2017 Guidance FINAL Rev 1
0 www.bayan.com.sg
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1
Executive Summary
Total production and sales is Budgeted to be in the range of 16.0 to 18.0
million MT.
ASP anticipated to be in the range of US$ 38.0-42.0 / MT based on the
benchmark reference price being on average US$ 65.0 / MT for the year
Cash costs anticipated to be in the range of US$ 28-32/MT (include COGS,
Royalties, and SGA)
Capex is Budgeted to be in the range of US$ 50.0 to 71.0 million
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Overburden Removal Volume (OB)
Overburden Removal
(million BCM)
(million BCM)
Note : 2016D figures are unaudited figures
2
FY17 Overburden Removal volume is budgeted to increase principally due to the ramp up at Bara Tabang coupled with increased stripping ratio as a result of strengthening market price at TSA/FKP, PIK and WBM
237.9
159.4
95.8
40.5 32.9
65.0 – 70.0
2012 2013 2014 2015 2016D 2017B
Quarterly Overburden Removal
2016D 2017B
Gunungbayan Pratamacoal - Block II - 4.4 to 5.8
Perkasa Inakakerta 3.5 6.5 to 7.5
Teguh Sinar Abadi/ Firman Ketaun Perkasa 19.3 24.0 to 25.0
Tabang Concessions 9.0 22.0 to 22.2
Wahana Baratama Mining 1.2 8.1 to 9.5
Total 32.9 65.0 to 70.0
(in million BCM) OB
12 - 14
17 - 18
18 - 19 18 - 19
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Coal Production
Coal Production
(million MT)
(million MT)
Note : 2016D figures are unaudited figures
3
FY17 Production Volume is
anticipated to increase primarily due to the ramp up in production at Bara Tabang
16.3
13.7
9.6
11.3
9.8
2012 2013 2014 2015 2016D 2017B
16 - 18
Quarterly Coal Production
3.5 - 4.0 4.0 - 4.5
4.2 - 4.7 4.3 - 4.8
1Q17B 2Q17B 3Q17B 4Q17B
2016D 2017B
Gunungbayan Pratamacoal - Block II - 0.2 to 0.4
Perkasa Inakakerta 0.6 0.5 to 1.1
Teguh Sinar Abadi/Firman Ketaun Perkasa 1.9 1.7 to 2.1
Tabang Concessions 6.1 13.0 to 13.4
Wahana Baratama Mining 1.1 0.6 to 1.0
Total 9.8 16.0 to 18.0
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Weighted Average Strip Ratio (SR)
Weighted Average Strip Ratio
Note : 2016D figures are unaudited figures
4 FY17 Weighted Average Strip Ratio
is budgeted to increase slightly, primarily due to the planned expansion at TSA/FKP combined with WBM entering a new mining area at a much higher SR.
14.6
11.6
10.0
3.8 3.4 3.5 – 4.0
2012 2013 2014 2015 2016D 2017B
3.2 - 3.5 3.6 - 4.0 3.6 - 4.0
3.9 - 4.1
1Q17B 2Q17B 3Q17B 4Q17B
2016 2017B
Gunungbayan Pratamacoal - Block II - 14.6 to 15.0
Perkasa Inakakerta 6.1 6.5 to 7.0
Teguh Sinar Abadi/ Firman Ketaun Perkasa 10.1 12.0 to 12.5
Tabang Concessions 1.5 1.5 to 1.75
Wahana Baratama Mining 1.0 9.0 to 9.5
Total 3.4 3.5 to 4.0
Weighted Average SR (:1) Weighted Average SR
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Cash Costs
(US$ / MT)
Average Cash Costs per MT(*) Sing Gas Oil Price(*) (US$ / liter)
FY17 Average Cash Costs is anticipated to be in the region of US$ 28 to 32/ MT
5 *(1) Average cash costs include barging, royalty, and SGA
(2) 2016D figures were unaudited figures
78.1
70.6
64.9
43.2
29.8 28.0 to 32.0
2012 2013 2014 2015 2016D 2017
1.1
0.9
0.8
0.5
0.4
0.5 – 0.7
2012 2013 2014 2015 2016D 2017
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Coal Sales
Coal Sales Volume
(million MT)
FY17 Budgeted Sales Volume is in the range of 16 to 18 million tonnes
As of 31 December 2016, Order book at 13.2 million MT of contracted sales volume for 2017
• 55% on fixed price basis
(million MT)
Quarterly Coal Sales
Geographic Distribution 2016- Draft
Note : 2016D figures were unaudited figures 6
Japan 16.0 14.7 12.0 8.9 13.0
16.0 – 18.0
2012 2013 2014 2015 2016D 2017B
3.8 – 4.2 4.0 – 4.5 4.0 – 4.5
4.2 – 4.8
1Q17B 2Q17B 3Q17B 4Q17B
India, 33%
Malaysia, 14% China , 12%
Japan, 9% Taiwan, 8% Indonesia, 7%
Korea, 7%
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Average Selling Price (ASP)
Average Selling Price(*)
7
FY17 ASP is anticipated to be in the region of US$ 38.0 to 42.0/ MT;
Based on the benchmark reference price being on average US$ 65.0/
MT
* (1) ASP includes coal and non-coal s (2) 2016D figures were unaudited figures
(US$ / MT)
88.2
77.9
68.8
52.1 42.8
38.0 – 42.0
1.00 11.00 21.00 31.00 41.00 51.00 61.00 71.00 81.00 91.00
2012 2013 2014 2015 2016 2017B
4,200 6,300
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Committed and Contracted Sales
Note : December 2016
As at 31 December 2016
committed and contracted sales were 12.5 million MT with an average CV of 4,618 GAR kcal
2017 Fixed Price element at US$ 44.06/ MT with an average CV of 4,522 GAR kcal
Additional sales will be made as progressive production targets are met throughout the year
8 55%
45%
12.5 million MT
Fixed Price Floating Price
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Capital Expenditure
(US$ million)
2017 CAPEX
9 Major capital projects undertaken
include:
•Road sheeting and road surfacing at Tabang
•Various site infrastructure at Tabang to cater for expanded production
•Various mobile equipment, predominately at Tabang
•Replacement of two cranes at BCT
•Dry docking of KFT-1
50.0-71.0
Buildings & Infrastructure
Equipment and Machinery Office Equipment
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Tabang
Pakar
Mamahak
Appendix
10
PT Perkasa Inakakerta PIK
PT Teguh Sinarabadi TSA
PT Firman Ketaun Perkasa FKP
PT Wahana Baratama Mining WBM
PT Fajar Sakti Prima FSP
PT Bara Tabang BT
PT Brian Anjat Sentosa BAS
PT Tanur Jaya TJ
PT Silau Kencana SK
PT Orkida Makmur OM
PT Tiwa Abadi TA
PT Sumber Api SA
PT Dermaga Energi DE
PT Bara Sejati BS
PT Apira Utama AU
PT Cahaya Alam CA
PT Mamahak Coal Mining MCM
PT Bara Karsa Lestari BKL
PT Mahakam Energi Lestari MEL
PT Mahakam Bara Energi MBE
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Appendix
11
Kangaroo Resources Limited KRL
PT Dermaga Perkasapratama DPP
PT Indonesia Pratama IP
PT Muji Lines Muji
PT Bayan Energy BE
PT Metalindo Prosestama MP
PT Sumber Aset Utama SAU
PT Bara Karsa Lestari BKL
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Disclaimer
12
This presentation contains forward-looking statements based on assumptions and forecasts made by PT. Bayan Resources Tbk management. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and speak only as of the date they are made. We undertake no obligation to update any of them in light of new information or future events.
These forward-looking statements involve inherent risks and are subject to a number of uncertainties, including trends in demand and prices for coal generally and for our products in particular, the success of our mining activities, both alone and with our partners, the changes in coal industry regulation, the availability of funds for planned expansion efforts, as well as other factors. We caution you that these and a number of other known and unknown risks, uncertainties and other factors could cause actual future results or outcomes to differ materially from those expressed in any forward-looking statement.
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Thank You
For more information, please contact : investor.relations@bayan.com.sg
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Committed and Contracted Sales
Note : December 2016
As
at
31
December
2016
committed and contracted sales
were 12.5 million MT with an
average CV of 4,618 GAR kcal
2017 Fixed Price element at US$
44.06/ MT with an average CV of
4,522 GAR kcal
Additional sales will be made as
progressive production targets
are met throughout the year
55% 45%
12.5 million MT
Fixed Price Floating Price
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Capital Expenditure
(US$ million)
2017 CAPEX
9
Major capital projects undertaken
include:
•
Road sheeting and road
surfacing at Tabang
•
Various site infrastructure at
Tabang to cater for expanded
production
•
Various mobile equipment,
predominately at Tabang
•
Replacement of two cranes at
BCT
•
Dry docking of KFT-1
50.0-71.0 Buildings & Infrastructure Equipment and Machinery Office Equipment
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Tabang
Pakar
Appendix
PT Perkasa Inakakerta PIK
PT Teguh Sinarabadi TSA
PT Firman Ketaun Perkasa FKP
PT Wahana Baratama Mining WBM
PT Fajar Sakti Prima FSP
PT Bara Tabang BT
PT Brian Anjat Sentosa BAS
PT Tanur Jaya TJ
PT Silau Kencana SK
PT Orkida Makmur OM
PT Tiwa Abadi TA
PT Sumber Api SA
PT Dermaga Energi DE
PT Bara Sejati BS
PT Apira Utama AU
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Appendix
11
Kangaroo Resources Limited
KRL
PT Dermaga Perkasapratama
DPP
PT Indonesia Pratama
IP
PT Muji Lines
Muji
PT Bayan Energy
BE
PT Metalindo Prosestama
MP
PT Sumber Aset Utama
SAU
PT Bara Karsa Lestari
BKL
PT Karsa Optima Jaya
KOJ
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Disclaimer
This presentation contains forward-looking statements based on assumptions and forecasts made by PT. Bayan Resources Tbk management. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and speak only as of the date they are made. We undertake no obligation to update any of them in light of new information or future events.
These forward-looking statements involve inherent risks and are subject to a number of uncertainties, including trends in demand and prices for coal generally and for our products in particular, the success of our mining activities, both alone and with our partners, the changes in coal industry regulation, the availability of funds for planned expansion efforts, as well as other factors. We caution you that these and a number of other known and unknown risks, uncertainties and other factors could cause actual future results or outcomes to differ materially from those expressed in any forward-looking statement.
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