Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Arafura Resources NL — AMEC Investor Seminar (May 2006)
26 slides from Arafura Rare Earths's conference presentation, May 5, 2006
Slide 1: AMEC Investor Seminar: Investing in Uranium
a~ Arafura Resources NL AMEC Investor Seminar INVESTING in URANIUM 6 May 2006 Presented by Alistair Stephens Managing Director Arafura Resources for the future
Slide 2: About Arafura
ndi AMLARU RA bevaumees me About Arafura... The Company Our Value Uranium... Our program for 2006 i
Slide 3: Shares on issue and share price
Shares on issue ASX:ARU 75.7m Options on issue ASX:ARUO 25.7m @ $0.20 June 2008 Market capitalisation (A$0.46) A$35m Cash at Bank (1 May 2006) A$7.0m Volume 4500000 4000000 3500000 3000000 2500000 2000000 1500000 1000000 500000 ° ARU Share Price 3 May 2005 to 2 May 2006
Slide 4: Resources for the Future
Resources for the Future URANIUM High growth sustainable market RARE EARTHS The key to solutions in energy and technology Creating Value GOLD New gold district with major potential PARTNERING Adding opportunity through JV’s ROYALTIES Iron Ore in 2007
Slide 5: Projects in the NT
Projects in the NT DARWIN "9 Jabiru Uranium Rare Earths LAGOON CREEK I UR — Gold lron Royalties le WOCDFORDE RIVER URANIUM. LUCY CREEK URANI IN JERVOIS EASE METALS ee NOLANS BORE BAPE EAT URANIUM YALYIRIMBI UIRANILIN a8 a Joint Ventures \ + Kulgera 1,000 km
Slide 6: Company structure and projects
A i Us Deva eWEee WE i Rare Earths PL Uranium PL Gold PL Holdings PL fi (~ ~ (~ ~ (~ ~ 18.6MT Resources Lagoon Creek WV Kurinelli 100% fron Ore . LAM farm-in Royalties (with upside) \ 7 Ne yy, Ne J (E77 KtREQ» 577 kt REO ( Y (~ Y 4 *) 2.6mt Phosphate 5 . °, Segue Shares 8.7 mlb U308 Lucy Creek 100%
Slide 7: Why spin off the Uranium projects?
Why spin off the Uranium projects? ~— Greater flexibility to invest in uranium stock - Orientated to favour current shareholders by in-specie distribution — Maintain tight capital of new entity — Focus on developing uranium specific strategies * Corporate strategies « Exploration *« Development * So
Slide 8: Uranium Spin off
Uranium Spin off -— 10,000 km2 of tenement solely in the Northern Territory — A region favoured for exploration and development — A Darwin based team with extensive experience in the NT — Drill programs planned immediately after listing - Extensive uranium prospective projects — Defined uranium targ
Slide 9: Why the Northern Territory
Ee A & Major urarium depasit 16° ] Cover sediments Motethur & other basins Sandstone and volcanics Protecazcic mata sediments PMA crane & basemen ~ Why the Northern Territory The NT is host to 275,000 tonnes of uranium resources You can mine in the NT A region with similarity to Ranger style mineral
Slide 10: Uranium Projects
Uranium Projects Allin the Northern Territory - FRANCES CREE Uranium e Nolans Bore * Lagoon Creek * Lucy Creek 0 . * Reynoids Range projects _ | Scorgna Basin pr ed ; * Georgina Basin projects "TUCY CREEK io RANI IS JERVGIS DASE METALS NOLANS SORE BARE EA Alice Springs # Kulgera 1,000 km
Slide 11: Along strike from Westmoreland in Qld
Along strike from Westmoreland in Qid T 17°40 17°50 ARAFURA RESOURCES NL Northen Territory _!@ueensiand 0 WESTMORELAND & en ) i ny) LAGOON CREEK URANIUM OCCURRENCES | Selgal McDermott |, Volcanics Formation P- 17°30 PROJECT q AREA : ~N ~~. = @ — Ureniuns gold occurrences “| MeDermott Formation (ZG s
Slide 12: Lagoon Creek airborne survey
CPS >80 cps mat ARAFURA RESOURCES NL EL23573 LAGOON CREEK 2005 AIRBORNE SURVEY - URANIUM
Slide 13: Frances Creek / Uranium Projects
FRANCES CREEK =f WOODRORDE RIVE! URANIUM a "TUCY CREEK io RANI, JERVOIS Li BASE METALS: NOLANS BORE iS; M. # Kulgera 1,000 km Uranium Projects Allin the Northern Territory Uranium * Nolans Bore « Lagoon Creek * Lucy Creek * Reynolds Range projects * Georgina Basin projects
Slide 14: Lucy Creek uranium targets and geology
ALAPU RA bevaumees me 136°90" 2a 22°30! 4. 4 ELA2G2I6 Arthur Cree Formation Sihstones nara Formation |< Dclostono and shales MtBaignin Sandetons Rei Sandanns Baseinent metasediments Sitstones and sandsfores Basement granites Grsnites Major foul’ structure Lear Uranium anoma’y 4 EL10215 ° 5 token ———
Slide 15: Radiometric anomaly 6.5 km long
netric anomaly 6.5 km long oo ee
Slide 16: Substantiated with rock samples
a Substantiated with rock samples ho, ALAPUWA Mvererr ay Geological reconnaissance May- June 2005 Uranium mineralisation to 1.25 Ib/ associated with 20-40 metre residual land surface Enriched laterite over basement rocks and faults Energy of the }
Slide 17: Uranium Projects
Uranium Projects Allin the Northern Territory FRANCES CREEK aml Nati Uranium « Nolans Bore « Lagoon Creek * Lucy Creek « Reynolds Range projects WOODRORDE RIVE! URANIUM a "TUCY CREEK io RANI, JERVOIS Li BASE METALS: NOLANS BORE jam iS; Mi * Georgina Basin projects # Kulgera 1,000 km
Slide 18: Aileron Project
Le 10m pra (PAE 1996-95) Boye ARAFURA RESOURCES NL AILERON PROJECT s 3 é = 2 € 5 5 G z od 3 = 3 a E & S Es a = 3 rs S - 3 o = En Pa 3 s 7” & a s & z < &. &
Slide 19: Reynolds Range — multiple target styles
& Reynolds Range — multiple target styles & Xs ARAPURA wevdGnere we EL 24548 — Yalyirimbi EL 24741 — Woodforde River EL 24955 — Sandover EL 24956 — Burt Plain Uranium enriched basement rocks Roll front targets in overlying Ngalia Basin sandstones Near surface calcrete targets Basal Vaughn Springs Qu
Slide 20: Yalyirimbi conceptual uranium targets
ALAPU RA bevaumees me Roll front in sandstone style URANIUM TARGET | URANIUM TARGET Calcrete _ (Yeelirrie style) _ Known uranium mineralisation in sediments + calcrete. Lake Lewis Stuart Bluff Range 3 A ‘Conglomerate anomalous in-uranium to 60ppm UsOg Poy Unexplored. uranium targets. Not to vertical
Slide 21: Uranium Projects
Uranium Projects Allin the Northern Territory FRANCES CREEK aml Nati Uranium « Nolans Bore * Lagoon Creek * Lucy Creek « Reynolds Range projects WOODRORDE RIVE! URANIUM a "TUCY CREEK io RANI, JERVOIS Li BASE METALS: NOLANS BORE iS; M. # Kulgera 1,000 km
Slide 22: Uranium targets
& ha bevdawery wa Uranium targets EL 24724 Johannsen Range West of Lucy Creek — SW margin of Basin EL 24726 Arganara Creek Elkedra region — NW margin of Basin Discrete Uranium anomalism in NTGS airborne data Cambrian Arthur Creek Fmn over Mount Baldwin Fmn Western Jervois Range
Slide 23: Arganara Creek
1aseis00" 13s-wos' € ARAFURA RESOURCES NL EL.24726 ARGANARA CREEK Discrete uranium anomalism in basal unconformity position 2riger"s ic ce : Davenport Province basement LEGEND I oe : Clee is uranium enriched i. W Anomalies [sewer Georgina Basin Unconformity ‘ee EL 24726 ei 2agoo s
Slide 24: Uranium Summary
Uranium Summary Over 10,000 square kilometres of tenure In the right region for exploration & development In a region with significant potential All over pastoral leases Nolans Bore contains 8.7 m Ibs of U,0, Programs in place for 2006
Slide 25: 2006 program timeline
RARE EARTHS Met test work Scoping Study Drilling / modelling URANIUM Lagoon Creek Lucy Creek GOLD Kurinelli May Jun Jul Aug Sep <4..::5> <4..::5> <-> Oct Nov Dec |
Slide 26: Upcoming activities
RARE EARTHS Scoping Study economics published post July 2006 URANIUM De-merge uranium projects Lagoon Creek — drill test targets Lucy Creek — drill test targets GOLD Kurinelli — drill test targets
Arafura Resources NL — AMEC Investor Seminar (May 2006) on 6ix