Reward Minerals Ltd · ASX:RWD
Reward Minerals — Shareholder Meeting (May 2022)
24 slides from Reward Minerals's shareholder meeting presentation, May 31, 2022
Slide 1: Reward Minerals Limited Annual General Meeting
REWARD Developer of the MINERALS largest high-grade brine SOP Deposit in Australia LIMITED Annual General Meeting 31st May 2022 ASX | RWD www.rewardminerals.com
Slide 2: Forward Looking Statements & Disclaimer
FORWARD LOOKING STATEMENTS & DISCLAIMER This document includes forward-looking statements. When used in this document, the words such as “could”, “plan”, “estimate”, “expect”, “intend”, “may”, “potential”, “should”, and similar expressions are forward-looking statements. Although Reward believes tha
Slide 3: Contents
CONTENTS ►Corporate Snapshot ►Kumpupintil Lake Potassium Sulfate Project ►Officer Basin Potassium Sulfate Project ►Compliance Section 3
Slide 4: Reward Corporate Snapshot
REWARD CORPORATE SNAPSHOT Capital Structure 31 May 2022 ASX:RWD Ordinary Shares on Issue 195.3m Rights and Options on Issue 16.0m Share Price $0.105 Undiluted Market Capitalisation $20.5m Short Term Debt ~$2.3m Cash & Equivalents ~$2.1m Undiluted Enterprise Value $20.3m Major Shareholders Name Share
Slide 5: Kumpupintil Lake Potash Project Summary
KUMPUPINTIL LAKE POTASH PROJECT (KP) SUMMARY • Reward’s Flagship Sulfate-of-Potash (SOP) Asset with substantial works carried out to-date. • Comprises very large area - 1,898km2 of granted Exploration Licences, Miscellaneous Licences and Mining Lease over its’ Resource and adjacent areas. • 1Contain
Slide 6: Kumpupintil Lake Potash Project Advantages
KUMPUPINTIL LAKE POTASH PROJECT ADVANTAGES • The KP SOP Project is a globally significant Project. • Ideally located in Little Sandy Desert – high evaporation rates Detailed, conservative and low rainfall. Highest PFS Native title evaporation, secured, ILUA Low rainfall in place • 1High Grade SOP br
Slide 7: A Simple Recovery Process with No Flotation
KUMPUPINTIL LAKE POTASH PROJECT: A SIMPLE RECOVERY PROCESS WITH NO FLOTATION 1. BRINE OPS @ A$91/T* OTHER COSTS*: Closure = A$2/t State Royalty = A$30/t Martu Royalty = A$7/t 2. PROCESSING Road Maint = A$15/t @ A$102/T* Site Services = A$22/t FOB Cash Cost: A$335/t* 3. LOGISTICS EBITDA Margin: ~44.6
Slide 8: Logistics: Possible Routes for SOP to Port
KUMPUPINTIL LAKE POTASH PROJECT LOGISTICS: POSSIBLE ROUTES FOR SOP TO PORT • Route A via Newman = 840 km • Sealed ~500 km • Unsealed ~340 km • Route B via Marble Bar = 750 km • Sealed ~370 km • Unsealed ~380 km 8 For Sources and Notes(1,2 etc) – See “Compliance Section” (slides 22 - 24) for further
Slide 9: Project Returns
KUMPUPINTIL LAKE POTASH PROJECT 2,3PROMISING RETURNS (BASED ON 2018 PFS DATA) • Pre-tax: Real NPV8 – $518 M, IRR – 19% Project • Post-tax: Real NPV8 – $293 M, IRR – 15% • Assumptions: Price: US$500/t, FX: AUD/USD: Returns 0.75 • Average EBITDA Margin – 45% Sustainable • Average Annual EBITDA – ~$118
Slide 10: 2021-2022 Activities: Major Project Status
KUMPUPINTIL LAKE POTASH PROJECT 2021 - 2022 ACTIVITIES 8MAJOR PROJECT STATUS GRANT AND APPROVAL • In June 2021, Reward was advised by the Australian Government Major Projects Facilitation Agency that the Project had been awarded Major Project Status • Reward regards this as important milestone for t
Slide 11: 2021-2022 Activities: Adoption of Kumpupintil Lake Title
KUMPUPINTIL LAKE POTASH PROJECT 2021 - 2022 ACTIVITIES 9ADOPTION OF KUMPUPINTIL LAKE TITLE • In June 2021, Reward activated name change of Lake Disappointment Project to the Martu Traditional Owners title of Kumpupintil Lake. • Kumpupintil Lake was registered as the official name of the site in Nove
Slide 12: 2021-2022 Activities: Trade-Off Study Recommendations
KUMPUPINTIL LAKE POTASH PROJECT 2021 - 2022 ACTIVITIES TRADE-OFF STUDY RECOMMENDATIONS Bechtel Australia Pty Ltd was appointed to complete a 6,7review and explore options to unlock additional value. The Review and Trade-Off Study were completed in March 2021 and recommended the following: • SysCAD p
Slide 13: 2021-2022 Activities: Follow Up on Recommendations
KUMPUPINTIL LAKE POTASH PROJECT 2021 - 2022 ACTIVITIES FOLLOW UP ON RECOMMENDATIONS 1. Bechtel commissioned to revise Project Flowsheet and Metallurgical Balance (SysCAD Modelling): • Study completed late in June 2021 • Reward confident with the reworking of the SysCAD model and satisfied that the o
Slide 14: Questions?
KUMPUPINTIL LAKE POTASH PROJECT QUESTIONS? 14
Slide 15: Officer Basin Potash Project Summary
OFFICER BASIN POTASH PROJECT SUMMARY • Project is only 100 km east of Kumpupintil Lake. • Reward holds 1 exploration licence as well as exclusive rights to 4 exploration licences held by Kesli Chemicals Pty Ltd. • Project covers ~3,100km2 of ground in the Officer Basin which is regarded as highly pr
Slide 16: Officer Basin: Cultural Heritage Survey
OFFICER BASIN POTASH PROJECT 2021 - 2022 ACTIVITIES CULTURAL HERITAGE SURVEY • Reward undertook a second 11Heritage Clearance Survey (HERKES002) with the Western Desert Lands Aboriginal Corporation (WDLAC) and Martu traditional Owners. • Allowed for expansion of the Officer Basin drilling program. •
Slide 17: Officer Basin: Phase 2 Drilling
OFFICER BASIN POTASH PROJECT 2021 - 2022 ACTIVITIES 12PHASE 2 DRILLING • Drilling conducted provided E-W extension of ~25 km and NE-SW extension of 5 km along Seismic Hole Sample Total Line N83-01. Drilling Ca K Mg Na SO4 Cl Specific Hole ID Depth Depth Dissolved Program Gravity (m) (m) (mg/l) (mg/l
Slide 18: Phase 2 Drilling Results Summary
OFFICER BASIN POTASH PROJECT 2021 - 2022 ACTIVITIES 12PHASE 2 DRILLING RESULTS SUMMARY • 2021 drilling confirms substantial groundwater presence in the area/s. • Generally, tenor of dissolved salts was disappointing considering much higher Total Dissolved Ion (TDI) content of brines encountered in h
Slide 19: Indications To-Date
OFFICER BASIN POTASH PROJECT 2021 - 2022 ACTIVITIES 12INDICATIONS TO-DATE • Drilling of deeper holes OB001 and OB002 (cored to 419.45m and 705.6m respectively) failed to return solid evaporites containing water-soluble potash salts. • Core analysis of OB002 to include formation dating to confirm whe
Slide 20: Officer Basin Potash Project: What Next?
OFFICER BASIN POTASH PROJECT WHAT NEXT? 12FUTURE PLANNED WORKS • Reward proposes to conduct a geophysical Passive Seismic Survey targeting across and perpendicular to the palaeovalley. • Advantages include: • Low-cost, • Non-ground disturbing, • Already used extensively in Western Australia, • Defin
Slide 21: Officer Basin Potash Project: Questions?
OFFICER BASIN POTASH PROJECT QUESTIONS? 21
Slide 22: Compliance Section: Competent Person Statement
COMPLIANCE SECTION Competent Person Statement The information in this presentation that relates to the existing Kumpupintil Lake (Lake Disappointment) Project Mineral Resource Estimate and hydrogeology is extracted from the report titled “Lake Disappointment (LD) Project Confirmed as a Globally Sign
Slide 23: Compliance Section: Additional Statements
COMPLIANCE SECTION Additional Statements • The Company confirms that it is not aware of any new information or data that materially affects the information included in the 2017 announcement (“Lake Disappointment (LD) Project Confirmed as a Globally Significant Tier 1 Sulphate of Potash Deposit”) and
Slide 24: Compliance Section: Information Sources and Notes
COMPLIANCE SECTION Information Sources: a list of Reward’s ASX Releases as sources of information contained in this Presentation Notes: 1. See ASX announcement released 7 February 2017, titled “Lake Disappointment (LD) Project Confirmed as a Globally Significant Tier 1 Sulphate of Potash Deposit”. 2