Page 9 - Bauxite Resources Annual Report 2013

19%
35%
2%
10%
13%
5%
10%
6%
China (2012)
Transport
Construction
Packaging
For foil
Electrical
Consumer durables
Machinery and equipment
Other
37%
11% 21%
7%
9%
5%
7% 3%
USA (2012)
A comparison between the USA (developed) and China (emerging) shows
the differences in aluminium intensity of use by industrial segment
Apparent consumption of semi-finished aluminium by end-use, 2012
© 2013 CRU International Limited confidential
Overview of Operations
Corporate Objectives
During the year the Company focused on the development of
its bauxite interests in Western Australia with the objective of
commercial development of bauxite and alumina capacity to
support a developing market in China.
Achievements during the financial year were:
• Exceptional resource growth of 96% to 243.7 million tonnes
• Successful cash conservation strategy achieved cash
balance at end of year of $44 Million
• Implementation of inaugural share buyback for the
Company for up to 10% of the issued capital
• Selective reduction of non-prospective tenement holdings
from approximately 25,000km2 to now 17,710km2
• Appointment of highly respected mining professional
Mr Peter Canterbury as CEO/Executive Director
• Effective expenditure review and implementation resulting
in significant cost reductions
Bauxite Market
2012/2013 has seen significant challenges to the international
resources market with Europe and the US suffering economic
challenges and low growth. The Chinese economy whilst still
growing strongly has suffered significant uncertainty with the
change of leadership and expectation of a sizeable slowing of
growth. In the resources sector in China the preceding years
growth in steel and aluminium production capacity has resulted
in surplus capacity in these sectors compounded by a slowing
demand in the construction sectors.
Source CRU, Bauxite Long Term Market Outlook, 2013 Edition
Annual Report 2013 Bauxite Resources 7