© 2013 Boart Longyear. All rights reserved.

Annual General Meeting 21 May 2013 - Melbourne

Western Australia

21 May 2013 2

Important Notice and Disclaimer

• This presentation has been prepared by Boart Longyear Limited, ABN 49 123 052 728 (Boart Longyear or the Company). It contains

general information about the Company’s activities current as at the date of the presentation. It is information given in summary form

and does not purport to be complete. The distribution of this presentation in jurisdictions outside Australia may be restricted by law,

and you should observe any such restrictions.

• This presentation is not, and nothing in it should be construed as, an offer, invitation or recommendation in respect of the Company's

securities, or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy, any securities in any jurisdiction. Neither

this document nor anything in it shall form the basis of any contract or commitment. This presentation is not intended to be relied upon

as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of

any investor. All investors should consider such factors in consultation with a professional financial advisor of their choosing before

deciding if an investment in the Company is appropriate.

• The Company has prepared this presentation based on information available to it, including information derived from public sources

that have not been independently verified. No representation or warranty, express or implied, is provided in relation to the fairness,

accuracy, correctness, completeness or reliability of the information, opinions or conclusions expressed herein. This presentation

should not be relied upon as a recommendation or forecast in respect of the Company's securities.

• This presentation may contain forward-looking statements within the meaning of applicable securities laws, including statements

regarding future movements in commodity prices and exchange rates, demand for the Company's products, capital utilisation levels,

anticipated revenues and operating costs and the Company's future plans and strategies. Any forward-looking statements involve

known and unknown risks and uncertainties, many of which are outside the control of the Company and its representatives. Forward-

looking statements may also be based on estimates and assumptions with respect to future business decisions, which are subject to

change. Any such statements, assumptions, opinions or conclusions as to future matters may prove to be incorrect, and actual results,

performance or achievement may vary materially from any projections and forward-looking statements.

• Due care and attention should be undertaken when considering and analysing the financial performance of the Company.

• All references to dollars are to United States currency unless otherwise stated.

21 May 2013 3

Our 120+ year legacy provides a solid

foundation …

21 May 2013 4

With world class Global Drilling Services …

• Largest fleet

• Modern fleet

• Strong safety culture

• Support all phases of exploration &

development

• Proven and productive drilling practices

• Integrated global product engineering and

manufacturing

1180*

711

222 200 192 186 125 104 85 85 69 26

Boart

Long

ye

ar

Ma

jor

Drilli

ng

Orb

it G

ara

nt

Geo

tec

Fora

co

La

yn

e C

hriste

nsen

Energ

old

Ca

bo

Ausdrill

Ca

pital D

rilli

ng

Sw

ick M

inin

g

Geo

drill

2012 Global Rig Count

Source: CLSA Research Feb 2013

* Includes rigs related to environmental and infrastructure end markets

21 May 2013 5

…and a history of setting the industry

benchmark in product innovation

1890

First “Core Rig”

1930’s

Diamond Drill Bits

1950’s

Wireline Coring

1996

RQ Thread

1999

Link Latch

2012

Ultramatrix™ Series

21 May 2013 6

Strong, consistent values enable our global reach

Safety • Core Value

• ASX100*: Top 10% Lost Time Injury Frequency Rate

Compliance

• Members of World Economic Forum: Partnering Against Corruption Initiative (PACI)

• Resources dedicated to ensure we are doing things the right way

Customer • Dedicated to our customers’ success

• Strong relationships

• Renewed focus

People • Value diversity

• Empowering the front lines and retaining our legacy of entrepreneurial spirit

*Citi Research: Safety spotlight – ASX 100 Companies

15 May 2013 Injuries & Fatalities Data FY05 – FY12 Presented & Interpreted

21 May 2013 7

Key Commodity Trends

Source: Thomson Reuters & BLY Analysis

- 500 1,000 1,500 2,000

Apr-13

Dec-12

Jan-09

Go

ld($

/oz)

- 1.00 2.00 3.00 4.00

Apr-13

Dec-12

Jan-09

Co

pp

er($

/lb

)

- 2.00 4.00 6.00 8.00

Apr-13

Dec-12

Jan-09N

icke

l($

/lb

)

- 50 100 150 200

Apr-13

Dec-12

Jan-09

Iro

n O

re($

/mt)

Mining Performance

500

550

600

650

700

750

800

850

900

Jan-13 Feb-13 Mar-13 Apr-13 May-13

Source: Thomson Reuters

Thomson Reuters Global Integrated Mining Index*

- Price Performance-

Declining commodity prices and major

mining companies’ share price declines …

21 May 2013 8

…combined with announced reductions in

major miners’ capital spending …

Recent news headline from the global

metals and mining conference in

Barcelona:

“BHP Billiton said on Tuesday that its capital

and exploration expenditure next year

would fall to around $18 billion, down about

a fifth from $22 billion estimated in the 2013

financial year, with further drops expected.”

Source: Reuters News 14/05/2013

21 May 2013 9

-50.0%-40.0%-30.0%-20.0%-10.0%

0.0%10.0%20.0%30.0%40.0%50.0%

No

v-0

9

Dec

-09

Jan

-10

Feb

-10

Mar

-10

Ap

r-1

0

May

-10

Jun

-10

Jul-

10

Au

g-1

0

Sep

-10

Oct

-10

No

v-1

0

Dec

-10

Jan

-11

Feb

-11

Mar

-11

Ap

r-1

1

May

-11

Jun

-11

Jul-

11

Au

g-1

1

Sep

-11

Oct

-11

No

v-1

1D

ec-1

1

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2

May

-12

Jun

-12

Jul-

12

Au

g-1

2

Sep

-12

Oct

-12

No

v-1

2

Dec

-12

Jan

-13

Feb

-13

Mar

-13

Ap

r-1

3

Δ YoY Utilised

…has led to reduced demand for our

products and services

• Anticipate average utilisation

rates down ~15-20% on a full

year basis

• Decreasing utilisation rates and

excess capacity, creating pricing

headwinds

30%

40%

50%

60%

70%

80%

No

v-0

9D

ec-

09

Jan

-10

Feb

-10

Mar

-10

Ap

r-1

0M

ay-1

0Ju

n-1

0Ju

l-1

0A

ug-

10

Sep

-10

Oct

-10

No

v-1

0D

ec-

10

Jan

-11

Feb

-11

Mar

-11

Ap

r-1

1M

ay-1

1Ju

n-1

1Ju

l-1

1A

ug-

11

Sep

-11

Oct

-11

No

v-1

1D

ec-

11

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2M

ay-1

2Ju

n-1

2Ju

l-1

2A

ug-

12

Sep

-12

Oct

-12

No

v-1

2D

ec-

12

Jan

-13

Feb

-13

Mar

-13

Ap

r-1

3

% Utilised

DS Historical Utilisation

% Change of DS Utilisation YOY

• Limited future visibility: rate of

decline appears to be flattening

and rig schedule is improving,

however it is too early to tell

Minimal

Change Decreasing at an

Increasing Rate Decreasing at a

Flat Rate

21 May 2013 10

Key Performance Indicators*

* Unaudited

** Excludes rigs held for sale related to environmental and infrastructure end markets

Price

• Products pricing stable

• Expect YOY pricing to be down mid to high single digits

Utilisation

• Anticipate average rig utilisation rates to be down ~15-20% YOY

• Expecting utilised rigs to drill fewer meters year over year (total volume down)

Balance Sheet

• Assuming market remains the same and revenue is flat for the remainder of the year,

net debt (reported debt less cash) should be ~$400-450M at year end

• Anticipating $50-75M in working capital release, primarily inventory

2013 Mid-Feb 2013 Mid-May Change 2012 Mid-May

Rig Count** 1,065 ~1,040 ↓ ~3% ~1,060

Rig Utilisation 58% ~60% ~Flat ~70%

Product Backlog $51M ~$35M ↓ ~30% ~$70M

Headcount 8,680 ~8,000 ↓ ~8% ~11,400

Net Debt $554M ~$585M ↑ ~5% ~$400M

21 May 2013 11

100

150

200

250

300

350

Nov-12 Feb-13 Apr-13

1,000

1,100

1,200

1,300

1,400

1,500

1,600

1,700

1,800

1,900

Nov-12 Feb-13 Apr-13

Analysts’ forecasts has also come down…

• Analysts’ forecasts for FY13 performance has decreased with the changing market conditions.

2013 Analysts’ Revenue Forecast 2013 Analysts’ EBITDA Forecast

Low:

$1,590

High:

$1,824

Low:

$1,650

High:

$1,785

Low:

$1,466

High:

$1,726

Low:

$193

High:

$307

Low:

$235

High:

$293

Low:

$199

High:

$271

Based on current industry conditions, the Company expects 2013 revenue and EBITDA

will be at the lower range of current analysts’ forecasts

While we can’t control macro-economic trends…

…..we will control costs

21 May 2013 12

254

68 322

124

49 495

$-

$100

$200

$300

$400

$500

$600

FY

201

2R

eport

ed

20

12

Re

str

uctu

ring

FY

201

2A

dju

ste

d

Impro

vem

ent to

Peer

Low

Incre

menta

lto

Pe

er

Hig

h

FY

201

2P

ote

ntia

l

$ in

000's

Increasing our Operating Margin to that of

our Peers Creates Substantial Value

Source: Thomson Reuters

*Includes impact of $70M “annualized” cost out actions

announced in Nov 2012

2012 Proforma EBITDA

Potential EBITDA Increase: $173M*

We are taking tangible steps to close this gap

• Commodity prices

• Production levels

• Mining capex & exploration spend

• Global GDP (China)

• Capital markets

+/- relating to Macro Economics

0

70

103 173

$-

$50

$100

$150

$200

Status Quo(no action)

2012 CostReduction Actions

AdditionalOpportunity

Total MarginOpportunity

$ in

000's

• Define consistent global processes

• Streamline organizational structure

• Improve Products and Drilling Services

synergies

Potential Cost Out Opportunity

Focus Areas

21 May 2013 13

Committed to Delivering Synergies from

Drilling Services and Products Drilling Services Products

Maintenance

Supply Chain Management

Collaboration of Resources (Rooftops) Pro

cesses

~$150M

~$45M

~145 rooftops

Current Spend

Product Technology and Innovation

© 2013 Boart Longyear. All rights reserved.

14

Product Technology and Innovation

Leveraging experience and support of our Drilling Services business to

respond to our key customers’ needs

Key Example: LX™11 Multipurpose Drill • Conceptualized by our Drilling Services crew working in Thailand

- Recognized gap in market - Lower cost exploration multipurpose

machine with increased safety and flexibility

• Developed by our rig engineering team in Germany & Poland

• Manufactured at our facility in Poland

• Tested for nine months by our Drilling Services teams

- Europe: initial product validation testing

- Africa and Asia: reliability and depth testing

- Feedback: invaluable in developing final product specification

• Began project development February 2011

• Introduced final product to the market January 2013

21 May 2013 15

2.1X

4.2X

-.2X

1.2X

1.5X

.5X

Bo

art

Lon

gyea

r

Pee

r 1

Pee

r 2

Pee

r 3

Pee

r 4

Pee

r 5

Reducing Debt Remains a Key Focus

BLY is covenant compliant

Focus on balance sheet improvement is

prudent in light of market conditions

• No plans to tap equity markets

Large investment in modern rig fleet made

over last few years reduces future capital

requirements

• Now, focus on optimal level to maintain

competitive advantage

Holding to $50M capex plan previously

communicated

• Will re-assess at mid-year

Anticipating $50-75M in working capital

release, primarily inventory focus

Net Debt/EBITDA

Peer Group Mean: 1.4x

21 May 2013 16

Evaluate Strategic Options

Improve the Balance Sheet

FIX the Core – Improve Margins & Returns

Improving Performance: Profitability & Cash Flow

2H12 1H13 2H13

Sh

are

ho

lder

Valu

e

• Underperformed

expectations

• Initiated actions to

remove $70M of run rate

cost

• New leadership

• Launched operational

business review

• Reduced overhead &

infrastructure

• Consolidated

manufacturing &

maintenance

• Reduced capex

• Position business to

perform better “Through-

the-Cycle”

• Improve cash flow and

reduce debt levels

• Increase operational and

functional efficiencies and

reduce costs

• Greater focus on returns

2014+

21 May 2013 17

Even in a challenging market BLY adds

compelling customer value…

One Source Quality

• Global Distribution

• Global Aftermarket &

Fleet Services

• Comprehensive Drilling

Solutions

• Innovative Products

• Globally consistent

Drilling Services

• Products offering

• Customer service

• Top notch safety

performance

Global capabilities delivered locally

21 May 2013 17

21 May 2013 18

Gold 45%

Copper 23%

Iron 9%

Nickel 5%

Other Metals 5%

Energy 5%

Environmental 5%

Other 4%

…service offerings at all mine stages …exposure to key commodities

Production/ Underground

34%

Greenfield 30%

Brownfield/ Near Mine

24%

Non Mining 7%

Water Services 5%

Surface Coring 39%

Rotary/ RC

19%

Performance Tooling

18%

Underground Coring 10%

Drilling Equipment

7%

Production Drilling

3%

Other 5%

…breadth of product offering

Asia Pacific 27%

United States 23%

EMEA 20%

Latin America

16%

Canada 14%

…a global footprint

…and benefits from a diversified revenue

stream through…

21 May 2013 19

6.6 7.0

0.2

11.5

8.0

1.1

-

2.0

4.0

6.0

8.0

10.0

12.0

14.0

Major /Intermediate

Junior Other

(US

$B

)

2008 2012

…and a stable customer base.

Continue to focus on Majors

(Key Accounts)

Majors account for increasing % of

SNL Metals Economics Group

(nonferrous) exploration spend

+75%

+14%

* Source: SNL Metals Economics Group – Nova Scotia, Canada

62%

21% 17%

71%

11%

18%

76%

14%

10%

80%

12% 8%

81%

12% 7%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Major / Intermediate Junior Non-Mining

2008 2009 2010 2011 2012

21 May 2013 20

Our actions will move BLY from “The World’s

Largest Provider” to the “World’s Most Valued

Provider”

From Discovery to Production

Drilling Services Drilling Equipment &

Performance Tooling