Hi everyone, thanks for joining me on the update of the first half of FY26. We'll just flick through the results, and then I'll give you an update on where we're up to with our existing operations and our projects.

Usual disclaimers: please do your own research before you buy or sell our shares. About Bathurst, look, anyone that's been following the company for a while knows the story, but if you're new to us or you want an update, we are an operating company.

We've got four operations in New Zealand: Takitimu, Stockton, Rotowaro, and Maramarua, and we'll show you in a sec where they where they are located within New Zealand. We've also then got the Buller project, which is a extension project of the Stockton mine.

Tenas and Crown Mountain are both in British Columbia, in Canada, and they are all development projects which add to our story. Just where we're up to today, well, at the end of December, we had a share price of around 69 cents Australian, market cap of $166 million, and a very low enterprise value of $32 million.

At the end of we had $155 million in the bank at the end of kiwi dollars at the end of December. The team on your right is our board.

Peter, myself, Russell, and François have been together since about 2015 when we restructured the company, and really that was based around a strategy which I'd like to take you through now. It was always about getting stable operations, stable, safe, profitable operations, which really centered around Takitimu and our Canterbury mine at the time and our one West Coast operation with the project of Escarpment as well, and and obviously the other add-on parts of the Buller projects, which we have held since 2010.

With the addition of Stockton, Maramarua, and Rotowaro in 2017, we really then escalated into the export business and also, probably just as importantly, increased that base of domestic production. That's really been a matter of ensuring those are profitable, ensuring that we're operating, good, safe both in terms of our people, but also the environments we work in, and then also looking for growth opportunities.

That's manifested itself in some extension projects that we've got within New Zealand from existing operations, but also two projects in Canada. Really the goal here is to have good capital return.

The way we we were structured to get into some of those operations has been less than ideal in terms of our interactions with joint ventures, but the path forward has us generating a lot more free cash 100% owned by Bathurst, and then that leaves then up to us as directors to return that cash back to shareholders as we need to. Our products: we export steelmaking coal into the international market, we've got customers across Asia.

We sell coal domestically to into steel production. We sell coal to domestic electricity generation.

In New Zealand, it's not baseload for coal, it's actually the the last thing turned on and the first thing turned off. It's it actually keeps the lights on when the when the wind's not blowing or the hydro schemes have got issues or if if gas is is not available.

It's actually the sort of the the peaker, if you like, which is a little bit different to some jurisdictions. Also one of our important parts of our business, which has changed considerably over time, is process heat, which is really providing energy for value-add to New Zealand primary production.

That's been that's gone from being a large part of our business, 100%, down to about 5% of our overall revenues now. To New Zealand, we've got Maramarua right to the north, just south of Auckland.

We've got Rotowaro in the in the historic Huntly coalfields, our head office in Wellington. On the West Coast of the South Island, we've got Stockton with the Buller project right beside it, and we'll talk more about that.

We've got our BT office and BRL office in Christchurch, distribution yard in Timaru, and our most southern mine, Takitimu, providing process heat coal to the lower South Island. Each of these projects have got their own sort of reserve bases, own production profiles, and very much based around the markets that they're in.

One of the key strategies here has been making sure that we are reacting to changes with particularly within the domestic market. We're still seeing strong demand for our coking coal.

Some of our customers have been taking this coal for 50 years this year. Some of the Indian market has been well and truly over over 20 years.

That that demand's not decreasing because of the low ash, high vitrinite, leading to a lower overall fuel rate for those coke makers and steelmakers. That that has been the mainstay of our New Zealand export business.

We are seeing a drop-off in demand for domestic coal, particularly for process heat, as, a number of strategies from New Zealand government has kicked in, and and and businesses as well. Obviously, we've we've ameliorated our development plans to actually meet that same demand profile, we're not going to end up with a stranded asset.

To look at some of the financials for the half year, revenue was pretty close actually, only about $4 million down. We were pretty close, as we'll see, with the export business, but it was all around volume, not so much price.

The price was quite a bit lower than what we experienced through FY25, but we had an increased volume in the first half because, again, anyone that's been following the company, we had an issue on the main rail line going from Stockton through to Lyttelton with the Otira Tunnel that was out for a number of months. We had to truck around that.

We were down about 150,000 tonnes for the quarter for the half, sorry, that 25 versus H1 versus '26 H1. EBITDA is down, mainly around increasing costs.

We're doing development cutbacks at Maramarua and Rotowaro, and we've had also an increase in strip ratio at Stockton. Cash in the bank's actually gone up.

We did a capital raise in the first part of this financial year and, sorry, yeah, last financial year, and that cash is still flowing through on a 100% basis into our accounts. Profit is down.

Again, we're we're down on export revenues, down on export EBITDA, sorry, and we are spending a lot of money on these various projects that we'll cover in a second. Just look at the individual components.

As I said, the the actual production sales were up, production and sales were up for the half versus the '25 half due to the tunnel being in '25, but the pricing was quite a lot lower. Revenue was slightly higher, but we have incurred higher costs, our EBITDA is down a little bit versus where we were in first half of '25.

We are expecting, though, to come home strongly with the forward curve at the moment going out to about 240 by the end of the the financial year versus our budget or forecast of around 200. Rotowaro, again, we're still in quite a large cutback phase, we're just just a bit under 5 million bcm for the half year against 4 million bcm for the same period in '25.

We have had elevated costs, mainly around plant hire and labor to try and make up some of that the the shortfall we were experiencing. We've had some quite large equipment outages, which has then lead to increase in in higher plant.

Again, we are getting towards the end of that quite large hill of overburden, and then we'll get in a position where we'll be back to more steady-state overburden removal and and coal sales. That that coal is all fully sold into our two major markets, which is steelmaking and electricity generation in the North Island.

Maramarua, we've we we are seeing quite a significant change in our market here, pretty much just aligning with those two larger customers, as I was so saying before. The process heat market is is disappearing quite quickly in the North Island, but, again, it was not unknown, and we've reacted to that.

The next part of that review process is that we'll be moving from a 6-day week back to a 5-day week, single shift. That'll be occurring in the next couple of months.

Rotowaro is actually going through a similar phase where we're going from 7-day operations back to 5-day operations, but we'll have the gear available and maintenance crews available on the weekends to try and increase the overall reliability and availability of that equipment and try and reduce some of the plant hire and costs. Takitimu, we've had quite a significant shift here from from last year.

The original plan was that we would we would maximize production and rehabilitation through this financial year '26. In reacting to the market, we've seen some more coal come out, but we've actually have got more coal in the pit than what we originally anticipated.

We are going to continue on on a full basis for FY26 and into FY27, but we're also accelerating some of the rehabilitation work. The idea is we will generate slightly less cash this year than what we're anticipating, but we will then generate cash in the next financial year at about the same level while we complete the rehabilitation.

Probably a better situation in some ways in rather than trying to do a complete stop at the end of June this year and then going into a full rehab mode. Even though we're we're we are down a little bit on profit, we are still a significant part of the New Zealand's economy, about $350 million pumped into the economy for FY25.

We've got about 700 employees, we're paying them just under $90 million a year. Taxes, royalties, and government fees are down a little bit.

Obviously, a lot of that's profit profit-driven, and we are seeing, as as we've shown, profits are down from where they were in subsequent years. This is a number that some of our opponents quite like to concentrate on, but of course, they like to ignore the fact that we we are actually then pumping about $260 million into New Zealand-based suppliers, whether that's diesel, explosives, parts, all the myriad of things that you've got to keep supplying to be able to keep operating.

Health and safety is very much at our forefront, in in everything that we do, whether it's existing operations or moving into our projects and or as and as we are assessing our projects. We've had a number of low-level incidents over the last 6 months, a lot more than than we're very happy with.

It's led to a number of minor injuries and and, some sort of high-potential incidents during that as well, which have really required attention. We've strengthened our field leadership program.

We see that as being when when we have really concentrated on that program in the past, we've seen a significant drop-off in the number of injuries and incidents, and we're we're working on that again. One of the other thing that came out through significant either incidents or reviews, audits is that our training recordkeeping and our compliance to our training plans wasn't always the best.

We've done a full rollout of a comprehensive training system, and that's now been completed across all the operations and all of our offices. The other next sort of really important part of that whole program is then looking at our critical risk program.

This is looking at making sure that we've got adequate controls that that are high enough in the hierarchy of control to mitigate for catastrophic-type risks with that have got high consequence and may have low probability, but if they occur, you you could end up with multiple fatalities. There's a large program that's just been kicked off at Stockton and at Rotowaro, and we are going moving forward with that across the whole of the company over the next 12 months.

Looking ahead in terms of our guidance, we're we're sticking to what we said at the start of the year. We're going to generate in a range of $35 to $45 million EBITDA over the by the end of June.

We're down a little bit on in export, as we've already explained, that the pricing is quite a bit lower than what we what we had in the last couple of years. North Island is going to be slightly higher, combination of some as we drop off in the overburden, plus some of the corporate costs, and we are seeing a reduction in our South Island, as I've already explained, with the reduction in sales tonnes coming out of there, but we will see that go forward for another year, and pretty much no change with the expenditure in Telkwa or Crown Mountain.

Just sort of put this up, anyone that's familiar with us in these presentations has seen this graph before, but I think it's important to note, we we have always been cash positive through the basically the life of our enlarged company since we took over the ex-Solid Energy assets back in FY18, but highly dependent on the international coal price, that's the red wiggly line that you see running through the middle of the graph. As we're seeing at the moment, we are seeing, that that graph rising, but I think the important thing is that sort of mix between the domestic and the and the export business.

The export basically underpins particularly the the growth profile, but also the corporate costs and overheads. Just looking ahead, we've we've we've seen a bit of an uplift in the coking coal pricing, the benchmark price.

There was obviously some after-effects of Cyclone Kirrily had some effect on some of the Queensland production, which led to a a high of around about $252 US per tonne recently, it's dropped back to around $240 at the present time, and the forward curve sort of has us going back to about $220 by the end of the financial year. Sorry, I might have said 240 before.

We the the the overall forward curve, if you look at the the longer one, the the TSX TSX TSS, for instance, has has us going out to about somewhere around $230. I think there's still a lot of confidence in the market that we are going to see demand coming back, particularly into China with with some of the innovations that have been put forward there, but, we're not seeing a hell of a lot of future growth in supply.

Then coming coming back to strategy, existing operations, we are, we've got positive and consistent EBITDA within the realms of of what we control. Obviously, we don't control export coking coal price, but we do control the costs that underlie it.

We are generating cash. We're experienced operators, both in terms of project development and and operation, but also our operators and and our people that support us.

These operations are stable. We've had very little changeover in in personnel at at any level, whether that's board level, my senior leadership team, or down into the mine site teams.

We've got a solid base to work from. The idea then is we've got some extension projects within New Zealand, so that's really to continue that that positive EBITDA and to also over time, as as we'll show you in a second, extend the the Bathurst cash generation.

Maramarua has got the M2 project, which we are in the final stages of getting consents for, and we've got the Buller Plateau coal project, which is the combination of Buller and and the existing Stockton operations. That's really taking that Stockton infrastructure hub and then supplementing coal into that supply chain as we deplete the resource out of Stockton.

Then to follow that up further, we've got growth projects in British Columbia with the Tenas project, 100% owned greenfields project, and Crown Mountain, which we own 22% of through a joint venture with Jameson. The idea there is that we then increase the EBITDA generation, increase the cash generation in a stable jurisdiction of of British Columbia, Canada.

Looking at the at the Buller project, very much centered around Stockton. Stockton holds the infrastructure hub.

Obviously, we've had the Buller project, which is to the south, the Escarpment extension part, since 2010. We've done a lot of work on that on that project over the years.

We've had a prefeasibility study out since 2017. We've updated that at various times, and then we updated the whole project PFS in October last year.

We we know a lot about that area. We we actually have started mining there.

We've got the our Cascade mine, which just sits off the plateau, and we've also got the Escarpment mine, which was commenced in in 2014 and unfortunately put in care and maintenance in 2016. The key thing there was it needed $200 to $250 million worth of expenditure in capital to replicate all of the capital that's sitting within Stockton infrastructure areas.

That was part of the of the purchase sort of philosophy that we went into to when the Solid Energy assets were available. We've got that infrastructure now.

The key now is to join that the two plateaus together with a haul road, which then also allows access into Mount Frederick South, which is another development area which is jointly held between BT Mining and Bathurst 100%. So 65% owned by Bathurst in BT and 100% owned by by Bathurst with the other mining permit applications.

We're going to use fast-track to try and bring all this together. The reason we're using fast-track is is not to try and usurp any environmental management or anything else, it's just that it gives us the opportunity of getting all of the consents, all of the authorizations, all of the permits that we require to go mining through one single process, whereas traditionally we would have had to gone to get land use consents, wildlife permits, access arrangements with various landholders, Crown landholders, and and heritage orders.

Each of those have, have a slightly different test, they have a slightly different timeframe, and most of those timeframes aren't locked in, there is a an open-ended process. The thing about fast-track, though, is it's very much front-end loaded.

You get a very short period of time if there's issues come up during the during the assessment periods, you need to you need to be able to answer them straight away. We are taking a bit longer than what we anticipated, but because we are we're extensively consulting with the people that matter.

Regional council, district council, our landholders, both between LINZ and DOC, and just as importantly, our our communities. We're actively communicating with them as we speak today.

We've got a range of community meetings going on in the in the small towns that support our operations that'll be concluding tonight. It it's all about listening to those concerns, modifying the project if we have to to try and meet them or explain to them why we can't meet them.

That's where we're intending then to have that completed by the end of March. We'll have a an application ready to go, and we will then be in a position to go into an assessment period starting in April.

I'll just go just go back one. The the profile of production, the orange on this graph is the remaining coal within Stockton.

We then look to supplement that with coal from Buller and then supplement that further with coal from Mount Frederick South, which is the area sitting between the two sort of larger mining areas. Now the beauty of this project is it basically utilizes capacity in the Stockton washery system and coal handling.

We it gives us access to the coal loadout and rail and then access to existing logistics path through the Port of Lyttelton through to the markets, and the markets already exist as well. This is the same quality coal being fed into the same markets to the same customers.

We're looking at around about $104 million New Zealand dollars to bring it on stream at the present time. All right, Tenas.

Tenas project is in middle BC. It's very close to the Port of Ridley, which is at Prince Rupert, which is really the top of the of the these coastal strip that's actually belongs to Canada, the rest that comes down from the US is belonged by the US.

The other project is down in the sort of southeastern British Columbia in the Elk Valley. That's that's the Crown Mountain project.

Just looking at Telkwa, we've had an update to the DFS last year, and it's showing the the continued profitability of this project. We obviously had a significant update in costs, but also we had a significant update in the underlying coal price or the the expectations around coal price.

We're looking at startup capital around $140 million US, an operating cost of of around $80 million $80 US per tonne on onboard boat. Based on the long-term coal price decks, we're looking at around about an average price received of $175 per tonne and leads to a post-tax NPV of about $270 million US.

A good greenfields project. There is no other coal mines in the area.

That's can be a little bit scary for the local communities, they're a little bit uncertain, but there's mining is certainly not unheard of in the area, and also a lot of people that live in the local area actually work in mines, but have to fly in and fly out. The attraction for them is having a mine on their doorstep.

In terms of of taking this project forward, we're going through the Environmental Assessment Office process at the present time. We've had significant information requests, which have been answered over the last, well, couple of years, actually, that's sort of culminating in this in this quarter.

The effects assessment, we're looking to get into the final stages of that over the next two quarters, and then we'll then commence the mining permit documentation and then the approval phase. Now that can be a little bit of a piece of string in terms of timing.

Some get through in 6 months, some take 2 years. We're being conservative, we're saying 12 months compiling this thing and then 12 months getting through it.

I think again, putting a level of conservatism. There is some pre-work that we are once we get further through this effects assessment phase, we'll then be prepared to put some more money into some of the pre-work, which will then lead to the detailed design around the coal handling plant, things like the maintenance workshops, and also the access road and and rail loadout so that we've got some more concrete plans as we lead into, the the once we get the final permit, we lead into the civils and mining.

Then we're aiming for first coal in around October 2028. We're looking to produce around 3/4 of a million tonnes out of here.

There's plenty of rail capacity, there's plenty of port capacity, and generally in the area, we've got good support. Now the key to these projects, as it is in probably most other jurisdictions now, is the traditional owners, the First Nations.

We've been working very closely with them since we took the project over a couple of years ago on a number of levels, obviously at the at the land ownership level. We are working very closely with a couple of the individual houses there, but also at the at the larger and more regional area looking to try and partner with First Nations to take this project forward and, and most certainly, listening to what the their main concerns are, which, isn't a lot different to what our main of the main concerns we've got in New Zealand, with water, rehabilitation after the mine's actually completed or or during the mine completion.

That's something that hasn't been well done in in British Columbia from from our observation, and that's something that gets gets brought up quite constantly with our discussions with local community, but also with First Nations groups. Very important that we get these these partnering things in in place prior to us actually moving trying to move forward with the project, otherwise we do risk having the the sort of that situation turning against us.

Right, just coming back to a snapshot of the business. We've got $150 million-odd New Zealand dollars sitting in the bank, we've got no debt apart from some minor lease finance for some yellow goods.

We're going to generate somewhere between $35 and $45 million EBITDA again for this financial year, and we've got a net asset backing at the end of December, after going through the audit process, of of around $1.49 per share in New Zealand dollars. If we translate that that into Australian dollars, yeah, we we're looking around $1.28.

We've got a share price today of about 79 cents, and we've got a cash backing on that of of of 56 cents as well. I know CEOs always say they're undervalued, but I I think it's pretty clear we're undervalued.

One of the one of the things that has affected our coal our share price has been ongoing litigation. We we had litigation since 2016 with L&M.

We fought that through every court in the land, through the Supreme Court, and won. That is now concluded, as far as we know, anyway, at the present time.

Now we've got a an action being taken by our joint venture partners, the Talleys. That's directed at at directors, that the that's a a personal attack on directors.

It it's not a an attack on the business. In fact, one of their things is they're looking to try and take over as and and operate as Bathurst.

This is what we're trying to resist, but it really doesn't affect the underlying business, and as I said right from the start, the strategy's always been good, consistent operations that generate cash, aren't hurting people, and aren't damaging the environment, that then gives us the right to be able to grow out of those businesses and then and then take on further growth into other jurisdictions, utilizing our experience and our teams and, and the support from our shareholders to take those projects forward. We've got profitable operations, we hold good cash, we've got fast-track process to be able to use for the Buller project.

The PFS, which was came out in October, shows that this is a good profitable project. DFS has been worked on as we speak.

We have got the Fast-track Act to work under. Metallurgical coal is is on the New Zealand critical minerals list, as it is on the US and the European list.

We are taking forward under a DFS and with confirmation of reserves of our Tenas project. Thanks very much, everyone.

Any questions can come through the website, we'll be more than happy to answer those. Thanks very much and thanks for your attention.