Bci Minerals Ltd · ASX:BCI
Bci Minerals — FY2022 Earnings Presentation
20 slides from Bci Minerals's earnings presentation, Aug 25, 2022
Slide 1: FY22 Full Year Results
For personal use only 25 August 2022 ASX: BCI
Slide 2: Contents
For personal use only CONTENTS FY22 HIGHLIGHTS 3 SAFETY AND PEOPLE 4 SUSTAINABILITY PERFORMANCE 6 FINANCIAL PERFORMANCE 8 MARDIE SALT & POTASH PROJECT 11 MARDIE COST UPDATE 17 MARDIE COMMODITY MARKETS 18 HALF YEAR OUTLOOK 19 2
Slide 3: FY22 Highlights
FY22 HIGHLIGHTS ▪ 44% improvement in safety performance, while hours For personal use only worked have increased by 260% ▪ 7 years without a Lost Time Injury (LTI) ▪ BCI generated revenue of $65.2M and a $27.8M EBITDA from Iron Valley. ▪ Cultural transformation program to attract and retain skilled
Slide 4: Safety and People
FY22 SAFETY AND PEOPLE TRIFR v Hours Worked For personal use only 600,000 90 80 500,000 70 4.1 TRIFR1 (FY21: 7.3) 400,000 60 LTI Free (7 years) 50 Hours worked TRIFR 300,000 40 42% Female employees2 200,000 30 34% Female managers2 20 100,000 10 New Diversity Equity and Inclusion Policy 0 FY19 FY20 F
Slide 5: Management Transition
FY22 SAFETY AND PEOPLE Management Transition For personal use only ▪ Kerryl Bradshaw (current CFO) appointed Interim CEO effective 1 September 2022 ▪ Alwyn Vorster to step down as CEO and Director on 31 August 2022 pursuant to his previously announced intention to resign in this half year ▪ Interim
Slide 6: Sustainability Performance: Community Engagement
FY22 SUSTAINABILITY PERFORMANCE Community Engagement For personal use only ▪ >$10M spent with ~40 Pilbara suppliers in FY22 ▪ Launched BCI’s Partnerships and Sponsorships program o Key Partnership with City of Karratha, delivering support to local organisations ▪ Human Rights Risk Assessment underta
Slide 7: Sustainability Performance: Environment and Heritage
FY22 SUSTAINABILITY PERFORMANCE Environment and Heritage For personal use only ▪ Strong relationships with Traditional Owners enhanced by BCI actions o BCI amended access road design to avoid and preserve an Aboriginal heritage site ▪ State and Federal environmental approvals gained for Mardie ▪ Qua
Slide 8: Financial Performance: Mardie Expenditure
FY22 FINANCIAL PERFORMANCE Mardie Expenditure For personal use only $'000 FY22 FY21 Exploration & evaluation expenditure - 3,600 ▪ Total Mardie expenditure increased from $52.1M in FY21 to $162.7M in FY22 Early enabling work program 4,700 14,000 including operating expenditure and enabling Mardie ma
Slide 9: FY22 Financial Performance
For personal use only FY22 FINANCIAL PERFORMANCE $'000 FY22 FY21 Earnings Iron Valley Revenue 65,198 160,156 ▪ Iron Valley revenue and royalty payments down – Royalties (37,383) (90,624) earnings impacted by lower iron ore prices and Development & Evaluation Expenditure (20,616) (34,487) lower volum
Slide 10: Financial Performance: Balance Sheet
FY22 FINANCIAL PERFORMANCE As at As at Balance Sheet $'000 For personal use only 30 Jun 22 30 Jun 21 Cash and cash equivalents 232,021 79,435 ▪ Strong cash position following successful equity Short term investments 657 681 raising in 1H FY22 Trade and other receivables 32,705 15,816 ▪ Property, pla
Slide 11: Salt & Potash Project: Progress Update
FY22 MARDIE SALT & POTASH PROJECT Progress Update For personal use only ▪ Village expanded from 80 to 400 beds ▪ Pond 5 Embankment Trial complete ▪ Pond 0 complete POND 5 EMBANKMENT ▪ Ponds 1-2 circa 50% completed TRIAL SALT PILOT PLANT (PERTH) ▪ Pond 3 underway ▪ Seawater intake station commissioni
Slide 12: Approvals and Tenure Secured
FY22 MARDIE SALT & POTASH PROJECT Approvals and Tenure Secured For personal use only ENVIRONMENT ✓ State Government approval1 ✓ Federal Government approval1 ✓ Lower level of assessment (ARI2) for OFS3 footprint NATIVE TITLE & HERITAGE ✓ Strong relationship with Traditional Owner groups ✓ Key Native
Slide 13: Mardie Village
FY22 MARDIE SALT & POTASH PROJECT Mardie Village For personal use only ▪ Accommodation village expanded from 80 beds to 400 beds ▪ Central facility buildings fitted out ▪ Landscaping in progress – cultural inclusion theme featuring indigenous artwork ▪ Mess facility, named “Yawan” (hot cooking stone
Slide 14: Pond Construction
FY22 MARDIE SALT & POTASH PROJECT Pond Construction For personal use only ▪ Pond 5 embankment trial complete ▪ Pond 0 complete ▪ Large sections of Pond 1 and Pond 2 wall and levee systems have been completed ▪ Earthworks contract for Ponds 3, 4 and 5 awarded Pond 22 Pond ▪ Pond 3 construction commen
Slide 15: Seawater Intake Structure
FY22 MARDIE SALT & POTASH PROJECT Seawater Intake Structure For personal use only ▪ Seawater intake structure circa 65% complete1 ▪ Piling installed, concrete and steel structural elements underway ▪ Installation of six pumps with 3,000 litres/second capacity scheduled in September quarter ▪ Commiss
Slide 16: Marine Structures Package
FY22 MARDIE SALT & POTASH PROJECT Marine Structures Package For personal use only ▪ ~$190M marine structures contract awarded ▪ Design and construct package includes jetty structure, transhipper mooring equipment, material handling system and navigation aids ▪ Construction involves traveller and cra
Slide 17: Cost and Design Review
FY22 MARDIE COST UPDATE Cost and design review For personal use only As previously announced: ▪ Significant cost increases have become evident during second half of FY22 ▪ Labour, materials, equipment and consumables prices all impacted ▪ Design changes leading to improved project but some quantity
Slide 18: Commodity Markets: Strong Salt and SOP Prices
FY22 MARDIE COMMODITY MARKETS Strong commodity prices: Salt up ~25% and SOP up ~85% For personal use only Imported Australia Salt Price vs China CNSIG Index MOP Granular vs SOP Granular, FOB 1,200 350 60 1800 55 300 1600 1,000 Differential (US$/t) 50 250 US$/t, FOB 1400 200 US$/t, CIF 45 800 40 1200
Slide 19: FY23 Half Year Outlook
FY23 HALF YEAR OUTLOOK FOCUS: Mardie optimisation and milestone completion For personal use only Mardie Project milestones ▪ Mardie Village complete ▪ Installation of intake pumps ▪ Seawater intake commissioning commencement ▪ Ponds 1 & 2 materially advanced Mardie optimisation ▪ Cost and design rev
Slide 20: For personal use only
For personal use only OFFICE: Level 1, 1 Altona Street, West Perth WA 6005 POSTAL: GPO Box 2811, West Perth WA 6005 P +61 8 6311 6400 bciminerals.com.au ASX: BCI 20