Company Presentation 1Q 2013

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2 Disclaimer

These materials have been prepared by PT Toba Bara Sejahtra (the

“Company”)

.

These materials may contain statements that constitute forward-looking statements. These statements

include descriptions regarding the intent, belief or current expectations of the Company or its officers with

respect to the consolidated results of operations and financial condition of the Company. These statements

can be recognized by the use of words such as

“expects,” “plan,” “will,” “estimates,” “projects,” “intends,”

or

words of similar meaning. Such forward-looking statements are not guarantees of future performance and

involve risks and uncertainties, and actual results may differ from those in the forward-looking statements

as a result of various factors and assumptions. The Company has no obligation and does not undertake to

revise forward-looking statements to reflect future events or circumstances.

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3 Content

Financial Highlights

4

1 Corporate Profile

2 Operational Profile

3 Business Overview

CSR & Environmental Highlights

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4 Corporate Profile

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ABN

Toba comprises three coal companies, Adimitra Baratama Nusantara (ABN), Indomining (IM) and Trisensa

Mineral Utama (TMU), which hold adjacent concession areas located in East Kalimantan, Indonesia

Toba in Brief

• Substantial and diversified thermal coal

reserves and resources

o

JORC-compliant proved and probable reserves of

147 MM tonnes and measured, indicated and

inferred resources of 236 MM tonnes

o

Coal brands with calorific values ranging from

4,700 - 5,800 Kcal / kg GAR

• Strong growth profile

o

Produced 5.2 MM tonnes of coal in 2011 and grew to

produce around 5.6 MM tonnes of coal in 2012

o

Prime location provides the operational cost edge to

grow as a logistical & operational center for the area

o

_{Continued exploration effort to increase our Reserves and}

Resources. Current reserves only account for 52% of our

total area has been explored

Dec 2012 Revenue

%

Dec 2012 EBITDA

%

Resources

%

Total: 147 MM Tonnes

Total: US$ 396 MM Total: US$ 31 MM(1) _{Total: 236 MM Tonnes}

ABN

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6

Notes:

1. Son of TS founder, Luhut B. Pandjaitan 2. Figures are rounded

Ownership Structure

•20-year Production Operation Mining Permit ( IUPOP ) expiring in December 2029

• IUPOP was converted from a Kuasa Pertambangan ( KP ) in 2009

• IUPOP expiring in June 2013

– IUPOP was converted from a KP in 2010

• IUPOP extension has been completed in March 2013 (First extension until 2023)

•13-year IUPOP expiring in December 2023

• IUPOP was converted from a KP in 2010

• 2,990 ha • 683 ha • 3,414 ha

• Reserves: 117MT- JORC

• Resources: 156MT- JORC

• Reserve: 22 MT- JORC

• Resources: 37MT- JORC

• Reserves 8 MT- JORC / 15 MT (Internal estimate)

• Resources: 43 MT- JORC

License

Area

Davit Togar Pandjaitan(1) _{PT Bara Makmur Abadi}

PT Toba Sejahtra ( TS ) PT Sinergi Sukses Utama Roby Budi Prakoso

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7 Majority Shareholder

Toba believes it benefits from Toba

Sejahtra’

s experience in the Indonesian coal sector as well as its

leadership and experience

Controlling Shareholder with Established Track Record…

… Helmed by an Experienced Leader

• A privately owned group founded in 2004 with interests in energy and plantations

• Its business segments are as follow:

–Energy:Owns 5 coal mining concessions through Toba and PT Kutai Energi. All of TS' mines are characterized by low production costs and favorable proximity to ports

–Oil & Gas: In the exploration phase of the 4,567 sq miles South East Madura Block through subsidiary E&P company PT Energi Mineral Langgeng

–Power Plant:Operates a 30 MW coal-fired power plant in Palu, Central Sulawesi and is developing a 120 MW greenfield power plant in Senipah, East Kalimantan

–Agribusiness: A 25% stake in a 12,000 ha palm oil plantation in East Kalimantan

• General (Ret.) Luhut B. Pandjaitan is the key shareholder and founder of Toba Sejahtra group. He is currently the chairman of TS

• Mr. Luhut had a long and illustrious career in the civic service before turning to the commercial sector. Over the course of thirty years in the Army Special Forces, Mr. Luhut rose to become a four-star general

– In 1999, Mr. Luhut retired from the military service to serve as Ambassador for the Republic of Indonesia to Singapore

– In 2000, he was appointed Minister of Industry and Trade of the Republic of Indonesia

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8 Initial Public Offering

Listed on IDX

06 July 2012

Number of shares offered

210.681.000 shares or 10.47%

IPO Proceed

Rp. 400,293,900,000

Anchor Investor

Barings Private Equity (8% at IPO)

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9 2007

• IM commenced

production

2011

• TMU commenced

production

• Toba production

hit 5m tons

2008

• ABN commenced

production

• Operational

adjustment due to

a drop in coal

market

2010

• TS acquired the remaining share

for IM from minority shareholder

• Toba acquired 51.0% of ABN,

52.5% of TBE (IM

’

s shareholding

company) and 51.0% of TMU

• Toba production hit 4m tons

Key Milestones

Strong track record of acquisitions, development of greenfield mines, rapid production ramp-up and

experience to adjust operation in a down-market

2007

2008

2009

2010

2011

2012

2013

2012

• Toba acquired the minorities

’

shares in TBE and TMU

• IPO/Listed on IDX, 6

th

_July

2012

• Eliminated overlapping issues

with plantation company (PKU)

2009

• ABN & IM production

reached 2m tons

2013

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Source: Company data

2007

2008

2009

2010

2011

2012

2013

TMU

Indomining

ABN

11 Solid Operating Track Record

0,8

MT = Million Tonnes

0,2

• Toba started exploration on ABN & IM in 2006 and TMU in 2008

• Production grew at 65% CAGR from initial size of 800k in 2008 to 5.6 MT in 2012

• Toba is focusing on

Continuous Production Growth

and this is supported with available

infrastructure capacity of 13 MT of coal

• Additional 3 MT worth of capacity is expected to be realized in 3-4Q13 to become total 16 MT

• Production growth will be driven by TMU and Additional CAPEX will help fuel growth in TMU

ABN IM TMU

Toba is transitioning from Greenfield into growing major player

Fo

re

ca

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12 Prime Location Gives Significant Advantage in Cost

Samarinda (total ~120 Km)

~65 Km locations for all

3 mines

Furthest pit to jetty 25km | with closest one ~5km

3

Major city is less than 50

km

4

Close proximity transhipment

point & jetty

2 All infrastructures are owned by

Toba’s giving

significant operating

leverage

vs other concessions in surrounding areas

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13

Coal Reserves Coal Resources

(MM

Tonnes) Proved Probable

Total

Reserves Measured Indicated Inferred

Total

Reserves and resources upside from the conversion of resources to reserves and further exploration of

concession areas

Notes:

1. Differences in totals are due to rounding

2. The Runge Report for ABN is as of 31 December 2011, the PT SMG Consulting Report for IM is as of 1 January 2012 and the Marston Report for TMU is as of 31 October 2011

Total: 147 MM Tonnes Total: 236 MM Tonnes

Substantial Reserves and Resources to

Support Production Expansion

Coal Reserves and Resources

(1)(2)

_(JORC)

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Note: Areas already explored

14 ABN

IM

Significant Portion of Area still Unexplored

• Explored 3,704 of 7,087 hectares of its concession areas

(52% of total concession area)

and drilled 3,512

boreholes as of 31 December 2011

• Additional JORC coal reserves and resources expected to be discovered, especially at TMU where only 680

hectares out of 3,414 hectares of the concession

(20% of TMU concession area)

have been explored

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15 Strong Relationships with Multinational Customers

Major Customers

DRAGON ENERGY GROUP

Major customers provide the stable

business support for

Toba’s marketing…

…

minimum marketing fees because Toba

handles our own marketing internally

Toba’s

Marketing Operations



Central Marketing Operations of all 3

subsidiaries



Internally developed customer base that

allows Toba to have low marketing costs



Balance mix of long term contracts, short

term and spot



Active participation in reputable

conference and trade shows to promote

the Toba brand

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16 Business Overview

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17 Recent Coal Market Update

Coal Prices Rebound

Range-bound US$88 -95/ton

China’s Economic

Recovery

• Coal Prices have bounced back from

high 70

’s

in 4Q 2012 and are

range-bound at US$88

–

95/ton in early 2013

• China’s

economic recovery rebounded in

4Q 2012 as China is the largest buyer in

the global seaborne market

20122012 2013

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18 Manage cash costs: Lower SR,

Shorten Dump Distance

Construct hauling road from

TMU to IM

Share current infrastructures :

CPP & Jetty & lower costs

Centralize fuel supply

Optimize sales through hedging

activities

Increase our reserves through

acquisition and exploration

Strategic Initiatives to Manage Changing Environment

Returning future

Profitability

Level

Strategic Initiatives / Response to Changing Coal Prices

1

2

3

4

5

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19 Toba’s Milestone 2013

2007

2008

2009

2010

2011

2012

• Hauling Road TMU

–

IM

has been completed

ahead of schedule

• TMU Production ready

for ramp up to 80 - 100 K

tons/mo

May’13

Sept’13

• New CPP in IM

expected to be

completed

• Indomining

Capacity expected

to increase up to 6

operations in

block 4

• Border-mining in

ABN & IM

commenced

Jan’13

• IM entered into

new Mining

Contract with

RPP for 5 years

Toba is on track in integrating its operation and infrastructure

capabilities

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20 Integration of three

(3) mines

• Benchmarking and sharing between departments and functions

• Optimize and coordinate mine planning and logistics • Centrally coordinate

and streamline corporate finance, legal, human resource and CSR functions • Joint mine plan and

infrastructure sharing

1 Increase coal reserve

and resource

• Continue exploration activities to increase proven and probable reserves as only 52% has been explored to JORC standard • Consider opportunities

to acquire coal concessions with significant reserves

3 Strengthen existing

and develop new

customer

relationships

• Supply a higher proportion of sales volume to end users, while maintaining relationships with existing coal traders • Target customers in

Japan, Taiwan, South Korea, China, Vietnam and Hong Kong, South East Asia and India

4 Continue to focus on

health and safety,

environmental track

record and

commitment to CSR

• Maintain and enhance high international operating standards, utilize automated mining methods to minimize accidents and enhance safety

• Foster community ties through development programs as well as job creation

5 Organically increase

coal production levels

• Expand coal production through increased production and mine development activities • Strengthen

relationships with third party mining

contractors and work closely with them to improve their productivity

2 Business Strategies

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22 Toba Bara Operational Performance

Quarterly Production & Stripping Ratio

Thousand Tonnes

Stripping Ratio continues

to decline

Sales

(million ton)

1.1

1.4 Sales are mainly contributed by ABN and remain flat at 5.5

million tonnes per year for two consecutive years

Change

27%

18%

-14%

Comments

Production rose 18% to 1.3 milllion due to lower rainfall.

Contributions: from ABN 0.93 million tons, from IM 0.28

million tons and from TMU: 0.08 million tons

Stripping ratio was higher in 2012 primarily due to

pre-stripping activities in 1H 2012 in all three (3) mines, and

delay caused by higher rainfall

Source: Company data

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774 768 1,141 1,078 884 1,078 1,224 1,225 925

1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q2013 Production volume Stripping Ratio

23 ABN Operational Performance

Production & Stripping Ratio

Thousand Tonnes



Despite significant changes in coal market price, production

grew 17 % YoY. ABN Operation in 1H2012 was impacted by

higher mining SR and higher rainfall

Operational advantage & focus

Short coal hauling

distance 4km Cap 10 mm ton/yearHigh Built Crusher

Barge Loading Jetty Loading Speed of up to

1,800 ton/hour

Under Pass: Capitalizing on Infra

Strength

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24 IM Operational Performance



IM operation was impacted by higher mining SR and lower level

of equipment productivity from contractor



IM appointed PT RPP Contractor Indonesia replacing SIS

starting January 2013



IUPOP has been extended until 2023

Key Highlights

Production & Stripping Ratio

Thousand Tonnes

Operational advantage & focus

Short coal hauling dist. < 5km

CPP Ramp up to 6MM TPY

Conveyor for TMU & Others

Cross Border Mining with ABN

1

2

3

4 TMU

ABN

PT Kutai Energi

291 394 378 347 190 236 265 272 278

10.1x

8.6x 8.9x _8.1x

14.6x

1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 Production volume Stripping Ratio

Dump

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25 TMU Operational Performance

Key Highlights

Production & Stripping Ratio

Thousand Tonnes

Operational advantage & focus



TMU started pre-striping in 4Q 2011 until 2Q 2012. High level

of rainfall caused higher stripping ratio



Further drilling is expected to increase reserves. Our internal

estimation expects additional reserves of approximately 7

million tons, hence totaling 15 million tons

Build ~16km Road to ABN

Integrate CPP Ops with IM Exploration in

West Block

1

2

3 ABN

IM

PT Kutai Energi

0 0 0

39 23 59 85 90 84

24.5x

45.6x

14.4x

17.0x 10.8x 11.2x

10x

1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013

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26 Snapshot of Financial Performance

–

1Q 2013 vs 1Q 2012

Notes (a) FOB vessel Costs: COGS, Selling Expenses excluding depreciation

and amortization

(b) 1Q 2013 Financials is unaudited

(a)

• Coal Production Volume

increased 17% QoQ mainly due

to lower rainfall and better

overall stripping ratio

• Sales Volume increased by 27%

due to increase in production

volume and clearance of our

2012 ending inventory

• FOB vessel cash costs

decreased by 18% due to lower

stripping ratio and shorter

dumping distance

• EBITDA decreased by 38%

mainly due decrease in ASP of

23%

1Q 2012

1Q 2013

Change %

Operation

Net Income after Minority Interest

US$'000 5.100 3.210 -37%

Ratio

Gross Profit Margin % 21,6% 15,2% -30%

EBITDA Margin % 14,4% 8,2% -43%

Net Profit Margin % 11% 6% -42%

Per Ton Basis

ASP US$/ton 86,5 66,2 -24%

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27 Debt and Cash Position

Net Debt Position

US$ Mn

Net Cash

2%

34%

6%

11%

Net Cash

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29

• Toba is continuously developing and implementing its corporate social responsibility programs

–

Creating educational opportunities for local communities including renovating schools, training teachers,

providing post-graduate educational assistance and creating a literacy program for adults and a scholarship

program for school-aged children

–

Providing health services to the local communities

–

Helping groups of farmers plant crops of vegetables and bamboo and assisting with land rehabilitation

–

Creating local employment opportunities by sourcing some of the

Company’s

site workforce from the

neighboring areas

Helping Farmers Plant Crops

Creating Educational Opportunities

Providing Health Services

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30 Awards

Ernst & Young Social

Entrepreneur of the

Year 2011

East Kalimantan Green

Proper Mining Award

ABN

East Kalimantan Blue

Proper Mining Award

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32

• Current production capacity (31 December 2012):

– Crusher: 10 MM tonnes p.a.

– Conveyor: 10 MM tonnes p.a.

• Produces two varieties of blended thermal coal

– ABN 52: Marketed CV(1)_{of 5,200 kcal / kg GAR} – ABN 55: Marketed CV of 5,500 kcal / kg GAR

– ABN 58 : Marketed CV of 5,800 kcal / kg GAR

• Substantially all of the owners of the land within ABN’s

concession area have been compensated and ABN has been granted the exclusive right to mine those areas

• Area: 2,990 ha

• Location: Sanga-Sanga, Kutai Kartanegara, East Kalimantan

• Type of license: IUPOP

• Expiry date: 1 December 2029

• Commencement of production: September 2008

• 2012 production: 4.4 MM tonnes

• Mining consultant: PT Runge Indonesia

ABN: Coal Concession Overview

IM

• Historically sold between 50%-100% of its annual production through long-term (longer than 1 year) with coal trading companies

– The remainder were sold on the spot market

Note:

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33

• Current production capacity (31 December 2012):

– Crusher: 3.0 MM tonnes p.a.

– Conveyor: 4.5 MM tonnes p.a.

• Produced one variety of blended thermal coal “Indomining” with marketed CV(1)_{of 5,700 kcal / kg GAR in 2012}

– May produce additional varieties of blended thermal coal in the future

• Has compensated the majority all of the owners of the land within its concession area for their land and has been granted the exclusive right to mine those areas

• Area: 683 ha

• Location: Sanga-Sanga, Kutai Kartanegara, East Kalimantan

• Type of license: IUPOP

• Expiry date: 22 June 2013 (in the process of renewing its IUPOP; expects to receive renewal confirmation through 2022 by end of 1st quarter 2013)

• Production commencement: August 2007

• 2012 production: 1 MM tonnes

• Mining consultant: PT SMG Consultants

IM: Coal Concession Overview

IM

TMU

Overview

Operations

Marketing

• Historically sold approximately 50% of its annual production through short-term (one year or shorter) contracts with coal trading companies