BY WORKING TOGETHER WE CAN MAKE A DIFFERENCE August 2013 The - PowerPoint PPT Presentation

BY WORKING TOGETHER WE CAN MAKE A DIFFERENCE August 2013 The Journey To Date E&A Limited

“Our Core Values” E&A Limited is a high yield publicly listed investment company focused on identifying opportunities and investing funds in order to create wealth by delivering outstanding value to all its stakeholders. E&A Limited’s core values are :  We care about our people, customers, contractors, suppliers and our shareholders;  We value stakeholder relationships and aim for fairness in all our dealings; and  We partner seeking to build long-term commercial relationships where all stakeholders benefit. “ The Journey To Date ” E&A Limited

“Background”  E&A Limited operates 8 wholly owned subsidiaries providing specialist engineering services across the mining, oil and gas, defence, water and energy sectors.  In 1997, we established Equity & Advisory to invest “EQUITY” in businesses with development potential and to provide merger, acquisition and strategic advisory services “ADVISORY” to Government, public and large private enterprises. By 2007 when the parent company of Equity & Advisory, E&A Limited was listed  our firm had invested in six operating businesses. These included two Iron Triangle businesses Louminco an outsourced procurement provider of rotable spares to OneSteel and BHP Billiton and Whyalla Fabrication. When we floated E&A Limited on the ASX the group turnover was $85m and nearly  half of this turnover was generated in the Iron Triangle by Louminco and Whyalla Fabrication. At that time E&A Limited’s subsidiaries were focused on the pending expansion of Olympic Dam. “ The Journey To Date ” E&A Limited

“Today”  Next week we will report a turnover in the order of $200m a compound 18% growth year on year. Below is a snapshot of our current performance. Key EAL Statistics Ticker Code EAL Market Capitalisation ($m) 70 Shares on issue (m) 109.6 Share price (12 mnth range) (c) 16.0-78.5 TSR (rolling 12 mnths to 31 Dec 12) 182 Revenue by Financial Year ($ m) (%) 250 Net tangible assets per share (c) 6.5 200 Interim dividend (cents fully franked), 2.5 payable 14 June 2013 150 Full year FY12 dividend (cents fully 4.0 100 franked) 50 Revenue (circa $m) 200 - FY08 FY09 FY10 FY11 FY12 FY13 Interest cover (times) 6.1  FY13 2 nd Half Forecast Revenue “ The Journey To Date ” E&A Limited

“Current Businesses” Ottoway Engineering  Ottoway Engineering is a supplier and installer of pipes for the petro-chemical, oil and gas, mining, water and defence industries.  Involved in all aspects of turn key project management including engineering, procurement, manufacture, fabrication, machining, installation and maintenance.  Extensive manufacturing and fabrication capabilities within modern 5000m 2 production facility in Adelaide and a 3000m 2 facility in Dalby.  Ottoway has experienced substantial growth and the outlook for pipe spooling work from South Australia, Queensland and Western Australia is strong.  Current annual turnover:  $70m “ The Journey To Date ” E&A Limited

“Current Businesses” ICE Engineering & Construction  ICE Engineering supplies electrical services and contract labour to the electrical and instrumentation sector of the water, mining, oil and gas sectors. • Electrical engineering consultancy and project management • Design of electrical control systems for heavy industry, manufacturing and commercial installations • Industrial and Commercial electrical instrumentation installation • Communication and data systems installation • High Voltage transformer , switchgear and cable installation • High Voltage switchyard maintenance and repairs • Hazardous area design, installation and inspection • Preventative maintenance programs and breakdown repair • Commissioning • SAMFS approved fire system installer  ICE operates offices in Adelaide, Whyalla, Roxby Downs and Perth and continues to win project work nationally.  Current annual turnover:  $40m “ The Journey To Date ” E&A Limited

“Current Businesses” E&A Contractors  E&A Contractors provides a range of steel fabrication and structural engineering services in Whyalla and Mt Isa. E&A Contractors operates from a 10,000 m 2 facility with overhead  lifting capacity up to 100 tonnes.  Capabilities include: • Project Management; Heavy Engineering Design, Fabrication and erection • • Wind tower Fabrication; • On-site construction; • Shutdown maintenance and repair; and • Sheet metal and light machining.  Current annual turnover:  $40m “ The Journey To Date ” E&A Limited

“Current Businesses” Blucher Australia Blucher supplies high quality stainless steel products  for both drainage and supply systems in industrial, commercial and residential applications Supplying Blucher stainless steel drainage and Blucher  pressure systems to the Australian, New Zealand and South East Asian markets for ten years. Based in Adelaide, South Australia, our products are  distributed throughout the Oceanic Region by sales representatives, retail chains promoting a high quality product for use and excelling in demanding situations. Blucher is positioned for growth as a consequence of  the expanded geographic representation, product range and industry wide investment in water infrastructure. Current annual turnover:  $10m  “ The Journey To Date ” E&A Limited

“Current Businesses” Fabtech  An Australian owned company, Fabtech is a national leader in geomembrane applications for liquid containment. Established in 1986 Fabtech is a national  leader in the provision of flexible geomembrane liners and floating covers for dams, reservoirs & tunnels to the mining, oil and gas, potable and waste water containment and agricultural industries. Fabtech has established operations in South  East Queensland and has developed and patented large geomembrane storage tanks which are utilised to store water at a number of South East Queensland coal seam gas facilities. Current annual turnover:  $40m.  “ The Journey To Date ” E&A Limited

“Current Businesses” Quarry & Mining Manufacture QMM offers a comprehensive range of design,  manufacture, fabrication and machining services to the quarry, recycling, asphalt, concrete and mining sectors, including: Plant design and upgrade; • • Repairs and maintenance (on-site & in workshop); • Buying & Selling of crushing and screening equipment; • On-site breakdown and shutdown labour – particularly mine maintenance by highly skilled on- site “flying squad” servicing aboveground and underground shutdown labour requirements for the mining industry; and • Spare parts manufacture and supply. Current annual turnover:  $15m.  “ The Journey To Date ” E&A Limited

“Current Businesses” Heavymech Heavymech is a general engineering  company which began in 1968 and has a broad capability for all types of work pieces, namely, casting, fabrication, forging, plate and bar stock. The main machine tools include  horizontal and vertical boring, radial drilling, milling, slotting, cylindrical and slideway grinding and honing – these service medium to large size work pieces plus general purpose machine tools. Current annual turnover:  $7m  “ The Journey To Date ” E&A Limited

“Current Businesses” Human Resources : More than 800 employees  Skills Quantity Skills Quantity Management/Supervision 45 Boilermakers 100 Safety 7 Machinists 50 Quality 10 Fitters 85 Engineers 30 Electricians 90 Draftsmen 18 Trade Assistants 50 Technical Officers 14 Apprentices 21 Welders 200 Finance /Admin 30 Geomembrane welders 80 “ The Journey To Date ” E&A Limited

“Major Clients” ICE ENGINEERING OTTOWAY E & A QMM & CONSTRUCTION ENGINEERING CONTRACTORS Guidera O’Connor Santos Arrium (OneSteel) Fulton Hogan BHP Billiton Beach Siemens Holcim Arrium (OneSteel) Monadelphous Theiss Astec Citic Pacific Mining – Kerman Contracting BHP Billiton Metso Minerals Sino Iron Fluor Caterpillar – Cavpower BHP Billiton BHP Billiton McConnell Dowell Boral Transfield Services Built Environs Jeffries Theiss BLUCHER EQUITY & HEAVYMECH FABTECH AUSTRALIA ADVISORY Western Desert Penrice Ostwald Bros Football Park, Adelaide Rescources Ensign Melbourne Water Sydney Opera House Elders Limited 60% of Abattoirs across Australian Railway SA Water SA Water Australia Corporation Hunt Energy GELOR Dairy Farmers Karidis Corporation Leightons BHP Billiton Carlton Brewery Metrocorp NRG Flinders Origin Energy Cadbury Schweppes Best Doors Australia State Government McKechnie Arrow Energy Victorian Desalination Agencies Santos GELOR Woods Bagot “ The Journey To Date ” E&A Limited