Boral Strategic Update and Developments

BORAL Boral Australia capital expenditure Capex above depreciation reflects generational reinvestments Total capital expenditure, $m • Capex in recent years largely reflects Quarry and Cement investments, which will deliver benefits: SIB1 - Growth Depreciation and amortisation 289 284 244 226 203 200 189 204 197 203 I - - Deer Park Quarry (Vic) upgrade - commissioned Orange Grove Quarry (WA) upgrade - commissioned Ormeau Quarry (Qld) upgrade - commissioning Berrima alternative fuels - commissioned Portside clinker grinding facility Geelong (Vic) - due 2020 Recent capex also includes downstream network: - - 111 108 108 - 100 . FY14 FY15 FY16 FY17 FY18 1H FY18 1H FY19 1. Stay in business capital expenditure - Replacement asphalt plant at Canberra (ACT) Project concrete plants for rail precast supply at Perth, Sydney and Melbourne Replacement concrete plant at West Melbourne (Vic) Replacement asphalt plant at Toowoomba (Qld) New concrete plant at Redbank (Qld) Expect similar capex in FY2019 as FY2018, but at slightly lower levels going forward despite capital allocation in FY2020 to complete Geelong facility 11 Focused on delivering benefits from capital projects Strengthening our leading positions and improving our cost competitiveness BORAL Deer Park Quarry • ~$75m capex • New crushing & • screening plant Increased capacity Enhanced product yield with upgraded screening technology Orange Grove Quarry • ~$50m capex • New crushing plant Increased capacity • • Lower production costs improves competitive position Ormeau Quarry • ~$60m capex • • New crushing & screening plant Large capacity plant replacing 3 sub-scale operations • Lower production costs Geelong clinker storage -$130m capex • New clinker grinding import / storage facility Due to complete 2H CY2020 ⚫ Lower cost, increased capacity, expanded product range 12

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