CEO Today Global Awards

97 www.ceotodaymagazine.com CEO Today Global Awards 2019 australia Orocobre and its operations Orocobre is a dynamic global lithium chemicals supplier and an established producer of boron. The key assets of Orocobre are the Olaroz Lithium Facility, the boron mines and processing facilities of Borax Argentina S.A. (“Borax”), the Cauchari Lithium Project Joint Venture and its 33.5% investment in Advantage Lithium. All of Orocobre’s operations are located in northern Argentina. The Company’s lithium assets at Olaroz are owned and held by Argentine company, Sales de Jujuy S.A. (“SDJ”) (ORE 66.5%) and contain those properties associated with the Olaroz Lithium Facility. Orocobre’s partners in SDJ are Toyota Tsusho (25%) and Jujuy Energia y Minera Sociedad del Estado (8.5%). The Company’s boron mineral assets are held through its 100% owned subsidiary, Borax. Corporate Strategy Orocobre’s Corporate Strategy is centred on six strategic priorities and a corresponding set of objectives. The priority areas are mutually dependent, and no objective can be achieved in isolation. Ongoing focus and commitment to each and every component of this strategy is critical to Orocobre’s success. The group’s sustainability focus areas, directly aligned to its strategic priorities and objectives, were defined as part of a broader materiality process. They enable Orocobre to more effectively manage, measure, monitor and communicate its sustainability performance. Performance The end of the 2018 Financial Year saw Orocobre in a strong financial, strategic and operational position. SDJ increased total sales revenue by 24% to US$148.9 million (on a 100% basis) from production of 12,470 tonnes of lithium carbonate. At the end of December 2018, Orocobre’s balance sheet remained strong with available cash of US$284 million and net cash of US$217 million after deducting Orocobre’s share of project debt. Its operations continue to generate strong operating cashflow ensuring it is funded to achieve all its growth plans. Market fundamentals for lithium chemicals also remain strong. Over the coming financial year, Orocobre’s focus will be threefold: a focus on safety and wellbeing given the additional activities and risks arising from the Stage 2 Expansion; reinforcing its systems and processes to improve performance and disclosure; and to promote sustainable development through collaboration with its communities, its peers and other strategic partners. Sustainability Respecting and prioritising people and the environment, Orocobre produces minerals that enable the global transition to a clean energy future, while socially and economically empowering communities in the regions where it operates. Orocobre has been delivering collaborative social and environmental programs in its local communities for years and has a deep respect for the people and the land around its operations. Orocobre now employs over 285 people from the local communities (52% of its total workforce, 43% of its SDJ workforce), with an additional 250 people employed indirectly through its local contractors and suppliers. In 2018 both SDJ and Borax gained recertification for their Integrated Quality, Environment, Health and Safety Management System (ISO9001/ISO14001/OHSAS18001), a testament to Orocobre’s commitment to protecting the wellbeing of its people, production processes and the environment. As a signatory to the UN Global Compact, Orocobre respects and supports the 10 principles across Environment, Labour, Human Rights and Anti-Corruption and is committed to monitoring, managing and communicating its contribution to society and to the UN Sustainable Development Goals over the years ahead. “Over the coming financial year, Orocobre’s focus will be threefold: a focus on safety and wellbeing given the additional activities and risks arising from the Stage 2 Expansion; reinforcing its systems and processes to improve performance and disclosure; and to promote sustainable development through collaboration with its communities, its peers and other strategic partners.”