#1GR GR ENGINEERING SERVICES LIMITED Investor Presentation FY15 Financial Results#22 Disclaimer 2000 This document has been prepared by GR Engineering Services Limited ACN 121 542 738 (GR Engineering) to provide an overview and update of GR Engineering's activities and FY15 financial performance. Any statements, opinions, projections or other material contained in this document do not constitute any commitments, representations or warranties by GR Engineering and associated entities or its directors, agents and employees. Except as required by law, and only to the extent so required, directors, agents and employees of GR Engineering shall in no way be liable to any person or body for any loss, claim, demand, damages, costs or expenses of whatsoever nature arising in any way out of, or in connection with, the information contained in the document. This document includes certain statements, opinions, projections and other material, which reflect various assumptions. The assumptions may or may not prove to be correct. Recipients of the document must make their own independent investigations, consideration and evaluation of the opportunity to participate in any investment. By accepting this document the recipient agrees that if it proceeds further with its investigations, consideration or evaluation of the opportunity to participate in any investment it shall make and rely solely upon its own investigations and inquiries and will not in any way rely upon the document. GR#3About GR Engineering Mineral Processing ☐ GR Process engineering design and construction contractor servicing the mining and minerals processing industry Specialising in EPC / EPCM contracting to provide project delivery with secure cost, time, plant performance and contract completion warranties and guarantees ■ Australian offices in Perth and Brisbane. Offshore presence in West Africa, United Kingdom, PNG, Indonesia and the Americas ◉ Primary expertise in gold, base metals and industrial mineral commodities ■ GR Engineering operates in a niche market - limited EPC competitors, high barriers to entry Selected Clients NEWCREST MINING LIMITED R Resolute Mining Limited Independence Group € MzI resources Sirius RESOURCES WOLF Minerals Limited WESTERN AREAS LTD Upstream Oil and Gas Services Production Solutions ■ Oil and gas services business providing operations, maintenance and well management services to Australian and South East Asian oil and gas industry Selected Clients Origin 3 2000 BARRICK arrium MINING AND MATERIALS Rio Tinto DORAY MINERALS LIMITED roc AWE GR#4FY15 Results Analysis Revenue EBITDA PBT Op. Cash Flow 2000 Dividend $216.9m $20.3m $17.2m $17.2m $16.8m $42.5m 9.5cps 7.0cps O O O O O $114.2m $18.7m 4 ↑90% ↑18% ↑2% ↑127% ↑36% GR FY15 FY14#5FY15 Results Summary Key Themes Record sales revenue - $216.9 million 2000 ◉ Earnings ☐ Increased operating cash flow construction activity - EBITDA - $20.3 million - disciplined approach to operating costs maintained $42.5 million elevated levels of design and ◉ Operations ■ B " ◉ Balance Sheet 5 Positive results from implementation of growth strategy broader commodity mix and expanded delivery models ― geographical expansion, Successful outcomes being delivered across a diverse range of projects Key awards have provide strong earnings visibility through FY16 and into FY17 Operational capacity maintained to facilitate additional work Net cash of $63.5 million Shareholder returns enhanced with increased full year dividend of 9.5cps (fully franked) GR#6◉ Operational Performance Design and Construction ☐ • • . Positive contributions received from all major projects, including: Hemerdon Tungsten & Tin Project (UK) Keysbrook Mineral Sands Project (WA) Paraburdoo MRP (WA) • Syama Oxide Project (Mali) • Wetar Copper Expansion Project (Indonesia) • Telfer sustaining works projects (WA) ◉ ◉ Larger offshore earnings contributions and projects for non- traditional commodities (tungsten, tin and mineral sands) Benefits obtained from growth strategy materialising TRIFR of 6.3 - focusing on zero harm culture Tungsten & Tin Processing Plant - England Studies and Consulting Completed 31 studies for projects in Australia and internationally Engaged on 14 studies as at 30 June " Activity on projects that are well suited to EPC delivery and across a broad commodity mix Wet Concentrate Plant - Western Australia GR 2000#77 Operational Performance ☐ Upstream Production Solutions ☐ Delivering results within expectation Secured new services contracts in Queensland in FY15 Revenue underpinned by recurrent operations and maintenance contracts FY15 revenue of $31.2 million Order book and pipeline ☐ • Group order book comprised of predominantly Western Australian industrial and precious metals projects (gold, copper, nickel and mineral sands) Significant recent awards for: Nova Nickel Project process plant and infrastructure ($126 million) Forrestania Mill Recovery Enhancement Project (up to $22 million) Contracted and recurrent revenue for FY16 estimated at approximately $220 million GR 2000#8Corporate Summary Capital Structure Share Price Performance 2000 High: 1.170 1.10 Shares on issue E m 150.7 1.05 1.00 Share price (GNG.ASX) (31/08/15) $ 1.10 0.95 Market capitalisation $m 165.8 мам 0.90 0.85 0.80 0.75 0.70 Cash (30 June 2015) $m 64.6 0.65 Debt (30 June 2015) $m 1.1 14 Volume Oct Nov Low: 0.625 Dec 0.60 15 Feb Mar Apr May Jun Jul Aug 400K $m 102.3 200K OK Enterprise Value Directors & Management Joe Ricciardo Geoff Jones Tony Patrizi Barry Patterson Terry Strapp Peter Hood Joe Totaro Non-Executive Chairman Managing Director Executive Director Non-Executive Director Non-Executive Director Non-Executive Director CFO & Company Secretary Shareholder Breakdown 27.4% 17.4% 55.2% ■Directors & Senior Management Institutions ■Other 1. 8 The Company also has 2,295,000 Performance Rights and 942,064 Share Appreciation Rights on issue vesting on various dates with various vesting criteria. GR#9Contact Geoff Jones Managing Director +61 8 6272 6000 [email protected] Joe Totaro CFO & Company Secretary +61 8 6272 6000 [email protected] 6 2000 Australian Office Details GR 179 Great Eastern Highway Belmont WA 6104 PO Box 258 Belmont WA 6984 +61 8 6272 6000 175 Melbourne Street South Brisbane QLD 4101 +61 7 3838 8000 Upstream Production Solutions Level 11, 607 Bourke Street Melbourne VIC 3000 +61 3 8623 9800 20 Container Street Tingalpa QLD 6173 +61 7 3239 5800 GR