Aspire Mining Limited · ASX:AKM
Aspire Mining — Coal Mongolia (February 2013)
21 slides from Aspire Mining's conference presentation, Feb 22, 2013
Slide 1: Ovoot Coking Coal Project Update
For personal use only Ovoot Coking Coal Project Update Presentation to Coal Mongolia, Ulaanbaatar 22 February 2013 June 2010 1
Slide 2: Important Information
Important Information For personal use only •Nature of this document: This document has been prepared by Aspire Mining Limited (“Aspire”, “AKM”, or the “Company”) and contains summary information about the Company and its subsidiaries as at the date of release of this document. The information in th
Slide 3: The Ovoot Discovery Team
The Ovoot Discovery Team For personal use only 3
Slide 4: Rapid Movement from Discovery to Pre-Feasibility
Rapid Movement from Discovery to Pre- Feasibility For personal use only Aspire has drilled over 39 kms of drilling in 166 holes for exploration, geotechnical and water; Spent more than US$40 million on exploration and development studies Received a Mining Licence in August 2012; Completed Pr
Slide 5: Ovoot - Second Largest Coking Coal Reserve in Mongolia
Ovoot - Second Largest Coking Coal Reserve in Mongolia For personal use only Mongolian Coking Coal Reserves Large 400 350 300 250 219 Mt 200 Mt 139 Mt 150 122 Mt 111 Mt 100 50 0 Tavan Tolgoi: Aspire - Ovoot MMC - UHG SouthGobi - MMC - Baruun West Tankshi Ovoot Tolgoi Naran Source: Company website, C
Slide 6: Significant Mongolian Coal Projects
Significant Mongolian Coal Projects For personal use only 6
Slide 7: VITROCOAL: Low Ash, High Fluidity Coking Coal
VITROCOAL Low Ash, High Fluidity Coking Coal For personal use only Indicative Ovoot Washed Ovoot Coking Coal displays High Coking Coal Specification fluidity and plastic properties Moisture 9% An ideal blend coking coal indicated by industry leading Gray- Ash 9% King Index and Rank Volatiles 25-
Slide 8: Volatile Matter vs. Dilation
Volatile Matter vs. Dilation For personal use only Ovoot is the highest dilation in the mid-vol range Source: Independent Technical Review of the UHG Coal Project dated 28 September 2010, and Aspire data. 8
Slide 9: Ideal Rank for Blending
Ideal Rank for Blending For personal use only 9
Slide 10: A Major and Important New Coal Discovery in Northern Mongolia
A Major and Important New Coal Discovery in Northern Mongolia For personal use only Carbonisation testwork has shown • Ovoot coal was able to replace up to 35% of Prime Hard Coking Coal in a blend with recycled coke breeze - and improved coke quality • Ovoot coal when blended with 75% poorly caking
Slide 11: Ovoot Coking Coal Project
Ovoot Coking Coal Project For personal use only An Important New Coal Discovery in Northern Mongolia • 20 year Life • Producing in excess of 184 mt Ovoot Production Schedule Marketable Coking Coal • Producing up to 12 Mtpa 14,000 • Annual Revenue US$2 - $2.4 bn per 12,000 annum (at $160-$200/t) 10,0
Slide 12: Permanent Infrastructure to Benefit Mongolia for Long Term
Permanent Infrastructure to Benefit Mongolia for Long Term For personal use only Infrastructure: Road US$117 m Rail US$1,415 m Airstrip US$16 m Mine Costs US$1,548 million Costs of the Permanent 30% Infrastructure 70% for Mongolia Minesite: US$679 million Note: Costs inclusive of contingencies as de
Slide 13: Khuvsgul Economic Growth can be Accelerated with Investment in Infrastructure
Khuvsgul Economic Growth can be Accelerated with Investment in Infrastructure For personal use only 3500 GDP by Aimag 3000 Mongolia Khuvsgul Human Aimag GDP US$ per capita 2500 Development 0.769 0.683 Index (2011) 2000 Life expectancy 0.722 0.640 Index (2011) Education 1500 0.933 0.896 Index (2011)
Slide 14: Mongolia's Largest Populated Province Can be the Beneficiary of More Jobs
Mongolia’s Largest Populated Province Can be the Beneficiary of More Jobs & Promote Tourism, Agriculture and Resources For personal use only Mongolia Khuvsgul 13.0% 21.7% Agriculture 25.3% Agriculture 31.6% Government Spending Government Spending Other 4.5% 70.2% Other Resources 33.7% Source: Data s
Slide 15: Khuvsgul Aimag Development Plan
Khuvsgul Aimag Development Plan For personal use only • Rail to increase size and scale of Tourism and Agricultural industries • Rail to benefit Mogoin Gol Coal Mine, 51% owned by the Khuvsgul Province • Rail rather than Road will be environmentally more sustainable • Increase Mongolian Competitiven
Slide 16: Road v Rail Cost per Tonne Comparison
Road v Rail Cost per Tonne Comparison For personal use only Rail vs Road Cost per Tonne $55 14 $50 12 $45 $40 10 $35 8 $30 US$/t Mtpa $25 6 $20 $15 4 $10 2 $5 $0 0 Road to Erdenet Road to Moron & Phase 1 Rail Phase 1 & 2 Rail 16
Slide 17: Potential Financiers – Sources of Debt & Equity
Potential Financiers – Sources of Debt & Equity For personal use only Development Commercial Bilateral Banks Banks Agencies Multilaterals ECAs DEBT NORTHERN RAILWAYS LLC EQUITY Multilaterals Coal Customers Infrastructure Strategic Developers Partners 17
Slide 18: Potential Routes to Coal Markets – Rail Access
Potential Routes to Coal Markets – Rail Access For personal use only Asian Importers of Metallurgical Coal: Japan 71.5Mt1 Korea 25.8Mt1 Taiwan 5.5Mt1 102.6Mt Russian total Metallurgical Coal Exports to Asian markets (incl. China): 7.6Mt1 1. Source: TEX Report, 2012 data. 18
Slide 19: Ovoot Coking Coal Project: An Important New Coking Coal Project
Ovoot Coking Coal Project: An Important New Coking Coal Project in Northern Mongolia For personal use only Erdenet – Ovoot Railway Supports the Improves Access and Tourism Development of a Costs for Herders and World Class Coking Farmers to end Coal Mine Customers Increased Economic Development in K
Slide 20: Competent Person Statement
Competent Person Statement For personal use only Competent Persons Statement In accordance with the Australian Securities Exchange requirements, the technical information contained in this announcement in relation to the JORC Compliant Coal Reserves and JORC Compliant Coal Resource for the Ovoot Cok
Slide 21: Contact details
Contact details For personal use only Aspire Mining Limited ABN: 46 122 417 243 ASX Code: AKM Web: www.aspiremininglimited.com AUSTRALIA Level 2, Suite 20, 22 Railway Road Subiaco, Western Australia, 6008 MONGOLIA Sukhbaatar District, 1st Khoroo, Chinggis Ave-8 Social Insurance Department Building A