Amg Critical Materials N.v. · EURONEXT:AMG
Amg Critical Materials — AMG Advanced Metallurgical Group — Berenberg Investor Forum April 2017
23 slides from Amg Critical Materials's conference presentation, April 2017
Slide 1: Leading the Critical Materials Revolution
LEADING THE CRITICAL MATERIALS REVOLUTION AMG Advanced Metallurgical Group N.V. Berenberg Investor Forum April 2017
Slide 2: Table of Contents
TABLE OF CONTENTS AMG Overview 4 AMG Lithium 9 Mibra Mine 14 Appendix 17 2
Slide 3: Cautionary Note
Cautionary Note THIS DOCUMENT IS STRICTLY CONFIDENTIAL AND IS BEING PROVIDED TO YOU SOLELY FOR YOUR INFORMATION BY AMG ADVANCED METALLURGICAL GROUP N.V. (THE “COMPANY”) AND MAY NOT BE REPRODUCED IN ANY FORM OR FURTHER DISTRIBUTED TO ANY OTHER PERSON OR PUBLISHED, IN WHOLE OR IN PART, FOR ANY PURPOSE
Slide 4: AMG Overview
AMG OVERVIEW AMG Advanced Metallurgical Group N.V.
Slide 5: AMG Is a Critical Materials Company
AMG IS A CRITICAL MATERIALS COMPANY GLOBAL TRENDS DEMAND SUPPLY: AMG CO2 emission reduction, Innovative new Sources, processes, population growth, products that are and supplies the critical increasing affluence, lighter, stronger, and materials the market and energy efficiency resistant to higher d
Slide 6: Leader in Advanced Technologies to Address CO2 Reduction
LEADER IN ADVANCED TECHNOLOGIES TO ADDRESS CO2 REDUCTION CO REDUCTION 2 A GLOBAL IMPERATIVE FOR THE 21ST CENTURY AMG: MITIGATING AMG: ENABLING TECHNOLOGIES TECHNOLOGIES Products and Processes saving Products and Processes saving raw materials, energy and CO2 CO2 emissions during use emissions during
Slide 7: Strong capital structure, free of net debt, positioned for growth
Strong capital structure, free of net debt, positioned for growth OPTIMIZED RETURN EXCESS CASH DISCIPLINED ORGANIC CAPITAL STRUCTURE TO SHAREHOLDERS GROWTH & ACQUISITIONS • Refinanced credit facility in 2016, • Initiated first dividend to • Rigorous process to review providing a stable capital base
Slide 8: AMG at a Glance
AMG at a Glance FY 2016 REVENUE BY SEGMENT: BY END MARKET: BY REGION: 40% Transportation 43% Europe 72% Critical Materials 23% Infrastructure 33% North America 22% Specialty Metals 28% Engineering & Chemicals 20% Asia 15% Energy 4% ROW AMG IS A GLOBAL SUPPLIER OF CRITICAL MATERIALS TO: ENERGY TRANSP
Slide 9: AMG Lithium
AMG LITHIUM AMG Advanced Metallurgical Group N.V.
Slide 10: Lithium Project Status
Lithium Project Status Status Construction AMG approved construction of lithium concentrate plant at the AMG Approval Mibra mine, with annual production of 90,000 tons Complete EPC Contract AMG awarded EPC contract to Outotec (Finland) for turnkey delivery of lithium concentrate plant Complete Award
Slide 11: AMG Lithium – Project Overview
AMG LITHIUM – PROJECT OVERVIEW Lithium Concentrate Production OBJECTIVE • Monetization of substantial lithium mineral deposits currently residing in AMG Mineração's tailings ponds and tailing stockpiles • Production facility to be co-located with AMG Mineração's tantalum mine and upgrading plant in
Slide 12: AMG Lithium – Project Strengths
AMG LITHIUM – PROJECT STRENGTHS 1) Existing management and mining infrastructure – not a new mine project 2) Strong understanding of the mine geology 3) Mining infrastructure already in place and operational 4) Ore extraction and crushing costs absorbed by profitable tantalum operation 5) Spodumene
Slide 13: Lithium Project Cost Position – Lithium Concentrate (Spodumene)
Lithium Project Cost Position – Lithium Concentrate (Spodumene) 400 350 US$/MT LITHIUM CONCENTRATE 300 250 200 150 Estimate of AMG operating cost of $127/MT 100 (excl. transportation) 50 0 GREENBUSHES WHABOUCHI PILGANGOORA MT. CATTLIN MT. MARION PILGANGOORA ROSE TIANQI LITHIUM1 NEMASKA PILBARA MINER
Slide 14: Mibra Mine - Location
Mibra Mine - Location BRAZIL AMG’s mining operation in Brazil is located in Minas Gerais State, near the city of Nazareno Approximately 225 km Northwest of Rio de Janeiro and 130 km Southwest of Belo Horizonte Approximately 300 km from Port of Santos, most important port in Brazil together with Rio
Slide 15: Spodumene Production Process Overview
Spodumene Production Process Overview AMG MINERAÇÃO PRODUCTS AND MARKETS PRODUCTS CRUSHING, PEGMATITE ORE GRINDING, Ta2O5 Concentrate & Tin AMG Mibra Mine SEPARATION AND CONCENTRATION MARKETS Electronics PRODUCTS Lithium Concentrate (Spodumene) MARKETS FLOTATION Energy Storage Ceramics MIBRA MINE IS
Slide 16: Drilling Campaign and Resource Expansion
Drilling Campaign and Resource Expansion Purpose & Benefits Expand existing tantalum and lithium resources in Mibra Upgrade existing mineral resources from ‘Inferred’ to ‘Indicated’ and / or ‘Indicated’ to ‘Measured’ Extend useful life of mine Comply with legal requirements of Mineral Right 831.043/
Slide 17: Appendix
APPENDIX AMG Advanced Metallurgical Group N.V.
Slide 18: AMG End Markets, Competitors and Customers
AMG End Markets, Competitors and Customers Critical Materials AMG Engineering 2016 REVENUE: $701.6M 2016 REVENUE: $269.5M 2016 EBITDA: $73.6M 2016 EBITDA: $27.0M Heat Treatment Units Antimony Aluminum Titanium Graphite Chrome Silicon Tantalum Vanadium Engineering Services End-Use Markets • FLAME • E
Slide 19: Financial Highlights
Financial FinancialHighlights Highlights EBITDA (IN MILLIONS OF US DOLLARS) ROCE (% PERCENTAGE) 18.8% $100.7 $83.5 $85.7 $72.6 $75.6 33% 57% 11.9% 12.0% YoY YoY 9.2% 7.4% 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 NET DEBT (IN MILLIONS OF US DOLLARS) ORDER INTAKE* (IN MILLIONS OF US DOLLARS)
Slide 20: Financial Highlights: Working Capital Reduction
Working FinancialCapital Reduction Highlights WORKING CAPITAL DAYS REDUCED BY 81% SINCE Q3’10 79 69 70 70 70 65 65 65 65 62 61 64 DAYS, 53 OR 81% REDUCTION 47 47 43 42 31 30 30 28 26 23 19 17 17 15 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14
Slide 21: AMG Global Footprint – Critical Materials
AMG Global Footprint – Critical Materials Ti 21 21
Slide 22: AMG Global Footprint – Engineering
AMG Global Footprint – Engineering Limbach, GERMANY Berlin, GERMANY Hanau, Wixom GERMANY (MI), USA Head Office Grenoble, Port Huron FRANCE (MI), USA Suzhou, CHINA Mexico City, MEXICO Mumbai, INDIA Headquarters Production Facility Heat Treatment Services 22 22
Slide 23: Ti Sb Cr Nb Al Ta
Ti Sb Cr Nb Al Ta
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