kskasiaresourcespresentation150314main-140315045019-phpapp02
-
Upload
invest-stock -
Category
Documents
-
view
214 -
download
0
Transcript of kskasiaresourcespresentation150314main-140315045019-phpapp02
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
1/36
KSK ASIARESOURCES
Creating Future Resources
Copyright 2014 KSK Asia Resources
A presentation prepared for financial service industry
professionals and sophisticated investors
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
2/36
DISCLAIMERThe information set out in this presentation (the Presentation)has been produced by KSK
Asia Resources (the Company)as of January 15, 2014 and is being made available to
recipients for information purposes only. The information set out in this Presentation has notbeen independently verified and may be subject to updating, completion, revision and
amendment. The Presentation does not purport to summarise all the conditions, risks andother attributes of an investment in the Company. The distribution of the Presentation may
in certain jurisdictions be restricted by law. Persons into whose possession the Presentation
may come are required by the Company to inform themselves about and to comply withall applicable laws and regulations in force in any jurisdiction in or from which they invest
or receive or possess the Presentation and must obtain any consent, approval or
permission required under the laws and regulations in force in such jurisdiction, and theCompany shall not have any responsibility or liability for these obligations. No
representation or warranty (express or implied) is made as to, and no reliance should beplaced on, any information, including projections, estimates, targets and opinions,
contained herein, and no liability whatsoever is accepted as to any errors, omissions or
misstatements contained herein, and, accordingly, none of the Company or any of itsdirectors, officers or employees accepts any responsibility for the information, statements,
matters, facts or opinions stated herein, or any liability whatsoever arising directly or
indirectly from the use of or any act or omission undertaken in reliance on thePresentation.
Certain of the information contained herein may include forward-looking statements
relating to the business, financial performance and results of the Company and/or the
industry in which it operates. Forward-looking statements concern future circumstancesand results and other statements that are not historical facts, sometimes identified by the
words believes,expects,predicts,intends,projects,plans,estimates,aims,
foresees, anticipates, targets, may, will, should and similar expressions. Theforward-looking statements contained in the Presentation, including assumptions, opinions
and views of the Company or cited from third party sources are solely opinions andforecasts which are subject to risks, uncertainties and other factors that may cause actual
events to differ materially from any anticipated development. The forward-looking
statements in this Presentation are based on certain assumptions including but not limitedto expectations and assumptions concerning prevailing and future commodity prices and
exchange rates, applicable royalty and tax rates, future well production rates, the
performance of existing and future wells, the sufficiency of budged capital expenditures,the availability and cost of labour, services and equipment, adequate weather and
environmental conditions and ability to successfully construct or expand facilities. None of
the Company or any of its subsidiary undertakings or any such persons, directors, officersor employees provide any assurance that the assumptions underlying such forward-
looking statements are free from errors nor does any of them accept any responsibility forthe future accuracy of the opinions expressed in the Presentation or the actual
occurrence of the forecasted developments. Neither the Company nor its directors
assumes any obligation to update any forward-looking statements or to conform theseforward-looking statements to the Companysactual results.
AN INVESTMENT IN THE COMPANY INVOLVES RISK, AND THERE ARE A NUMBER OF
FACTORS COULD CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OFTHE COMPANY TO BE MATERIALLY DIFFERENT FROM ANY FUTURE RESULTS,
PERFORMANCE OR ACHIEVEMENTS THAT MAY BE EXPRESSED OR IMPLIED BY
STATEMENTS AND INFORMATION IN THE PRESENTATION, INCLUDING, AMONG OTHERS,RISKS OR UNCERTAINTIES ASSOCIATED WITH THE COMPANYS BUSINESS OR
DEVELOPMENT SUCH AS OPERATIONAL RISKS IN DEVELOPMENT, EXPLORATION AND
PRODUCTION, DELAYS OR CHANGES IN PLANS WITH RESPECT TO EXPLORATION ORDEVELOPMENT PROJECTS OR CAPITAL EXPENDITURES, THE UNCERTAINTY OF RESERVE
AND RESOURCE ESTIMATES; THE UNCERTAINTY OF ESTIMATES AND PROJECTIONSRELATING TO PRODUCTION, COSTS AND EXPENSES, MARKETING AND
TRANSPORTATION OF MINERALS, HEALTH, SAFETY AND ENVIRONMENTAL RISKS,
GROWTH MANAGEMENT, FINANCING, MARKET ACCEPTANCE AND RELATIONS WITHCUSTOMERS, AND, MORE GENERALLY, GENERAL ECONOMIC AND BUSINESS
CONDITIONS, POLITICAL RISK AND / OR GOVERNMENTAL INSTABILITY, CHANGES INDOMESTIC AND FOREIGN LAWS (INCLUDING EXCHANGE CONTROL) AND
REGULATIONS, ROYALTY RATES AND TAXES, CHANGES IN COMPETITION AND PRICING
ENVIRONMENTS, FLUCTUATIONS IN COMMODITY PRICES, CURRENCY EXCHANGERATES AND INTEREST RATES AND OTHER FACTORS. SHOULD ONE OR MORE OF THESE
RISKS OR UNCERTAINTIES MATERIALISE, OR SHOULD UNDERLYING ASSUMPTIONS PROVE
INCORRECT, ACTUAL RESULTS MAY VARY MATERIALLY FROM THOSE DESCRIBED IN THISPRESENTATION.THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY
OBLIGATION, TO UPDATE OR CORRECT THE INFORMATION INCLUDED IN THE
PRESENTATION.
The contents of the Presentation are not to be construed as legal, business,investment or tax advice. Each recipient should consult with its own legal, business,
investment and tax adviser as to legal business, investment and tax advice. By
receiving the Presentation you acknowledge that you will be solely responsible foryour own assessment of the market and the market position of the Company and
that you will conduct your own analysis and be solely responsible for forming your
own view of the potential future performance of the Companysbusiness.
2This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
3/36
We are a leading resources company in Asia. Our purpose is to create long-term shareholdervalue through the discovery, acquisition, development and marketing of natural resources.
We are among the worlds leading integrated producers of iron sand and have substantialinterests in the timber and forestry industry. Our unrivalled portfolio of high quality growthopportunities will ensure we continue to meet the changing needs of our customers and theresources demand of emerging economies at every stage of their growth.
ksk
asiaresources
3This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
4/36
Efficiency
Our BusinessOperationsOur Group also undertakes iron sandmining, timber production and sawmillactivities through our subsidiaries inMalaysia. Our core expertise is in thebusiness of iron sand mining in whichwe process iron sand concentrates toother processing facilities.
We are engaged in iron sand miningoperations in Jeli, Kelantan, Malaysiato undertake mining activities. KSK AsiaResources holds the sole and exclusivemining rights with the Government tomine for iron sand in our concessionarea situated at Kelantan of 207.4hectares (512.5 acres).
We also engage in timber production
from our plant located in Kelantan,Malaysia. In addition, we also operatemultiple sawmill factories.
Diversityrofessionalism4This information is subject to the disclaimer on page 2 of this document
KSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
5/36
KSK MINING
SDN. BHD.
KSK CEMERLANG
GROUP SDN.
BHD.
KSK PLANTATION
SDN. BHD.
KSK SAWMILL
SDN. BHD.
KSK TIMBER
ENTERPRISE
100% 100% 100% 100% 100%
5This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
6/36
In every cycle, there are always opportunities.We believe that KSK Asia Resources has anabundance of opportunities.
MISSION:To create long-term shareholder
value through the discovery,acquisition, development andmarketing of natural resources.
VISION: To be a low-cost producerwith
geographic diversificationand low political risk
To exploit theseopportunities with abalance of innovationand discipline
To build a diversifiedportfolioof explorationand developmentsuccesses
6This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
7/36
GROWING
PEOPLE
GROWING
MARGINS
GROWING
SAFETY
GROWING
RESERVES
GROWING
PARTNERSHIPS
GROWING
PRODUCTION
Providing opportunities forpersonal and professionalgrowth; develop people to
their fullest potential
Strong margins KSK Asia Resourcesremains the lowest-cost iron sand
producer and will allow us todeliver our commitment to
shareholders
Enhance abilities torecognize the complexity ofthe task and deal with risk
By replacing the iron sand weproduce, we provide the
resource for future developmentwhich is fundamental for the
long-term viability of ourbusiness
Facilitates the teamwork andapplication of everybodys
collective expertise
Enhance quality and increaseoutput of glass products withtechnological improvements
7This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
8/36
8KSK ASIA RESOURCES . ALL RIGHTS RESERVED
This information is subject to the disclaimer on page 2 of this document
Schedule for 2013-2014
2012
2009-2011
APPLICATION TO SEEK LISTING
IN SINGAPORE.
ADMISSION OF KSK ON SGX-ST(CATALIST).
COMMISSION OF SECONDWASH PLANT
FIRST POUR FROM SECONDWASH PLANT
CONSTRUCTION OF THIRDWASH PLANT
ENTRY INTO NEW GEOGRAPHICAREAS.
ADDITION OF MORE LICENSESAND GEOGRAPHIC AREAS TOTHE PORTFOLIO.
INCREASE PRODUCTIONTARGET 850,000 TONNES PERANNUM
COMPLETED MININGSCHEME REPORT FOR JELIIRON SAND PROJECT
AQUIRES PRIVATE MININGLICENSE TO JELI IRON SANDPROJECT
COMPLETED CLEARING OFOVERBURDEN
FINISHED CONSTRUCTION OFMINING SITE
TRIAL RUN ON THE FIRSTWASH PLANT
TRIAL RUN ON THE SECONDWASH PLANT
INCORPORATED KSK ASIARESOURCES
CONSISTENT Y-O-Y GROWTHIN THE SAWMILL BUSINESS
ACQUIRE 4 SAWMILLFACTORIES IN JELI
DIVERSIFY INTO IRON SANDMINING INDUSTRY
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
9/36
JELI IRONS NDPROJECT
KSK Asia Resources wholly owns the
mining concession of Jeli Iron SandProject in Jeli, Kelantan, Malaysia.
The Jeli Iron Sand Project is located onthe North Eastern border of theMalaysian state of Kelantan, close tothe Thailand border and runs along theKelantan and Perak state border. Thesite is some 125km from the statecapital of Kota Bahru and 35km fromthe local centre of Jeli which has apopulation of approximately 47,500.
9This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
10/36
10This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
11/36
STAGE 1Materials are washeddown from the run of mill(ROM) stockpile into aslurry mixture which will be
transported onto a slurrypump pickupand thenpumped to trundle.
STAGE 2Oversized materials areremoved using atrommel separator.
STAGE 3Miners mossmatsareused to capture fine ironas well as gold particles.
STAGE 4Fine and densematerials fall throughthe screenwhilst lightermaterials will get
washed over.
STAGE 5A slurry pump is usedto transfer productsinto a surge tank.
STAGE 6Ajig separator is used tofurther screen out thematerials.
STAGE 7Magnetic Separator isused to collect the ironfines which are pumpedto the product storagepad.
11This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
12/36
12This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
13/36
13This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
14/36
100% owned by KSK Asia Resources
Production commenced in Q4 2013
Finished product trucked to port in Tok Bali (in Kota Bahru) or Kuantan
Port
IRON CONCENTRATE
Using dry opencast method for mining
Target production of 850,000 tonnes per annumconcentrate atminimum 67.7% Fe
Full scale concentrate production targeted for Q3 2014
Estimate current reserves of 7 million tonnes of iron concentrate
Excavation Estimate
Total mine area = 207.4 ha
Percentage extraction area = 40%
Estimated Workable area = 0.4 x 207.4
= 82.96 ha
Mine Depth = 35.6 m
Total volume of extraction = 82.96 x 35.6 x 10,000
= 29, 533, 760 m3
Mineral Estimate
Estimated iron ore percentage = 10%
Iron ore volume = 29, 533, 760 x 0.1 m3
= 2,953,376 m3
Density of iron ore = 3.5 tonne / m3
= 2,953,376 x 3.5
= 10,366,816 tonnes
Fe content = 67.7%
Tonnage of Fe = 10,366,816 x 0.677
= 6,998,024 tonnes
7,000,000 tonnes
Jeli IronSand Project
14This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
15/36
15KSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
Estimated RevenueFrom Reserve= 7,000,000t x RM 315= RM 2,205,000,000
Estimated Costto recover Iron Sand in reserve= 7,000,000t x RM 80= RM 560,000,000
NET PROFIT= RM 2,205,000,000 RM560,000,000
=RM 1,645,000,000
NET PROFIT PER YEAR= RM 1,645,000,000 / 8 years= RM 205,625,000
S$ 78,297,540/yearExchange rate: S$ 1 = RM 2.6262 (as at 8/2/2014)
ECONOMIC BENEFITSKSK Asia Resources proven and cost-effectiveproduction when applied to reserves candeliver significant economic benefits
ESTIMATED IRON SAND RESERVES
7 Million Tonnes (t)Based on Cloonmore International Report
PRICE OF ONE TONNE OF IRONSAND
RM 315
COST OF RECOVERY OF ONE
TONNE OF IRON SAND
RM 80
This information is subject to the disclaimer on page 2 of this document
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
16/36
FUTUREDEM ND16
KSK ASIA RESOURCES . ALL RIGHTS RESERVED
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
17/36
17This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
Motorisation Urbanisation Industrialisation
Increase in vehiclesmanufactured
Increase in housingconstruction
Increase in productsmade with steel
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
18/36
ASEANhas experienced rapid growth in economicactivity and steel demand. Steel consumption:44mt (2006)63mt (2011).
In 2005, Malaysiaconsumed 6.5million tonnes (mt)of finished steel products. In 2011, this had risen to
7.9mt, and in 2016steel consumption is forecastedto hit10.0mt
Malaysian government has also outlinedRM106billion worth of projects to roll out this year(2014) such as the 316km West Coast Expresswayfrom Banting to Taiping, the construction ofadditional blocks in Hospital Queen Elizabeth inKota Kinabalu, and the RM578million Programme
Perumahan Rakyat that involves the constructionof 16,473 housing units. The government hasestimated a 9.6% growth for the constructionsector( a major driver of steel consumption).
Next major market for steel productsChina, India,Indonesia, Thailand
18This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
19/36
19This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
China has only just reached levels of consumption of a developedcountry
Source: Macquarie Research
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
20/36
20This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
Combined steel import from Asia(China, India, South Korea, Thailand and Indonesia) in 2012 is about 69.3million tonnes, far exceeding the total import quantity from USA, Canada, Mexico, Turkey and Europe.
Source:International Steel Statistic Bureau
Top Steel Importers Worldwide
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
21/36
21This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
TIMBERPRODUCTION
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
22/36
LOG-SORTING.
DE-BARKING
LOG-SAWINGAND
BREAKDOWN
SORTING ANDGRADING
DRYING.
REGRADINGANDSURFACING
22This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
23/36
Long-term demand for logs driven by affordable housingshortage
Wood timber deficit in China
KSK Asia Resources is well-positioned to serve Chinasgrowing need for timber
Housing consumes 80% of softwood
logs and lumber Current urban housing shortage of
6070 million units
Urban households expected to grow
5 million per year for 20+ years
- New immigration 5 million
- Teardowns 2 million- To close gap 24 million
Annual Housing 1012 million
Affordable housing is a top priority
23This information is subject to the disclaimer on page 2 of this document
Source:GaveKal Data
KSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
24/36
China
Leveraging Chinas growth and manufacturing
capability
SpeedSpeed of deliverytime is money
Planning
Planning for scale today and efficiency into the
future
RelationshipsDirect relationships with sub contractors and local
suppliers
CultureKSK Asia Resources unique culture is the key
24This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
25/36
One of Asias leading resources
companies
Strategically located to meet
demand for iron sand in Asia
Deep understanding and
knowledge of iron mining
processes
Integrated iron mining capabilities
Established and diversifiedcustomer base
Professional and experienced
management
25This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
26/36
26This information is subject to the disclaimer on page 2 of this document
KSK ASIA RESOURCES PRESENTATION 2014
Acquire more mineralreserves in Malaysia
Proven & costeffective
production
Consolidate market share in Malaysia and expand into new market territories through licensing and distribution
Licensing & distributioninto international markets
Grow operations inSouth East Asia
Expand footprint ininternational markets
KSK ASIA RESOURCES . ALL RIGHTS RESERVED
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
27/36
Our Mining Strategy
To be the worlds No 1producer of iron sandconcentrate andassociated products
Actions: Develop the Jeli iron
sand deposit to its fullpotential
Secure additional ironsand and iron oreresources
Secure customer off-take agreements for60- 80% of capacity
Implement zero waste
methodology
Secure long-term contractsto supply timber and woodto other wood-relatedbusinesses in the industry
Actions: Identify suitable reliable
timber plantations Develop reliable cost
effective processes andmachinery
Secure cost effectivelogistics solutions
Identify complimentary revenuestreams and growth opportunities
Actions: Evaluate new business
opportunities and partnerships Evaluate additional iron
sand mineral opportunities ie.Ilmenite and zircon
Establish a Vanadium by-product business
Enhance communicationsystems and public relations
Develop humanresource capability
Rigorous capitalmanagement
Enhance commercialcapability
Enhance businesssystem capability
Rigorous cost control
EN BLING STR TEGIES
27This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
IRON MINERALSTIMBER
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
28/36
FIN NCI LST TEMENT
28This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
29/36
29
KSK ASIA RESOURCES PRESENTATION 2014
0
5
10
15
20
25
30
35
FY2010
(A)
FY2011
(A)
FY2012
(A)
FY2013
(F)
FY2014
(F)
RMM
illions
Net Profit After Tax Net Profit Before Tax Profit From Operations
Gross Profit Revenue
KSK ASIA RESOURCES . ALL RIGHTS RESERVEDThis information is subject to the disclaimer on page 2 of this document
KSK Asia Resources' financial performanceAs At 31 December 2013
FORECAST:
With proven record and cost-effective operations, KSK Asia
Resources expects strong organicgrowth to continue
Significant opportunities forcompanies in iron and timber
industry with proven track recordEG: KSK Asia Resources
Companies and state-ownedenterprises in China increasingspendingon timber and iron
Global resources demand growing
Graph shows continued profit growth since 2010
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
30/36
30KSK ASIA RESOURCES . ALL RIGHTS RESERVED
This information is subject to the disclaimer on page 2 of this document
KSK ASIA RESOURCES PRESENTATION 2014
0
5
10
15
20
25
30
FY2010 FY2011 FY2012 FY2013
RMM
illions
R V NU
Revenue
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
FY2010 FY2011 FY2012 FY2013
RMM
illions
N T PROFIT
Net Profit
After Tax
0
0.5
1
1.5
2
2.5
3
3.5
FY2010 FY2011 FY2012 FY2013
RMM
illions
GROSS PROFIT
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
31/36
31KSK ASIA RESOURCES . ALL RIGHTS RESERVED
This information is subject to the disclaimer on page 2 of this document
KSK ASIA RESOURCES PRESENTATION 2014
0
10
20
30
40
50
60
70
80
90
FY2014
(F)
FY2015
(F)
FY2016
(F)
FY2017
(F)
FY2018
(F)
RMM
illions
Profit ForecastNet Profit After Tax Revenue
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
32/36
INVESTMENTSUMM RY
WORLD CLASS RESOURCEPOTENTIAL
Mining Concession in Jeli,Kelantan with plans to investand expand productionfacilities to Indonesia, Chinaand other Asian countries.
PRODUCTIONOPPORTUNITY
Iron Sand productioncommenced in Q4 2013with immediate cash-flow.An estimate of 850thousand tons of iron sandwill be treated annually withthe adoption oftechnologicaladvancements andincrement of treatmentfacilities.
WELL FUNDED VENTURE
Mining and resource assetsof more than SGD 10 million.Ore reserve with estimated8 million tonnes of Ironconcentrate. Estimatedvalue of SGD 800 million.
TECHNOLOGYADVANTAGE
Access to a high-technologysuite through an exclusiveagreement. The technologysuite reduces processing costsand transport costs significantlyand enables shorter time forprocessing.
STRATEGY FOCUSED ONVALUE CREATION FORSHAREHOLDERS
Understanding the valuecreation significance. Highgrade assets in portfolio, uponmaturation, spin-off in separateventures and issue new sharesto existing shareholders.
COMPELLINGVALUATION
Attractive pricing in relation tolocal peers to providefavourable post-IPO share pricepressure.
32This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
33/36
33This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
Wholly owned, freehold mining asset in Asia
Track record of consistent and growing profitability
Earnings Certainty
Proven and cost-effective production
Experienced Board & Management, with strong connections with
Malaysias federal and local state government
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
34/36
34This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
CREATING
SHAREHOLDER VALUE
Fund existingoperations
and expansions
Invest in highreturn organicgrowth assets
Flexibilityfor selective
M&A
RegularDividendgrowth
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
35/36
35This information is subject to the disclaimer on page 2 of this documentKSK ASIA RESOURCES . ALL RIGHTS RESERVED
KSK ASIA RESOURCES PRESENTATION 2014
SHAREHOLDER AFTER PUBLIC PLACEMENT (IPO) OF USD 50 MILLION
Chairman 69.70%
Lenders 10.60%
Pre-IPO investors 20% discount to IPO 7.72%
Public Shareholder 11.97%
Total 100%
CHAIRMAN LENDERSPUBLIC
SHAREHOLD.PRE-IPO
INVESTORS
10.60%69.70% 7.72% 11.97%
KSK ASIARESOURCES
AFTER PLACEMENT
Use of funds SGD MillionIPO 40.00
OutgoingAcquisition of equipment 5.00Placement fees 1.75Business Development 18.07Working Capital 5.18
Surplus 10.00
RATIONALE FOR CHOOSING SGX-ST
1) Offers great liquidity2) Huge demand for Steel companies
Targeting minimum raise ofSGD 40million
200 million sharesat$0.20/share One attaching option/two shares
issued(no additional consideration)
Exercise price of $0.12, expiringthree years from listing date
-
7/27/2019 kskasiaresourcespresentation150314main-140315045019-phpapp02
36/36
36This information is subject to the disclaimer on page 2 of this document
KSK ASIA RESOURCES PRESENTATION 2014
COMPANY ADDRESS
(Singapore)
KSK ASIA RESOURCES
33 Ubi Avenue 3
Vertex Tower B, #07-17
Singapore 408868
(Malaysia)
KSK MINING SDN. BHD.
KSK CEMERLANG GROUP SDN. BHD.
KSK SAWMILL SDN. BHD.
KSK PLANTATION SDN. BHD.
KSK TIMBER ENTERPRISE
Lot 7. Kawasan Industri Jeli,
17600 Jeli, Kelantan Darul Naim,
Malaysia