Fortescue Ltd · ASX:FMG
Fortescue — Fortescue Metals Group — Diggers and Dealers 2019
19 slides from Fortescue's conference presentation, Aug 6, 2019
Slide 1: Delivering on our strategy; investing for the future
For personal use only Delivering on our strategy; investing for the future 6 August 2019 Together we are Fortescue
Slide 2: Forward looking statements
Forward looking statements For personal use only Disclaimer Important Notice Additional Information The purpose of this presentation is to provide general information about Fortescue This presentation should be read in conjunction with the Annual Report at Metals Group Limited ("Fortescue"). It is n
Slide 3: A world class company
A world class company For personal use only >1.3 billion ~170mtpa tonnes shipped Production rate Core supplier Low cost to China producer 3
Slide 4: Placeholder – new corporate video
For personal use only • PLACEHOLDER – NEW CORPORATE VIDEO 4
Slide 5: Fortescue's Values
Fortescue’s Values For personal use only Our Vision: The safest, lowest cost, most profitable mining company. 5
Slide 6: June quarter highlights
June quarter highlights For personal use only 2.8 TRIFR 46.6mt US$92/dmt Record Q4 shipments Q4 average revenue received US$65/dmt FY19 annual low 167.7mt FY19 US$12.78/wmt A$0.90 Completed towage C1 cost FY19 dividends US$13.11/wmt FY19 infrastructure to date Judith Street Harbour 6
Slide 7: Eliwana and Iron Bridge
Eliwana and Iron Bridge For personal use only Building on Fortescue’s unparalleled track record and capability in safely developing and operating major iron ore projects in the Pilbara 77
Slide 8: Eliwana Mine and Rail Project
Eliwana Mine and Rail Project For personal use only US$1.275bn First ore on train Underpins capital investment Dec 2020 the future 143km rail On time and budget of West Pilbara Fines 30mtpa dry OPF 8
Slide 9: Iron Bridge Magnetite project
Iron Bridge Magnetite project For personal use only US$2.6bn investment in Stage 2 delivering enhanced returns to shareholders 22 wmtpa* 67% Fe, low First ore impurity 1H CY22 premium product Low capital Industry-leading intensity and energy efficient operating cost operation 9 *wet million tonnes p
Slide 10: Integrated operations and marketing
Integrated operations and marketing For personal use only Direct Collaborative customer operations engagement and marketing driving deep to capitalise on market insights market opportunities Co-location of key Margin decision makers optimisation enabling rapid through rapid response product mix to m
Slide 11: Iron ore price
Iron ore price For personal use only Price spreads have narrowed due to lower steel margins 160% 150% 140% 130% % Mysteel 62 Port Index 120% 110% 100% 90% 80% 70% 60% 50% 40% FBF - Mysteel SSF - Mysteel Mysteel - 65 Index Mysteel - 62 Index 11 11
Slide 12: Achieving our strategy to deliver majority of product over 60% Fe
Achieving our strategy to deliver majority of product over 60% Fe For personal use only Increasing Fortescue’s average grade • Competitively positioned across all product segments • Flexibility to optimise margins through iron ore market cycles • Highest grade Australian product with global scale in
Slide 13: Innovation agenda
Innovation agenda For personal use only World first AHS on Industrial commercial scale autonomous >32 million km mobility safely travelled LV trials on site Energy strategy Hydrogen Renewable energy, Technology, operations, reduced emissions and domestic industry, increased connectivity global suppl
Slide 14: World class exploration
World class exploration For personal use only Opportunities that will be driven by market demand Pilbara Australia Largest tenement NSW ~3,000km2 tenure holder in the Pilbara SA ~15,000km2 tenure South America Portugal Ecuador, Colombia Lithium Argentina Copper, lithium 14 14
Slide 15: Contribution to our State and our regions
Contribution to our State and our regions For personal use only WA GSP 14% of WA exports Port Hedland and Australia’s GDP accounted for 35% Goldfields-Esperance of Australian exports GRP $52bn 15 15 WA Economic Profile June 2019
Slide 16: Building strong communities
Building strong communities For personal use only Large Aboriginal Trained and Billion Opportunities employer employed via VTEC Over A$2.3bn contracts 15.1% across Pilbara 860 Aboriginal team with Aboriginal operations workforce members businesses 19.4% female Employees Local participation rate retu
Slide 17: Looking forward: the next five years
Looking forward: the next five years For personal use only 17
Slide 18: Key strategic focus
Key strategic focus For personal use only Balance sheet Long term strength sustainability Growth and Returns to development shareholders options 18 18
Slide 19: Fortescue – The New Force in Iron Ore
For personal use only @: Fortescue The New Force in Iron Ore www.fmgl.com.au Ww FortescueNews