Bathurst Resources Limited (BRL) Earnings Call Transcript & Summary

Good morning, everyone. My name is Peter Westerhuis. I'm the Chairman of Bathurst Resources. On behalf of the Bathurst Board, I welcome you all here. It's good to see -- we've got a reasonable turnout, substantially better than what we got last year. And we've also -- I'm advised we've got a few people watching on the webcast today. Thanks very much for tuning in and coming along today. As there is a quorum present, I'll declare this meeting open. Introducing people that are here with me today in an official capacity, there's fellow Director, an Executive Director, Richard Tacon; fellow Directors, Francois Tumahai and Russell Middleton; and Company Secretary, Larissa Brown. Francois, can you make a few welcoming statements, please?

[Foreign language] [ So this leads into ] [indiscernible] one now in terms of [indiscernible].

[indiscernible] when we do -- we also have -- thank you very much for that. Now we also have Victor Zurich, who is representing our auditors from KPMG. Is that correct?

Peter Taylor.

Yes. Why does it say Victor Zurich here? He came last year. Okay. So it's Peter Taylor here. So moving along, the votes will all be tallied via poll. We've got 5 resolutions today. If ASX guidance Note 35 requires that all resolutions subject to as ASX Listing Rules be conducted by poll. Most of our resolutions today are subject to those listing rules. And for that reason, we're doing it by poll. And I'll show the results of the voting we've had so far as we work our way through these resolutions. And you'll have received the poll form when you registered for this meeting. So poll forms will be collected and will be given, and we will provide an update this afternoon after the meeting, and they will be posted to the ASX. We haven't received any questions from shareholders in advance of this meeting, is that correct? Yes. So I strongly encourage you to ask any questions that you have, whether they be for Directors or for our auditors. Any questions to our auditors will be answered by Peter. We will provide a summary Q&A on our website on the AGM page after this meeting has ended. We will now proceed to the formal part of the meeting to consider the resolutions put forward to shareholders. And at the end of that, Richard Tacon, the CEO will make a presentation in giving us a more detailed update on the company's progress. And after that, we'll provide the total indicative poll results. So we'll move to the formal part of the meeting. The business of today's meeting is outlined in the Notice of Annual General Meeting, which was sent to shareholders earlier and is also available on our website. Please note that any discretionary proxy votes which we received as Chairman will be voted in favor of all resolutions. The annual report, which includes the Director's report and the auditor's report, was dispatched to shareholders who requested a copy and has also been available on our website since the 31st of October. And there's also a bunch of them on the table outside there. The annual report, as I said, includes the Director's report and Auditor's report for the period ending the 30th of June 2024 and is now laid before the meeting. And as I also said before that Peter from our auditors is here to answer any questions. So far, we have not received any questions. If anyone has any questions for the auditors now, please ask that now. If there are no questions, we will proceed to consider the resolutions on today's agenda. So Resolution 1 is the reelection of Mr. Francois Tumahai as a Director. So slide shows the proxy summary. Francois is an independent Non-Executive Director. And if reelected, he will remain so. The validity of the resolution is as it stands. Francois, is there anything you want to say in support of your reelection?

Francois Tumahai [Foreign Language] First and foremost, I just want to thank you all for coming today. And the guys that are online, thank you for your time. I've had the privilege of being on Bathurst for a wee while now, and I'm really, really keen and excited to stay on. We've had some challenges, obviously, but the future is really exciting. So I'm really keen to stay on board. So hopefully, I get the votes. Thanks, Pete.

Well, you have, mate. As you can see there, so it's been overwhelmingly voted in favor.

Good that I have been voted again.

So as a Chairman, I'm delighted with those results. He's a very important part of our government's framework and our Board, so it's good to see. So thanks for that. Any other questions about this resolution in general? So Resolution 2, appointment and remuneration of the auditor. This order of business is a standing item and allows the Board to appoint and remunerate KPMG. You can see the result. So that's on the base of the proxies that's also been carried. Do we have any questions about this resolution? And again, if we've got any questions to Peter Taylor, let me know. Resolution 3, performance rights for CEO, Richard Tacon. These are conventional items that are typical for a public company such as ours, and we refresh these from time to time. So this resolution relates to the issue of performance rights to Richard. These have a service period of 3 years from the date of this AGM and are subject to the company achieving a rating -- or a performance achievement of 10% to 15% of total shareholder returns annual growth. We haven't received any questions up until this point. Does anybody want to raise any questions about that now, about this resolution? So please vote for this item of business if you haven't already. As you can see, that one based on the proxies will carry also. Thank you. So I'm moving to Resolution 4, which is similar to 3, which relates to Russell Middleton. Again, if you've got any questions about that, please put them forward now. And as you can see on the proxies, that will carry substantially. No questions on that. Resolution 5 is shareholders' approval for 10% placement capacity increase. Again, this is pretty sort of standard resolutions that appears from time to time. So this allows us to raise additional share capital without having -- this 10% without having to seek prior shareholder approval. Are there any questions about this resolution? Based on those proxies received, this will carry also. So completed poll forms will be, as I said before, collected in a moment, and we'll put the -- any other changes to the results, we'll put those up. So this now completes the formal business of the meeting. If you've got any other questions, please put them to us now. Otherwise, I'll sit down and I'll hand over to Richard. He can provide a company update. Okay. All good? Thank you.

Thank you, Peter. Thanks very much for everyone for turning. I'm Richard Tacon, CEO of Bathurst Resources. I think -- again, it's nice to see some faces in the room, and then also thanks to the people that have come online. It's a really exciting time for Bathurst, and I've probably been saying that for the last couple of years, but we've got a number of projects that we're bringing forward. We are still generating cash. We've got some struggles within that business, so I'll take you through some of those as we go through. But where we are now compared to where we were 2 years ago in terms of the political sphere is chalk and cheese. We've got a government now that's listening to us. We've got a government that actually values the input that we put into a particular regional areas. And I think we're starting to see that with some of the legislation, both unwinding some of the less than helpful legislation that was put in place by the last regime but, more importantly, looking ahead and wanting to actually grow the input of minerals into New Zealand's economy from around $1 billion now to $2 billion by the end of their term. This is what the audacious goal they've set themselves. And obviously, we're an important part of the first part of that in terms of we are already sitting there as an important part of that $1 billion underpinning, but also then continue that on for the next 15, 20 years. Please see the disclosures. I've encouraged you to actually buy shares based on what we're going to tell you today rather than not. And any of the resource and reserves are covered by our recent announcements around the annual release of our resource and reserve compilation. As we stand today, we have got an enterprise value of about AUD 10 million. So we have got a market cap of $140 million. We've got about AUD 140 million sitting in the consolidated cash between BRL and BT Mining and really not a lot has changed in terms of our overall shareholder demographic. We've got still a roundabout 50% sitting in Singapore or other Asian areas. We've actually had an increase in the amount of shareholding in New Zealand over the last 12 months, which is interesting, but it's still pretty much a retail-dominated share ownership. Anyone that knows Bathurst knows where our major operations are, but I'll just run -- use this as really just a run through and give you a very brief update on where we're up to on each of the mines. So Maramarua, Rotowaro are 65% owned by Bathurst, with the BT joint venture. They really supplied the bulk of the coal to New Zealand Steel. Small amount going into line production, and even a smaller amount now going into process heat for value-add to New Zealand prime production. Both mines have been in growth phases. We've been doing the M1, which we recently consented, which is a cut back to the original KCQ pit. That's been sort of hampered by weather, particularly during the winter months, but we are expecting that we're going to do a lot better during obviously the dryer summer months up there. Rotowaro, again, is in growth phase. We're actually mining coal out of what we call the Waipuna extension, which we put in place about 5 years ago. And we're now into the Waipuna West extension, which is, again, a large cutback with a large strip ratio, but matched by pricing from our major customer. So it's -- it will be very profitable, but at the present time, we are into a growth phase. So we've actually put on a lot more people. We've got quite a large amount of overburn removed in the next 12 months. We've got the equipment on the stage of doing it. We've got the manpower now on the ground to do it, and we're looking to achieve that over the next 12 months. Stockton as a mining phase has been performing okay, but we've obviously had logistics hassles, struggles, whichever way you want to call it. We've had a tunnel out in the main logistics path with the Tawhai Tunnel that was occurred on the 15th of June this year. We've been -- we've put in place a road bridge pretty much straight away, and we've been trucking up to about 3,500 tonnes of coal a day around that gap and then reloading trains at Ikamatua and then transporting through to Lyttelton from there. So it has been a large impact on our communities, particularly around Westport and Reefton, where their trucks have actually got to transport pretty much 24 hours a day, 7 days a week through those communities, and we do very much thank them for their patience and putting up with any inconvenience that might be occurring. And again, we have had some complaints, which we've dealt with very quickly. But on by and by, people have been very tolerant, and I think it does sort of say a lot to the standing that we've actually got in those communities, that people understand why we've got to do it. Key roles' communications have been quite good as well. So the tunnel is due now according to their latest time frames to be able to be completely utilized on the 12th of January. They are looking to try and bring that in a week earlier, but that's the time we've got at the moment. And then Takitimu, 100% owned by Bathurst, is performing very well. Unfortunately, it's feeding into a market that is shrinking. People are, for various reasons, moving away from the use of coal, some of them part of decarbonization, some of it's part of the -- just moving the business to elsewhere or closing down. So we've got a reserve base there that will take us through to about '27. And we have got another project near Brighton, but that needs really support for major customers, which we're not seeing at the moment. And probably going back to the Buller -- back to the Westport, sorry, with the Buller project, the -- and we'll talk about a lot more as we go further through. But with the change of government and the introduction of the Fast Track Approval Bill into the parliament in March, that now gives us really the pathway to bring that project forward, and that's a very important part of Bathurst's growth plan. So moving to Canada. We've been in Canada, as most people will know, since 2018 with our joint venture with Jameson in the Crown Mountain project down in lower Eastern BC. Within this year -- or during FY '24, took ownership -- 100% ownership of the Tenas project, which is in Northern or mid-B.C., but very close to the coal port of Prince Rupert. So that's a very important project for us. Again, it's potentially 1 million tonnes a year. It's quite far advanced through the B.C. consigning process. It's not costing a lot of money to keep that ticking over. The major risks here are really getting comfort by the First Nation groups and the local community and the B.C. government that we can operate this project in a manner that's not going to destroy the environment, that's not going to leave a long-term legacy of damage. And then probably, more in particular with the First Nation, we're not going to take away food sources, valuable like caribou, fisheries that are heavily reliant on for food, but also tourism and that sort of dollars. So again, we're looking there to build up a potential for a couple of million tonnes of 100%-owned Bathurst coal. So we'll end up 50% partners in Crown Mountain if we go through to the final investment decision, which will probably be right around FY '28. And obviously, with the Telkwa project, we already own 100% of it. There's been no change to the Board in the last 12 months, and I'd like to thank the Board for their support in all of my activities and particularly supporting the team that reports to me, the senior leadership team. Fiona is in the room here today. Everyone else is out actually doing some work. Sorry, Fiona. Now we actually do normally bring the senior leadership team in, but it's -- yes, it's 2 days out of their lives, and everyone is very busy. So again, thanks to my team. They support me very well, and they support the company in all our activities. We're a medium-sized business in New Zealand. We employ directly about 675 people and then indirectly through contractors and other interactions on the mine sites, a roundabout another 150 on top of that. But -- and particularly in terms of the monies that paid to wages, we are operating in regional centers, West Coast, Southland, middle of the North Island. And in a lot of these areas, we are the major employer in those regional centers. So again, those sort of -- they might seem like a small number of jobs compared to the whole in New Zealand, but they are very important to those regional economies. And there's a significant amount of money that flows from the operations into other parts of the -- whether it's buying diesel, whether it's explosives, repairs or parts and that sort of thing. So just looking at a very quick snapshot of FY '24. As I said, we've got about $140 million of consolidated cash. We've got zero debt on the balance sheet, apart from some yellow goods, lease finance. We are going to generae -- last year, we generated around $91 million EBITDA at Bathurst level. And we've got a net asset covering of a roundabout $1.50. So we're 50% of that. And if you look at it in terms of most multiples, we're well and truly below where we should be. One area where we're not particularly proud of our last 12 months is an area in our safety journey. We've got a lost time injury frequency rate of 6.3% and a total recordable injury frequency rate of 22.4%. They are not numbers to be proud of, and we're not proud of. We're doing a lot of work in and around working with our people in a number of different areas. I won't go through all that now. But it is a source of constant review by our Board and back to our senior leadership team. We've done a lot of work with our managers and our senior site executives and our GMs in terms of trying to assess why are we having this large number of incidents. I got to say from the outset, I'm not worried about having -- hearing about incidents. One of the things we try very hard not to do is to drive this reporting underground. The easiest way of me to fix those stats is to actually not report them. Yes, the sites cannot report them, not me. And I'll never hear about it, but that's not what we want to do. Part of our system is that we want to hear about everything. We reward people for reporting near misses. We reward people for putting in hazard alerts, and we reward people for reporting every injury that they have, including the cut finger. So yes, our stats aren't perfect, but we're doing a lot of good underlying stuff, including working on field leadership program, which is really trying to get interactions going better where people who aren't normally a part of operations are then talking to people who are in operations and trying to work through what we call the 4Ds, trying to work out whether there's something in their job that's daft, whether it's dangerous or whether it can be done better and have they got the support they need. So we are pushing forward with all those programs. And then I'm hoping next year when I report this, we're going to see a lot of different sets of numbers. Community, yes, we do a lot of stuff in the community, both in terms of donations. We've got a thing called the Buller Resilience Trust, which, again, I think has gone a long way towards really highlighting the importance of BT Mining, in particular, in the Buller area. And that is one of the reasons that we've had very little sort of issue over the trucking, even though some people will be quite heavily impacted with the noise. And Palmerston Street is not the busiest street in the world. And if you got 3 or 4 trucks traveling down at once, then it's perceived as being a traffic jam, but we're not getting that negative impact. This was a program that was put together actually by local iwi in the Waikato. It was around trying to get young guys in particular, who were at the age where they should have been going into apprenticeships or whatever else, but for whatever reason hadn't had the opportunity. So they put up, and they introduced basically the young people to the employer and then set up a support mechanism for them. We took on 4 participants out of that to our 2 mines, Maramarua and Rotowaro, and we ended up -- 2 of those guys have then gone on to full-time employment. And so that's [ Francois Baker ] with a young guy at Rotowaro and [ Ben Bittle ] with a young guy at Maramarua. So very proud of their interaction. These guys have got a lot of out of it, and our guys have got a lot out of it. So we're looking to try and maintain that program. So in terms of results, we can't spell even though everyone's looked at that 4 million times. So obviously, we didn't have as good a year as last year, but we're still highly profitable. We were down in EBITDA, and it's all to do with price. So you can see the price coming off and also the growth phase that I've sort of highlighted earlier on. Each of the mines are actually in expansion phase. Stockton is moving in the areas of higher strip ratio for the same amount of coal, but the coal is highly valuable. So it's well worth spending the money. Same as Rotowaro, we're in that Waipuna West cutback, which again has sucked up a lot of cash, but also a lot of -- have taken a lot of EBITDA off the table. And with Maramarua -- and probably the only one that's actually moving forward on that is Takitimu. So Stockton, again, it's -- we've seen pretty consistent sales over the last few years, and we're going to maintain that even though with the Tawhai Tunnel, we're going to be down a little bit in the first 6 months of this year. What we're looking to do is go to 7-day logistics that's been signed off by [indiscernible], and we'll catch up all the bar about 50,000 tonnes for the year. Overburden now, as you can see, is increasing. We've gone from 5% to 5.5% and then we're going to go to 6.2%. Next year, it is probably going to be somewhere around 6% or -- '26 is going to be somewhere about 6.6%. So again, we're seeing that increase as we get into areas that are getting to more extremity of the existing workings. Again, same sort of pattern we're looking at with the North Island. So you see the overburden build up, $6 million to $9.5 million last year, and then we're going to do $15.5 million this year. So a significant build. That will then go for another 12 months, and then we'll see a significant drop off. In fact, it drops off a cliff. And then we'll have a large amount of coal that's under very light cover that will then eke out until about '29. I think now this is looking -- sorry, at our guidance. We were looking at a round of somewhere between a range of $55 million to $65 million EBITDA for the year at again at a Bathurst consolidated level. The major step down from last year is international pricing. We're sort of setting it up spot price at the present time, about USD 205 per tonne. Obviously, down quite considerably where we were 2 years ago, but even last year, but the forward curve is in contango. So we're seeing uplift back to about 250 tonnes by the end of the financial year. And when we're seeing that also in our forward sales. So in our hedging programs, we are still locking in tonnes at around NZD 250 converted in New Zealand for small tonnages, but we build it up on a book-by-book basis. So a roundabout 40% of our overall production is actually carried at a hedge price, and we're locking in most of that up to 12 months out. So that forward curve and contango really helps us out with that. And obviously, we've got a tail of that still flowing through into the business now. That's really just depicting that. So the lighter blue on there is the forward curve. And I think even since this was updated, it is now back up to around NZD 250. So Bathurst as a business is really broken up into 3 main components. We've got the BT mining. Obviously, in terms of New Zealand, that's really important. We own 65% of that joint venture. And then with 100% of the Bathurst assets, we've got the Buller project and we've got the operating Takitimu mine. And then in British Columbia, we've got the Tenas project and Crown Mountain. So over the last few years, there's been a market step down. So the yellow on this graph depicts the domestic coal mainly used in primary -- value-added prime production. So that's dairy factories, abattoirs and other sort of food-related mainly processing type. Some lime production in there as well, both North island and South Island. But the thing that's been reasonably consistent is the amount of coal going out through export. So that's the lighter blue and the supply into the only steel mill in New Zealand, which is the darker blue on there. And that's looking to continue that pattern. We will not see, I don't believe, a larger increase in the yellow. We probably will maintain some of that. Obviously, with Takitimu falling out in '26, '27, that's going to reduce further. There is some small tonnage still going in the North Island, though. So looking ahead with projects and then going back to my sort of statement of the start, the Fast Track Approval Bill basically allows us to unlock as in a one-stop shop process, all of the Buller and potentially the North Island Rotowaro asset. To try and do what we're trying to do, what we're going to do through the Fast Track through a conventional RMA process would be death by 1,000 cuts. And it's not just the RMA part of it, it's the dock access part. It's the wildlife permits and the -- and any heritage orders and things like that. The idea of the fast track is that we can put in one application. That will be considered by the panel with consultation with the major regulators. So in our case, that will be the local regional councils, District Council, Regional Council, Department of Conservation, heritage and Department of Conservation again with wildlife permits. But the main thing is it's not so much the fast part of that, it's actually the one track or the one stop. So one application gets -- goes through a single test, and then we end up with a multiple approvals that will then be administered by the various groups. So District Council, will look after land use. Water is done by regional council like it is now is done by Regional Council. Dock will have their input in terms of making sure that we're operating in the way we said we're going to operate and that we've got proper rehabilitation plans that are going to put the land back in as close to the present state as possible, but also preserving in the ecosystems that we're actually affecting now as we go further forward. So with the Buller project, that's where that fits exactly. So we are looking to do a number of things with the one application. Obviously, Stockton has covered bulk of it now by co-mining license. So the co-mining license expires in March '27, and we need to undo that bundle of rights, which is what the coal mining license is. At the moment, it covers access arrangements, it covers land use and it covers sort of most of the other areas where we may -- with building rights and things like that, for instance. So in doing that unbundling, we then need to go into each of the individual permit approval processes. With the one track, we can basically preserve access to that existing infrastructure base, so the roads, the washery, the rail, the aerial, the rail load out. And ultimately, that allows us then to support our customers. So that's an important first part, and there's also 4 or so million tonnes remaining within the existing holding. After '27 that we can then blend with some of the Buller coal and make sure we maximize the value out of the remaining asset. We've got Cypress, which is tacked on the side of that, which has got a resource consent that goes through to 2040 and an access arrangement with LUNZ through to the same period. So we then bolt the Buller project onto it as an additional source of coal going into that existing market. And that then allows us really then to maximize the value out of the BT Mining proportion, while also bringing in progressively coal out of the Buller project. With the North Island extension, it's really about preserving, again, the washery, the rail load out, the rail unloader, which Genesis is using at the present time, and the haul road through to the conveyor belt that supplies Genesis and also all of the rail load-out facilities that allows us to take coal through to New Zealand Steel. So that hub will have to be preserved, and that's part of the co-mining license now. So again, we've got the same process to go through there. And then we've got about another 50 million tonnes potential resource that's sitting up the road that if those customers want that coal at the right price, then that will be available for them. So in terms of the Bathurst profile in the Buller project, in particular, the shaded area there depicts the progressive buildup from a roundabout 2027 up to a roundabout 1.2 million tonnes over a long period. And that buildup really coincides with the coal being depleted out of the remaining stock and coal resource. And it's all enabled by the fast track bill. I think I've already covered that. So the bill was introduced in the parliament in March, had its first reading. We're in a select committee process that was supposed to come out of there at the end of May. It actually didn't come out until the end of October. So it's had a lot of consultation. There's been a lot of change made to the act, and now it's come out to have the second reading. So now it's gone into back into the main committee, which is the parliament. There is some modifications that have been sort of worked through with various government departments, and they are looking to try and enact that either late this year or early next year. So that's the best timing that I've got. And again, the critical part of it is not so much the fast in the name. It's the one-stop shop that actually gives its true value for us. So with the Buller project, the lighter blue areas on the Northern part of that plan, so at the top of the plan are remaining coal within the Stockton, CML and co-mining as in the mining permit areas. And then the pink areas to the South and in the middle here are actually remaining coal within the Buller project. So -- and there's some light gray there as well, which is the coal that sits outside of the [ Scoutman ] project, which is actually fully consented. And yes, that is the sort of project there we're looking at. And then the yellow on the wiggly lines are the haul road connections that then allow us to bring that coal into the infrastructure and then ultimately to the market. So they're just as really important as the mining areas, particularly linking the Denniston, which is to the South of that picture, up through the yellow and then joining in with the already constructed haul roads that service the existing mining areas within the Stockton holdings there. And then, again, that allows us to get access to the washery to the area, ultimately, the rail load out and then feed that coal combined with Stockton coal into the international market. So we've got a life of mine of about 14 years in the Denniston. We're looking to try and commence production up there in FY '27. And the logic there is that we'll have an application ready to go early next year. Hopefully, that coincides with a fully implemented act. We will get an early application in. It will take us probably until Christmas to get that out. And then, obviously, then there will be some planning and construction time after that, with coal coming out in FY '27. So we're looking at ultimately a roundabout 12.5 million tonnes of salable, and we're still working on that very much of today. So with the remaining coal within Stockton, so the BT Mining proportion, we've got a life of mine that runs out about 7 years. There's about 4.3 million tonnes that will be available for blending with that 12.5 million tonnes, and that takes us through to a roundabout a 20-year mine life from -- at that point. And that's what that looks like is with the lighter blue on there was that -- really, that depiction that I showed you with the Bathurst coal coming out of Buller and then the progressive sort of sell down and utilization of the coal within the existing holdings within Stockton. With the assets in Canada, really, the strategy here has been to -- we got it in 2018. We didn't know the jurisdiction. We really didn't know the structural geology of the place, and we didn't know how the coal quality was being presented or how it would be presented. So we sponsored the exploration program. We did an earn-in. We put in about $8 million upfront. That got us to a roundabout 10% of the project, and then we then continued to sponsor the environmental assessment work, which then got us up to 22%. We're quite comfortable with that carrying capacity. That's about CAD 1 million a year that cost us to keep that ticking over. That is now going through the first stages of the environmental assessment office process to going towards getting resource consent. We're not aiming that we're going to get out of that process until somewhere around in FY '28. So at some point in time, there will be a decision point. We've got the ability to go to 50% by paying CAD 106. That CAD 106 forms the first capital for the project, and it's a roundabout a CAD 350 million build. It will produce 2 million tonnes a year, of which we will own 1 million tonnes. With the Tenas project, though, it's quite deliberately a smaller project. It was actually -- it was sized to fit into a place within the consenting process. If you're less than 1 million tonnes a year, then you don't need federal sign-off. So it really takes that one whole part of the consent process, whereas Crown Mountain goes through provincial and federal. The only aspect that's actually federal was fishery. So the Department of Fishery is actually a federal agency. It's a semi-hard coke and coal. There's around 22 million tonnes of resource. And so there's about a 25-year life at just under 1 million tonnes of production. It's 350 kilometers from the closest coal port, which is the closest coal to anywhere in B.C. The coal port has got a 20 million tonne capacity, doing about 10 at the moment. There is some developments, which were about 1,500 kilometers away from us that are looking to earn and increase, but there will always be a place for 1 million tonnes or so as been indicated. So we haven't signed up port and rail yet. Obviously, the indicators from both of those that they're keen to see us because we're only a day trip away from the port. So again, most of these other are 6-day trip from the mine to the port and return with the empty. So we've got a lot of sort of interest in that project because of that. And also it's a low strip ratio project, about 3:1 strip ratio over the whole project. And the initial start point is pretty much 1:1. So a low input cost and a low cost overall driven from that strip ratio. I won't go through all the metrics of this. These are all available, but we are updating the DFS on the Tenas project as we speak. It was done in 2019 last and, obviously, costs have changed a lot since then, but also so is the coal price. So it was based on $155 international coal price, still very positive NPV, $270 million at that time. But obviously, we've seen a major shift in things like parts and diesel and explosives. So part of the process now is to update the DFS, and we'll get that back to the market as soon as we can. And at the moment, we are really just working our way through the consent process on both of these. So with Tenas, we've got -- apologies for that, we can't see it. So this is the major mining area. The purple line in the middle of the blob there is actually the haul road, where then takes it to the planned load-out area. We own the block of land that, that will all sit on. And we've got all the land deals in place for that haul road. The initial mine phase will be up in this area. The dirt from there will then form some entrapment dams, which will, number one, basically make sure the mine effected water is not going outside, but more importantly, any acid potential -- acid forming rock will actually be deposited behind these dam structures and then progressively flooded to stop any oxidation of the materials to perform more acid. So the idea is to lock the material that could form acid away from the air by flooding it or by making it saturated, and then we don't get an acid formed. So then we don't have a long-term treatment plan -- or we've got a plan, but we don't have to treat long term. The idea is when we walk away, there will be the usual 5 years or so of monitoring. And then we hand this in -- the site back to the province. This is all forestry block. It was last clear felled about 25 years ago. There's been some regrowth, but the growth rates here are about 1/10 of what we get in New Zealand. And it's all -- it's similar species of what we see here, spruces and that sort of thing. And birch, but they're very slow growing. So the closest town is Telkwa up here. And then Smithers is a slightly larger center with most of the sort of community assets that you would expect, hospital, 2 high schools. There's actually quite a base of forestry and forestry sort of based workers. Tourism is really only locally based. There is some international travelers coming in or province travelers, but it's mainly servicing what is really required or used by the locals. Forestry has gone through a rough period. There's a big mill at Houston, which is about 80 kilometers away from here, which is just shut, which is 400 employees. So there is a good base of skilled workforce that we can draw on. We're going to need about 150 people, particularly initially. And there is other coal resources within the area. So in terms of where we're up to, the Crown Mountain project is about to go into the -- well, it is in the application development review phase. That's really the interim phase. That's where the background work and what the effects are going to be is then tested by each of the regulators, and there's also a community interaction at that point, which is either legislated and/or set up by the proponent. And also probably just as importantly as interaction with the First Nations groups that have got either claim areas over here or have got traditional hereditary lands. So that process has been long ongoing with Crown Mountain, obviously, for us since 2018. It's probably progressing a little bit quicker now post-COVID. With Tenas, though, we're sort of with -- the Tenas project has actually come out of this phase, out of the interim phase. We've got a number of requests for information from the EAO and from First Nations, and we're working our way through those. We're looking to have that completed mid next year. We then go into the final effects assessment, which then really then gets down to the nuts and bolts of the effects that we're assessing versus the mitigations we're putting in place, is that acceptable to a community, to the regulator and to First Nations. So part of that sort of consultation from First Nation, we brought 16 people from the various groups. So there's band chiefs, there's hereditary chiefs and then there's the Office of the [indiscernible] which is a group that was enacted really to allow the First Nations group in the area to actually have then interaction with the government. So they've all got slightly different agendas. Really, the power base sits with hereditary, but then also the bands are very powerful. And if you don't have the sign-off from the OW, or from the Office [indiscernible], you've got no project. So it's not a matter of ignoring one. You've got to basically bring them all on the journey. So we brought a mix of people out. We showed them our Canterbury operations, which is in final stage of rehab. We showed them the Stockton mine. We had half a day's interaction with Francois' people in -- with [indiscernible]. We were greeted onto the marae. And probably, a higher risk strategy in some ways, but I think, at the end of the day, I built a lot of trust. And what it really has done is that it opened their eyes to what the possibilities are in doing exactly what Francois has done and what other groups, particularly in -- with Taranui and with Ngai Tahu, what can be achieved with working with our business. So I think that was a good step. We've certainly built a lot of trust out of it. We've been back recently. And it's not like meeting that we did when we initially took this project over in nearly a year. It's -- we're already further down the trust line. Obviously, it's hard to gain and easy to lose, but we are working our way quickly through it. So that will -- once we get into the fixes, this one though, that's a fairly locked down process, and that's about 6 months, and then the final decision is made. So we're aiming to be out of there by the end of FY '26. That's the timing or the intention at the present time, so being in construction in '27. And what we're aiming to do is really build this picture. So we've had a -- there's an underlying -- or underpinning domestic business, assuming that New Zealand Steel continues on at the same rate. There's the coal coming out of the Buller project, which is the darker blue there. There's the coal remaining within the existing BT Holdings, Stockton mine, Tenas project and then the Crown Mountain project coming in a little bit later, building up to on 100% basis, so owned by Bathurst, a roundabout 3 million tonnes of coal that's mainly going into steelmaking or, by that time, it would be 99%. So really to achieve that, again, looking at that sort of table that I put up before, across the 3 main parts of the business. BT Mining is fully funded. We've got a clear path in front of us as to what we're trying to achieve. We've got to maintain the infrastructure and then make sure that we've then got the infrastructure to feed in any additional coal, bring the Buller project into that, that then allows us to then blend that remaining coal into the market. So Bathurst New Zealand, the key target there is Buller. If we can get a customer for Takitimu, we'd obviously take that on. We're not walking away from the domestic market. It's walking away from us. But our major attention is on getting that Buller project to a state where we can put an application early next year that's going to be sustainable again -- against the community expectations and expectations of the landholders, mainly DOC and LUNZ. With Canada, again, it's a matter of prioritizing, getting through those approval processes. There is no project without an approval. So we're not deliberately doing some of the other precursor work that a decade ago, we would be doing [ FEED ] studies for engineering, for instance. We've done enough engineering to give us rough pricing, plus or minus 25% type of stuff at the moment. And we know it's technically feasible, but we haven't dived down into the major -- the final stages of engineering, say, for a plant or for the road or for the rail load out. And the exactly same with Crown Mountain. Crown Mountain is all about meeting our requirements under the EAO, or so the Environmental Assessment Office, process and also with First Nations to make sure we're bringing them along for the ride. So ultimately, what we're aiming to do is use that good strong position. We've got now low debt. We have got large cash balances held up within the joint venture -- or held within the joint venture. And we're looking to invest some of that in New Zealand, invest some of that in Canada and then take basically our shareholders along for the ride through that to then ultimately lead to higher shareholder returns. And we'll have cash flowing from each of those parts of the business leading out to ultimately FY '40 where you've then got long-life projects with long-life returns and then feeding that back to shareholders in either future assets or dividends in or both. So look, thanks very much. As Peter said, more than happy to take questions from the floor. We're probably going to lose the live feed now, so thanks very much for the people who are online. And again, anyone online that's got any questions, please put them in, and what we'll look to do is compile a Q&A and put that in the next couple or 3 days. Thank you.

Thank you, Richard. So as we said, if there's any questions, please put them to Richard now.