Stanmore Resources Ltd · ASX:SMR

Stanmore Resources — Stanmore Coal — Investor Presentation (September 2011)

25 slides from Stanmore Resources's investor presentation, Sep 12, 2011

  1. Slide 1: Investor Presentation September 2011

    For personal use only INVESTOR PRESENTATION September 2011

  2. Slide 2: Important information

    Important information This document has been prepared by Stanmore Coal Limited (“Stanmore Coal”) for the purpose of providing a company and technical overview to interested analysts/investors. None of Stanmore Coal, nor any of its related bodies corporate, their respective directors, partners, emplo

  3. Slide 3: Stanmore Coal Overview

    Stanmore Coal Overview  Coal development and exploration company Key Metrics For personal use only  Portfolio of coking, PCI and thermal coal targets in prime ASX Code SMR coal areas Shares on issue 127.2m − 2 development projects (The Range and Mackenzie) Current share price 1 A$0.90 Market Capit

  4. Slide 4: Strong Board and Management Team

    Strong Board and Management Team NEVILLE SNEDDON NICK JORSS STEPHEN BIZZELL VIV FORBES For personal use only Chairman Managing Director Director Director Mining engineer with 37 years 20 years in engineering, project Extensive experience in Over 40 years of Bowen Basin coal experience in coal, forme

  5. Slide 5: Stanmore Coal Projects (all 100% owned)

    Stanmore Coal Projects (all 100% owned) The Range For personal use only  Open cut export quality thermal coal project located 27km SE of proposed Surat Basin rail line. 94Mt Reserves1 and 229Mt JORC Inferred + Indicated Resources. PFS expected Q3 2011. Target production of 5Mtpa commencing in 2015

  6. Slide 6: The Range Project – Surat Basin Asset Overview

    The Range Project – Surat Basin Asset Overview 100% owned For personal use only  Significant Reserve/Resource base − 94Mt JORC Marketable Coal Reserves1 − 229Mt JORC Resource (151Mt Indicated, 78Mt Inferred)  High energy export quality thermal coal  Open cut mining operation  First coal by 2015

  7. Slide 7: The Range Project Geology

    The Range Project Geology Geology well understood For personal use only  84 holes completed to date  Coal depth: 15m –100m and continues at depth  Average total coal thickness 8.5m (max 12m)  Coal is near flat with dip of 1° to west  Bulk samples obtained in eight large diameter core holes – da

  8. Slide 8: The Range Project Coal quality

    The Range Project Coal quality High energy export thermal coal For personal use only  A premium export thermal coal in the Surat Basin  Surat Basin coals are typically clean burning with good burnout characteristics and low nitrogen  Product is a high energy low ash thermal coal  Suitable for al

  9. Slide 9: The Range Project Conceptual mining study results

    The Range Project Conceptual mining study results For personal use only Asset Description Significant Clean Coal Intersections Project The Range, Surat Basin  Inclusion of bypass coal increases potential yield (Queensland) JORC Resources / Coal Reserves 229Mt / 94Mt − Clean coal not requiring washi

  10. Slide 10: The Range Project Site layout

    The Range Project Site layout For personal use only 9

  11. Slide 11: The Range Further upside potential

    The Range Further upside potential For personal use only  Recent drilling to the west of the pit has intercepted additional sub-cropping coal seams  Interpreted to be seams in the Argyle interval of the lower Juandah Coal Measures  Hole 83R: 11.8m cumulative coal to a depth of 188m including a se

  12. Slide 12: Mackenzie Project Asset Overview

    Mackenzie Project Asset Overview For personal use only Bowen Basin – 100% owned  Open cut coking coal deposit − 23km of strike (Burngrove Formation)  Growing Resource − Currently 99Mt JORC Inferred Resource − 70 – 80Mt Exploration Target1 − Further drilling programme underway to test resource exte

  13. Slide 13: Mackenzie Project Drilling

    Mackenzie Project Drilling Indicated Resource pending For personal use only  26 hole program to upgrade existing resource to JORC Indicated level  Drilling program now expanded to 40 holes to test extensions to coal intersected adjacent to northern Exploration Target1 of 70 – 80Mt  Core holes hav

  14. Slide 14: Infrastructure for Mackenzie and The Range

    Infrastructure for Mackenzie and The Range Summary For personal use only Rail Port Mackenzie (2 Mtpa) Wiggins Island Coal Export Terminal  Existing Queensland Rail Blackwater line (WICET) to Gladstone 310 km  Stage 1 of 27Mtpa – financial close  Upgrade planned in line with WICET expected in Sept

  15. Slide 15: The Range and Mackenzie development timeline

    The Range and Mackenzie WICET Stage 2 development in parallel with Stanmore first coal Port and Rail infrastructure expected to be available For personal use only Q2 2011 Q2 2011 Q1 2012 Q3 2012 Q2 2013 Q4 2014 H2 2015 Q3 2015 Initial Resource Submit EIS Complete ML/EA application Complete First coa

  16. Slide 16: Exploration Projects: Tennyson Overview

    Exploration Projects Tennyson Overview For personal use only 100% owned  Prospective for underground coking and export thermal coal  Exploration Target1 of 220 – 290Mt  Further drilling programme planned for H2 2011  Targeting initial JORC Inferred Resource in Q1 2012  Drill results to date (de

  17. Slide 17: Exploration Projects: Belview Overview

    Exploration Projects Belview Overview 100% owned For personal use only  5 holes drilled to date  Targeting initial JORC Inferred Resource in late 2011  Exploration Target1 of 385 – 555Mt2 covers only 26% of lease  Additional drilling programme planned for FY2012 to extend  Initial drilling conf

  18. Slide 18: Exploration Projects: Kerlong Overview

    Exploration Projects Kerlong Overview 100% owned For personal use only  Targeting high quality, underground coking and PCI coal  Initial 4 hole drilling programme planned to commence Q3 2011  Target seams mined nearby including: − Burton (Peabody) − South Walker Creek (BHP Mitsubishi) − Carboroug

  19. Slide 19: Exploration Projects: New Cambria Overview

    Exploration Projects New Cambria Overview 100% owned For personal use only  Potential for low-volatile, high energy, low to medium ash PCI coal  Drill program planned for 1H 2012  Along structural trend from Yarrabee Mine (Felix Resources/Yancoal)  Targeting up-thrust Rangal Coal Measures with o

  20. Slide 20: Attractive dynamics for metallurgical and thermal coal markets

    Attractive dynamics for metallurgical and thermal coal markets Coal Market Overview Growth in metallurgical coal market For personal use only  Metallurgical coal demand driven by increasing steel production and Forecasts consumption in Asia, particularly China and India. China expected 350 Metallur

  21. Slide 21: A clear path to key customers

    A clear path to key customers For personal use only  All projects are located adjacent to existing or planned rail and port facilities  Stanmore has secured 7Mtpa priority (FFFA) capacity rights for WICET Stage 2 (due 2015)  Stanmore has secured 12Mtpa conditional agreement at Dudgeon Point Coal

  22. Slide 22: Key milestones

    Key milestones Next 12 months For personal use only H2 2011 H1 2012 H2 2012 2015  Complete pre-  Commence pre-  Continued drilling at  First coal production feasibility study at The feasibility study at The Range to from both Range & commence Mackenzie upgrade Reserves The Range and Projects Fea

  23. Slide 23: Summary

    Summary  Attractive pipeline of Queensland coal projects at various stages of development For personal use only − Two development projects located in the Bowen and Surat Basin’s to produce coking and thermal coal − Five Bowen Basin exploration projects comprising predominantly coking coal − All pro

  24. Slide 24: Supplementary Slides

    For personal use only Supplementary Slides 23

  25. Slide 25: Reserves, Resources and Exploration Targets

    Reserves, Resources and Exploration Targets JORC Marketable Coal JORC Indicated Resource JORC Inferred Resource Additional Exploration Target For personal use only Project Reserve (1) (2) (1) (1) (3) Low High Mackenzie Coking 99 70 80 The Range Thermal 94.2 151 78 Tennyson Thermal/Coking 220 290 Bel

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