2Q16 results Investor and analyst update 16 th August 2016 1 - - PowerPoint PPT Presentation

2Q16 results

Investor and analyst update

16th August 2016

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DISCLAIMER The views expressed here contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. Any forward looking information in this presentation has been prepared on the basis of a number of assumptions which may prove to be incorrect. This presentation should not be relied upon as a recommendation or forecast by Banpu Public Company

• Limited. Nothing in this release should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

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Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

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2018

Portfolio target: ≥20% in renewables by 2025

1.86GW

June 2016 2025

4.3GW 2.4GW

• 4.3GWe by 2025
• Capture new opportunities

from >700GW demand growth in Asia-Pacific over the next four years(1)

• Leverage existing assets and

platform for both organic and inorganic expansion

• ≥ 20% renewables by 2025
• Diversify fuel type for both

conventional and renewable plant

• Balance country and

regulatory risks

• Leverage and strengthen

Banpu Power’s skills and advantages

≥20%

4% EXPAND DIVERSIFY STRENGTHEN 7%

(Operating)

Source: (1) Frost & Sullivan, EIA, CEA, AER, WEO, Cleantechnica

(Operating and committed projects) (Target)

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Banpu’s core skills to achieve renewables target

REGIONAL Positioned in the most attractive growth markets in Asia-Pacific: equity capacity of 4.3GWe by 2025 SYNERGIES Synergies with coal business to provide local expertise and other synergies EXPERTISE Project development expertise from coal-fired projects to leverage in developing renewables FINANCING Project financing capabilities, experienced team, access to capital and strong financial position PARTNERSHIP Partnership access and ability to work with partners to enhance

• verall competitiveness

PIONEER Pioneer in private power for

• ver two decades in Asia,

with solid track-record of value creation PERMITS& PLANNING FEASIBILITY STUDY DESIGN & PROCUREMENT FINANCING CONSTRUCTION COMMISSIONING O&M

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Sources: Power development plans of each country, WEO’s special report on SE Asia

(1) includes hydropower capacity; (2) other Greater Mekong Subregion comprises Cambodia, Laos, Myanmar, and Vietnam; (3) other South East Asia comprises Malaysia, Singapore, Philippines, East Timor, and Brunei

*DISCLAIMER No representation or warranty is made as to the accuracy, completeness or reliability of the views, information as indications expressed here. This slide should not be relied upon as a recommendation or forecast by Banpu Public Company Limited. Nothing in this slide should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

79%

11%

THAILAND** JAPAN

Source: Frost & Sullivan, AER, EIA Note: Bubble size not drawn to scale * Exclude hydro; ** As of 2014

PHILIPPINES 70%

22%

8%

CHINA LAOS

Renewables* 146GW Hydro 307GW 33GW

Wind

2GW 0.1GW 6 GW Hydro 6GW

Solar Geothermal

Hydro 50GW Hydro 3GW

Wind

Wind INDIA AUSTRALIA

Hydro 8GW

Solar

68% 28%

0.2GW 16GW

VIETNAM** INDONESIA

Asia-Pacific renewables installed capacity 2015

Biomass

Solar Unit: GW

13%

74%

13%

Hydro 45GW

Wind

3GW

55%

46% 47%

39GW

Wind

Hydro 5GW 5GW Hydro 3GW Hydro

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Sources: Power development plans of each country, WEO’s special report on SE Asia

(1) includes hydropower capacity; (2) other Greater Mekong Subregion comprises Cambodia, Laos, Myanmar, and Vietnam; (3) other South East Asia comprises Malaysia, Singapore, Philippines, East Timor, and Brunei

Asia-Pacific renewables growth 2015 – 2020

COUNTRIES SELECTED ARE FOR EDUCATIONAL PURPOSES ONLY* 2020 48% 52% 2015 686 32% 68% 453 18 2020 50% 33% 67% 2015 12 50% 2020 3 5% 2015 4% 7 95% 96%

60% 2020 129 2015 83 61% 39% 40%

JAPAN LAOS THAILAND

Hydro Year Renewables

CHINA

+184

+233

+46

+46

+4

+6

+0.1

+4

• >250GW capacity

growth from renewables is expected in the next four years

• Major growth in absolute

MW would come from China, Japan and India

• Renewable energy

excluding hydro is expected to constitute c.20% of total generating capacity in Asia-Pacific* by 2020

• Potential upside with

technology advancement

+49 +4 +2

6 46% 2020 2015 54%

No breakdown available

PHILIPPINES

2020 8 19 45% 38% 2015 55% 62%

INDONESIA

+7 +4

+11

*DISCLAIMER No representation or warranty is made as to the accuracy, completeness or reliability of the views, information as indications expressed here. This slide should not be relied upon as a recommendation or forecast by Banpu Public Company Limited. Nothing in this slide should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

AUSTRALIA

Note: Map not drawn to scale Source: Frost & Sullivan, EIA, CEA, AER, WEO, Australian Gov’t, RET, Cleantechnica 2020 91% 2% 98% 16 2015 9% 23

VIETNAM

+2

+7

+5

INDIA

2020 53% 47% 2014* 84 124 54% 46%

+27

+40

+13

Unit: GW

19 59% 2020 58% 42% 2015 13 41%

+6

+6

+0.5

* Note: But in Laos and Vietnam it is likely to be much less than 20%

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Japan renewables market

Note: As of June 15, 2016. All plants capacity is based on an as-completed basis includes capacity expansion currently under development. Source: JWPA, IEA, Agency of Natural Resources and Energy, Institute for Sustainable Energy Policies, METI, EIA Geothermal Report

Operational solar Developing solar

64 28 2020 2015

RENEWABLES TARGET BY TYPE Unit: GW

4 2020 2015 0.5 1 1 2013 2020

BANPU’S POWER ASSETS IN JAPAN

4 11 2015 2020

Mukawa 17 MW Yabuki 7 MW Olympia 10 MW Hino 3.5 MW Awaji 8 MW Nari Aizu 20 MW Onami 16 MW Yamagata 20 MW

* Banpu’s effective ownership is between 40-75%

• Renewables to constitute 22-24% of total power

generation capacity by 2030

• Solar, wind and biomass are primary generating

resources

• FIT is generally reviewed annually and reduced
• vertime to control capacity
• FIT could be replaced by auction process for large

solar projects in 2017

• Tax holiday was removed for commercial solar

installation in Mar’16 while other renewable energy’s tax incentives remain Solar Wind Biomass Geothermal

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China renewables market

Source: Climatenexus, Bloomberg New Energy Finance, Sciencedirect, The Climate Group, Cleantechnica

100 2020 200 2015 2030 400 33 100 2030 310 2020 2015 59 30 13 2030 2020 2015

• Renewables to constitute 15% of total power

generation capacity by 2020 and 20% by 2030

• Government’s target for 2-10% by 2020 of each

province’s consumption to come from non- hydro renewables, primarily wind, solar, and biomass

• FIT for solar PV and wind was cut in 2016 in
• rder to regulate development
• Incentives include capex subsidies, tax

reduction/exemption, *license exemption

* For under 6MW projects RENEWABLES TARGET BY TYPE Unit: GW BANPU’S POWER ASSETS IN CHINA

Huineng (100%) 20 MW Haoyuan (100%) 20 MW Jinshan (100%) 30 MW Luannan (100%) 123 MWe Zhengding (100%) 139 MWe SLG (30%) 1,320 MW Zouping (70%) 180 MWe

Biomass

Huien (100%) 20 MW

Wind Solars

Operational coal-fired Developing coal-fired Operational solar Developing solar

As of June 2016

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Thailand renewables market

Source: Sunwindenergy, AEDP, Thai German Cooperation, EPPO

2 2021* 3 2015 6 2036*

RENEWABLES TARGET BY TYPE Unit: GW

6 5 2 2015 2021* 2036* 3 2 2036* 2021* 2015 0.2

• Renewables to constitute 25% of total power

generation capacity by 2021 and 30% by 2036

• Solar, biomass and wind are priority
• Replaced adder program with FIT for solar (Oct

2014). Available FIT for other renewables

• Incentives include tax reduction, import duties

reduction/exemption, permission to own land, etc.

0.5 0.2 0.1 2036* 2021* 2015

* Alternative Energy Development Plan

BLCP (50%) 1,434 MW

BANPU’S POWER ASSETS IN THAILAND

Wind Biomass Waste

Operational coal-fired

Solar

Thai Solar Up to 4.1 MW (Under construction)

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Capacity presented on a 100% basis

DISCLAIMER The views, information and indications expressed here including forward looking targets and indications are illustrative only, are subject to change, may be based on incorrect assumptions, and have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the views, information as indications expressed here. This slide should not be relied upon as a recommendation or forecast by Banpu Public Company Limited. Nothing in this slide should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

Diversified portfolio in high growth countries

Banpu’s ownership Under development

SLG 1,320 MW Hongsa 1,878 MW

Operation

Japan solar 102 MW

Thailand Other Asia-Pac Greater Mekong

Solar

50%

Equity

40% BLCP 1,434 MW China solar 90 MW China CHP 273 MW 948 tph

LN and ZP expansion (25MW and 150tph each)

China China Indonesia Biomass Wind Coal-fired Cambodia Laos Japan Myanmar Laos Vietnam

Considerations :

• Strategic fit
• Regulations
• Risks
• Financing
• Economics

70-100% 30% 40-75% 100%

Thai Solar

Up to 4.1 MW 100%

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Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

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2016e OUTPUT (ROM EQUITY BASIS) Wollongong

PKCT Airly Neubeck Angus Place Clarence Springvale Mandalong Myuna Newstan

Sydney

PWCS

Newcastle

Inglenook

Project Underground mine Port Power station Road Rail C&M 4

WESTERN OPERATIONS: 2016e: 5.5 Mt NORTHERN OPERATIONS: 2016e: 7.5 Mt NCIG

2016e output: 13.0 Mt KEY UPDATES

Production

• 2Q16 Equity ROM: 2.8 Mt (down 8%

YoY). (Note: 2Q15 included production from Charbon – since exhausted).

• Two planned longwall changeovers

during the period, with Mandalong achieving a record 14.5-day changeover.

• Following the 2014/15 decision to

focus on higher margin operations, Centennial continues to deliver cost improvements, production and productivity records.

ASP

• 2Q16: ~A$59/t vs 1Q16: ~A$63/t –

with ASP impacted as a result of the timing of domestic deliveries into lower priced legacy contracts.

• 2Q16 Sales volume down 2% YoY,

11% QoQ – as a consequence of lower longwall production.

• Domestic: export split 61%:39%

(2015: 62%:38%) – in part responding to lower production and export price recovery.

Note 1: Mannering placed on “Care & Maintenance” November 2012 – benefiting from new production sharing arrangement with neighbouring mine. Note 2: NCIG = Newcastle Coal Infrastructure Group; PWCS = Port Waratah Coal Services; PKCT = Port Kembla Coal Terminal. Note 3: Newstan (1 August 2014) and Angus Place (February 2015 ) placed on care & maintenance.

Australia coal: operational and financial summary

2Q16 YoY QoQ Sales revenue A$179M ▼ 9% ▼ 17% EBITDA A$34M ▲ 6% ▼ 15% PBT A$(7)M ▲36% ▼65% NPAT A$(5)M ▲33% ▼72% Gearing

(Net debt to net debt + book value of equity)

39%

FINANCIAL SUMMARY

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Australia coal: Northern operations quarterly output

COAL OUTPUT (Mt)1 CV: 6,700 kcal/kg2

1.1 1.8 0.8 1.8 1.2 1.8

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

0.5 0.4 0.3 0.4 0.3 0.4

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

Mandalong

• Quarterly production down 30% QoQ, but up 10% YoY, with 2Q16 production

impacted by a planned longwall changeover.

• 2Q16 – Production recommenced in early June, with the changeover completed in

a record 14.5 days “coal-to-coal” surpassing the previous record of 19 days. Myuna

• Quarterly production down 7% QoQ, and 27% Y0Y.
• A shift roster change is being implemented in 3Q16, to provide additional
• perating hours in the Panel (increasing operating time from 8 to 10 hrs to

compensate for increasing travel times).

• A second Super Panel to be introduced over the next twelve months replacing the

existing Place-Change Mining Panel. This will provide greater flexibility to secure variable roof conditions more quickly and efficiently; with the benefit of improved coal quality, than can be delivered from a place-change panel. COMMENTS

• Decision made to return mine to care

and maintenance – effective 1 August 2014

• 8Mt Northern Coal Services state

approval received, underpinning the Newstan extension project for when coal industry economics improve.

Note: 1 ROM output on an equity basis 2 CV figures are air-dried basis 3 Longwall LW3 MOVE SCHEDULE Mth 1 Mth 2 Mth 3 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 4Q16e

3 wks 3 wks

MYUNA

COAL OUTPUT (Mt)1 CV: 6,700 kcal/kg2

NEWSTAN EXTENSION MANDALONG

2 wks

3 wks

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Springvale:

• 2Q16 production down 54% QoQ and 40% YoY – with a planned longwall changeover, which

commenced in May 2016 with production now recommenced.

• Improved productivity has enabled the mine to achieve similar YTD production to 2015 and a

forecast full year increase in production.

• Legal challenge to Springvale approval process – judgment awaited.

Clarence:

• 2Q16 production up 34% QoQ and 25% YoY.
• New weekly and monthly production records achieved in 2Q16.
• The FCT 4 continues to perform well and is on target to achieve 1 million tonnes in its first full

12 months following its overhaul in late-2015. The FCT has now moved into an extraction phase. Airly: Production up 5% QoQ and 25% YoY – achieving a new monthly production record since re-opening in June 2014.

OTHER OPERATIONS

COAL OUTPUT (Mt) 1 CV: 6,700 kcal/kg 2

0.6 0.0 0.6 0.7 0.3 0.5

COAL OUTPUT (Mt) 1 CV: 6,700 kcal/kg 2

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 1 ROM output on an equity basis: Angus Place and Springvale 50%, Clarence 85% and Charbon 95% 2 CV figures are air-dried basis 3 Longwall 4 Flexible Conveyor Train Note: Following material overflow in reject emplacement area at Clarence in July, authorities were notified and actions were taken in compliance with NSW Environmental Protection Authority Clean-up Notice. The clean-up operation has now been completed.

COMMENTS

Mth 1 Mth 2 Mth 3 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 4Q16e

LW 3 MOVE SCHEDULE

12 wks

SPRINGVALE CLARENCE

0.6 0.7 0.8 0.5 0.7 0.7

COAL OUTPUT (Mt) 1 CV: 6,700 kcal/kg 2

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

0.2 0.3 0.1 0.2 0.2 0.2

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 2 wks

Australia coal: Western operations quarterly output

5 wks 3 wks

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• Continued focus on cost control and

productivity, driven by step-change in productivity programme and increasing LW(1) automation.

• On a like-for-like basis, productivity

continues to improve, with several production records achieved across the Centennial group.

• 2Q16 over 1Q16 cost improvement

reflects a continued focus on cost efficiency and timing associated with the longwall changeover accounting (with both Mandalong and Springvale on changeover during 2Q16).

• Targeting a YoY reduction in unit

costs.

• Distribution cost reduction –

improving rail logistics e.g. recently successfully trialed a 100 wagon distributed power coal train from the western coalfields to NCIG.

AVERAGE PRODUCTION COSTS COMMENTS 10 20 30 40 50

60

FY14 2Q General expenses Open-cut contractor cost Repairs & maintenance Stores & supplies Labour Depreciation

* These figures do not include selling, distribution and royalty costs; based on ‘sold’ production

(1) Longwall

$49 A$/t $50 $49

1Q 2Q 3Q 4Q

2015

FY15 1Q FY16E

$46 $45 $54 $48 2016 $52

Australia coal: operating costs

FY13

$52 $44

Cash overhead Coal handling & preparation

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• Domestic contracts provide

regular monthly cash flows

• “New” re-priced domestic

contracts improve domestic revenues as new prices reflect long-term export parity.

• Legacy contracts conclude at end
• f June 2022.
• Average base price expected to

escalate based on key indices.

• Consistent with Centennial’s

philosophy of maintaining a strong domestic base, domestic sales represent up to 70% of total Centennial group sales.

• These re-priced domestic sales

underpin Centennial’s business.

Australia coal: domestic contracts

AUSTRALIA COAL: DOMESTIC CONTRACTS

Note: Presented on 100% basis for illustrative purposes

2 4 6 8 10 12

2012 2013 2014 2015 2016F 2017P 2018P 2019P 2020P 2021P Legacy New Unit : Mt

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Indonesia coal: operational and financial summary

PRODUCTION OUTPUT 2016 FINANCIAL SUMMARY

East Kalimantan

Bunyut Port Balikpapan Palangkaraya Banjarmasin

Central Kalimantan South Kalimantan

Kitadin - Embalut 1.1 Mt Indominco 16.0 Mt Trubaindo 6.0 Mt Bharinto 2.5 Mt Jorong 1.0 Mt

Samarinda Jorong Port Bontang Coal Terminal Captive coal- fired power project

KEY UPDATES 2016 target: 26.6 Mt

• Indominco : 2Q16 production is according to

target.

• Trubaindo: 2Q16 production higher than plan due

to good mining performance at June 2016.

• Bharinto: 2Q16 production is according to target.
• Kitadin Embalut : 2Q16 production is according

to target

• Jorong: 2Q16 production output was slightly lower

than target due to rainy days affecting mine production.

2Q16 YoY QoQ Sales revenue US$278M ▼ 30% ▼ 16% EBITDA US$32M ▼43% ▼ 37% NPAT US$13M ▼ 34% ▼ 42% Gearing

(Net debt to net debt + book value of equity)

n.a. CAPEX US$5M

19 0.3 0.3 0.3 0.3 0.2 0.2 0.3 0.3 0.3 0.3 0.3 0.3

CV: 5300 kcal/kg** STRIP RATIOS (bcm/t) 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

5.4 10.5 4.6 13.8

Indonesia coal: quarterly output

Note: *Output figures are 100% basis **CV figures are air-dried basis

JORONG

EMBALUT AND JORONG INDOMINCO - BONTANG TRUBAINDO - BHARINTO

E BLOCK TDMY W BLOCK INDOMINCO TDMY TRUBAINDO BHARINTO TRUBAINDO BHARINTO EMBALUT JORONG EMBALUT EAST WEST

COAL OUTPUT (Mt)* CV: 5950 - 6250 kcal/kg** COAL OUTPUT (Mt)* CV: 6550 - 6700 kcal/kg** COAL OUTPUT (Mt)* CV: 5800 kcal/kg** 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

3.2 2.9 2.8 3.1 3.5 3.6 0.3 0.3 0.4 0.8 0.5 0.4 0.7 0.6 0.6 4.2 3.8 3.8 3.9 4.0 4.0

STRIP RATIOS (bcm/t)

20.7 7.3 6.6 17.1 9.5 3.8 14.4 11.4

2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

1.9 2.0 1.7 1.2 1.4 1.6 0.7 0.7 0.9 0.5 0.6 0.7

STRIP RATIOS (bcm/t) 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16e

2.7 2.6

8.2 5.3

2.6

7.8 9.0 7.8 3.6 4.6 12.6

1.7

13.8 7.8 8.3 6.4 3.9 13.2

2.0

17.7 7.1 8.4 6.8 4.3 7.9

2.3

13.6 7.8 8.2 7.1 5.6 10.4

20

• 10

20 30 40 50 60 70

FY13 FY14 1Q 2Q 3Q 4Q FY15 1Q 2Q FY16

Indonesia coal: total costs

* Repair and maintenance, salaries and allowances, etc.

COMMENTS

• Continue to

implement cost reduction programs:

• Optimize strip ratios,

reduce overburden distance, overhaul parts, IPCC

• ptimization
• Lower explosive cost,

ship-loading cycle time, barging negotiation

• The fall in oil price has

also helped ITM to reduce cost further

INDICATIVE AVERAGE TOTAL COSTS

Mining cost Other production costs* Depreciation & amortisation SG&A expenses Royalty

$52 $59 $52 $42

U$/t

$48 $46

2015 FY16

$49 $43

2016

$62 $43

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CHINA COAL 2016 PRODUCTION

1.9 2.1 2.7 2.5 2.6

3Q15 4Q15 1Q16 2Q16 3Q16E

BEIJING

Hebi (40%), Henan 1.2 Mt Gaohe (45%), Shanxi 9 Mt

Note: * Output figures are ROM output (100% basis) ** CV figures are air-dried basis *** Exchange rate of 2Q16is RMB 6.54/USD

Gaohe

• 2Q16 production increased from 1Q16 due to good mining

conditions and higher sales;

• Market showed short-term recovery signal mainly due to

the government policy of cutting down coal production and supplying;

• Selling price increased due to better demand supply

balance due to the above mentioned production control policy.

Hebi

• Underground working area improvements: enhance dust

control in underground working areas; closely monitoring the gas and CO2 conditions in development areas adjacent to goaf(1) and increase safety management on gas control. OPERATIONAL UPDATES

Summary 3Q15 4Q15 1Q16 2Q16 Sales (Mt) 1.9 2.2 1.9 2.4 ASP (US$/t) 49 41 37 41 Revenue (US$ M) *** 87 91 69 96 COGS (US$/t) 40 42 36 38 EBITDA (US$ M) 9 12 21 26

Operation Project Operation Project POWER COAL

Gaohe CV: 6500-8000 Kcal/kg**

3Q15 – 2Q16 COAL OUTPUT (Mt ROM)

3Q15 4Q15 1Q16 2Q16 3Q16E

China coal: operational summary

Hebi CV: 5300-6800 Kcal/kg** 0.3 0.3 0.3 0.3 0.2

Note: (1)Part of a mine from which the mineral has been partially or wholly removed

22 UNST KHUDAG AND ALTAI NUURS PROJECTS TSANT UUL PROJECT

* Mineral Resources Authority of Mongolia

Unst Khudag Project

• Received MRAM* approval of the coal

mining Feasibility Study

• Continuing water resource modeling and

development

• Currently conducting preliminary

feasibility program for coal conversion and power facility scenarios including technical and market related studies Altai Nuurs Project

• Submitted mining licenses application in

June.

• Product testing results have been

favorable which indicates suitability for certain market segments in China.

• The technical pre-feasibility study and

market study for commercial-scale development will be conducted in 3Q16

OVEN PLANT INSTALLATION

Mongolia coal: project developments

23

Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

24

Global thermal coal market trends: 2016 vs 2015

China*

Domestic supply-side reform, rising domestic coal prices

India

Low power plant utilization due to financial loss; increased domestic coal production

Other N.Asia

• Europe

Low UK imports; gas-switching; Coal plant retirements and increased renewable energy

Others

Vietnam, S. Korea, Philippines and Malaysia expected to add c.15 Mt of demand

Global Indonesia

Heavy rain; partly successful in clamping down illegal mining

Australia

Producers discipline tighten supply; cost reduction continues

Colombia

Retreat supply to Asia as freight rates recovered

Russia

Low freight rates and weak Ruble keep Russian coal competitive

• S. Africa

Rail maintenance help to tighten supply; rising domestic demand

USA

Available gas; deep production cuts; export not competitive

Others Global SUPPLY TRENDS DEMAND TRENDS

China’s steep decline appears to have bottomed out. Growth is expected from SE Asian economies. The coming winter is likely to boost thermal coal demand in N. Asia and may cause a short supply of HCV product.

Note: *includes anthracite and lignite

Major exporting countries have impacts from heavy rainfall. Supply side looks to be under more control.

CHANGE 2015-16 (MT.) COMMENTS

[-3 to -13 Mt]

CHANGE 2015-16 (MT.) COMMENTS

+7 +6 +6

• 19
• 14

+25

• 6

+2

• 13

+0 +1 +2 +5

• 13

25

COMMENTS

Note: *includes anthracite and lignite imports/exports

CHINA ANNUALIZED ACTUAL IMPORT 1Q13-2Q16* CHINA THERMAL COAL IMPORTS/EXPORTS* 137 178 235 252 229 156 181 18 11 8 6 5 4 10 2010 2011 2012 2013 2014 2015 2016F Import Export

Sources: Banpu MS&L Estimates

Unit: Mt Unit: Mt

CHINA

• The 276-working days policy reduces coal

production significantly.

• Domestic coal prices continued picking up.
• Imports are likely to remain relatively high in

2H16 and will continue to absorb some of the excess seaborne exports.

• Heavy rainfall in southern part increases

hydro power output.

• Government aims to reduce capacity by 10%
• r c.500 Mt within the next three years.
• Met coal imports likely 10 to 15 Mtpa up, and

restructuring supports international demand

Source: www.sxcoal.com/cn 31 July 2016

CHINA DOMESTIC COAL PRICES

Unit: RMB/t 251 242 244 270 284 232 199 201 153 160 167 145 148 176 7 7 6 5 7 4 4 5 2 5 5 4 10 6 1Q13 3Q13 1Q14 3Q14 1Q15 3Q15 1Q16 Import Export

China thermal coal market review

200 400 600 800 1,000 May-12 Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 May-14 Jul-14 Sep-14 Nov-14 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16

> 5,800 kcal/kg > 5,500 kcal/kg > 5,000 kcal/kg

476 450 405

26

COMMENTS

INDIA THERMAL COAL IMPORTS* INDIA ANNUALIZED ACTUAL IMPORT 1Q13-2Q16

Sources:: HDR, Banpu MS&L Estimates

131 159 135 120 126 163 168 197 171 180 142 161 149 171 1Q13 3Q13 1Q14 3Q14 1Q15 3Q15 1Q16

Unit: Mt Unit: Mt

• Strong economy and low hydro increased coal-

fired generation in Q2. However, recent monsoon arrival is likely to boost up hydro power in Q3.

• Strong domestic production with high stocks

reduced imports.

• The coal-fired power plant utilization levels

remain low. Power distribution companies still struggling to increase power off-take due to their financial loss.

• Government initiatives to promote “India-first”

coal consumption in order to “eliminate” imports look questionable as coal imports still have an advantage for coastal coal-fired power plants.

INDIA

Note: *includes lignite grade imports

68 87 107 136 163 164 150

2010 2011 2012 2013 2014 2015 2016F

India thermal coal market review

27

(1) Excluding Mongolia coal (2) Sales from Indonesia are included on 100% basis, sales from Australia and China are included on equity basis

COAL SALES(1) SOURCE – DESTINATION ANALYSIS 2016 GLOBAL COAL SALES(2) 2016 BY REGION

THAILAND HK CHINA TAIWAN ITALY

4.0 1.3 6.1 0.1 0.8

INDIA

4.0 Mt 2.4 Mt 10.2 Mt 0.6 Mt 2.3 Mt 0.1 Mt 6.4 Mt 2.2 Mt

JAPAN

1.2 5.2

MALAYSIA

0.3 Mt

INDONESIA

3.7 Mt

PHILIPPINES

2.1 Mt

AUSTRALIA

9.4 Mt

OTHERS

0.9 0.8 1.7 Mt Indonesia coal Australia coal China coal

Japan, 14% Korea, 5% Taiwan, 5% China , 22% Australia 21% SE Asia 19% India 9% Others, 5%

* Illustrative target ** Include coal sales from domestic production in China S KOREA

1.4 0.9

Banpu group coal sales 2016e

45.4

Mt(2)

**

28

Indicative 2016 Banpu coal sales pricing status

36% 33% 24% 5% 3%

Indexed Fixed Export Domestic: long-term export parity

13.7

Mt*

AUSTRALIA COAL

Domestic: legacy Unpriced

Note: *Target Sales

Fixed 77% 9% 3% 11%

Fixed Indexed

27.7

Mt*

INDONESIA COAL

Unpriced Unsold

29

* Included post shipment price adjustments as well as traded coal ** The Newcastle Export Index (previously known as the Barlow Jonker Index – BJI)

• 2Q16 ASP eased due to general market

weakness, JFY15/16 term effected as well as product mixes – ITM ASP was 6% down Q-o-Q – CEY ASP was 5% down Q-o-Q

• NEX benchmark prices remained weak

during Q2 with signs of recovery already showing in Q3

ITM ASP 2Q16 $46.4* (-6% QoQ) CEY ASP 2Q16 A$61.8* (-5% QoQ) NEX** Aug 11, 2016 $67.3 Unit: $/t 20 40 60 80 100 120 140 160 180 200

Jan-07 Jul-07 Jan-08 Jul-08 Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16

Monthly NEX Quarterly ITM ASP Quarterly Centennial ASP

BANPU ASP VS BENCHMARK PRICES COMMENTS

Banpu ASPs vs thermal coal benchmark prices

30

Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

31

Banpu Power: 2Q16 overview

THAILAND

• BLCP: continued

strong EBITDA of $49M JAPAN – SOLAR

• One additional

Japan project Hino 3.5MW began

• perations in May,

making total solar

• perating capacity

13.5MW(1) LAOS

• Hongsa: EBITDA

increased 83% QoQ from $43M to $79 mainly from increased availability energy payment CHINA

• BIC: EBITDA

maintained at comparable YoY level

• SLG: completed

de-sulphur foundation area and 4th batch

• f auxiliary

equipment bidding CHINA – SOLAR

• Obtained rights to

acquire four projects with 90MW in which 70 MW from 3 projects already in

• peration
• Remaining 20 MW

is expected to COD in September 2016

32

USD million

Energy Payment (EP) Dispatch (%)

Q-Q : 5.3% Y-Y : 4.7% Q-Q : -1.2% Y-Y : -5.1%

Total revenue EBIT EBITDA

Q-Q : -0.9% Y-Y : 9.4% Q-Q: -2.2% Y-Y: -5.6% Based on Banpu’s 50% interest

Equity income

Thailand power: BLCP in 2Q16

USD million

Availability Payment (AP)

Q-Q : 9.1% Y-Y : -1.3%

FX Loss

Q-Q : 3.7% Y-Y : -0.9%

14

• 2
• 3

23

2Q16

7 22

1Q16 2Q15

FX Loss

70.5 63.8 69.6 2Q15 1Q16 2Q16 70.1 77.4 76.7 2Q15 1Q16 2Q16

146.5 145.6 153.4

2Q15 1Q16 2Q16

94.6 97.9 99.5

2Q15 1Q16 2Q16

FX Gain

51.0 48.8 50.6

2Q15 1Q16 2Q16

51.5 49.5 48.9

2Q15 1Q16 2Q16

20 21 20

33 84.4 76.1 137.3 4Q15 1Q16 2Q16 9.4 1.0 13.9

0.4 0.3 (0.9)

4Q15 1Q16 2Q16

USD million

Energy Payment (EP) Dispatch (%)

Q-Q : 80.4% Q-Q : 82.5%

Total revenue EBIT EBITDA

Q-Q :71.5 % Q-Q: 872% Based on Banpu’s 40% interest

Equity income

Thailand power: HPC in 2Q16

USD million

Availability Payment (AP)

Q-Q : 86.7%

1.3

FX Loss

9.8

Q-Q : 85.2%

FX gain

53.5 43.1 4Q15 1Q16 2Q16 53.3 41.4 76.6 4Q15 1Q16 2Q16

13.0

FX gain

94.8 100.0 100.0

4Q15 1Q16 2Q16

51.4 49.9

4Q15 1Q16 2Q16

35.5 25.4 43.6

4Q15 1Q16 2Q16

93.2 78.7

34

2Q15 1Q162Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16

57.2 102.3 51.8 22.2 59.9 21.3 36.7 36.7 35.7 1,998 1,149 1,205 1,766 1,702

1,510

2,122 1,403 1,418 0.39 0.39 0.42 0.31 0.32 0.36 0.37 0.37 0.41 315 316 357 407 401 457 302 294 357 58.1 77.9 21.6 97.4 107.5 103.9 53.0 124.9 22.9

China power: BIC in 2Q16 (100% basis)

Note: *Unaudited figures, **Including transportation

Luannan

Hebei Province Power 100 MW Steam 128 tph (Banpu 100% )

Zhengding

Hebei Province Power 73 MW Steam 370 tph Chilled water 35 MW (Banpu 100%)

Zouping

Shandong Province Power 100 MW Steam 450 tph (Banpu 70%) Sales* (RMB$M) EBITDA (RMB$M) Utilization (hours) Power tariff (RMB/kwh) Coal price** (RMB/t)

BIC

2Q15 1Q16 2Q16

According to seasonal business nature of peak heating season in Q1, the 2Q16 EBITDA was at comparable YOY level: USD 0.9M lower due to lower power sales. According to seasonal business nature of peak heating season in Q1, the 2Q16 EBITDA was at comparable YOY level: USD 1.3M higher due to higher heat sales As client’s demand was generally stable but slightly drop due to no heating load, EBITDA in 2Q16 was USD 1M lower than YOY and 1Q16.

35

Shanxi Lu Guang update

• 24% completion as of July 2016
• Chimney construction has

reached 21 meters; the foundation construction of de- sulfur area has been completed; the fencing wall construction was

• n going
• 4th batch of auxiliary equipment

bidding has been finished

• One natural draft cooling tower

for 2 units

• Obtained full financial

commitment from lenders

Cooling tower Unit #2 foundation Chimney

Construction progress

Construction reached 21 meters De-sulfur area foundation completed Cooling tower construction rapid progress

Overall progress approx. 24% on schedule (as of July 2016)

36

Japan solar update

*Banpu effective ownership is between 40-75%

Hino 3.5 MWAC Awaji (COD 2017) 8 MWAC Mukawa (COD 2018) 17 MWAC Nari Aizu (COD 2018) 20 MWAC Olympia 10 MWAC

Tokyo

Japan solar portfolio

• Hino 3.5MW commenced
• perations in May
• Awaji completed project

financing and started construction

• Nari Aizu and Mukawa

are in the process of project financing

• YTD performance

1,956MWh, 15.45% capacity factor

• TK Distribution 2Q16

$0.8 M

Construction solar Operation solar Development solar

Hokkaido Honshu Shikoku Kyushu Onami (COD 2018) 16 MWAC Yamagata (COD 2018) 20 MWAC Yabuki (COD 2018) 7 MWAC

China solar: investment progress

• BPP obtained rights to acquire

100% in four solar projects for total 90MW

• 70MW from three projects have

already been in operation as of August 2016

• The remaining 20 MW is under

construction and expected to complete in September 2016

• RMB 1.0 per kwh of FIT

& subsidies

• Subject to conditions precedent

being fulfilled, the acquisition of projects is expected to complete by end of 2016

SHANDONG Tianjin LIAONING Beijing HEBEI Henan JIANGSU ANHUI HENAN

Zouping (70%) 100 MW, 450 tph

Cangzhou Zhengzhou Wuhe Xuzhou Dalian

Huineng 20MW Haoyuan 20MW Jinshan 30MW Huien 20MW

Construction solar Operation solar Operational coal-fired

37

38 Jinshan project Hui’en project Haoyuan project Huineng project

China solar: photos from the sites

20MW 20MW 30MW 20MW

39

Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

40

Bcf

1000 2000 3000 4000 5000 5-year (2011-2015) maximum billion cubic feet Working Gas in Storage billion cubic feet 5-year (2011-2015) minimum billion cubic feet

3,277 Bcf (+236)

[15 Jul 16]

U.S. gas market update

• Higher ASP due to gas price recovery since 2Q16
• Natural gas price jumped as hot summer keeps demand

strong despite the high inventory level

• Gas rig count remains relatively stable and inventory

level remains seasonally high

Source: EIA

Gas Rig Count Oil Rig Count 500 1000 1500 2000 100 200 300 400 2014 2015 2016

US Gas Rig Count Marcellus Gas Rig Count Utica Gas Rig Count US Oil Rig Count 1.3 1.5 1.7 1.9 2.1 2.3 2.5 2.7 2.9 3.1 Jan Jan Jan Feb Feb Mar Mar Apr Apr May May Jun Jun Jul Jul AVERAGE HENRY HUB PRICE 2016 Unit: $/Mmbtu $2.79 25 Jul 16 2Q average $2.19

Jan Feb Mar Apr May Jun

NATURAL GAS IN UNDERGROUND STORAGE GAS RIG COUNT

2014 2015 2016

July

YTD average $2.47 Q1 Q2

41

Chaffee Corners 2Q16 performance

Total revenue ($M) EBITDA ($M)

2Q16 1.95

Note 1Q16 : 28 – 31 Mar.16 (1) British Thermal Unit (2) Pipeline recovery income

Midstream 3.65 3.31 2Q16 0.34 Upstream

Unit production (Trn btu(1)) (3) Lease operating expense and work over expenses (4) Royalty, taxes, marketing and transportation expenses, and administrative expense

2Q16 1.89

EBITDA Breakdown ($/Mmbtu)

0.21 0.69 1.03 2.19 0.18 1.75

Operating expense(3) Selling and admin(4)

• Avg. Henry

Hub Upstream Midstream(2) Ebitda Revenue ($/Mmbtu)

42

Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

43

EXTERNAL EVENTS CORPORATE EVENTS DIRECT INDIRECT

Key external and corporate events

Rights offering and warrant issues approved by AGM 4Q15 Analyst meeting 4Q15 SET Opportunity Day Announced 2H15 dividend of Bt0.50/share 2015 Result Announcement China GDP was 6.9% in 2015; expected to be 6.7% in 2016 China announced no approval of coal mines in the next three years

2Q16

Indonesia to relax foreign

• wnership

rules in power Myanmar’s government targets coal as main source

• f power

HBA thermal coal price increased 1.4% Vietnam demands more Australian coal BOT likely to keep rates on hold for the rest

• f 2016

ADB cuts Thai growth forecast Announced US$554M investment plan for 2016-20 Announced plan to issue 1.29b new shares in Rights

• ffering (to raise up

to THB 6.45Bn) Full commercial

• peration of

Hongsa Power Plant First investment in unconventional shale gas 1Q16 result Announcement on China solar projects 2H15 dividend paid Bt0.5/share Completion of Rights

• ffering & capital

increase warrants issue China announced reduction in coal mine working days to 276

1Q16

44

Note: ITM and Centennial revenues are consolidated in Banpu income statement. Australia Coal – Third party coal sales included. *NEX = Newcastle Export Index (formerly Barlow Jonker Index or BJI) It is relevant but not linked to China Coal’s ASP

CHINA COAL

Note: Hebi and Gaohe revenues are not consolidated in Banpu income statement.

SALES (Mt) AVERAGE SELLING PRICE (US$/t) excl. VAT REVENUE (US$M) 59 48 49 38 48 2Q15 3Q15 4Q15 1Q16 2Q16 1.1 1.0 1.1 1.0 1.2 2Q15 3Q15 4Q15 1Q16 2Q16

ASP

55 49 45 39 41 2Q15 3Q15 4Q15 1Q16 2Q16

NEX*

60 59 53 51 52

Equity basis Equity basis Domestic Export

Banpu group Q-Q revenue analysis: coal operations

AUSTRALIA COAL (CENTENNIAL)

1.7 2.3 1.8 2.4 1.8 3.1 3.4 2.8 3.4 3.0 2Q15 3Q15 4Q15 1Q16 2Q16 SALES (Mt) AVERAGE SELLING PRICE (A$/t) REVENUE (A$M) 198 208 177 216 179 2Q15 3Q15 4Q15 1Q16 2Q16

ASP

64 61 63 63 59 2Q15 3Q15 4Q15 1Q16 2Q16

NEX*

60 59 53 51 52

Equity basis Equity basis Domestic Export

INDONESIA COAL (ITM)

5.9 5.9 6.1 5.8 5.4 6.9 6.8 7.1 6.9 6.2 2Q15 3Q15 4Q15 1Q16 2Q16 SALES (Mt)

100% basis Domestic Export

AVERAGE SELLING PRICE (US$/t) REVENUE (US$M) 397 382 383 331 278 2Q15 3Q15 4Q15 1Q16 2Q16

NEX* ASP

60 59 53 51 52

100% basis

57 56 53 48 45 2Q15 3Q15 4Q15 1Q16 2Q16

45

405 344 297 163 159 140 34 49 33

2Q15 1Q16 2Q16

Note: Revenue from others is included in Coal Indonesia.

US$ M

602 552 469

• 22% YoY

Coal Australia

• 12% QoQ
• 14% YoY

Coal Indonesia

• 14% QoQ
• 27% YoY

Power

• 33% QoQ
• 4% YoY

Power Coal Australia Coal Indonesia

• 15% QoQ

Banpu consolidated sales revenues

46 INDONESIA COAL AUSTRALIA COAL

Note: AUD exchange rate – US$ 0.745A$ (Average of 2Q16)

Coal sales Gross margin

2Q15 1Q16 2Q16

23% 24%

163 140 Indonesia coal gross margin: 30%

37% 34%

US$ M US$ M

Australia coal gross margin: 28% 159

28% 32%

2Q15 1Q16 2Q16

34% 32%

283 396 331

30%

Banpu consolidated coal gross margin 2Q16: 29%

47

47 51 32 3 (10) (5) 29 30 30 26 42 40

2

2Q15 1Q16 2Q16

Banpu consolidated EBITDA

USD million

104 113

Coal - China Coal - Indonesia

• 32% Y-Y
• 36% Q-Q

Coal - Australia

• 1% Q-Q

+3% Y-Y Power

• 4% Q-Q

+57% Y-Y

99

• 5% YoY
• 13% QoQ

Gas - USA

Gas Power Coal Australia Coal China Coal Indonesia

48

Banpu: 2Q16 consolidated NPAT

17 8

NON- RECURRING ITEMS NPAT OPERATING PROFIT POWER 35 RECURRING PROFIT FINANCE CHARGES

(35) 52

2Q16 NET PROFIT AFTER TAX UNIT: $M

1Q16 NET PROFIT AFTER TAX UNIT: $M

COAL 21 OPERATING PROFIT

54

(33) FINANCE CHARGES RECURRING PROFIT

21 (5)

NPAT NON- RECURRING ITEMS OTHERS FX LOSS DERIVATIVES POWER 33

COAL 17

(5) (7) (15)

+6% Q-Q +94% Y-Y

• 19% Q-Q

+2% Y-Y Non-Recurring Items

• FX gain $ 3M
• Derivative loss ($10M)
• Others ($2M)

2Q15 NET PROFIT AFTER TAX UNIT: $M

COAL 12 OPERATING PROFIT

30

(33) FINANCE CHARGES RECURRING PROFIT

(3) (2)

NPAT NON- RECURRING ITEMS OTHERS POWER 18

1

FX GAIN DERIVATIVES

(17) 17

(9)

Step 1: Contact broker to issue warrant certificate from TSD Step 2: Complete warrant exercise form and process for payment Step 3: Submit the relevant documents to Bualuang Securities

• Exercise price 5 THB / share
• Minimum exercise 100 warrants/time

Procedures

Banpu Warrants (BANPU– W3) conversion guideline

1st warrant notification dates 1st warrant exercise date 2nd warrant notification dates 2nd warrant exercise date 3rd warrant notification dates 3rd warrant exercise date 4th warrant notification dates

4th warrant

exercise date Warrant exercise timeline 29 Aug

• 2 Sep

5 Sep 25 Nov –1 Dec 2 Dec FY 2016 FY 2017 24 Feb

• 2 Mar

3 Mar

“SP” date

10 May Book closing 15 May 19 May

• 2 Jun

5 Jun MOC register 8 Sep First trading day

• f new shares*

12 Sep MOC register and first trading day of new shares* MOC register and first trading day of new shares* MOC register and first trading day of new shares*

1) Warrant exercise form 2) Payment evidence 3) Warrant issued by TSD 4) Copy of ID card

1 2

Sell warrants in the market Exercise warrants

BANPU W3 (period 1 year)

Terms

*MOC Register and first trading day of new shares will follow within 1 week after exercise date

49

50

Financial summary Power business Coal marketing Coal operations Focus: Banpu Power renewables outlook 6 4 3 2 1 Looking ahead 7 Gas business 5

51

Towards strategic sustainability

CONVENTIONAL

• Australia coal Ebitda

stabilized

• Indonesia output on target
• Chaffee Corners

performance on target

• Gas price rising
• Developing margin-

enhancement plans

• Developing plans for new

logistics and marketing businesses (early stages)

• Strong Hongsa Ebitda

growth

• SLG construction progress
• Banpu Power IPO: capital

for further growth

• China and Japan operating

solar capacity growing

• Thai solar: first step taken*
• Banpu Power IPO: capital

for further growth UPSTREAM MIDSTREAM DOWNSTREAM NEW

*Up to 4MW of solar rooftop investment subject to contingencies

Appendices

58

53

Sources: Power development plans of each country, WEO’s special report on SE Asia

(1) includes hydropower capacity; (2) other Greater Mekong Subregion comprises Cambodia, Laos, Myanmar, and Vietnam; (3) other South East Asia comprises Malaysia, Singapore, Philippines, East Timor, and Brunei

Asia-Pacific power growth 2015 – 2020

Installed capacity (GW) COUNTRIES SELECTED ARE FOR ILLUSTRATIVE PURPOSES ONLY* 18% 17% 2015 21% 2020 1,979 10% 1,462 43 14% 13% 2015 2020 19% 15% 54 3% 3% 78% 72% 2020 2015 9 4

2020 18% 12% 281 28% 278 2015 18%

JAPAN LAOS THAILAND

Hydro Renewables Coal-fired 2015 2020 Others Nuclear

CHINA

+184

+517

+46

+3

+4

+11

+0.1

+5

• >250GW capacity

growth from renewables is expected in the next four years

• Major growth in absolute

MW would come from China, Japan and India

• Renewable energy excl.

hydro is expected to constitute c.20% of total generating capacity by 2020 (except for Laos and Vietnam)

• Potential upside with

technology advancement

+49 +4 +2

22 2020 19% 2015 17 10%

No breakdown available

PHILIPPINES

+5 51 6% 2015 10% 2020 10% 94 11%

INDONESIA

+7 +4

+43 *DISCLAIMER No representation or warranty is made as to the accuracy, completeness or reliability of the views, information as indications expressed here. This slide should not be relied upon as a recommendation or forecast by Banpu Public Company Limited. Nothing in this slide should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

AUSTRALIA

Note: Map not drawn to scale Source: Frost & Sullivan, EIA, CEA, AER, WEO, Australian Gov’t, RET, Cleantechnica 0.5% 34 26% 2015 46% 2020 1% 73

VIETNAM

+2

+39

+5

INDIA

13% 15% 2014* 13% 282 2020 16% 385

+27

+103

+13

Unit: GW

2020 21% 46 15% 11% 16% 52 2015

+6

+6

+0.5

54

Laos renewables market

73 12 6 2025* 2020 2015

RENEWABLES TARGET BY TYPE Unit: MW

43 23 109 2025* 2020 2015 48 36 22 2025* 2020 2015

• Primary focus on hydro-electricity generation,

with target to increase renewables by 150MW 2015-20

• Target non-hydro renewables to be 30% by 2025
• Long-term focuses on biomass and wind
• Primary focus on untapped hydropower

potential of up to 26GW

BANPU’S POWER ASSETS IN LAOS

HONGSA (40%) 1,878 MW Note: * According to National Sustainable Energy Strategy Report 2014, (1) Equity basis Source: Laos’ Renewable Energy Development Strategy (REDS) 2011, Ministry of Energy and Mines 2015

36 17 9 2020 2015 2025*

Solar Wind Biomass Waste

Operational coal-fired

55

Indonesia renewables market

RENEWABLES TARGET BY TYPE Unit: GW

15 6 2 2015 2030 2020

Source: National Energy Policy, IRENA Renewable Energy Capacity Statistics 2016, Indonesia Energy Projection towards 2050 (2014)

13 4 1 2020 2030 2015

Biomass Geothermal

• Renewables to constitute 25% of

total energy mix by 2025

• Primary focus on geothermal

and biomass

• 2015 installed capacity of 1Gw

accounts for only 3% of its 29GW geothermal energy potential (equivalent to about 40% of world’s total geothermal reserves)

• In order to boost renewables

development, the government provides Geothermal Fund Facility (GFF) to geothermal mining license holders to support exploration activities

56

Vietnam renewables market

0.8 2030 2 2020 2015 <0.1

RENEWABLES TARGET BY TYPE Unit: GW

5 0.2 2020 2030 1 2015

Source: ADB, National Plan for Power Development 2011-20

0.5 2030 2020 2015 2 <0.01

• Vietnam National Plan for Power Development 2011-20 targets

renewables as 4.5% by 2020 and 6% by 2030

• Solar and wind are priority, with significant growth for solar under

long-term strategy

Biomass Wind Solar

57

India renewables market

RENEWABLES TARGET BY TYPE Unit: GW Note: * Government’s target Source: CEA, Frost & Sullivan Analysis

Biomass Solar Wind

32 27 2015 127 2020 2030* 20 4 2020 2015 2030* 254 8 5 2030* 2015 2020

• Renewables to constitute 15% of total energy mix by 2020 and 30% by 2030
• Primary focus on wind and solar energy
• Incentives include FIT, 10-year income tax holiday (100%), custom duty and

excise duty exemption on equipments, tax rebates on manufacturing of solar and wind components

n.a.

58

Australia renewables market

RENEWABLES TARGET BY TYPE Unit: GW

Wind Solar

8 4 2020 2015 2 2020 0.2 2015

• Australia’s Renewable

Energy Target set renewables growth for 6GW during 2015-20 to 23.5% of total capacity

Source: AER

59

Indonesia coal gross margin 2Q16 : 30%

2Q15 1Q16 2Q16

30% 34% 32% 283

Indonesia Coal 2Q15 1Q16 2Q16 Indominco

30% 25% 32% 163 174 164

2Q15 1Q16 2Q16

41% 36% 25% 72

Trubaindo

114 93

2Q15 1Q16 2Q16 Jorong

42% 48% 33% 13 16 9

52% 2Q15 1Q16 2Q16

12 26% 17% 28%

Kitadin

18 13 396 331

2Q15 1Q16 2Q16 Bharinto

27 34 35% 29%

52% 2Q151Q162Q16 Tandung Mayang

0.4 16%

• 6%

42% 42 1 46 35%

US$M

60 NPAT IMPACT 2Q2016 (US$m) APPROXIMATE FX EXPOSURE (US$m) NPAT 5% SENSITIVITY 3Q2016 (US$m) +3 +0.1

• 0.4

+3

Banpu: THB bond and

• thers

+4 +70

+16 +0.2

• 3

+19

NET LIABILITY NET ASSET

• Moderate growth
• Moderate growth
• RBA cut rates 25 bps in

+Aug

• Slowly recovery GDP

Assuming 5% depreciation of local currencies against USD

CURRENCY EXPOSURE ITMG: IDR asset and liabilities CEY: USD asset Net

• 380

FX impact analysis guidance on P&L

61

GEARING RATIOS

Banpu gearing and foreign exchange structure

DEBT FX STRUCTURE

Note: 1 Net debt to book value of shareholders' equity 2 Net debt to enterprise value (enterprise value = net debt + market capitalization as at 30 June 2016)

USD Fixed 44% USD Float 25% AUD Fixed 2% AUD Float 7% THB Fixed 16% THB Float 6% Total gross debt: US$3.62 billion As of 30 June 2016

1.18 1.40 1.44 Net debt / Equity1 (x) 54% 58% 59% Net market gearing2 (%) Net debt / EBITDA (x) 4.4 5.9

2014 2015 2Q16 2014 2015

62

Banpu group EBITDA breakdown

Note: all ownership 100% unless otherwise shown. *BIC = Banpu Investment China

9 11 22 26

• 2
• 4
• 2
• 2

1 3 4 12 5 1 2 6 3 3 1 25 25 18 3 21 35 23 28

Jorong

29 55 43 79 37 31 50 49

• 1
• 2
• 3
• 7

65 71 50 33

50% 40%

Power & New energy

40% 45% 70% Gaohe Hebi BLCP HONGSA BIC* Zouping

6 5 6 5

Zhengding

4 9 10 3

Luannan

3 8 9 3

& holding companies 65% Indominco Trubaindo Kitadin AACI OVERHEAD

Unit: US$M

100%

34 7 40 34

Consolidated NOT consolidated

• 1
• 1
• 1
• 1

13 21 23 11

Unit: AUD Mil

All figures are 100% basis except for Centennial which is equity basis

105 115 113 99

Bharinto

3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16

63

Banpu group net debt breakdown

Note: all ownership 100% unless otherwise shown.

2502 2562 2122 220 3

85 225 226 187 & holding companies 2,727 2,893 3,241 3,212 AUSTRALIA COAL INDONESIA COAL CHINA COAL MONGOLIA COAL THAILAND POWER LAOS POWER CHINA POWER

Gaohe Hebi HONGSA BLCP BIC*

100% 65% 45% 40% 100% 50% 40% 100% 730 739 709 761

• 344
• 268
• 295
• 266
• 15
• 90
• 85
• 81
• 2
• 1
• 1
• 2

323 315 275 269

• 9
• 15
• 27

Unit: AUD Mil

Unit: US$M

Consolidated NOT consolidated Net debt Net cash

3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 Q15 1Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16 3Q15 4Q15 1Q16 2Q16

Unit: USD million Sales revenues – Power (BIC) Cost of sales Gross profit* GPM Sales revenues – Coal Total sales revenues* Gross profit - Coal Gross profit – Power (BIC) GPM – Power (BIC) GPM - Coal

• 23%

YoY%

• 22%
• 24%
• 26%
• 4%

21%

Note: * Including other businesses

• 22%

QoQ%

• 15%
• 14%
• 18%
• 33%
• 45%

49 (374) 179 32% 1Q16 552 497 151 24 49% 30% 34 (420) 182 30% 2Q15 602 561 167 11 33% 30%

Banpu consolidated : operating profit

33 (330) 140 30% 2Q16 469 429 124 13 41% 29%

64

65

Unit: USD million Gross profit GPM SG&A Royalty Other income EBIT EBITDA EBIT - Coal EBIT - Power Income from associates EBITDA - Coal EBITDA - Power Mining property

Banpu consolidated : operating profit

EBITDA - Gas 182 30% (82) (62) 7 56 104 2Q15 34 22 19 78 (8) 26

• 140

30% (69) (44) 9 58 99 2Q16 20 38 26 57 (4) 40 2 11 71 179 32% (67) (52) 8 71 113 1Q16 (7) 31 40 42

• 22%
• 18%
• 13%

QoQ%

• 36%
• 3%
• 20%
• 4%

n.m.

• 41%

76%

• 23%

5%

• 5%

YoY%

• 28%

57% n.m.

66

Note: * Income from non-core assets and other non-operating expenses

Unit: USD million EBIT Interest expenses Financial expenses Minorities Non-recurring items* Income tax (non - core business) Net profit before FX Income tax (core business) Net profit before extra items FX translations Net Profit EPS (US$/share)

• 3%

YoY% n.m. n.m. 13% Deferred tax income (expenses)

• 21%

QoQ%

• 47%

n.m.

• 40%

Banpu consolidated : net profit

Gain (Loss) on Derivatives Transactions 62 2Q16 (33) (2) (5) (2)

• 5

(11) 11 3 8 0.002 10 (10) 64 2Q15 (30) (2) (8) 2 (3) (18) (13) 10 17 (2) (0.001) (2) (17) 78 1Q16 (31) (2) (9) (5) (6) (17) 19 15 9 (15) (7) (5) (0.002)

67 Unit: USD million

Cost of sales Gross profit GPM Royalty SG&A EBIT Sales revenue Sales volume (Mt) Other income Interest expenses Financial expenses Gain (loss) on exchange rate Net profit Gain (loss) on derivative Other expenses

Centennial : income statement

YoY% 1%

• 8%
• 21%

47%

• 2%
• 14%
• 52%

n.m. QoQ% 5% 19%

• 15%
• 9%
• 11%
• 12%
• 14%

n.m. Deferred tax income 2Q15 (123.7) 38.9 24% (11.1) (26.8) 5.5 3.1 162.6 4.5 (6.5) (1.0) 2.0 (8.6) (8.7)

• 2Q16

(100.6) 39.3 28% (8.8) (24.6) 8.1 3.0 139.9 2.2 (6.6) (0.8) 0.2 (4.0) (6.4)

• 1.5

1Q16 (122.1) 37.4 23% (10.3) (20.7) 8.8 3.4 159.4 2.5 (6.3) (0.8) (1.0) (2.1) (3.7)

• 0.9

68

Note: 1. Bar width is indicative of the equity production contributions to Centennial

• 2. Production generally responds to the timing of longwall changeovers (i.e. lower production results during a longwall changeover period)
• 3. Angus Place was put on care and maintenance from February 2015.

Normal production Bolt-up/commissioning

1.8 1.4 1.0 1.4 1.4 1.2 1.4 1.5 2.5 1.6 2.2 1.1 2.1 1.6 2.2 1.6 3.0 3.2 2.5 2.8 3.1 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16e 3Q16e 4Q16e 4.3

Total equity ROM (Mt)

WESTERN NORTHERN

LW relocation

2015 2016e LW move Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Mandalong (100%) Springvale (50%)

3 wks 6 wks

Awaiting Approvals

3 wks ACTUAL 2 wks 3 wks 8 wks

3.5 3.6

Australia coal: quarterly equity ROM output

PLANNED (INDICATIVE ONLY)