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Jeffrey S Wozek Jeffrey S. Wozek The Coal Institute h July 13 th , 2015

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Page 1: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Jeffr

eyS

Woz

ekJe

ffrey

S.W

ozek

The

Coal

Inst

itute

hJu

ly13

th,2

015

Page 2: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Forw

ard

Look

ing

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emen

tsSo

me

ofth

ein

form

atio

nin

clud

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enta

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ard

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info

rmat

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ently

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okin

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ude

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rmat

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leor

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,bus

ines

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titiv

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ay,

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ould

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atal

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may

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ied

orex

pres

sed

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and

SXCP

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nclu

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curit

iesa

ndEx

chan

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iden

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rily

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ould

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esse

din

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ere

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ard

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ents

belie

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noth

ave

any

inte

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oblig

atio

nto

upda

tepu

blic

lyan

yfo

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okin

gst

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ent(

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asso

ciat

edca

utio

nary

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new

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ture

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udes

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ain

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finan

cial

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itute

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cial

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cial

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ided

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pend

ix.

The

Coal

Inst

itute

3

Page 3: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

COKE

MAR

KET

OVE

RVIE

WAN

DCO

KEM

ARKE

TO

VERV

IEW

AND

SUN

COKE

’SCO

KEM

AKIN

GTE

CHN

OLO

GY

The

Coal

Inst

itute

2

Page 4: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Coke

Mar

ketD

ynam

ics

Expe

ctst

able

coke

dem

and

onre

boun

ding

stee

lpro

duct

ion

100%

100

(MtP

rodu

ctio

n)

•St

able

BF/B

OF

prod

uctio

n

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estic

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2009

2010

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and

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Coal

Inst

itute

3

Page 5: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Blas

tFur

nace

sand

Coke

Iron

Best

inCl

ass(

lbs/

st)

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Ore

/Pel

lets

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0

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p19

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lmak

ing

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mos

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en

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lbs/

st)

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to80

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The

Coal

Inst

itute

4

Page 6: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Coke

Mar

ketD

ynam

ics

Coke

isan

esse

ntia

ling

redi

enti

nbl

astf

urna

cest

eelp

rodu

ctio

n

Inte

grat

edCo

ke

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and

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daCo

keSu

pply

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Mar

ketO

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iew

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S.BF

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Mer

chan

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tom

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tion

Serv

est

rate

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cust

omer

blas

tfu

rnac

eas

sets

that

prim

arily

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E

SunC

oke

py

supp

orta

uto

indu

stry

•Ex

pect

edst

able

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n

39Av

erag

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cted

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iliza

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dem

and

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ing

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gou

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rece

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ents

~1.1

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tired

YTD

2015

The

Coal

Inst

itute

5

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oke

U.S

.&Ca

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lum

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18

Page 7: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Coke

Mar

ketD

ynam

ics

Mac

roth

esis

play

ing

outw

ithre

cent

coke

batt

ery

retir

emen

ts

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eter

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ompa

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alys

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The

Coal

Inst

itute

6

Page 8: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

SunC

oke

Busin

essV

ertic

als

Raw

mat

eria

lspr

oces

sing

and

hand

ling

com

pany

with

grow

thop

port

uniti

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mak

ing,

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s&ot

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tical

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U.S.

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key

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ons

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enta

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ds

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pert

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ited

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ong

term

cust

omer

rela

tions

hips

envi

ronm

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ndar

ds

The

Coal

Inst

itute

7

Page 9: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Our

Ope

ratio

ns

Ope

ratio

nslo

cate

dto

serv

eou

rcus

tom

ers’

mos

tstr

ateg

icas

sets

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ana

Indi

ana

Harb

orHa

rbor

Lake

Term

inal

Lake

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inal

(Coa

lLog

istic

s)(C

oalL

ogis

tics)

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KRT

––3

Term

inal

s3

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inal

s(C

lLi

i)

(ClL

ii

)•

Adva

ntag

edin

boun

dan

dou

tbou

nd

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Plan

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ract

erist

ics

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tCha

ract

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ics

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lLog

istic

s)(C

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ogis

tics)

Adva

ntag

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dan

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ics

•Su

ppor

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ateg

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serv

ing

high

valu

ead

den

dm

arke

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own

Mid

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iteCi

tyGr

anite

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hill

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hill

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ll22

Coal

Coal

Min

ing*

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ing*

Jew

ellC

oke

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Vito

ria,

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sha

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gg

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aIn

dia

SXCP

SXC

*Se

gmen

tcla

ssifi

edas

disc

ontin

ued

oper

atio

nsin

Q3

2014

The

Coal

Inst

itute

8

Page 10: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

SunC

oke

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mer

ican

Plan

tsSu

nCok

eN

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eric

anPl

ants

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ualC

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ellC

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antV

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rhill

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ion

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rani

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11

Page 11: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Stab

leCo

kem

akin

gBu

sines

sMod

elLo

ngte

rm,t

ake

orpa

yco

ntra

ctsg

ener

ate

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omin

dust

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ality

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e

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ract

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opos

ition

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ms

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ns/

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ract

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min

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ing

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)

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ance

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s

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ome

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tion

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prim

ary

sour

ceof

coke

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lyat

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rate

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last

furn

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(1)

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erm

inat

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perm

anen

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akin

gat

thei

rAsh

land

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lity

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18.

The

Coal

Inst

itute

10

Page 12: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Stra

tegi

cCu

stom

erBl

astF

urna

ceAs

sets

Our

coke

mak

ing

asse

tssu

pply

coke

toou

rcu

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stra

tegi

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ast f

urna

ces

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dlet

own

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omer

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ent

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neof

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mos

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ive

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and

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own

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ana

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oin

crea

se

The

Coal

Inst

itute

11

Gra

nite

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ce:

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pany

web

sites

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licat

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truc

tion

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allin

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prod

ucts

Page 13: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

Met

Coal

Cons

umpt

ion Co

alU

sage

byPl

ant

(inm

illio

nto

ns)

Indi

ana

Harb

orIn

dian

aHa

rbor

––1.

91.

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verh

illHa

verh

ill––

1.7

1.7

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rhill

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rhill

1.7

1.7

Gran

iteCi

tyGr

anite

City

––1.

01.

0Je

wel

lJe

wel

l––1.

01.

0M

iddl

Mid

dl0

80

8M

iddl

etow

nM

iddl

etow

n––

0.8

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lTo

tal––

6.4

6.4

The

Coal

Inst

itute

12

Page 14: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

New

Coke

Plan

t–So

uths

hore

,KY

Tota

lCAP

EX:~

$375

M$4

40M

Nex

tGen

erat

ion

Coke

Plan

tEco

nom

ics

Plan

tSpe

cific

atio

ns

Tota

lCAP

EX:

$375

M$4

40M

Tota

lCap

acity

:660

Ktpa

Pow

erO

utpu

t:~6

0MW

~$37

5M$4

40M

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tal

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nal

perm

itre

ceiv

edM

ay‘1

4Lo

catio

n:So

uth

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e,KY

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tal

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lay

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ract

ing

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2

y

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ulti

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aco

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titiv

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ices

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rget

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ents

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term

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nera

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petit

ive

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ing

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fere

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acqu

ire

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fere

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lrig

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The

Coal

Inst

itute

Page 15: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

SunC

oke

Proc

ess

Flow

Dia

gram

Jew

ell C

oke

Vans

ant V

A 7

00k

TPY

Bla

st F

urna

ce C

oke

1968

Indi

ana

Har

bor,

Eas

t Chi

cago

IN, 1

.3 M

illio

n TP

Y 19

98

Hav

erhi

ll, F

rank

lin F

urna

ce, O

H 1

.1 M

illion

TP

Y 20

05 &

200

8,

,

Gra

nite

City

, Gra

nite

City

, IL

660k

TP

Y, 2

009

Mid

dlet

own,

OH

550

k TP

Y 20

11

Two

coal

min

ing

oper

atio

nsTw

oco

alm

inin

gop

erat

ions

-1.

7 M

M to

ns c

ombi

ned

capa

city

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roxi

mat

ely

1,20

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ploy

ees

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roxi

mat

ely

1,20

0em

ploy

ees

Page 16: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

SunC

oke’

sCok

emak

ing

Tech

nolo

gyO

urin

dust

ryle

adin

gco

kem

akin

gte

chno

logy

mee

tsU

.S.E

PAM

ACT

stan

dard

sand

mak

esla

rge,

stro

ngco

keIn

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adin

gen

viro

nmen

tals

igna

ture

•Le

vera

gene

gativ

e•

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rage

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tive

pres

sure

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ntia

llyre

duce

emiss

ions

•Co

nver

twas

tehe

atin

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eam

and

elec

tric

alpo

wer

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nera

teab

out9

MW

ofel

ectr

icpo

wer

per

110,

000

tons

ofan

nual

coke

prod

uctio

n

The

Coal

Inst

itute

15

Page 17: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

TM

Nea

rTe

rmCo

ncer

nU

SWCo

ntra

ctEx

pire

sAug

ust3

1,20

15

Arce

lorM

ittal

Pote

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orDi

sput

e

US

Stee

l

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ute

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Stee

l

The

Coal

Inst

itute

16

Page 18: Jeffrey S WozekJeffrey S Wozek Institute h t 2015 13thecoalinstitute.org/ckfinder/userfiles/files/Jeff Wozek -Sun Coke Energy-2.pdfpresentation that express opinions, expectations,

TM

End

OfP

rese

ntat

ion

Than

kYo

uVe

ryM

uch!

Than

kYo

uVe

ryM

uch!

Que

stio

ns??

The

Coal

Inst

itute

17