Eramet Sa · EURONEXT:ERA
Eramet Sa — H1 2022 Earnings Presentation
85 slides from Eramet Sa's earnings presentation, Jul 28, 2022
Slide 1: H1 2022 results
H1 2022 results Christel BORIES Chair and CEO Nicolas CARRE CFO 28 July 2022
Slide 2: Disclaimer
Disclaimer Certain information contained in this presentation including any information on Eramet’s plans or future financial or operating performance and any other statements that express management’s expectations or estimates of future performance, constitute forward-looking statements. Such state
Slide 3: Contents
Contents Introduction 1– Financial performance 2– Operational performance 3– Strategic transformation Conclusion and outlook 3 Eramet – H1 2022 results
Slide 4: Introduction
roduction «22 (GHWET
Slide 5: H1 record high EBITDA, supporting further deleveraging
H1 record high EBITDA, supporting further deleveraging 1 Record high half-year EBITDA1 €982m in a context of rising inflation and slowdown in activity in China Very positive net impact of external factors: strong pricing partly offset by higher input costs Favourable mining volume impact (+23% vs H1
Slide 6: Particularly favourable price environment, yet higher input costs
Particularly favourable price environment, yet higher input costs Net EBITDA impact of external factors Very favourable price Higher input costs (mainly environment energy and reductants) +€844m -€147m +€439m Mn Alloys price impact +€729m1 vs H1 2021 Favourable FX rate Higher freight costs +€85m -€5
Slide 7: Continuously raising the bar on CSR standards & performance
Continuously raising the bar on CSR standards & performance Some of H1 achievements Safety Climate -19% in accident frequency rate vs. 2021 ISO 50001: all Group mining and (TRIR1 at 1.8 YTD June 2022) metallurgical sites certified Benchmark CSR standards Extra-financial ratings EcoVadis 2022: Comple
Slide 8: Engaged to support local communities and protect biodiversity
Engaged to support local communities and protect biodiversity Social Impact / communities Rehabilitation / Biodiversity Renewed agreement with host Aligned with CSR roadmap and Eramet communities in Argentina as the lithium commitment to mine rehabilitation: project construction starts > Plant nurse
Slide 9: Significant milestones reached towards delivering the strategic roadmap
Significant milestones reached towards delivering the strategic roadmap Group portfolio rationalisation New energy transition projects almost completed moving forward Closing of Sandouville sale Centenario plant construction started (Lithium project in Binding agreement for Argentina), on sche
Slide 10: Financial performance
Financial performance Unless otherwise specified, financial figures are presented in accordance with IFRS 5 - Non-currents Assets Held for Sale and Discontinued Operations -, in line with Eramet’s new scope
Slide 11: Robust financials in H1 2022
Robust financials in H1 2022 €m H1 2022 H1 2021 Sales 2,635 1,471 EBITDA 982 301 % Sales 37% 20% Current operating income 853 175 % Sales 32% 12% Net income – Continuing operations 783 123 Net income – Discontinued operations (13) (53) Net income – Group share 677 53 €m 30/06/2022 31/12/2021 Net deb
Slide 12: H1 2022 EBITDA increased threefold, driven by strong price environment and favourable FX
H1 2022 EBITDA increased threefold, driven by strong price environment and favourable €/$ FX rate 58 -54 1 982 979 160 5 -147 (€m) 85 -3 4 6 -€37m 439 Intrinsic operating performance 301 187 293 8 41 11 -2 -26 -47 +€729m 1 2 -14 -10 External factors 3 H1 2021 Disc. Mn ore Min. Ni vol. Prod- Structur
Slide 13: Net income – Group share of €677m
Net income – Group share of €677m €m H1 2022 H1 2021 Sales 2,635 1,471 Current operating income 853 175 Other operating income and expenses (3) (1) Financial result (56) (71) Share in income from associated companies 1 147 77 Pre-tax result 941 181 Income tax 2 (158) (57) Net income – Continuing ope
Slide 14: Capex of €217m in H1 (excluding Lithium), 2022 guidance revised slightly down
Capex of €217m in H1 (excluding Lithium), 2022 guidance revised slightly down 1 Industrial cash capex (€m) Increase in current capex in H1 2022 in line with our capex requirements 300 250 250 2 33 3 100% organic growth with limited risk: 200 Total €151m €82m Manganese ore 118 2 150 €19m Transgabones
Slide 15: Higher WCR, mostly due to volume growth and price impact
Higher WCR, mostly due to volume growth and price impact Mining & Metals activities operating WCR (€m) c.-€361m + 13 days 52 of cash consumption at Group level1 in H1 2022 885 39 47 554 726 43 440 Seasonality impact vs End-December 577 40 482 55% volume growth and price impact (both selling and raw
Slide 16: Very strong Free Cash-flow from continuing operations, significant contribution from Weda Bay
Very strong Free Cash-flow from continuing operations, significant contribution from Weda Bay (€m) Mn alloys Mn ore Manganese BU €324m €71m 395 Nickel BU1 99 €121m €434m Weda Bay M&M division Mineral Sands BU 4 FCF o/w: Lithium BU -64 €48m financed by Tsinghshan, incl. €33m for capex o/w: Holding &
Slide 17: Continued deleveraging of balance sheet
Continued deleveraging of balance sheet (€m) FCF +€429m -324 1 -72 -250 86 -748 -778 -936 982 107 -107 -991 48 6 -136 2 3 4 2 5 -104 6 -48 -30 55 2021 Net debt 2021 EBITDA Change Cash Other inc. Weda BaySandouville Net Tax paid Tsingshan Disc. Op. Dividends Other H1 2022 Net debt H1 2022 Net Debt1 d
Slide 18: Very high liquidity at 30 June 2022
Very high liquidity at 30 June 2022 Group financial liquidity (€m) 2,174 2,200 RCF refinancing with a new pool of banks 2,012 2,012 2,000 > 5 years maturity (2027) 1,800 > 2 yearly extension options in June 935 2023 and June 2024 to further push 1,600 901 maturity (2029) 981 1,400 > Margin adjustmen
Slide 19: No major debt maturity until 2024
No major debt maturity until 2024 Group gross debt including IFRS16 equal to €1,988m at 30 June 2022 Group’s average debt maturity of 2.1 years About 80% of debt (excluding RCF) at a fixed rate 934 232 Debt maturity as of 30 June 2022 (€m) Commercial papers, banks and operating debts Eramet bonds Fr
Slide 20: Cash well allocated, rewarding the Group's shareholders
Cash well allocated, rewarding the Group’s shareholders H1 2022 > Significant deleveraging achieved in H1 2022 > Target leverage1 of < 1x on average through the cycle > Maintain strong balance sheet to secure financial €213m2 Net debt reduction sustainability through the cycle and maintain flexibili
Slide 21: Operational performance
Operational performance
Slide 22: Continued strong increase in mining production in H1 2022
Continued strong increase in mining production in H1 2022 Manganese BU Nickel BU Mineral Sands BU Ore Weda Bay Very good operational Continuous incremental growth Strong growth performance performance 3.6 Mt 8.1 Mwmt1 ore produced ore produced +17% +33% vs. H1 2021 20 kt-Ni1 ferroalloys produced All
Slide 23: Favourable price environment in H1 2022, downward trend started in Q2 to accelerate in H2
Favourable price environment in H1 2022, downward trend started in Q2 to accelerate in H2 Manganese ore (CIF China 44%) Nickel ore & Ferronickel H = +34% H = +31% H = +47% H1 H2 H1 H1 H2 H1 2021 2021 2022 2021 2021 2022 Nickel ore LME FeNi (market spot price) Manganese alloys (CRU index) Zirco
Slide 24: Input costs prices still on the rise
Input costs prices still on the rise Higher energy and reductant costs in H1 2022 > European Mn alloys plants and TTI: exposed to reductants, notably metallurgical coke and thermal coal > SLN: exposed to electricity and brent for its power production, as well as thermal coal Brent Nut coke Thermal c
Slide 25: Freight costs at records high, albeit decreasing
Freight costs at records high, albeit decreasing Higher freight cost weighing on manganese and nickel ore margin Current downward trend, but still at historically high levels compared to recent years’ average (spot price x4 for containers and x2.5 for bulk) Freight costs include chartering costs (ba
Slide 26: Manganese BU
Manganese BU
Slide 27: Strong increase of financial performance driven by organic growth in Gabon & sharp rise in alloys prices
Strong increase of financial performance driven by organic growth in Gabon & sharp rise in alloys selling prices in H1 Manganese BU financial performance €m c. x3 x2.5 831 395 Refined alloys invoiced prices1 71 343 (based on MC FeMn CRU index in Europe) 280 157 324 151 488 65 128 92 +128% in H1 2022
Slide 28: Global carbon steel production down, high grade ore price significantly up in H1
Global carbon steel production down, high grade ore price significantly up in H1, with a premium to 37% ore Global carbon steel production down reflecting Supply/demand balance still in deficit ; 9 months the decline in production in China (-6%) of consumption in inventories at Chinese ports Ore pro
Slide 29: Moanda: the world's leading high-grade manganese ore mine with a very competitive cash cost
Moanda: the world’s leading high-grade manganese ore mine with a very competitive cash cost Ore production volumes (Mt) Transported volumes (Mt) +16% +63% +17% +63% 7.01 7.5 3.6 3.4 6.5 4.3 3.1 4.0 2.9 2018 2021 2022e H1 21 H1 22 2018 2021 H1 21 H1 22 Strong operational performance thanks to mine Go
Slide 30: Manganese alloys production up in H1 with a less favorable mix, sharp drop in prices starting June
Manganese alloys production up in H1 with a less favorable mix, sharp drop in prices starting June Sales volumes down -4% to 342 kt, due to falling demand in Q2 Very favorable selling prices in H1, albeit significant trend reversal expected in H2, with 2022 prices still higher than 2021 on average Q
Slide 31: Nickel BU
Nickel BU
Slide 32: Excellent operational performance, strong FCF contribution from Weda Bay
Excellent operational performance, strong FCF contribution from Weda Bay Nickel BU financial performance1 €m Nickel prices c. x5 x 4.5 118 99 +47% Ferronickel spot price (at a discount vs LME prices) 24 22 H1 2021 H1 2022 H1 2021 H1 2022 +31% Ni ore price 2 EBITDA FCF (incl. Weda Bay) Weda Bay nicke
Slide 33: Global primary nickel demand up despite decrease in stainless steel production; nickel prices normalizing
Global primary nickel demand up despite decrease in stainless steel production; nickel prices normalizing Average nickel LME prices at $27,575/t in H1 Global stainless steel production down -3.5 % (China -7% and ROW +1%) leading to lower Both LME and ferronickel realigning with market demand for cla
Slide 34: Excellent growth performance at Weda Bay
Excellent growth performance at Weda Bay Weda Bay1 nickel ore mining production Weda Bay1 ferroalloys production (kt-Ni) (Mwmt) +10% on a 12 mths +33% production basis X4 +66% -2% c. 15.0 3 8.1 39.0 c. 40.0 14.0 20.1 19.6 4.02 23.5 6.1 3.4 10.0 2020 2021 2022e H1 21 H1 22 2020 2021 2022e H1 21 H1 22
Slide 35: Adverse weather conditions, and power sourcing issues at SLN
Adverse weather conditions, and power sourcing issues at SLN SLN ore production (Mwmt) SLN ferronickel production (kt-Ni) 47.8 +10% 5.4 5.4 +6% 2.4 39.0 > 40.0 20.4 18.5 2.3 2020 2021 2022e H1 21 H1 22 2020 2021 H1 21 H1 22 H1 2022 sales : 20 kt-Ni SLN ore export (Mwmt) +17% +31% SLN’s cash cost ($/
Slide 36: Mineral Sands BU
Mineral Sands BU
Slide 37: Very good operational performance in a favourable price environment, partly offset by higher input costs
Very good operational performance in a favourable price environment, partly offset by higher input costs Mineral sands BU financial performance €m Zircon prices in Europe +107% 97 51 +56% 47 4 H1 2021 H1 2022 H1 2021 H1 2022 CP slag prices in Europe EBITDA FCF +13% FCF decrease driven by WCR consump
Slide 38: Sustained global demand for zircon and TiO2 pigments
Sustained global demand for zircon and TiO2 pigments Although affected by the war in Ukraine and the health situation in China, the demand remains robust Favourable price environment, resulting from undersupplied markets Monthly premium zircon prices1 Monthly change in CP grade titanium dioxide slag
Slide 39: Strong production for mineral sands and titanium slag
Strong production for mineral sands and titanium slag GCO HMC1 production (Senegal, kt) TTI Titanium dioxide production (Norway, kt) +6% +7% +5% -3% 762 804 > 750 386 199 209 103 100 362 2020 2021 2022e H1 21 H1 22 2020 2021 H1 21 H1 22 Higher average content in the area mined compared to H1 2021 Ma
Slide 40: Lithium BU
ES mA Fru = ~ -Lithiom BU =" = et
Slide 41: Continued strong growth momentum for lithium demand, still reflected in current prices
Continued strong growth momentum for lithium demand, still reflected in current prices Forecasted lithium market demand1 (in kt LCE) LiCO3 CIF Asia (in US$/kg LCE2) 80 1 70 End-July 2022: 2,600 1 Eramet project commissioning >70,000 $/t 60 2,200 50 1,800 40 30 1,400 20 1,000 1 2 10 600 0 200 2021 20
Slide 42: Centenario: Tier 1 lithium project in Argentina
Centenario: Tier 1 lithium project in Argentina Plant construction already engaged EBITDA Yearly production1 at full ramp-up1,3,4 24,000 kt-LCE2 c. US$200m (after ramp-up) Based on a $12,700/t LCE LT consensus CIF price H1 2022 capex (c.US$36m) fully financed by a capital increase by Tsingshan (US$5
Slide 43: Strategic transformation
Strategic — | transformation. . So eframMer
Slide 44: Becoming a leading player in the new age of metals
Becoming a leading player in the new age of metals Pure player in Mining and Metals contributing to a sustainable future Grow in metals supporting Develop critical metals for global economic development energy transition Resilient markets Fast-growing markets MANGANESE ORE & ALLOYS LITHIUM NICKEL NI
Slide 45: Providing metals for the energy transition is core to Eramet's strategy
Providing metals for the energy transition is core to Eramet’s strategy Eramet offers a unique solution to sustainably secure the metal supply for the battery industry 2 1 1 HPAL: High Pressure Acid Leaching 45 Eramet – H1 2022 results 2 CAM: Cathode Active Material
Slide 46: Battery-grade Ni/Co project co-developed with BASF
Battery-grade Ni/Co project co-developed with BASF Project of production of nickel & cobalt inputs for batteries taking advantage of the Weda Bay deposit’s rich mining resources Partnership with BASF: > Ore from Weda Bay deposit (Indonesia) > Hydro-metallurgical complex with a high-pressure acid lea
Slide 47: Entering pre-industrialization studies for the battery recycling project
Entering pre-industrialization studies for the battery recycling project Major progress in the Li-ion battery recycling project An innovative closed-loop process fully piloted in 2020-2021 within Eramet Research & Innovation Center Partnership with SUEZ to produce “black mass” (a metal concentrate o
Slide 48: Conclusion & outlook
Conclusion & outlook eframMertT
Slide 49: 2022 guidance revised upward in a H2 challenging context
2022 guidance revised upward in a H2 challenging context Strong financial performance in H1 and continuous increase in mining production Markets uncertainty in H2 regarding global demand (notably for Mn alloys and FeNi) resulting from mitigated macroeconomic environment, current geopolitical context
Slide 50: Become a reference for the responsible transformation of the Earth's mineral resources
“ Become a reference for the responsible transformation of the Earth’s mineral resources, for living well together ”
Slide 51: Appendices
Appendices
Slide 52: H1 2022 results
H1 2022 results SI eramMer;r
Slide 53: Group EBITDA sensitivity to market prices
Group EBITDA sensitivity to market prices SENSITIVITIES Change Annual impact on EBITDA Manganese ore prices (CIF China 44%) +$1/dmtu c.€250m1 Manganese alloy prices +$100/t c.€70m1 Nickel prices (LME) +$1/lb c.€80m1 Nickel ore prices (CIF China 1.8%) +$10/wmt c.€35m1 Exchange rates -$/€0.1 c.€265m O
Slide 54: Manganese BU – Key figures
Manganese BU – Key figures In €m H1 2022 H1 2021 Sales 1,647 887 EBITDA 831 280 Current Operating Income 765 219 Cash Capex (153) (71) Operating cash flow1 497 218 FCF 395 157 54 Eramet – H1 2022 results 1 Sum of EBITDA, Cash capex, Change in Op. WCR and Change in other WCR
Slide 55: Nickel BU – Key figures (IFRS 5)
Nickel BU – Key figures (IFRS 5) In €m H1 20221 H1 20211 Sales 762 438 EBITDA 118 24 Current Operating Income 78 (16) Cash Capex (34) (10) Operating cash flow2 33 (11) FCF 99 22 1 Application of IFRS 5 i.e. excluding Sandouville 55 Eramet – H1 2022 results 2 Sum of EBITDA, Cash capex, Change in Op.
Slide 56: Mineral Sands BU – Key figures
Mineral Sands BU – Key figures In €m H1 2022 H1 2021 Sales 224 138 EBITDA 97 47 Current Operating Income 76 25 Cash Capex (26) (8) Operating cash flow1 13 53 FCF 4 51 56 Eramet – H1 2022 results 1 Sum of EBITDA, Cash capex, Change in Op. WCR and Change in other WCR
Slide 57: Lithium BU – Key figures
Lithium BU – Key figures In €m H1 2022 H1 2021 Sales - - EBITDA (8) (2) Current Operating Income (8) (2) Cash Capex (33) (2) Operating cash flow1 (66) (8) FCF (64) (13) 57 Eramet – H1 2022 results 1 Sum of EBITDA, Cash capex, Change in Op. WCR and Change in other WCR
Slide 58: High-Performance Alloys division - Key figures (IFRS 5)
High-Performance Alloys division - Key figures (IFRS 5) A&D and Erasteel In €m H1 20221 H1 20211 Sales 416 330 EBITDA (18) (12) Current Operating Income (25) (18) Cash Capex (21) (15) Operating cash flow2 (61) (40) FCF (127) (60) 1 Application of IFRS 5 i.e. excluding EHA and Brown Europe 58 Eramet
Slide 59: A&D H1 2022 KPIs (IFRS 5)
A&D H1 2022 KPIs (IFRS 5) A&D1 Sales by segment Global air traffic scenarios +14% Pre-Covid (€m) 140 forecast Range of uncertainty 278 120 indexed 2019 = 100 244 100 Traffic (RPKs), 80 Revised 63% 59% forecast 60 40 20 30% 24% 0 11% 14% 2019 2020 2021 2022 2023 2024 2025 2026 Source : IATA, Airbus,
Slide 60: Erasteel H1 2022 KPIs (IFRS 5)
Erasteel H1 2022 KPIs (IFRS 5) Erasteel sales by segment (€m) Yearly light vehicles sales (in million units) +61% 138 +6.0% +0.2% 78.0 82.7 82.9 86 126 77 10 12 H1 2021 H1 2022 2020 2021 2022e High-speed steels, Recycling Tooling & Specialties Strong turnover improvement (+61%) driven by gains (€m)
Slide 61: SPA signed on 20 June 2022 for the divestment of Aubert & Duval
SPA signed on 20 June 2022 for the divestment of Aubert & Duval Divestment of 100% of Aubert & Duval shares Transaction scope Scope including all Aubert & Duval sites in France, Interforge, activities in Spain and India, and titanium alloys activities Acquiring Consortium comprising of Airbus, Safra
Slide 62: Cash-flow table (IFRS 5)
Cash-flow table (IFRS 5) €m H1 20221 H1 20211 Operating activities EBITDA 982 301 Cash impact of below EBITDA items (220) (107) Cash-flow from operations 762 193 Change in WCR (273) 1 Net cash generated by operating activities (1) 489 194 Investing activities Industrial investments (240) (93) Other
Slide 63: Group Balance Sheet at 30 June 2022
Group Balance Sheet at 30 June 2022 (€m) (€m) 4,624 4,624 4,050 4,050 1,729 1,012 3,313 323 426 3,083 1,083 1,100 11 5972 936 748 316 43 651 671 685 621 31/12/20211 30/06/20221 31/12/20211 30/06/20221 Fixed assets Derivatives Equity-Group share WCR Assets held for sale Minority interest Provisions a
Slide 64: Bond maturities
Bond maturities Amount at Initial €m Currency Initial amount 30/06/2022 Maturity date Coupon (in m) February September 2017 bond issue € 500 500 4.20% 2024 May November 2019 bond issue € 300 300 5.88% 2025 64 Eramet – H1 2022 results
Slide 65: Shareholding at 31 May 2022
Shareholding at 31 May 2022 Other float 31.8% SORAME + CEIR (Duval Family) 37.1% Number of shares issued1 28,755,047 4.0% STCPI* 27.1% APE *STCPI (Société Territoriale Calédonienne de Participation Industrielle): entity owned by the New Caledonian provinces 65 Eramet – H1 2022 results 1 Capital and
Slide 66: Operational performance
Operational performance A eramMer
Slide 67: 2020-2021-H1 2022 Global manganese ore production
2020-2021-H1 2022 Global manganese ore production Global manganese ore production (manganese content) Mt 22 20.3 20.6 20 18 5.1 5.1 16 14 3.3 3.1 12 10.3 3.7 10.3 10 3.3 2.5 2.4 8 1.2 0.7 1.5 1.4 6 1.6 2.0 4 0.5 0.2 7.5 8.0 2 4.1 4.3 0 2020 H1 2021 2021 H1 2022 Others Australia Gabon Brazil South Af
Slide 68: Manganese ore historical CRU index price trends
Manganese ore historical CRU index price trends $/dmtu Monthly change in manganese ore1 H = +34% Mwmt 9 FY = +15% 8 7 6 5 4 3 2 1 2015 2016 2017 2018 2019 2020 2021 2022 Manganese ore half-year average price H H1 2022 vs H1 2021 price change Manganese ore Ore inventories in China FY FY 2021 vs FY 20
Slide 69: Manganese alloys CRU index price trends
Manganese alloys (refined and standard in Europe) CRU index price trends FY = +79% H = +73% FY = +55% H = +40% €/t FY = +54% H = +46% 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 2015 2016 2017 2018 2019 2020 2021 2022 Medium-carbon ferromanganese High-carbon ferromanganese Silicomanganese H H H
Slide 70: Global stainless steel and primary nickel production
2020-2021-H1 2022 Global stainless steel and primary nickel production Global stainless steel production1 Global primary nickel production1 (excl. recycling) -4% +15% Kt Kt 60,000 57,696 2,800 2,677 50,313 2,600 2,434 2,400 50,000 2,200 900 2,000 902 40,000 57% 1,800 61% 1,600 430 1,490 30,000 29,27
Slide 71: Nickel LME historical price
Nickel LME historical price LME Nickel price 1 1 1 Nickel Inventories LME Stocks SHFE Stocks Ni price 2 USD / lb USD/ton (ktons) 20,9 46 000 500 18,6 41 000 FY = +34% 450 16,3 36 000 H = +58% 400 14,1 350 31 000 300 11,8 26 000 250 9,5 21 000 200 7,2 150 16 000 100 4,9 11 000 50 2,7 6 000 - Jan-15 J
Slide 72: Nickel ore historical price
Nickel ore historical price Ore price1 ($/t) and usable ore inventories in Chinese ports (Mwmt) Mwmt Stocks at ports Ore price (1.8% CIF China) Average semester prices $/t 18 160 H = +31% FY = +32% 140 15 120 12 100 9 80 60 6 40 3 20 0 0 Dec. 19 Dec. 20 Dec. 21 May May May May Jun. Jun. Jan. Jun. Ja
Slide 73: Zircon historical price
Zircon historical price Monthly premium zircon price1 $/t 2,500 H = +56% FY = +12% 2,000 1,500 1,000 500 2016 2017 2018 2019 2020 2021 2022 H H1 2022 vs H1 2021 price change FY FY 2021 vs FY 2020 price change 73 Eramet – H1 2022 results 1 Source Zircon premium: FerroAlloyNet.com, Eramet analysis
Slide 74: CP slag historical price
CP slag historical price Monthly change in CP grade titanium dioxide slag price1 $/t 900 H = +13% FY = -1% 800 700 600 500 2016 2017 2018 2019 2020 2021 2022 H H1 2022 vs H1 2021 price change FY FY 2021 vs FY 2020 price change 74 Eramet – H1 2022 results 1 Source CP slag: Market consulting, Eramet a
Slide 75: CSR achievements
CSR achievements SI eramMer;r
Slide 76: Safety
Safety Eramet accident frequency rate (FR21,2) 16 Divided by more 15 14 than 7x 13.4 since 2016 - 19% vs FY 2021 13 12 11 10 10.9 9 8.3 8 7 6 5.4 5 4.1 o/w 1.3 for M&M 4 3 2.2 division 1.8 2 (-13% vs FY 2021) 1 0 2016 2017 2018 2019 2020 2021 H1 2022 FR2 1 FR2 = number of lost-time and recordable in
Slide 77: Gabon CSR fund: projects to address community priorities
Gabon CSR fund: projects to address community priorities and contribute to local economic development Projects selected from development priorities of concerned municipalities, managed by impact in terms of number of beneficiaries and contributing to local economic development Main projects since 20
Slide 78: Rehabilitation and biodiversity
Rehabilitation and biodiversity In line with axis 12 of the CSR road In order to help nature to regenerate map and our commitment to mine rehabilitation Nurseries on each mining site In H1 2022, a ratio of 0.98 between Several revegetation methods in place: rehabilitated areas and cleared areas Pl
Slide 79: Decarbonation roadmap
Decarbonation roadmap A eramMer
Slide 80: The future is electric
The future is electric Half of the cars sold globally in 2030 should be fully or partially electric 70% 50% 8% 2020 2025 2030 2035 2040 Electric Cars Internal Combustion Engine Electric cars = BEV (Battery Electric Vehicles) + PHEV (Plug-in Hybrid Electric Vehicles) + HEV (Hybrid Electric Vehicles)
Slide 81: Nickel, cobalt and lithium are the critical metals used in batteries for e-mobility
Nickel, cobalt and lithium are the critical metals used in batteries for e-mobility Nickel 45 kg 5t ore 6 Cobalt kg 40 125kL for a 70kWh BEV with a Lithium NMC1 811 battery kg LCE brine Source: Eramet analysis 1 NMC: Nickel Manganese Cobalt 81 Eramet – H1 2022 results
Slide 82: Eramet has a strong commitment to climate
Eramet has a strong commitment to climate Validation of the Group's CO2 emissions reduction target “well below 2°C” by the SBTi Eramet global CO2 emissions in 2021 4.1 4.0 0.4 0.3 3.7 0.3 c.40% carbon intensity reduction over the last 3 years 3.7 3,7 3.3 2023 target already reached 2019 2020 2021 1
Slide 83: Decarbonation projects ongoing on mining and metallurgical operations
Decarbonation projects ongoing on mining and metallurgical operations Use of renewables energy Electrification of mining engines Already 26% renewable energy in 2021 Solar plant at Grande Côte in Senegal Electric trucks > CO2 reduction target ~20% Use of electric conveyors Sourcing of CO2 free power
Slide 84: Breakthrough innovation is key for decarbonation
Breakthrough innovation is key for decarbonation Use of bio reductant in pyrometallurgical furnaces Bio reductant produced from biomass (such as wood waste) developed by Eramet’s R&D Industrial scale testing in Norway in 2022 (to confirm technical feasibility) Use of hydrogen for titanium CCS1 devel
Slide 85: Contacts
CONTACTS Director of Investor Relations Sandrine NOURRY-DABI sandrine.nourrydabi@eramet.com