BCI Minerals (BCI) Noosa Mining Investor Conference summary

Project status and operational progress

• Construction is 70% complete, with all environmental approvals secured as of April and full funding in place.

• First salt shipment is targeted for December 2026, with two-thirds of initial production already sold via off-take agreements.

• The port and 2.4 km jetty are nearly finished, with only a month of work remaining; remaining tasks include crystallizer completion, salt wash plant construction, and minor dredging.

• The project footprint covers 115 sq km, making it Australia's largest and the world's third-largest salt operation at full production.

• The company is on track and on budget, with a recent market cap surpassing AUD 1 billion.

Financial outlook and returns

• At full production, expected annual EBITDA is AUD 286 million from salt and AUD 99 million from sulfate of potash (SOP).

• Dividend per share is projected at AUD 0.068, with potential to rise to 8.8% yield if SOP production proceeds.

• The business model benefits from low sustaining CapEx and strong free cash flow due to the infinite ocean resource.

• Major shareholders include Australian Capital Equity and AustralianSuper, attracted by long-term annuity-style returns.

Market dynamics and strategic positioning

• Global salt demand aligns with GDP, but production is shifting to Asia due to lower energy and labor costs.

• Off-take agreements are secured with buyers in China, Japan, Korea, Taiwan, and Indonesia.

• The port has a 20 million tonne capacity, with 5.5 million tonnes allocated to the company and the rest available for third parties.

• The company is positioned in the lowest quartile of salt producers, with significant barriers to entry due to land and approvals.