Aguia Resources Limited · ASX:AGR
Aguia Resources — Fertilizer Latino Americano 2013
20 slides from Aguia Resources's conference presentation, Jan 22, 2013
Slide 1: The Challenges for New Projects: Building a Brazilian Fertiliser Company
THE CHALLENGES FOR NEW PROJECTS: BUILDING A BRAZILIAN FERTILISER COMPANY For personal use only Fertilizer Latino Americano, São Paulo, Brazil 21st January 2013 AGUIA Resources Limited ASXRESOURCES AGUIA Code: AGR LIMITED 1
Slide 2: Disclaimer
DISCLAIMER For personal use only This document has been prepared as a summary only, and does not contain all information about the Company’s assets and liabilities, financial position and performance, profits and losses, prospects and the rights and liabilities attaching to the Company’s securities.
Slide 3: The fertilizer sector has not always been a target for explorers
The fertilizer sector has not always been a target for explorers For personal use only Phosphate – 1987 – 2006: Money made selling companies – Average phosphate rock price ~US$50/t fob – Average DAP gross margins of ~US$11/t – Almost no funding for Juniors Potash – 1987 – 2004: No greenfield dev
Slide 4: Higher commodity prices have given investors an incentive to explore
Higher commodity prices have given investors an incentive to explore….. For personal use only Phosphate Juniors – < 5 juniors in 2006 to > 23 today – < $50M Market Cap in 2006 to > $1.0B today Potash Juniors – < 5 juniors in 2006 to > 26 today – < $50M Market Cap in 2006 to > $2.0B today – Potas
Slide 5: The Americas, Africa, and Australia dominate the exchange-listed projects
The Americas, Africa, and Australia dominate the exchange-listed projects….. For personal use only North America Phosphate: Potash: North American Potash Dev. Softrock Minerals Ltd. Europe / Asia D’Arianne Resources Encanto Potash Corp Pacific Potash Corp Universal Potash Corp Glen Eagle Resources E
Slide 6: Juniors play a pivotal role in new discoveries
Juniors play a pivotal role in new discoveries.... For personal use only JUNIORS PROVIDE FOCUS: Able to focus on exploration and project development Able to move swiftly – no competing corporate distractions Able to raise money – provide investors with targeted investments with sizable potenti
Slide 7: The Process
The Process For personal use only Raise Capital Commissioning & Start-up Construction Complete Studies • Final NI 43-101 or JORC • Pre-feasibility Environmental • Full Feasibility Permitting • Detailed • EIA Report Engineering • Preliminary / Full Prove the Installation resource licences • Drilling
Slide 8: What are investors looking for?
What are investors looking for? For personal use only Project – Location – Resource Structure – Public vs. Private Taken together – Exchange = Value Management – Industry knowledge – Technical expertise – Public markets experience
Slide 9: Aguia Projects Overview
Aguia Projects Overview World-class Assets ■ BUILDING A FERTILISER COMPANY For personal use only Phosphate Projects – Near Term Focus ✔ RIO GRANDE, new discovery, flag ship project ✔ Initial 21Mt JORC Inferred resource ✔ Resource upgrade 1st qtr 2013 ✔ Beneficiation concentrate up to 36% P2O5 ✔ Sco
Slide 10: Rio Grande do Sul Discoveries - A New Phosphate Province for Brazil
Rio Grande do Sul Discoveries - A New Phosphate Province for Brazil For personal use only AGR has been first mover in region Large landholding over 860 square kms TRES ESTRADAS NEW DISCOVERY Potential for new world class phosphate province – LARGE RESOURCE BASE NEW DISCOVERY from first drill
Slide 11: Três Estradas JORC Inferred Resource
Três Estradas JORC Inferred Resource For personal use only Initial JORC compliant inferred resource of 21Mt @ 4.6% P2O51 including higher grade oxide zone from surface of 1.8Mt @ 10.9% P2O5 Resource calculated from drilling over 1.2 km to 100 metre depth Stage 2 drilling completed – JORC INFER
Slide 12: Três Estradas Scoping on near surface resource
Três Estradas Scoping on near surface resource For personal use only High Grade oxide results from surface – scoping for initial early cash flow Excellent mining parameters, easy access, low strip ratio Shallow High Grade Oxide From Surface
Slide 13: Três Estradas Preliminary beneficiation results
Três Estradas Preliminary beneficiation results For personal use only Initial metallurgical recoveries up to 83.4% and concentrate grades up to 36.0% P2O5 Results indicate the potential to produce a commercial concentrate using standard methods and reagents available in the market Further opti
Slide 14: Excellent infrastructure access to markets
Excellent infrastructure access to markets For personal use only • Excellent infrastructure with good road, rail, power, port and services • Railway within the project that goes north and south to Brazil and southwest to Argentina and Uruguay. • Franchise owner is América Latina Logística. RIO GRAND
Slide 15: Três Estradas Development options
Três Estradas Development options For personal use only Phase 1: Near Term - Mine high grade oxide for cash flow to fund on-going development and Capex 2-3 years The Process – Internal Scoping commenced Mine rock, beneficiate by flotation Sell rock concentrate Phase 2: Longer Term – Larg
Slide 16: Tres Estradas Project: Conceptual Rock & SSP Production Scenarios
Tres Estradas Project: Conceptual Rock & SSP Production Scenarios For personal use only Assumptions - For illustrative purposes only – not based on actual project studies, based on 60Mt resource = 18.5 year mine life, 7 Phase 1 Phase 2 Conceptual Conceptual Current Status Rock Concentrate SSP Projec
Slide 17: Atlantic Potash Project Highlights
Atlantic Potash Project Highlights For personal use only ATLANTIC POTASH PROJECT Adjacent to Brazil’s only operating potash mine Taquari-Vassouras Mine (Vale) produces <10% of country’s consumption, with reserves in place until 2019. Concurrently Vale is developing its Carnallita Potash Projec
Slide 18: Atlantic Potash Project: Exceptional discovery potential
Atlantic Potash Project Exceptional discovery potential For personal use only ■ Historical exploration data obtained from Taquari-Vassouras Mine - Vale Brazilian Geological Survey Underground / Room and Pillar 700,000t KCl pa ■ Petroleum exploration and production Associated to Bull’s-eyes Gravity d
Slide 19: Conclusions
Conclusions For personal use only Project • Location = Brazil = Market • Resource = igneous, >34% P2O5 • Scale = Developing significantly Structure • Public • ASX Management • Industry knowledge • Technical expertise • Public markets experience
Slide 20: Enquiries
For personal use only ENQUIRIES: SIMON TAYLOR – Managing Director & CEO Telephone: +61 2 9247 3203 staylor@aguiaresources.com.au www.aguiaresources.com.au ASX Code: AGR