Slide 1: Steelpoortdrift Vanadium Project
Steelpoortdrift Vanadium Project Mining Journal Select Presentation March 2023 ASX:VR8 WWW.VR8.GLOBAL
Slide 2: Disclaimer
Disclaimer This presentation does not constitute investment advice. This presentation has been prepared by Vanadium Resources Limited (“the Company” or ASX:VR8) to provide summary information about the Company and its activities as at the date of this presentation (March 2023). Neither this presenta
Slide 3: Emerging Vanadium Producer
Emerging Vanadium Producer One of the world’s largest DFS indicates strong financial Ore body easy to mine, Using conventional / proven and highest-grade outcomes with post-tax NPV7.5% low strip ratio & low concentrate & Salt Roast Leach vanadium deposits of US$1.2Bn (US$0.9Bn att.), operating cost
Slide 4: Corporate Overview
Corporate Overview Corporate Structure (ASX: VR8) – as at 21 March 2023 Top Shareholders Board of Directors 1 Danterne Pty Ltd1 9.4% Jurie Wessels 484.4m A$0.07 A$33.9m 2 Raubex Pty Ltd 9.1% Executive Chairman Shares on issue Share Price Market Cap (undiluted) (@ $0.07c) 3 Romfal Sifat Pty Ltd 4.1%
Slide 5: Why Vanadium
Why Vanadium Listed as a Critical Mineral in Australia, the US, UK and European Union, Vanadium demand is expected to grow significantly from its energy storage capabilities Vanadium Redox Flow Batteries (VRFB’s) Steel & Alloys VRFBs forecast to represent up to 20% of total battery capacity1 Ove
Slide 6: Global Demand & Pricing Dynamics
Global Demand & Pricing Dynamics Source: Vanitec & TTP Squared Inc Steel: 90% The forecast annual Steel demand is VRFB’s: 6-7% demand for VRFB’s alone expected to double by Aerospace: 2-3% Future demand equates to between 127.5kt 2050 with potential VRFBs forecast to represent between and 173.8kt by
Slide 7: DFS Delivers World Class Vanadium Project
DFS Delivers World Class Vanadium Project US$1.21bn US$896m US$152m 42% (A$1.9bn) (A$1.4bn) (A$237m) NPV7.5% (post-tax) Attributable NPV Yearly Free Cashflows IRR (post-tax) 27 months US$211m US$3.24 US$9.50 (A$329m) (Deloitte forward mid-range) Incl. Contingency Payback Start up Capex Cash Costs V2
Slide 8: Location – in the Bushveld Complex
Location – in the Bushveld Complex This world-renowned mining location is host to several mining operations, multiple major mining companies are active in the area, and is in close proximity to existing infrastructure. Other Mines in the Bushveld Complex Vametco – Vanadium Mine Rhovan – Vanadium Min
Slide 9: Mine, Concentrator & SRL
Mine, Concentrator & SRL Mine Site – View of the North of Mining Area The mine site, concentrator and SRL sites are located within a substantial mining and smelting district, with well established infrastructure (including water, power, sealed roads, rail, etc) VR8 Offices and Warehouses in Steelpoo
Slide 10: Resources & Ore Reserves
Resources & Ore Reserves Global Mineral Resource of 680Mt at 0.70% V2O5 Total Ore Reserve of 77Mt at 0.72% V2O5 Mineralisation outcrops at surface and dips shallowly (~10º) – less waste to mine, low strip ratios (0.88x waste : ore) and cheaper mining cost Orebody able to achieve a high-grade
Slide 11: Global Primary Resources
Global Primary Resources 3.0% 2100 Tonnes In Situ Grade Concentrate Grade 1800 2.5% Resource Tonnage (Millions) 1500 2.0% 1200 %V2O5 1.5% 900 1.0% 600 0.5% 300 0.0% 0 Largo Glencore Bushveld Bushveld Bushveld Vanadium Australian Richmond Technology Maracás Rhovan Vametco Brits Mokopane Resources Van
Slide 12: Location of Mineral Resources & Ore Reserves
Location of Mineral Resources & Ore Reserves The final pit design and Ore Reserves based on LOM of 25 years Location and Classification of Location and Classification of (designed to match Mining Right term) Mineral Resources Ore Resources Final pit design was based on Pit 17, which highlights p
Slide 13: Open Pit Design and Schedule
Open Pit Design and Schedule Detailed pit designs have been developed across three open pits and scheduled over the 25-year life of the project The mining schedule was able to achieve high ROM grades of greater than 0.80% V2O5 for the first 8 years, with a LOM average grade of 0.71% V2O5 12 WWW.
Slide 14: Concentrator Plant
Concentrator Plant Concentrator flow sheet Dewatering based on proven Regrind Magnetic technology Separation Areas Dewatering Wet Magnetic Separation Two-stage Crushing Circuit Concentrate Product Ball @ 2.08-2.16% V2O5 Milling 13 WWW.VR8.GLOBAL
Slide 15: SRL Plant
SRL Plant SRL flow sheet based on proven technology SO2 SRL Plant comprises kiln Scrubber roasting, desilification, ammonium metavanadate Kiln Roasting (“AMV”) precipitation, flash drying and V205 flake production Crystalliser Concentrate feed rate of 790ktpa with a grade of >2.00% V2O5 to Flash Dry
Slide 16: Offtake, Strategic Investment and Project Financing
Offtake, Strategic Investment and Project Financing Commenced process toward securing binding offtake, Hand specimen of strategic investment and project financing vanadiferous titanomagnetite from the SPD Vanadium Offtake Agreement & Strategic Investment Project1 A process is underway with a range
Slide 17: ESG Initiatives
ESG Initiatives Renewable Dry deposition of Co-products Community electricity supply tailings Inclusion of 5MW PV solar Dewatering of tailings Studies underway to Initiatives to maximize plant reduces carbon footprint material means reduced unlock value from other community involvement and and relia
Slide 18: Preliminary Project Timeline
Preliminary Project Timeline Year CY23 CY24 CY25 Quarter Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Environmental & Water Permits Build Project Development & Operations Team FEED Offtake & Strategic Investment Debt Financing FID Engineering & Procurement Construction Production (incl. Ramp up) 17 WWW.VR8.G
Slide 19: Growth Catalysts to Increase Shareholder Value
Growth Catalysts to Increase Shareholder Value Key Catalysts to FID Secure long-term offtake(s) Secure project funding from combination of: Ropeway conveyor from Mine to SRL plant i. Debt ~65% PF debt Optimise Delineation drilling and re-optimisation ii. Equity ~35% from offtakers, strategic
Slide 20: Investment Highlights
Investment Highlights Strong financials with attributable NPV of A$1.4bn, IRR of 42% Significant upside potential with a range of opportunities and and payback period of 27 months initiatives identified to increase value Competitive Capex (US$211m) and lowest quartile Opex Building a strong project
Slide 21: Appendix
Appendix March 2023 ASX:VR8 WWW.VR8.GLOBAL
Slide 22: Board & Management
Board & Management Jurie Wessels has 26 years’ experience in the exploration industry and co-founded a number of exploration and mining companies, including Bauba Resources Ltd (BAU.J), which owns three operating chrome mines, GoldStone Resources Ltd (GRL.L), which company is mining the Homase-Akrok
Slide 23: Peer Comparison
Peer Comparison Largo Maracas1,2&3 Steelpoortdrift (VR8) 4&5 Bushveld Mokopane6 TMT Project7,8 AVL Project9 Richmond Vanadium10 In Production DFS Stage PFS Stage DFS Stage BFS stage PFS Stage (Results as at 30 Dec 2021) V2O5 Price US$7.80/lb US$9.50/lb US$7.50/lb US$10.50/lb US$10.50/lb US$9.60/lb M
Slide 24: Peer Comparison Table
Peer Comparison Table Resource Resource Concentrate Company Code Project Stage Resource Category Information Source Tonnes Grade Grade Measured, Indicated & Largo LGO.TSX Maracas Production 79 0.79 2.46 Largo Maracas NI43-101 Technical Report - 16th December 2021 Inferred (NI43-101) Measured, Indica
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