Energy Resources Of Australia Ltd. Class A · ASX:ERA
Energy Resources Of Australia Ltd. Class A — Investor Presentation (October 2006)
12 slides from Energy Resources Of Australia Ltd. Class A's investor presentation, Oct 30, 2006
Slide 1: Energy Resources of Australia Ltd (ERA) Investor update: October/November 2006
Energy Resources of Australia Ltd (ERA) Harry Kenyon-Slaney Chief executive Investor update: October/November 2006 ral > 1 Ni T = 8) Forward-Looking Statements To satisfy the Forward-Looking Statements Safe Harbor provisions of the US securities laws we are required to advise you of the following: T
Slide 2: Competent Persons
Competent Persons The information in this presentation that relates to exploration results is based on information compiled by Greg Rogers, who is a member of the Australasian Institute of Mining and Metallurgy. Greg Rogers is a full-time employee of the company and he has sufficient experience whic
Slide 3: Background
Background » World’s third largest uranium producer - 12% market share ® Operations based in the Northern Territory, Austrafia © 380 employees © In 2005 A$40.7m in net profit after tax and A$33.4m in operating cash flow » First half 2006 A$19.9m in net profit after tax and A$77.7m in operating cash
Slide 4: Supply and demand
» Background SU » Current Operations © Exploration » Summary Supply and demand 308,000 WNA Ref. & High Demand Yo 289,000 206,000 199.690 O00lbs U308 Non-Western 109,690 Western New $9,000 2068 2007-2008 HWE ©2011 2012_—= BHI DIA -DHHK. DOE «ANT OHOH1D Excludes impact of Cameco’s recent announcement
Slide 5: Global uranium production
Global uranium production Total 2005 production = 49,052 tonnes U,0, Other Canada # Represents primary uranium 28% production Niger Hp o * Top three producers are TH f i) Cameco, AREVA and ERA * Canada and Australia produce over 50 per cent of world uranium production samibia 7% # ERA produces ~53 p
Slide 6: Market
» Background Market © Exploration » Summary
Slide 7: Average realised uranium price
Average realised uranium price USS / Ib 18 16 14 12 10 Source: ERA ERA sells all of its uranium under long term contracts Contracts are generally: ® 3 to 5 years in duration ® First delivery 2 to 4 years after agreement Contracts contain a mixture of pricing mechanisms: Fixed price/base escalated Li
Slide 8: Operating cash flow and reserves and resources
02 08 04 “08 1HOB Source: ERA Operating cash flow, A¢m 108.2 ‘02 03 “O4 “as 1HOG Reserves and resources RANGER* (% Use) Uso, (tonnes) Ore reserves 0.15 §2,433 Mineral resources 0.14 41,369 JABTLUKAS* (% Us0,) |Us04 (tonnes) Ore reserves 0.52 67,000 Mineral resources 0.46 96,000 * Cut off grade 0.08%
Slide 9: Current Operations
» Background ® Market » Current Operations » Summary iperations Fecilities |
Slide 10: Ranger East target
Ranger 18 East target
Slide 11: Jabiluka deposit
Jabiluka deposit One of the largest undeveloped uranium ore-bodies in the world ® Reserves based on a shallow underground mine » Long term care and maintenance agreement signed in early 2005 ® WHI only be developed with consent of Traditional Owners © Improved dialogue with Traditional Owners Outlin
Slide 12: Summary
Summary # Second largest uranium mine in the world and a member of the Rio Tinto Group # Reserve base remains significant #* Processing of iow grade stockpiles being investigated along with an expansion of the open pit # Geological exploration programme accelerating — New targets being assessed — Fo
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