Glencore presentation Glencore presentation London, 3 rd November - - PowerPoint PPT Presentation

Glencore presentation Glencore presentation

London, 3rd November 2011

Glencore investment proposition p p

Unique market position in integrated trading q p g g High growth and return, diversification Significant barriers to entry Best in class equity value creation track record From $1.2 bn in 1996 to $45 bn equity currently Unique M&A approach focused on ROE Unique M&A approach focused on ROE Best in class alignment between management and shareholder interests Owners not renters of assets Best in class volume growth in industrial assets Portfolio on time / to budget G th d i k ti ti Growth drives marketing operations Robust balance sheet / cash generation

Glencore is the best in class way to gain exposure to structural growth in global commodity demand

GLENCOÂE I 2

Glencore at a glance g

Key highlights Integrated business segments

Integrated commodity producer and marketer

Key highlights Integrated business segments

• Integrated commodity producer and marketer, active in

every step of the supply chain

• One of the world’s largest physical marketers for the

j it f it diti majority of its core commodities

• Diversified industrial asset portfolio - complements

sourcing, distribution and marketing operations

• Robust financial and operational track record “through

th l ”

Zinc / copper /

lead

Alumina /

Metals and Minerals

Oil Coal / coke

Energy Products

Grains Oils / oilseeds Cotton / sugar

Agricultural Products

the cycle”

• Experienced management team - proven track record of

profitability, value creation and risk management

aluminium

Ferroalloys /

nickel / cobalt / iron ore

Cotton / sugar

K i t t i

152 145 184

Key financials Key statistics

($ bn)

More than 57,500 employees (including over 2,700 in

marketing operations) spread across over 40 countries K i t t i Key investments in non- listed companies:

50.7% Kazzinc 73.1% Mopani 6.8 6.2 3.9 3.3 6.2 5.3 7.7 6.6 106 145 106

Key investments in listed companies:

34.4% Xstrata 74.8% Katanga

p

40.0% Mutanda 100% Prodeco 100% Murrin Murrin (4) Revenue Adjusted EBITDA Adjusted EBIT

2008 2009 2010 H1 2011 (annualised)

74.8% Katanga 29% Optimum Coal 8.8% UC Rusal 54.2% Century Aluminum (3)

(1) (2) (1) (2)

N t (1) E l di ti l it

GLENCOÂE I 3

E&P portfolio (various shareholdings)

Notes: (1) Excluding exceptional items (2) Adjusted EBITDA and adjusted EBIT includes associates and dividend income (3) Including 9.8% two cash-settled total return swaps (4) As of recent successful Minara takeover

Glencore overview

Unique Global Infrastructure

Various Rusal Xstrata Xstrata Xstrata Rusal Century Various Rusal Companies Recylex Biopetrol Century Xstrata Various Russneft Companies Kazzinc / Altyntau Portovesme Prodeco Xstrata Sherwin Chemoil Xstrata Pasar Perkoa Prodeco Xstrata Los Quenuales Xstrata Xstrata Rusal Rusal Mutanda E&P Initiatives Rio Vermelho Mopani Shanduka / Optimum Cobar Xstrata Moreno Sinchi Wayra Murrin Murrin AR Zinc Katanga Xstrata Xstrata Xstrata Punitaqui Zinc/Copper Xstrata Zi /C Alumina/ Aluminium X t t Ni k l Coal X t t C l Nickel X t t All Grain C t Oil Main Offices Offices Independent Offices Mopani Optimum Xstrata Moreno Murrin Murrin AR Zinc Katanga Xstrata Xstrata Xstrata

GLENCOÂE I 4

Zinc/Copper Xstrata Nickel Xstrata Coal Xstrata Alloys Century

Full integration through the value chain

• Position throughout the value chain allows Glencore to capture value at each stage
• Producers typically more focused on sale of own products than third-party marketing while other marketing peers do

not have Glencore’s scale and access to own supply

g g

not have Glencore s scale and access to own supply

Glencore’s core competencies span the value chain

Marketing, Storage and freight Marketing, Storage and freight Processing / refining Upstream production

erals

Storage and freight Storage and freight refining production

Zinc / copper / lead Metals and Mine Ferroalloys / Alumina / aluminium M ucts Oil y nickel / cobalt / iron ore Energy Prod Coal / coke

n/a n/a

Agri. Products Agricultural products

GLENCOÂE I 5

Significant presence Lesser presence Key:

Significant barriers to entry

• Insight into market flows and access to real-time information across the globe
• Distinctive ability to seize price differentials and arbitrage opportunities

Scale and global reach

g y

• Distinctive ability to seize price differentials and arbitrage opportunities
• Large scale and global sourcing and distribution of commodities is working capital intensive
• Ability to fund investments in production facilities and industrial activities

Access to financing and risk management skills

• Ability to secure sourcing arrangements through facilitation of producer and/or consumer

financing g E li bl l f diti

• Ensures a reliable supply of commodities
• Enhances credibility with producers and customers alike where reliability and performance

are sought after attributes Long-term supplier / customer relationship

• Significant intellectual capital, which is generally challenging and time-consuming to create

in, or transfer to, a new organization is a key competitive advantage on the marketing side of the business Human capital

• Global geographic and diversified commodity mix, which is difficult and expensive to

Diversified Global geographic and diversified commodity mix, which is difficult and expensive to reproduce but important to long-term sustainable success Diversified geographic and commodity mix

• Distinctive factor vis-à-vis majority of other commodity marketers

Vertical integration j y y

• Provides stable source of supply and unique insight into the critical industrial production part
• f the commodity value chain

e t ca teg at o

Glencore business model is not easily replicable by new entrants

GLENCOÂE I 6

Glencore business model is not easily replicable by new entrants

Best in class value creation track record

1974 1987 / 1988 1990

2011

2004 2008 1997 1974

Establishment of

Glencore focused

• n physical

marketing of commodities 1987 / 1988

Transition into an

integrated producer with acquisition of US smelter and Peruvian mine 1990

Acquisition of a

stake in Xstrata (then Sudelektra AG)

2011

IPO of

Glencore

2004

First public bond

issue of $950m

Merger of Katanga and Nikanor

resulting in a 8.5% holding in the combined entity

Purchase of initial 40% stake in

Vasilkovskoye Gold (via Kazzinc) 1997

Acquisition of

majority stake in Kazzinc 2002

Substantial

1980s 1990s 2000s 2010s 1970s

2007

Selected

1993 / 94

Management

1995

Glencore

2009 – 2010

Issuance of

1981

Acquisition of a Dutch

2009

Government approves

Glencore coal assets contributed to forming Xstrata plc Glencore aluminium & alumina assets contributed to create UC Rusal g buyout (“MBO”) acquires first building block

• f Prodeco

Issuance of

$2.3bn convertible bond

q grain trading company, foundation of Agricultural Products division pp start of West African hydrocarbon projects development phase

Equity value creation since 1996

After management buy-out….. $1.2 bn …to current 2011 $45 bn

Equity value creation since 1996

Value creation vs +102% S&P Index +3650%

GLENCOÂE I 7

• vs. +102% S&P Index

+50% FTSE 100

Proven history of class-leading returns

Track record of value creation achieved by world class management team

Proven history of class-leading returns

%

Last 10 years RoE range (1) 61% 58% 50% 51% 45% 36% 34% 38% 21% 19% 21% 15% 15% 18% 15% 15% 11% 13% 4% 6% 5%

Averages

Note: (1) Net Income / average equity excl. minority interests. Data based on last 10 full reported financial years. Length of historical period for some peers is limited

GLENCOÂE I 8

( ) g q y y p y g p p by availability of publicly disclosed financials. Glencore pre-expectionals.

Performance is less correlated to commodity prices than peers

Marketing has made a profit every year since completion of the management buyout – Resilient model throughout the cycle Marketing income is less correlated to commodity prices than that of diversified miners, with key profit drivers being – Margin per unit of commodity, rather than based on absolute value – Service-like fee income Control of the logistics value chain – Control of the logistics value chain – Uniquely positioned for geographical, product and time arbitrages – Market volatility and forward curve / spread opportunities – Unparalleled geographic and product diversification – Scale and market share E i f l i i i i fi d i k – Economies of scale in sourcing, transportation, storage, insurance, finance and risk management – Limited directional trading strategies, including the ability to profit in falling markets

GLENCOÂE I 9

Best in class alignment management and shareholder interests

CEO and CFO holdings in peers

Glencore management has considerably more “skin in the game” compared to peers

CEO and CFO holdings in peers

16.82% 18% 14% 16% 8% 10% 12% % O/S 4% 6% 8% % 0.02% 0.02% 0.11% 0.01% 0.25% 0% 2% BHP Billit Ri Ti t X t t A l A i F t Gl BHP Billiton Rio Tinto Xstrata Anglo American Freeport Glencore

Glencore total employee ownership currently 83%

GLENCOÂE I 10

Control of high quality industrial assets

Prodeco Kazzinc Katanga

g q y

• Major fully integrated zinc, copper and gold

producer in Kazakhstan, 50.7% owned by Glencore

• 8 mines, 2 zinc smelters, 1 lead smelter, 1 copper

smelter commenced in 2011, precious metal plant and auxiliary units

• Gold assets (being organised into Altyntau) include
• Large-scale copper-cobalt project in the

Democratic Republic of Congo, 74.8% owned by Glencore

• Listed on the Toronto Stock Exchange
• Open pit and underground mining, ore

concentrator leaching circuits and electro

• Thermal coal project in Colombia, 100%

Glencore ownership

• Two open-pit mines (Calenturitas and La

Jagua) and owned rolling stock and port facilities (1)

• Production expected to ramp up from 10m MT
• Gold assets (being organised into Altyntau) include

– 100% of VasGold – recovery of 450 - 500k oz p.a. expected – 48% of Novoshirokinskoe - expanding from 450k MT p.a. to 600k MT p.a. mine design capacity within 2 - 3 years P i t l f th K i i concentrator, leaching circuits and electro- winning plant

• Production expected to increase to c. 308k MT
• f copper, 8k MT of cobalt and 22k MT of

cobalt contained in cobalt hydroxide by 2015

• Reserves and Resources

R ( d d b bl )

• Production expected to ramp up from 10m MT

p.a. in 2010 to 19.9m MT in 2013 and 20.7m MT by 2015

• Saleable reserves of 337m MT, total

resources of 540m MT – Precious metals from other Kazzinc mines

• Reserves (proven and probable, contained metal):

– 3,122k MT Zn – 471k MT Cu – 855k MT Pb – Reserves (proved and probable) 97.0m MT ore (4.2 %TCu, 0.5 %TCo) – Resources (measured and indicated) 287.4m MT ore (4.0 %TCu, 0.5 %TCo) – Resources (inferred) 180.2m MT ore (2.3 %TCu, 0.3 %TCo) – 11.8 m toz Au – 77.3 m toz Ag

280,000, 350,000, 20 25

Production profile

Thermal Coal (m MT)

Production profile

Copper (k MT)

250 300 350 800 1'000

Production profile

Gold (k oz) Zinc (k MT) Gold Zinc

70,000, 140,000, 210,000, 5 10 15 50 100 150 200 250 200 400 600

GLENCOÂE I 11

,0, 20082009201020112012201320142015 2008 2009 2010 2011 2012 2013 2014 2015

2008 2009 2010 2011 2012 2013 2014 2015

Notes: (1) Licence to operate the port renewed on an annual basis until Puerto Nuevo is completed.

Control of high quality industrial assets

Mutanda West African Oil Assets Mopani

• Two fields under development offshore Equatorial

g q y

Guinea

• Aseng: first oil expected Q4 2011 at an estimated

rate of 50,000 barrels per day; Glencore stake 23.8%

• Alen: first oil expected Q4 2013 at an estimated

rate of 37,500 barrels per day; Glencore stake 25%

• Both fields operated by US listed Noble Energy,

Houston

• Further discoveries in Block I and O as well as

substantial exploration potential

• Glencore owns 73.1% of Mopani, with the

remainder of the business owned by First Quantum Minerals Ltd. (16.9%) and Zambia Consolidated Copper Mines Investment Holdings Plc (10%)

• Glencore owns 50% of Samref Congo Sprl

which in turn holds an 80% ownership interest in Mutanda Mining Sprl

• Glencore is the operator
• Newly developed high grade copper and

Holdings Plc (10%)

• Integrated mining and processing operation in

the Copperbelt region of Zambia, producing copper and cobalt metal. It can process oxide and sulphide copper-cobalt concentrates produced by Katanga and Mutanda.

• Mopani also produces sulphuric acid, which is
• Newly developed high grade copper and

cobalt producer; operations located in the province of Katanga in the DRC

• Mutanda is being developed to produce

approximately 110,000 tonnes p.a. of copper and approximately 23,000 tonnes p a of cobalt contained in cobalt hydroxide Mopani also produces sulphuric acid, which is used in the leaching operations at Katanga and Mutanda.

• Operations are located in the cities of Kitwe

and Mufulira. p.a. of cobalt contained in cobalt hydroxide as of 2012

• Potential for further production increase

through merger with Kansuki

100 120 210 280

Production profile

Copper (k MT)

Production profile

Copper (k MT)

20'000 25'000

Production profile

(bbls / d)

20 40 60 80 70 140 210 5'000 10'000 15'000 20 000

GLENCOÂE I 12

2008 2009 2010 2011 2012 2013 2014 2015 2008 2009 2010 2011 2012 2013 2014 2015 2008 2009 2010 2011 2012 2013 2014 2015

Industrial production growth p g

Cu equivalent 2'000'000 1'800'000 2 000 000 Additional potential growth from Kansuki and agricultural production 1'400'000 1'600'000 agricultural production Approved i 1'000'000 1'200'000 expansion projects 600'000 800'000 200'000 400'000 2008 2009 2010 2011E 2012E 2013E 2014E GLENCOÂE I 13 Mopani E&P Prodeco Kazzinc Katanga Mutanda Kansuki Agricultural

Key Financial Highlights y g g

US$ m H1 2011 H1 2010 % Change US$ m H1 2011 H1 2010 % Change Revenue 92'120 70'007 32% Adjusted EBITDA (1) 3'845 2'635 47% Adjusted EBIT (2) 3'303 2'197 50% Glencore income (3) 2'450 1'558 57% Operating cash flow before working capital changes 2'472 1'809 37% Funds from operations (FFO) (4) 2'145 1'372 56% Net Debt 8'287 14,756 (5) (44)% FFO to Net Debt(6) 49.6% 22.6%(5) 119.0%

(1) Adjusted EBITDA is revenue less cost of goods sold, less selling and administrative expenses, plus share of income from associates and joint controlled entities, plus dividend income, plus depreciation and amortisation. (2) Adjusted EBIT is Adjusted EBITDA less depreciation and amortisation. (3) Pre other significant items (4) FFO is Operating cash flow before working capital changes less net interest paid, less tax paid, plus dividends received from associates (5) FY 2010

GLENCOÂE I 14

(5) FY 2010 (6) Last 12 months

Robust Balance Sheet(1)

Investment grade credit rating has strengthened further:

H1 2011 FY 2010

g g g – Moody’s LT: Baa2 ST: P-2 Outlook: Stable – S&P LT: BBB ST: A-2 Outlook: Stable

H1 2011 FY 2010 Gross Debt $24.1bn $30.6bn

Strong credit metrics going into H2 $10.4bn of cash and committed undrawn unsecured

Net Funding $22.5bn $29.1bn Net Debt $8.3bn $14.8bn

credit lines Additional > $2bn available liquidity under committed in entor and recei ables borro ing base facilities

Gearing 22% 43%

inventory and receivables borrowing base facilities $1.3bn working capital release in Q2 2011 No material refinancing in the next 12 months

FFO to Net Debt 50% 23% Net Debt to Adjusted EBITDA 1.1x 2.4x

No material refinancing in the next 12 months Average VaR (1 day 95%) in H1 2011 was $48m (H1 2010: $37m)

EBITDA Adjusted EBITDA to Net Interest 8.3x 6.9x

Average variable cost of funds improved by ca. 50 bps since IPO

GLENCOÂE I 15

(1) All definitions as per Interim Report 2011

Working capital flows enhance resilience

In a scenario of declining commodity prices, the release in working capital compensates for drop in earnings

g p

The cash inflows preserve liquidity and position Glencore to capitalise on investment opportunities arising for example through a market downturn Current capital employed vs commodities markets

Q2 2008 – Q1 2009: 280 20,000

Current capital employed vs. commodities markets

• Rapid fall in commodity prices from the mid-2008 peaks
• Glencore’s operations released c.$8bn of CCE, more than
• ffsetting any impact of the fall in profitability.

230 280 16,000 based) loyed (US$m) 180 8,000 12,000 CCI Index (reb rent capital empl 130 4,000 Curr 80

• Q1

03 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11

Current capital employed CCI Index (rebased)

GLENCOÂE I 16

Note: Current capital employed defined as current assets less accounts payable, income tax payable and other financial liabilities.

Appendix Appendix

Key statistics y

Glencore operates significant industrial and marketing activities across the various business segments

Marketing activities Industrial activities Operational Glencore Main activity Sourcing, distribution and marketing Controlled and non- controlled investments in producing and development assets p A leading integrated producer and marketer

• f commodities

Geographical presence Over 40 countries Over 30 countries Employees Over 2,700 Over 54,800

(1)

Over 40 countries Over 57,500 Financial H1 11 Revenues Total assets: $81.4 bn $92.1bn H1 11 EBITDA $3.8bn H1 11 EBIT $3.0bn $2.3bn Glencore shareholders’ funds: $29.0 bn $3.3bn Standard & Poor’s: BBB (stable)

(3)

H1 Net income $2.5bn

(2)

Moody’s: Baa2 (stable)

GLENCOÂE I 18

Notes: (1) Marketing employees includes managers, support staff and employees in global offices. (2) Excludes exceptional items

Marketing illustration – arbitrage opportunities g

g pp

Glencore has the ability to implement and execute any combination of the following arbitrage opportunities Geographical 1 Timing 3 Product 2

Gasoline Ethanol Corn Vegoil Biodiesel

Energy distributor

Gasoil

Triangulation of freight

movements and regional supply/demand dynamics allow

Diverse commodity range, supply

base and extensive storage, handling and processing capabilities

Glencore is able to benefit from

‘inefficiencies’ in the shape of the forward price curves Definition

g

for capitalisation and execution

• f value add and profit

enhancing transactions enable exploitation of price differentials across various products

Glencore enters into generic and

flexible purchase and sales

Differences in grade, e.g. blending

different grades to meet contract

“Carry trades” booked in contango

market benefiting from its Definition flexible purchase and sales contracts with various industry participants

Extensive and global commodity

books provide opportunities to di t d t i t different grades to meet contract requirements at a lower overall cost

Locking in processing margins to

take advantage of price differentials between unprocessed and d d t market, benefiting from its comparatively lower financing and storage costs than that implied by the forward curve

Glencore can benefit from a

b k d ti k t b i i E l divert cargos and enter into swap agreements to optimise physical delivery schedule

Optimisation of existing

contracts results in reduced processed product

Substituting products where an end-

product can be produced from a variety of commodities (e.g. animal feed) backwardation market by pricing sales contracts as early as possible and deferring the quotation periods (QPs) of supply contracts Examples GLENCOÂE I 19 shipping costs and higher profit margins compared to standard trades )

Marketing illustration – geographical arbitrage

Vanilla transaction executed by various industry participants… Vanilla transaction executed by various industry participants… … premium profit margins achieved by Glencore due to its extensive and global alumina book with insight into freight movements … premium profit margins achieved by Glencore due to its extensive and global alumina book with insight into freight movements

1 2 3 4a 4b

Purchase contract Sales contract Swap agreement Optimisation of Optimisation of

g

g g p g

Glencore enters into an

exclusive 10 year purchase agreement from an Alumina refinery in the Mediterranean basin.

1

Glencore enters into a

contract to supply alumina to a Black Sea customer (B)

The logical origin to supply

2

Approached by a large

producer with commitments to deliver alumina into the Mediterranean, Glencore swaps its Mediterranean

3

Glencore has an existing

alumina supply commitment to Iceland (D), typically sourced from Jamaica (E). I li ht f th

4a

Jamaican alumina (E) is

then finally shipped to the Black Sea customer (B) resulting in a higher margin

Glencore’s ability to

4b

Purchase contract Sales contract Swap agreement Optimisation of existing contracts Optimisation of existing contracts alumina is from A. Net of freight costs, the sales agreement is priced at premium to the purchase contract thereby locking in a modest margin. Alumina (A) for Northern European Alumina (C) in exchange for the freight differential

In light of the swap

agreement, Glencore recognises the benefit of supplying the new Northern European Alumina (instead

• f the Jamaican) to Iceland

due to reduced shipping

Glencore’s ability to

• ptimise freight and

rationalisation of existing contracts allow it to lock in a higher profit margin on a standard trade pp g costs.

B C D B A A C E A

Extensive and global alumina book provide flexibility to enhance profit margins Glencore’s reputation as a secure and reliable counterparty present additional opportunities to optimise existing contracts Triangulation of global freight movements allow Glencore to capitalise and execute value add and profit enhancing trades

GLENCOÂE I 20

Marketing illustration – product arbitrage

Glencore’s diverse commodity range and processing ability enables it to exploit price differentials

across various products, for example U i diff i d bl di diff t d t th t t t t i t t

g

p g

– Using differences in grade, e.g. blending different grades together to meet contract requirements at

a lower overall cost

– Locking in processing margins to take advantage of price differentials between unprocessed and

processed product

– Substituting products where an end-product can be produced from a variety of commodities (e.g.

animal feed) Illustrative example - Agriculture

• After 3 months, relative

forward price movements

• Glencore improve their

margin by selling

Scenario Catalyst Outcome 1 3 2

Gasoline

forward price movements mean Glencore calculates that the margin would improve with a blend of 75% rapeoil and 25% soyoil margin by selling rapeoil and buying soyoil

Ethanol Biodiesel Energy distributor Corn Vegoil Gasoil

• Different vegoil blends (rapeoil, soyoil, palmoil) produce

Biodiesel with different quality specifications and hence market values B d 12 th f d i Gl l l t GLENCOÂE I 21

• Based on 12 month forward prices Glencore calculate an
• ptimal Biodiesel producer’s margin with a feedstock of

100% rapeoil

Marketing illustration – time arbitrage

Glencore is able to benefit from inefficiencies in the shape of the forward price curves – In a contango market, Glencore can book “carry trades”, benefiting from its comparatively lower

fi i d t t th th t i li d b th f d

g

g

financing and storage costs than that implied by the forward curve

– Glencore can also benefit from a backwardation market by pricing sales contracts as early as

possible and deferring the quotation periods (QPs) of supply contracts

Time arbitrage is dependent on the existence of liquid forward and futures markets and competitive

g p q p access to storage and financing Illustrative example - Oil in a contango market

• Glencore purchases

100 barrels of oil at

• 3 month forward

price is $80 per

• Glencore sells

forward 100 barrels

• At maturity Glencore

delivers 100 barrels Scenario 1 Outcome 4 Glencore’s strategy 3 Catalyst 2 100 barrels of oil at $75 each price is $80 per barrel forward 100 barrels at $80, resulting in a profit before financing, storage and other delivers 100 barrels

• f oil
• Profit per barrel is $5

less say $3 of financing storage Current value Forward price

$85

and other transaction costs of $5 financing, storage and other transaction costs

$75 $80

$75 / bbl $80 / bbl

Spot 3m forward

$70

GLENCOÂE I 22

Marketing illustration – freight & logistics

Glencore’s freight and logistics operations are key to supporting marketing strategies, understanding

trade flows and adding additional value, for example B b i bl t h i ll t t d t d t t t k d t f ili k t

g

g g

– By being able to physically transport and store products to take advantage of prevailing market

conditions

– The scale of operations ensures low cost transportation, often allowing Glencore to win contracts by

• ffering a lower unit price CIF (Cost, Insurance, Freight) than competitors

Illustrative example - General Scenario 1 Outcome 3 Glencore’s strategy 2

• Market price of a commodity

in location X is $100 P ili k t t t

• Glencore is able to operate

at lower unit costs for freight due to scale, experience and ti l i t ti

• Glencore can offer a CIF

price of say $106-$110 and still win the contract as l t t id

• Prevailing market transport

cost to ship the commodity to location Y is $10, total CIF price is $110 vertical integration lowest cost provider Market = $10 / unit Glencore = $6 / unit

GLENCOÂE I 23

World class management and Board g

Highly experienced Board of Directors and management team

Simon Murray Independent Non Executive Chairman

• Aged 71
• Executive Chairman of GEMS
• Board member of Richemont and

p Independent Non Executive Directors Executive Directors

Board member of Richemont and Essar Energy

CEO INED SID INED CEO Ivan Glasenberg INED Peter Coates

• Aged 65
• 40 years of experience in the

resource industry

• Member of the Boards of

SID Anthony Hayward

• Aged 54
• Former CEO of BP
• Board member of TNK-BP and

partner of AEA Investors

INED Leonhard Fischer

• Aged 48
• CEO of RHJ International and

former CEO of Wintherthur Member of the Boards of Julius

• Aged 54
• BoD Member since 2002
• CEO of Glencore since 2002

27 ith Gl

• Member of the Boards of

Santos and Amalgamated Holdings partner of AEA Investors, founder of Vallares

• Member of the Boards of Julius

Baer Gruppe, AXA Konzern and Arecon

• 27 years with Glencore

CFO Steven Kalmin INED William Macaulay

A d 66

INED Li Ning

• Aged 54

A d 41

GLENCOÂE I 24

• Aged 66
• Chairman and CEO of First

Reserve

• Chairman of Dresser-Rand
• Aged 54
• Executive Director of Henderson

Land Development Company

• Director of Hong Kong (Ferry)

Holdings

• Aged 41
• CFO of Glencore since 2005
• 12 years with Glencore