2019 corporate profile australia · australia’s largest producers of copper, zinc, nickel and...
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2019 CORPORATE PROFILE AUSTRALIA
One of Australia’s
largest producers of copper, zinc, nickel and
cobalt
18,000 employees and contractors in
Australia
One of the largest buyers of grain and
oilseeds from Australian growers
Australia’s largest coal
producer
Glencore’s Mount Isa Mines operation
About GlencoreWe are one of the world’s largest natural resources companies. We own and operate a diverse mix of mining, metals processing and agricultural assets all over the world, and we’re engaged at every stage in the commodity supply chain.
Our business covers Metals and Minerals, Energy and Agriculture, which are supported by our extensive global marketing network.
Global operations
158,000Employees and contractors
90Commodities across three business segments
3,000Employees in marketing
1,200Vessels on the ocean at any one time
7,000+Long-term relationships with suppliers and customers
www.glencore.com
Metals and minerals
Energy Agriculture
Uniquely diversifi ed by commodity,
geography and activity
• Fully integrated from mine to customer
• Presence in 50 countries across 150 operating sites
• Producing and marketing more than 90 commodities across three business segments
• Diversifi ed across multiple suppliers and customers
The right commodity mix
for changing needs
• Future demand patterns for maturing economies are likely to favour mid-and late-cycle commodities
• Major producer of later cycle commodities including the enabling materials (copper, cobalt, nickel) that underpin the battery chemistry and infrastructure likely to power electric vehicles and low emission storage systems
Well-capitalised, low-cost, high-return assets
• Since 2009, over US$40 billion has been invested in our global industrial assets
• Low-cost, long-life assets in many of the world’s premier mining districts support sustainable long-term cash fl ows
• Mine-life extension potential embedded in key commodities
2 3Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Kwinana
Townsville
Cairns
Melbourne
Sydney( Regional headquarters)
Brisbane
Mackay
Bowen
Gladstone
Mount IsaMount IsaMount Isa
Borroloola
Darwin
Cobar
Adelaide
KalgoorliePerth
Newcastle
Our Australian operations
In 2018, Glencore contributed more than $15.6 billion to regional, state and national economies in Australia.*
18,000Employees and contractors
$2.0 bWages and salaries
$10.1 bSpent on goods and services
$2.2 bTaxes and royalties paid to state and federal governments
$1.3 bCapital and sustaining investment in our operations
About Glencore
* The taxes and royalties fi gure represents Glencore’s share of every operation we operate and manage in Australia. All other fi gures represent 100% of the operations that Glencore manages in Australia and include our joint venture partners’ interests in Glencore Agriculture, Ernest Henry Mining, our various coal joint ventures and our 49% share of Hunter Valley Operations. All dollar fi gures in this document are AUD, and relate to the 2018 calendar year, unless otherwise stated.
Technology
Metals & mineralsCopper
Bauxite
Nickel and Cobalt
Zinc
Energy productsCoal
AgriculturePort facilities and storageContainer packing & processing facilitiesKey upcountry storage sitesCity/Town
4 5Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
– CSA Mine
– Teralba– West Wallsend– Westside– Liddell– United
– Mount Margaret Mining – Mangoola – Blakefi eld South
– Viterra
– Ulan OC (expansioni
– Mount Isa Mines
– Xstrata IPO
– Cook– Narama– Ravensworth
– MIM Holdings Limited – Mount Isa Mines – Ernest Henry Mining – Copper Refi neries Limited – Townsville Port Operations – Bowen Coke – McArthur River Mining – Oaky Creek – Newlands – Collinsville – Rolleston
– Glencore Grain
– Xstrata acquisition
– Ulan West – Ravensworth North – Rolleston (expansion)
– McArthur River Mining (expansion)
– Liddell (expansion)
– Resource Pacifi c – Ravensworth
Underground
The history of our business in AustraliaAustralia has been an important part of our global business for over 20 years.
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
– Minara Resources – Murrin Murrin
– Cumnock Coal – Mt Owen
Operations
– Bulga – Beltana – Bulga South – Baal Bone
– Hail Creek
– Integra
– United Wambo– Clermont
– Glendell (expansion)
– Ernest Henry Mining (transition from open cut to underground)
– Lady Loretta– McArthur River Mining
– Jubilee Mines– Sinclair– Cosmos
– Tahmoor
(expansion)
(George Fisher Mine expansion)
Copper Zinc Nickel and Cobalt Coal Oil Agriculture
(expansion)
About Glencore
– Ulan – Hunter Valley Operations
6 7Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Agriculture
Viterra’s Port Giles operation in South Australia
8 9Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
AgricultureOur 2018 contribution
1,200Employees and contractors
$87 mWages and salaries
$2.34 bSpent on goods and services
$32 mCapitalinvestment
We are a signifi cant contributor to the agricultural industry in Australia, connecting agricultural commodities safely and effi ciently between growers and customers at home and overseas.
We originate, handle, store, transport and market a range of agricultural commodities, including wheat, barley, oilseeds, pulses, sorghum, meals and cotton.
In 2018, our marketing business bought more than 4.6 million tonnes of agricultural commodities directly from growers across Australia to connect with domestic and overseas customers.
Viterra’s storage and handling business received 4.1 million tonnes of grain in 2018, with 4.8 million tonnes shipped through its South Australian ports on behalf of 13 exporters.
Australian management team
Tim Krause, Regional Director Australia/New Zealand
Philip Hughes, General Manager Trading, Glencore Agriculture
Narrabri
Wallaroo
Port Giles
Port Lincoln
Outer HarborInner Harbour
ArdrossanDooen
Thevenard
Two Wells
Newcastle
Sydney
SOUTH AUSTRALIA
NEW SOUTH WALES
VICTORIA
(Regional headquarters)(Regional headquarters)Adelaide
Melbourne
Port facilities and storageRail
Container packing and processing facilitiesKey upcountry storage sites
STORAGE AND HANDLING SITES
About 10 million tonnes total storage, with sites ranging in capacity from 6,000 tonnes to over 600,000 tonnes
CONTAINER PACKING AND PROCESSING FACILITIES
Port Adelaide Two Wells
Dooen Narrabri
Melbourne
PORTS Thevenard Port Lincoln Wallaroo
Ardrossan (non-grain) Port Giles Outer Harbor (Adelaide)
Inner Harbour (Adelaide)
COMMODITIES Wheat Barley Canola Lentils
Peas Chickpeas Faba beans Lupins
Sorghum Protein meals Cotton
CORPORATE OFFICES Adelaide MelbourneGRAIN ACCUMULATION OFFICES
FremantleDooen
Wagga WaggaNarrabri
Toowoomba
City/Town
10 11Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
CoalOur 2018 contribution
9,500Employees and contractors
$1.0 bWages and salaries
$5.6 bSpent on goods and services
$576 mCapitalinvestment
We are Australia’s largest coal producer, with 16 mining operations across New South Wales and Queensland.
We employ about 9,500 people and in 2018 produced 103 million tonnes of saleable thermal and coking coal. Our coal is exported from the ports of Abbot Point, Dalrymple Bay, Wiggins Island Coal Export Terminal, RG Tanna coal terminal (in Queensland) and from the Port of Newcastle (in NSW).
Australian management team
Gary Nagle, Head of Global Coal Assets
Ian Cribb, Chief Operating Offi cer, Coal Assets Australia
Energy products
1 Managed equivalent saleable production rounded up/down to nearest 1,000 tonnes2 Glencore completed its acquisition of an 82% stake in Hail Creek Coal on 1 August 2018
Glencore has subsequently acquired a further 2.67% in the operation3 Glencore completed its acquisition of a 49% stake in Hunter Valley Operations on 4 May 2018
The volumes included above represent Glencore’s share of the non-managed Joint Venture4 Glencore sold its Tahmoor Coal operation on 20 April 2018
OPERATIONS METHODS PRODUCTS 2018 PRODUCTION1
Collinsville Open Cut Open cut Thermal 3,224,000 t
Newlands Coal Open cut Thermal, Coking 5,523,000 t
Hail Creek 2 Open cut Coking 3,819,000 t
Clermont Open Cut Open cut Thermal 11,719,000 t
Oaky Creek Coal Underground Coking 4,564,000 t
Rolleston Open Cut Open cut Thermal 15,177,000 t
Ulan Coal Underground Thermal 11,738,000 t
Mangoola Open Cut Open cut Thermal 10,562,000 t
Hunter Valley Operations 3 Open cut Thermal, Coking 4,892,000 t
Liddell Open Cut Open cut Thermal, Coking 4,065,000 t
Mount Owen Coal Open cut Thermal, Coking 7,640,000 t
Ravensworth Coal Open cut Thermal, Coking 9,056,000 t
Integra Underground Underground Coking 1,440,000 t
Bulga Coal Open cut Thermal, Coking 9,023,000 t
Tahmoor Underground 4 Underground Coking 590,000 t
t = tonnes
Energy products
13Glencore 2019 Corporate Profi le Australia12 Glencore 2019 Corporate Profi le Australia
ABCDEFG
D
A
B C
E
F
G
Galilee Basin
Surat Basin
Bowen Basin
Oaky Creek CoalOaky Creek Coal
Mackay
Rockhampton
Clermont Open CutClermont Open Cut
Rolleston Open CutRolleston Open Cut
Abbot Point Coal Terminal (T1)BowenBowen
RG Tanna Coal TerminalRG Tanna Coal Terminal
Wiggins Island Wiggins Island Wiggins Island Coal Export TerminalCoal Export TerminalCoal Export Terminal
Gladstone
Dalrymple Bay Coal Terminal
Collinsville Open Cut
Newlands Coal
Hail CreekHail CreekHail CreekHail Creek
NEW SOUTH WALES
Brisbane
Sydney
QUEENSLAND
Energy products
Bulga Open CutBulga Open CutBulga Open Cut
ABCDEFG
D
A
B C
E
F
G
Galilee Basin
Surat Basin
Bowen Basin
Ravensworth CoalRavensworth Coal
NewcastlePort Waratah Coal Services
Coalfi eldsGunnedah Coalfi eldWestern Coalfi eldHunter Coalfi eldGloucester Coalfi eldNewcastle Coalfi eldCentral Coalfi eldSouthern Coalfi eld
Integra UndergroundIntegra Underground
Ulan CoalUlan Coal
Mount OwenMount OwenGlendell
Mount Owen CoalMount Owen Coal
Mangoola Open CutMangoola Open Cut
UlanUlanUlan WestUlan West
Ulan UndergroundUlan Underground
Liddell Open CutLiddell Open Cut
Hunter Valley OperationsHunter Valley Operations
NEW SOUTH WALES
Brisbane
Sydney(Regional headquarters)
QUEENSLAND
Port facilities and storageRail
Other asset
Mine site
City/Town City/Town
Open cut mineUnderground mine
Port facilities and storageRail
Other asset
Mine site
Open cut mineUnderground mine
Our coal operations in New South Wales Our coal operations in Queensland
14 15Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Mount IsaMount IsaMount Isa
Kalgoorlie
Coogee
Townsville
Cairns
Newcastle
Port KemblaPort KemblaPort Kembla
Brisbane
Mackay
Port BotanyPort Jackson
Gladstone
Sydney
Melbourne
Darwin
Adelaide
Perth
OilGlencore’s oil business in Australia supplies our mining and agricultural operations’ fuel needs. We also supply fuel into the wholesale fuel market, independents and the marine fuel industry.
Energy products
Metals and minerals
Site
Pipeline
TruckBarge
16 Glencore 2019 Corporate Profi le Australia 17Glencore 2019 Corporate Profi le Australia
CopperOur 2018 contribution
3,700Employees and contractors
$456 mWages and salaries
$670 mSpent on goods and services
$308 mCapitalinvestment
Our Australian copper business is integrated across the entire supply chain, from resource development, mining and processing, to transport, storage and export to customers around the world.
Queensland
Our north Queensland copper mining and processing assets include Mount Isa Mines, Ernest Henry Mining near Cloncurry, and our copper refi nery in Townsville. Our copper is exported from the Port of Townsville. Our north Queensland copper operations employ over 3,000 people, including contractors.
New South Wales
Our CSA Mine in Cobar is Australia’s highest grade copper mine. Copper from the mine is exported via the Port of Newcastle. Our CSA Mine employs about 600 people.
Australian management team
Matt O’Neill, Chief Operating Offi cer, Copper Assets Australia
Townsville operations
Rockhampton
Bowen
TownsvilleTownsville
CSA Mine
Ernest Henry MiningErnest Henry Mining
Mount Isa MinesMount Isa MinesMount Isa MinesMount Isa Mines
Underground mineUnderground mine
Underground mineUnderground mine
X41X41X41X41EnterpriseEnterpriseEnterpriseEnterprise
Mount IsaMount IsaMount IsaMount Isa
Newcastle
Cloncurry
Copper concentratorCopper concentratorCopper concentratorCopper concentrator
Copper concentrator
Copper concentratorCopper concentrator
Copper Refi neries Ltd
Copper smelterCopper smelterCopper smelterCopper smelter
Glencore Port Operations
Port Waratah
Sydney
QUEENSLAND
NORTH WEST QUEENSLAND
MINERALS PROVINCE
(Regional headquarters)
NEW SOUTH WALES
Brisbane
OPERATIONS ASSETS 2018 PRODUCTION
Mount Isa Mines copper operations
Enterprise underground mineX41 underground mineCopper concentratorCopper smelter
Copper cathode and copper in concentrates
217,537 t 1
Ernest Henry Mining Underground copper mineCopper concentrator
Copper Refi neries Ltd Electrolytic copper refi nery
CSA Mine Underground mineCopper concentrator
Copper in concentrates
48,047 t
1 Mount Isa, Ernest Henry, Townsville – total production, including third party feed
t = tonnes
Metals and minerals
Mine site
Port facilities and storageRail
Underground mineOther asset
City/Town
18 19Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
ZincOur 2018 contribution
2,400Employees and contractors
$279 mWages and salaries
$696 mSpent on goods and services
$380 mCapitalinvestment
Glencore mines two of the world’s largest zinc resource bases at Mount Isa Mines and McArthur River Mine.
Queensland
In north Queensland, we operate the George Fisher underground mine, Lady Loretta underground mine, a zinc-lead concentrator, a zinc-lead fi lter plant and a lead smelter. Our zinc and lead products are exported from the Port of Townsville. The Mount Isa Mines zinc operations employ over 1,300 people.
Northern Territory
Our McArthur River Mine (MRM) is located about 970 kilometres south-east of Darwin and includes an open cut mine and processing facilities. Our zinc and lead is exported from the Bing Bong loading facility on the Gulf of Carpentaria. Our MRM operations employ over 1,000 people.
Australian management team
Greg Ashe, Chief Operating Offi cer, Zinc Assets Australia
Denis Hamel, Executive General Manager, Zinc Assets Australia
Metals and minerals
Mount IsaMount IsaMount IsaMount Isa
NORTH WEST QUEENSLAND
MINERALS PROVINCE
Darwin
McArthur River Mine
NORTHERN TERRITORY
Bing Bong Bing Bong Loading FacilityLoading Facility
Lady Loretta MineLady Loretta MineLady Loretta MineLady Loretta Mine
BorroloolaBorroloola
Rockhampton
Brisbane
Townsville operations
TownsvilleTownsville
Mount Isa MinesMount Isa MinesGeorge Fisher MineGeorge Fisher Mine
Open cut mine
Zinc-lead concentratorZinc-lead concentratorLead smelterLead smelter
Zinc-lead concentrator Glencore Port Operations
QUEENSLAND
GULF OF CARPENTARIA
OPERATIONS ASSETS 2018 PRODUCTION
Mount Isa Mines zinc operations
George Fisher underground mineZinc-lead concentrator Lead smelterLady Loretta underground mine
Zinc in concentratesLead in concentratesSilver in concentrates
278,149 t125,915 t
4,642,869 oz
McArthur River Mine
Open cut zinc-lead mineZinc-lead concentrator Bing Bong Loading Facility
Zinc in concentratesLead in concentratesSilver in concentrates
254,283 t49,887 t
1,719,277 oz
t = tonnes oz = ounces
Port facilities and storageRail
Other asset
Mine site
Open cut mineUnderground mine
City/Town
20 21Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Nickel and CobaltOur 2018 contribution
1,000Employees and contractors
$110 mWages and salaries
$597 mSpent on goods and services
$31 mCapitalinvestment
We are one of Australia’s largest nickel and cobalt producers. Our Murrin Murrin nickel operation is located between Leonora and Laverton in the north-eastern Goldfi elds region of Western Australia.
Murrin Murrin is operated by Minara Resources, wholly owned by Glencore. Our nickel and cobalt is exported from Kwinana, south of Perth. In 2018, we produced 39,717 tonnes of nickel and 3,244 tonnes of cobalt in metal (including metals and minerals we process from third-parties).
Australian management
Peter Hancock, Vice President, Minara Resources
Metals and minerals
EASTERN GOLDFIELDS
TERRANE
Perth
WESTERN AUSTRALIA
Kwinana
KalgoorlieKalgoorlie
LavertonLavertonLeonoraLeonora Murrin MurrinMurrin Murrin
Open cut mineOpen cut mineNickel and cobalt processing plant Nickel and cobalt processing plant Nickel and cobalt processing plant
Glencore TechnologyGlencore Technology develops innovative products that help producers extract more from their metal and mineral processing assets. ISASMELT™, IsaKidd™, IsaMill™, Jameson Cell and Albion Process™ have been developed in the real world and proven in more than 400 operations across every continent.
ISASMELT™ is still helping operations break recovery records in smelting after more than 30 years. IsaMill™ and Jameson Cell deliver more and better quality concentrate to downstream stages in mining operations. IsaKidd™ cathode plates and robotics account for more than 11 million tonnes per annum of world copper production. Albion Process™, commercialised in 2009, is delivering improved returns, through tougher
environments, over traditional mineral leaching techniques.
Glencore Technology also provides other parts of the Glencore group with expertise in process improvement, fl owsheet performance and metallurgical trouble-shooting.
Australian management
Paul Telford, General Manager, Glencore Technology
Mine site
Port facilities and storageRail
Open cut mineOther asset
Glencore Technology’s Jameson Cells deliver more concentrate per dollar, per metre and per year in more than 350 installations around the world.
City/Town
22 23Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Taxes and royaltiesIn 2018, Glencore paid more than $2.2 billion in taxes and royalties to Federal and State Governments in Australia. Our total corporate income tax liability in Australia for the 2018 fi nancial year was over $1 billion*. Since 2008, Glencore operations have paid more than $14 billion in taxes and royalties in Australia, of which $2.5 billion was corporate income tax.
When it comes to our tax and royalty contribution, it is important to note:
• Corporate income tax is paid on taxable profi ts, not on revenue.
• Our business is highly cyclical and needs high levels of capital and sustaining investment over the long-term.
• Our profi tability in Australia is generally driven by the price of our core commodities: coal, copper, nickel and zinc.
• Mining royalties are generally calculated and paid as a percentage of revenue per unit (tonne, ounce) of product sold.
About Glencore
What could our taxes and royalties pay for?In the 2018 Financial Year, Glencore’s $2.2 billion total contribution to taxes and royalties at a State and Federal level was the equivalent of:
1 Average salary of ~$70,000 per annum for new teachers and new police constables in Queensland (references: teach.qld.gov.au/teaching-with-us/pay-and-benefi ts and www.policerecruit.qld.gov.au/whatWeOffer/Employment-Entitlements.htm)
2 $25m per school (Minerals Council of Australia, The Next Frontier (Feb 2019): minerals.org.au/sites/default/fi les/190208%20The%20Next%20Frontier%20MCA%20Policy%20Priorities.pdf)
3 $700m per hospital (Minerals Council of Australia, The Next Frontier (Feb 2019): minerals.org.au/sites/default/fi les/190208%20The%20Next%20Frontier%20MCA%20Policy%20Priorities.pdf)
Hiring over
31,000new teachers or
new police constables 1 or
Building
88new schools 2 or
Building
3regional hospitals 3
* Tax payable in relation to 2018 fi nancial year was paid during the 2018 and 2019 years
Taxes and royalties paid since 2008 (summarised)
COMPANY TAX ROYALTIES
COMPANY PAYROLL AND OTHER TAXES TOTAL
Federal Government $2,498 m – $4,002 m $6,500 m
State Government – $6,506 m $1,323 m $7,829 m
Total $2,498 m $6,506 m $5,325 m $14,329 m
Taxes and royalties paid for calendar year 2018
COMPANY TAX ROYALTIES
COMPANY PAYROLL AND OTHER TAXES TOTAL
Federal Government $588 m – $628 m $1,216 m
State Government – $941 m $61 m $1,002 m
Total $588 m $941 m $689 m $2,218 m
24 Glencore 2019 Corporate Profi le Australia 25Glencore 2019 Corporate Profi le Australia
Supporting our local communitiesEvery year, Glencore supports our local communities via a combination of partnerships, sponsorships, funding and voluntary employee contributions. In addition to our role as a major employer, in 2018 we partnered with a number of community organisations across Australia to make a positive contribution in the areas of health, education, arts and culture, and the environment.
Glencore has partnered with charity Royal Far West to provide early intervention for children experiencing speech, language, sensory and motor development diffi culties in our regional Queensland operational areas of Springsure, Collinsville and Clermont. The capacity-building program helps teachers, parents and other school and early education employees to better care for the unique needs of these young children. Training is done using tele-tutorials and video links with senior clinicians and is enriched with online resources. We have invested $100,000 to help deliver this program to these regional areas.
26 27Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Royal Far West
Queensland• Angel Paws Inc
• Annandale State School
• Arts on Alma
• AusIMM
• Books in Homes Australia
• Boulia Camel Races
• Camooweal Jockey Club
• Capricorn Rescue Helicopter
• Central Queensland Health Service – Mackay
• Central Queensland Rescue Helicopter
• Central Queensland Rural Health
• Clermont Aged Care Strategy
• Cloncurry and District Show Society
• Cloncurry Flinders Medical Centre
• Cloncurry Stockman’s Challenge and Campdraft Association
• Commerce North West
• CTM Links
• Curry Merry Muster Festival
• Edmund Rice Flexi School
• Fitzroy Basin Association
• Headspace Mount Isa
• Healy State School
• Isa Running and Triathlon Club
• James Cook University
• Junior Sports Development Program grants
• Mayor of Townsville Christmas Appeal
• Mission to Seafarers
• Mount Isa Agricultural Show Society
• Mount Isa and District Athletics Association
• Mount Isa Apex Club
• Mount Isa City Council
• Mount Isa Eisteddfod
• Mount Isa Entertainment and Tourism Venues
• Mount Isa Fish Stocking Group
• Mount Isa Mines Rodeo
• Mount Isa Special School
• North Queensland Football Limited
• North Queensland Sports Foundation
• North West Canoe Club
• North West Hospital and Health Service
• Oonoonba State School
• Parkrun Mount Isa
• Queensland Department of Education
• Queensland Department of Environment and Science
• Queensland Department of Youth and Communities
• Queensland Minerals and Energy Academy (QMEA)
• Queensland Music Festival
• RACQ LifeFlight
• Ronald McDonald House North Australia
• Salvation Army
• South Townsville State School
• Southern Cross Catholic School
• The Pyjama Foundation
• Tieri State School
• Townsville Eisteddfod Inc
• Townsville Hospital Foundation
• Townsville State High School
• University of Central Queensland
• University of Queensland
• William Ross State High School
• Wonder of Science
• Wulguru State School
• Plus more schools, colleges, local clubs and organisations throughout regional Queensland
At Glencore, we believe in the power of education. Since 2007, we’ve supported Books in Homes which gives hundreds of children in regional and remote Australia nine new quality books each, every year, to take home.
So far, we have donated over 160,000 books to students from schools in the Mount Isa (including Camooweal), Cloncurry (including Dajarra), Bowen and Townsville regions. The program has been highly successful and teachers are happy to report the books have improved students’ love of reading, their learning and their school attendance.
Supporting our local communities
28 29Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Books in Homes
Australia
New South Wales• Aussie Ark
• Cattleman’s Cup Rugby Contest
• Central Tablelands Local Land Services
• Clontarf Foundation
• Collinsville schools
• Collinsville State High School
• Community grants – local clubs and organisations
• Gulgong High School
• Humpty Dumpty Foundation
• Hunter Local Land Services
• Hunter New England Health
• John Hunter Children’s Hospital
• Junior Sports Development Program grants
• King of Kaputar Clay Target Shoot
• Mudgee High School
• New South Wales Department of Education – Hunter Offi ce
• Peter Cullen Trust
• Royal Far West Children’s Charity
• Salvation Army
• Singleton High School
• Tocal Agricultural College
• Ungooroo Aboriginal Health Service
• University of Newcastle
• University of Newcastle – Wollongong
• Westpac Rescue Helicopter Service
• Where There’s a Will Foundation
Glencore supports Aussie Ark, a 400 hectare animal refuge and breeding program in Barrington Tops in the Upper Hunter region of New South Wales. Our support is helping prevent the extinction of multiple native, endangered Australian mammals, including the Tasmanian devil.
A critical part of this program is ensuring endangered animals are safe from predators. To address this challenge, Glencore gave Aussie Ark $450,000 to build a ‘predator proof’ fence that completely encloses the entire area, keeping many precious species safe and sound in this refuge.
Supporting our local communities
30 31Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Aussie Ark
Supporting our local communities
Silo art is a refl ection of community spirit and celebration in agricultural communities. Glencore and Viterra support silo art projects like these in Wirrabara, by providing our silos as a base canvas for the community’s artwork. Silo art helps the small towns where we operate to attract visitors, contributing further to the town’s economy.
South Australia• AgCommunicators Food and Fibre
Education Camp
• Ardrossan Area School
• Ceduna Racing Club
• Corny Point Easter raffl e
• Crystal Brook Show
• Eyre Peninsula Agricultural Research Foundation
• Gladstone High School
• HART Field Site Cropping Trials
• Kapunda Show
• Kurrajong Race Day
• Loxton North Football Club
• Mackillop Farm Management Group
• Men’s Watch Mental Health Programme
• Murray Bridge Agricultural and Horticultural Society centenary dinner
• Parnkalla Trail Port Lincoln
• Pinery Memorial Trust
• Port Lincoln Auto Sprints
• Rotary Port Pirie Science and Engineering Challenge
• Royal Adelaide Show
• South Australian Durum Growers Association
• South Australian No Till Farmers Association
• Streaky Bay New Year’s fi reworks
• Tumby Bay Silo Art
• Waikerie Silo Art
• Wirrabara Silo Art
• Wolseley community tri-annual Australia Day event
32 33Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Silo art
Western Australia• Curtin Volunteers!
• Eastern Goldfi elds Cycle Club
• Laverton Community Resource Centre
• Laverton Crisis Intervention Service
• Laverton Leonora Cross Cultural Association
• Laverton Mens Shed
• Laverton Police and Kambalda Football Club Inc
• Laverton School
• Leonora Community Resource Centre
• Leonora District High School
• Leonora Police
• Menzies Aboriginal Corporation
• Menzies Community School
• Mount Margaret Remote Community School
• Mulga Queen Community
• Nurra Kurramunoo Aboriginal Corporation
• Pakaanu Aboriginal Corporation
• Pingrup Races
• Royal Flying Doctor Service WA
• Shire of Laverton
• Shire of Leonora
• Shire of Menzies
• St John Ambulance
• St John Ambulance Volunteer Sub-Centre Leonora
• Walkatjurra Cultural Centre
• Youth Wise
Supporting our local communities
Whether in the sky or on the road, Glencore’s Murrin Murrin nickel and cobalt operation in Western Australia is a proud supporter of the emergency medical services. The mine’s Minara Community Foundation gives the Royal Flying Doctor Service medical equipment to help empower it to save lives every day. The Foundation also supports St John Ambulance and provided substantial funding to help it with its defi brillator program and 4WD ambulance project in the Goldfi elds region.
34 35Glencore 2019 Corporate Profi le Australia Glencore 2019 Corporate Profi le Australia
Royal Flying Doctor
Service
Northern TerritoryThese partnerships are funded either directly by McArthur River Mining or by the MRM Community Benefi ts Trust.
• Arafura Wind Ensemble
• Barkly Regional Arts – Song People Sessions
• Barunga Festival
• Books in Homes Australia
• Borroloola Aged Care
• Borroloola Amateur Race Club
• Borroloola Men’s Health Week
• Borroloola School
• Borroloola Show Society
• Borroloola Women’s Shelter
• Borroloola Women’s Wellness Week
• Cancer Council of the NT
• Carefl ight
• Engineers Australia SySTEMic partnership
• Gudanji Ranger Program
• Humpty Dumpty Foundation
• John Moriarty Foundation Scholarships
• King Ash Bay Fishing Club
• Li-Anthawirriyarra Sea Ranger Unit
• Limmen National Park Art Protection Project
• Mabunji Aboriginal Resource Centre Indigenous Corporation
• Malandari Festival
• Mawurli and Wirriwangkuma Aboriginal (MAWA) Corporation
• Menzies School of Health Research
• Mother’s Day Classic
• Mungoordbada Aboriginal Corporation
• Nangala Foundation
• National Trust
• Northern Territory Chamber of Commerce
• Northern Territory Training Awards
• Northern Territory Young Achiever Awards
• NT Flyrodders Association
• Robinson River School
• Roper Gulf Regional Council
• Territory Natural Resource Management
• Wanula Creche
• Waralungku Arts
• Women in Resources AwardsGlencore’s McArthur River Mine is located in a remote area of the Northern Territory and builds strong ties with the local indigenous communities. One of the ways that MRM has been working with the local community is to give students from Borroloola School hands-on learning about environmental rehabilitation.
The course program takes students through topics such as land management, seed collecting, soil preparation, safety preparation, and water management including fi eld trips to the MRM Rehabilitation Nursery. The course was inspired by Aunty-Nanna from the Gudanji people, who had dreamed of being able to give local students the opportunity to care for country and appreciate it as much as she did.
Supporting our local communities
COMMUNITY BENEFITS TRUSTMcARTHUR RIVER MINE
Established in 2007, the MRM Community Benefi ts Trust is a unique partnership between McArthur River Mining, the Northern Territory Government and the local community. It commits $1.25 million a year to projects in the Gulf region, which comprises the communities bounded by Robinson River in the southeast, Sir Edward Pellew Islands in the north, Limmen Bight River in the west and Balbirini Station in the south. The town of Borroloola sits at the heart.
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Hands-on learning
The future of transport is electricExperts predict there will be 140 million electric vehicles (EVs) on the road by 2030 1 – that’s only a little over 10 years away. China is also targeting 30% EV sales of new passenger vehicles by 2030.
The future is bright for EVs and they are constructed using different metals to conventional vehicles. Glencore in Australia is helping to deliver the copper and nickel required for EV construction, as well as the cobalt which keeps EV batteries cool while they operate.
By 2030, global copper demand for EVs alone will be equivalent to approximately double the total predicted supply from all probable mine projects.
In Australia, Glencore produces copper at Mount Isa Mines and Ernest Henry Mining in north-west Queensland and from the CSA mine near Cobar in New South Wales.
Nickel demand is currently outstripping supply and this trend will continue as EV demand alone will exceed the output of all probable mine projects to 2030.
In Australia, Glencore produces nickel at our Murrin Murrin operations in the Goldfi elds region of Western Australia.
Cobalt supply needs to increase by more than 300% from 2017 levels to meet estimated EV demand by 2030. Two-thirds of all future supply is predicted to be used by EVs.
In Australia, Glencore produces cobalt at our Murrin Murrin operations in the Goldfi elds region of Western Australia.
EV infrastructure is also driving demand for metals
Infrastructure associated with EVs also demands metal for construction including: electricity generation and grid infrastructure, grid storage, and charging infrastructure.
Copper 84 kg
CuNickel30 kg
NiCobalt8 kg
Co
Estimated average metal use per vehicle 2:
About Glencore
1 Source: BNEF Long-Term Electric Vehicle Outlook 20182 Based on estimated 53 kWh global average battery pack size. Source: various data provided by CRU,
Wood McKenzie, Glencore estimates, Bloomberg New Energy Finance and sell-side analyst consensus data.
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Glencore ‘Connecting Possibilities’This year, we are beginning a national communication campaign featuring different aspects of our business in Australia.
While we are proud contributors to communities, businesses, taxes, royalties and exports, Glencore is not a well-known company in Australia.
Our campaign is about better telling our story and features real people and real stories. It shows our pride in the way we operate, the people that make up our business and the positive impact we have across regional Australia.
It has a local and regional focus and will feature across a range of media channels throughout the year.
The theme of the campaign is ‘Connecting Possibilities’ because this is what our business does; whether it’s responsibly sourcing the minerals in your mobile, supporting community initiatives or fostering the next generation of skilled workers.
What’s the connection?To fi nd out more check out glencorepossible.com.au
About Glencore
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As one of the world’s largest global natural resources companies, Glencore is committed to making a positive, lasting contribution to the areas in which we operate. At Liddell coal mine in NSW, we’re assessing the performance of cattle on previously mined land compared with natural pastures. And while we’re still studying the results, outcomes from the first six years are positive. Cattle on rehabilitated pastures have on average put on 30% more weight than cattle on unmined pastures.
An active coal mine.Fertile rehabilitation.What’s the connection?
Discover how we’re connecting possibilities.
About Glencore
43Glencore 2019 Corporate Profi le Australia
A unique business modelAs a global producer and marketer of commodities, we are uniquely diversifi ed by geography, products and activities. Integrating our marketing and industrial business sets us apart from our competitors and helps us generate value.
3 business segments, spanning the metals, energy
and agricultural markets, producing
90 commodities from 150 sites
Metals and minerals
Energy
Agriculture
Exploration, acquisition and developmentOur focus on brownfi eld sites and exploration close to existing assets lowers our risk profi le and lets us use existing infrastructure, realise synergies and control costs.
Extraction and productionWe mine and benefi ciate minerals across a range of commodities, mining techniques and countries, for processing or refi ning at our own facilities, or for sale.
Processing and refi ningOur expertise and technological advancement in processing and refi ning mean we can optimise our end products to suit a wider customer base and provide security of supply as well as valuable market knowledge.
Logistics and deliveryOur logistics assets allow us to handle large volumes of commodities, both to fulfi l our obligations and to take advantage of demand and supply imbalances. These value added services make us a preferred counterparty for customers without such capabilities.
Blending and optimisationOur ability to blend and optimise allows us to offer a
wide range of product specifi cations, resulting in a superior service and an ability to meet our customer
specifi c requirements.
Our commodities in everyday products
Our marketing businessWe move commodities
from where they are plentiful to where they are needed.
Geographic arbitrage
Product arbitrage
Timearbitrage
About Glencore
44 Glencore 2019 Corporate Profi le Australia
A U G U S T 2 0 1 9
D10
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300
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CONTACT
Francis De RosaTel. +61 2 8247 [email protected]
Cass McCarthyTel. +61 2 8247 [email protected]
Glencore Australia Holdings Pty LtdABN 37 160 626 102
Level 44, Gateway1 Macquarie PlaceSydney NSW 2000Australia
T. +61 2 8247 6300F. +61 2 9251 4740
glencore.com.au
@GlencoreAus
facebook.com/GlencoreAus
linkedin.com/company/glencore