Metro Mining Limited · ASX:MMI
Metro Mining — Noosa Mining Conference 2023
19 slides from Metro Mining's conference presentation, Nov 15, 2023
Slide 1: Investor Presentation - Noosa Mining Conference
Investor Presentation For personal use only Noosa Mining Conference 16 November 2023 ASX: MMI
Slide 2: Disclaimer
DISCLAIMER No representation or warranty, express or implied, is made by the Company that the material contained in this presentation will be achieved or proved to be correct. Except for statutory liability which cannot be excluded, each of the Company, its directors, officers, employees, advisers a
Slide 3: Metro: Only pure play ASX bauxite operator undervalued?
Metro: Only pure play ASX bauxite operator undervalued? Near term cash drivers: Operations running effectively, market strong, expansion on track We have the market and the customers We have the transformational expansion strategy For personal use only Record bauxite trade in 2022/23 and forecas
Slide 4: Well Credentialed Board & Management
Well Credentialed Board & Management Tier 1 mining value chain experience delivering expansion & future shareholder value Highly Experienced Resources Board Capable Management Team For personal use only Douglas Ritchie Simon Wensley Nathan Quinlin Non-Executive Chairman CEO & Managing Director CFO E
Slide 5: Bauxite – THE "critical" mineral for the critical metal
Bauxite – THE “critical” mineral for the critical metal Primary aluminium for transportation, EVs & renewables: most important metal for the energy transition For personal use only Lightweight transportation 20% of EV battery High Grade Alumina Aluminium Bauxite 5 | ASX : MMI | November 2023I Manufa
Slide 6: Aluminium demand expected to rise by 40% by 2030
Aluminium demand expected to rise by 40% by 2030 Estimated Global Aluminium Demand by End Use “40 million EVs by 2030 will transform aluminium For personal use only demand”- CRU “For every 100kg saved, an EV can increase its mileage by 10-11%, reduce its battery cost by 20% and save 20% daily worn-o
Slide 7: Bauxite – THE "critical" mineral for the critical metal
Bauxite – THE “critical” mineral for the critical metal Metro Bauxite in Tesla bumpers, battery parts, radiators, Mercedes wheels, iPhones For personal use only 7 | ASX : MMI | November 2023 I
Slide 8: Traded Bauxite market growth breaking records
Traded Bauxite market growth breaking records Prices up 25% since the beginning of 2022 Forecast Bauxite Consumption China (2022-2033) 125 Mt record imports to China in 2022 For personal use only YTD 2023 imports at 107 Mt, up 13% YoY Indonesia has ceased all bauxite exports 40% additional d
Slide 9: Simple, High-Quality, Low-Cost, Bauxite Operation
Simple, High-Quality, Low-Cost, Bauxite Operation For personal use only 9 | ASX : MMI | November 2023 I
Slide 10: Simple, High-Quality, Low-Cost, Bauxite Operation
Simple, High-Quality, Low-Cost, Bauxite Operation Metro second significant exporter of “Weipa” bauxite Clear vegetation & Return overburden & replace remove overburden topsoil - then revegetate 1963 COMALCO starts commercial production in Weipa For personal use only Overburden (~0.5m) 2018, 100
Slide 11: Sales contracts underpin expansion, demand strong
Sales contracts underpin expansion, demand strong Expansion perfectly timed with declining Chinese/Indonesian production Metro Contract Off-take by Customer 8 Mine & Trans-ship Capacity For personal use only 7 2023: Metro sales firm: 4.5 to 5 M WMT 6 2024: 6.5 M WMT in secure off-take Xiangsen L
Slide 12: Expansion project underway - now at 6 Mt/a rate
7 MT/a expansion project underway - now at 6 MT/a rate Low capex, low risk, high IRR, brownfield expansion Approved and funded expansion: 4 to 7 Mt/a capacity. Capex $31.9M For personal use only Outstanding DFS economics: Site EBITDA margin of A$ 14 /t; IRR of 80% Ramp up underpinned by sales
Slide 13: New Offshore Transhipper "Ikamba" refurbishment
New Offshore Transhipper “Ikamba” refurbishment Double crane & ship-loader provides for 7 Mt/a operating capacity For personal use only Refurbishment to be completed in December, then mobilized to Australia. Project being managed by Louis Dreyfus Ports & Logistics. 13 | ASX : MMI | November 2023 I
Slide 14: Positive Cost and Margin Outlook
Positive Cost and Margin Outlook Economies of scale & evolution of freight book drives forecast margin potential up For personal use only $70 2023 Q4 Spot Cargo Price $66 $60 2023 Q3 Average Pricing $57 $5 $53 $50 DFS Pricing A$ / wmt $6 $21 $40 $6 $6 $6 $17 $30 $17 $13 $15 $20 $32 $25 $10 $19 $18 $
Slide 15: Target lowest Global Delivered Cash Cost Positioning
Target lowest Global Delivered Cash Cost Positioning Become world’s lowest cost global quality bauxite supplier into China 1st Quartile 2nd Quartile 3rd Quartile 4th Quartile For personal use only 100 China Seaborne Bauxite Supply and Costs 2022 and 2026 (Source: CM Group 2023) 90 80 70 US$/DMT CIF
Slide 16: Value add organic options post expansion completion
Value add organic options post expansion completion There are various external influences and organic project options which can enhance the value of Metro Mining beyond the DFS case These options are currently being considered by Management, and still subject to For personal use only Board appro
Slide 17: Metro Mining (MMI) - The only pure play ASX bauxite operator
Metro Mining (MMI)- The only pure play ASX bauxite operator Market Cap Share Price For personal use only A$ 90 Million A$ 0.02 • As at 14/11/23 • As at 14/11/23 • Shares on issue 4,365 Million • 52 week high $0.026, low 0.007 NPV of expansion NPV per share A$ 405 Million A$ 0.09 • May ‘23 Expansion
Slide 18: For Further Information Contact
For personal use only For Further Information Contact: Investor Relations: Peter Taylor Peter@nwrcommunications.com.au Ph: +61 (0) 4120 3631 Company Secretary: Robin Bates info@metromining.com.au Ph: +61 (0) 7 3009 8000 Postal Address: GPO Box 10955, Brisbane QLD 4000
Slide 19: Appendix A – Material Assumptions for 2024 and 2025 Forecast
Appendix A – Material Assumptions for 2024 and 2025 Forecast Unit Costs Forecast Assumption Forecast Basis Production The additional port infrastructure and transshipping equipment required to increase production capacity to 7 million tonnes per annum has been assessed by Metro Mining and third-part