Constant Crushing Programme

1. Constant Crushing Programme Constant Crushing Programme

2. Constant Crushing Programme • The Programme • The Benefits • The Options • The Figures

3. The Programme • 100% outsourced solution • The Constant Crushing Programme (CCP) has been created specifically to minimise the risk of production downtime by combining the purchase, maintenance and warranty of the Ore Sizer VSI crusher into a single, easy to manage 3yr or 5yr contract • Customers of Ore Sizer CCP enjoy total peace of mind and the highest possible production output in return for a fixed monthly fee for the duration of he programme • The CCP has significant business benefits and a quantifiable return on investment to justify your investment • The Programme • 100% outsourced solution • Significant advantages • The Benefits • The Options • The Figures

4. The Programme • Significant advantages over standard capital purchase • minimal risk of downtime (maximise production) • predictable fixed costs (no surprises) • instant start (instant return on investment) • cash flow advantages(off-balance payments) • no additional operational overheads for the duration of the programme • The Programme • 100% outsourced solution • Significant advantages • The Benefits • The Options • The Figures

5. The Benefits • Better cash flow • Tax advantages • monthly payments are allowable expenses against corporation tax • no capital depreciation involved • Minimal up-front payments • no capital outlay • rapid return of deposit amounts • keep cash assets in the bank • No additional outlay • no requirement for in-house maintenance staff • all spares, service and maintenance costs included in the programme • The Programme • The Benefits • Better cash flow • Minimum risk • Instant start • Improved Productivity • The Options • The Figures

6. The Benefits • Minimum risk • Minimise downtime • preventative maintenance • replacement of wear parts prior to failure • Maximise production time • where ever possible the Ore Sizer VSI crusher is kept running • Predictive maintenance • regular on-site maintenance checks • regular electrical and mechanical monitoring • full consignment of wear parts delivered for the duration of the programme delivered on site from day one • Predictive costs • same every month, no surprises • The Programme • The Benefits • Better cash flow • Minimum risk • Instant start • Improved Productivity • The Options • The Figures

7. The Benefits • Instant start • In profit from month 1 • Ore Sizer VSI crusher earns its keep from day one from production income • Rapid payback of investment • Ore Sizer VSI crusher only needs to run for a few hours each month to recover investment • No Cap Ex • No capital expenditure budget required • The Programme • The Benefits • Better cash flow • Minimum risk • Instant start • Improved Productivity • The Options • The Figures

8. Improved Productivity • The Ore Sizer VSI Crusher • has the lowest operational cost available of any VSI crusher on the market • can easily control and guarantee final product shape and size • has differential crushing capabilities that enable mixed feed products to be separated (e.g. lignite from sand and gravel, steel ore from slag, precious metals from rock, even labels and metal caps from glass bottles!) • The Programme • The Benefits • Better cash flow • Minimum risk • Instant start • Improved Productivity • The Options • The Figures

9. The Options • Option 1 - Operating Lease • Deposit • zero • VAT • payable monthly, recoverable each VAT return • Depreciation • 100% off-balance • 100% off-set against tax • End-of-lease options • either give back to Ore Sizer • buy from Ore Sizer at residual amount • Additional Costs • none (all spares, wear parts, service and maintenance costs included) • The Programme • The Benefits • The Options • Operating Lease • Hire Purchase • The Figures

10. The Options • Option 2 - Hire Purchase • Deposit • 10% plus all VAT • VAT • all up-front Vat payments (deposit) recoverable on next VAT return • Depreciation • on-balance depreciation of capital goods at 25% per annum (on a reducing balance basis) • All interest payments are 100% allowable expenses against tax • End-of-purchase options • ownership on payment of £10 ‘option to purchase’ management fee (included in final month’s payment) • Additional costs • none (all spares, wear parts, service and maintenance costs included) • The Programme • The Benefits • The Options • Operating Lease • Hire Purchase • The Figures

11. The Figures • Operational Lease • 5 yr Analysis (actual example - hard rock quarry) • monthly Investment * £5,100(*Jelf Group Jan 2009) • Return on Investment • working hours p.a. 2,000 • tonnage per hour 200 • retail income per tonne £13.00 • no of hours production 1.9 hrs per month to recover investment • The Programme • The Benefits • The Options • The Figures • Operational Lease 5yr • Hire Purchase 5yr

12. The Figures • Hire Purchase • 5 yr Analysis (actual example - hard rock quarry) • monthly Investment * £5,550(*Jelf Group Jan 2009) • Return on Investment • working hours p.a. 2,000 • tonnage per hour 200 • retail income per tonne £13.00 • no of hours production 2.1 hrs per month to recover investment • The Programme • The Benefits • The Options • The Figures • Operational Lease 3yr • Operational Lease 5yr • Hire Purchase 3yr • Hire Purchase 5yr

13. Summary • No Capital expenditure budget required • Production capacity remains at maximum performance for the term of the programme • Scheduled servicing means we fix it before it breaks • Predictive wear assessment means we replace all wear parts before they wear out • Extended warranties are covered for the full term of the programme