Debt Investors

Overview

This overview of MinRes' debt profile, liquidity and credit ratings is correct as of 31 December 2024.

Debt is generally raised in the name of Mineral Resources Limited or a subsidiary and may be secured or unsecured.

In certain circumstances debt may be raised directly by a subsidiary or joint venture and will have separate security arrangements and financial covenants.

Debt is raised in AUD and USD but may be raised in other currencies, if required.

Credit ratings

Financial policies

• The Group targets a minimum liquidity of A$400M, achieved through revolving working capital facilities and cash on hand.
• Long-term target of gross leverage < 2.0x EBITDA.
• Fully discretionary 50% Underlying NPAT dividend payout policy, with the MinRes Board determining the extent of dividends based on profitability, market and balance sheet strength.

Bank Debt

• MinRes has revolving cash advance and bank guarantee facilities with its long-term relationship banks.
• As at 31 December 2024, the Group had access to an A$800M revolving credit facility with a suite of nine domestic and international banks. This facility matures on 30 June 2027.
• The Group regards this as a continuing facility that will be extended on an ongoing basis.

Financial Covenants

• The Group is subject to certain financial maintenance covenants associated with its $800M revolving credit facility.
• These relate to certain financing ratio thresholds and ensuring subsidiaries contribute minimum threshold amounts of EBITDA and Total Assets and are guarantors under the facilities.
• These covenants are tested on 30 June and 31 December each year.
• Meeting covenant requirements is the priority in all capital risk management decisions.
• The Group complied with all its financial maintenance covenants as at 31 December 2024.

Asset Finance (incl. transhippers)

• In addition to revolving credit facilities and capital markets debt supporting general corporate purposes, MinRes finances its fleet via hire purchase and lease facilities which are secured by the specific assets financed.
• This includes key assets such as our transhipping fleet, haulage trucks and other mining equipment.
• The Group has several asset finance providers, including banks and equipment manufacturers, and diversifies its leasing exposure to reduce risk.
• The Group’s asset finance liabilities are limited by both the conditions of the Group’s revolving credit facility and its senior unsecured bonds to the greater of $430M and 10% of the total assets less cash of the borrower group.

Bonds

Bond documentation

To access key offering documentation associated with each of the Group’s notes, including Offering Memorandums and Indentures, please email investorrelations@mrl.com.au.

Debt maturity profile ^(a)