Slide 1: FY 2018 Financial Results Presentation
For personal use only FY 2018 FINANCIAL RESULTS PRESENTATION
Slide 2: Disclaimer
TERRACOM DISCLAIMER For personal use only The information contained in this document (“Presentation”) has been prepared by TerraCom Limited (the “Company”). This Presentation does not constitute an offer or invitation to any person to subscribe for or apply for any securities in the Company. This Pr
Slide 3: Highlights: Focus on Cashflow and Growth in Strong Market
HIGHLIGHTS FOCUS ON CASHFLOW AND GROWTH IN STRONG MARKET For personal use only 2019 Financial Year – Financial Highlights • EBITDA Forecast between $130 million and $150 million • Production from 2 mines producing high value product in 2 strong 2 Regions Operations in Australia and coal regions –
Slide 4: Financial Highlights: Record Cash Generation from Operations
FINANCIAL HIGHLIGHTS RECORD CASH GENERATION FROM OPERATIONS For personal use only $M Key Financial Measures FY 2018 Comments EBITDA 28.6 FY 2018 EBITDA driven by record sales and margins. Cash generated from operations 34.3 FY2018 cash generation on the back of record sales at Blair Athol and BNU. C
Slide 5: BA (Australia) – Margin and Unit Costs
FINANCIAL HIGHLIGHTS BA (AUSTRALIA) – MARGIN AND UNIT COSTS For personal use only $/t $/t $/t H1 Q3 Q4 Dec Mar Jun Margins & Unit Costs - BA 2017 2018 2018 Comments Average sales price (A$/t) 70.6 71.0 102.2 44% increase in revenue per tonne on commissioning of the train load out. Unit cost per tonn
Slide 6: BNU (Mongolia) – Margin and Unit Costs
FINANCIAL HIGHLIGHTS BNU (MONGOLIA) – MARGIN AND UNIT COSTS For personal use only $/t $/t H1 H2 Dec Jun Margins & Unit Costs - BNU 2017 2018 Comments Average sales price (A$/t) 71.7 70.5 Coal sold raw at the mine gate Unit cost per tonne (A$/t) 63.5 55.3 Multi Pit expansion and cost reduction plan i
Slide 7: Full Year Earnings Overview
FINANCIAL HIGHLIGHTS FULL YEAR EARNINGS OVERVIEW For personal use only Million $ H1 2018 H2 2018 FY 2018 Comments Revenue 45.2 101.9 147.1 Record revenue on the back of record production. Cost of Sales (35.1) (71.2) (106.3) Substantial increase in COS refelcting BNU and BA ramp up production activit
Slide 8: Health and Safety: Strong Focus and Performance
HEALTH AND SAFETY STRONG FOCUS AND PERFORMANCE For personal use only BNU Lost Time Injury Free Record World Class • The BNU coking coal mine has maintained its excellent safety record, with operations continuing throughout the year without any Lost Time Injury (LTI) incidents occurring. • By 30 Ju
Slide 9: Environment: Significant Rehabilitation Work Completed in BA
ENVIRONMENT SIGNIFICANT REHABILITATION WORK COMPLETED IN BA For personal use only Significant progress of rehabilitation activities in BA • The capping of the old tailings storage facility completed ahead of schedule as part of the mining operations process. • The completion of the rehabilitation
Slide 10: Environment: Significant Rehabilitation Work Completed in BNU
ENVIRONMENT SIGNIFICANT REHABILITATION WORK COMPLETED IN BNU For personal use only Significant progress of rehabilitation activities in BNU • The progressive rehabilitation of 9 exploration trenches and 1,027 exploration drill holes • Ongoing maintenance of tree planting program Image – local wild
Slide 11: Community: Commitment to Our Communities
COMMUNITY COMMITMENT TO OUR COMMUNITIES For personal use only Sourcing People from and Living in Local Communities in Clermont • Completed the acquisition of the 41 properties located in Clermont Township (including 39 houses, Guest House and 40 Single Person Quarters) as part of the Company’s str
Slide 12: Operational Performance: Blair Athol Mine in Australia
OPERATIONAL PERFORMANCE BLAIR ATHOL MINE IN AUSTRALIA For personal use only BA Rapidly Recommissioned and into Full Production • 31 May 2017 – Completion of the Sale and Purchase Agreement for mine acquisition • 13 August 2017 – First Coal Mined • 25 August 2017 – First Product Coal Crushed • 26 A
Slide 13: Operational Performance: Mongolia and Consolidated
OPERATIONAL PERFORMANCE MONGOLIA AND CONSOLIDATED For personal use only MONGOLIA CONSOLIDATED 13
Slide 14: Significant Achievements: Blair Athol Mine in Australia
SIGNIFICANT ACHIEVEMENTS BLAIR ATHOL MINE IN AUSTRALIA For personal use only Recommissioned BA Mine • World class infrastructure capable of supporting 12Mtpa • Ramped up to in excess of 2.5Mtpa annualised production rate within 12 months of taking ownership • Re-established BA strong coal brand in
Slide 15: Significant Achievements: BNU Mine
SIGNIFICANT ACHIEVEMENTS BNU MINE IN AUSTRALIA For personal use only Multi Pit Expansion Implemented • Progressive development of a multiple shallow pits on coal subcrop along 50km of Noyon Basin edge with planning underway to increase output to 3Mtpa (refer below) • All pits to be serviced by exi
Slide 16: Thank You
For personal use only THANK YOU info@terracomresources.com
Slide 17: Footnotes and references
TERRACOM For personal use only (1) Refer to ASX Announcement on 13 February 2018 for further information and clarification on the Blair Athol production forecast. The material assumptions underpinning the Blair Athol production target in this ASX Announcement continues to apply and has not materiall
Slide 18: Competent Person Statement
TERRACOM COMPETENT PERSON STATEMENT Several JORC Resource estimates disclosed in this presentation were prepared and first disclosed under the JORC Code 2004. None have been updated since to comply with the JORC Code 2012 on the For personal use only basis that the information has not materially cha