Whitehaven Coal Limited · ASX:WHC
Whitehaven Coal — Sydney Mining Club Conference, August 2013
22 slides from Whitehaven Coal's conference presentation, Aug 1, 2013
Slide 1: Company Update – Sydney Mining Club
Whitehaven Coal Limited Company Update Sydney Mining Club Sydney, Australia 1st August 2013
Slide 2: Disclaimer
Disclaimer Statements contained in this material, particularly those regarding the possible or assumed future performance, costs, dividends, returns, production levels or rates, prices, reserves, potential growth of Whitehaven Coal Limited, industry growth or other trend projections and any estimate
Slide 3: Agenda
Agenda Overview of Whitehaven Maules Creek Project Update Narrabri Project Update Outlook of substantial organic growth Sydney Mining Club Conference, August 2013 3
Slide 4: Gunnedah Basin has sustainable competitive advantages
Gunnedah Basin has sustainable competitive advantages Whitehaven has consolidated a very strong position • Low ash Large reserves of • Low sulphur excellent quality • Low phosphorus coals • High energy • Coking properties (Updated JORC statement • Favourable ash & trace element chemistry issued • Fl
Slide 5: WHC is an established player in the Gunnedah Basin
WHC is an established player in the Gunnedah Basin with a suite of good quality metallurgical and thermal coal assets (A) Maules Creek (75%) • Reserves to support ~ 30 years • Permitted & Planned : 13 Mtpa ROM • SSCC and high energy thermal (B) Narrabri North (70%) • Reserves to support ~ 25 years •
Slide 6: Saleable coal production growth to date
Saleable coal production growth to date 9,000 8,000 WHC has a track record of 7,000 developing a portfolio of existing open cut mines at a production 6,000 Narrabri rate of ~ 5 Mtpa. Open Cuts 000s tonnes 5,000 4,000 With the commencement of Narrabri longwall production in 3,000 FY2013, total saleab
Slide 7: Substantial near-term production growth
Substantial near-term production growth 25,000 23 The combination of the existing 20,000 open cut mines and Narrabri is 18 expected to reach 11 Mtpa 17 saleable production from 15,000 FY2014 onwards. 000's tonnes 11 The development of Maules 10,000 8 Creek open cut mine is expected to increase produ
Slide 8: A major future supplier of semi-soft coking coal and low-ash thermal coal
A major future supplier of semi-soft coking coal and low-ash thermal coal Comments Potential saleable production mix (Mt, 100% basis) Metallurgical coal can grow to be up to ~60% of Thermal coal Metallurgical Thermal coal Metallurgical managed saleable production by FY2017, subject coal 22% 40% coal
Slide 9: Experienced managers in place to deliver on the growth plans
Experienced managers in place to deliver on the growth plans Paul Flynn Previously CEO & MD of the Tinkler group and prior to that was managing partner in the Sydney office for Ernst & (Managing Director) Young and a member of its Oceania executive team. Jamie Frankcombe More than 33 years’ experien
Slide 10: Maules Creek is a Tier 1 asset
Maules Creek is a Tier 1 asset Formal approval received in July 2013. High quality resource which can be mined at relatively low cost. Situated 17km from the main railway line 380km from the Newcastle port Well understood and attractive geological setting Multiple shallow coal seams with no signific
Slide 11: Maules Creek mine is a Tier 1 asset
Maules Creek mine is a Tier 1 asset Maules Creek JORC Reserves One of the last major undeveloped coal deposits in NSW, and one of Australia’s largest coal deposits. Recoverable Marketable(2) Recoverable reserves at 362Mt and resources of Proved Probable Proved Probable 679Mt 171Mt 362Mt 191Mt 141Mt
Slide 12: Maules Creek will provide major economic and social benefits to the region
Maules Creek will provide major economic and social benefits to the region. Current reserves of 362Mt with approved ROM production of 13Mtpa High product yield of > 90% expected based on producing 48% SSCC product split. Remaining will be premium thermal coal Total project planned construction capit
Slide 13: Project Schedule
Project Schedule Site Access Rail Construction CHPP Construction Box Cut First Coal to Trains 14 months to first coal railed Production to 6Mtpa ROM Production to 13Mtpa ROM Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2013 2014 2015 2016 Sydney Mining Club Conference, August 2013 13
Slide 14: Narrabri bypass circuit in operation
Narrabri bypass circuit in operation Sydney Mining Club Conference, August 2013 14
Slide 15: Narrabri project, a tier 1 underground coal mine achieving major milestones
Narrabri project, a tier 1 underground coal mine achieving major milestones and potential for further expansion Oct 12 Longwall commissioned Oct 13 CHPP commissioned and commenced trials of PCI into COREX markets Feb 13 Sufficient mine development in advance facilitates the reduction in development
Slide 16: Narrabri Tier 1 underground mine progress update
Narrabri Tier 1 underground mine progress update The longwall change-out program has been completed with the commencement of production from the 2nd longwall panel which is ~1,800m long and 300m wide New automation software has been installed and is in trial led by experts from CAT. Pending outcomes
Slide 17: Narrabri longwall in position on panel 2 face
Narrabri longwall in position on panel 2 face Sydney Mining Club Conference, August 2013 17
Slide 18: Narrabri longwall in position on panel 2 face
Narrabri longwall in position on panel 2 face Sydney Mining Club Conference, August 2013 18
Slide 19: Creating Australia's premier, listed, independent coal company
Creating Australia’s premier, listed, independent coal company 25,000 23 20,000 18 17 000's tonnes 15,000 11 10,000 8 5,000 0 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 Tarrawonga Other WHC Rocglen Werris Creek Narrabri Maules Creek Vickery Note: Graph depicts saleable coal on a 100% basis and
Slide 20: Market / Political / Social Context
Market / Political / Social Context Coal prices have fallen substantially and the coal industry is struggling to adjust supply accordingly (TOP) Until recently $A exchange rates have been above par for over 12 months Green activism by those philosophically opposed to coal mining on climate change gr
Slide 21: Well positioned globally as a low-cost and high quality export coal producer
Well positioned globally as a low-cost and high quality export coal producer The fundamentals of coal as a long-term primary energy source are robust, driven by global population growth and increasing demand for steel and reliable low-cost energy in emerging economies Future energy policies are shif
Slide 22: Thank you
Thank you www.whitehavencoal.com.au
Whitehaven Coal — Sydney Mining Club Conference, August 2013 on 6ix