Andromeda Metals Limited · ASX:ADN
Andromeda Metals — Shareholder Meeting (November 2018)
19 slides from Andromeda Metals's shareholder meeting presentation, Nov 15, 2018
Slide 1: Managing Directors Address: A New Direction in Industrial Minerals
Managing Directors Address Andromeda Metals A New Direction in Industrial Minerals 2018 ANNUAL GENERAL MEETING Managing Directors Address ASX:ADN
Slide 2: Disclaimer
Disclaimer The information in this presentation is published to inform you about Andromeda Metals Limited (“Andromeda” or the “Company”) and its activities. Some statements in this presentation regarding estimates or future events are forward looking statements. They involve risk and uncertainties t
Slide 3: Outline
Outline 1. The Andromeda transformation 2. The Poochera Project 3. Geology, drilling and defined resource 4. Kaolin and halloysite mineral properties 5. Product and Target Markets 6. Marketing & offtake agreements 7. Bulk sampling and processing trials 8. Existing Infrastructure 9. Prefeasibility St
Slide 4: The Andromeda Transformation
The Andromeda Transformation Vision ▪ A sustainable industrial minerals company providing shareholders with risk managed discovery, development and mining opportunities Project Development Focus ▪ Poochera Halloysite-Kaolin Project JV with Minotaur Exploration to acquire the project in South Austral
Slide 5: Poochera Project
Poochera Project Overview ▪ World class halloysite-kaolin Carey’s Well Deposit ▪ Estimated short timeframe to production ▪ Long mine life ▪ Indicative off-take agreements in place with Chinese companies (>200,000 tpa) ▪ Chinese kaolin processors and end users to run commercial scale approvals ▪ Test
Slide 6: Defined Resource
Defined Resource ▪ JORC 2012 Resource estimate for Carey’s Well ▪ 23.9Mt of “bright white” kaolinised granite ▪ ISO Brightness R457 cut-off of 75 for minus 45 micron kaolin product ▪ Published by Andromeda Metals 22nd August 2018 6
Slide 7: Mineral Properties
Mineral Properties Typical Kaolin with Plate-Like Structure Main Constituent: Kaolinite & Halloysite (Al2O3 2SiO2.2H2O) Minor: Mica, Quartz, Feldspar Aspect Ratio: 8/1 - 100/1 Average: 20/1 Specific Gravity: 2.6 Refractive Index: 1.56 MOH Hardness: 2.5 Carey’s Well Halloysite Kaolin Hybrid Product 7
Slide 8: Halloysite
Halloysite Halloysite is a rare ‘tubular shaped’ derivative of kaolin that has a wide variety of industrial uses Halloysite Kaolin with Tubular Structure 8
Slide 9: Product & Target Markets
Product & Target Markets for the halloysite kaolin market Main Mature Established Markets ▪ Ceramics - for high-quality porcelain (Approx.$500 - $1000/t) ▪ Catalysts - for Fluid Catalytic Cracking (FCC) in petroleum refineries (up to $800/t) New and Emerging Markets ▪ Carbon Capture: nanotube techno
Slide 10: Marketing Strategy
Marketing Strategy Opportunities ▪ Significant and increasing demand for: ▪ Direct Shipping Ore ▪ Beneficiated ore ▪ Market to petrochemical industry - catalytic cracking ▪ Premium HPA feedstock Technical Approval ▪ High quality ceramic customers 10
Slide 11: Nanotechnology Applications
Nanotechnology Applications The Global Innovative Center for Advanced Nanomaterials (GICAN) industry hub at the University of Newcastle is using Carey’s Well halloysite in nanotube (HNT) technology research. Emerging Applications: ▪ Low cost replacement for expensive carbon nanotubes – water purific
Slide 12: Bulk Sampling & Processing Trials
Bulk Sampling & Processing Trials Bulk Sampling Bulk Sampling at ▪ 200t bulk sample taken in October 2018 Carey’s Well Commercial Processing Trials ▪ Full scale dry processing – December 2018 ▪ Full scale wet processing – Q1 2019 ▪ Full-scale commercial application trials – ceramics ▪ HPA testwork C
Slide 13: Existing Infrastructure
Existing Infrastructure ▪ Adjacent to Streaky Bay, SA ▪ Highway access to ports at Ceduna, Lucky Bay and Port Lincoln ▪ Multiple port options on Eyre Peninsula 13
Slide 14: Prefeasibility Study: Resource Model
Prefeasibility Study Resource Model ▪ Characterise the halloysite component of the resource ▪ Resource model update ▪ Exploration drilling of high purity halloysite regions at Poochera and Mt Hope Poochera halloysite 14 distribution
Slide 15: Prefeasibility Study: Mine Plan
Prefeasibility Study Mine Plan ▪ Open cut quarry ▪ Low stripping ratio ▪ Campaign mining using contractors ▪ Stockpile at site and/or near port facility ▪ Pit backfill and progressive mine rehabilitation Typical Dry Mining Kaolin Operation 15
Slide 16: Prefeasibility Study: Processing Options
Prefeasibility Study Processing Options ▪ Commence direct shipping ore business ▪ Second stage production plan to remove 50% waste (sand) ▪ Transport cost reduced by half ▪ Potential to give a market ready product with much higher value ▪ Contract toll production of fully refined product for export
Slide 17: Prefeasibility Study: Transport & Logistics Study
Prefeasibility Study Transport & Logistics Study Prefeasibility study report to detail ▪ Options considered (5 have been identified) ▪ Risk assessment and evaluation ▪ Recommend preferred option ▪ CAPEX and OPEX estimates ▪ Define regulatory approvals 17
Slide 18: Project Schedule
Project Schedule ▪ Update scoping study ~Q1 2019 ▪ Prefeasibility study ~Q2 2019 ▪ Prepare Mining Lease Application (MLA) ~Q3 2019 ▪ ML Grant ~Q4 2019 ▪ Commence operations 2020 18
Slide 19: Contact
Contact James Marsh Managing Director Nick Harding Executive Director Address: 69 King William Road Thank You Unley South Australia P: 08 8271 0600 info@andromet.com.au 19
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