Company Presentation Full Year 2015 1 Disclaimer These materials - PowerPoint PPT Presentation

PT Toba Bara Sejahtra Tbk ( “ Toba ” ) Company Presentation Full Year 2015 1

Disclaimer These materials have been prepared by PT Toba Bara Sejahtra (the “Company”) . These materials may contain statements that constitute forward-looking statements. These statements include descriptions regarding the intent, belief or current expectations of the Company or its officers with respect to the consolidated results of operations and financial condition of the Company. These statements can be recognized by the use of words such as “expects,” “plan,” “will,” “estimates,” “projects,” “intends,” or words of similar meaning. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those in the forward-looking statements as a result of various factors and assumptions. The Company has no obligation and does not undertake to revise forward-looking statements to reflect future events or circumstances. These materials are for information purposes only and do not constitute or form part of an offer, solicitation or invitation of any offer to buy or subscribe for any securities of the Company, in any jurisdiction, nor should it or any part of it form the basis of, or be relied upon in any connection with, any contract, commitment or investment decision whatsoever. Any decision to purchase or subscribe for any securities of the Company should be made after seeking appropriate professional advice. 2

Table of Contents 1 Company Profile 2 2015 Operational Highlights 3 2015 Financial Highlights 4 2015 Marketing Highlights 5 Guidance for 2016 3

Company Profile 1 4

Toba Bara Sejahtra in Brief Toba specializes in thermal coal production and comprises of three mining subsidiaries: Adimitra Baratama Nusantara (ABN), Indomining (IM) and Trisensa Mineral Utama (TMU )  JORC-compliant proved and probable reserves of 147 MM tons and measured, indicated and inferred resources of 236 MM tons  Coal brands with mid to upper range calorific values (CV) of 4,700-5,800 kcal/kg GAR Diversified  Strong production growth profile, registering Thermal Coal ~34% CAGR between 2008 and 2015. Produced Reserves and 6.5 MM tons in 2013 and grew ~25% to 8.1 MM Resources tons in 2014 Strong  Prime location near Capital of East Kalimantan Growth and proximity to waterways provides Profile operational cost edge to grow as logistical & operational center for the area 5

Strategic Mine Locations TMU – IM Major Jetty Transhipment City Hauling Road Point Muara Berau Major city to Samarinda north is less than 50 km Distance from pit to jetty, with closest ~55 km one ~5 km and (total ~120 km) furthest ~25 km IM ~5 km ABN 25 km IM jetty Close proximity TMU Makassar Strait ABN jetty to jetty and transhipment Kutai Energi point of Muara Jawa Adjacent locations for all 3 mines Balikpapan ~65 km Muara Jawa Toba owns all infrastructures (coal processing plant, overland conveyors, and jetties), giving 6 significant operating leverage vs other concessions in surrounding areas

Infrastructure & Operational Capabilities CPP Capacity (cap) IM Conveyor for Short Coal Hauling Ramped Up to 6 Mn TMU usage & Distance < 5km Tons/Annum (TPA) Others Short Coal Hauling Distance ~4km IM TMU High Built CPP Cap ABN up to 10 Mn TPA ~16 km Hauling Road to Connect with ABN TMU Loading Speed of 1,800 TPH Mine Ops Commenced Underpass at Block 4 Toba’s Concessions Infrastructure Note : PT Adimitra Baratama Nusantara (ABN) Integrated CPP and PT Indomining (IM) 7 Jetty Ops with IM PT Trisensa Mineral Utama (TMU)

Ownership Structure PT Toba Sejahtra Davit Togar Pandjaitan PT Bara Makmur Abadi PT Sinergi Sukses Utama Roby Budi Prakoso Public 71.8% 0.8% 6.2% 5.1% 3.6% 12.5% ABN Minorities 49.0% 99.99% (1) PT Toba Bumi Energi ( “ TBE ” ) 51.00% 99.99% (1) 99.99% (1) 90.00%  Plantation permit of PT    20-year Production Operation IUP-OP expires in June 2013 13-year IUP-OP expires in Perkebunan Kaltim Utama I Mining Permit ( “ IUP-OP ” ) December 2023  IUP-OP was converted from KP (PKU) expires in 2036 expiring in December 2029  in 2010 IUP-OP was converted from a License  IUP-OP was converted from KP in 2010  IUP-OP extension was Kuasa Pertambangan ( “ KP ” ) in completed in March 2013 (First 2009 out of 2 extensions: in 2023, with tenor of 10 years each)     Area 2,990 ha 683 ha 3,414 ha 8,633 ha (Right to Use Land)    Reserves: 117 MT- JORC Reserve: 22 MT- JORC Reserves : 8 MT - JORC  Reserve Planted Area: 2,896 ha    Resources: 156 MT- JORC Resources: 37 MT- JORC Resources: 43 MT- JORC 8 Note: 1. Figures are rounded off

2015 Operational Highlights 2 9

Realization 2015 “Strengthening Resilience for Sustainable Growth” Focused on profitable production output Δ % Operational 2014 (2) 2015 through optimization of :  NEWC Index US$/ton 70.8 59.2 (16.4)% Infrastructure and connectivity sharing (hauling road, coal processing plants ASP US$/ton 63.7 54.8 (14.0)% (CPP), & jetties) Production Vol mn ton 8.1 6.1 (24.7)%  Joint mine plan between three adjacent Sales Vol mn ton 7.9 6.4 (19.0)% operating mines Stripping Ratio x 13.3 12.3 (7.5)%  Competitive & premium coal pricing driven by strong coal branding from Δ % Financial 2014 2015 consistency in scheduled delivery/product Sales US$ mn 500.0 348.7 (30.3)% quality and established customer relationship with diversified customer base US$ mn EBITDA 67.0 53.7 (19.9)%  Average Selling Price (ASP) Net Profit US$ mn 35.5 25.7 (27.6)% outperformance relative to benchmark US$/ton EBITDA/Ton 8.5 8.4 (1.1)% Newcastle due to sale executions based on well-timed predictions in market trends 10 Note: EBITDA = Gross Profit – selling expenses – G&A + depreciation and amortization (1) (2) Restated due to compliance on PSAK 24R implementation

2015 Production Annual Coal Production Mt : In Million Tons  Production volume rose from only 800K tons in 2008 to 6.1 mn tons ABN IM TMU 8.1 in 2015, booking CAGR growth of 33.6% over 8 years  With strategy to sustain certain 6.5 6.1 margin, while preserving life- 5.6 5.0 - 7.0 5.2 of-mine (LoM) reserves , 2015 production reached 6.1 mn, in 4.1 Guidance line with 2015 target of 6.0-8.0 mn tons and mine plan  Stripping Ratio (SR) stabilized 2.0 at 12.3x, or at higher end of 2015 0.8 target range of 11x-12x, but lower than 13.3x in 2014  2015 overall results from 2008 2009 2010 2011 2012 2013 2014 2015 2016 subsidiaries came in line with 2015 annual guidance Cumulative production Cumulative production achievement >20 Mt achievement >10 Mt 2008 2009 2010 2011 2012 2013 2014 2015E 2015 Production Vol. 6.1 0.8 2.0 4.1 5.2 5.6 6.5 8.1 6.0-8.0 (Mt) 0.1 1.1 3.8 4.4 4.2 3.9 4.0-5.0 ABN (Mt) 3.1 4.4 1.4 2.3 1.2 IM (Mt) 0.9 1.0 1.4 1.0 1.1-1.5 0.7 TMU (Mt) 1.0 - - - 0.2 0.9 1.4 0.9-1.5 - 11 SR (x) 11.9x 11x-12x 10.5x 9.9x 12.7x 13.4x 13.3x 12.3x 14.9x

2015 Operational Performance Quarterly Production & Stripping Ratio (SR) Production in Thousand Tons TOBA  Q-o-q production volume of 1.5 mn tons in 4Q15 came in line with 2,500 20.0x 2015 quarterly guidance of 1.5 - 2,000 13.5x 2.0 mn tons 13.8x 13.8x 12.5x 15.0x 12.7x 12.4x 12.5x 12.1x 12.0x 1,500  2015 SR and quarterly SR 10.0x stabilized at 12x level, in line with 1,000 annual and quarterly SR guidance 5.0x of 11x - 12x 500 1,950 1,911 2,160 2,330 1,653 1,505 1,469 1,565 1,529  Quarterly SR decreased y-o-y by 0 0.0x 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 12.3% from 13.8x in 4Q14 to 12.1x in 4Q15 Production Volume (000) Stripping Ratio Production Summary Production Summary MT: Million Ton MT: Million Ton 2014 2015 Change Comment Production volume declined y-o-y to 6.1 mn tons in Production 6.1 (24.7)% 8.1 2015 in line with mine plan, while ensuring certain Volume margin and optimizing reserve preservation Sales volume decreased by 19.0% in line with Sales Volume 6.4 (19.0)% 7.9 production adjustment SR contracted resulting in lower mining cost SR (x) 13.3 12.3 (7.5)% 12

ABN Operational Performance Quarterly Production & Stripping Ratio Production in Thousand Tons IM ABN 1,020 20x ABN 1,000 980 TMU 15x 960 14.2x 13.3x 13.1x 13.0x 940 12.6x 10x 920 900 5x PT Kutai Energi 880 860 930 904 969 987 994 840 0x 4Q14 1Q15 2Q15 3Q15 4Q15 Production Volume (000) Stripping Ratio Key Highlights  4Q15 quarterly production increased y-o-y and q-o-q from 4Q14 and 3Q15 respectively, both in line with 2015 internal guidance  SR in 4Q15 edged down q-o-q to 12.6x level from 13.0x in 3Q15, and by 11.3% y-o-y from 14.2x in 4Q14 13

IM Operational Performance Quarterly Production & Stripping Ratio Production in Thousand Tons IM ABN 600 15x 500 TMU 13.3x 12.7x 13.6x 12.0x 12.2x 400 10x 300 200 5x PT Kutai Energi 100 493 388 231 319 288 0 0x 4Q14 1Q15 2Q15 3Q15 4Q15 Production Volume (000) Stripping Ratio Key Highlights  Production increase of 288K tons in 4Q15 came in line with 2015 internal quarterly guidance of 275K - 375K tons  SR in 4Q15 edged up q-o-q and y-o-y respectively 14