Amg Critical Materials N.v. · EURONEXT:AMG

Amg Critical Materials — AMG Advanced Metallurgical Group — Investor Day (June 2014)

19 slides from Amg Critical Materials's investor day presentation, Jun 3, 2014

  1. Slide 1: Capital Markets Day AMG Superalloys

    Capital Markets Day AMG Superalloys June 3, 2014

  2. Slide 2: 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

  3. Slide 3: Introduction to AMG Superalloys

    Introduction to AMG Superalloys AMG Processing AMG Engineering AMG Mining  Aluminum master alloys  Capital equipment for high  Silicon metal  Vanadium purity materials  Natural graphite  Titanium alloys and coatings  Heat Treatment Services  Antimony  Superalloys  Tantalum & Niobium Specia

  4. Slide 4: What is a Superalloy?

    What is a Superalloy?  Superalloys are materials that exhibit:  Excellent mechanical strength  Temperature and expansion resistance, and;  Good corrosion and oxidation resistance making them well suited for turbine blades of jet engines  Superalloys are commonly used in:  Parts of gas turbine

  5. Slide 5: Introduction to AMG Superalloys

    Introduction to AMG Superalloys  AMG Superalloys is a highly specialized producer of:  Chromium metal  Ferro titanium & ferro niobium  Nickel niobium  Aluminum powders and;  Cerium oxide polishing powders  AMG Superalloys products are used in the following markets:  Aluminum  High Purity St

  6. Slide 6: Introduction to AMG Superalloys

    Introduction to AMG Superalloys  Headquartered in Rotherham, UK  Four manufacturing plants  (3 ISO 9001)  ~230 employees  Comprehensive range of products  ~$160 million in 2013 revenue Rotherham, UK Anglesey, UK  Management  Mr Julien Crisnaire, President  Mr. Kevin Lawson, Managing Directo

  7. Slide 7: Markets

    Markets

  8. Slide 8: AMG & AMG Superalloys

    AMG & AMG Superalloys AMG Revenue AMG Superalloys Revenue Energy 18.8% Specialty Metals & Chemicals Aerospace 28.5% 40.3% Infrastructure 12.4% Aerospace is AMG’s Aerospace is a largest end market significant market for segment AMG Superalloys 8

  9. Slide 9: AMG Superalloys for Jet Engines

    AMG Superalloys for Jet Engines COMPRESSOR BLADES COMPRESSOR DISCS LP TURBINE BLADES HP TURBINE DISCS EXHAUST Cobalt Cobalt Cobalt Cobalt Cobalt Chromium Chromium Chromium Chromium Chromium Niobium Hafnium Niobium Tantalum Rare Earths Tantalum Tungsten Tungsten Tantalum Tantalum Titanium Titanium Tu

  10. Slide 10: Products

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  11. Slide 11: Key Products – Chrome

    Key Products – Chrome  Products:  From regular grade for steel industry…  …To high purity grades for superalloy applications  Use:  Chromium provides heat and corrosion resistance in aircraft engines  Small component of overall superalloys cost  Markets:  Aircraft engines  Industrial gas tu

  12. Slide 12: Key Products – Aluminothermic Chrome

    Key Products – Aluminothermic Chrome Chrome Aluminum Reaction Chrome Alumina + + + Oxide Powder Boosters Metal Slag Cr2O3 + 2 Al → 2 Cr + Al2O3 Alumina Slag Chrome Metal  Chrome Oxide is created from Chrome Ore  95% of chrome ore is used to create ferrochrome for steel  ~4% of chrome ore is used

  13. Slide 13: Key Products – Aluminothermic Chrome

    Key Products – Aluminothermic Chrome 2013 Chrome Metal Supply (1) 2013 Chrome Metal Demand (1) Other 7% North Europe China Europe America 31% 25% 36% 35% Russia Russia 5% Asia 32% 29% Alumina Slag 13 1 Source : Management estimates

  14. Slide 14: Key Products – Aluminum Powders

    Key Products – Aluminum Powders  Products:  Aluminum powders  Aluminum granules  Use:  Chrome metal  Rocket fuel  Paints and pigments  Markets:  Autos  Aerospace  Chemicals 14

  15. Slide 15: Key Products – Polishing Powders

    Key Products – Polishing Powders  Products:  Glass and plastics polishing compounds and glass decolorizers  Regipol™ - cerium oxide based  Decol™ - cerium oxide based  Polimax™ - aluminum oxide based  Use:  Flat glass (main current market for AMG)  Precision optics (growth opportunity for AM

  16. Slide 16: Other Products & Applications

    Other Products & Applications  Hard face coating Boron  Superalloys & stainless steels  Magnet alloys  Steels & Superalloys Niobium  Super conducting magnets  Construction  Stainless & high strength low alloy steels Titanium  Deoxidant  Complex alloys  Complex alloys & powders Powders  We

  17. Slide 17: Operations

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  18. Slide 18: Operations

    Operations  Restructured business in Q4 2013  New management team installed  New Kaizen / continuous improvement culture kick started  Focus on  Improving Environmental Health & Safety (EH&S)  Improving gross margins  Reduced fixed costs and SG&A (10% headcount reduction)  Rationalized low m

  19. Slide 19: www.amg-s.com

    www.amg-s.com info@amg-s.com

AMG Advanced Metallurgical Group — Investor Day (June 2014) on 6ix