AngloAmerican Results Presentation Deck slide image

AngloAmerican Results Presentation Deck

Commodity outlook - medium to long term Demand is robust in the long term, given its critical role in decarbonisation as well as traditional industrial applications Consensus estimates continue to underestimate the complexity and lead times involved in the commissioning of new supply Copper Nickel PGMs Diamonds Iron Ore Steelmaking coal Crop nutrients ● While use of nickel in batteries continues to expand at pace, stainless steel remains the cornerstone of global nickel consumption, growing at a rate well in excess of economic output, given its range of applications central to modern life Sustainably sourced nickel units are likely to become ever more important Vehicle ownership continues to track overall economic development Delivering aspirations for transportation services will continue to require growth in the total auto fleet - hence all forms of future powertrain from Fuel Cells, PHEV, hybrids as well as pure BEV will be required alongside continued legacy ICE demand Supply expected to be, at most, stable The supply base of natural mined diamonds has been in contraction since 2017 due to a series of mine closures and a lack of major projects Yet, the anticipated expansion of the middle class (+0.5bn by 2030)¹ presents significant continued demand growth potential for diamonds as a luxury product Steel remains essential for all efforts to deliver continued economic development for a growing and urbanising global population and even more so for "green steel" produced from high quality iron ores While the scrap share of steel production will rise over time, the speed at which this happens will not displace the need for continued growth in iron ore supply Contracting investment in mine supply driven by ESG pressures is at odds with the actual observed trajectory for metallurgical coal use in steelmaking The speed of the transition to alternative (scrap and gas based) steelmaking will be constrained by the scale of the integrated steel production capacity that is still to reach the end of its economic life POLY4: Long term demand for fertilisers is secure, being a critical enabler for supplying the ever-expanding crop requirements of the global population from an increasingly constrained area of arable land 1. Source: Brookings. 2030 vs 2020. Includes upper and upper middle income categories. Anglo American 61
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