Deloitte WA Index Reshaping the future

A review of Western Australian listed companies listed on the Australian Securities Exchange

Diggers & Dealers Special Edition August 2015

Contents

1 Executive summary

3 Reshaping the Deloitte WA Index: The emergence of South32

5 Deloitte WA Index Awards

7 15 Years of the Deloitte WA Index

11 Spotlight: Mining Companies in the Top 15 of the Deloitte WA Index

16 Commodity prices

19 Performance of global financial markets (FY2015)

20 The future of mining: the innovation imperative

22 Future workforce in mining

24 WA’s top 100 listed companies AUGUST 2015, NO. 147 Western Australian Securities Exchange Index 30 Compilation of the Deloitte WA Index Published monthly by Deloitte 31 Contact us

Brought to you by: Tim Richards Clients & Markets Partner - Western Australia Tel: +61 8 9365 7248 Mob: +61 437 009 416 [email protected]

DELOITTE WA INDEX – RESHAPING THE FUTURE EXECUTIVE SUMMARY WELCOME TO THE ANNUAL DIGGERS & DEALERS SPECIAL EDITION OF THE DELOITTE WA INDEX

This special edition celebrates 15 years of the Deloitte WA Index and acknowledges the significant role the mining industry has played in the growth of the West Australian economy over this period.

The review of the past 15 years highlights the highs and lows of The listing of South32 is the single largest addition to the Deloitte our state, and also illustrates some potential opportunities and threats WA Index in recent years, and is a significant vote of confidence that may be faced in the coming years. We also shine the spotlight on in WA as a global resources centre. the mining companies that sit in the top 15 companies in the Deloitte Commodity prices had a disappointing year largely due to the supply WA Index by market capitalisation as at 30 June 2015. glut in global commodity markets, as production of iron ore and Despite the challenges faced by the WA economy in the past 15 years, crude oil continued to exceed demand. the Deloitte WA Index has achieved 290% growth with the market The price of iron ore spiralled downward by 36.8% in the past capitalisation increasing from AU$34.0 billion at 30 June 2000 to 12 months largely as a result of oversupply. Iron ore prices dropped AU$131.9 billion at 30 June 2015, which is extraordinary compared to a 10 year low, during FY2015, trading at less than US$50/ to the general performance of equity markets locally and globally. tonne, which weighed on the pure-play miners such as Fortescue Despite the passage of time and the passing of the commodity Metals Group Limited and Atlas Iron Limited, which experienced super cycle, the contribution of the top 10 resources companies to falls in market capitalisation of 56.1% and 80.9% respectively the Deloitte WA Index has remained relatively stable. In June 2000, the in the past 12 months. top 10 WA resource companies accounted for 40.0% (AU$13.6bn) of Northern Star Resources Limited and Sirius Resources NL bucked Tim Richards the total market capitalisation of the Deloitte WA Index, compared to the trend increasing market capitalisation by 79.5% and 26.2% Partner 41.4% (AU$54.6bn) as at June 2015. Clients & Markets respectively. This was due to Northern Star demonstrating resource Western Australia That said, FY2015 has been a challenging year. The Deloitte WA Index expansion at its newly acquired WA assets, combined with successfully shed 11.6% during the year ended 30 June 2015, driven by an overall driving operational efficiencies at the same operations, while slowdown in the WA mining sector led by unfavourable movements the board at Sirius Resources agreed to its proposed acquisition in commodity prices. by Independence Group NL in May 2015. Significantly, the Deloitte WA Index would have lost more ground if not for the listing of South32 in May 2015, which at the time added AU$11.3 billion, or 8.4% to the market capitalisation of the index.

DIGGERS & DEALERS 2015 SPECIAL EDITION 1 EXECUTIVE SUMMARY

Of all the commodities surveyed, crude oil prices were the heaviest We also take a look at the mining companies in the top 15 companies hit over the past 12 months, due largely to the shale gas boom in in the Deloitte WA Index by market capitalisation as at 30 June 2015, the United States which lifted production dramatically, while OPEC discuss some key developments in the index during the year, and maintained its production. Uranium was the top performer in highlight a number of emerging issues for the resources sector: FY 2015, increasing by 29.2% thanks to a rebound in demand • The emergence of South32 – The listing of South32 is one of from the Asian region. the most significant events in the recent history of the Deloitte WA The improvement in the US market and appreciation of the US dollar Index, and certainly has reshaped the Index. In this article we take a drew funds away from commodities, spurring investment in global look at South32, its operations, and what the company stands for. equity markets and other industrial and financial sectors. This boosted • The future of mining – The innovation imperative. We consider the performance of the All Ordinaries, which increased by 1.3% for innovation in the context of the ongoing challenges faced by FY2015. The US S&P 500 and the Nikkei also increased by 5.2% and the industry, and the imperative for companies to reshape their 33.5% respectively. The FTSE 100 decreased by 3.3% during the year strategies and reconsider their focus in order to continue to deliver ended 30 June 2015. attractive returns and achieve sustainable growth. This edition of the Deloitte WA Index includes the award winners • Future workforce in mining – Mining companies are looking for FY2015, two of which represent the current and immediate for new ways to better position their workforce in a demanding reshaping of the Deloitte WA Index – Northern Star Resources and changing environment. In this article we explore the ideas of Limited and Independence Group NL – and one company with the simplicity, diversity and an optimised organisational design, which potential to reshape the Deloitte WA Index in the future, Gold Road could lead to safer, more productive and efficient operations. Resources Limited.

Despite the challenges faced by the WA economy in the past 15 years, the Deloitte WA Index has achieved 290% growth

2 DELOITTE WA INDEX – RESHAPING THE FUTURE RESHAPING THE DELOITTE WA INDEX: THE EMERGENCE OF SOUTH32

From its first day, South32 has arrived as a significant, globally diversified metals and mining company in its own right. Starting its operational life in late May 2015, South32 is an independent, publicly listed company and one of Australia’s largest resources companies, following its demerger from BHP Billiton.

South32 is the world’s largest producer of manganese ore, owns the The use of this theme in South32’s logo reflects the company’s world’s largest silver mine, world leading ferronickel operations and belief that no individual person or activity on their own will define modern, cost competitive aluminium smelters, has two exceptionally the success of South32. It is by working together, that they can make high quality alumina refineries and strong coal mining and a difference. preparation operations. The company’s diverse range of mining and processing operations “I am reliably informed that we are, if you like, ‘Australia’s biggest produce bauxite, alumina, aluminium, thermal and metallurgical coal, start-up’,” South32 CEO Graham Kerr said during the bell-ringing to manganese, nickel, silver, lead and zinc which are sold to a diverse mark its listing on the Australia Securities Exchange on 18 May 2015. range of domestic and international customers. With 27,000 people working across Australia, Southern Africa and With a lean management philosophy designed to reduce costs and South America, South32 owns large, high quality, well maintained, increase productivity, South32 is focussed on per-share financial cash generative operations that are positioned in the first or second performance rather than volume. quartile of industry cost curves. Supporting this, South32 has a strong South32 CEO Graham Kerr, and South32 Chairman David Crawford, “Our regional operating model, together with our relentless focus balance sheet and an investment grade credit rating. celebrating the bell ringing to mark the listing of South32 Limited on safety, relationships and people, will enable us to deliver more on the ASX. South32 have clearly stated their company purpose and values. efficient and productive operations, to become a best in class Their purpose is to make a difference by developing natural resources, operator of our assets, and in doing so, deliver sector leading improving people’s lives now and for generations to come, and to be returns for our shareholders” trusted by their owners and partners to realise the potential of their The regional operating model is just one way that South32 is resources. The four values of Care, Togetherness, Trust and Excellence establishing its own rhythm by taking a more flexible, agile and sit at the heart of what it means to be South32. entrepreneurial approach designed to maximise the value of The weave, South32’s unique yellow brand mark, was chosen to its business. represent a traditional technique for creating materials by binding together individual threads to create a stronger fabric.

DIGGERS & DEALERS 2015 SPECIAL EDITION 3 THE EMERGENCE OF SOUTH32

This operating model enables support functions to be aggregated The Southern African-based operations are managed from a regional at the regional level, meaning businesses will be run by people who hub in Johannesburg, which is also where the global shared services understand their communities and the environment in which they are located. The Australian and South American operations are run operate. It will also allow the company to quickly reset its cost base, through the regional hub in Perth, which is also where the South32 laying the foundations for longer-term gains. corporate office is located. “There are numerous cost-out opportunities within our operations The Southern African operations are a significant contributor to and across our supply chain,” explained Mr Kerr. the growth and performance of South32. Approximately 15,000 employees and contractors work in the region across the manganese South32 has outlined a simple approach to capital management ore operations at Hotazel, the Metalloys manganese alloy smelter, the underpinned by a commitment to maximise total shareholder returns. aluminium business including smelters at Hillside in South Africa and First, the priority is to maintain safe, consistent and predictable Mozal in Mozambique as well as the coal business in South Africa operating performance and maintain an investment grade credit which produces coal for domestic and export markets. rating. Following this, the company intends to distribute 40 per cent of underlying earnings as dividends and allocate any excess cash to The Australia region includes the Cannington silver mine in the option that maximises total shareholder returns. northwest Queensland, the Illawarra Metallurgical Coal operations in the southern coalfields of New South Wales, and manganese South32 will continue to look at ways to maximise its portfolio both operations including an open-cut mine in the Northern Territory and internally and externally over time, however mergers and acquisitions a manganese alloy plant in Tasmania. The Worsley Alumina operation are viewed as opportunistic, not a strategy. in Western Australia is one of the largest and lowest-cost alumina “Growing shareholder value may or may not involve M&A, refineries in the world and has been mining, refining and exporting South32’s Western Australian operation, Worsley Alumina but regardless we will focus on the things that we can control. alumina since 1984. I think companies which start on day one, say we’ve got to go The Australia Region also encompasses South32’s Colombian nickel buy something, end up paying too much at the wrong time and mine and smelter, Cerro Matoso, one of the largest nickel producers in put themselves into trouble. We will be ready, but it’s not the time the world, which has been operating for more than 30 years. to focus only on this,” Mr Kerr said. South32 is listed on the Australian Securities “I can assure you this company is in good hands. While we will be Exchange (ASX), Johannesburg Stock Exchange South32 gets its name from the connection with the 32nd parallel doing a number of important things differently, we are committed (JSE) and the London Stock Exchange (LSE), south that runs through its two primary regions of Australia and to safety, sustainability and predictable operating performance. South32 trades as ‘S32’. Southern Africa. The head office is located in Perth, with regional Our board and executive management team have a proven track offices located in Perth and Johannesburg and a marketing office For more information on the company visit: record with the skills and experience needed to successfully operate located in Singapore. www.south32.net a world-class mining operation.”

4 DELOITTE WA INDEX – RESHAPING THE FUTURE DELOITTE WA INDEX AWARDS COMPANIES RESHAPING THE WA INDEX DURING THE YEAR ENDED 30 JUNE 2015

Rank ASX Name Mkt Cap Mkt Cap Mvmt WA Index 30 June 2015 30 June 2014 AU$m AU$m 12 NST Northern Star Resources Limited 1,310 730 79.5% 15 IGO Independence Group NL 954 1,015 -6.0% 34 GOR Gold Road Resources Limited 291 149 94.6%

Source: Australian Securities Exchange and Capital IQ

At Diggers and Dealers, we traditionally acknowledge WA resource companies that have delivered growth far in excess of the market during the year.

The year to 30 June 2015 was particularly tough for the mining Companies have had to deal with volatile commodity prices and sector and we have recognised three companies, two of which unforgiving capital markets, factors that have made it all the more represent the current and immediate reshaping of the Deloitte WA important for companies to drive internal efficiencies, focusing on Index, – Northern Star Resources Limited and Independence Group cost strategy, technology innovation, and operational excellence, all NL – and one company with the potential to reshape the Deloitte of which are now more important than the drive for volume, which WA Index in the future, Gold Road Resources Limited. was often the main goal two or three years ago. It has been a turbulent year for Western Australia generally and the It is encouraging to see resource companies that are focusing on the resource sector that underpins the state’s economic performance. positives, leading growth and development, focusing on the future, This year most resources companies have struggled, with most, and positioning themselves to play important roles in WA’s resources like their international peers, experiencing significant decreases sector. It is with this in mind that we have recognised three companies in market capitalisation. this year that have cemented their positions as central players in WA’s resources sector or have the potential to join that group in the future.

DIGGERS & DEALERS 2015 SPECIAL EDITION 5 DELOITTE WA INDEX AWARDS

Northern Star Resources Limited (‘Northern Star’) Independence Group NL The first Gold Camp Target, which was drilled in 2013, was the is a gold production and exploration company with a diverse (‘Independence’) is a mining and exploration company producing gold, South Dorothy Hills Trend, which yielded the Gruyere gold discovery. range of producing assets across Western Australia. Northern Star has nickel, and copper-zinc-silver in Western Australia. Independence’s This discovery, approximately 25 kilometres north-east of the more experienced meteoric growth over the past few years, making it now diverse portfolio of assets, across a range of commodities means that advanced Central Bore project, exhibits two different mineralisation not only the 12th largest listed company in WA, but also the second it was the only 2015 award winner in the top 15 companies in the WA styles not seen before in the Yamarna Belt, and confirms the potential largest ASX-listed gold miner by production. Northern Star’s pivotal Index both this year and last year. Independence’s solid performance for the South Dorothy Hills Trend to host further significant gold role in the reshaping of WA’s gold mining sector during 2014 started has also allowed it to enter into the proposed acquisition of Sirius deposits. The Gruyere project announced a Maiden Mineral Resource with the acquisition of Barrick Gold Corporation’s Plutonic, Kanowna Resources NL, which when completed in August 2015 will create one estimate during the current year of 5.1 million ounces, with recent Belle and Kundana operations, and the acquisition of the Jundee gold of the leading diversified mining companies in Australia. It is for this drilling confirming higher grade continuity at depth. During the current mine from Newmont. More recently, Northern Star has continued transaction that Independence has been recognised as a Reshaper of year there were also positive results from the RC drilling program at its growth with significant exploration success across its portfolio, the year. The enlarged Independence Group is expected to rank firmly Smokebush Dolerite. This target sits within the Sumitomo South and a focus on operational efficiency. It is this later success that has within the top five WA companies by market capitalisation, and be a Yamarna JV (Sumitomo 50%). cemented Northern Star’s position as one of the largest companies in significant new Australian diversified resources company. The results experienced to date across the Gold Roads portfolio WA, and resulted in it being recognised as a Reshaper of the year. Further information on Independence Group and Sirius Resources can validate the regional prospectivity. Could the Yamarna Belt open up Further information on Northern Star can be found in the spotlight on be found in the spotlight on mining companies in the top 15 of the a new gold frontier for WA? mining companies in the top 15 of the Deloitte WA Index. Deloitte WA Index. Certainly the potential scale, long mine lives, and favourable Gold Road Resources Limited metallurgical properties have helped to ensure that Gold Road has (Gold Road) is a Western Australian gold exploration company that attracted market attention over the past two years, with many has experienced a transformational two years, growing from a market observers believing that this may well be the case, however capitalisation of AU$20 million at 30 June 2013 to AU$291 million at only time will tell. 30 June 2015. It is this potential to create a new gold region in WA, and therefore Congratulations to all Gold Road owns tenements covering more than 5,000sq kilometres reshape the gold industry and the WA Index in the process, that on the Yilgarn Craton, 150km east of Laverton in Western Australia. Gold Road has been awarded a Future Reshaper award. The Yamarna Belt is noted as under-explored and highly prospective three winners on their Congratulations to all three winners on their achievements over for gold mineralisation. Gold Road is focused on exploring the pipeline the past year. of high quality gold prospects within the Yarmana Belt, prioritising achievements over exploration on a number of targets that were identified in 2012 and 2013. Each target has a 15 to 20 km strike length, approximate area the past year of 80 to 120 km and contains numerous prospects.

6 DELOITTE WA INDEX – RESHAPING THE FUTURE 15 YEARS OF THE DELOITTE WA INDEX SIGNIFICANT GROWTH BUT NOT WITHOUT ITS CHALLENGES

1.0 Composition of the Deloitte WA Index The WA economy has experienced many changes and endured its share of challenges, yet still prospered above others over the past 15 years. It $60,000 would come as no surprise that volatility in WA’s economy is tied to the global resources industry and the cyclicality this industry is known for. $50,000 While the state’s economic growth and weathering of the Global $40,000 Financial Crisis (‘GFC’) has been better than almost anywhere else in the world, the down side of commodity supercycles has been felt more $30,000 recently and continues to weigh on our local economy - a stark reminder of the boom and bust ‘culture’ that has often been associated with WA. $20,000 Notwithstanding this, WA remains a standout performer. Compared to

Market Capitalisation ($bn) Market Capitalisation $10,000 many other indices such as the ASX All Ordinaries, FTSE 100, Nikkei 225 ■ Wesfarmers ■ Woodside and US S&P 500, the Deloitte WA Index has outperformed over the $0 15 years since it was established, achieving growth of 290% with the Jun 00 Oct 11 Feb 03 Jun 04 Oct 05 Feb 07 Jun 08 Oct 09 Feb 11 Jun 12 Oct 13 Feb 15 total market capitalisation of companies that make up the Deloitte WA Index beginning at AU$34.0 billion on 30 June 2000 and closing at 2.0 Performance of Crude Oil prices (US/bbl) since June 2000 AU$131.9 billion on 30 June 2015.

160 WA’s contribution 140 In June 2000-2001, WA’s Gross State Product (‘GSP’) contributed 120 AU$134.7 billion or 12.8% of Australia’s Gross Domestic Product (‘GDP’), which included approximately AU$27.6 billion or 20.5%, from the 100 resources sector. 80 The most recent data suggests that during the period March 2014-2015, 60 WA’s GSP nearly doubled to a staggering AU$259.6 billion or 16.4% 40 of Australia’s GDP representing a 3.6 percentage point increase in WA’s national contribution. The resources sector in the year to 30 June 2014 20 also surged to a record breaking AU$121.6 billion or 47.5% of WA’s 0 economy, more than doubling its share of the state’s economy over Jun 00 Apr 01 Feb 02 Dec 02 Oct 03 Aug 04 Jun 05 Apr 06 Feb 07 Dec 07 Oct 08 Aug 09 Jun 10 Apr 11 Feb 12 Dec 12 Oct 13 Aug 14 the past 15 years.

DIGGERS & DEALERS 2015 SPECIAL EDITION 7 15 YEARS OF THE DELOITTE WA INDEX

Composition of the Deloitte WA Index Resources boom Other industry sectors In June 2000, Woodside Petroleum Limited (‘Woodside’) and WA rode the resources boom over the past decade and as alluded Away from the energy and resource sector, companies within Wesfarmers Limited (‘Wesfarmers’) led the Deloitte WA Index with to above, WA has become increasingly dependent on resources and the education, property and telecommunications industries also market capitalisation of just under AU$8.7 billion and AU$3.6 billion related service industries. Within this sector, WA leads the way globally contributed to the economic growth of Australia and WA’s economy. respectively. Today, both companies still lead the Deloitte WA Index, in relation to iron ore production, with iron ore representing 61.0% Companies such as Navitas Limited, BWP Trust, iiNet Limited, and although Wesfarmers claimed top spot from Woodside from March (AU$74.2 billion) of the resource sectors revenue during the year Amcom Telecommunications Limited grew significantly and have been 2012 with the market capitalisation of these companies reaching ended 30 June 2014, with oil & gas and gold representing 22.0% central to the growth in WA’s economy. AU$43.9 billion (Wesfarmers) and AU$28.2 billion (Woodside) as (AU$26.7bn) and 7.0% (AU$8.5bn) respectively. at 30 June 2015, as illustrated in graph 1.0. The resilience of WA’s economy despite the highs and lows The mining boom in WA did not begin until the mid-2000s. Before The momentum of WA’s growth was hampered by the GFC in Over this period there has however been significant change in the then, the economy was mainly dependent on growth in domestic 2009. Many economists considered the GFC the worst financial constituents of the Deloitte WA Index. A notable example, Homestake demand such as household consumption, real estate investments, and crisis since the Great Depression of the 1930s. The GFC impacted Mining Company, was fourth in the Deloitte WA Index as at 30 June a diverse range of other small sectors. Growth in international exports numerous countries severely, especially in Europe and North America. 2000 with a market capitalisation of AU$2.3 billion and was delisted in was also weak and net exports detracted significantly from growth. Australasia faired better, with WA navigating the crisis thanks to its December 2001 following its acquisition by Barrick Gold Corporation, Post-2005, the increase in demand and prices for commodities shaped strong foundation within the resources sector, and continued robust the world’s largest gold mining company. the mining boom in WA, which brought about the emergence of a demand for key exports. Between 2006 and 2009, WA was able to new wave of WA companies. The BRIC countries (Brazil, Russia, India A more recent example is the inclusion of South32 Limited (‘South32’), outperform Australia as a whole with an average growth of 4.7% in its & China), especially China, were experiencing strong economic growth listing in May 2015 at a market capitalisation of AU$11.3 billion (30 GSP compared to Australia’s average GDP growth during the period of driving domestic development that favoured the WA economy. June 2015 AU$9.5 billion). We have also seen an increasing trend 2.8 percentage points. Most notably, companies such as Fortescue Metals Group Limited towards technology related companies performing strongly and being (‘Fortescue’), Sirius Resources NL, Northern Star Resources Limited, The impact of the GFC was felt mainly within the property and the included in the Deloitte WA Index. Independence Group NL and Mineral Resources Ltd were not the financial services sectors. Investor confidence and consumer spending In June 2000, the top 10 WA companies and top 10 WA resource significant companies they are today prior to the global resources were at low levels and the Australian dollar fell to an all-time low in companies accounted for 70.5% and 40.0% respectively of the total boom. These companies all experienced significant growth over the October 2008, buying US 61 cents. However, Australia’s economy market capitalisation of the Deloitte WA Index, compared to 75.3% past decade riding the energy and resources wave. with the support of the resources sector drove the Australian dollar to and 41.4% as at June 2015. parity with the US dollar in early November 2010 and it continued to One energy company that has risen over the past few years is rise until it reached US$1.10 in July 2011. Liquefied Natural Gas Limited, with its market capitalisation increasing from AU$32 million in June 2013 to AU$1.9 billion in June 2015, as During 2011, the mining boom reached its peak with commodity the company builds its pipeline of mid-scale Liquefied Natural Gas prices at an all-time high. Iron ore traded at US$179/tonne and crude projects in Australia, Canada and the United States. oil rebounded to US$117/bbl. Rising commodity prices benefited both the WA and Australian economy.

8 DELOITTE WA INDEX – RESHAPING THE FUTURE 15 YEARS OF THE DELOITTE WA INDEX

During this time the BRIC countries continued to invest heavily in Fortescue (AU$20.3bn), Equinox Minerals Limited (AU$6.8bn), Iluka In 2015 commodity prices have shown signs of stability, with many infrastructure, which meant demand for commodities remained Resources Limited (AU$6.5bn), Aquila Resources Limited (AU$3.3bn), people wondering whether the bottom has been reached. However, robust, supporting WA’s mining operations. Graph 2.0 shows Atlas Iron Limited (AU$3.0bn), Seven West Media Limited (AU$2.6bn), iron ore and crude oil have fallen by more than 67.0% and 45.0% the movement of crude oil prices since the beginning of the Aquarius Platinum Limited (AU$2.4bn) and Paladin Energy Limited respectively from their all-time highs, dramatically impacting on the WA Index in 2000. (AU$2.4bn). Deloitte WA Index. WA resources companies such as Fortescue, Woodside, Iluka In 2012, commodities experienced a steady decline, gathering pace Graph 3.0 shows how the WA Index has performed against all other Resources Limited, Atlas Iron Limited, and Paladin Energy Limited and continuing through to late 2014, primarily due to slower growth major indices over the June 2000-2015 period. This illustrates the enjoyed solid growth, visible by their rising market capitalisation. in the BRIC countries coinciding with the increased supply brought run of the resources boom up to 2008, the major correction from Notably the WA Index reached all-time high levels in May 2011 on by the strong demand of the previous decade. This decrease in the GFC and the volatility and partial restoration of prices over the at a total value of AU$196.7 billion. The top 10 companies were: commodity prices not only impacted resources companies directly, past few years. Woodside (AU$37.0bn), Wesfarmers (AU$33.4bn), the flow on impact was significant in the mining services sector.

Going forward Many WA-based companies operating in the resources and related services sectors have struggled to survive in recent times, and remain optimistic that commodity prices have bottomed out. Only time will tell whether this is the case.

In the May 2005 WA Index, at the start of the mining boom, In the July 2014 Diggers and Dealers publication this focus shifted An increasing number of technology companies are listing through we conducted a CEO Sustainable Growth survey that focused significantly, with results indicating that companies were focusing reverse takeovers of some of the resources companies that have not on companies with growth in market capitalisation of greater on cost control and asset/project productivity at all levels. We are fared well during the recent market turmoil. While some of these than AU$50 million or 40.0% over the April 2003-2005 period. now witnessing a continual drive to cut costs and improve technology companies are already members of the Deloitte WA The survey indicated that respondents key priorities were a productivity; factors that were often overlooked during the boom as Index, including Empired Limited and iWebGate Limited, most are focus on market share and volume, differentiation through the the race for scale at all costs often took centre stage. outside the top 100 WA listed companies such as Aziana Limited, provision of value-added services, exploring new opportunities, which is currently acquiring BrainChip Inc, the creator of patented Despite current conditions, South32 and Australian Finance Group the ability to obtain skilled workers and completing M&A deals artificial intelligence technology. Limited entered the Deloitte WA Index during May 2015. WA is a or strategic alliances. resilient state and we hope WA-based companies can continue to It will be interesting to see what the makeup of the Deloitte WA prosper following the recent challenges. Index looks like in another 15 years.

DIGGERS & DEALERS 2015 SPECIAL EDITION 9 Deloitte WA Index 15 year timeline 15 YEARS OF THE DELOITTE WA INDEX

Most recently • South32 Limited lists on the March 2015 ASX on 18 May 2015 with • WA Gross State Product (GSP) a market capitalisation of AU$259.6bn (nearly doubled since AU$11.7 bn 2000), 16.4% of Australia’s national GDP. • Top 10 WA Companies Mid 2000’s GFC • Australian dollar reaches peak June & Resource Companies • Emergence of mining boom in WA. • Global Financial Crisis at AU$1.10/US$ • Mining & Petroleum contributed record accounted for 76.4% and dampens Australia’s economy. • Iron Ore and Crude Oil reach peak levels of AU$121.6bn or 47.5% of WA’s 61.6% of WA Index Market of US$179/tonne and US$117/ GSP capitalisation. barrel respectively • Iron ore forms 61.0% of the • WA mining powerhouses such mining & petroleum industry revenue as Fortescue, Woodside, Illuka Circa 2005 October - Dollar fell • Crude oil forms 22.0% of the Resources, Atlas Iron & Paladdin • Increase in demand & prices for commodities driving • Australian dollar falls to a low of mining & petroleum industry revenue Energy post robust financial organic growth of WA based entities such as Fortescue, AU$0.61/US$. results, and experience significant • Gold forms 7.0% of the May - Top 10 Sirius Resources, Western Areas, Independence Group, growth in market capitalisation. mining & petroleum industry revenue. • Top 10 WA Companies & Resource Northern Star Resources and Liquefied Natural Gas. Companies accounted for 72.3% and 43.1% December of WA Index Market capitalisation. • Commodities entered consolidation phase as iron ore and crude oil fell November - Dollar recovers significantly by more than 67.0% • Australian dollar recovered to parity against USD, June - GDP 2005 - 2009 and 45.0% respectively. • WA Gross State Product (GSP) AU$134.7bn, • WA economy posting 4.7% growth in its GSP, on the back of WA’s continued mining boom. 12.8% of Australia’s national GDP. outstrip Australia’s national GDP of 2.8%.

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

3.0 Performance of global financial markets since June 2000 (Inception of Deloitte WA Index) ■ Deloitte WA Index ■ ASX All Ordinaries ■ US S&P 500 ■ FTSE 100 ■ Nikkei 225

6.40 Source: Capital IQ 6.10 5.80 5.50 5.20 4.90 4.60 4.30 4.00 3.70 3.40 3.10 2.80 2.50 2.20 1.90 1.60 1.30 1.00 0.70 0.40 0 Jun 00 Dec 00 Jun 01 Dec 01 Jun 02 Dec 02 Jun 03 Dec 03 Jun 04 Dec 04 Jun 05 Dec 05 Jun 06 Dec 06 Jun 07 Dec 07 Jun 08 Dec 08 Jun 09 Dec 09 Jun 10 Dec 10 Jun 11 Dec 11 Jun 12 Dec 12 Jun 13 Dec 14 Jun 14 Dec 15 Jun 15

10 DELOITTE WA INDEX – RESHAPING THE FUTURE SPOTLIGHT: MINING COMPANIES IN THE TOP 15 OF THE DELOITTE WA INDEX

We acknowledge the mining companies that are within the top 15 companies by market In particular the past 12 months have been hard on iron ore producers, with the iron ore price dropping to a low of US$45 per capitalisation in the Deloitte WA Index as at 30 June 2015. tonne in April 2015. Despite the unfavourable conditions in global commodity markets, some mining companies have maintained An overview of the mining companies in the Deloitte WA Index Top 15 as at 30 June 2015 or increased their position in the Deloitte WA Index, while two companies have broken into the top 15 for the first time. Rank ASX Long Comp Name Mkt Cap 30 Jun 2015 Mkt Cap 30 Jun 2014 The summary of the top 15 companies by market capitalisation in 1 WES Wesfarmers Limited 43,860 47,835 the Deloitte WA Index as at 30 June 2015 is illustrated to the left, 2 WPL Woodside Petroleum Ltd. 28,202 33,838 with seven mining companies in the group, which demonstrates 3 S32 South32 Limited 9,530 - the continued significance of this sector to the state. 4 FMG Fortescue Metals Group Limited 5,947 13,545 Of particular note is the high profile demerger of South32 Limited 5 ILU Iluka Resources Ltd. 3,209 3,396 (‘South32’) from BHP Billiton Limited, which listed in May 2015 and is 6 BWP BWP Trust 1,966 1,573 ranked third in the Deloitte WA Index at 30 June 2015, with a market capitalisation of AU$9.5 billion. The listing of South32 displaced some 7 LNG Liquefied Natural Gas Limited 1,917 955 of the stalwarts of the Deloitte WA Index pushing both Fortescue 8 NVT Navitas Limited 1,614 2,679 Metals Group Limited ranked fourth and Iluka Resources Limited 9 IIN iiNet Ltd. 1,551 1,179 ranked fifth down a single position compared to the Deloitte WA 10 SVM Seven West Media Limited 1,543 1,878 Index of 2014. 11 SIR Sirius Resources NL 1,360 1,078 Northern Star Resources Limited had a successful year rising 12 NST Northern Star Resources Limited 1,310 730 eight places from its ranking at June 2014, to finish the year at 12th position. 13 MIN Mineral Resources Limited 1,238 1,789 14 AHG Automotive Holdings Group Limited 1,223 1,087 The remaining three companies all featured in the top 15 of the Deloitte WA Index in 2014, and moved as follows in 2015: 15 IGO Independence Group NL 954 1,015 • Sirius Resources NL moved up three places to finish the year ranked 11th • Mineral Resources Limited dropped four places to finish This year has been a difficult year for the Western Australian mining sector. Significant downward pressure on the majority of commodity ranked 13th prices over the past year has had a significant impact on the WA mining sector. • Independence Group maintained its position at 15th.

DIGGERS & DEALERS 2015 SPECIAL EDITION 11 SPOTLIGHT

South32 Limited Iluka Resources Limited Sirius Resources NL South32 Limited is ranked third in the Deloitte WA Index Iluka is ranked fifth in the Deloitte WA Index Sirius Resources is ranked 11th in the Deloitte WA Index as at 30 June 2015 as at 30 June 2015 as at 30 June 2015. South32 Limited (‘South32’) was formed following its demerger Iluka Resourced Limited (‘Iluka’) is a global mineral sands company Sirius Resources NL (‘Sirius Resources’) is a mining and exploration from BHP Billiton Limited in May 2015. South32 is a diversified involved in the exploration, development, production and marketing company currently exploring for gold, nickel and base metal in the mining company with operations in Australia, South Africa and of mineral sands products. Operating conditions were tough during Norseman region of Western Australia. Sirius Resources increased South America, across a range of commodities including aluminium, the year ended June 2015, with downward pressure on prices its ranking in the Deloitte WA Index on the back of its Nova Nickel coal, manganese, nickel and silver. South32 listed on the ASX on the negatively impacting revenue despite increased sales of goods. Project situated east of Norseman, where it made and advanced 18 May 2015 with an AU$11.3 billion market capitalisation but closed its nickel-copper sulphide discovery known as the Nova-Bollinger Due to Iluka’s significant global presence as the largest down to finish at AU$9.5 billion as at 30 June 2015. South32 added deposit. Mining development and construction activities are currently global producer of zircon and the second largest producer of approximately 8.4% of value to the Deloitte WA Index and is the progressing on the Nova-Bollinger deposit with a target of first titanium dioxide, Iluka has retained a top five position in the Deloitte single largest addition to the Deloitte WA Index in recent years. production in late 2016. Following the successful progression of the WA Index. Iluka is targeting growth through investment in innovation Nova-Bollinger deposit, Sirius Resources agreed to be acquired by and technology, an Australian and international exploration program Fortescue Metals Group Limited Independence Group NL in May 2015. The acquisition by Scheme and the expansion of the company’s international marketing presence. of Arrangement is expected to be ratified by shareholders in late Fortescue is ranked fourth in the Deloitte WA Index In pursuing its international marketing strategy Iluka is aiming to August 2015. as at 30 June 2015 capitalise on its market position by breaking into new markets such Fortescue Metals Group Limited (‘Fortescue’) is the world’s as Dubai, India, South East Asia and Europe and better service The merger with another top 15 Deloitte WA Index company is fourth largest producer of iron ore, operating out of the Pilbara and existing markets (particularly within China). expected to create one of the foremost diversified Australian mining Hamersley regions in Western Australia. Despite a challenging year, companies across a spectrum of base and precious metals. As part with volatile conditions in the iron ore market driven by significant of the acquisition by Independence Group, Sirius Resources will demand and supply fluctuations, Fortescue has maintained a top undertake the demerger of its Polar Bear and recently acquired five position in the Deloitte WA Index. Looking forward, Fortescue Scandinavian exploration assets to form S2 Resources Ltd. is expected to continue the development of its Iron Bridge Project; with stage one commencing production in March 2015 and stage two subject to the successful operation of stage one and joint venture approval.

12 DELOITTE WA INDEX – RESHAPING THE FUTURE SPOTLIGHT

Northern Star Resources Limited Independence Group NL Northern Star is ranked 12th in the Deloitte WA Index Independence Group NL is ranked 15th in the Deloitte WA Index as at 30 June 2015 as at 30 June 2015 Northern Star Resources Limited (‘Northern Star’) is a gold production Independence Group NL (‘Independence’) is a mining and and exploration company with a resource base of 5.6 million exploration company that is currently producing gold, nickel, and ounces Northern Star is the second largest ASX-listed gold miner copper-zinc-silver from three mining operations in Western Australia. by production, with annual production of 550,000 – 600,000 Independence has kept its position in the top 15 companies in the ounces, operating five gold mines across WA, and has an extensive Deloitte WA Index as a result of solid performance across a number exploration program. Northern Star has achieved significant growth of facets of its business, including robust performance by its Tropicana through acquisition over the past two years, capitalising on the global Joint Venture, in which it holds a 30% interest, with AngloGold majors lowering their Australian-based gold exposure. Northern Ashanti holding the remainder. During the year Independence has Star has achieved productivity gains of up to 40.0%. Looking had exploration successes, including the confirmation of a new forward, Northern Star will maintain its aggressive exploration Volcanogenic Massive Sulphides (‘VMS’) deposit called Triumph, a program with plans to increase its resources, reserves and mine life few kilometres north of Jaguar, an existing deposit located 60km at each of its operating sites, focusing on organic and inorganic north of Leonora in Western Australia. The confirmation of the growth opportunities. high grade mineralisation at Triumph is significant and may result in an increase to Jaguar mine life. Independence also announced the Mineral Resources Ltd intended acquisition of Sirius Resources NL, the successful completion of which in August 2015 will create one of the leading diversified Mineral Resources is ranked 13th in the Deloitte WA Index mining companies in Australia. as at 30 June 2015 Mineral Resources Ltd (‘Mineral Resources’) is an Australian-based diversified mining service, contracting, processing and commodities production company. Mineral Resources operates through a host of different brands that service different sectors of the mining services industry. In a particularly turbulent environment for mining and mining services companies, Mineral Resources has been able to leverage its relationships with blue chip clients and focus on continued delivery of cost-effective equipment, infrastructure and processes to maintain its position in the top 15 companies of the Deloitte WA Index.

DIGGERS & DEALERS 2015 SPECIAL EDITION 13 SPOTLIGHT: MINING COMPANIES IN THE TOP 15

Fortescue Metals Group Limited Iluka Resources Limited Sirius Resources NL Source: Australian Securities Exchange and Capital IQ Source: Australian Securities Exchange and Capital IQ Source: Australian Securities Exchange and Capital IQ 40,000 10,000 2,000 35,000 8,000 30,000 1,500

25,000 6,000 20,000 1,000 15,000 4,000 10,000 500 2,000 5,000 Market Capitalisation ($m) Market Capitalisation ($m) Market Capitalisation Market Capitalisation ($m) Market Capitalisation 0 0 0 Jul 14 Jul 01 Jan 09 Jan 10 Jan 11 Jan 12 Jan 13 Jan 14 Jan 15 Jan 08 Jun 00 Jun 01 Jun 02 Jun 03 Jun 04 Jun 05 Jun 06 Jun 07 Jun 08 Jun 09 Jun 10 Jun 11 Jun 12 Jun 13 Jun 14 Jun 15 Jun 13 Jun 00 Feb 09 Feb Oct 04 Apr 11 Sep 08 Sep 09 Sep 10 Sep 11 Sep 12 Sep 13 Sep 14 Sep 03 Dec 06 Nov 05 Mar 10 Aug 02 May 08 May 09 May 10 May 11 May 12 May 13 May 14 May 15 May 12

Northern Star Resources Limited Mineral Resources Ltd Independence Group NL Source: Australian Securities Exchange and Capital IQ Source: Australian Securities Exchange and Capital IQ Source: Australian Securities Exchange and Capital IQ 1,500 3,000 1,500

2,500

1,000 2,000 1,000

1,500

500 1,000 500

500 Market Capitalisation ($m) Market Capitalisation ($m) Market Capitalisation Market Capitalisation ($m) Market Capitalisation 0 0 0 Jul 06 Jul 13 Jul 05 Jul 08 Jul 11 Jul 14 Jul 04 Jul 09 Jul 14 Jan 10 Jan 04 Jan 07 Jan 10 Jan 13 Jan 02 Jan 07 Jan 12 Jun 09 Feb 07 Feb 14 Feb Oct 11 Oct 04 Oct 07 Oct 10 Oct 13 Apr 08 Apr 15 Apr 06 Apr 09 Apr 12 Apr 15 Sep 07 Sep 14 Sep 03 Sep 08 Sep 13 Dec 12 Nov 08 Nov 02 Nov 07 Nov 12 Mar 11 Mar 06 Mar 11 Aug 10 May 12 May 05 May 10 May 15

14 DELOITTE WA INDEX – RESHAPING THE FUTURE

COMMODITY PRICES

Commodity Metric 30 June 2015 30 June 2014 Mvt ($) Mvt (%) This contrasts dramatically with the situation last June, with 11 of the 14 commodities surveyed enjoying gains during the year ended Gold US$/troy oz. 1,169 1,317 -148 -11.2% June 2014. The key drivers of the poor performance for the majority Silver US$/troy oz. 15.72 20.96 -5.24 -25.0% of commodity prices this year has been the continued recovery of the Platinum US$/troy oz. 1,078 1,480 - 402 -27.2% US economy and related appreciation of the US dollar. There have also Palladium US$/troy oz. 677 844 -167 -19.8% been improvements in the global equity markets drawing money away from safe haven commodities, coupled with the weakening of Chinese LME Copper US$/tonne 5,755 7,041 -1,286 -18.3% appetite for metals. LME Nickel US$/tonne 11,933 18,969 -7,037 -37.1% Crude oil prices plunged 57.5% between June 2014 and January LME Aluminium US$/tonne 1,651 1,857 -206 -11.1% 2015, before stabilising and recovering slightly to finish the year LME Lead US$/tonne 1,744 2,144 -400 -18.7% 46.6% lower. This rapid fall was triggered by news of a fall in industrial LME Zinc US$/tonne 1,996 2,214 -219 -9.9% activities in China, the second largest consumer of oil in the world. LME Tin US$/tonne 13,908 22,540 -8,632 -38.3% The recent shale gas boom in the United States, where oil output is expected to reach a 43-year high in 2015 has also boosted global Crude Oil (Brent) US$/bbl. 60 113 - 53 -46.6% supplies. Interestingly, the Organisation of the Petroleum Exporting Uranium US$/lb. 37 28 8 29.2% Countries (OPEC) reiterated in November 2014 that it would not be Iron Ore US$/tonne 60 95 -35 -36.8% cutting production to support oil prices. The drop in oil prices has Coal (Newcastle) US$/tonne 60 71 -11 -15.0% been welcomed by net oil consuming countries such as Australia, with statistics showing a 10.0% drop in the oil price has the potential Source: Thompson Reuters to lift Australia’s GDP by 0.1%. The same 10.0% drop in oil prices has a negative effect on oil producing countries, such as Russia, Libya and the Middle Eastern producers and could result in the governments of It’s been a rough year for global commodity markets, with all commodities surveyed facing these countries struggling to balance their budgets. price decreases, with the exception of uranium which experienced a surge of 29.2%. Iron ore The price of iron ore continued its downward slide, dipping 36.8% over the year, in comparison to a 20.2% decline over the same period and crude oil were hit particularly hard, both falling dramatically in the second half of 2014, last year. Since sinking to a 10-year low of US$45/tonne in April 2015, caused by oversupply, as production of both commodities outstripped demand. prices have rallied to end the year at US$60/tonne.

16 DELOITTE WA INDEX – RESHAPING THE FUTURE COMMODITY PRICES

This recovery has brought much needed relief to iron ore producers India’s Prime Minister, Narendra Modi, has stated that nuclear power Coal prices have had a fall from grace in recent years from a high of and has enabled companies such as Atlas Iron Limited to restart will be a significant tool in meeting India’s growing electricity needs. US$132/tonne in January 2011 to the current price of US$60/tonne. production at its Mt Webber mine, after being forced to cease This was underscored by the announcement in April 2015 that This is primarily due to an increase in supply coming from China operations in April 2015. The fierce competition between the iron ore Canada had signed an agreement to supply India with 3,220 tonnes where coal production has experienced a boom, as well as the Asian giants, BHP Billiton Limited, Rio Tinto Limited, Vale SA and Fortescue of uranium over the next five years, ending a moratorium that had powerhouse consuming less coal in an effort to curb pollution. Metals Group Limited, has been unrelenting, leading to an over- been in place since the 1970s, when India used Canadian technology Coal consumption in China has dropped by almost 8.0% in the supply. This has driven speculation that iron ore prices will likely not to develop nuclear weapons. The increased reliance on nuclear power first four months of 2015. recover to the levels previously experienced in the foreseeable future. in Asia is expected to generate upward pressure on uranium prices, The price of nickel decreased by 37.1% over the past year with a The impact of the low iron ore price has hit WA particularly hard, with and drive increased production over the coming decade. supply glut of the stainless steel ingredient coinciding with a decline the iron ore sector experiencing redundancies and the state budget The price of platinum has decreased steadily over the past 12 months, in purchases by China on the back of a slowdown in economic activity announcing in May 2015, a return to a budget deficit for the first resulting in a significant decline of 27.2%. This decline is primarily due and a crackdown by local authorities on the use of nickel as collateral time in 15 years. to oversupply in the market, driven by the continued growth in the in financing agreements. Aluminium prices have also weakened by Gold and silver declined by 11.2% and 25.0% respectively during output of the big three producers in South Africa, Anglo American 11.1% over the year, with the growth in aluminium production, the 12 months ended June 2015. The poor performance of gold and Platinum Ltd, Lonmin Plc and Impala Platinum Holdings Ltd, which especially from heavyweight Alcoa Inc., outpacing demand. Finally, silver is largely due to low global inflation, improved economic outlook are responsible for more than 70% of platinum production worldwide. tin has declined by 38.3% over the past 12 months, largely due to and heightened investor confidence in the global stock markets, as These producers are being partially shielded from the falling price by production in China offsetting the drop in Indonesian exports. China evidenced by the upward movement of the S&P 500 and the Nikkei the weakening South African rand against the US dollar and have increased its imports of ore and concentrates from Myanmar and the over the past 12 months. The improvement in the US economy and not cut production to stimulate prices. Palladium, similar to platinum, country has transitioned to become self-sufficient after being a net the start of quantitative easing in Europe has resulted in a notable which is used by the auto industry in catalytic converters, has importer of tin in the past few years. movement away from these safe-haven commodities. experienced a price decline of 19.8% this year. This has been caused by increased supply and the rise in recycling of old vehicles. Chinese Uranium has been the only commodity to record a price increase for monthly car sales figures have been declining steadily since March the past 12 months to June 2015, buoyed by the increased appetite 2015, which has spooked investors. in Asia for nuclear power. Having been hit hard by the Fukishima disaster in 2011, confidence in nuclear power has made significant Copper prices have experienced a steady decline of 18.3% over gains in FY2015 for a number of reasons. First, Japan has begun to the past year, largely as a result of the lack of robust demand in re-commission its reactors, although 11 of the nuclear power plants the US and China, the two largest consumers of the metal who active before the disaster have been abandoned due to age and safety remarkably, consume 50.0% of global supply. The weak demand from concerns. China is also moving full steam ahead with its nuclear power these two nations has also impacted coal, which has expedited a price plant construction program; with 22 online, 26 under construction decrease of 15.0%, with investors predicting a sustained downward and is expected to increase this to more than 100 in the next decade. trend in the near future.

DIGGERS & DEALERS 2015 SPECIAL EDITION 17 COMMODITY PRICES

Iron ore and crude oil prices Source: Thompson Reuters Gold and silver prices Source: Thompson Reuters Uranium prices Source: Thompson Reuters

$120 $2,500 $45 $110 $2,000 $40 $100

$90 $1,500 $35 $80

$70 $1,000 US$/lb $30 US$/troy oz. US$/troy $60 $500 $25 $50

$40 ■ Iron Ore US$/tonne ■ Crude Oil US$/bbl 0 ■ Gold ■ Silver $20 ■ Uranium Jul 14 Jul 14 Jul 14 Jan 15 Jan 15 Jan 15 Jun 15 Jun 15 Jun 15 Feb 15 Feb Feb 15 Feb 15 Feb Oct 14 Oct 14 Oct 14 Apr 15 Apr 15 Apr 15 Sep 14 Sep 14 Sep 14 Dec 14 Dec 14 Dec 14 Nov 14 Nov 14 Nov 14 Mar 15 Mar 15 Mar 15 Aug 14 Aug 14 Aug 14 May 15 May 15 May 15

Platinum and palladium prices Source: Thompson Reuters Aluminum and lead prices Source: Thompson Reuters Copper, nickel and tin prices Source: Thompson Reuters $1,600 2,300 $26,400

$1,400 2,200 $21,400 $1,200 2,100

$1,000 2,000 $16,400

$800 1,900 $11,400 US$/tonne US$/tonne US$/troy oz. US$/troy $600 1,800 $6,400 $400 1,700

$200 ■ Platinum ■ Palladium 1600 ■ Aluminum ■ Lead $1,400 ■ Copper ■ Nickel ■ Tin Jul 14 Jul 14 Jul 14 Jan 15 Jan 15 Jan 15 Jun 15 Jun 15 Jun 15 Feb 15 Feb 15 Feb Feb 15 Feb Oct 14 Oct 14 Oct 14 Apr 15 Apr 15 Apr 15 Sep 14 Sep 14 Sep 14 Dec 14 Dec 14 Dec 14 Nov 14 Nov 14 Nov 14 Mar 15 Mar 15 Mar 15 Aug 14 Aug 14 Aug 14 May 15 May 15 May 15

18 DELOITTE WA INDEX – RESHAPING THE FUTURE PERFORMANCE OF GLOBAL FINANCIAL MARKETS (FY2015)

This month Last 3 months Last 6 months Last 12 months Deloitte WA Index -10.0% 2.4% 2.0% -11.6% All Ordinaries -5.6% -7.0% 1.2% 1.3% US S&P 500 -2.1% -0.2% 0.2% 5.2% FTSE 100 -6.6% -3.7% -0.7% -3.3% Nikkei -1.6% 5.4% 16.0% 33.5%

Performance of global financial markets over the past 12 months Source: Capital IQ and ASX websites

1.40

1.30

1.20

1.00

0.90

0.80

■ Deloitte WA Index ■ ASX All Ordinaries ■ US S&P 500 ■ FTSE 100 ■ Nikkei 225 0.70 Jun 14 Jul 14 Aug 14 Sep 14 Oct 14 Nov 14 Dec 14 Jan 15 Feb 15 Mar 15 Apr 15 Dec 05 Jun 15

DIGGERS & DEALERS 2015 SPECIAL EDITION 19 THE FUTURE OF MINING: THE INNOVATION IMPERATIVE

The burning question for mining companies in Australia, as well as globally is how to grow sustainably and continue to deliver attractive returns to their stakeholders in today’s challenging environment.

Commodity prices are less than favourable (to put it mildly). Input Reshape the future Capturing the learnings costs have risen significantly. Margins are under pressure. And this Innovation mandates companies to think in entirely new ways. The key is to think of innovation as much more than research cocktail of difficulties is forcing miners to make difficult decisions Traditionally, miners have focused on extracting higher grades and and development (R&D). While exploratory R&D has the power that will sustain short-term operations but still align with long- achieving faster throughput by optimising the pit, schedule, product to streamline processes in the future, innovation revolves around a term objectives. mix and logistics. A truly innovative mindset will see them adopt company’s current capacity to adapt practical applications that already an entirely new design paradigm that leverages new information, exist in other industries and apply them to fit the needs of mining But it has to be about more than just cost control, because mining and energy technologies to maximise value. companies today. incremental improvements are no longer enough to sustain the sector. Innovation has to be the new key to a sustainable future. Companies For decades, mining companies have understood the imperative to For instance, tunnel boring machines used by civil engineers can vastly cannot keep doing the same thing. They must look to reshape the adopt technologies to accelerate automation and reduce fatalities. reduce miners’ reliance on explosives. Until recently, these machines way they do things, employing scarce capital in an increasingly This explains why leading companies continue to look at new were too large to apply in a mining setting. Some innovators overseas, efficient manner. technologies – such as nanomaterials, 3D printing, modular design, however, are now incorporating the underlying technology to build robotics, bioengineering and alternative haulage – in an effort to smaller machines – effectively adapting mature solutions from other It’s rapidly becoming clear that innovation can do much more than further improve operational performance. industries to realise more rapid results. just reduce capital intensity. It also has the power to reduce people and energy intensity, while increasing mining intensity. In today’s world, value is measured on more than these metrics. By integrating mining, energy and information technology into mine To improve long-range planning and forecasting, companies must and process design in an innovative way, it’s possible to achieve radical explore emerging information technologies such as cloud computing, performance improvement breakthroughs. embedded logic, sensors, GPS systems, cyber security, big data, This approach is applicable to new and operating mines. simulation modelling and 3D visualisations. To reduce emissions First create a lean mine and then enable high performance with and accelerate electrification, they must also look towards energy information technology. technologies such as advanced materials, energy storage, smart grids, renewable energy conversion, superconductivity, non-detonating solutions and high-energy lasers.

20 DELOITTE WA INDEX – RESHAPING THE FUTURE THE FUTURE OF MINING

Significant gains As mining companies begin to apply innovation to their full • Leverage emerging technologies In conclusion operational ecosystem, they stand to realise significant gains. New technologies hold the promise of vastly altering mining sector Innovation can drive much more than cost reduction. The right technology in the right setting can help reduce people, fundamentals. 3D visualisation tools can help companies track their It can help mining companies mitigate and manage risks, capital and energy intensity, while increasing mining intensity. people, equipment and changing environment at each mine site, strengthen business models and foster more effective in real time. New mineral processing technologies are emerging to By integrating mining, energy and information technology into mine community and government relations. reduce the safety hazards associated with gold extraction and to and process design in an entirely innovative way, miners can achieve unlock previously uneconomic mineral deposits. It can help mining services companies enhance their value to radical performance breakthroughs in areas such as improved safety the industry by developing new products and services. standards, cost savings, optimising energy mix and vastly enhancing Social media is helping companies to facilitate electronic booking at operational performance. mine sites and enhance employee access to information, no matter And longer-term, it can even position organisations to move where they’re located. Some companies have even launched SMS the needle on issues such as corporate social responsibility, To achieve these big breakthroughs, however, miners must articulate messaging platforms as a way to foster two-way communication environmental performance and sustainability. a bold vision of the future, one that hinges on achieving radical leaps with employees, solicit feedback and improve workforce rather than incremental shifts. Miners need to be prepared for divergent future scenarios engagement. New production and logistics technologies also where collaboration is a key component and consider how to To accelerate this process: promise to reduce the use of natural resources and emissions. move from business of today thinking to business of tomorrow • Think big, test small and scale fast • Become part of an innovation ecosystem success. Companies must look to reshape the future, or be Because miners typically prefer to test new systems at scale, they Organisations can’t develop an innovation strategy in isolation. surpassed by those who do. frequently take a narrow focus to system upgrades to keep costs To drive true industry change, miners should consider alliances constrained. Innovators turn this formula on its head by looking or joint ventures with technology providers and other companies at the components of an entire system to uncover the biggest already taking steps to harness organisational intelligence. opportunities for structural improvement and then running small By pooling talent, ideas and insights, collaborative organisations tests to establish proof of concept. This allows the cost-effective heighten the odds of identifying innovation breakthroughs elimination of operational risk before rapid scaling and realising capable of benefiting all industry players. big gains. With modular technologies, the advantages conferred by economies of scale disappear, allowing companies to think big, test small and scale fast. Nicki Ivory Steve Walsh National Mining Leader – West Partner – Consulting Tel: +61 8 9365 7132 Tel: +61 8 9365 7097 [email protected] [email protected]

DIGGERS & DEALERS 2015 SPECIAL EDITION 21 FUTURE WORKFORCE IN MINING

With many miners battening down the Imagining the future – three key priorities Addressing this complexity should start with simplifying individual, The future workforce in mining will look and work dramatically organisation and work-specific programs to reduce complexity and hatches in response to challenging commodity differently compared to today. They will work within a simpler help people focus on what really matters. business model, with less governance and process constraints prices, companies need to focus on preparing Mining companies can leverage key learnings from organisations (it will no longer be a case of process for the sake of process). that have focused on simplification for a number of years. The case Team structures will be simplified, with fewer people, but focused for a potential market turn around in the next study on GE, highlighted in our report, mentions the need for key on the more critical activities. Team members will bring diverse focus to shift from ‘doing more with less’, the common mantra for 12 to 18 months. experience, will be virtually connected and will be employed under many companies facing tough market conditions, to ‘do(ing) fewer different employment models where the majority of employees are The mining companies best placed to thrive will be those who have things better.’ no longer on the company balance sheet. focused on defining their desired future workplace, identifying new An organisation’s business model needs to drive focus on areas Many large miners have started the journey towards a reimagined ways of working and defining the workforce required. The value of that add greatest value, and a critical review of key services and future – and junior and middle-tier miners need to follow closely if simplicity, diversity and collaboration will be fundamental to achieving processes will quickly highlight areas of minimal value, duplication, they are to maintain their competitiveness in a challenging market a more productive, cost efficient and safe operation. and unnecessary governance, all of which are adding to total and business environment. Deloitte’s Global Human Capital Trends 2015 report outlines 10 operating costs. A review also offers the opportunity to challenge critical trends facing organisations and their implications for how 1. A simpler business model how things could be done differently. The experience of other organisations in the resources sector and other industries presents they navigate a ‘new world of work’. This is demanding a bold and Our report highlighted that 74% of all respondents described their the opportunity to learn from those who have optimised processes innovative response that challenges existing practices. Organisations work environment as either ‘complex’ or ‘highly complex’. Factors and leveraged technology and innovation to improve their need to reimagine how they lead, engage, evaluate and develop contributing to this complexity range from ‘always-on’ technology overall productivity. their people and how they design their teams and work. and global 24/7 demands, to complexity in work practices, business processes, and jobs. A leaner, value-focused business model will require simplified processes and governance structures, with ‘just enough’ control to ensure work gets done without burdening teams with unnecessary activities, which has certainly not been the focus of many resources companies to date. The mining companies best placed to thrive will be Technology will play a large part in enabling this. Governance structures that emphasise accountability and focus on what matters those who identify new ways of working and defining will also go a long way to achieving simplicity, as will reducing the the workforce required number of interfaces between functions and teams.

22 DELOITTE WA INDEX – RESHAPING THE FUTURE FUTURE WORKFORCE IN MINING

2. Simplified and optimised organisation design 3. Leveraging open and diverse talent A simplified business model, with clear processes and appropriate Managing the future workforce will require a different approach to This more flexible and open approach to talent will rely heavily on a governance, provides a solid foundation for designing more talent – with collaboration the key, along with a real openness to robust workforce planning process, supported by business analytics efficient and effective structures and roles that ensure clarity new ways of working and different perspectives. to effectively link operational plans to workforce profiles. of purpose, scope and no duplication of effort. Junior and middle-tier miners may not have the budgets to drive Success in these three key areas will position miners to thrive, but Many mining organisations grew organically and in a semi- large scale innovation programs to support widespread automation achieving a workplace of the future will demand bold thinking, controlled way during the boom, in the drive for scale at all costs. of their operations. But they do have the opportunity to establish discipline and the commitment of leadership to drive a different Post-boom, they now have the opportunity to step back and partnerships and alliances with innovation partners, thought approach to achieving business results. re-evaluate better ways to deliver more streamlined and productive leaders, universities and suppliers to understand what is coming ways of working. The impetus is on maximising value delivered and to work together on solutions. through operational teams while creating simplified and lean While cost reduction programs are required in the short term, corporate support structures. keeping an eye on who is providing thought leadership/innovation Technology will again have a significant role to play. Cognitive ideas in mining and related industries will provide dividends in computing – the use of machines to read, analyse, speak and the medium term. These collaborations will also present valuable make decisions – will impact work at all levels. Many miners opportunities to tap into more flexible talent models, leveraging already have automation programs in place across various elements specialised skills to undertake defined pieces of work, as well as of the supply chain. These have focused mainly on automating upskilling existing talent in preparation for the future. operational elements of work. Cognitive computing is set to Julie Harrison Kristy Delaney Companies now compete globally for increasingly scarce technical automate and replace some roles/knowledge workers, and Partner – Consulting Director – Consulting and professional skills, and those who succeed in understanding organisations need to rethink the design of work, how employees and building a global ‘supply chain’ for skills will be positioned for Tel: +61 8 9365 7061 Tel: +61 8 9365 7163 will work in cooperation with computers, and the implications future success in innovation and performance. [email protected] [email protected] for the competencies and skills employees will need to succeed in the future. Moving away from a traditional employee/employer and contractor model, to one which embraces a full spectrum of talent types, including permanent employees, contractors, partners, consultants, virtually connected global subject matter experts, as well as pure point-in-time knowledge workers will enable mining companies to respond faster to changing business environments through more flexible access to skills and knowledge.

DIGGERS & DEALERS 2015 SPECIAL EDITION 23 WA’S TOP 100 LISTED COMPANIES AS AT 30 JUNE 2015

This year Last year ASX Long Comp Name Mkt Cap Mkt Cap Last Price High Price Low Price EPS 30 June 2015 30 June 2014 (mth) (yr) (Yr) (PoAB) 1 1 WES Wesfarmers Limited 43,860 47,835 39.03 46.95 38.45 2.33 2 2 WPL Woodside Petroleum Ltd. 28,202 33,838 34.23 44.23 31.97 2.93 3 N/A S32 South32 Limited 9,530 - 1.79 2.45 1.73 N/A 4 3 FMG Fortescue Metals Group Limited 5,947 13,545 1.91 5.03 1.75 0.43 5 4 ILU Iluka Resources Ltd. 3,209 3,396 7.68 9.22 5.57 -0.15 6 8 BWP BWP Trust 1,966 1,573 3.06 3.34 2.31 0.32 7 17 LNG Liquefied Natural Gas Limited 1,917 955 3.81 5.00 1.79 -0.09 8 5 NVT Navitas Limited 1,614 2,679 4.29 7.31 4.14 0.12 9 11 IIN iiNet Ltd. 1,551 1,179 9.52 10.18 6.12 0.39 10 6 SWM Seven West Media Limited 1,543 1,878 1.02 2.08 1.00 -1.00 11 13 SIR Sirius Resources NL 1,360 1,078 3.30 4.16 2.18 -0.04 12 21 NST Northern Star Resources Limited 1,310 730 2.21 2.56 0.92 0.12 13 7 MIN Mineral Resources Ltd 1,238 1,789 6.60 11.39 5.73 0.38 14 12 AHG Automotive Holdings Group Limited 1,223 1,087 3.99 4.68 3.45 0.27 15 15 IGO Independence Group NL 954 1,015 4.17 6.21 3.51 0.35 16 16 SFR Sandfire Resources NL 902 968 5.75 6.78 3.74 0.48 17 9 MND Monadelphous Group Limited 873 1,456 9.37 16.99 7.87 1.30 18 14 WSA Western Areas Limited 753 1,073 3.23 5.30 3.00 0.21 19 29 AMM Amcom Telecommunications Ltd. 701 524 2.60 2.99 1.84 0.08 20 34 ASB Austal Ltd. 640 444 1.85 2.12 1.06 0.15

Source: Australian Securities Exchange and Capital IQ Earnings per share = company earnings divided by number of shares Price/Earnings ratio = A stock’s price divided by its historic earnings per share N/A – Not Available S – Suspended

24 DELOITTE WA INDEX – RESHAPING THE FUTURE WA’S TOP 100 LISTED COMPANIES

This year Last year ASX Long Comp Name Mkt Cap Mkt Cap Last Price High Price Low Price EPS 30 June 2015 30 June 2014 (mth) (yr) (Yr) (PoAB) 21 35 MLX Metals X Limited 581 430 1.38 1.59 0.62 0.11 22 25 PPC Peet Limited 558 585 1.15 1.39 1.01 0.08 23 18 RRL Regis Resources Limited 540 820 1.08 2.20 1.07 -0.29 24 28 TFC TFS Corporation Limited 525 535 1.61 2.24 1.17 0.51 25 27 CWP Cedar Woods Properties Ltd. 415 573 5.26 7.96 4.74 0.38 26 48 PDN Paladin Energy Ltd 408 284 0.25 0.46 0.24 -0.11 27 33 TOX Tox Free Solutions Ltd. 405 452 3.02 3.38 2.15 0.16 28 43 PRG Programmed Maintenance Services Ltd. 342 332 2.88 3.15 2.08 0.22 29 45 SAR Saracen Mineral Holdings Limited 341 325 0.43 0.53 0.20 0.00 30 56 WLF Wolf Minerals Limited 340 226 0.42 0.45 0.23 -0.01 31 31 CCV Cash Converters International Limited 335 463 0.70 1.21 0.67 0.02 32 32 BCK Brockman Mining Limited 319 461 0.04 0.06 0.03 -0.04 33 N/A 8IH 8I Holdings LTD 307 - 0.86 1.13 0.25 0.02 34 249 MIG Migme Limited 295 21 1.13 1.33 0.29 -0.21 35 70 GOR Gold Road Resources Limited 291 149 0.43 0.48 0.20 0.00 36 41 FRI Finbar Group Limited 273 370 1.19 1.70 1.18 0.13 37 55 SEH Sino Gas & Energy Holdings Ltd. 259 245 0.13 0.26 0.12 0.00 38 39 RCR RCR Tomlinson Limited 238 383 1.72 3.47 1.50 0.32 39 87 NGF Norton Gold Fields Limited 233 112 0.25 0.25 0.11 0.01 40 57 PRU Perseus Mining Limited 226 219 0.43 0.55 0.20 0.11

Source: Australian Securities Exchange and Capital IQ Earnings per share = company earnings divided by number of shares Price/Earnings ratio = A stock’s price divided by its historic earnings per share N/A – Not Available S – Suspended

DIGGERS & DEALERS 2015 SPECIAL EDITION 25 WA’S TOP 100 LISTED COMPANIES

This year Last year ASX Long Comp Name Mkt Cap Mkt Cap Last Price High Price Low Price EPS 30 June 2015 30 June 2014 (mth) (yr) (Yr) (PoAB) 41 20 MGX Mount Gibson Iron Limited 218 753 0.20 0.78 0.18 -0.78 42 N/A AFG Australian Finance Group Ltd 215 - 1.00 1.21 0.99 N/A 43 24 AQP Aquarius Platinum Limited 207 609 0.14 0.47 0.14 -0.03 44 49 ATU Atrum Coal NL 206 278 1.19 1.82 0.85 -0.14 45 66 TBR Tribune Resources Ltd 200 172 3.99 4.10 2.50 0.01 46 19 MRM MMA Offshore Limited 199 756 0.54 2.42 0.52 0.19 47 37 RSG Resolute Mining Limited 196 394 0.31 0.66 0.22 -0.40 48 46 DCG Decmil Group Limited. 194 301 1.16 2.25 1.01 0.30 49 96 ASZ ASG Group Limited 188 93 0.91 0.94 0.44 0.05 50 40 MLD MACA Limited 176 376 0.76 2.25 0.73 0.28 51 38 MML Medusa Mining Limited 174 383 0.84 1.99 0.47 0.21 52 69 AVB Avanco Resources Limited 172 150 0.07 0.12 0.07 0.00 53 252 AJX Alexium International Group Limited 165 20 0.63 0.84 0.08 -0.03 54 173 NWF Newfield Resources Limited 164 41 0.89 1.03 0.30 -0.02 55 62 EZL Euroz Ltd. 154 190 1.00 1.43 0.95 0.05 56 64 PEA Pacific Energy Ltd. 153 178 0.42 0.58 0.39 0.04 57 109 PEN Peninsula Energy Limited 152 79 0.02 0.03 0.02 0.00 58 71 APZ Aspen Group 151 145 1.33 1.36 1.17 -0.20 59 50 PAN Panoramic Resources Limited 149 267 0.47 1.08 0.31 0.03 60 124 CZA Coal of Africa Limited 148 69 0.09 0.14 0.03 -0.03

Source: Australian Securities Exchange and Capital IQ Earnings per share = company earnings divided by number of shares Price/Earnings ratio = A stock’s price divided by its historic earnings per share N/A – Not Available S – Suspended

26 DELOITTE WA INDEX – RESHAPING THE FUTURE WA’S TOP 100 LISTED COMPANIES

This year Last year ASX Long Comp Name Mkt Cap Mkt Cap Last Price High Price Low Price EPS 30 June 2015 30 June 2014 (mth) (yr) (Yr) (PoAB) 61 30 BDR Beadell Resources Ltd 148 487 0.19 0.65 0.17 0.02 62 129 IWG Iwebgate Limited 140 65 0.23 0.40 0.13 -0.17 63 127 YOW Yowie Group Ltd. 136 66 0.98 1.07 0.44 -0.05 64 93 GNG GR Engineering Services Limited 135 105 0.90 0.98 0.63 0.09 65 42 LNR Lonestar Resources Limited 134 338 8.89 31.88 7.50 2.49 66 60 AHZ Admedus Ltd 129 195 0.07 0.17 0.06 -0.01 67 N/A TOE Toro Energy Limited 128 - 0.06 0.13 0.06 -0.01 68 44 BRU Buru Energy Limited 127 331 0.38 1.14 0.31 -0.10 69 139 CII CI Resources Limited 127 60 1.10 1.20 0.80 0.20 70 51 ASL Ausdrill Ltd. 122 267 0.39 1.37 0.27 -0.75 71 189 RND RAND Mining Ltd. 120 34 2.00 2.00 0.50 0.03 72 67 WIC Westoz Investment Company Limited 120 169 0.93 1.34 0.88 -0.15 73 90 ALK Alkane Resources Limited 114 109 0.28 0.41 0.17 -0.02 74 73 DRM Doray Minerals Limited 114 142 0.48 0.90 0.27 -0.09 75 121 CVN Carnarvon Petroleum Limited 114 74 0.12 0.30 0.07 0.04 76 26 AGO Atlas Iron Limited 110 577 0.12 1.08 0.12 -1.26 77 58 TRY Troy Resources Limited 107 208 0.37 1.32 0.31 -0.42 78 68 MCR Mincor Resources NL 107 155 0.57 0.89 0.52 0.00 79 181 MBN Mirabela Nickel Ltd. 107 35 0.12 0.44 0.03 0.38 80 95 TNG TNG Limited 102 102 0.16 0.34 0.07 -0.01

Source: Australian Securities Exchange and Capital IQ Earnings per share = company earnings divided by number of shares Price/Earnings ratio = A stock’s price divided by its historic earnings per share N/A – Not Available S – Suspended

DIGGERS & DEALERS 2015 SPECIAL EDITION 27 WA’S TOP 100 LISTED COMPANIES

This year Last year ASX Long Comp Name Mkt Cap Mkt Cap Last Price High Price Low Price EPS 30 June 2015 30 June 2014 (mth) (yr) (Yr) (PoAB) 81 59 KRM Kingsrose Mining Limited 100 201 0.28 0.67 0.22 -0.03 82 111 GCS Global Construction Services Limited 98 78 0.49 0.62 0.41 0.04 83 81 RRS Range Resources Limited 92 125 0.02 0.03 0.01 -0.02 84 94 TON Triton Minerals Limited 88 103 0.24 0.91 0.14 -0.02 85 82 TAP Tap Oil Ltd. 88 124 0.36 0.70 0.22 -0.18 86 146 EPD Empired Limited 88 57 0.76 0.89 0.58 0.05 87 77 CLX CTI Logistics Limited 86 131 1.29 2.07 1.22 0.12 88 118 ABU ABM Resources NL 86 76 0.25 0.45 0.21 -0.05 89 116 RWD Reward Minerals Limited 85 76 0.72 0.85 0.36 -0.01 90 74 FWD Fleetwood Corp. Ltd. 84 141 1.37 2.47 1.10 0.00 91 80 MAH MacMahon Holdings Ltd. 82 125 0.07 0.14 0.03 -0.08 92 83 OBJ OBJ Limited 81 121 0.05 0.13 0.05 0.00 93 92 OEL Otto Energy Limited 80 106 0.07 0.14 0.06 0.03 94 47 TGS Tiger Resources Ltd. 80 288 0.07 0.36 0.03 0.00 95 117 NMS Neptune Marine Services Limited 80 76 1.30 1.45 0.92 0.05 96 172 POS Poseidon Nickel Limited 80 41 0.12 0.27 0.08 -0.03 97 99 CWE Carnegie Wave Energy Limited 79 86 0.05 0.07 0.04 0.00 98 61 BSE Base Resources Limited 79 191 0.14 0.36 0.10 -0.03 99 N/A PEZ Premiere Eastern Energy Limited 78 - 0.09 0.20 0.09 0.06 100 253 DNK Danakali Limited 77 20 0.44 0.57 0.16 -0.04

Source: Australian Securities Exchange and Capital IQ Earnings per share = company earnings divided by number of shares Price/Earnings ratio = A stock’s price divided by its historic earnings per share N/A – Not Available S – Suspended

28 DELOITTE WA INDEX – RESHAPING THE FUTURE

COMPILATION OF THE DELOITTE WA INDEX

The monthly Deloitte WA Index is compiled from publicly available information provided by the Disclaimer of liability This Index has been prepared as general information only and ASX and Capital IQ on the market capitalisation of each Western Australian listed company. does not consider the specific objectives, situation or needs of anyone including any member of its target audience. You should not rely on the information in the Index or disclose it or refer to it A company is included as a Western Australian company where its About Deloitte Perth in any document. registered office is listed in Western Australia, regardless of whether As one of Australia’s leading professional services firms, Deloitte the company is dual listed. The information on Western Australian Touche Tohmatsu and its affiliates provide audit, tax, consulting, Deloitte does not accept any duty of care or liability to anyone listed companies is extracted and then summarised to provide a and financial advisory services through approximately 6,000 people regarding this Index or any of its content and we are not responsible cumulative market capitalisation figure for all Western Australian across the country. We have expertise that spans industry sectors to anyone for any loss suffered in connection with the use of this listed companies. including automotive; consumer business; energy and resources; Index or any of its content. We make no representation or warranty financial services; government services; life sciences and health about the accuracy of the information in the Index. Circumstances The base period of the Deloitte WA Index is May 2000 and for the care; manufacturing; real estate; and technology, media and might have changed since the date this Index was prepared. purposes of the Index the month of May 2000 is given a notional telecommunications. Focused on the creation of value and growth, value of one. All subsequent monthly cumulative market capitalisation and known as an employer of choice for innovative human resources totals are divided by the May 2000 total to then obtain a relative programs, we are dedicated to helping our clients and our people For information regarding the Deloitte WA Index, please contact: movement. Please note that if a company has been suspended or excel. Our professionals are dedicated to strengthening corporate delisted during a particular period no data will be included for that responsibility, building public trust, and making a positive impact month and all subsequent months until the company is re-listed or in their communities. the suspension lifted. Historical information regarding the company’s market capitalisation will continue to be included in the calculation of Our Perth practice continues to grow with more than 500 dedicated the Index. personnel including 52 partners. We provide high quality service Tim Richards David Newman to our clients throughout Western Australia, delivering seamless Earnings per share (EPS) is a basic EPS calculation, i.e. net profit divided Tel: +61 8 9365 7248 Tel: +61 8 9365 7178 solutions and the insights that they need to address their most by weighted average number of shares. [email protected] [email protected] complex business challenges. The strong performance culture of the Perth office is attributed to Deloitte’s seven Signals, representing who we are and how we do business.

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30 DELOITTE WA INDEX – RESHAPING THE FUTURE CONTACT US

Please feel free to contact any of the following to discuss how we can help you achieve your goals.

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DIGGERS & DEALERS 2015 SPECIAL EDITION 31

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