macquarie australia conference...production commencement q3 2011 initial planned production rate...

Macquarie Australia ConferencePeter Wade, Executive ChairmanMay 2011

� This presentation has been prepared by Mineral Resources Limited (“MRL” or “the

Company”). It should not be considered as an offer or invitation to subscribe for or purchase

any securities in the Company or as an inducement to make an offer or invitation with respect

to those securities. No agreement to subscribe for securities in the Company will be entered

into on the basis of this presentation.

� This presentation contains forecasts and forward looking information. Such forecasts,

projections and information are not a guarantee of future performance, involve unknown

risks and uncertainties. Actual results and developments will almost certainly differ materially

from those expressed or implied.

� You should not act or refrain from acting in reliance on this presentation material. This

overview of MRL does not purport to be all inclusive or to contain all information which its

recipients may require in order to make an informed assessment of the Company’s prospects.

You should conduct your own investigation and perform your own analysis in order to satisfy

yourself as to the accuracy and completeness of the information, statements and opinions

contained in this presentation before making any investment decision.

Disclaimer

2Macquarie Conference May 2011

Process Minerals

Minerals and base metals

processing, logistics, ship

loading & marketing

Crushing Services

Australia’s largest specialist

BOO crushing, screening

and processing contractor

PIHA

Pipeline, services, site

infrastructure, contractor

and polyethylene fittings

manufacturer

Polaris Metals

Specialist Iron Ore

resources company

Mesa Minerals

(64% owned)

Specialist manganese and

technology company

Minerals ProducerService Provider

Mineral Resources


• Christmas Creek BOO iron ore crushing

contract

– plant ramp up phase to nameplate

capacity

– Reference plant for large scale

outsourced crushing opportunities

• Carina (YIOP) iron ore project

– construction schedule on target for first

ore in early FY2012

• Mt Marion lithium operation

– Plant construction and operations on

target for late 2011

• Regional accommodation project

– Major accommodation construction

programme throughout WA

• Utah Point stockyard infrastructure

– Discussions continuing on stockpile yard

development

• Wodgina expansion

– Plant duplication project underway to

facilitate increased demand from

regional customers

• 2011 contract renewal / rollover

programme

– 2011 contract renewals being finalised

• Capital equipment / spare parts

acquisition programme

– Mineral processing equipment

acquisition plan expanded to ensure

additional resources available for new

business opportunities

– Equipment sourced globally

Update - operational targets 2011


Financial history


-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

2006 2007 2008 2009 2010 Apr 2011

$ '0

00

s

Value of an investment of $1,000 in MIN on

float in 2006

0

50

100

150

200

250

300

350

400

FY2007 FY2008 FY2009 FY2010 HY2011

$ m

illi

on

s

Revenue

first half second half

0

20

40

60

80

FY2007 FY2008 FY2009 FY2010 HY2011

$ m

illi

on

s

NPAT (normalised)

first half second half

Balance sheet strength


$AUD millions Mar 11 Dec 10 Jun 10 Jun 09 Jun 08

Total Assets 885.4 881.7 844.8 288.9 223.6

Total Liabilities (302.7) (313.0) (359.1) (144.0) (107.6)

Net Assets 582.7 568.7 485.7 144.8 116.0

Net Cash

Position135.9 66.2 88.2 (11.6) 21.5

Safety performance


Industry Average Source: Worksafe Mining Services category

0

2

4

6

8

10

12

14

16

Ma

r-0

6

Ma

y-0

6

Jul-

06

Se

p-0

6

No

v-0

6

Jan

-07

Ma

r-0

7

Ma

y-0

7

Jul-

07

Se

p-0

7

No

v-0

7

Jan

-08

Ma

r-0

8

Ma

y-0

8

Jul-

08

Se

p-0

8

No

v-0

8

Jan

-09

Ma

r-0

9

Ma

y-0

9

Jul-

09

Se

p-0

9

No

v-0

9

Jan

-10

Ma

r-1

0

Ma

y-1

0

Jul-

10

Se

p-1

0

No

v-1

0

Jan

-11

Ma

r-1

1

LTIFR Industry Average

Yilgarn iron ore district


Exploration - Yilgarn iron ore district


� Carina Extended – further

17 RC holes – resource

estimation in progress

� Chamaeleon – preliminary

12 hole programme –

confirms previous

intercepts – further drilling

planned

� Mayfield – drilling indicates

a high grade magnetite

resource

Carina iron ore project


� First iron ore project in Yilgarn iron ore district

� Environmental and PMP approvals granted

� Management team in place

� Site construction underway

� Mining equipment on-site

� Production commencement Q3 2011

� Initial planned production rate 4mtpa

Christmas Creek BOO contract


� Plant in ramp up phase

� Site operations team in place

� First train load of material

dispatched

� Planning for plant upgrade

from 19 to 25 mtpa

Christmas Creek BOO contract


Poondano iron ore project


� Ore body defined – additional

resource drilling being undertaken.

� Target capacity 1.5 – 2 mtpa

� Production complements MRL’s

north west iron ore capacity

� Logistically attractive, 30

kilometres from Port Hedland

� Projected site commencement for

operation June 2011

Mesa Minerals


� Mesa Manganese Joint Venture

� Partners - Mesa Minerals 50%,

Auvex Resources 50%

� Resource – Ant Hill & Sunday Hill

manganese tenements

� MRL holds 64% of Mesa

Minerals

� MRL agreed to purchase Auvex

Resources via scheme of

arrangement. Scheme in

process for completion in June

2011.

� Manganese technology

commercialisation of assets

Pipeline operations


� Contract lining projects continue at record levels

� Client base consists of major Australian and international resource and oil & gas companies

� High value contracting opportunities available

• Business activity to continue to expand from current levels

• Increased number of integrated business opportunities in infrastructure being assessed

• Labour and resource availability constraints can be managed by experienced operators

• Strong AUD impacts commodity revenue; acts as natural hedge for overseas procurement and project development

• Transport and export infrastructure initiatives a state government priority. PPP model increasingly preferred (eg Utah Point, Oakajee)

Company resource sector outlook


• Major iron ore producers targeting volume growth in substantial iron ore tonnage - opportunities for MRL

• Contract out-sourcing opportunities increasingly attractive to majors to facilitate achievement of growth targets – opportunities for MRL

• Resource sector growth creates opportunities for mid-tier operators to move into production – opportunities for MRL

• Iron ore pricing continues to maintain pricing premium

• Manganese pricing expected to improve in medium term

• Bulk commodity shipping costs reflect increased fleet capacity

Market outlook


FY2011 to date


� Second half result on target to achieve record full

year result

� Balance sheet and cash flow in good shape

� Completion of sale of Windimurra assets

� All projects on time and within budget

� Substantial ongoing commitment to R&D programme

� Business is well placed for continued organic growth

across all operations

macquarie australia conference...production commencement q3 2011 initial planned production rate...

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