Good morning, and welcome to the PYX Resources Limited Annual Results Investor Presentation. Throughout this recorded presentation, investors will be in listen-only mode. Questions are encouraged. They can be submitted at any time by the Q&A tab situated in the right-hand corner of your screen. Just click Q&A, scroll to the bottom, type your question and press Send. The company may not be in a position to answer every question received during the meeting itself. The company will review all questions submitted today and publish responses where appropriate to do so. Before we begin, we'd like to submit the following poll. I'm gonna run a short video ahead of the presentation. I'd now like to hand you over to Oliver Hasler, CEO. Good morning, sir. Good morning, Paul. Good morning, everyone. I'm very happy to be here with you and be able to show you the annual results or the results we had for the year 2022, which was a wonderful year for PYX, and also for those who are newly following us, to give you an overview of what we do. First of all, I will assume that everyone has read the disclaimer. PYX Resources is a mineral sands mining company listed on the National Stock Exchange of Australia and also listed on the main market of the London Stock Exchange. We did our original IPO in Australia in February 2020, and we listed in London in November 2021. We're a mineral sands mining company. For those who are not experts, we mine for zircon and titanium oxide. Zircon is a mineral that's used mainly in very large industries such as the ceramic industry, the refractory industry, foundry, and chemical industry, but also for high-tech applications such as semiconductors and batteries for electric vehicles. Titanium oxide is largely used for pigmentation. We have 2 very large resources. We're the fourth-largest assets based on resources, with 10.5 million tons of zircon. We're the second-largest one in production. We have been in production since 2015. Not only do we have a very large resource, but we're also known for having a very high quality. Quality in terms of Kalimantan sands is known for their very high whiteness. We also have low radioactivity, low alumina content, and low iron content, which makes us ideal for the fused zirconia industry, which is mainly where you use zirconia, zircon to produce zirconia for high-tech applications, such as I mentioned before, but also for nuclear power, for energy cells, etc. We're also known for having a very high assemblage value. Most of the mineral sands mines in the world are ilmenite sands with by-products of rutile and zircon. Our highest concentration is of zircon, and our by-products are ilmenite and rutile, which are important because zircon is by far the most expensive of these minerals. Our assemblage value is 3-5 times larger than the one of our peers, which gives us a natural high margin. The timing for our project could not be better. We are in Indonesia, which, as you all know, there's a trade war between Australia and China. Australia is the biggest producer of zircon. China is the biggest consumer. Indonesia is a Belt and Road country, so is a large strategic ally of China. Also, there's a lack of supply. This was projected for many years, and since 2021, there's not enough supply for the market, which triggered very high price increases of over 100%. Even now with the mineral and metal crash in June, prices continue to increase. Most of the governments in the world have declared both zircon and titanium oxide as a critical mineral required towards the transition in carbon zero. As you're going to see, we have worked since the beginning to increase our volumes. Last year, we showed a growth of 83% in our revenues, mainly driven by price increases and volume increases. You'll see through the presentation that we operate in Indonesia at international standards, not only because of our sustainability program, but also in how we set up the company in general. Operationally and strategically, since the beginning, we had a very clear vision on how we would reach in a 5-year plan towards the production of 48,000 tons of zircon, which would convert us into the fifth-largest producing zircon company in the world. Operationally, we have been focusing on increasing the volume, which we have done year after year, as you have followed us in the announcement. We're working on drastically decreasing our mining costs from changing from third-party to our own in-house mining. Right now, we're testing, and we expect by the end of the year to be ready to do our in-house mining and entering next year with a drastic cost reduction. We have also started with the production of our by-products, rutile and ilmenite, which we started during the first half of last year, which we're stockpiling, and we're waiting for the export approval. Also, strategically, we have acquired a second mine, Tisma, which is not in production. We're the only industrial group in Kalimantan, in central Kalimantan, and I believe we can become the consolidator of the mineral sands mining business in the area. We're continuously looking for new opportunities. On this next slide, you'll see the applications. I already mentioned the high-volume industry where it's used. 60% of the zircon of the world is used in China, but the fastest-growing segment is the high-tech segment, which is growing with CAGRs of about 30% per year. It's still a segment of the zircon market that's less than 5%, but very fast-growing. We have the traditional uses, which I mentioned, like, which are uses like ceramics. We have the high-tech usage, which are things like solar cells. As far as the supply and demand, you'll see on the right side of this image, it was forecasted that there would be a lack of supply. This was delayed by 1 year because of COVID, but January 1, when China came out of the crisis, it's accelerated. We had price increases of over 100%. In December 2019, we were selling at prices of $1,300 per ton. In June, we were selling at $3,100. There has been very high price increases. I've been very bullish about it. Even if you take all the new projects and assume that they will happen at the volumes they're being announced and then the timing they're being announced, there will not be enough to compensate for the bigger mines that are reaching the end of their mine life and are losing productivity. The market expects this lack of supply to grow at a CAGR of 2.5%-3%, we'll continue to put pressure on prices. Like I mentioned, in June when the big metal and mineral crash came, zircon increased its prices into Q3. Not only did it not fall, but prices went up. They were stable during the third quarter last year and the fourth one, and the market just announced an increase going into Q2. Ilmenite and rutile. Most of the ilmenite is used to produce synthetic rutile. We have both in our mine, which is titanium oxide or titanium feedstock. 90% of it is used for the pigmentation industry, then the next part would be for the production of welding rods, and the rest also for high-tech applications or the production of titanium for the aircraft industry. The same thing is happening here. It is part of the critical minerals and metals required by the world towards the transition towards carbon zero, and we can also see that the same trend as zircon is happening. There's not enough supply for the growing demand. The zircon industry is very much consolidated. 73% of the world's supply is in the hands of 5 main players. This adds a lot of discipline to the market. It is a commodity. Prices go up and down. If you look at the chart on the bottom side of the slide, and even if you cut to the commodity super cycle in 2012, you can see that prices have been fluctuating, but in a continuous growing trend, and since the year 2020 have grown on the higher side of the extrapolation or the forecast from most of the companies. Today, zircon prices are at $2,350, and all indications are that this will continue into the future. We just finished a very positive year. 2022, it's the second full year that we are in operation since we funded the company with the IPO in February 2020. We had a very strong revenue growth built on strong business fundamentals. Our revenue showed an increase of 83%, coming up to $23 million, up from $12 million a year before. Our premium zircon revenue had an increase of 81%, ending up with an average zircon price of 2,457, which is an increase of 36% compared to the average in 2021. Our zircon sales grew by 33% compared to the year before, and we continued to have very robust customer demand. Last year was also marked by us starting with the production of the byproducts rutile and ilmenite. Here you can see our detailed profit and loss. I have mentioned most of the most important numbers, but we were very happy to have only in the second full year of operation already a positive underlying EBITDA of $419,000 coming from a negative $794,000 a year before. It was very good news for our group that in such a short period we have been able to ramp up and be able to show a positive underlying EBITDA. I lost my mouse here. If we look at the cash flow, the operations consumed a relatively low amount of our cash flow of $2.5 million. We ended up the year with $7.2 million, so we're debt-free since the beginning of the operation. It is our intention to continue to do so. We have enough cash on our balance sheet to grow our project organically at Mandiri, which is the way we projected in our five-year plan. I would like to spend a little bit of time just talking about our deposits. The first deposit is our Mandiri deposit. This is the one that's in operation. That's our original deposit. Our offices are in Palangkaraya, which is the capital city of Central Kalimantan. It was one of the candidate cities to become the new capital city of Indonesia, and as a result of that, we have a new international airport, we have hospitals, we have hotels, we have government-paved roads all the way to our mine and to the factory and back to the ports. We have deep-sea ports, which are today exporting not only our products, but also high-volume products such as iron ore, iron, and coal. As you can see, our project is a low CapEx project because we do not have to invest in very high CapEx lines, which are usually logistics. Palangkaraya is one and a half hours away by air from Jakarta. Our factory is 100 km north from Palangkaraya, which is about a two-hour car ride, and the mine is 20 km from there, which is another half hour. As you can see here, this is the Mandiri tenement, as I mentioned, is a very large resource. We have 2,032 hectares, which are JORC-inferred resources of 6.5 million tons. It has been in production since 2015, but we have really only pushed to increase the production since the IPO in 2020. Here you can see our factory. The entire process from the mining to the factory is environmentally friendly. We don't use chemicals. We have little overburden on the mine, reducing the extraction cost. Most of it is a gravitational process, so we use trommel barrels, spirals in the factory, shaking tables, dryers, and then high tension, magnetic and static separation. We have worked to increase the capacity. At the end of 2021, we increased the capacity of the mineral separation plant to 24,000 tons per year, and our intention is to double the size of this within our five-year plan. Today, most of our CapEx focus is in the mine, where we want to substitute third-party contract mining for our own mining, which will allow us to drastically reduce the cost. We're right now in the final stages of the testing unit. Once we're happy with the results, we will then bring the entire mining fleet up to scale, which we expect to happen by the end of the year. We will continue to increase the volume and then drastically reduce the costs. As far as the export license for rutile and ilmenite, the authorities in Indonesia, the mining authorities, have authorized the export of titanium oxide, and we're just waiting for the license from the trade department. In the meantime, we're stockpiling it. We ended up the year with 7,000 tons of rutile, that if we consider today, price in the Chinese market or the international market of $350 per ton gives us an upside potential of around $2.5 million. Tisma is a mine we acquired in February 2021. It's also a very high-grade zircon mine. It's 1,500 hectares of land with 4.5 million tons of zircon inferred resources. It has a concentration of 3.3% of zircon. Here you can see this is a very important slide. You could see the zircon concentration on the X-axis compared to the titanium oxide concentration on the Y. You can see that we're an outlier compared to the other publicly traded companies. Mandiri has a concentration of 4.8% of zircon, and Tisma of 3.3%, compared to most of the mines in the world that have around 1%. Why is this important? Because zircon is much more expensive as a mineral than ilmenite and rutile, so we have more of the expensive mineral, which gives us a natural margin. As far as our consumers are concerned, all of our exports are done in U.S. dollars. We don't take any, neither credit risk nor exchange risk. We have customers, we have made sure to diversify in the different regions of the world and also in the different industries. Over the last years, our order book has always been equal to our capacity, so the only inventory we usually have in the factory is the one we need to prepare for the next order. When Europe and the Americas was low because of COVID in 2021, we exported most of our sales into China. When China slowed down in the second half of 2022, we moved back to Europe and Americas. We have now a large enough customer base to feel safe to be able to fulfill our growth plan to 48,000 tons per annum. We also have inventory in two main ports in China, and recently in last year, we started with inventory in Malaysia in Port Klang, which is an important logistical hub, which allows us to reduce the costs into India, Europe, and the Americas, and also have a better predictability, and with that in the level of service in delivery. As I mentioned, we're based in Central Kalimantan, Indonesia. We feel very well in Indonesia in the sense that it's a very high-quality zircon. We have a low-cost labor, but a low-cost labor with an expertise in mining. Indonesia has been growing as a mining country. They have been changing their regulations over time to make sure to attract foreign investments. The biggest change they did was to change from the Contract of Work to IUP licenses, with very stable environment compared to other developing countries. Also we know well the local authorities. We know well the mining authorities in Jakarta. We have shown that not only by being able to fully license both of our tenements, we have also relicensed them. Two years ago, we relicensed Mandiri. In February this year, we announced that we have relicensed Tisma for another 10 years. On our board of directors since last year, we have Dr. Sukhyar, who used to be in mining Managing Director in the Coal and Mining Department of Indonesia, a well-known geologist that now forms part of our board of directors. Since the beginning, sustainability was a very important basis on which we grew. We created a program called PYX Cares, where we focus on planet, people, prosperity, peace, and partnership. We have made sure on August last year we joined the United Nations Global Compact. November 1st, we issued our first sustainability report, and we want to make sure that we're treating our people and interacting with the local communities at international standards. We also went through a SMETA audit, which makes sure to audit the company, a third-party auditing of our company, to make sure that on the human resources side, on the health, the safety, the environment, and the social side, we are working on not only Indonesian regulations but also international standards. As you can see from the presentation, we have a very high quality product which is in high demand. Operation-wise, we are growing the volume. We have a very strong project to drastically reduce the cost, and we have additional projects, products which we will put into the market. We still have many upsides as far as we can increase the exploration of our actual tenements, and with that, increasing the assets. We can also go deeper. We have a strong sustainability base. We have customers around the world diversifying and diverse. A very diversified by industry. We have also improved our logistical solutions by having warehouses in China and Malaysia. We're very happy with this listing we did in London, which has allowed us to diversify our shareholding and to increase our liquidity. Very important is we have a very strong bullish zircon price outlook. Based on this, I think we have created a company with a very high upside for our shareholders. What you should expect from us during 2023 is we will continue to show an increase in our production towards our goal to reach 48,000 tons. We will continue to show operational improvements, increasing our efficiencies, working on a decrease of cost, mainly on the mining side. We expect to sell our inventories and then continue to production and sales of our titanium dioxide, continue with our diversified customer base, and to continue to make sure that we have open to enough new customers to be ready for the future demand. Paul, with this, I wrap up the presentation. I'm happy to answer questions from the floor. Fantastic, Oliver. Thank you very much indeed for the presentation. As Oliver said, please do continue to submit your questions using the Q&A tab situated on the right-hand corner of the screen. While Oliver takes a few moments to review those questions submitted today, I'd like to remind you that the recording of the presentation, along with a copy of the slides and the published Q&A, can be accessed via your investor dashboard. Oliver, we did receive a number of pre-submitted questions from investors, and perhaps I could start with those. The first one you have covered off there. There is a little end piece to it, but the first question reads as follows: "You say you have a significant stockpile of ilmenite and rutile ready for export when you receive the export license. Please could you tell us what the average price of these materials? As you've previously said, this is a significant piece of cash ready to generate once export is granted, and you mentioned the value of that, but do you have buyers ready for this, and is it easy to sell once approval is given? Under today's circumstances, it's very easy to sell. We have several buyers lined up both in India and in China. Assuming that the market price remains where it is at $350 per ton, and I believe there's an upside, but today would represent $2.5 million in cash and in profit because we have absorbed all the cost within the zircon production. Fantastic. Thank you. Next question we've got here is, "I appreciate that Tisma is currently being left alone due to finances and focusing on Mandiri. However, could you give shareholders an idea or a guesstimate about how much it would cost to bring online if you choose to do so? Sure. If we were potentially going to do. First, we are focusing on Mandiri because we have the cash to grow organically. Now, the market would tell us that we should accelerate the project, but we have decided it's smarter to be careful to take care of our cash and to focus on what we have. Today, we will continue to grow with Mandiri, but if we were going to start Tisma, it's probably a project to bring us up to 24,000 tons of $15 million. We just have to repeat exactly the same thing we did with Tisma, with the difference of going directly into in-house mining. There are two ways of approaching this. Either we wait until we have grown our volumes in Mandiri and we generate enough cash organically, and then we invest in Tisma, or if we decide and the board decides to do so, we could look for the right investors to accelerate this project. That's great, thank you. In previous presentations, you talked to us about the Kalimantan region, and over time, you'd like to consolidate it. Can you give an idea of how many mines are in the region, and what the inferred or potential resource base in that region? There are hundreds of mines, and we will have. I mean, before we look at a mine to seriously integrate it, we would have to do drilling and the JORC Report. I cannot answer for the resources or the inferred resources in general in Kalimantan. It is a region that has been known. It's not a surprise. I mean, the Chinese have mined there for alluvial diamonds and gold for the last 2,000 years. There's, in the eastern part of the island, there's a lot of nickel and iron, and in general, there's coal. There are other zircon, but more on an artisanal basis coming out of Kalimantan, and we're the only industrial group. We're constantly looking and exploring mine by mine. We have to do our own drilling in order to decide if we want to proceed in making an acquisition. I believe today that we have a very strong case over time to get, if we get the right mines on board, to become a big consolidator, and with that, one of the largest assets of zircon in the world. Thank you very much indeed. Please can you give us as much detail as possible as to when shareholders should expect to see the complete in-housing of the processing of materials? Obviously, this will massively reduce your costs and boost your profits, which would be a good signal to the market. When this is completed, will you make an official announcement to the market letting everybody know, including your shareholders? Right now we're finishing. As you could see from the video, we have a full processor. We have trommel barrels, we have jigs, we have spirals and magnetic separators in our tenement. We're just testing it to make sure it's the right material. As far as the equipment is concerned, we should be able to finish that over the next couple of months, and then we would place the order to bring that up to scale. I expect us to be ready for our own in-house mining by the end of the year and start the new year with a much better cost basis. Obviously, yes, we have been very transparent with the market on what we do. This is important major news, so yes, we would announce it to the market, and most important, the market would see it in our results. Super. Thank you. Can you discuss with us your CapEx projects for the current year and the year ahead? This year, based on what I just said, the most important CapEx is in-house mining, so that's where we're going to focus all of our resources. The factory's already at 24,000 tons, so we don't have to do any major investments. The only investment we're doing in the factory is connecting it to the electrical grid, which will allow us to drastically reduce our electrical costs, and the rest of our efforts will be on our in-house mining. That's great. One that has been covered off in the presentation, probably worth reiterating. Are you able to iterate what your production guidance targets are for this year, and can you quote what publicly available information there is for shareholders who haven't seen this or aren't aware? I mean, our five-year plan from the beginning is to reach 48,000 tons. We have been increasing the production into that direction year after year, so we're on track of our project. I still believe we will reach after five years with the problems we have had of mainly COVID, which made us lose some times, but the teams have been able to make up, and we should be able to reach our goal of generating 48,000 tons, which generates a wonderful EBITDA. That's good to hear. Right, that's covered off those pre-submitted questions there, Oliver. If you could just click on the Q&A tab, we have had a number of questions come through, and where appropriate to do so, could I just ask you just to read out the question and give your response, and I'll pick up from you at the end. Thank you. Okay. How do energy costs affect us? Obviously they have affected us in the sense that they have been going up, but it's not the biggest part of our production costs. The only inflation we have had has been in the purchase of diesel. We will be switching to the electrical grid, which will allow us to compensate, but it's not a drastic impact on our project in general, and it has been largely compensated by the production increase. What is the estimated resource life at the Mandiri currently at full production? The life based on the actual resources we have for our project at 48,000 tons is a 200-year mine life. We have a very, very large mining project with opportunities to accelerate. What else do we have? What is the spare parts inventory like at the moment? That's a little bit more detailed. I mean, in the end, what we do is every time we import equipment, we have a policy of importing it together with a spare parts inventory of 1-2 years on imported equipment. For the rest, such as pumps and generators, et cetera, we either get them locally in Palangkaraya or Banjarmasin. Banjarmasin and Palangkaraya are major cities. The worst-case scenario is that we have to bring it from Jakarta. Logistically, when it's not an emergency, it takes us 2 weeks to get. But if it's an emergency, we could get it within 48 hours. At the end, we are in the middle of Central Kalimantan, but we're not far away from civilization. Major cities are only three hours away in Kalimantan, and the capital city is one and a half hours away by plane. What is the cyclone and hurricane season in Kalimantan? How often do high category storms hit and terrain prone to flooding? Yes, that's a good question. I don't think I've ever received that. We have 10 months of rain. We are around the equator, just south of the equator, so we receive a lot of rain. There is flooding in the area. Until now, we have never had damage. The worst flooding we had, which was a first major scenario, was, if I remember right, in November 2020, which didn't really affect the factory and the mining as far as creating damage on the equipment, but it did affect the roads. We lost 2 weeks as far as shipping. We continued to increase the inventory and we had to ship late. We're used to having flooding. We have had flooding both in Palangkaraya and on the tenement. Usually, it brings us a logistical interruption, but until now it has not brought big interruptions to the process. I don't expect. In general, we have to be used to that. I cannot imagine even a worst case scenario could create us a problem and a generator or perhaps make us lose a roof or so, but it should not be interrupting really or create severe damage to our operation. Do we have any offtake or sell into spot market? How long is cash collection? At this moment in time, we started with offtake agreements. We have now worked more on spot markets. We sell mainly outside of China at international prices. We sell at prices that are around the tier one large producers in the world. We do quarterly agreements with them at the international prices. Into the Chinese market, we sell at spot prices. Again, spot markets is usually higher when price pressure is going up. It's lower when price pressure is going down, and I foresee in the next long term to continue with this upward pressure. That's mainly spot market for the Chinese market. All of our other customers are usually on a quarterly basis. We receive most of the cash in advance and if we work on a CIF basis, we do 50% down payment and the rest against documents, which is two weeks later, as you see, and everything is done in U.S. dollars. Where do we see the cost of production? I mean, at the end, we expect the cost of production to drastically reduce to around $350 per ton, which is in line with what our peer miners would be doing with African costs. We should be able to reduce them by over 60%. I guess with that, Paul, we finish our questions. I think we have. Unless there are any other questions which I'm happy to answer. I think we have covered those off, and, of course, the company will review any further questions that come in, and we'll publish responses where appropriate to do so. Oliver, just before redirecting investors to provide you with their feedback, which I know is particularly important to you, can I just ask you for a few closing comments, please? Sure. Thank you very much for taking the time and having the interest into our company. I think timing, as I mentioned at the beginning, could not be better. There is not enough supply for the actual demand. The world knows that the new supply of zircon will come in Indonesia, and we were the first industrial group within mining for mineral sands in Indonesia. I'm very bullish about the future. The reason I participated in this event is I'm looking to diversify our shareholding now that we have listed on the London Stock Exchange. I'm very happy to answer any other questions you might have. In the presentations, you see that we have an email under IR, ir@pyxresources.com, and I'm happy to take any other questions in the future from investors. Fantastic. Thank you indeed, Oliver, for updating investors today. Can I please ask investors not to close the session to be automatically redirected to provide your feedback in order that the management team can better understand your views and expectations? This will only take a few moments to complete and is greatly valued by the company. On behalf of the management team of PYX Resources Limited, I'd like to thank you for attending today's presentation and good morning to you all. Have a good day. Bye.