Century Global Commodities Corporation · TSX:CNT
Century Global Commodities — Investor Presentation (November 2024)
36 slides from Century Global Commodities's investor presentation, November 2024
Slide 1: Corporate Presentation
TSX:CNT www.centuryglobal.ca Corporate Presentation November 2024 Joyce Lake DSO Iron Ore, is the most advanced flagship project of Century Global and an award-winning development project in the Labrador Trough, Canada at feasibility study (2022) under environmental assessment with an after tax NPV8
Slide 2: Forward Looking Statement
Forward Looking Statement Except for statements of historical fact, this presentation contains certain “forward-looking information” within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as “plan”, “project”; “intend”, “believe”, “anti
Slide 3: Content
Content Corporate Highlights The Joyce Lake DSO Project Other Iron Ore Projects 3
Slide 4: Corporate Highlights
oO Corporate Highlights A 4% CENTURYGL@BAL
Slide 5: Management's Canadian Iron Ore Development Track Record
Management’s Canadian Iron Ore Development Track Record 2005 (Bloom Lake) 2008 (Champion) 2011 (CNT IPO . . . ➔ 20Bt Fe) 2015 (Joyce BFS) 2022 (Update of BFS) 2024 (continuing EA) Joyce Lake + ▪ ~15% holding in CLM ▪ Founded Century to invest ~10% ▪ Century (CNT) went public in 2011 on ▪ Completed B
Slide 6: Total Multi-billion tonne Iron Project Value ~$5.3B
Total Mult-billion tonne Iron Project Value ~$5.3B 3 Most Advanced Projects at BFS or PEA stages High-volume Full Moon PEA: IRR 15%, NPV C$5.8B (pretax) Joyce Lake @ BFS (NI 43-101, 2022) (1) Pre-tax NPV8% C$357.2M Post-tax NPV8% C$184.6M Pre-tax/Post-tax IRR 27.72% / 20.01% Pre-/Post-tax Payback (y
Slide 7: Financial Highlights
Financial Highlights Share Structure (@ Nov 13, 2024) Financial Highlights – Sep 30, 2024 C$ M Directors, officers & major shareholder 49.1% (19.6%) & MinMetals (3.9%) 23.5% Cash 4.1 Other key shareholders 13.1% Public shareholders 14.3% Marketable securities 0.1 Total 100% Receivables, Prepaids, In
Slide 8: Century Global: A Compelling Iron Ore Story
Century Global: A Compelling Iron Ore Story A near term production Joyce Lake DSO Project at BFS (with EIS under IAAC technical review) in a strong iron ore market at a market cap ~$3.5M below working capital* of $5.7M Hi-grade/low-cost/ Joyce Lake is a high-grade low-cost (US$47.1/t FOB and $270.4M
Slide 9: Directors, Advisors and Management
Directors, Advisors and Management Sandy Chim, MBA, CA, CPA Dwight Ball Jionghui Wang, AusIMM Peter Jones, P. Eng Chair & CEO, | director of ASX, Vice-Chair | 13th former Chairman of Minmetals Exp. Chair, Advisory Board | TSXV, AIM, HKEx cos.| early Premier of Newfoundland & Dev. Co. | Dep. Gen. Mgr
Slide 10: The Joyce Lake Project
The Joyce Lake Project Simple bite size low capex intensity (US$11/t) quarry project of 2.5Mtpa output in a favourable cycle with a definitive study completed in December 2022 10
Slide 11: Joyce Feasibility Study Top KPIs (NI 43-101)
Joyce Feasibility Study Top KPIs (NI 43-101) C$185M 20.01% 3.7 Years C$270M C$61.32 Post-tax NPV8% Post-tax IRR Post-tax Payback Initial Capex FOB Opex/dmt Mineral resource estimate General study Environmental permitting management, Geotechnical considerations mining, including pit slopes processing
Slide 12: Joyce 2022 Feasibility Key Parameters
Joyce 2022 Feasibility Key Parameters Definitive Feasibility Study Highlights Schefferville, Labrador Trough 24Mt M&I resources @~59% Fe + inferred of 0.83Mt 24Mt+ @>62 % Fe (1) 1 17.4Mt @~60% Fe reserves (2) (3) Joyce Annual production of ~1/3 lump & ~2/3 fines for 7+ yrs 2.5Mtpa (~5 yrs > Fe 61%,
Slide 13: Feasibility Study Resources and Reserves
Feasibility Study Resources and Reserves Joyce Lake open pit deposit Joyce Lake Joyce Lake Mineral Resources (1) 17.4Mt ~60% Fe reserve Cut-off Category Fe Tonnes Fe SiO2 Al2O3 Mn Tata Measured & Kawawachikamach 50% Fe1 23,970,000 58.63% 13.22% 0.54% 0.75% Indicated Matimekush Inferred 50% Fe1 830,0
Slide 14: Quarrying with Dry Crush/Screen (Non-winter months only)
Quarrying with Dry Crush/Screen (Non-winter months only) 1. Simple quarry style dry crushing and screening during non- 1 winter months to produce lump and fines 2. Fines are transported during non-winter months 3. Lump is dried from 4% to 2% moisture and stockpiled at site during non-winter months a
Slide 15: Simple 2.5Mtpa Quarry Operation: Opex FOB = ~US$47/t
Simple 2.5Mtpa Quarry Operation: Opex FOB = ~US$47/t Dry crushing & screening with lump dried in summer to enable all-year transportation Mining & Crushing / Screening / G&A = US$21.36/dmt Mining: US$11.9/dmt Crush & screen: US$3.55/dmt G&A: US$5.91/dmt Sinter Fines Lump Ore Open-Pit Mining Crush &
Slide 16: Joyce 2022 Feasibility Economics Summary
Joyce 2022 Feasibility Economics Summary Subtotals Subtotals Product Operating Cost US$/dmt C$/dmt Initial Capital Cost US$M C$M (US$M) (C$M) Mining $ 11.90 $ 15.46 Mine & Plant Crushing Plant $ 2.86 $ 3.72 Mine Preparation $ 15.90 $ 20.65 Drying Plant $ 0.69 $ 0.89 Processing Plant $ 9.71 $ 45.87 $
Slide 17: Complete Transportation Infrastructure
Complete Transportation Infrastructure Capesize bulk carrier accessible ports available to ship to seaborne markets Rail Port of Sept Iles Tsh (TSH) ▪ 2 deep-water year-round ports at Sept-Iles iueti ▪ 597 km rail operated by common carriers connected to Joyce for shipping to China & Europe n Rail (
Slide 18: Joyce Project Development Milestones
Joyce Project Development Milestones Discovery of Draft EIS submission to IAAC tech review IRs & IG CEAA-2012 EIS closes or Construction Joyce Baseline data collection NL-ECC/IAAC comments on EIS new IAA-2019 timeline (18 months) 2008 2013 2013-15 2015 May 2021 Dec 2022 2023 2024 Dec 2025 2025-27 20
Slide 19: Promising DSO Resource Expansion Targets
Promising DSO Resource Expansion Targets Target Substantive Exploration Work Summary Lac Sans ▪ 1400 m x 600m mineralization zone 10 km NW of Joyce ▪ Lac Sans Chef Chef with massive hematite outcrops; TFe > 62% ▪ Sub-synclinal closure with strong gravity anomalies as Joyce ▪ 2008 and 2012 explorator
Slide 20: Century's Other Iron Ore Projects
Century’s Other Iron Ore Projects Multi-billion tonne advanced projects at preliminary economic assessment stage in the same region for future expansion 20
Slide 21: World-class Multi-Billion-Tonne Advanced Canadian Iron Projects
World-class Multi-Billion-Tonne Advanced Canadian Iron Projects Ranging from BFS to PEAs (short and long-term development) ~C$100M invested High-volume Full Moon PEA: Flagship high-grade Joyce Lake BFS: High-volume Duncan Lake PEA: IRR 15%, NPV C$5.8B (pretax) IRR 27.7%, NPV C$357M (pretax) IRR 20%,
Slide 22: World-class multi-billion tonne iron ore resources
World-class multi-billion tonne iron ore resources Item DSO Taconite Magnetite Total Joyce Black Bird Full Moon1 Hayot Duncan1 Total Century’s ownership 90.7% 100% 100% 100% 68% Most Recent Report BFS Resource PEA Resource PEA 17.4 Mt P&P2 reserves (Fe %) - - - - 17.4 Mt (59.94%) 24.0 Mt3 M&I2 resou
Slide 23: Counter-cyclical food distribution business unit
Counter-cyclical food distribution business unit with eight years of growth from start-up at 20+% GP generating ~HK$6M monthly sales Solid growing food marketing business focusing on brand-marketing quality meat and egg products from Europe and Australia to Hong Kong and Macau – started profit gener
Slide 24: Value Fundamentals of Century
Value Fundamentals of Century (1) Large gap between the sum of the parts & a market cap of $3.5M Joyce Lake DSO project at BFS $185M post-tax NPV8% in feasibility study at a post-tax NPV Project High-grade / low cost price of US$124.95/t 62% (YTD Oct 2024 average at ~US$114/t.) $185M @US$124.95/t Fe
Slide 25: Appendix
Appendix A 4X CENTURYGL4 BAL 25
Slide 26: An Award-Winning Team
An Award-Winning Team 2014 2014 2016 Gold Business Excellence Silver Award in Professional, Explorer of the Year Award Scientific and Technical Services Canadian Institute of Mining Newfoundland Branch George Ogilvie, President of Rt. Hon. Jean Chrétien EVP Peter Jones receiving CIM - Newfoundland c
Slide 27: Global Seaborne Iron Ore Market
Global Seaborne Iron Ore Market 27
Slide 28: Global Seaborne Iron Ore Market
Global Seaborne Iron Ore Market Stable China demand (>1Btpa) under tight oligopolistic supply (>1Btpa) sustained LT Ave. US$115-130/t 240 Period Covered US$/t 210 5 years average Nov 2019 – Oct 2024 123.29 4 years average Nov 2020 – Oct 2024 129.19 3 years average Nov 2021 – Oct 2024 117.05 180 2 ye
Slide 29: Strong and stable demand from China
Strong and stable demand from China China made @ >1Btpa of steel & imported >1Btpa of iron ore for >5 years Mtpa Share of imported iron as % of total iron ore consumption 2000 Quick Facts Mtpa % World 100% 90% 1800 Steel produced (2023) 1,019 54% 86% 84% 90% 81% 91% 83% 83% Steel produced (2019-2023
Slide 30: Steel Demand underpinned by Strong Economic Fundamentals
Steel Demand underpinned by Strong Economic Fundamentals China contributes 21% global GDP growth > G7 (20%) & USA (12%) in 2024-2029 (IMF, April 2024) 2,000,000 China’s iron ore import grew from 3.5% of 80% IMF World Economic Growth 2023 2024 2025 (April 2024 in %) world (14Mtpa in 1989) to >70% wit
Slide 31: An Effective Oligopoly
An Effective Oligopoly 4 Major Producers Supplying ~70% of the Market occupying the first 3 quartiles of the cost curve $30,000 1,200,000 $26,940 1,146,252 1,145,964 840,168 1,092,728 1,106,906 1,107,011 1,094,243 1,057,980 1,043,153 1,067,496 795,792 $25,000 1,000,000 Big 3 Big 4 $21,801 975,344 $1
Slide 32: New normal price levels in a sellers' oligopolistic market
New normal price levels in a sellers’ (oligopolistic) market where demand has all the time remained stable & strong ➔ Demand grew steadily during the Combined Big 4 Annual Production vs Chinese Steel Output and Iron Ore Spot Price CFR China (1990, 2000, 2006, 2011-2023) bottom after a short pause $1
Slide 33: Iron Spot Price in US$/t CFR China
Price collapsed at the bottom on supply expansions (NOT demand), but it increases rapidly even when the oligopolistic structure stabilized and supply and demand is rather balanced . . . The basic advantages of concentrated upstream supply: Combined Big 4 Annual Production vs Chinese Steel Output ➔ I
Slide 34: Big 4's FOB cash cost are very competitive
Big 4’s FOB cash cost are very competitive ~US$15-30/t . . . Delivering great EBITDA on flat shipments paying record dividends. . . No reason for expansion Annual Cash Cost US$/t (FOB) (2011-2023) Total Big 4 Volume vs EBITDA (2011-2023) Total Big 4 Dividends (2011-2023) US $/t Cash Cost (FOB) (2011
Slide 35: Big 4 Valuation Metrics
Big 4 Valuation Metrics High dividend yield (>5-12%) from exceptional profits from iron ore operations contribute to current market capitalizations of the Big 4 (2) (1) Iron Ore Dividend Market Cap (in billions) Big 4 Stock Price PE Ratio Sale (Mtpa) Yield (%) A$/BRL US$ Rio Tinto (RIO:AX) A$114.31
Slide 36: China's Iron Ore Demand Remains Stable
China’s Iron Ore Demand Remains Stable 2023 Global Seaborne Iron Ore 2023 Iron Ore Consumed in 2023 Global Seaborne Iron Ore Demand/Import = 1,590Mt China = 1,480Mt Supply/Export = 1,590Mt Domestic Ex-China import Supply Ex-Big 4 389.9 Mt 24.5% 280Mt 495.8 18.9% Mt 31.2% Big 4 China's iron ore China
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