Reunert Limited · JSE:RLO
Reunert — Corporate Update (July 2005)
15 slides from Reunert's corporate update, Jul 22, 2005
Slide 1: African Cables Investor Visit
AFRICAN CABLES INVESTOR VISIT 22 JULY 2005 Power Today with Tomorrow in Mind
Slide 2: Structure & shareholding
Structure & shareholding Reunert Ltd Powerhouse Utilities (BEE Company) 100% Reutech Eng Services 74,9% 25,1% ATC (Pty) Ltd African Cables a division of ATC division ATC (Pty) Ltd Telecommunications Power Cables Power Today with Tomorrow in Mind
Slide 3: Facilities
Facilities • Total plant area of 132 950 sqm of which 75 522 is under roof • Production capacity of 37 000 Cable Tons p.a. (+/-16 000 tons of Cu content) • Product range – Bells – Mains – Splits – ABC – Paper – MV XLPE – HV XLPE – Cable Installation • Value added services – Only HV cable installatio
Slide 4: Quality
Quality • SABS Mark Holder – Product accreditation • ISO 9001:2000 • ISO 9001 Listing for Power Installations in 2001 • ISO 14001 and ISO 18001 • The company boasts the highest level of Quality Accreditation in the South African cable industry Power Today with Tomorrow in Mind
Slide 5: The Copper issue
The Copper issue • All raw material supplies except Cu are secured for the foreseeable future • Uncertainties about Cu supplies as a result of the financial performance of PMC – Options • Buy rod from PMC as in the past • Buy rod from overseas/Zambia • Buy cathode and convert inhouse – Evaluation cu
Slide 6: Market share
Market share • Total S.A. power cable market +/- R2bn • Afcab market share +/- 30% • Imports +/- 15% Power Today with Tomorrow in Mind
Slide 7: Low Voltage Cables
Low Voltage Cables • 1.0mm2 to 1000mm2 single and multi-core (dependant on product) • 300/500V to 3.8/6.6kV • Stranded copper or aluminium and solid sector aluminium conductors • PVC/LVXLPE insulated • Manufactured to SANS 1507 Power Today with Tomorrow in Mind
Slide 8: ABC and Split Concentric
ABC and Split Concentric • 25mm2 to 150mm2 phase conductors with support core • 600/1000V to 19/33kV • ONLY permit holder for SABS 1713 in South Africa • Stranded aluminium conductors • XLPE insulated • Manufactured to SANS 1418, 1713 and 1507 Power Today with Tomorrow in Mind
Slide 9: Paper Insulated Lead Cables
Paper Insulated Lead Cables • 25mm2 to 400mm2 in single core or 3 cores • 3.8/6.6kV to 19/33kV • Stranded copper or aluminium conductors • Paper insulated • Manufactured to SANS 97 Power Today with Tomorrow in Mind
Slide 10: Medium Voltage XLPE
Medium Voltage XLPE • 25mm2 to 1000mm2 in single core and 25mm2 to 300mm2 in 3 cores • 3.8/6.6kV to 19/33kV • Stranded copper or aluminium conductors • MVXLPE insulated • Manufactured to SANS 1339 • Underground reticulation and main distribution systems Power Today with Tomorrow in Mind
Slide 11: Supertension Cables
Supertension Cables • 300mm2 to 1000mm2 in single core only • 24/42kV to 76/132kV • Stranded copper or aluminium conductors • HVXLPE insulated • Manufactured to IEC60840 • Underground reticulation, transmission, sub-stations and power stations Power Today with Tomorrow in Mind
Slide 12: Critical success factors
Critical success factors • Full range of power cable • Quality of product and service • Technical back-up • Partnership with key customers • Value added services – Installation – Maintenance – Consignment stock Power Today with Tomorrow in Mind
Slide 13: Turnover by market
Low Voltage Medium Voltage Turnover Turnover E XP OR T E XP ORT INDUST R Y 2% 3% 6% UTILITIES I NDUS T RY 7% UTILITIES UT ILIT IE S 20% MINING MINING GENERAL UT I LI T I E S GENERAL MINING MARKET 53% MARKET 14 % GE NE RAL MARKE T 32% INDUSTRY INDUSTRY GE NE R AL MAR KE T 59% MI NI NG EXPORT 5% EXPOR
Slide 14: Future prospects
Future prospects • Demand will remain high for at least the next 5 years – Positive growth is expected as a result of additional power generation capacity and low interest rates – Projects like the soccer World cup, an Aluminium smelter at Coega and the Gautrain will stimulate demand – Upgrading and
Slide 15: Threats
Threats • Economic collapse • Reducing import tariffs – Currently 13,5% from E.U. reducing to 0% by 2012 – Rest of the world still 15% - reduction dependent on specific agreements between RSA and other countries • The SADC countries – 0 % Power Today with Tomorrow in Mind