EDC support for Canadian Miners & Suppliers: …saskmining.ca/ckfinder/userfiles/files/Randy Lott & Tomas...EDC support for Canadian Miners & Suppliers: APRIL 2017 2017 Mining Supply

APRIL 2017EDC support for Canadian Miners & Suppliers:

2017 Mining Supply Chain Forum

Go, Grow and Succeed Internationally

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› Canada’s Export Credit Agency

› Crown corporation wholly owned by

Government of Canada

› Financially self-sustaining

› Operates on commercial principles

ABOUT EDC

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› To support and develop Canada’s

export trade and international

business efforts

› Financing and insurance

solutions for Canadian exporters

and investors

EDC’S ROLE

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EDC’S FOREIGN REPRESENTATION

North America $60.8B (58.3%)

Asia-Pacific $16.5B (15.8%)

Europe $13.9B (13.3%)

South / Central America $7.7B (7.4%)

Africa / Middle East $5.2B (5%)

% = percentage of EDC’s total business facilitated

MOSCOW

RUSSIA

17 OFFICES ACROSS CANADA

MONTERREY

MEXICO

MEXICO CITY

MEXICO

BOGOTÁ

COLOMBIA

LIMA

PERU

SANTIAGO

CHILE

ISTANBUL

TURKEY

LONDON

UNITED KINGDOM

DÜSSELDORF

GERMANY

RIO DE JANEIRO

BRAZIL

SÃO PAULO

BRAZIL JOHANNESBURG

SOUTH AFRICA

MUMBAI

INDIA

DUBAI

UAE

NEW DELHI

INDIA

SINGAPORE

SHANGHAI

CHINA

BEIJING

CHINA

JAKARTA

INDONESIA

GROW YOUR BUSINESS WITH EDC SUPPORT

Market Knowledge

Insurance – Trade Credit and Political

Risk

Financing – Loan Guarantees and

Direct Lending

Bonding and F/X Guarantees

www.edc.ca/insurance

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EDC SUPPORT FOR MINING

› Corporate Debt: syndicated and bilateral on commercial terms.

› Project Finance: non-recourse support for the development of assets.

Reserve based lending.

› PRI: mitigating political risk (asset & equity)

› Performance Assurance: 100% backstop for standby L/C’s and surety bonds.

Reclamation and min work.

› Credit Insurance: insuring Canadian exporters against payment default by

foreign buyers.

› Market Intelligence & Connections: Country & Economic

MINING VOLUME (CAD $) AND CUSTOMERS SERVED

Product2016

Volume / Customers

2015Volume / Customers

Financing $3.15B / 118 $4.0B / 164

Political Risk

Insurance$236M / 6 $540M / 8

Accounts Receivable

Insurance $9.1B / 164 $8.1B / 157

Contract Insurance

and Bonding$1.37B / 42 $1.6B / 51

TOTAL $13.8B / 330 $14.2B / 319

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2017 MINING BUSINESS DEVELOPMENT OVERVIEW

Developing “Export” Markets of Interest

Primary Markets of Interest: Peru, Chile, Mexico, UAE/Saudi Arabia

Other Markets of Interest: Morocco, USA, Select African Markets

Upcoming Markets of Interest: Argentina (mid term)

Attend key trade shows/EDC Matchmaking/Inbound & Outbound missions

Market Intelligence on key foreign mining companies/EDC borrowers

- Continue to develop our database of supplier capabilities (new areas:

Phosphate, Bauxite & Lithium)

- Consider Saskatchewan suppliers with applicable or transferable skills.

Leverage our strategic partners (Associations and Government)

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WHAT IS A PULL?

› A loan that EDC makes to a foreign company (mining company) in

exchange for an increased commitment to buy Canadian goods and

services in support of the mine.

Stats on EDC’s Pulls

› Pull facilities with 88 international foreign enterprises

› 23 countries with wide range of industries

EDC’S PULL STRATEGY - DEALS ACROSS THE GLOBE

PULLS PRESENT IN EMERGING AND ADVANCED MARKETS

UK

Anglo American

Chile

Antofagasta

CAP S.A.

Codelco

Escondida

Enaex

UAE

EGA

Saudi

Arabia

Maaden

Brazil

Vale

Mexico

Minera Frisco

USA

Peru

Norway

India

Existing and Prospective Foreign Relationships (PULLS) – Mining Sector

Existing Country

Antofagasta Chile

CAP S.A. Chile

Codelco Chile

Escondida Chile

Enaex/Sigdo Koppers Chile

EGA UAE

Maaden Saudi Arabia

Ternium de Mexico S.A Mexico

Vale Brazil

Anglo American UK

Collahuasi Chile

Prospects (Potential) Country

Pucobre Chile

Newmont USA

Buenaventura Peru

Penoles/Fresnillo Mexico

Yara Norway Norway

Gerdau S.A. Brazil

Collahuasi Chile

Sociedad Quimica y

Minera (SQM)

Chile

VedantaIndia

Hotschild Peru

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Impactful Canadian Company Profile

› Examples of Key Differentiators that International Mining Companies are

looking for:

› Brief and concise business description

› Localization / Culture

› Descriptions need to be separate if you are serving:

› Underground

› Open Pit Mining

› Lower purchase price

› Lower life-cycle cost

› Productivity improvement or cost

reduction for clients

› Improves environment

› Increases health and safety

› International Experience

› Resistant to extreme environmental

conditions

› Faster lead time than competition

› Intellectual Property

› Proven technology currently used in

mining

› Foreign language / Localization

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EDC – “TAKE ON THE WORLD”

For More Information:

http://www.edc.ca/en/Pages/default.aspx

Contact an EDC representative! 1-800-229-0575

EDC event list:

https://www.edc.ca/events/en/pages/upcoming-events.aspx

Subscribe to our events calendar

EDC social media channels- Facebook, Twitter, LinkedIn and Google+

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CONTACTS

Kyle Reid

Account Manager

Saskatoon, Canada

Tel: (306) 241-4169

[email protected]

Tomas Cabanillas

Sector Advisor, Mining

Ottawa, CanadaTel: (613) [email protected]