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Half Year Results FY25 20 February 2025 Authorised for release by the Board of Whitehaven Coal Limited Whitehaven Coal Limited ABN 68 124 425 396 Level 28, 259 George Street, Sydney NSW 2000 P +61 2 8222 1100 F +61 2 8222 1101 PO Box R1113, Royal Exchange For personal use only
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2 Disclaimer Contents This presentation contains information in a summary form and does not purport to be complete. It is qualified by any other information that Whitehaven discloses to the ASX. FORWARD LOOKING STATEMENTS Statements contained in this material, particularly those regarding the possible or assumed future performance, costs, dividends, returns, production levels or rates, prices, reserves, potential growth of Whitehaven Coal Limited, industry growth or other trend projects and any estimated company earnings are or may be forward looking statements. Such statements relate to future events and expectations and as such involve known and unknown risks and uncertainties. Actual results, actions and developments may differ materially from those expressed or implied by these forward-looking statements depending on a variety of factors. The presentation of certain financial information may not be compliant with financial captions in the primary financial statements prepared under IFRS. However, the company considers that the presentation of such information is appropriate to investors and not misleading as it is able to be reconciled to the financial accounts which are compliant with IFRS requirements. All dollars in the presentation are Australian dollars unless otherwise noted. RELIANCE ON THIRD PARTY INFORMATION This Investor Presentation references or uses as a basis, certain information made available to Whitehaven by third parties through a process as part of which Whitehaven was provided or given access to information about the assets. No representation or warranty is made as to the accuracy, completeness or reliability of the information. COMPETENT PERSONS STATEMENT This document contains estimates of Whitehaven Coal's Coal Resources and Coal Reserves which has been extracted from the ASX release by Whitehaven Coal titled “2024 Annual Report” dated 25 September 2024. The current JORC compliant Coal Resources and Coal Reserves were published in the 2024 Annual Report as part of the annual results and financial statements on 25 September 2024 and prepared by Competent Persons in accordance with the requirements of the JORC Code. This announcement is available at www.asx.com.au Whitehaven Coal confirms that, at the date of publishing this document, it is not aware of any new information or data that materially affects the information included in those announcements and, in relation to the estimates of Whitehaven Coal's Coal Resources and Coal Reserves, that all material assumptions and technical parameters underpinning the estimates in the relevant announcement continue to apply and have not materially changed. Whitehaven Coal confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the relevant announcement. JORC CODE It is a requirement of the ASX Listing Rules that the reporting of Mineral Resources and Ore Reserves in Australia comply with the Joint Ore Reserves Committee’s Australasian Code for Reporting of Mineral Resources and Ore Reserves 2012 (“JORC Code”). The JORC Code permits the terms Coal Resource and Coal Reserve to be used interchangeably with Mineral Resources and Ore Reserves respectively. Investors outside Australia should note that while Coal Resources and Coal Reserves estimates in this document comply with the JORC Code, Whitehaven Coal does not provide any guarantee that they comply with the relevant guidelines in other countries. Investors should not assume that quantities reported as “Resources” (i) will be converted to Reserves under the JORC Code or any other reporting regime, or (ii) will be able to legally and/or economically be extracted. 1. Half year highlights • Safety & environmental • Operational & financial 2. Whitehaven’s markets 3. H1 FY25 operational results 4. H1 FY25 financial results 5. FY25 Guidance 6. Appendices INVESTOR CONTACTS Kylie FitzGerald +61 2 8222 1155, +61 401 895 894 kfitzgerald@whitehavencoal.com.au Keryn Zambrowski +61 455 094 595 kzambrowski@whitehavencoal.com.au MEDIA CONTACT Sam Deans +61 449 988 209 sdeans@whitehavencoal.com.au For personal use only
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1. Half year highlights 3 For personal use only
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Good safety and environmental performance 4 Reporting of QLD and NSW operations consolidated from H1 FY25 4.9 0 5 10 15 20 25 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 H1 FY25 ROM coal production and TRIFR ROM Coal production (mt) Total Recordable Injury Frequency Rate (TRIFR) 4.9 TRIFR for employees and contractors of 4.9 in H1 FY25 compared with 3.3 for NSW in FY24 and 6.6 for QLD in Q4 FY24 Zero environmental enforceable action events1 in H1 FY25 consolidating FY23 and FY24 excellent performance Includes QLD from FY25 1. Events resulting in environmental enforceable actions include penalty notices, enforceable undertakings, suspensions, prevention notices and prosecutions. For personal use only
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Strong operational performance underpinned solid results 5 Financial results $960m H1 underlying EBITDA $588m from QLD, $395m from NSW and ($23m) unallocated $328m H1 underlying NPAT before $251m (post-tax) of non-recurring costs1 A$232/t Whitehaven achieved price Resilient pricing in a subdued market QLD average achieved price A$247/t, NSW average achieved price A$211/t $137/t Unit cost of coal H1 FY25 unit cost tracking at low end of FY25 guidance range 9 cents Fully franked interim dividend to be paid 14 March 2025 together with a share buy-back up to $72m 1. Includes $32m of Acquisition related transaction and transition costs (before tax), $326m of finance costs (before tax) related to unrealised FX losses on the re-translation of the US$ denominated cash, debt and deferred considerations as well as the discount unwind of the deferred and contingent considerations in relation to the acquisition. Refer to Note 4.2 of the Interim Financial Report for the half year ended 31 December 2024 Note: numbers may not add due to rounding Operational results $3.4b H1 revenue 64% metallurgical coal and 36% thermal coal sales; $2.0b revenues from QLD and $1.3b from NSW 14.2Mt Equity sales of produced coal up 109% on H1 FY24 reflecting the QLD acquisition and strong underlying demand for Whitehaven’s products 19.4Mt Managed ROM production including 9.9Mt from QLD operations and 9.4Mt from NSW compared with 10.3Mt in H1 FY24 For personal use only
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2. Whitehaven’s Markets 6 For personal use only
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Whitehaven is benefiting from product, market and geographic diversification 7 49% 11% 11% 8% 6% 6% 6% 4% Japan India China Korea Malaysia Taiwan Europe Other 36% 64% Metallurgical Thermal 1. On an equity basis excluding unallocated revenue (ie. excluding third party purchases) 2. Managed sales including third party purchases 3. Other coal sales destinations include Vietnam, Argentina and Australia 90% 10% H1 FY24 H1 FY25 ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ Revenue contribution % by type1 16.4M tonnes of managed sales2 in H1 FY25 Metallurgical Thermal 3 For personal use only
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Structural supply gaps are expected for both high CV thermal and metallurgical coal 8 0 50 100 150 200 250 300 350 400 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Supply Demand 0 50 100 150 200 250 300 350 400 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Supply Demand Source: 1. Commodity Insights 2024 base case assumption global seaborne supply and demand including planned / end of mine closures 2. Commodity Insights 2024 entire global seaborne metallurgical coal complex including Hard, Semi Hard, PCI and Semi Soft Coking coal Global supply & demand: seaborne metallurgical coal2 Global supply & demand: seaborne HCV thermal coal (>5850 NCV)1 M tonnes M tonnes 139Mt 74Mt For personal use only
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H1 FY25 market conditions 9 Demand for Whitehaven’s products remains strong; prices were resilient in H1, despite some market softness Pricing • QLD operations average price of A$247/t for sales of produced coal. • Platts PLV HCC Index averaged US$206/t for H1 FY25 (versus US$299/t in H1 FY24), with Whitehaven’s QLD operations average metallurgical coal price of US$162/t or 79% of the PLV HCC Index. • NSW operations average price of A$211/t for sales of produced coal. • The gC NEWC Index was US$139/t (versus US$141/t in H1 FY24) and Whitehaven’s NSW thermal coal sales realised an average price of US$138/t. Costs • Unit costs of $137/t at low end of guidance range reflecting cost reduction initiatives and productivity gains. • Opportunity for further cost improvements from QLD including from volume uplifts. • NSW operations in a period of higher costs – which are expected to reduce over time. • Inflationary costs have moderated although labour costs reflect multi-year enterprise agreements and legislative imposts. • Safeguard Mechanism costs relatively modest but are expected to increase over time. Supply and demand • Demand for Whitehaven’s met coal remained strong, while market conditions for steel production and met coal prices softened in the December quarter. • Rebound in met coal demand from India slower than expected, in part due to cheap Chinese steel exports, but confidence in India’s growth remains strong. • Demand for Whitehaven’s thermal coal remained robust, while good production from NSW producers in December quarter, resulted in a temporary oversupply of HCV thermal coal in a tight market. • Near term price volatility impacted by trader activity in a well-supplied market as well as geopolitical uncertainties. For personal use only
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3. H1 FY25 operational results 10 For personal use only
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ROM coal production and sales Strong H1 FY25 performance from QLD and NSW mines 1. H2 FY24 includes the first quarter of QLD ownership Note: Numbers may not add due to rounding 2.6 2.2 3.0 6.0 5.4 5.1 1.7 1.8 1.4 1.3 3.1 3.6 6.8 H1 FY24 H2 FY24 H1 HY25 2.5 1.7 3.1 4.2 4.6 3.4 1.7 1.7 1.0 0.9 2.6 2.3 5.7 H1 FY24 H2 FY24 H1 FY25 Managed ROM coal production (Mt) Managed sales of coal produced (Mt) Gunnedah Open Cuts Maules CreekNarrabri Daunia Blackwater 10.3 14.1 8.4 11.1 19.4 15.8 11 1 1 For personal use only
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1. Gunnedah Open Cuts: Continuing includes Tarrawonga and Vickery; Rehab Mines includes Werris Creek Note: Numbers may not add due to rounding NSW Operations – ROM coal production 12 All NSW mines delivered in line with or better than plan in H1 FY25 Managed ROM coal production (Mt) GOC Continuing1 Maules CreekNarrabri GOC Rehab Mines1 20.6 20.0 18.2 4.1 4.8 5.3 4.8 3.0 12.7 11.2 9.6 11.4 5.1 2.3 2.4 1.9 2.3 1.4 1.6 1.6 1.4 1.2 FY21 FY22 FY23 FY24 H1 FY25 19.7 9.4 • H1 FY25 NSW ROM production of 9.4Mt o 5.1Mt from Maules Creek o 3.0Mt from Narrabri o 1.4Mt from Gunnedah Open Cuts (GOC) • Maules Creek delivering in line with plan including good productivity • GOC – Tarrawonga performing well while mining through higher strip ratio area; Vickery continuing solid ramp up • Narrabri performed consistently Jul-Nov with some unplanned downtime in Dec; 8-week longwall move commences Mar-25 • On track to deliver in upper half of FY25 guidance range of 17.4 – 19.8Mt For personal use only
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QLD Operations – ROM coal production 13 A strong H1 FY25 operational performance delivered by Daunia and Blackwater mines Managed ROM coal production1 (Mt) • H1 FY25 QLD ROM production of 9.9Mt o 6.8Mt from Blackwater o 3.1Mt from Daunia • Alignment of operating model for long-term success, including headcount reductions • Cost out initiatives on track for annualised run rate of $100 million by end of FY25 • Blackwater blasted inventory now rebuilt, allowing rebuild of pre-strip inventories to progress • Daunia productivity improvements including AHS and improved availability of rail paths • On track to deliver in upper half of FY25 guidance range of 17.6 – 19.7Mt 3.7 1.3 3.14.8 3.7 5.1 8.8 3.6 6.8 15.2 14.3 12.5 FY21 FY22 FY23 FY24 H1 FY25 20.0 17.418.0 17.6 9.9 Blackwater under BMA Daunia under WHC Daunia under BMA Blackwater under WHC 1. Source: historical ROM data provided in 18 October 2023 ASX Release Acquisition Presentation; FY24 ROM production sourced from BHP Saleable Coal production report and assumes 81% yield from ROM production for Daunia and Blackwater For personal use only
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4. H1 FY25 financial results 14 For personal use only
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H1 FY25 financial results 15 Resilient coal prices and solid production support strong underlying earnings; Adjustments to underlying earnings largely relate to non-cash movements including FX Underlying EBITDA $960 million Depreciation & amortisation ($340) million Underlying net financing costs ($151) million Underlying income tax expense ($141) million Underlying NPAT $328 million Significant items1 (post tax) ($22) million Adjustments to underlying financing costs1 ($229) million Statutory NPAT $77 million • Transition and transaction costs of $22m (post-tax) or $32m (pre-tax): o IT systems o QLD restructuring and integration costs o 30% sell down of Blackwater transaction costs • Non-cash adjustments of $229m (post-tax) or $326m (pre-tax) includes: o unrealised FX losses relating to revaluations of US$ denominated cash and debt balances, and deferred & contingent considerations o discount unwind on deferred & contingent considerations 1. Includes significant items and other adjustments to underlying results (after tax). Refer to Note 4.2 of the Financial Report for the half year ended 31 December 2024 for a reconciliation between underlying NPAT and statutory NPAT. For personal use only
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Financial history 16 1. Refer to Note 4.2 of the Interim Financial Report for the half year ended 31 December 2024 for a reconciliation between underlying earnings and statutory results. 2. Restated to align the underlying result with the half year ended 31 December 2024. 1,557 4,920 6,065 1,589 1,394 869 2,034 FY21 FY22 FY23 FY24 H1FY24 H1FY25 3,824 3,428 Revenue ($m) 205 3,060 3,967 632 272 588 FY21 FY22 FY23 FY24 H1FY24 H1FY25 1,399 Underlying EBITDA1 ($m) Underlying NPAT1 ($m) (87) 1,952 2,655 740 379 328 FY21 FY22 FY23 FY24 H1FY24 H1FY25 170 2,582 4,190 1,030 523 537 FY21 FY22 FY23 FY24 H1FY24 H1FY25 Cash generated from operations ($m) (809) 1,038 2,652 (1,278) (989) FY21 FY22 FY23 FY24 H1FY25 Net (debt) / cash ($m) 960 Group QLD NSW and unallocated 922 1,307 2 For personal use only
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• Underlying H1 FY25 EBITDA of $960m compared with $632m H1 FY24, reflecting: o QLD underlying EBITDA of $588m o NSW underlying EBITDA of $395m, down 37% • Underlying net finance costs largely reflects interest on acquisition related US$1.1b debt facility • Income tax rate of ~30% in H1 FY25 H1 FY25 segment financial results 171. Includes $134m of unallocated revenue and ($23m) of unallocated EBITDA. Refer to Note 4.1 of the Interim Financial Report for the half year ended 31 December 2024. $ million NSW QLD Group1 Revenue 1,260 2,034 3,428 Underlying EBITDA 395 588 960 Depreciation & amortisation (107) (233) (340) Underlying net financing costs (11) (140) (151) Underlying profit before tax 277 215 469 Underlying income tax expense (141) Underlying NPAT 328 For personal use only
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EBITDA margins remain attractive H1 FY25 Equity coal sales1, 14.2 Mt Average revenue2 (after royalties), A$/t $204 Average cost of sales, A$/t $137 EBITDA margin on own coal sales, A$/t $67 EBITDA margin on own coal sales, 33% • Underlying H1 FY25 EBITDA of $960m compared with $632m H1 FY24 • Average H1 FY25 coal price realisations3 reflect solid underlying demand o A$232/t from Group o A$247/t from QLD o A$211/t from NSW • Unit costs of $137/t at low end of guidance range o Opportunity for future cost improvements from QLD through cost outs and volume optimisation o NSW operations in a period of higher costs: − mine sequencing e.g. higher strip ratio at Tarrawonga & Vickery box cut − NCIG debt amortisation acceleration currently adding ~$4/t to NSW; unit costs for NSW estimated to reduce by ~$9/t from around FY304 − ~$3/t absorption of underutilised take or pay rail costs – until contracts are renegotiated and benefit from FY27 − ~$2/t underutilised take or pay port costs – reductions depend on additional NSW volumes 137 27 1. Equity basis, excluding purchased coal 2. Excluding purchased coal and after applicable royalties 3. Before royalties in QLD and NSW 4. The rate of acceleration of amortisation of NCIG debt may reduce based on coal prices; it is currently ~$4/t and estimated to complete around FY30, resulting in NSW unit costs reducing by ~$9/t (real), equivalent to the accelerated amortisation plus the base amortisation of the senior debt at NCIG. $/t estimates are calculated on WHC’s current NSW sales volumes taking into account charges across WHC’s NCIG contracted volumes. Note: Numbers may not add due to rounding H1 FY25 FOB unit costs vs average realised price (A$/t) 232 RoyaltiesFOB unit costs Average realised price 67 Margin 18 For personal use only
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EBITDA H1 FY25 vs H1 FY24 (before significant items) 19 $m 632 960 588 (73) (75) (88) (24) H1 FY24 Price (net of royalty) Sales Volume Costs QLD Other H1 FY25 Achieved Prices H1 FY25 H1 FY24 NSW (A$/t) 211 220 FX AUD:USD 0.66 0.65 $236m For personal use only
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20 $m (1,278) (989) 922 12 56 (110) (245) (104) (160) (82) Net debt at 30 Jun 2024 Net cash from operating activities Net interest paid Net income taxes Capital expenditure & other acquisitions Returns to shareholders Repayments & Other Daunia & Blackwater acquisition adjustment Foreign exchange variations on net debt/cash Net debt at 31 Dec 2024 Net income taxes $m FY24 tax refund 69 FY25 tax paid (57) 12 Net debt: $990m of cash inflows and a net debt reduction of $289m in H1 FY25 For personal use only
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1. Net debt / (net debt + equity) Net debt and liquidity 21 A$ million 31 Dec 2024 30 Jun 2024 Cash on hand 880 405 Credit facility (1,763) (1,661) Other financing facilities (62) (29) Finance leases (100) (55) Capitalised upfront borrowing fees 56 62 Net debt (excl. IFRS lease liabilities) (989) (1,278) Effect of foreign currency variations on net debt/cash (82) 43 Equity 5,216 5,271 Gearing ratio1 16% 20% Liquidity 1,331 556 Maintaining a strong balance sheet • We are lightly geared at 16% • We had available liquidity of A$1.33b at 31 December 2024 comprises: o cash on hand of A$880m o a US$100m undrawn revolving credit facility o undrawn working capital facilities of A$290m • Our significant H2 FY25 cashflows include: o A$363 million stamp duty paid on 2 January 2025 o US$1.08 billion of proceeds from sell down of 30% of Blackwater expected March quarter, with tax payable of ~US$0.08b in the June quarter o US$500 million deferred payment to BMA due on 2 April 2025 For personal use only
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Return to shareholdersRetain cash / maintain balance sheet strength Maintain and optimise operations Capital allocation framework 22 Disciplined capital allocation builds resilience and delivers shareholder value 1 2 4 3 Use surplus capital for best use Dividends Buy-backs Additional returns to shareholders Growth investments – development projects Growth investments – M&A • Sustaining capex, leases, extensions of existing operations, and investments in HSE, new tech and innovation • Includes capex Vickery early mining & Narrabri’s 200 series • Timing of development capex to reflect deferred payment for acquisition and competing opportunities for capital • Maintain liquidity & leverage within target of 0.5 – 1.5x • Retain cash on balance sheet for flexibility and liquidity • Maintain funding diversity • Target BB+ grade credit rating • Acquisition of Daunia and Blackwater is aligned with capital allocation framework • A significant step up in capital returns expected after making the deferred payments and when surplus capital emerges • During deferred payment period franked dividends paid from NSW operations (with payout ratio of 20-50% of NSW NPAT) • Cashflows from QLD to be used to retire vendor finance • Share buy-back has been on hold – now reinitiated Operating cashflows • Fully franked interim dividend of 9.0 cents (~$72m in total) to be paid 14 March 2025, reflects: o ~37% of underlying NPAT contribution from NSW, in line with stated payout ratio o ~22% payout ratio of underlying Group NPAT o typical prudent approach at H1 • Share buy-back to resume o up to ~$72m over six months o ~22% payout ratio of underlying Group NPAT • Capital allocation framework to be reviewed at the end of FY25 following a full year of cashflows from the larger business & receipt of proceeds from the Blackwater sell down For personal use only
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5. FY25 guidance 23 For personal use only
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FY25 guidance 24 1. Excludes sales of third party purchased coal. Numbers may not add due to rounding. 2. Before applicable royalties 3. Excluding payments related to M&A and other investing activities H1 FY25 actual FY25 guidance Comments Managed ROM Coal Production, Mt GROUP 19.4 35.0 – 39.5 Tracking firmly in upper half of guidanceQLD 9.9 17.6 – 19.7 NSW 9.4 17.4 – 19.8 Managed Coal Sales1, Mt GROUP 15.8 28.0 – 31.5 Tracking firmly in upper half of guidanceQLD 8.2 14.4 – 16.1 NSW 7.5 13.6 – 15.4 Equity Coal Sales1, Mt GROUP 14.2 24.3 – 27.4 Tracking firmly in upper half of guidance Adjusted to reflect 70% equity ownership of Blackwater from 1 April 2025 QLD 8.2 13.6 – 15.2 NSW 6.0 10.7 – 12.1 Cost of Coal2, $/t 137 140 – 155 Tracking at low end of guidance Total Capex3, $m 206 440 – 550 Tracking at low end of guidance ROM coal production and coal sales are currently on track to be firmly in the upper half of FY25 guidance For personal use only
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Whitehaven’s FY25 focus areas 25 Focused on delivering on guidance as well as safety, operational performance, cost management and optimising price realisations Group priorities • Continuous improvement of safety and environmental outcomes • Deliver FY25 guidance • Further harmonise QLD & NSW operations • Complete 30% JV sell down of Blackwater • Maintain disciplined capital allocation o retain strong balance sheet o assess competing opportunities o review capital allocation framework NSW • Manage costs and optimise margins • Improve / maintain productivity at Maules & Tarrawonga • Optimise coal quality and yield • Ramp up Vickery production • 8-week longwall overhaul and move at Narrabri • Deliver operational reliability and consistency at Narrabri • Finalise lower capex program for Narrabri stage 3 project, including plans to extend use of current longwall QLD • Further refine operating model • Complete cost out program to deliver $100m p.a. run rate by end of FY25 • Continue to lift AHS productivity • Rebuild Blackwater pre-strip inventories • Optimise price realisations including: o refine contracts over time to align with Whitehaven’s marketing strategy o 2-3 year program to recognise higher specifications of products (potential ~0.5-1.0%+ relativity improvement) For personal use only
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whitehavencoal.com.au For personal use only
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6. Appendix 27 For personal use only
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Financial results supporting slides 28 For personal use only
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Costs 29 H1 FY25 H1 FY24 $m $/t $m $/t Operating expenses 1,489 105 514 76 Selling & distribution expenses 415 29 203 30 Administrative expenses (net of sundry revenues)1 35 3 27 4 Share-based payment expenses 5 0.3 5 1 Total cost of coal 1,944 $137 749 $111 Sales of own coal2, kt 14,215 6,793 H1 FY25 Costs • H1 FY24 is NSW only • H1 FY25 includes QLD and NSW; unit costs of $137/t is at the low end of FY25 guidance range • NSW operations currently in a period of higher costs: o mine sequencing, including Tarrawonga higher strip ratio and Vickery box cut o NCIG debt amortisation acceleration currently adding ~$4/t to NSW; unit costs for NSW estimated to reduce by ~$9/t from ~FY303 o ~$3/t absorption of underutilised take or pay rail costs – until contracts are renegotiated with benefits from FY27 o ~$2/t underutilised take or pay port costs – reductions depend on additional NSW volumes 1. Group administration expenses are presented net of sundry revenues of $2m (H1 FY24: $1m) which appear in the ‘other income’ line of the P&L 2. Equity basis, excluding purchased coal 3. The rate of acceleration of amortisation of NCIG debt may reduce based on coal prices; it is currently ~$4/t and estimated to complete around FY30, resulting in NSW unit costs reducing by ~$9/t (real), equivalent to the accelerated amortisation plus the base amortisation of the senior debt at NCIG. $/t estimates are calculated on WHC’s FY25 NSW sales volumes taking into account charges across WHC’s NCIG contracted volumes. 28% 16% 8%5% 9% 14% 20% Labour Repairs & maintenance Diesel Drill & blast Equipment hire Other operating Logistics For personal use only
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FY25 capital expenditure guidance remains unchanged 30 ($m) FY25 guidance Includes H1 FY25 actual Operational Assets 280 – 345 • Open cuts fleet overhauls, sustaining capex • Legacy environmental compliance QLD • Narrabri sustaining capex – 200 Series precinct NSW ~40%, QLD ~60% 152 Development Assets and Mains 155 – 190 • Vickery • Narrabri Stage 3 – 300 Series precinct • Narrabri Mains • Winchester South NSW ~90%, QLD ~10% 52 Other 5 – 15 • NSW Employee housing initiative 2 Total Capex 440 – 550 NSW ~60%, QLD ~40% 206 For personal use only
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Depreciation & Amortisation 31 H1 FY25 FY24 FY23 GROUP Depreciation & amortisation $340m $319m $226m D&A per tonne (sales of own coal) $24/t $19/t $17/t NSW Depreciation & amortisation $107m $246m $226m D&A per tonne (sales of own coal) $18/t $19/t $17/t QLD Depreciation & amortisation $233m $73m - D&A per tonne (sales of own coal) $28/t $23/t - • H1 FY25 D&A in line with guidance provided in August 2024 • Depreciation applied to closing stock balances at 30 June 2024 delivered a one-off benefit in QLD in FY24 For personal use only
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Underlying finance income / (costs) 32 H1 FY25 FY24 FY23 GROUP Underlying net finance income $12m $85m $82m Underlying net finance costs ($163m) ($107m) ($40m) Underlying net finance (costs)/income ($151m) ($22m) $42m NSW Underlying net finance income $8m $83m $82m Underlying net finance costs ($19m) ($33m) ($40m) Underlying net finance (costs)/income ($11m) $50m $42m QLD Underlying net finance income $4m $2m - Underlying net finance costs ($144m) ($74m) - Underlying net finance (costs)/income ($140m) ($72m) - • Debt drawn in April 2024 • Reduction of interest income from 2 April 2024 once upfront consideration for acquisition was paid. • Includes interest payments on the US$1.1b credit facility ($101m), commitment fees on undrawn facilities, amortisation of upfront financing costs, long-term provision discount unwind For personal use only
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FY25 guidance1 for D&A and net finance expense 33 FY25 indicative guidance GROUP NSW QLD Comments Depreciation & amortisation ~$750m ~$250m ~$500m NSW broadly in line with FY24 QLD includes depreciation of PP&E and amortisation of the mining tenement (including rehab) Net interest expense ~$250m Represents cash interest expenses, including: • interest on the 5-year US$1.1 billion term loan, fees on undrawn facilities and bank guarantees, and leasing expenses Represents non-cash finance expenses: Unwinding of discounts on provisions ~$60m ~$10m ~$50m • Relates to rehabilitation provisions2 Unwinding of discounts on payables3 ~$160m - ~$160m • Relates to deferred and contingent payments Amortisation of finance facility upfront costs ~$20m • Primarily relates to 5-year term loan facility Net finance expense ~$490m Foreign exchange variations on net debt and deferred payments will also impact net finance expense but will be removed from underlying results. 1. Excludes the impact of the sell down of 30% interest in the Blackwater Mine 2. Unwinding of discounts on rehabilitation provisions should be relatively consistent year on year 3. Unwinding of discounts on deferred and contingent payments will peak in FY25, reduce in FY26 and reduce again in FY27, to nil in FY28. The discount unwind on the deferred and contingent payable for H1 FY25 is $87m and has been excluded from the underlying finance costs for H1 FY25 of $151m Note that the above guidance includes an assumed AUD:USD exchange rate of 0.66 and a SOFR of 5.32% Recognising complexities associated with the treatment of the acquisition, the following guidance for FY25 is provided, as published in the FY24 Results presentation. These numbers are indicative only. For personal use only
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Sustainability 34 For personal use only
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35 Whitehaven’s portfolio of operations in QLD & NSW Whitehaven is a leading Australian metallurgical coal producer and supplier of high-CV thermal coal Early mining of Vickery commenced in FY24 ahead of full scale development Vickery (100%) Daunia (100%) Blackwater (100%) Tarrawonga (100%) Narrabri (77.5%) Maules Creek (100%) Winchester South (100%) NSW Operating Assets QLD Development Projects For personal use only
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Contributing to our communities – FY24 overview 36 10.6% of workforce1 identify as Aboriginal and/or Torres Strait Islander 22.7% female employees2 and 19.7% in our legacy business up from 17.3% in FY23 281 ha of land rehabilitated1, adding to 107 ha in FY23 $462m spent with regional suppliers in North West NSW up from $336m in FY23 $17.0m spent with 14 Aboriginal and Torres Strait Islander businesses1, up from $14.4m in FY23 $1.5b paid in taxes and royalties ($1.4b in FY23) $1.25m in corporate community partnerships and donations 7:1 ratio of land managed for biodiversity compared with land disturbed for mining Note that following the acquisition of the Queensland Blackwater and Daunia mines on 2 April 2024, some metrics have been consolidated and others will be consolidated from FY25 1. Excludes Queensland 2. Includes Queensland For personal use only
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Providing energy security for our customers 37 Our coal provides a significant proportion of electricity to our key customer countries totalling ~40 TWh annually Contribution to baseload electricity from Whitehaven managed coal supplied into Japan, South Korea & Taiwan (JKT) and Malaysia1 Japan 27.0 TWh WHC coal produces 27.0 TWh of Japan’s baseload 2.9% representing 2.9% of Japan’s power generation 41.8mins equivalent to 41.8 minutes of power/day Taiwan 6.2 TWh WHC coal produces 6.2 TWh of Taiwan’s baseload 2.2% representing 2.2% of Taiwan’s power generation 31.3mins equivalent to 31.3 minutes of power/day South Korea 1.7 TWh WHC coal produces 1.7 TWh of Korea’s baseload 0.3% representing 0.3% of Korea’s power generation 4.3mins equivalent to 4.3 minutes of power/day Malaysia 5.0 TWh WHC coal produces 5.0 TWh of Malaysia’s baseload 2.5% representing 2.5% of Malaysia’s power generation 36.3mins equivalent to 36.3 minutes of power/day 1. Based on latest available power generation data from Wood Mackenzie CY24. Overall sent out efficiency of power stations assumed to be 40% in Japan & 38% in Korea, Taiwan & Malaysia. For personal use only
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Producing the highest quality seaborne thermal coal 38 Source: McCloskey Global Thermal Coal Imports & Exports & Whitehaven Coal production data for CY2024 1. Managed thermal coal sales (including third party purchases). 2. NAR equals energy on a Net As Received basis / ADB equals ash content on an Air Dried Basis (ADB) Average energy content of Whitehaven’s thermal coal was ~6077 kcal/kg NAR 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Whitehaven Australia Russia United States Colombia South Africa Indonesia H1 FY25 quality outcomes • Average energy content of Whitehaven’s thermal production was ~6077 kcal and 11% ash content (ADB) • 98% of Whitehaven’s thermal coal exports >5600 kcal/kg NAR • NSW thermal portfolio is equivalent or superior to gC NEWC standard quality Percentage of thermal coal exports by quality1 – CY24 kcal/kg NAR2 <5000 5000 – 5600 5600 – 6200 >6200 For personal use only
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Our coal is efficient when combusted 39 When combusted, more energy per metric tonne is generated than other thermal coals 1. Coal feed rates compare typical specifications from multiple origins with Whitehaven’s Maules Creek thermal coal. Source: Commodity Insights • Required feed rates for all reference coals to deliver the same power output is higher than Whitehaven’s coal • Higher feed rates are required for other coals because of their lower calorific value and higher moisture contents (in the case of Indo sub-bituminous coals) resulting in reduced boiler efficiencies • Low impurities in Whitehaven coal reduces parasitic loads on air quality systems at power stations 100% 104% 105% 105% 106% 108% 125% 139% 163% WHC (Maules) Australia (HV) Australia (Surat) Russia Sth Africa Colombia Australia (Galilee) Indo (Sub Bit) Indo (LRC) Comparative coal feed rates (%)1 For personal use only
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Coal-fired power plants – GHG emissions per MWh sent out1 Our coal is lower in emissions 40 Demand for high quality, high CV, low ash coal remains strong 1. Sources: Typical Aus plants based on company data. All others sourced from Commodity Insights 2. Typical Australian plants include: 1.29 for Sub-C Lignite at Loy Yang (Vic), 0.95 for Sub-C black coal at Bayswater (NSW) and 0.89 for SC black coal at Millmerran (Qld) • Whitehaven’s thermal coal is used in high- efficiency, low emissions (HELE) electricity generation including Ultrasupercritical (USC) power plants • Whitehaven’s coal allows USC power plants in Asia to deliver ~27% lower emissions than typical sub-critical plants in Asia using lower quality coal • In customer countries of Japan, Korea, Taiwan and Malaysia, 46% of coal fired power capacity (GW) is from USC plants compared with 20% 20 years ago • Japan and Korea commissioning 7 new USC units (totalling 5,970MW) (2022-24) 0.89 1.02 1.02 0.91 0.90 0.87 0.80 0.75 Typical Aus. Plants Sub-C Indonesia (LRC) Sub-C Russia Sub-C WHC SC Indonesia (LRC) SC Russia SC WHC USC WHC tCO2 / MWh Key Power plant type / specs Sub-C Subcritical 16-18 Mpa, <540°C SC Supercritical >22 Mpa, 538-566°C USC Ultra- supercritical 25-30 Mpa, 593-610 °C 1.29 11% 2 22% 27% 42% For personal use only
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Focused on Scope 1 and 2 emissions, TCFD reporting and ASRS standards1 41 Greenhouse gas emissions2 1. TCFD is the Task Force on Climate-Related Financial Disclosures; ASRS is the Australian Sustainability Reporting Standard 2. Further information is available in Whitehaven’s 2024 Sustainability Report, published September 2024 816 910 1,172 1,228 105 102 93 138 921 1,012 1,266 1,366 FY21 FY22 FY23 FY24 k tonnes CO2e Scope 1 Scope 2 (location-based) Scope 1 emissions primarily from Narrabri fugitive emissions, Maules Creek diesel consumption, and Blackwater fugitive emissions and diesel consumption in FY24 • Multiple fugitive emissions abatement projects underway and under investigation at Narrabri • Early scoping work being undertaken for pre-mine drainage at Blackwater and Daunia • Supporting novel, emerging carbon capture utilisation technologies through our investment in Hydrobe Pty Ltd FY24 Scope 2 emissions largely from Narrabri & Blackwater • Climate Active carbon neutral electricity sourced in NSW (i.e uses carbon credits to offset emissions) • Progressing approvals for Narrabri solar farm TCFD scenario analysis work / reporting commenced in FY19 • Scenario analysis completed in FY24 Detailed work being undertaken to understand and adopt ASRS climate-related standards in FY26 For personal use only
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55% of Whitehaven’s FY24 Scope 1 emissions were fugitive emissions, primarily from Narrabri and Blackwater 42 Scope 1 emissions by facility1 1. Further information is available in Whitehaven’s 2024 Sustainability Report, published September 2024 Note: Numbers may not add due to rounding 520 787 555 266 258 286 67 73 76 47 43 22 - - 190 - - 54 28 10 11 17 910 1,172 1,228 FY22 FY23 FY24 k tonnes CO2-e Narrabri Maules Creek Tarrawonga Werris Creek Blackwater Daunia Vickery Other 55%44% 0.1% Scope 1 emissions by source1 Diesel consumption Fugitive emissions For personal use only
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Coal price charts 43 For personal use only
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Metallurgical coal prices (US$/t)1 44 Long term supply and demand dynamics continue to support stronger prices Platts Index H1 FY25 (average) US$/t Dec 24 (mthly index) PLV HCC 206 200 LV PCI 166 148 SSCC 137 137 1. Average monthly index. Forward curve based on Platts PLV HCC forward curve as at 18 February 2025 0 100 200 300 400 500 600 700 Jan-21 Mar-21 May-21 Jul-21 Sep-21 Nov-21 Jan-22 Mar-22 May-22 Jul-22 Sep-22 Nov-22 Jan-23 Mar-23 May-23 Jul-23 Sep-23 Nov-23 Jan-24 Mar-24 May-24 Jul-24 Sep-24 Nov-24 Jan-25 Mar-25 May-25 Jul-25 Sep-25 Nov-25 Platts PLV HCC (US$/t) Platts PLV HCC Forecast (US$/t) Platts LV PCI (US$/t) Platts SSCC (US$/t) US$/tonne Metallurgical coal indices1 • Moderation of PLV HCC in H1 FY25 reflects lower Chinese consumption and slower than expected Indian growth • Despite soft global steel demand, pricing has remained resilient • Whitehaven’s products remain in strong demand For personal use only
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Metallurgical coal price relativities 45 Price relativities will fluctuate over short time periods for multiple reasons, including index relativities to PLV HCC. Recent spreads have been wider than historical averages. 0 100 200 300 400 500 600 700 800 900 1000 30% 40% 50% 60% 70% 80% 90% 100% Apr-12 Jul-12 Oct-12 Jan-13 Apr-13 Jul-13 Oct-13 Jan-14 Apr-14 Jul-14 Oct-14 Jan-15 Apr-15 Jul-15 Oct-15 Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Oct-18 Jan-19 Apr-19 Jul-19 Oct-19 Jan-20 Apr-20 Jul-20 Oct-20 Jan-21 Apr-21 Jul-21 Oct-21 Jan-22 Apr-22 Jul-22 Oct-22 Jan-23 Apr-23 Jul-23 Oct-23 Jan-24 Apr-24 Jul-24 Oct-24 Low Vol HCC %PLV Low Vol PCI %PLV SSCC %PLV US$/tonne Platts PLV HCC price relativities – monthly index Platts PLV HCC Index (RHS) For personal use only
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Demand growth for metallurgical coal is largely underpinned by India 46 Recent Wood Mackenzie forecasts indicate: • ~33% growth in demand for seaborne metallurgical coal into Asia by 2050, with India to grow ~140%1 • India will drive healthy met coal demand growth in the near term, led by continual infrastructure and housing spending resulting in nearly 100Mt of new BF/BOF capacity additions through 2034 • India’s share of global metallurgical coal demand to surge from 7% in 2024 to 19% in 20502 • Seaborne trade to grow from ~28% of global supply today to ~43% in 2050 • Australian seaborne supply to increase by 24% to ~190Mt in 20502 Australia and Whitehaven to benefit as India and S.E Asia emerge as the largest metallurgical coal importers M tonnes Asia seaborne demand for metallurgical coal1 Source: 1. Wood Mackenzie January 2025 seaborne metallurgical coal 2. Wood Mackenzie Global Metallurgical coal strategic planning outlook 2024. January 2025 0 50 100 150 200 250 300 350 2024 2025 2030 2035 2040 2045 2050 Malaysia Taiwan Vietnam Indonesia South Korea Japan China India For personal use only
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0 50 100 150 200 250 300 350 400 450 500 Jan-21 Mar-21 May-21 Jul-21 Sep-21 Nov-21 Jan-22 Mar-22 May-22 Jul-22 Sep-22 Nov-22 Jan-23 Mar-23 May-23 Jul-23 Sep-23 Nov-23 Jan-24 Mar-24 May-24 Jul-24 Sep-24 Nov-24 Jan-25 Mar-25 May-25 Jul-25 Sep-25 Nov-25 gC NEWC (US$/t) gC NEWC (Forecast) (US$/t) Thermal coal prices (US$/t)1 47 Outlook remains supported by structural HCV supply shortfall 1. Average monthly gC NEWC Index. Global Commodities Holdings forward curve as at 18 February 2025 • gC NEWC index averaged US$139/t in H1 FY25 (US$127/t in Dec 24) • Despite lower incremental demand, pricing remained resilient in H1 FY25 • Energy security continues to be a priority to end user customers with a focus on longer-term procurement • Whitehaven’s sales portfolio features long-term and reliable offtakes minimising volume exposure to seasonal buying patterns US$/tonne gC NEWC Index1 Prices show resilience at ~US$120-150/t For personal use only
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