Debt

Investment grade credit ratings

Our balance sheet remains strong and prudently managed.

Debt strategies and policies

Our approach to debt is simple: unless it makes clear business sense, we prefer not to tie up money in equipment, vehicles or any other physical assets:

  • Our target gearing ratio is net debt/EBITDA < 1X
  • Our covenants are: net debt (including net finance leases)/EBITDA of < 3X and EBITDA/interest cover of > 3X

Debt movements

The Group delivered a 10% reduction in net debt driven by strong cash generation.

  • Net debt decreased 10% to US$617 million at 31 December 2016 (2015: US$686 million)
  • Cash capex decreased by 18%

Our debt gearing ratios

Also read our Sovereign, Counterparty and Financial Market Risk Policy.