SA_AMP 2016 Team 2

Team 2

Compe ve Summary Report: 2015

(All Dollars in 000s) Team 1 Team 2 Team 3
ROCE [15%] 2.3% 2.3% 2.3%
Overall HES Index [90]
Refining Yield Percentage [85%] 76.79 76.79 76.79
Employee Engagement [85%] 79.6% 79.6% 79.6%
Customer Sa sfac on ­ Overall [90%] 72.3% 72.3% 72.3%

Revenue 84.5 84.5 84.5
Revenue Growth
EBITDA % Revenue $3,216,493 $3,216,493 $3,216,493
Capital Expenditures 8% 8% 8%
Capital Investments
Refinery Expansion 17.4% 17.4% 17.4%

Market Price $162,667 $162,667 $162,667
Requested Price Premium $0 $0 $0
Realized Price Premium
$96.00 $96.00 $96.00
Average Produc on Costs per MT 3.00% 3.00% 3.00%
Average Cost per MT Refined 0.22% 0.22% 0.22%

Refining Capacity: $9.03 $9.03 $9.03
Vilkarthia $41.46 $41.46 $41.46
New Pebros
Total Refining Capacity 25,500,000 25,500,000 25,500,000
16,500,000 16,500,000 16,500,000
Total Goup Sales to Spot Market 42,000,000 42,000,000 42,000,000

Total Goupine Deliveries (100,296,000 ) ­­­
Contracted Deliveries %
Percent Sold on Spot Market 33,432,000 33,432,000 33,432,000
Percent Dumped 30.76% 30.76% 30.76%
62.19% 62.19% 62.19%
Goup Reserves 7.05% 7.05% 7.05%
Vilkarthia
Ending Goup Reserves 329,964,288 329,964,288 329,964,288
Average Reserves Grade 71.44% 71.44% 71.44%
Years reserves at current produc on rate 9.3 9.3 9.3
New Pebros
Ending Goup Reserves 325,706,164 325,706,164 325,706,164
Average Reserves Grade 78.74% 78.74% 78.74%
Years reserves at current produc on rate 15.6 15.6 15.6
Shipping Services
Average Shipping Cost ($/t) $1.67 $1.67 $1.67
Total Shipping Costs ($000s) $55,831 $55,831 $55,831

HES 75.35 75.35 75.35
Regional HES Index 78.75 78.75 78.75
Vilkarthia 76.79 76.79 76.79
New Pebros
Overall HES Index 4.09 4.09 4.09
Overall Safety Metrics 0.91 0.91 0.91
Overall RIFR
Overall LTIFR

Report 1 02/15/2016 10:25 AM Report 1

Team 2

Income Statement & Balance Sheet: 2015

Amounts in 000s Income Statement

Revenue % Revenue 2015 2014 2013
Goupine Sales $2,976,785 $2,742,427
100.0% $3,216,493 $2,976,785 $2,742,427
Total Revenue ($1,386,276) ($1,409,620)
Goupine Cost of Sales 100.0% $3,216,493 $1,386,276 $1,409,620
$1,590,509 $1,332,807
Cost of Goods Sold (43.1%) ($1,386,028)
Gross Margin ($425,285) ($392,368)
43.1% $1,386,028 ($152,490) ($155,058)
Expenses ($287,947) ($287,695)
Employee related costs 56.9% $1,830,465
Opera ng Supplies ($83,177) ($84,577)
External Services (14.1%) ($455,133) ($98,234) ($90,500)
External U li es (4.7%) ($152,463) ($254,258) ($251,914)
Corporate services (9.1%) ($291,732) ($53,826) ($51,485)
Other opera ons expenses (2.6%) ($30,000) ($30,000)
Shipping services (3.3%) ($83,162) ($174,426) ($152,377)
Marke ng (8.2%) ($106,144)
Interest (1.7%) ($262,654) ($1,426) $0
Royal es (0.9%) $30,866 ($163,167)
(6.8%) ($55,831) ($10,494)
Earnings before tax (0.3%) ($30,000) $18,946 $0
Taxa on 5.4% ($218,590) ($163,167)
(1.8%) 9%
Net Earnings 3.3% ($8,074) 12.3% (26%)
$174,756 $367,463 5.3%
Revenue Growth ($59,417) $145,827
EBITDA % Revenue $107,265
EBITDA 2013
8%
Assets 17.4% $3,214,779
$561,164 $303,911
Cash $243
Accounts Receivables Balance Sheet 2014
Goup $4,058,760
Property, plant and equipment 2015 $3,227,414
$324,088 $7,577,693
Total Assets $3,242,275 $228
Liabili es $349,408 $0
$228 $4,055,746 $0
Taxes Payable $2,344,261
Royal es Payable $4,050,595 $7,607,476
Debt $2,555,700
$7,642,506 $10,494 ($2,005,799)
Equity $1,426 $4,683,531
$59,417
Capital Stock $8,074 $2,683,470 $7,577,693
Corp Contribu on
Retained Earnings $2,914,531 $2,555,700
($2,346,091)
Total Liabili es and Equity $2,555,700 $4,702,477
($2,704,958)
$4,809,742 $7,607,476

$7,642,506

Report 2 02/15/2016 10:25 AM Report 2

Team 2

Cash Flow: 2015

Amounts in 000s 2015 2014 2013
$3,227,414 $3,214,779 $2,182,199
Beginning Cash Balance
Inflows $3,191,173 $2,956,608 $2,748,025
$231,061 $339,209 $2,344,261
Collec ons $7,274,485
Debt Issued $6,649,648 $6,510,596
Total Cash Available ($392,368)
Ou lows ($455,133) ($425,285) ($155,058)
Employee related costs ($152,463) ($152,490) ($287,695)
Opera ng Supplies ($291,732) ($287,947)
External Services ($84,577)
External U li es ($83,162) ($83,177) ($90,500)
Corporate services ($106,144) ($98,234) ($251,914)
Other opera ons expenses ($262,654) ($254,258) ($51,485)
Shipping services ($53,826) ($30,000)
Marke ng ($55,831) ($30,000) ($152,377)
Interest ($30,000) ($174,426) ($113,655)
Contribu on to Corp ($218,590) ($340,292) ($850,590)
Goupine Refining ($358,867) ($844,620) ($380,055)
Raw Material Produc on ($838,905) ($379,470) ($159,157)
Capital Investments ($379,305) ($159,157) ($126,838)
Royal es Paid ($162,667) ($933,437)
Taxes Paid $0 ($4,059,706)
Total Ou lows ($1,426) $0 $3,214,779
Ending Cash Balance ($10,494) ($3,283,182)
($3,407,373) $3,227,414
$3,242,275

Report 3 02/15/2016 10:25 AM Report 3

Team 2

Employee Engagement and Capability Report: 2015

Staffing Vilkarthia New Pebros
Contractor U liza on (% of workforce) 25% 25%

Employees at end of 2014 1,990 1,559
New Employees 676 412
Staff during 2015
Employees leaving at end of 2015 2,666 1,971
Staff available for 2016 (477) (363)
2,189 1,608
Average Tenure/Experience (Years)
5.6 4.8
Employee Engagement
Work environment and process 75.9% 77.1%
Training and development 77.0% 71.8%
Workload 71.8% 77.8%
Leadership 66.8% 66.8%
Overall Engagement 72.4% 72.0%

Average Overall Engagement 72.3% 70.7%
71.8
Staff Skill Level 75.9%
Staff Produc vity Ra ng 77.1 99.5%
Staff Workload
111.1% HES Report
Safety Performance
0.92 0.91
per 1,000,000 hours 4.27 3.85

LTIFR 0.91
RIFR 4.09

Overall LTIFR 76.6 82.5
Overall RIFR
80.3 85.8
Safety Index
Environmental Performance 70.6 70.6

Environmental Index 75.3 78.7
Stakeholder Engagement 76.8

Stakeholder Index Customer Sa sfac on Report

Regional HES Index 83.0
Overall HES Index 84.0
84.0
Goupine 86.0
79.0
Reputa on 69.0
Price 84.5
Product Quality
Delivery
Technical Service
Ease of Doing Business
Overall Customer Sa sfac on

Report 4 02/15/2016 10:25 AM Report 4

Sales Goupine Team 2

Team 1 Tonnes Market Summary Report
Team 2 33,432,000 (Es mates for 2015)
Team 3 33,432,000
33,432,000 Sales
Total Tonnes Sold (000s): $3,216,493
Total Sales ($000s): $3,216,493
$3,216,493

100,296,000

$9,649,479

Es mated Prices Goupine Realized Requested
Premium Premium
Base Market Price ($ / tonne) $96.00 3.0%
0.22% 3.0%
Team 1 Actual Realized 0.22% 3.0%
Team 2 Price 0.22%
Team 3
$96.21
$96.21
$96.21

Compe ve Opera ons Summary Average Unit Cost of Refining Refining
Goupine Goods Sold
Goupine Capacity: Capacity: New
74.1% $41.46
Team 1 74.1% $41.46 Vilkarthia Pebros
Team 2 74.1% $41.46
Team 3 25,500,000 16,500,000

25,500,000 16,500,000

25,500,000 16,500,000

Es mated Demand Forecast Product Market Forecast Forecast Forecast Forecast
Goupine Informa on 2016 2017 2018 2019
Market Demand
Change from last year 2015 408,925,703 476,398,447 518,321,510 370,081,551
Spot Market Prices 367,078,728 11.4% 16.5% 8.8% (28.6%)
Spot Market Prices
7.5%

Goup $22.00 $25.00 $28.00 $22.50 $21.70
Goupine $96.00 $107.00 $125.00 $136.00 $97.00

Report 5 02/15/2016 10:25 AM Report 5

Team 2

Marke ng and Customer Support: 2015

Forecast vs. Actual Orders 2015 2014 2013

Goupine 15,000,000 15,000,000 15,000,000
Total (all Business Units) 10,283,087 9,535,246 9,535,246
Forecasted Contract Orders
Actual Contracted Orders 3.0% 3.0% 3.0%

at Requested Price Premium of 20,790,456 21,164,377 21,164,377

Spot Market Orders $96 $96 $96

at Spot Market Price of 2,358,457 2,732,377 2,732,377

Units Dumped on Spot Market 33,432,000 33,432,000 33,432,000
30.76% 28.52% 28.52%
At 90.0% of Spot Market Price 62.19% 63.31% 63.31%
7.05% 8.17% 8.17%
Total Actual Orders
Percent Contracted 2015 2014 2013
Percent Sold on Spot Market
Percent Dumped $96.00 $89.00 $82.00
3.00% 3.00% 3.00%
Goupine Price 0.22% 0.04% 0.04%

Market Price 33,432,000 33,432,000 33,432,000
Requested Price Premium 0 0 0
Realized Price Premium 0 0 0
0 0 0
Weighted Avg Price Based on Order Type
33,432,000 33,432,000 33,432,000
Shipping Opera ons 33,432,000 33,432,000 33,432,000

Total Capacity Needed $1.67 $1.67 $1.67
Contracted Capacity (Tonnes) $1.67 $1.61 $1.54
Ships Owned $55,831 $53,826 $51,485
Owned Shipping Capacity
New Contracted Capacity Needed 2015 2014 2013
Shipped at Market Price
Market Shipping Price ($/t) $43,700 $43,700 $43,700
Average Shipping Cost ($/t) $2.91 $2.91 $2.91
Total Shipping Costs ($000s)
$64,100 $64,100 $64,100
Investment Levels ($000s) $4.27 $4.27 $4.27

Technical Service Investment 2015 2014 2013

Technical Service Invest./Forecasted Sales 86 86 86
0.00% 0.00% (14.00%)
Customer Support Investment
84 84 84
Customer Support Invest./Forecasted Sales 0.00% 0.00% 0.00%

Customer Sa sfac on 79 79 84
0.00% (5.95%) 0.00%
Goupine
Delivery 69 69 75
0.00% (8.00%) 0.00%
% Change from Previous Year

Price

% Change from Previous Year

Technical Service

% Change from Previous Year

Ease of Doing Business

% Change from Previous Year

Report 6 02/15/2016 10:25 AM Report 6

Team 2

Explora on Opera ons Report: 2015

Investment Levels ($000s) 2015 2014 2013

Regional Explora on Investments $40,000 $25,000 $25,000
New Pebros $20,000 $20,000 $20,000
Explora on Technology
365,467,248 400,800,000 430,800,000
Goup Reserves (35,502,960) (35,332,750) (29,999,999)
Vilkarthia 329,964,288 365,467,248 400,800,000
Beginning Goup Reserves
Goup Produc on 71.44% 71.83% 72.17%
Ending Goup Reserves 9.3 10.3 13.4

Average Reserves Grade 346,530,820 367,238,132 385,370,000
Years reserves at current produc on rate (20,824,656) (20,707,312) (18,131,868)
325,706,164 346,530,820 367,238,132
New Pebros
Beginning Goup Reserves 78.74% 79.23% 79.68%
Goup Produc on 15.6 16.7 20.3
Ending Goup Reserves
2015 2014 2013
Average Reserves Grade 103 102 101
Years reserves at current produc on rate

Goupine Performance Measures

Explora on Technology Index

Explora on Area Explora on Opportuni es
Reserve Size
Product Grade New Pebros 1
Probability of Success 145,000,000
Development Cost
Projected NPV 81.00%
Time to Develop 82%
Projected Reserves Life
$631,000
$3,111
2 years

13.7 years

Report 7 02/15/2016 10:25 AM Report 7

Team 2

Produc on Opera ons Report: 2015

Produc on Decisions 2015 2014 2013
100% 100% 100%
Vilkarthia: Adjustments to Plan
Vilkarthia: Sell to Spot Market 0 0 0
Vilkarthia: Maintenance and Opera ons $35,000 $35,000 $35,000
Vilkarthia: Produc on Technology $30,000 $30,000 $30,000
Vilkarthia: Extrac on Safety Investment $15,000 $15,000 $15,000
New Pebros: Adjustments to Plan
New Pebros: Sell to Spot Market 100% 100% 100%
New Pebros: Maintenance and Opera ons 0 0 0
New Pebros: Produc on Technology
New Pebros: Extrac on Safety Investment $25,000 $25,000 $25,000
$30,000 $30,000 $30,000
Goup Inventory
$7,500 $7,500 $7,500
Vilkarthia
2015 2014 2013
Beginning Inventory
11,500 11,500 11,500
Goup Produc on 25,500,000 25,500,000 25,500,000
Plus: Raw Material Purchases
Less: Goup Refined 0 0 0
25,500,000 25,500,000 25,500,000
Ending Goup Inventory
11,500 11,500 11,500
New Pebros
13,900 13,900 13,900
Beginning Inventory 16,500,000 16,500,000 16,500,000

Goup Produc on 0 0 0
Plus: Raw Material Purchases 16,500,000 16,500,000 16,500,000
Less: Goup Refined
13,900 13,900 13,900
Ending Goup Inventory
2015 2014 2013
Cost of Produc on
$9.20 $9.20 $9.21
Goup 0.00% (0.11%) (0.32%)
Vilkarthia
Produc on Costs per Metric Tonne $8.77 $8.78 $8.80
% Change from Previous Year (0.11%) (0.23%) (0.45%)
New Pebros
Produc on Costs per Metric Tonne 2015 2014 2013
% Change from Previous Year $22.00 $21.40 $24.00
2.80% (10.83%) (1.23%)
Goup Spot Market
Cost per Metric Tonne 2015 2014 2013
% Change from Previous Year $9.20 $9.20 $9.63
0.00% (4.50%) (98.99%)
Average Cost of Goup Refined $8.77 $8.78 $9.50
(0.12%) (7.57%) (98.87%)
Vilkarthia
% Change from Previous Year 2015 2014 2013
New Pebros
% Change from Previous Year 94 96 98
94 96 98
Goup Performance Measures

Explora on Technology Index
Vilkarthia
New Pebros

Report 8 02/15/2016 10:25 AM Report 8

Team 2

Refining Opera ons Report: 2015

Goupine Investment Levels ($000s) 2015 2014 2013

Maintenance and Opera ons $70,000 $70,000 $70,000
$1.30 $1.30 $1.30
Investment per Thousand Metric Tonnes
$45,000 $45,000 $45,000
Refining Technology $0.83 $0.83 $0.83

Investment per Thousand Metric Tonnes $20,000 $20,000 $20,000
$10,000 $10,000 $10,000
Vil: Processing Safety Investment
NP: Processing Safety Investment

Cost of Goupine Plus 2015 2014 2013

Vilkarthia N/A N/A N/A
Goup HD Cost $13.77 $13.86 $13.96
Labor and Direct Overhead $12.29 $12.37 $12.46
Fixed Product Costs
Deprecia on $5.84 $5.65 $5.46
Cost per Metric Tonne Refined $43.46 $43.44 $43.98
0.04% (1.23%) (96.42%)
% Change from Previous Year
N/A N/A N/A
New Pebros $12.54 $12.63 $12.71
Goup HD Cost $11.07 $11.14 $11.22
Labor and Direct Overhead
Fixed Product Costs $3.74 $3.61 $3.49
Deprecia on $38.37 $38.41 $39.36
Cost per Metric Tonne Refined (0.12%) (2.40%) (96.37%)
$41.46 $41.47 $42.16
% Change from Previous Year (0.02%) (1.66%) 0.00%

Cost per Metric Tonne Sold

% Change from Previous Year

Goupine Refining 2015 2014 2013

Vilkarthia 25,500,000 25,500,000 25,500,000
Capacity 25,500,000 25,500,000 25,500,000
Capacity U lised
Percent of Plan 100% 100% 100%
Refinery Yield 20,298,000 20,298,000 20,298,000
Refinery Yield %
Goupine Plus Purchases 79.6% 79.6% 79.6%
New Pebros 0 0 0
Capacity
Capacity U lised 16,500,000 16,500,000 16,500,000
Percent of Plan 16,500,000 16,500,000 16,500,000
Refinery Yield
Refinery Yield % 100% 100% 100%
Goupine Plus Purchases 13,134,000 13,134,000 13,134,000

79.6% 79.6% 79.6%
0 0 0

Total Goupine Sales 33,432,000 33,432,000 33,432,000

Customer Sa sfac on 2015 2014 2013

Goupine 84 77 68
Product Quality 9.09% 13.24% 74.36%

% Change from Previous Year

Performance Measures 2015 2014 2013

Goupine 100 100 100
Refining Technology Index 93 90 86
Product Quality Index
3.33% 4.65% 7.50%
% Change from Previous Year 79.6% 79.6% 79.6%
0.00% 0.00% 0.25%
Refining Yield Percentage

% Change from Previous Year

Report 9 02/15/2016 10:25 AM Report 9

Team 2

Opera ng Decisions: 2015

All Units in 000s except Talent Development Programs

Marke ng & Support Decisions

Marke ng $30,000

Goupine

Requested Price (% Premium) 3.0%

Projected Contracts (t) 15,000,000

Adj to Projected Sales to Spot Mkt 100.0%

Support Decisions Standard
Technical Support

Customer Support Standard

Explora on Decisions $40,000
$20,000
Regional Explora on Investments
New Pebros
Explora on Technology

Produc on Decisions Vilkarthia New Pebros

Adjustments to Plan 100% 100%
Sell to Spot Market ­ ­
Maintenance and Opera ons
Produc on Technology 35,000 25,000
Extrac on Safety Investment $30,000 $30,000
$15,000
Refining Decisions $7,500

(All units in 000s) Vilkarthia New Pebros

Percent of Refining Plan Goupine Goupine
Capacity Expansion (tonnes) 100% 100%
Processing Safety Investment ­ ­

Maintenance and Opera ons $20,000 $10,000
Refining Technology
Goupine
Staffing & Talent Development $70,000
$45,000
Contractor Usage
Talent Pipeline Vilkarthia New Pebros
Local Job Skill Programs
Diversity Programs 25% 25%
Employee Engagement Programs 0% 0%
Leadership Development
$3,000 $3,000
Shipping Decisions $1,200 $1,200

Contracted Capacity $800 $800
PanaMax ships to acquire $3,000 $3,000

0 Metric Tonnes
0 Available for service next year

Report 10 02/15/2016 10:25 AM Report 10