Austral Resources Australia Limited · ASX:AR1
Austral Resources Australia — Investor Presentation (October 2024)
33 slides from Austral Resources Australia's investor presentation, Oct 10, 2024
Slide 1: Austral Resources Australia Ltd Investor Presentation
AUSTRAL RESOURCES For personal use only AUSTRALIA LTD Infrastructure, mine development into production, with huge growth and exploration upside AUSTRAL RESOURCES AUSTRALIA LTD (ASX:AR1) 10 October 2024 1
Slide 2: Disclaimer & Competent Persons Statement
DISCLAIMER & COMPETENT PERSONS STATEMENT Important Notice and Disclaimer Financial Information and Modelling For personal use only You must read this notice before reading or making any use of this Presentation (defined below) or any information contained in this Presentation. By continuing to read,
Slide 3: Turnaround Progress
For personal use only TURNAROUND PROGRESS 3
Slide 4: Timeline of Events & Issues
TIMELINE OF EVENTS & ISSUES In March 2023, Austral Resources Australia Limited (Austral or AR1) was required to suspend its mining and haulage operations due to access issues resulting from unprecedented rainfall in the region.1 For personal use only On 1 September 2023, Austral went into a trading
Slide 5: Strategy to reposition as a leading Australian mid-tier copper producer
Austral, supported by key stakeholders, has set a strategy to fix its recent issues and reposition the Company as a leading Australian mid- For personal use only tier copper production company Austral has identified the following pillars to achieve this strategy: Assets and Existing Infrastructure A
Slide 6: Turnaround Status
TURNAROUND STATUS ▪ As part of the restructure of Austral, the senior secured debt (purchased by Glencore & Secover) has been transferred to the APA Anthill Project For personal use only ▪ Austral will receive a management fee from the APA and manage mining, haulage, processing & product delivery on
Slide 7: Asset Overview
For personal use only ASSET OVERVIEW 7
Slide 8: Overview of Austral's Asset Base
OVERVIEW OF AUSTRAL’S ASSET BASE Location ▪ Queensland Gulf Country near Mt Isa, Queensland For personal use only Tenure & ▪ Significant tenement holding with over 2,100km2 Resource ▪ Highly strategic tenure surrounded by majors and mid-cap companies ▪ Strategic location for industry and geographic
Slide 9: Significant Infrastructure in Place
SIGNIFICANT INFRASTRUCTURE IN PLACE ▪ Austral has all relevant site infrastructure in place to continue copper production For personal use only ▪ Austral’s Mt Kelly is an operating SX-EW plant, with excess capacity (30kt pa capacity). This is significant for Austral as it embarks on a programme to s
Slide 10: Multiple Projects, Deep Pipeline
MULTIPLE PROJECTS, DEEP PIPELINE Progression of growth options in parallel with operations at Anthill, to deliver meaningful new development and unlocking resource growth Accelerating from exploration to increase production use only EXPLORATION & EVALUATION DEVELOPMENT & FEASIBILITY RESOURCE TO RESE
Slide 11: Operations
For personal use only OPERATIONS 11
Slide 12: Scoping Study
SCOPING STUDY1 Financial Assumptions Units Heap Leach Flotation Recoveries & Cut-Off Units Heap Leach Flotation Assumed Copper Price A$t 14,250 14,250 Recoveries – Oxide % 82.0% - For personal use only Payability % 100.0% 96.5% Recoveries – Transition % 50.0% 54.0% Operating Costs Recoveries – Fresh
Slide 13: Operating Pathway
OPERATING PATHWAY For personal use only Sulphide ore is loaded Resource Growth Crushing & onto a separate ROM Mining pad in preparation for & Exploration Screening haulage o Significant exploration programme to infill and o Ore is mined and transported to the ROM Separation of Oxide extend high prio
Slide 14: Production Horizons
PRODUCTION HORIZONS We are tackling all production horizons in parallel, to maximise production levels and For personal use only shareholder returns 3 Sulphide Production ▪ Austral’s sulphide deposit offer currently untapped upside to production. 2 Extension Project Production ▪ Austral is in negoti
Slide 15: Exploration Strategy
For personal use only EXPLORATION STRATEGY 15
Slide 16: Large and Prospective Landholding
LARGE AND PROSPECTIVE FOCUSSING ON EXPLORATION: LANDHOLDING Securing Cu oxide ore for the Mt Kelly Plant and developing a Cu sulphide pipeline For personal use only 2100km2 of Exploration Tenure in the World-Class Copper Province (Mt Isa Inlier) ▪ 2,100km2 of highly prospective exploration tenure in
Slide 17: Three Target Styles - Oxide a Focus
THREE TARGET STYLES - OXIDE A FOCUS Priority is resource development to confirm ore feed for the Mt Kelly SX-EW plant (Cu oxide) and developing a Cu sulphide pipeline to give potential for meaningful growth For personal use only ▪ Targeted surface geochemistry 1 ▪ Multiple undrilled Cu anomalies Cop
Slide 18: Oxide Exploration
OXIDE EXPLORATION Only 5km from Austral’s SX-EW Plant! Undrilled Cu Oxide (EPMA’s) and Undeveloped Cu Oxide Resources (on ML’s) For personal use only Significant Geochemical Anomalism backed up by Cu Oxide Occurrences Close to Processing Plant ▪ 5.9 km of high-tenor (+250ppm Cu) anomalism along the
Slide 19: The True Scale of Our Copper Targets
THE TRUE SCALE OF OUR COPPER TARGETS1 Austral holds very large tenure, which contains some very significant copper projects, targets and prospects For personal use only Surface Anomalism This is what the footprint of 17 Mt +250 ppm Cu of Cu Resource Looks Like Swagman +150 ppm Cu 0.33 Mt @ 0.6% Cu2
Slide 20: Sulphide Exploration
SULPHIDE EXPLORATION Austral Exploration Aims to Increase Grade Without Sacrificing Tonnes Prior To DFS For personal use only Key sulphide exploration success: ▪ Lady Colleen (mineral resource 3.14Mt @ 1.73% Cu) (1) ▪ Flying Horse (mineral resource 14.2Mt @ 0.78% Cu) (1) The primary focus for sulphi
Slide 21: Exploring for Giant Copper Sulphide Deposits
EXPLORING FOR GIANT COPPER SULPHIDE DEPOSITS Large-Scale Cu Anomalies at Surface, Proximity to Significant Cu Mine For personal use only The Redie Creek Trend ▪ 11.3 km of strong Cu anomalism with Cu oxide – Limited historical shallow drilling, targeting two of the anomalies – 7x anomalies in total
Slide 22: Corporate
For personal use only CORPORATE 22
Slide 23: Board & Management
BOARD & MANAGEMENT Austral’s Board and Management Team is undergoing a significant overhaul, with a search underway for several new, experienced people BOARD OF DIRECTORS MANAGEMENT For personal use only David is the Chief Executive Officer of The Springwood Group, the family office of Shane has ove
Slide 24: Balance Sheet Position
BALANCE SHEET POSITION ▪ Austral was heavily geared and Balance Sheet 30 June ’24 Adjustments Proforma We have assumed a Assets For personal use only didn’t have the financial flexibility to Current Assets A$40m recapitalisation deal with unforeseen events. Cash and cash equivalents A$M 0.9 29.0 29.
Slide 25: Appendices
For personal use only APPENDICES 25
Slide 26: Appendix A: Mineral Resources
Appendix A: MINERAL RESOURCES1 Austral Resources Mineral Resources by deposit at 30th June 2024 – Copper Mineral Resource, Queensland For personal use only Material Measured Resources Indicated Resources Inferred Resources Total Resources Deposit 1 1 1 1 1 1 Type Mt Cu% Ca% Mg% Mt Cu% Ca% Mg% Mt Cu%
Slide 27: Appendix A: Mineral Resources (Continued)
Appendix A: MINERAL RESOURCES (Continued)1 Material Measured Resources Indicated Resources Inferred Resources Total Resources For personal use only Deposit 1 1 1 1 1 1 Type Mt Cu% Ca% Mg% Mt Cu% Ca% Mg% Mt Cu% Ca% Mg% Mt Cu% Ca%1 Mg%1 Oxide - - - - 0.18 0.36 - - 0.14 0.36 - - 0.32 0.36 - - McLeod Tr
Slide 28: Appendix B: JORC Code Table 1
Appendix B: JORC Code, 2012 Edition – Table 1 Section 1: Sampling Techniques and Data Criteria JORC Code explanation Commentary Sampling •Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry standard •Surface geochemical contours for Cu shown in this presen
Slide 29: Appendix B: JORC Code Table 1
Appendix B: JORC Code, 2012 Edition – Table 1 Section 1: Sampling Techniques and Data Criteria JORC Code explanation Commentary Quality of •The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique •All historical surface soil geochemistry repor
Slide 30: Appendix B: JORC Code Table 1
Appendix B: JORC Code, 2012 Edition – Table 1 Section 1: Sampling Techniques and Data Criteria JORC Code explanation Commentary Location of data •Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine •Sample locations are recorded using Garmin GPSM
Slide 31: Appendix B: JORC Code Table 1
Appendix B: JORC Code, 2012 Edition – Table 1 Section 1: Sampling Techniques and Data Criteria JORC Code explanation Commentary For personal use only Exploration done •Acknowledgment and appraisal of exploration by other parties. •Historical soil geochemistry which was incorporated into this work wa
Slide 32: Appendix B: JORC Code Table 1
Appendix B: JORC Code, 2012 Edition – Table 1 Section 1: Sampling Techniques and Data For personal use only Criteria JORC Code explanation Commentary Relationship •These relationships are particularly important in the reporting of Exploration Results. •All new geochemical anomalies and targets have
Slide 33: Contact Details
CONTACT DETAILS For personal use only Austral Resources Australia Ltd (ASX:AR1) admin@australres.com +61 7 3520 2500 Level 9, 60 Edward Street Brisbane City Qld 4000 www.australres.com Approved by the board of the Company 33
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