage mining campaign planned at Koolan Island Acacia East satellite pit to recover additional 0.7M
Slide 9: H2 actions stabilised business and position it for upside
FY2015 - A challenging year H2 actions stabilised business and position it for upside For personal use only The MGX response in H2 has been decisive and effective: • Substantial cost reductions achieved business-wide: • Corporate costs reduced by +50% and targeted to fall to <A$1m/month • Workforce
Slide 10: Financial Results
FY2015 Financial Results For personal use only MGX Investor Presentation 19 August 2015
Slide 11: Supplementary Information: Business is positioned for upside
Supplementary Information Business is positioned for upside For personal use only Koolan Island • Acacia East Pit Stage 2 completion by Dec 2015 • Transition to care and maintenance end 2015 • Complete evaluation of Main Pit seawall rebuild options • Main Pit seawall insurance claim progressing • Pr
Slide 12: Top quality Mineral Resources position business for upside
Supplementary Information Top quality Mineral Resources position business for upside Tonnes Fe SiO2 Al2O3 P For personal use only Iron Hill millions % % % % Significant future optionality value from substantial Mineral Resources* : Mineral Resources, above 50% Fe Measured 0.00 0.0 0.00 0.00 0.000 Ir
Slide 13: Appendix – Reserves and Resources
Supplementary information Appendix – Reserves and Resources Mineral Resources and Ore Reserves at 30 June 2015 Total Group Mineral Resources and Ore Reserves at 30 June 2015 For personal use only Koolan Island Tonnes Fe SiO2 Al2O3 P millions % % % % Tonnes Fe SiO2 Al2O3 P (above 50% Fe) Mineral Reso