Transcript Slide 1

COMPANY AND BUSINESS OVERVIEW

Company Overview

      Dangote Sugar Refinery Company Plc (“DSR”) commenced operations as a sugar refinery in March 2000 The plant was commissioned in 2001 with an initial capacity of 600,000 MT p.a. Now one of the largest refineries in the world with a capacity of 1.44 million MT p.a

Refinery is located in Lagos, Nigeria’s largest port where shipment of raw sugar from Brazil is received DSR until 2008 was Nigeria’s sole white sugar refiner with a dominant market position DSR shares were listed on The NSE in on March 12 th 2007 at a price of N18 per share after a successful IPO which opened in November 2006, at N18 per 50 kobo ordinary share and listed on March 12 th 2007.

Board

 Alhaji Aliko Dangote – Chairman

Management

 Engr. Abdullahi Sule - MD  Mr. Maryoud Elsunni, ED – Engineering & Operations (over 30 years of experience)  Dr. Konyinsola Ajayi (SAN)  Mr. Olakunle Alake  Engr. Ogunwale, General Manager Refinery (26 years experience in engineering)  Alhaji Sani Dangote  Alhaji Abdul Garba Dantata  Mr Okoh, Head of Processing (16 years experience in manufacturing)  Ms Bennedikter China Molokwu  Mr. Uzoma Nwankwo  Mr. Suleiman Olarinde

Business Overview

Leading in the Sugar Refinery business in sub-Saharan Africa.

Delivering on the strategy:

Retail packaging plant.

Staff incentivisation programme

Positive long term outlook on the back of expansion plan

Sound growth strategy

Clearly defined strategy to maintain leadership position in domestic and regional market  Strategic objective to initiate regional export plan, backward integration of upstream sugar and increase penetration as supplier to niche markets i.e. users of molasses, makers of biofuels etc

Management

  Current top management have proven track record and multi decade experience (average tenure of c.25 years) Highly motivated and well trained middle management

High cash conversion

   Highly cash generative business with approx. 80% cash conversion Prudent and timely expansion strategy Historically favourable tax incentive structure due to pioneer status 

Attractive macro fundamentals

Favourable macro-economic environment for investments  Strong sugar market fundamentals characterised by potential upside of current low consumption per capita and increasing demand for sugar   

record Leading market position

   Major sugar refiner in Nigeria with 2 nd largest refining capacity in the world Strong overall market share with highly diversified customer base High operational, structural and financial barriers to entry (regulatory environment) 

Modern manufacturing facilities

State-of-the art technology resulting in lower costs per tonne  Highly scalable, well positioned and efficient infrastructure

Strong profitability track

Strong historical refining margin preserved at more than 15% Highly effective cost management strategy ensuring profitability EBITDA margins of about 9%

FINANCIAL REVIEW

Results for Year Ended 31 December 2011

The Board of Directors of Dangote Sugar Refinery Plc hereby announce the following Results for the year ended 31

December, 2011. Turnover Cost of sales Gross profit Distribution and administrative expenses Other income Operating profit Interest Payable and similar charges

2011 N’000

106,510,507 (92,777,191) 89,980,499 (71,882,176) 13,733,316 (3,717,580) 10,015,736 538,483 10,554,219 (347)

2010 N’000

18,098,323 (3,498,016) 14,600,307 1,548,569 16,148,876 (1,946) Profit on ordinary activities before taxation Taxation Profit after Taxation Interim Dividend Paid Profit on ordinary activities after taxation and interim dividend transferred to revenue reserve Earnings per share (kobo) – BASIC 10,553,872 (3,442,554) 7,111,318 16,146,930 (4,864,690) 11,282,240 0 0 7,111,318 11,282,240 59 94

ST ST

Results for the Period Ended 31 March 2012

Statement of comprehensiv e income

For the period ended 31 March 2012

Continuing operations Revenue

Cost of sales

Gross profit

Other gain & (loss) Administrative expenses Net finance costs

Profit / (Loss) before tax

Income tax expense

Profit from continuing operations

Other comprehensive income Defined benefit plan actuarial gain/loss Prior year deferred tax adjustment

T otal comprehensive income Profit attributable to owners of the company

Non-controlling iterest

T otal comprehensive income attributable to owners of the company:

Non-controlling interest

T otal Comprehensive Income for the period March 2012 N'000 March 2011 N'000 2,801,071 1,393,800

GROWTH STRATEGY

Our Growth Strategy

Stated strategy Status Regional expansion

  Enter neighbouring African markets Export to Ghana has commenced.

 Major efforts underway to achieve some exports in the current year.

Capacity expansion

 Production capacity expansion to capture regional and domestic growth  Nigeria plant expansion in progress

Vertical integration Efficiency Product expansion Cost

management

  Commence vertical integration Strategic objective to acquire Savannah Sugar    Current production yield at 95%; target of 97% Conversion of molasses to ethanol Increase warehouse capacity and stocks   Diversify distribution chain Packaged sugar for retail consumers  Vessel acquisition   Savannah integration planned for the medium term Reviewing strategic options  Current Production yield of 95% achieved  Retail packaging plant commissioned in 2011  Looking for opportunities

To be among the leading integrated low cost sugar producers in the world by doubling production capacity, with strong domestic and regional African presence and increasingly international focus

Exports and Retail Packaging Plant

Exporting into ECOWAS

      First shipment of 1,500 MT sugar to Ghana in December 2007 Benefit from Nigerian export promotion council incentive Benefit from tariff agreements within the ECOWAS zone Region imports 1 total of 1.0 mm MT due to lack of production facilities Strategic location of refinery in Apapa port Strong potential for growth on the back of low consumption per capita and growing middle class

DSR small packaging plant

     Retail packaging plant commissioned in 2011 Target retail market through distributors with small packs of 250g, 500g and 1.0kg branded Dangote Leverage Dangote brand at no additional costs through existing management contract CapEx of approximately US$7 million Positive impact on margins given further penetration of value chain at minimal costs

Consumption and imports - ECOWAS Consumption per capita (kg)

36,3 23,0 9,1 ECOWAS Southern AfricaNorthern Africa 56,0 Brazil 18,1 India Source: IMF, International Sugar Organisation, DSR management estimates ¹ Excluding Nigeria

Future Outlook

Capacity Expansion Market Expansion Product Diversification Improvement in Operating, Selling & Distribution Margins Provide attractive Returns to Stakeholders

 75% capacity increase from 1.44 million  MT to 2.5 million MT on-going  Boost revenue growth  Export market potential within Africa  Trading Offices set up in Senegal & Ghana  Planning at advanced stage for Liberia and other countries  Introduction of new products - Retail Packaging * Conversion of molasses to ethanol  100% conversion to gas  Reinforced supply chain management

THANK YOU

Information Memorandum