Slide 1: Developing a new tin province for stable supply of conflict-free tin
Developing a new tin province for stable supply of conflict-free tin Boris Kamstra Alphamin Chief Executive Officer Mining Indaba 2017
Slide 2: Disclaimer
Disclaimer The statements made in this presentation which are not historical facts contain certain Company and its officers, employees and advisers are not liable for any loss or damage forward-looking statements concerning potential developments affecting the business, (including, without limitatio
Slide 3: Alphamin is a pioneering tin exploration and mining business
Alphamin is a pioneering tin exploration and mining business, unleashing the full profit and potential of its world-class tin asset in North Kivu, DRC
Slide 4: Why tin?
Why tin? Replaced lead in solder – step change in demand Under explored, aging mines, projected supply constraints = probable long-term, upward price pressure
Slide 5: World-class tin resource base in North Kivu, DRC
World-class tin resource base in North Kivu, DRC Mpama North At cut off grade of 0.5% tin Tonnes Sn Sn tonnes Classification (millions) % (thousands) Exploration – Measured 0.46 4.31 19.6 Mineral Resource Growth Potential Indicated 4.14 4.55 188.4 Total M&I 4.60 4.52 208.1 Within Mining permit PE131
Slide 6: Alphamin is starting with mine development on the top section of the Mpama North ore-body
Alphamin is starting with mine development on the top section of the Mpama North ore-body Defining and development of Mpama South and other regional targets will follow All future development will be self-funded
Slide 7: Mpama North top section contains ~230kt tin metal at 4.5% grade
Mpama North top section contains ~230kt tin metal, at an average grade of 4.5% This will support a Life of Mine of 15 years producing ~9 600 tonnes of tin in concentrate per annum Projected after tax IRR is likely to be ~49%
Slide 8: Building the mine requires a targeted $152 million through a 24 month build program
Building the mine requires a targeted $152 million through a 24 month build program, plus 3 months ramp- up to nameplate capacity, which is expected in 2019 Estimated cash cost of tin sold to be $10 343 per tonne tin in concentrate sold Current tin price is ~$20 000 per tonne Alphamin plans to produ
Slide 9: DRA managed FEED Program
DRA managed FEED Program. Objective to optimize and minimize implementation and operational risks Process refinements were driven by Ian Dunn (16 years as Minsur’s Director of Process Engineering) Mine design led by DRA with Tony Cox a global sub-level caving expert
Slide 10: Current focus on preparing the project for construction
Current focus on preparing the project for construction Completed access road is being upgraded to accommodate large loads, return airway drive, new camps and accommodation are under construction.
Slide 11: Alphamin is a catalyst for the economy of North Kivu
Alphamin is a catalyst for the economy of North Kivu – contributing to employment, safety, rule of law and improved lives North Kivu Government supports the project through a special committee to guide ABM project development
Slide 12: Major shareholders in Alphamin
Major shareholders in Alphamin • Tremont Master Holdings 44% • Industrial Development Corporation (14% shareholder in ABM – project company) • High net worth individuals Sound capital structure • Current market capitalisation ~US$113 million • Project funding $152 million • Targeted debt equity rati
Slide 13: In time the full tin value chain will be developed
In time the full tin value chain will be developed – from mine to finished metal, and possibly support local downstream tin beneficiation activities
Slide 14: Alphamin has a highly experienced management team
Alphamin has a highly experienced management team with a positive track record of developing and operating mines in the DRC. They have a proven track record of developing and operating mines across the globe including in the DRC’s unique environment.
Slide 15: No other undeveloped tin asset has the grade and tonnage of Bisie
No other undeveloped tin asset has the attractive combination of grade and tonnage as Bisie. Alphamin will generate excellent returns to all stakeholders whilst providing the tin industry a long term stable source of conflict free tin.