Talga Group Ltd. · ASX:TLG
Talga — Talga Resources — 96th Minesite Investor Forum, London (December 2013)
31 slides from Talga's conference presentation, Dec 6, 2013
Slide 1: Minesite Investor Forum Presentation
6 DECEMBER 2013! ASX: TLG MINESITE INVESTOR FORUM TALGA PRESENTATION RESOURCES For personal use only Talga Resources Limited (ASX:TLG) (“Talga” or “the Company”) is pleased to provide a copy of the presentation delivered today (UK time) by Managing Talga Resources Ltd Director Mr Mark Thompson at th
Slide 2: Graphite Deposits Sweden key facts
200 kta GRAPHITE DEPOSITS TALGA European natural graphite consumption For personal use only 2.1Mt Total JORC contained graphite RESOURCES 2-3km Distance to sealed road TALGA RESOURCES LTD 20-25km Distance to rail 1-2 days Delivery time to market 100% Minesite Owned by Talga Presentation ____________
Slide 3: Forward Looking Statements and Disclaimer
* Cover picture; graphite in outcrop, Nunasvaara deposit. Forward Looking Statements and Disclaimer: For personal use only This presentation has been prepared by Talga Resources Limited (ACN 138 405 419) (“Issuer”) for the sole purpose of providing an overview of its current prospects and proposed e
Slide 4: Executive Summary
Executive Summary ‣ Talga Resources Ltd (“Talga”) is a mineral exploration & development company For personal use only listed on the Australian Stock Exchange (“ASX”) since July 2010. ‣ The Company wholly owns multiple graphite, iron ore and copper/gold projects in Sweden gained through the acquisit
Slide 5: Talga Resources Corporate Overview
Talga Resources Corporate Overview For personal use only Board of Directors Capitalisation Summary ASX:TLG Keith Coughlan* Non-executive Chairman Perth Ordinary Shares 85.1M Mark Thompson Managing Director Perth Unlisted Options1 3.75M Piers Lewis Non-executive Director Perth Cash (at 30 Sept 2013)2
Slide 6: Talga's Swedish Graphite Projects
Talga’s Swedish Graphite Projects For personal use only ‣ 100% ownership of five graphite projects with multiple deposits offering a full range of market size specifications. ‣ Two advanced stage projects in the development pipeline. These are drilled to JORC Indicated status and preliminary economi
Slide 7: Why Graphite?
Why Graphite? 80% For personal use only ‣ 80% of world’s natural graphite supply (including 95% of some types) is dependent on China. Of the world’s natural graphite supply is mined ‣ Lower exports in recent years under higher in China . export tariffs, taxes and labour costs. ‣ Increasing state con
Slide 8: What is Graphite?
What is Graphite? ‣ Graphite is a shiny grey mineral that can occur in nature For personal use only when carbon in rocks becomes crystalline. ‣ Graphite consists of parallel sheets of carbon atoms in a hexagonal array and requires considerable pressure and temperature to form. A single sheet is call
Slide 9: Natural graphite market
Natural graphite market Volume Comparison of Natural Graphite Market Tonnes Annum 1,300,000 Ni Cg For personal use only 1,100,000 ‣ Natural graphite market (1.0Mt/yr) worth US$1B/yr 900,000 GRAPHITE with main consumption in steel and refractories, 700,000 batteries, automotive parts and lubricants.
Slide 10: New Demand Driver
New Demand Driver 10x For personal use only More graphite than lithium in a Li-ion Battery. Internals of Li-ion Battery ‣ Graphite is a significant component of many types of battery, particularly Li-ion. ‣ Commonly there is 10x more graphite than lithium Nunasvaara graphite in drillcore in a Li-ion
Slide 11: Graphite Price Trending Above Historic Levels
Graphite Price Trending Above Historic Levels; future trend up. 3 First For personal use only Column SEPT 2013 X X 13 12 13 X After record prices in 2011-12 prices for all graphite types declined but stabilised far above long term historical levels. Price forecast by Industrial Minerals shows expect
Slide 12: Europe Natural Graphite Imports
Europe Natural Graphite Imports EU zone imports 95% (,000t/annum) Industrial Minerals 2012 Report Data Subset 1+2 For personal use only Of its natural graphite. ‣ EU consumes 20% of world’s natural graphite production, and imports 95% of its needs (vast majority from China). ‣ EU has classified grap
Slide 13: Advantages of Northern Sweden for Mining
Advantages of Northern Sweden for Mining For personal use only ‣ Corporate tax rate 22%, Mineral Production tax 0.2%. ‣ Established bulk commodity infrastructure with open access rail, road and ports. ‣ Low cost power from hydroelectricity and nuclear grid. ‣ Well established quality mining province
Slide 14: Established bulk commodity mining and transport infrastructure
Established bulk commodity mining and transport infrastructure For personal use only 440Kv grid power. Mineral reclaimer at port of Luleå. Electrified rail transport of iron ores from Kiruna district to port of Narvik. Photo Mark Thompson/Talga 13
Slide 15: Direct Road and Rail Advantages
Direct Road and Rail Advantages Road through Talga project ‣ Talga’s projects located proximal to high quality sealed roads For personal use only and open access heavy haulage railway. ‣ Option to road/rail direct to major customers as Sweden links to mainland Europe markets. ‣ Potential $100-200/to
Slide 16: Vittangi Project - Nunasvaara Graphite Deposit
Vittangi Project - Nunasvaara Graphite Deposit ‣ World’s highest grade JORC/NI43-101 resource. Total JORC resource 7.6Mt @ 24.4% Cg (see table for For personal use only details), suits open pit development. Svappavaara Iron Mine Kiruna Iron Mine ‣ Graphite unit commences at surface and extends over
Slide 17: Raitajärvi Graphite Project
Oblique aerial view looking southeast Raitajärvi Graphite Project Övertorneå Town To Ports Railhead ‣ Advantageously located 2km from the Överkalix - For personal use only Övertorneå Highway and grid power, 25km to town and railway, 130km to port. ‣ Current total JORC resource of 4.3Mt @ 7.1% Cg. RA
Slide 18: Piteå Jumbo Flake Project
Piteå Jumbo Flake Project ‣ Located on sealed road 50km from port of Piteå and For personal use only ay ilw Luleå Town adjacent to grid power. Ra and Port Rai ‣ 3 historic drillholes targeting base metals intercepted lwa y coarse flake graphite within a 4 x 1km EM anomaly. Piteå Town and Port ay ‣ 8
Slide 19: Indicative Path to Next Graphite Milestones
Indicative Path to Next Graphite Milestones For personal use only 2012 2013 2014 Activity Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Nunasvaara Geophysics ✓ TCL Sweden Ltd Acquisition ✓ Nunasvaara Drill Phase 1 ✓ Nunasvaara Results & Resource ✓ Nunasvaara Scoping Study ✓ Drilling Raitajärvi Phase 1 ✓ ✓ Raitajärvi R
Slide 20: Talga's Graphite Development Advantages
Talga’s Graphite Development Advantages ‣ Highest grade open pit graphite resource in world. For personal use only ‣ Located on road and rail routes to major markets. ‣ Advanced stage/PEAS underway; further major drilling not required. ‣ Low cost capex and bottom of cost curve expected. ‣ Massive gr
Slide 21: Talga's Swedish Iron Projects
Talga’s Swedish Iron Projects Talga’s skarn iron deposits are well located adjacent to high quality transport & power supplies, and are For personal use only situated between producing magnetite iron mines. Currently the most advanced project is Masugnsbyn with a JORC resource 112Mt @ 28.6% iron as
Slide 22: Magnetite mining district with established infrastructure
Magnetite mining district with established milling and transport infrastructure To Narvik For personal use only 123.6Mt @ 32.6% Fe* Magnetite Concentrator se d Railway Kiruna magnetite mine and mill owned by LKAB. Propo Photo©Fredric Alm/LKAB Extension 112.0Mt @ 28.6% Fe** Magnetite Concentrator Sva
Slide 23: Masugnsbyn Project - Work to Date
Masugnsbyn Project - Work to Date >35% Fe 68 historic diamond core holes by SGU in 1965-1970 For personal use only 30-35% Fe focussed on the largest single deposit, Junosuando, 25-30% Fe over approximately 3km strike. 20-25% Fe Talga completed a further nine diamond core holes <20% Fe in Oct 2012 to
Slide 24: Iron Projects - Vittangi, Vathanvaara deposit
Iron Projects - Vittangi, Vathanvaara deposit 47m @ 34.4% Fe 121m @ 34.1% Fe 41m @ 27.5% Fe 235m @ 35.9% Fe 124m @ 43.4% Fe For personal use only 151m @ 32.1% Fe 99m @ 43.2% Fe 50m @ 34.1% Fe 100m @ 37.8% Fe 10m @ 50.5% Fe 65m @ 38.1% Fe Historic drill intercepts on ground magnetic image. See Append
Slide 25: Summary of Iron Development Potential
Summary of Iron Development Potential For personal use only Relatively simple and proven processing of the magnetite ore is expected to deliver a high quality concentrate at coarse grain sizes. Proximal to road and open access rail infrastructure. Rail lines connect to open access ports which curren
Slide 26: Australian Gold Projects
Australian Gold Projects The company wholly owns multiple gold projects in Australia which consist of early to advanced exploration-stage projects with very high grades of gold in surface sampling For personal use only and drilling. Highlights to date include drilling intercepts of 7m @ 14.4g/t Au a
Slide 27: Contact us
Contact us: For personal use only Mark Thompson Managing Director 1st Floor, 2 Richardson St West Perth WA 6005 Tel +61 89481 6667 admin@talgaresources.com www.talgaresources.com ASX: TLG
Slide 28: Appendices: JORC Resources
Appendices TALGA RESOURCES LTD Talga Asset Structure and 100% For personal use only JORC (2004) Resources Talga Mining Pty Ltd 100% GRAPHITE 100% Swedish Branches 100% IRON Nunasvaara Graphite Mineral Resource @ 10% Cg lower cut-off Nov 2012 Iron Mineral Resources @ 20% Fe lower cut-off July 2013 Tonn
Slide 29: Vittangi Iron Project - Historic Drilling Highlights
Vittangi Iron Project - Historic Drilling Highlights East North Hole From Deposit Hole ID (RT90) (RT90) Depth (m) Azi Dip (m) Interval (m) % Fe For personal use only Jänkkä Jank 71001 1733109 7521322 161 112 -60 46 52 26.6 Kuusi Nunasvaara 72502 1736757 7527975 225 292 -60 104 56 26.3 Mänty Vathanva
Slide 30: Common natural graphite concentrate product sizes, grades and prices
Common natural graphite concentrate For personal use only Graphite market size classification. product sizes, grades and prices Size Size Purity Quote Trade Name microns US Mesh Size (microns) US Mesh % C US $/tonne Amorphous/Ultrafine <10 na 300+ 50+ 94-97 >1800 Amorphous/Fine 10-75 -200 94-97 1350
Slide 31: References & Qualified Persons
References & Qualified Persons For personal use only Competent Person’s Statement The information in this report that relates to Exploration Results is based on information compiled and reviewed by Mr Darren Griggs and Mr Mark Thompson, who are members of the Australian Institute of Geoscientists. M
Talga Resources — 96th Minesite Investor Forum, London (December 2013) on 6ix