Future-Enabling Growth Strategy Update slide image

Future-Enabling Growth Strategy Update

Quellaveco accounting - debt After the initial $0.8bn equity injection by Mitsubishi, the project is now funded 60:40 through shareholder debt Group net debt by the end of the project is expected to include ~$1.9bn debt from Mitsubishi (40% of shareholder debt); which is funded from their 40% share of Quellaveco Illustrative project spend post approval ($5.3-5.5bn project total capex range¹) $bn 2018 2019 2020 2021F 2022F2 2023F2 Total 100% project capex 0.3 1.3 1.3 1.25 1.0 <0.3 5.5 Less: subscription (0.3) (0.5) (0.8) Consolidated net Net capex 0.8 1.3 1.25 1.0 <0.3 4.7 debt (cash funded by Our 60% share 0.5 0.8 0.75 0.6 <0.2 2.8 Anglo and reported within growth capex) Mitsubishi 40% share 0.3 0.5 0.5 0.4 <0.1 1.9 Recognised as Interest on facility Capitalisation of borrowing costs on shareholder facility finance costs³ Reported in 'Other net debt movements' in 2018 - representing cash received but not spent at 2018 year end Reverses with $0.5bn outflow in 2019 'Other net debt movements' representing pre-funded capex 1. Excludes the coarse particle recovery capex approved in February 2021. 2. Project spend extended into 2023 due to more than 6-month Covid-19 related delay. 3. Cessation of capitalisation of borrowing costs once commercial production begins, this is expected following a 12-month ramp up from commissioning. Anglo American Consolidated net debt (cash funded by Mitsubishi but reported within our other net debt movements) 37 52
View entire presentation