Dear Shareholders:

On behalf of the Board of Directors of Enaex S.A., it is my pleasure to present the 2017 Integrated Report and Financial Statements. This year brought important challenges for the Company. We continued making progress on the integration and international consolidation of our companies, focusing on our role as a leader in comprehensive mining services. This Integrated Report goes beyond last year's financial results to once again include significant facets from all areas of our operations. It was prepared in accordance with the International Integrated Reporting Council (IIRC) framework, a model which aims to provide a more thorough, precise and comprehensive vision of how our Company's resources are creating value. This is part of ongoing efforts by the Company and the Board to disclose information beyond economic performance in order to encompass all the factors that predict an innovative and sustainable future.

In 2017, the Company sought to develop innovative, cutting-edge products and solutions for the global mining industry. To do so, it focused efforts on the most important areas: human resource management, customer focus, safety, synergy between subsidiaries, robotics, emissions control and energy efficiency.

Two years after the 2015 purchases of Brazilian explosives company, Britanite (100%), and France's Davey Bickford group (91%), one of the world's leading manufacturers and distributors of detonators for the explosives industry, we have undoubtedly achieved the objective of improving our value proposal for customers, giving them access to more efficient, innovative initiation systems and technology and strengthening the Company’s position as an international comprehensive supplier of rock fragmentation products and services.

Despite setbacks in Chile such as mining strikes early in the year and the end of service operations at Escondida, our international subsidiaries performed well,

particularly Enaex Britanite and Davey Bickford, which managed to partially offset the slowdown in local activity. As of December 2017, the Company recorded US$705.2 million in revenue and profit of US$80.2 million, representing 2% and 6% growth relative to the prior year, respectively. The Company exported 171 thousand tons to international markets, primarily: Argentina, Bolivia, Mexico and Peru.

In keeping with the strategic plan to maximize international growth and capitalize on regional strengths by meeting customer needs with innovative products and improving production efficiency ratios, Enaex exported its Milodón® high tonnage loading truck—the world’s largest explosives MMU with a 30-ton load capacity—to blasting operations in Brazil and Peru, bringing significant competitive advantages in production. I would also like to mention Enaex Peru’s first comprehensive blasting services at Minera Constancia, a copper mine owned by Hudbay.

We believe that innovation is essential as the industry faces problems that require timely solutions and thinking outside the box. Joint innovation efforts involving mining companies and their suppliers have become fundamental to the industry's sustainability. In September 2017, Enaex launched its two new technological developments, RoboMiner® and Mine-iTruck®, teleoperated robotic solutions created to optimize customer returns by facilitating access to hard-to-reach deposits while protecting the safety of operating personnel. The Company developed these solutions in conjunction with renowned institutions like Stanford Research Institution (SRI), ASI Robots, Tersainox, Thecne and SK Godelius.

Enaex continues to work on the 2006 Clean Development Mechanism (CDM) projects to reduce nitrous oxide emissions at the Prillex complex in Mejillones. These projects now also measure the environmental impact of the product life cycle. Between 2015 and 2017, the Company reduced its C02 equivalent emissions factor (per ton of ammonium nitrate) by 23%. Likewise, energy efficiency projects continue, translating into significant energy savings. Today, the Company has the capacity to cogenerate nearly 60% of its electricity consumption, reducing annual CO2 equivalent emissions by approximately 30,000 tons. In recognition of its performance and for the second straight year, Enaex was one of 26 companies to be part of the Dow Jones Sustainability Index Chile (DJSI Chile) developed by Santiago Exchange, S&P Dow Jones Indices and RobecoSAM.

I would like to express special gratitude to our employees in all the countries where we operate: Chile, Argentina, Australia, Brazil, Canada, Colombia, the United States, France, Mexico and Peru. Their efforts and dedication are what has enabled us to become leaders in production, quality, sustainability and innovation. I would also like to thank our customers, suppliers, financial institutions, investment funds and bondholders. They have accompanied us throughout the years as we set challenges and goals for ourselves. Likewise, I am grateful to the shareholders who have placed their trust in us and to the directors who have taken part in this endeavor.

Juan Eduardo Errázuriz O.
Chairman