Canyon Resources Limited · ASX:CAY
Canyon Resources — Shareholder Meeting (November 2020)
28 slides from Canyon Resources's shareholder meeting presentation, November 2020
Slide 1: Developing A Global Tier One Bauxite Asset
Developing A Global Tier One Bauxite Asset Annual General Meeting 2020 Phillip Gallagher Managing Director November 2020 Presentation approved for release by the Board
Slide 2: Location Map
Location Map be NGAOQUNDERE Ly li yu NIGERIA ALUMINIMUM SMELTER & PRODUCTION SUPPORT FACILITY a DOUALA’ UT oe LIYAGUNDE CAMEROON Lake nisi DEEP WATER PoRT |1G} 200km 0) sting Rail Line = +7” Proposed Rail Line DOUALA PORT
Slide 3: Disclaimer
Disclaimer Competent Person’s Statement – Ore Reserves Ore Reserve estimate The information in this report that relates to Ore Reserves is based on information compiled or reviewed by Mr John Battista, The data in this announcement that relates to the Ore Reserve estimate estimates for the Minim Mar
Slide 4: Contents
Contents 1. Introduction to Canyon 10. Quality drives product price Appendices Key metrics overview High grade price drivers None 2. Corporate structure overview 11. Canyon is preparing to mine Canyon and Camalco structure Regulatory overview of the transition to mining permit 3. Canyon has progress
Slide 5: Introduction to Canyon Resources
Introduction to Canyon Resources Key metrics and overview 5
Slide 6: Introduction to Canyon
1 Introduction to Canyon Ticker CAY.ASX Project name: Minim Martap Bauxite Project +1B PFS BFS tonne ✓ complete in progress Subsidiary Camalco Resource Ownership 100% Commodity Bauxite 5.0M Commodity market 370Mt tonnes pa bauxite Existing rail Existing port Historical growth 13.3% CAGR* average pri
Slide 7: Corporate structure overview
2 Corporate structure overview Canyon capital structure (ASX : CAY) Share price1 A$0.12 Shares on issue1 613.9M Market capitalisation A$73.7M Canyon Resources Cameroon Cash (30-Sep-20) A$9.68M Pty Ltd Government Debt (30-Sep-20) A$ - Enterprise value A$64.02M 100% 90% 10%* 2021 * Mining Code provide
Slide 8: History and Future
History and Future Review of milestones met and upcoming 8
Slide 9: Canyon has progressed the project rapidly
3 Canyon has progressed the project rapidly Significant milestones have been met in a short time Maiden JORC Rail Resource Minim Martap Resource Scoping Study Maiden 20yr upgrades Port of Douala increased to project granted upgrade complete PFS Complete Ore Reserve announced MoU signed +1Bt Camrail
Slide 10: Catalytic milestones are in the pipeline
4 Catalytic milestones are in the pipeline The project will deliver significant milestones: catalysts for the company Complete Agree Mining Secure rail and Definition Update Upgrade Ore Convention Secure Mining Secure binding port access drilling Resource Complete BFS Reserve Complete ESIA Permit of
Slide 11: The Project
The Project Defined by a PFS, supported by reserves and underpinned by high grade resources 11
Slide 12: Resource is large, high grade and open
5 Resource is large, high grade and open High grade resource Favorable geology Significant resource upside Gibbsite dominant Al(OH)3 or Al2O3.3H2O ü Mature laterite 12 ü Gibbsite dominant Plateaux in Resource +1B 410 ü Minimal Boehmite or Diaspore ü Plateaux hosted 2 482 Plateaux newly drilled tonne
Slide 13: PFS has delivered the Maiden Ore Reserve
6 PFS has delivered the Maiden Ore Reserve Pre-Feasibility Study Production Avg-Yr Discount NPV (USD Valuation IRR Production rate Mt 4.9 rate 000) Project return - pre tax 10.00% 374,600 40% Capital Total Project return - post tax 10.00% 290,700 37% Total USD 000 119,600 Tax and Royalty Duration Ra
Slide 14: Product has been quantified
7 Product has been quantified PREMIUM BAUXITE Product Profile 60 Total Al2O3 Available Al2O3 @ 90% conversion 50 40 Percent 30 Total SiO2 (x10) Product Grade 20 Fe203 10 0 1 11 21 31 41 51 61 71 Quarter Offtake Technical Commercial • Bulk sampling • Offtakers testing samples • Mineralogy definition
Slide 15: Canyon DSO is better than most peers
8 Canyon DSO is better than most peers Infrastructure overcrowding has led to Guinea government enforcing a policy of 3rd party Quality comparison puts Canyon’s product infrastructure sharing at the top of the grade spectrum Total Alumina PREMIUM BAUXITE 42% 44% 46% 48% 50% 52% 54% 56% 0% Total Sili
Slide 16: Product is favorable to LT refining
9 Product is favorable to LT refining PREMIUM BAUXITE Camalco Premium Bauxite is ideally suited to the Low-Temperature Bayer process refineries the most prolific and lowest cost Transport Crushing Digestion Clarification Precipitation Calcination Aluminium Fuel Electricity Heat Caustic Heat . STEP 1
Slide 17: Quality drives product price
10 Quality drives product price PREMIUM BAUXITE Camalco Premium Bauxite: Less transport fuel, less heat, less caustic and less red mud Fuel Heat Caustic Red mud shipping uses Gibbsite bauxite 100 Process plant t temperature Sodium Hydroxide inputs cost drivers outputs Less Less per per trip relative
Slide 18: The Path To Mining
The Path To Mining Canyon Resources is preparing to mine 18
Slide 19: Canyon is preparing to mine
11 Canyon is preparing to mine The transition to mining permits is underway with the BFS and partners in support Exploration Mining Agreement Mining Permit Development 2021 Permit (Convention) Pre-requisites: and operations • Mining Convention Conditions: To be agreed with the Government of • Explor
Slide 20: BFS is defining a simple supply chain
12 BFS is defining a simple supply chain Mine and Site Existing Existing Existing Infrastructure Road Inland Rail Facility Rail Rolling stock Port Transhipping 1:0.4 strip ratio Upgrade road Stockpile Existing track 10 trains Reach-stacker 4 barges unloading 5 Mtpa DSO Extension to Box filling Minor
Slide 21: Canyon has integrated ESG from the start
13 Canyon has integrated ESG from the start Environmental, Social and Governance Economic: Integrating appropriate management and metrics so that ESG risks are • +20 permanent employed treated with the same relative importance as economic concerns. • AUD 12.8M spent on the UNDERWAY Expert partners p
Slide 22: Cameroon is ready for a mining industry
14 Cameroon is ready for a mining industry A country ready to develop the mining sector As a future JV partner and with resource industrialisation a national imperative the government continues to support Canyon. Relative abundance of natural resources. Besides oil and gas, minerals that are found i
Slide 23: Existing infrastructure supports the value chain
15 Existing infrastructure supports the value chain PREMIUM BAUXITE Existing, enabling Stage 1 - Minimum-viable DSO bauxite project for fast start-up and proof of concept infrastructure Stage 2 - Expansion upside through Kribi deepwater port Scoping PFS BFS Funding Execution Operations Ports: Rail a
Slide 24: The Team
The Team Meet Canyon Resources 24
Slide 25: Canyon's organisation is capable
16 Canyon’s organisation is capable Board David Netherway Chairman Senior Executive Technical Services & Business Administration Phillip Gallagher Emmanuel Correia Managing Director Non-Executive Director Nick Allan Steve Zaninovich Chief Financial Officer Non-Executive Director Dimitri Bacopanos Ja
Slide 26: Summary
Summary The investment case 26
Slide 27: Canyon's investment case is strong
17 Canyon’s investment case is strong High grade resource, large and open. The 1 billion tonne resource is at the top end of the quality spectrum and accounts for less than half the plateaux in the tenements. It is on surface and amenable to surface mining. Long term stable high-grade product perfec
Slide 28: Thank you
Thank you Phillip Gallagher info@canyonresouces.com.au Address Canyon Resources Limited Level 9, 863 Hay Street Perth WA 6000 Postal Address PO Box 7606 Cloisters Square, Perth WA, 6850 Registered Address Canyon Resources Limited Level 9, 863 Hay Street Perth WA 6000 Phone +61 8 6382 3342 Fax +61 8
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