Glencore Plc · LSE:GLEN
Glencore — Investor Day (December 2014)
193 slides from Glencore's investor day presentation, Dec 10, 2014
Slide 1: Investor Day
Tintaya concentrator, Peru Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 - Nickel | Kenn
Slide 2: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 3: Ivan Glasenberg, CEO
Lion chrome smelter, South Africa Ivan Glasenberg CEO
Slide 4: Summary
Summary • Capital misallocation, not a lack of demand, remains a key issue for the sector • Clear need to differentiate by commodity – correlation has broken down • Glencore’s positioning provides superior insulation and material price optionality • Established portfolio of Tier one industrial asset
Slide 5: Capital allocation is a key issue for the sector
Electronic scrap recycling, Horne copper smelter, Canada Capital allocation is a key issue for the sector
Slide 6: Demand favours base over bulk again in 2014
Demand favours base over bulk again in 2014 … Global demand growth 12% Previous 5 year average 2014 10% 8% 6% 4% 2% 0% Copper Zinc Al Ni Thermal Coal Iron Ore Oil Source: Glencore estimates, various broker reports, Wood Mackenzie. 6
Slide 7: Capital allocation in the sector remains iron ore centric
… however, capital allocation in the sector remains iron ore centric … Production growth 2013A -2016E (Cu equivalent) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Glencore Peer 1 Peer 2 Peer 3 Peer 4 Met Coal Thermal Coal Iron Ore Metals Oil and Gas Source: Company websites, Glencore estimates. Note,
Slide 8: Price performance reflects oversupply fears
… and price performance reflects oversupply fears Year to date price change Oil Iron ore Coal Nickel Aluminium Zinc Copper -60% -50% -40% -30% -20% -10% 0% 10% 20% 30% Source: Bloomberg as at 3 December 2014, Wood Mackenzie, Deutsche Bank, Glencore estimates. 8
Slide 9: Differentiation by commodity is critical
Wheat crop in Bute, Australia Differentiation by commodity is critical
Slide 10: Our global footprint is truly diversified
Our global footprint is truly diversified … 10
Slide 11: By commodity and activity
… by commodity and activity … BHP: Copper 38% Zinc 4% Nickel 7% Oil 26% Coal 7% Copper 20% Oil 4% Iron Ore 52% Other 1% Marketing metals 25% Marketing energy 6% Marketing agri 13% Corp and other (4%) Iron Ore 40% Iron Ore 73% Coal 8% Aluminium 10% Copper 25% Copper 10% Diamonds 25% Coal 2% Other 2%
Slide 12: Key drivers earning 98% of EBIT
… with key drivers earning 98% of EBIT … Cu Zn Ni Coal Marketing Deficit Deficit Transitioning to deficit Rebalancing Resilient “Consensus” surplus An additional 3-3.5Mt of Balanced 2015 and Some high cost supply Defensive earnings, elusive so far, zinc supply needed over deficits thereafter, shutti
Slide 13: Supported by positive fundamentals and prices
… supported by positive fundamentals and prices Consensus price forecasts 2014=100 140 Thermal Coal 130 120 Aluminium Nickel 110 Copper 100 Zinc 90 Iron Ore Oil 80 70 2013 2014 2015 2016 2017 2018 Source: Consensus broker research, 4 December 2014. 13
Slide 14: Established portfolio of Tier one industrial assets
Assay lab, Mount Isa Mines, Australia Established portfolio of Tier one industrial assets
Slide 15: Established portfolio of Tier One assets
Established portfolio of Tier One assets … 15
Slide 16: Synergies and cost savings embedded in cost structures
… with synergies and cost savings embedded in the commodity cost structures … Illustrative C1 metals cash cost curve / Inverse FOB cash margin thermal coal >$2bn industrial merger synergies and other Cu cost savings achieved Cu 2013 2016F FeCr Post-integration 2013 cost efficiencies 2016F and focus
Slide 17: Optionality for future brownfield growth
… with major optionality for future brownfield growth, as and when appropriate Commissioning 2015 Commissioning 2016 2016+ brownfield growth options Copper Copper Copper Nkana Synclinorium: new Antapaccay expansion: Coroccohuyaco shaft to extend section life by Concentrator upgrade to Mutanda Sulphi
Slide 18: Marketing – a defensive earnings driver
Chemoil terminal, Singapore Marketing – a defensive earnings driver
Slide 19: Marketing – a unique, low-risk, defensive earnings driver
Marketing – a unique, low-risk, defensive earnings driver • Relatively low cost of capital and Marketing EBIT ($M) stable cost base underpin 0 1,000 2,000 3,000 4,000 predictable and high ROE • Resilient earnings capability in a 2008 falling price environment • Minimal exposure to flat price risk •
Slide 20: Sustainability gaining traction
Espinar farmer near Antapaccay/Tintaya copper mines, Peru Sustainability gaining traction
Slide 21: Governance and sustainability
Governance and sustainability Safety LTIFR(1) 2009 to 2014YTD • Regrettably 15 fatalities year to date (26 in 2013) 3.50 • Reduction on 2013 reflects ‘SafeWork’ focus on safety 3.00 leadership, culture and implementation of Fatal Hazard 3.00 2.73 Protocols • Significant performance improvement at DR
Slide 22: Our priorities for 2015
Zinc balls, Nordenham, Germany Our priorities for 2015
Slide 23: Our priorities for 2015
Our priorities for 2015 • Successfully deliver remaining key growth projects • Koniambo, McArthur River, Katanga, Chad oil fields • Ensure continued operating efficiency, targeting Q1 costs/margins • Maintain strong investment grade credit rating • Maintain disciplined deployment of capital to maxim
Slide 24: Investor Day
Thermal coal, Rolleston mine, Australia Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 -
Slide 25: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 26: Steven Kalmin, CFO
La Jagua Mine, Prodeco, Colombia Steven Kalmin CFO
Slide 27: Summary
Summary • Robustly profitable industrial operations post merger integration • Marketing enhances earnings stability, flexibility and optionality • Rigorous focus on opex/capex and working capital • Clear and consistent framework for capital allocation • Expansionary capital geared to the right commo
Slide 28: Robustly profitable industrial operations
Robustly profitable industrial operations • $36bn expansionary capital since 2009 Expansionary capex 2009-H1 2014 • Mix skewed to the “right” 100% 0.5 commodities 3.0 • Tier 1 cost profile and resource base 90% for the Group’s largest commodities 80% Ags 8.5 Oil and across most of the broader Coal p
Slide 29: Marketing enhances earnings and cashflow stability
Marketing enhances earnings/cashflow stability, flexibility and optionality EBIT guidance range of $2.7-3.7bn Marketing EBIT ($M) • Still positive but low correlation with 0 1,000 2,000 3,000 4,000 commodity prices • Consistent profit generator over 4 decades 2008 • Reflects market position and dive
Slide 30: Marketing: a low risk, high ROE business
Marketing: a low risk, high ROE business Low risk model Consolidated VaR: 1 Day 95% ($M) • >95% of marketed volumes are hedged or pre- 120 sold to mitigate price risk exposure VaR Limit: $100M • The 2 key risks are actively managed: 100 • Credit risk – mitigated by: counterparty risk analysis, 80 ex
Slide 31: Marketing represents the physical movement of commodities
Marketing represents the physical movement of commodities from production source to customers/consumers Sources of income (and market intelligence) Marketing volumes 2013 H1 2014 • Arbitrage opportunities – product, time, geography Copper Mt 2.8 1.5 Zinc Mt 3.2 1.6 • Blending strategies – optimising
Slide 32: Glencore's flexible capital model
Glencore’s flexible capital model Capital centrally funded and allocated Marketing Industrial c.$20bn of capital employed c.$90bn of capital employed • working capital average turnover • target of 30-40% debt-funded; or cycle of ~30-35 days <2.5-3x Net Debt/EBITDA • Quality/nature of asset base • ta
Slide 33: Expansionary capex geared to the right commodities
Expansionary capex geared to the right commodities and opportunities Focus on modular/brownfield/flexible Copper equivalent growth 2014F-2018F investment 100% • revised Caracal capex program primarily limited to producing assets – approval of further exploration Oil capex subject to market condition
Slide 34: Industrial capex details
Industrial capex details Expansionary capex ($bn) Sustaining capex ($bn)(1) 6 6 4.9 5 5 – 26% 4.3 4.2 4.1 4 4 3.6 3.6 3 3 2.4 2 2 1.2 1 1 0 0 2014F 2015F 2016F 2017F 2014F 2015F 2016F 2017F Metals Coal Oil Ags Capitalised interest Metals Coal Ags Note: (1) Metals sustaining capex annual ranges: Copp
Slide 35: Our balance sheet advantage
Asturiana de Zinc, electrolysis plant, Spain Our balance sheet advantage
Slide 36: Robust balance sheet being further strengthened
Robust balance sheet being further strengthened • Maintenance of strong Baa/BBB BBB/Baa illustrative target metrics(1) levels remains a financial target/priority FFO/Adj. Net Debt(2) 45% Adj. Net Debt(2)/EBITDA 1.75x $4.9bn • Moody’s and S&P’s investment grade credit ratings at Baa2 (stable) funds f
Slide 37: Optimal balance sheet structure for equity returns
Optimal balance sheet structure for equity returns, liquidity and cost of capital Strong Baa/BBB optimising market access and funding cost Declining weighted average funding cost (%) 900 A-Rated G-Spread 8.0 4.5 BBB-Rated G-Spread GLEN USD 800 7.0 and EUR 700 Issuance 4.0 6.0 (RHS axis) 600 5.0 500
Slide 38: Return of excess capital to shareholders
We will continue to focus on return of excess capital to shareholders • As a minimum base distribution to remain Excess operating free cash flow competitive within sector as growth phase completes Strong BBB/Baa believed Capital structure to be the optimal rating • Excess capital to be returned to s
Slide 39: Q&A
Lion chrome smelter, South Africa Q&A
Slide 40: Our management structure
Our management structure Experienced management team with a proven track record of value creation CEO Ivan Glasenberg CFO Steven Kalmin Metals & Minerals Energy Agriculture Copper Zinc Aluminium Ferroalloys Nickel Iron Ore Coal Oil Agricultural Products Marketing & Marketing Marketing & Marketing Ma
Slide 41: Investor Day
Ernest Henry copper concentrator, Australia Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper Copper||Telis TelisMistakidis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Mat
Slide 42: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 43: Copper
Alumbrera copper concentrator, Argentina Copper Telis Mistakidis
Slide 44: Topics
Topics 1. Glencore Copper Department • Overview • Description 2. Katanga Mining • Production issues • Power 3. Antapaccay • Tintaya concentrator restart • Antapaccay mini expansion 4. Copper Market – where is the surplus? 44
Slide 45: Glencore copper in context
Glencore copper in context • Third largest global mined copper producer and the world’s largest copper supplier • Integrated assets (mines, smelters and refineries) and marketing 2013 copper production (kt) 3,000 2,500 2,000 1,500 1,000 500 0 Competitor 1 Competitor 2 Glencore Competitor 3 Competito
Slide 46: Glencore copper assets
Glencore copper assets Mined Cu Smelter/Refinery N America 90k MT Horne/CCR 300k MT Asia 60k MT Kazzinc 70k MT S America 660k MT Africa 500k MT Australia 260k MT Altonorte 300k MT Mopani 200k MT Isa/Pasar 600k MT 46
Slide 47: Capability across the copper raw materials chain
Capability across the copper raw materials chain • Integrated industrial assets and marketing • One million MT custom smelting and refining • Capability to process complex concentrates with precious metals and deleterious elements. Cobar Mt Isa Antapaccay Nkana Katanga EHM Antamina Mufulira Mutanda
Slide 48: Mined production growth
Mined production growth Own source mined copper production (kt) Merger 2008 2009 2010 2011 2012 2013 2014F 2015F 2016F 2017F 2018F Total copper Former Xstrata Note: does not include copper from Kidd, Kazzinc and Ni operations 48
Slide 49: Mined production growth by region
Mined production growth by region Own source mined copper production (kt) 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 2012A 2013A 2014F 2015F 2016F 2017F African Copper Collahuasi Antamina Other South America Australia By-product Source: Glencore 49
Slide 50: Katanga 2014 production issues
Katanga 2014 production issues 220 210 16 210 200 16 Cu Cathode (‘000) 190 180 2 8 170 2 165F 160 150 140 130 120 Cu prodution Power direct Power (indirect) Electrical Projects delays Reduced Cu production budget & Mechanical sulphide / ASCu actual 50
Slide 51: Standby generators deployment
Standby generators deployment Generating Capacity UNITS MW KTC 4 2 2 2 KTO 1 2 1 1 1 1 Luilu 1 2 KOV (Convert to Co-Gen) 4 7 Sub – Total 17 Co-Gen 1 (New at Luilu:leach,CCDs) Now Generator farm (6.6 and 15kV) 6 10 Sub - Total 27 Co-Gen 2 (New at Luilu:EW2/3) April Generator farm (33kV) 6 10 Total 37
Slide 52: Global Power Project – update
Global Power Project – update Description • 450MW for Kamoto Copper Company and partners • 350MW of new power and 1000MW transmission from INGA to Kolwezi • Project cost – $368M, Lots 1 to 14 • Reimbursed via 40% credit to power bills • Additional 10% withheld for maintenance fund • 75MW available t
Slide 53: Global Power Project – timeline
Global Power Project – timeline 2013 2014 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Lot 3 Unit 3 - Nzilo Quick Fix Lot 4 Unit G27 Inga refurbishment Lot 5 Unit G28 Inga refurbishment Lot 6 Convertor transformer DC Link Pole 1 Lot 7 Convertor transformer DC Link Pole 2 Lot
Slide 54: Katanga ramp-up drives future production growth
Katanga ramp-up drives future production growth Copper cathode production (kt); Capex $M 350 3,500 300 3,000 250 2,500 200 2,000 Cu k Tonnes 150 1,500 100 1,000 50 500 165 242 274 286 301 42 52 58 61 87 22 0 0 2008 2009 2010 2011 2012 2013 2014F 2015F 2016F 2017F 2018F Cu Cathode Production CAPEX So
Slide 55: Katanga ramp-up drives future production growth
Katanga ramp-up drives future production growth Copper cathode production (kt); Capex $M 350 3,500 300 3,000 250 2,500 200 2,000 Cu k Tonnes 150 1,500 100 1,000 50 500 165 242 274 286 301 42 52 58 61 87 22 0 0 2008 2009 2010 2011 2012 2013 2014F 2015F 2016F 2017F 2018F Cu Cathode Production CAPEX So
Slide 56: New CM5 SAG Mill installed and commissioned
New CM5 SAG Mill installed and commissioned 56
Slide 57: New oxide floatation cells installed and commissioned
New oxide floatation cells installed and commissioned 57
Slide 58: New concentrate roaster commissioned
New concentrate roaster commissioned 58
Slide 59: Solvent Extraction commissioned
Solvent Extraction commissioned 59
Slide 60: 200ktpa EW2 in production
200ktpa EW2 in production 60
Slide 61: First cathodes harvested from EW3 expansion
First cathodes harvested from 80ktpa EW3 expansion 61
Slide 62: Antapaccay – Tintaya Concentrator Restart
Antapaccay – Tintaya Concentrator Restart Tintaya restart • Existing Tintaya concentrator to process 20 ktpd of ore from Antapaccay mine • Startup in May 2015 • 34kt per year Cu in concs for LOM avg. 43kt per year Cu in concs for the first 5 years • Capex of $64M: • Mining: $25M • Concentrator: $27M
Slide 63: Antapaccay – Incremental Plant Expansion
Antapaccay – Incremental Plant Expansion Expansion of Antapaccay plant: • Process 82 ktpd of ore from Antapaccay mine using existing infrastructure in 2016 • capacity incrementally increased; 70 ktpd (design) to 77 ktpd (current) and now 82 ktpd • total Cu in concs >200ktpa (inc Tintaya) • 9kt per y
Slide 64: Tier 1 asset portfolio and cost structure
Tier 1 asset portfolio and cost structure Illustrative Copper C1 cash cost curve Q1 First quartile cost position achieved for 2013A asset portfolio in 2014 $1.65/lb 2016F $1.36/lb c.$300M industrial merger synergies and other cost savings by end 2014 Unit mine costs drop through brownfield expansion
Slide 65: Copper market
Altonorte anodes, Antofagasta Port, Chile Copper market
Slide 66: Global exchange stocks at lowest levels since 2008
1,000,000 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 Jul-08 Sep-08 Nov-08 Source: Bloomberg, Reuters Jan-09 Mar-09 May-09 Jul-09 Sep-09 Nov-09 Jan-10 Mar-10 May-10 Jul-10 Sep-10 Nov-10 LME Jan-11 Mar-11 May-11 SHFE Jul-11 Sep-11 Nov-11 COMEX Jan-12 Mar-12 May-12 Jul-12
Slide 67: Global copper warehouse stocks are reducing further
Global copper warehouse stocks are reducing further Global warehouse copper stocks (kt Cu) 1,800 1,600 1,400 1,200 722k 1,000 245k 800 600 400 200 0 Jan 2013 Jun 2013 Jan 2014 Jun 2014 Dec 2014 LME COMEX SHFE CHINA BONDED Source: Bloomberg, Reuters, Glencore estimates 67
Slide 68: Chinese copper scrap imports are falling
Chinese Copper scrap imports are falling Chinese copper scrap net imports (kt contained Cu) 3,000 2,500 2,000 13% yoy 19% yoy 1,500 1,000 500 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: China customs data 68
Slide 69: Chinese imports and apparent consumption
Chinese imports and apparent consumption 2013 vs 2013 Jan-2014 Jan- 2011 2012 2013 YoY Chg 2014E YoY Chg 2012 Oct Oct Copper Cathode Imports 2'825 3'396 3'198 (5.8%) 2'557 2'948 15.3% 3'538 10.6% Exports 156 274 293 7.1% 246 220 (10.7%) 264 (10.0%) Net Imports 2'669 3'122 2'905 (7.0%) 2'311 2'728 18
Slide 70: Demand vs Supply per ICSG and Wood Mackenzie
Demand vs Supply per ICSG and Wood Mackenzie Copper Demand/Supply balance estimates 2014 2015 ICSG Apr ‘14 Estimate ~400 kt ~600 kt Surplus surplus surplus now 90k MT? ICSG Oct ‘14 Estimate ~300 kt ~390 kt deficit surplus Minus: Kennecott 100k (Δ 700 kt lower) (Δ 210 kt lower) Escondida 150k Alumbre
Slide 71: Latest 2015 supply forecasts may still be very optimistic
Latest 2015 supply forecasts may still be very optimistic +200kt? • DRC running at 950kt in 2014. To go to just over 1 mt in 2015 +320kt? • Production double counted Frontier at Mopani. 2014 production is 720 kt; • Production and commissioning issues. 2015 to be 850 kt +350kt? • Indonesian concentra
Slide 72: 2015 copper supply forecast keeps changing
2015 copper supply forecast keeps changing • Brookhunt and ICSG give 390 kt surplus guidance • Taking the previous slide, deduct 1.8 Mt = Deficit of 1.4 - 1.6 Mt for 2015? • Consumption - the world is emerging from the biggest recession in 100 years 25,000 2015 supply forecast as estimated in each p
Slide 73: Thank you
Thank you 73
Slide 74: Appendix: Copper asset update
Kantanga Phase V, EW3 under commissioning, DRC Appendix: Copper asset update
Slide 75: Katanga expansion nearing completion
Katanga expansion nearing completion
Slide 76: New KOV pit crusher completed
New KOV pit crusher completed 76
Slide 77: Installation of new concentrate stockpile shed
Installation of new concentrate stockpile shed 77
Slide 78: Heap leach extension complete
Heap leach extension complete 78
Slide 79: DRC power project
Refurbishment of Inga Unit G27, DRC DRC power project 79
Slide 80: Mopani – synclinorium and deeps project update
New acid plant, Mufilira smelter, Zambia Mopani – synclinorium and deeps project update
Slide 81: Synclinorium – Project Site
Synclinorium – Project Site 81
Slide 82: Synclinorium – New Winder Main Shaft
Synclinorium – New Winder Main Shaft 82
Slide 83: Synclinorium – New Winder
Synclinorium – New Winder 83
Slide 84: Synclinorium – New Winder House
Synclinorium – New Winder House 84
Slide 85: Synclinorium – Sub Station
Synclinorium – Sub Station 85
Slide 86: Synclinorium – New Generator Building
Synclinorium – New Generator Building 86
Slide 87: Synclinorium – Loading Station – 1231m level
Synclinorium – Loading Station – 1231m level 87
Slide 88: Synclinorium – Loading Station – 1231m Level
Synclinorium – Loading Station – 1231m Level 88
Slide 89: Synclinorium – Ventilation Shaft
Synclinorium – Ventilation Shaft 89
Slide 90: Mufulira Deeps – Raise Bore – 500m Lift
Mufulira Deeps – Raise Bore – 500m Lift 90
Slide 91: Mindola Deeps – 4960L
Mindola Deeps – 4960L 91
Slide 92: Investor Day
Newlands CHPP, Australia Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin Draft 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg schedule 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 -
Slide 93: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 94: Coal
Abbot Point, Australia Coal Tor Peterson, Peter Freyberg
Slide 95: Delivering Leading Value
Delivering Leading Value Shareholder Returns • Expansionary capital Market Driven spend down 75% • Supply discipline • EBITDA margin 26% • Blending synergies Operational • Trading leverage Excellence Leading Diversified • Environment Portfolio • Community • Safety • 170 Mtpa capacity • Equipment • I
Slide 96: Leading managed coal portfolio
Leading managed coal portfolio COLOMBIA SOUTH AFRICA AUSTRALIA Glencore Glencore Glencore Drummond Anglo BHPB Anglo BHPB Rio Tinto BHP Exxaro Peabody Others Mt Sasol Mt Anglo Mt 0 10 20 30 40 0 10 20 30 40 50 60 0 20 40 60 80 100 #1 in high energy export coal 22 operating coal complexes Signif
Slide 97: Delivering industry leading margins
Delivering industry leading margins Coal mining business EBITDA margin first half 2014* Glencore *Reflects publically reported June 2014 half year results of major diversified coal competitors 97
Slide 98: Coal markets update
Thermal coal, Rolleston mine, Australia Coal markets update
Slide 99: Responding to the market
Responding to the market Relatively strong marketing A diversified portfolio (sales volumes) contribution in challenging environment Supply discipline • Considered supply response • Flexible portfolio Market arbitrage 3rd Party • Domestic versus export Export thermal • Flexible origination Blending
Slide 100: Coal remains fundamental to Asian energy demand
Coal remains fundamental to Asian energy demand IEA New Policies scenario by 2025 Net 440GW new coal-fired power stations GW A further 255 GW of coal • Globally, net 440 GW of new coal 1200 fired generation (800Mtpa* fired generation capacity required coal), would be required in Asia by 2025 under I
Slide 101: Expect further rationalisation and delayed investment
Expect further rationalisation and delayed investment FOB seaborne thermal coal cash margins at current market prices (US$/t) USD/t Glencore export thermal coal average +ve 0 c.25% of seaborne supply remains cash negative -ve • Producers with USD cost base most impacted • USA thermal exports down 16
Slide 102: Investment delays will lead to price recovery
Investment delays will lead to price recovery Seaborne thermal coal market • Long term demand fundamentals Historical demand remain intact 7% pa • Demand growth is more than just a China story Base demand 4.5%pa • Some high cost supplies are closing • Resource depletion restricts supply • New capaci
Slide 103: Coal industrial business overview
Coal industrial business overview
Slide 104: We deliver – safely
We deliver – safely Emergency preparedness training Group coal safety performance GCOM: pre-shift safety discussion 104
Slide 105: We deliver with sustainable land outcomes
We deliver … with sustainable land outcomes Liddell rehabilitation Cattle trial on rehabilitated land 105
Slide 106: Using leading environmental technologies
We deliver … using leading environmental technologies Water treatment plant Environmental monitoring Generation using waste gas 106
Slide 107: Value to the communities we operate in
We deliver … value to the communities we operate in Community projects Consultation Australia Consultation Colombia Reconciliation Action Plan 107
Slide 108: Industry leading operational performance
We deliver through industry leading operational performance Opencuts: +26% productivity Undergrounds: No.1 in Australia Improvement in Tier 1 loading unit performance Saleable production (Mt) based on FY13/14 108
Slide 109: We deliver by focusing on margins
We deliver by focusing on margins • Reduced overheads • Optimisation of underground rosters • 20% improvement in reliability of underground development • Increased productivities – 26% $1.8bn improvement in productivity of Tier 1 shovels & excavators cost savings through efficiencies • Removal of hi
Slide 110: Production volumes nearing steady state
Production volumes nearing steady state as legacy projects are delivered Own source consolidated production (Mt) 175 150 125 100 75 50 25 0 2012A 2013A 2014F 2015F 2016F 2017F Australia thermal SA thermal Colombia thermal Australia coking Australia SS *Production figures on a consolidated basis exce
Slide 111: Coal assets – update and future opportunities
Ravensworth North, Australia Coal assets – update and future opportunities
Slide 112: Clermont case study
We deliver value in operations – Clermont case study The past The future Value Delivered Haulage costs Reduced haulage costs Expensive ex-pit hauls due to Glencore mine planning relocation of IPCC1 in 2012 expertise identifies efficiencies achievable through alternative $60m following operational is
Slide 113: United / Wambo Joint Venture synergies
We deliver synergies – United / Wambo Joint Venture Lease consolidation (red line) • 50:50 Joint Venture with Peabody • Synergies realised through: Coal and • Removal of surface boundary constraints Allied United / Wambo • Removal of stratified lease interaction Wambo (Stratified) • Optimised open c
Slide 114: License to Operate: Bulga LOM extension
We work hard for our License to Operate: Bulga LOM extension • Performance driven culture Bulga Optimisation Project • Detailed planning and assessment • Clear understanding of stakeholder engagement Eastern Emplacement - Community - Government • Proven track record - Safety - Environmental Open Cut
Slide 115: We deliver projects on time, on budget
We deliver projects – on time, on budget Ravensworth North Tweefontein Optimisation Project Ulan West Rav North production build up TWF – new rapid train load out Ulan West – first shear 15 8 6 10 Production (Mt) Strip ratio 4 5 2 - - 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 ROM Product Str
Slide 116: Conclusion
Conclusion Challenging market - Coking coal in balance, however low prices are expected to lead to further supply reductions - Thermal coal heading towards supply deficits - Margins will need to increase to support any new capacity Quality resources - Well positioned with unrivalled optionality Capi
Slide 117: Q&A
Q&A
Slide 118: Appendix
Appendix 118
Slide 119: Market update – thermal coal supply and demand
Market update – thermal coal supply and demand Seaborne thermal coal demand (Mt) 1,200 Supply growth exceeded demand 1,076 • Chinese repositioning creating uncertainty 1,019 966 1,000 946 Demand growth forecast at +4.5% pa 931 (+40Mtpa) over next 3 years 880 • Supply growth expected to lag 792 800 T
Slide 120: Market update – metallurgical coal supply and demand
Market update – metallurgical coal supply and demand Seaborne metallurgical coal demand (Mt) Demand reduction from 2013 to 2014 400 • Supply growth is being constrained due to demand growth and lower prices during 2013 / 2014 326 327 350 312 320 Constrained demand growth forecast 301 • < 2% over the
Slide 121: Investor Day
Zinc ingot, Asturiana de Zinc, Spain Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 - Nic
Slide 122: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 123: Zinc
Removing dross from top of furnace, CEZ zinc refinery, Canada Zinc Daniel Maté, Chris Eskdale
Slide 124: Zinc summary
Zinc summary Zinc market fundamentals remain strong and continue to improve Our industry leading zinc business combines world class zinc assets with our marketing reach and expertise Unique combination of mines and smelters in a single company • mined production of 1.4Mt in 2013 rising to 1.6Mt by 2
Slide 125: Global zinc market
Concentrate loading facility for McArthur River zinc mine, Australia Global zinc market
Slide 126: World zinc metal consumption 2012A – 2019F
World zinc metal consumption 2012A – 2019F • Consumption growth in 2012-2014 has been c.3.7% y-o-y • 2014 is expected to be in a deficit of 260-270kt • Stocks (LME + SHFE and bonded warehouse in China) have declined for each of the last 12 consecutive quarters • This translates to incremental metal
Slide 127: Where will these units come from?
Where will these units come from? 127
Slide 128: Concentrates requirement, production and deficit outlook
Concentrates requirement, production and deficit outlook • Approximately additional 3Mt of zinc in concentrates is needed in the next 5 years to meet forecast metal demand (and balance the current c.260-270kt metal deficit) • Non-Chinese mine production is forecast to add a net 600-650kt of zinc in
Slide 129: Chinese mine production
Chinese mine production • During the last 10 years, Chinese mine production has on average increased 225kt per year • To meet global zinc metal demand, Chinese mine production would need to increase by c.2-2.5Mt of zinc in concentrates over the next 5 years – an average of c.450-500kt per year Annua
Slide 130: Mine deficit can only partially be covered by stock
Mine deficit can only partially be covered by available stock • Assuming Chinese mine production increases c.210-220kt per year, there will be a global deficit of c.1.0-1.5Mt of zinc in concentrates over the forecast period • Deficit of concentrates will result in drawdown of metal stocks • 2014 for
Slide 131: Price is closely correlated to available stock levels
Price is closely correlated to available stock levels • Historically, zinc prices have responded to the upside as the “stocks:consumption” ratio approaches 3 weeks of zinc metal consumption LME zinc price ($/t) vs stocks to consumption ratio (weeks) 3,500 LME Zn price $/t 0.4 Inverse weeks 0 0.7 sto
Slide 132: Zinc metal stocks outlook
Zinc metal stocks outlook • Stocks are forecast to fall below the critical “stocks:consumption” inflection point of 3 weeks consumption Sensitivity of zinc metal stocks to global zinc demand 5 Weeks consumption Inflection point Feb 2016 Apr 2016 Oct 2016 4 3 2 1 0 2014F 2015F 2016F 2017F 2018F 2019F
Slide 133: Zinc industrial overview
McArthur River zinc mine metallurgical plant, Australia Zinc industrial overview
Slide 134: Glencore zinc assets
Glencore zinc assets Industrial assets comprise: 24 mines, 7 zinc smelters, 6 lead smelters/refineries with operations and assets in 12 countries and key marketing offices spread across 5 continents, ~50k employees 134
Slide 135: A large long-life, low-cost, optimised asset base
A large long-life, low-cost, optimised asset base Expansions – delivery of 3 Australian projects Illustrative Zinc C1 cash cost curve • capex spend on budget • Lady Loretta project ahead of schedule “Steady State” operations • benchmarking and subsequent cost reduction/turnaround projects – savings
Slide 136: Forecast zinc mine production profile
Forecast zinc mine production profile Own source contained zinc mine production (kt zinc) 1,800 1,620 1,640 1,580 1,600 1,399 1,380 1,400 1,200 1,000 800 600 400 200 0 2013A 2014F 2015F 2016F 2017F Australia Kazzinc North America Antamina Other Zinc Glencore Smelting Capacity Source: Glencore, smelt
Slide 137: Australian expansion projects update
Australian expansion projects update Mt Isa Operations: Rock bolting, Lady Loretta mine • Capital cost of US$245M for new hoisting shaft and associated infrastructure • Nov 2014 run-rate of 4.3Mtpa ore mined • Hoist commissioning anticipated in Q1 2015 • Sustainable 4.5Mtpa ore mined run rate by Q2
Slide 138: Conclusion
Conclusion • Zinc market fundamentals remain strong and continue to improve • Our industry leading zinc business combines world class zinc assets with our marketing reach and expertise • unique combination of mines and smelters in a single company • industrial assets fully integrated into global mar
Slide 139: Q&A
George Fisher underground mine shift change, Australia Q&A
Slide 140: Investor Day
Granulated nickel matte, Sudbury, Canada Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 -
Slide 141: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 142: Nickel
Exploration drilling, Raglan, Canada Nickel Kenny Ives, Peter Johnston
Slide 143: Nickel highlights
Nickel highlights Nickel market transitioning to deficit; balanced 2015 and deficits thereafter • nickel demand growth conservatively projected at c.4.5% p.a. • substantial deficits forecast over the outlook period Top 3 integrated nickel producer • 2013 own source production of 98.4kt, rising to 14
Slide 144: Sustainable Development
Sustainable Development Our Social License to operate is granted by our stakeholders and maintained through a strategic approach focused on delivering results Our Strategy Our Safety (TRIFR) Health and Safety Stakeholder Engagement • Safety • Community/ • Security Stakeholder Relations • Health and
Slide 145: Nickel industrial overview
Sudbury environmental lab, Canada Nickel industrial overview
Slide 146: Nickel assets overview
Nickel asse ver $2 Nikkelverk 92kt Ni 40kt Cu 3ktCo lickel Rim South 20kt Niin conc 48kt Cuin conc Fraser Morgan. ‘6kt Ni in cone 6Kt Cuin cond $8 Onaping Depth (project) $8 Araguaia (divestment) (project)
Slide 147: Operations: Raglan and Sudbury
Operations Raglan (Nunavik, Northern Québec, Canada) • 4 Mines, Mill, Power plant, Concentrator • Primary metals are nickel and copper • Palladium/platinum, cobalt are also produced • Employs approximately 950 people Sudbury (Ontario, Canada) • 2 mines, Mill and Smelter • Primary metals are nickel,
Slide 148: Operations: Murrin Murrin and Nikkelverk
Operations Murrin Murrin (Western Australia) • Fully integrated hydro metallurgical facility producing LME grade nickel and cobalt • Only Surviving Gen 1 HPAL plant – technology intended primarily for the treatment of Limonitic type ores • Mines, mill, refinery, power plant • Employs approximately 1
Slide 149: A large, long-life, low-cost optimised asset base
A large, long-life, low-cost optimised asset base Illustrative Nickel C1 metals cash cost curve $140M $4.00/lb of merger cost C1 to be achieved in synergies realised by 2016F 2016F end 2014 $4.00/lb 140- 70% 150kt reduction in capex in low-cost nickel 2015 production by 2016 +20yrs 2014F $3.10/lb mi
Slide 150: Koniambo ramp-up drives future production growth
Koniambo ramp-up drives future production growth Own source contained nickel production (kt) Koniambo guidance 150-160 150-160 160 2014: 10 to 18kt Ni 2015: 25 to 40kt Ni 140 2016: > 50kt Ni to nameplate capacity 120-135 120 102.5 98 +100 100 80 60 40 20 0 2012A 2013A 2014F 2015F 2016F 2017F Austral
Slide 151: Koniambo construction complete
Koniambo construction complete • Koniambo construction completed in Construction cost ($ billion) November 2013; production ramp-up 7.2 now underway 7.0 • Power station commissioning issues 6.3 1.7 are expected to be corrected by the 6.0 0.8 end of H1 2015 – no power constraints to production in the
Slide 152: Integrated site – metallurgical plant
Integrated site – metallurgical plant (construction complete) 152
Slide 153: Smelting (new smelting technology)
Smelting (new smelting technology) Hammer Mill Flash Dryer Calciner Fluid Bed Reducer DC Furnace • The metallurgical plant has been operating for over 12 months • both lines have operated at 90% of nominal throughput • furnace power demonstrated at 80MW (100% of design) on both lines • fluid bed red
Slide 154: Sufficient power is now available to support production
Sufficient power is now available to support production • At full nominal smelting rates, the site will demand 215MW of net power, the equivalent of all power consumed on the island of New Caledonia. The site is designed to have a total installed capacity of 404MW (including auxiliary sources) • 2 x
Slide 155: Further divestment opportunities
Further divestment opportunities Araguaia • Laterite nickel/cobalt project located in Brazil • Measured and indicated resource of 105Mt @ 1.33% Ni and an additional 18Mt of inferred resources @ 1.3% Ni Sipilou • Laterite nickel/cobalt project located in Ivory Coast • Joint venture with SODEMI; curre
Slide 156: Nickel market transitioning to deficit
Offloading Sudbury nickel matte at Nikkelverk, Norway Nickel market transitioning to deficit
Slide 157: Market remains in surplus with LME stocks increasing
Market remains in surplus with LME stocks increasing • LME nickel price rallied to $21,200/t in May, up 52% LME Ni inventory and price from the start of the year. Prices subsequently settled in an $18,000-$20,000/t range, then declined Inventory (kt) Price (US$/t) 430 30,000 rapidly from Sep, along
Slide 158: Nickel pig iron output supported by high grade ore stocks
Nickel pig iron output supported by high grade ore stocks • Significant stockpiles of Indonesian high Quarterly nickel pig iron production (kt) grade ore (>1.8% Ni) were built in China 160 prior to the export ban (27Mt HG/MG ore) 120 • These stockpiles, blended with Philippine ore, have supported co
Slide 159: Philippine ore supplies determine Chinese NPI outlook
Philippine ore supplies determine Chinese NPI outlook • With the Indonesian ban on ore exports Philippine ore exports to China (Mt) sustained (also confirmed by recent LG <0.8% Ni LG >0.8% Ni MG HG Constitutional Court ruling), Chinese inventory of Indonesian high grade ore will 50 ultimately deplet
Slide 160: Supply outlook – limited growth amid ore ban
Supply outlook – limited growth amid ore ban • Global nickel supply in 2014 is forecast to be Forecast nickel supply (kt) relatively unchanged on 2013 as decreased Chinese NPI New projects Existing producers output from existing producers and Chinese NPI is offset by increased production from new 20
Slide 161: Demand outlook – solid growth in key markets
Demand outlook – solid growth in key markets • “While the days of double-digit growth in China Forecast nickel demand by sector (kt) are over, the greater size of the economy 2,500 Primary nickel in non-stainless means lower growth still translates into strong Primary nickel in stainless absolute de
Slide 162: Expanding deficits to emerge
Expanding deficits to emerge • Assuming the Indonesian ban on ore Forecast nickel supply/demand (kt) exports is sustained, market deficits will emerge 2,400 Supply Demand • Increased supply from new projects (all 2,200 going well) supports global production growth of c.1% p.a. to 2019 2,000 • With n
Slide 163: Q&A
Murrin Murrin metallurgical plant, Australia Q&A
Slide 164: Investor Day
Mangara, Chad Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 - Nickel | Kenny Ives & Pete
Slide 165: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 166: E&P portfolio overview
E&P portfolio overview E&P portfolio location Asset Participation Equatorial Participating Guinea Interest Block I 23.75% Block O 25.00% Block X 37.50% Block V * 80.00% Block EG 05 * 60.00% Participating Cameroon Interest Matanda * 90.00% Bolongo * 100.00% Tilapia 23.33% Participating Chad Interest
Slide 167: Equatorial Guinea
Equatorial Guinea Continued production from Aseng & Alen and future development potential in Diega Aseng (Block I) Alen (Block O) * Diega (Block I / O) • Active production management and • 2014 focus has been on further strong reservoir performance at the optimising the Alen facility and Aseng oil f
Slide 168: Cameroon – appraisal programme completed
Cameroon – appraisal programme completed Matanda Bolongo Tilapia • Drilled an appraisal well (NM-3x) on a • Oak discovery made by Glencore in • Non-operated previous discovery (1980 Gulf oil) 2012 - (Noble Energy - operator) • Pre-drill intention was to pursue a gas 1st operated well drilled by th
Slide 169: Chad – key milestones achieved since Sep 2013 update
Chad – key milestones achieved since Sep 2013 update Badila Field Facility expansion achieved • Badila 40,000 bfpd CPF Facility completed and commissioned in November 2014 • Total water injectivity capacity at 23,000 – 30,000 bwpd by year end • Current production at ~ 15,000 bopd Mangara Field First
Slide 170: Near term development & production in Western Acreage
Near term development & production in Western Acreage • Focussing on near term cash flow from these three fields Mangara Field • In ~18 months since the initial Glencore farm-in, two fields will have been brought online Outlook & Guidance • Third field to follow in Q2 2015 First oil date Dec 14 / Ja
Slide 171: Capturing value from the exploration opportunity in the East
Capturing value from the exploration opportunity & existing discoveries in the East Discovered resource represents only ~ 25% of total audited risked resource potential • Leaves entire exploration play at ground floor entry • ~800 MM bbls of audited risked prospective resource • Existing discoveries
Slide 172: Conclusion
Conclusion Strong cash generation from two assets in production (EG & Chad) • Equatorial Guinea – Aseng and Alen continue to perform well with no significant capex commitments until Diega development • Chad – Plan to accelerate production from the 3 Western fields/discoveries (Mangara, Badila, Krim)
Slide 173: Q&A
Oil drill rig, Chad Q&A
Slide 174: Investor Day
Harvester at Balaklava, Australia Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 - Nickel
Slide 175: Forward looking statements
Forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminology, or the negative thereof such as "plans", "expects
Slide 176: Agricultural products
Shiploading at Port Giles, Australia Agricultural products Chris Mahoney
Slide 177: Agricultural products summary
Agricultural products summary • A global grain and oilseed origination, processing, storage, handling and marketing business • 11,700 employees • operating in 4 regions with marketing offices in 27 countries – marketing c.67Mt/year, • comprising c.300 facilities including silos, ports, mills, oilsee
Slide 178: Glencore's logistics infrastructure (1/2)
Glencore’s logistics infrastructure (1/2) Grain port facilities Tilbury Dunaújváros Szczecin Muuga Illychevsk Rostov 500kt 300kt 1.25Mt 4.0Mt 3Mt 1.25Mt 19kt 7kt 25kt 300kt 220kt 60K Prince Rupert Taman 6Mt 3.5Mt 230kt 84kt Cascadia Wallaroo 6Mt 750kt 280kt 765kt Pacific Pt Adelaide IH 2Mt 850kt 180
Slide 179: Glencore's logistics infrastructure (2/2)
Glencore’s logistics infrastructure (2/2) Storage facilities Canada Bulgaria Hungary Poland Romania Russia Ukraine Kazakhstan 63 facilities 2 facilities 4 facilities 5 facilities 10 facilities 11 facilities 26 facilities 3 facilities 1.9Mt 64kt 240kt 180kt 337kt 710kt 1,26Mt 233kt Uruguay Australia
Slide 180: Farming and processing assets
Farming and processing assets Facillities Commodity Production capacity Ownership Country Moreno 3 Sun / Soya 1.29Mt 100% Argentina Ponta Pora 1 Soya 329kt 100% Brazil Fokto 1 Multi 508kt 100% Hungary Usti 1 Sun / Rape 462kt/586kt/60kt 100% Czech Kharkov 1 Sun 320kt 80-100% Ukraine Crushing Lubmin 1
Slide 181: Distinct but interdependent businesses
Distinct but interdependent businesses Farming Global Softseed Soyabean Milling storage / processing / processing / South handling biodiesel biodiesel America (inc. Viterra) Europe Argentina Trading/Marketing • Earnings are not reliant on prices or positioning • average VaR year to date 2014 - $8.3M
Slide 182: Agricultural products – key strengths
Agricultural products – key strengths • In top three grain /oilseed exporters Wheat in Bute, South Australia from Russia, EU, Canada and Australia • In top three global marketers (seaborne trade) of wheat, durum wheat, barley, peas/pulses, canola and sunflower seed/oil/meal • First class, large scal
Slide 183: Marketing and handling update
Marketing and handling update • Prices at post financial crisis lows Viterra Weyburn grain silo, Australia • record 2013/14 US crops, good EU and FSU production and a re-building of PRC corn stocks due to three years of good production • however, some new crop production issues developing (Russia) •
Slide 184: Farming and processing update
Farming and processing update • Oilseed crush margins in Europe, FSU Tailem Bend bunker stack, Australia and Argentina have been reasonable • no significant additions to crush capacity in these regions with the exception of the Ukraine • conflict in Ukraine has forced the closure of a competitor’s p
Slide 185: Population demographics underpin a positive outlook
Population demographics underpin a positive outlook Ship loading Port Adelaide, Australia • Global demand growth supports the business with 10 year CAGR of: – Corn: 3.5 % – Beans: 3.3 % – Wheat: 1.8 % • Growth in seaborne trade exceeds demand growth: – Corn: 4 % – Beans: 6 % – Wheat: 2.9 % • 20-25%
Slide 186: Q&A
Viterra Balgonie, Regina, Canada Q&A
Slide 187: Appendix
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Slide 188: Oilseed processing, logistics and marketing are integrated
Oilseed processing, logistics and marketing are integrated Origination Port Marketing/ Marketing/ Break bulk Farming elevators / elevators / freight freight distribution silos silos Rice milling Oilseed crushing Wheat flour milling Biodiesel production Procurement / marketing assets Processing asset
Slide 189: Operating track record
Operating track record Volumes marketed (Mt) Volumes – Farming (kt) 883 827 675 657 674 587 571 68 2008 2009 2010 2011 2012 2013 YTD Q3 Wheat Barley Corn 2014 Rapeseeds Sunflower Seeds Soybeans 50 Rice Peas Volumes – Processing (Mt) 46 37 8.4 31 7.8 30 6.8 29 5.7 3.7 2010 2011 2012 2013 YTD Q3 2014
Slide 190: Investor Day
Tintaya concentrator, Peru Investor Day 10 December 2014 08:00 - Welcome and Overview | Ivan Glasenberg 08:20 - Finance Update | Steven Kalmin 08:45 - Copper | Telis Mistakidis 09:15 - Coal | Tor Peterson & Peter Freyberg 09:45 - Break 10:05 - Zinc | Daniel Maté & Chris Eskdale 10:35 - Nickel | Kenn
Slide 191: Ivan Glasenberg, CEO
Lion chrome smelter, South Africa Ivan Glasenberg CEO
Slide 192: Our priorities for 2015
Our priorities for 2015 • Successfully deliver remaining key growth projects • Koniambo, McArthur River, Katanga, Chad oil fields • Ensure continued operating efficiency, targeting Q1 costs/margins • Maintain strong investment grade credit rating • Maintain disciplined deployment of capital to maxim
Slide 193: Q&A
Tintaya concentrator, Peru Q&A DVM