Northern Minerals Limited · ASX:NTU
Northern Minerals — RIU Explorers Conference 2019
32 slides from Northern Minerals's conference presentation, Feb 20, 2019
Slide 1: RIU Explorers Conference
RIU Explorers Conference February 2019 Presented by George Bauk 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Northern Minerals Limited (“Northern Minerals” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to thos
Slide 3: Browns Range, East Kimberley, WA
Browns Range East Kimberley, WA A local partner NTU has partnered with the Wunan Foundation for delivery of a Training 2 Work program Strategic offtake access Export via Darwin or Wyndham ports to China Commitment to local Working with local Ringer Soak community for employment opportunities ASX:NTU
Slide 4: Government Programmes
Government Programmes ASX:NTU << AUSTRALIAN DYSPROSIUM >> 4
Slide 5: Value proposition
Value proposition Globally significant Initiatives Browns Range is the only non- Several projects underway, including Chinese producer of dysprosium ore sorting, to increase value EV growth & military use Exploration upside A key ingredient in permanent New discoveries at Dazzler & Iceman magnets us
Slide 6: Browns Range pilot plant project
Browns Range pilot plant project $70M Capital Development Dysprosium & Terbium In October 2018, less than 18 months after Board approval, Northern Minerals became the only non-Chinese producer of dysprosium with the Three-year pilot plant project Key heavy rare earth value producing 3,300 tonnes of
Slide 7: Dysprosium – critical to the EV evolution
Dysprosium – critical to the EV evolution With each electric vehicle using just over 100g of dysprosium, demand is expected to increase to over 3,500tpa by 2030. With over 98% of Dy production from China, there is strong interest in the US and globally for new, sustainable sources of supply. BAR WOU
Slide 8: The competition is unsustainable
The competition is unsustainable China dominates global supply including unsustainable supply, not green not clean. • 98% of world’s heavy rare earths produced by China; • Many operations are in situ leach operations, which are dirty and environmentally dangerous; • Leaching affects the groundwater
Slide 9: Filling the supply gap
Filling the supply gap Chinese illegal production is expected to continue falling as the Government cracks down. Even with efficiencies in electric motors, the supply/demand gap is expected to continue widening. Browns Range Full-scale potential Browns Range PP production => Decision point on whethe
Slide 10: First pilot plant production and shipment
First pilot plant production On 5 October 2018, just 18 months after the Board approved the pilot plant project, the Company produced first heavy rare earth carbonate through the pilot plant. This production will test the pilot plant operation and collect valuable data to feed back into the processi
Slide 11: Browns Range pilot plant flowsheet
Rare Earth Magnetic Dryer Kiln Carbonate Separation Water Leach Precipitation Browns Range pilot plant flowsheet Xenotime Concentrate Stockpile Rare Earth Carbonate Bagging Crushed Ore Stockpile Tails Crusher Ball Mill Flotation CCD Purification ASX:NTU << AUSTRALIAN DYSPROSIUM >> 11
Slide 12: Staged development plan
Staged development plan Test Pilot Plant Mine xenotime ore Produce mixed RE carbonate Export to offtake customers Refine Project 02 Validate & refine flowsheet Implement ore sorting Improve xenotime conc. grade Investigate plant efficiencies Develop Full Project 03 Economies of scale New customer ba
Slide 13: Ore sorting – a game changer
Ore sorting – a game changer Following successful trials, the Company is investigating the use of ore sorting technology to reduce the volume of non-mineralised material being processed, therefore allowing more product to be produced. 90 2.2x 40 Head grade improvement Mass reduction Trials indicate
Slide 14: Blue sky potential
Blue sky potential The Browns Range dome is a massive geological feature covering 1,500km 2 and stretching 60km x 30km most of which hasn’t been effectively explored New discoveries 20+ year life target High-grade discoveries made in Focus on growing mine life from 2018 at Dazzler and Iceman 11 year
Slide 15: Dazzler discovery
Dazzler discovery Width From To Estimated pXRF Hole ID TREO % (m)* (m) (m) grade BRDR0008 3 33 36 0.34 0.5% BRDR0008 3 41 44 0.20 BRDR0009 3 107 110 0.22 BRDR0009 4 112 116 0.33 BRDR0010 18 25 43 9.10 8% BRDR0010 17 53 70 0.30 BRDR0011 16 34 50 0.35 0.8% Incl 9 41 50 0.54 BRDR0011 8 62 70 0.26 BRDR0
Slide 16: Corporate overview
Corporate overview Ordinary Shares 1,320M Options, Performance Rights & Convertible 116M Notes Market Capitalisation $60.7M Cash (31 December 2018) $1.0M Debt (as at 31 January 2019): Brevet 2017/18 $10.8M * Brevet 2018/19 $3.2M Lind $3.7M Sinosteel $5.8M R&D tax receivable 2017/18 $10.8M * Plant bo
Slide 17: In conclusion
In conclusion First rare earth carbonate pilot plant production in October 2018, following practical completion including first shipment in December 2018 Three year pilot plant project to demonstrate and assess economic and technical feasibility of larger operation Ore sorting studies indicate poten
Slide 18: Thank you
Thank you Contacts George Bauk, Managing Director & CEO gbauk@northernminerals.com.au Mark Tory, Chief Financial Officer & Company Secretary mtory@northernminerals.com.au Northern Minerals Andrew Rowell, Investor Relations Director, Cannings Purple Level 1, 675 Murray Street West Perth, arowell@cann
Slide 19: Appendices
APPENDICES ASX:NTU << AUSTRALIAN DYSPROSIUM >> 19
Slide 20: Corporate leadership
Corporate leadership Our people embody the Northern Minerals SPIRIT, a culture of continually striving to deliver exceptional outcomes, leadership and improvements. George Bauk, MD/CEO Robin Wilson, Expl. Mgr MD Since 2010, George has lead the team EM Original Browns Range discoverer, from initial d
Slide 21: Operational leadership
Operational leadership Our team of operational specialists have years of experience in the production of rare earths. Having experts in their fields allows us to maximise value for shareholders. Robin Jones, COO Eben Van Rooyen – Eng. Mgr COO Driven Browns Range pilot plant to EM Charged with buildi
Slide 22: Strategically and politically critical
Strategically and politically critical “This executive order will prioritize reducing the nation’s vulnerability to disruptions in our supply of critical “Saudi Arabia minerals safely and has oil, but China responsibility for the has rare earths” benefit of the American Chinese Premier, Deng people,
Slide 23: Beyond Browns Range – Boulder Ridge
JOHN GALT Beyond Browns Range Rock chip samples from the Boulder Ridge project confirm high-grade Heavy Rare Earths (HRE) Best results exceed 12% TREO, including up to 1.15% Dysprosium, with a dominance of HRE – up to 99%. Reinforces significant growth potential in Browns Range and Tanami regions. B
Slide 24: Iceman discovery
Iceman discovery Width From Estimated Hole ID To (m) % TREO (m)* (m) pXRF grade BRIR0001 No significant results BRIR0002 11 13 24 4.83 4% BRIR0002 2 37 39 0.16 BRIR0003 8 27 35 0.37 0.6% BRIR0004 7 26 33 1.20 3% BRIR0005 No significant results BRIR0006 1 16 17 1.28 BRIR0007 7 42 49 1.73 1% BRIR0008
Slide 25: Australian Dysprosium
Australian Dysprosium Browns Range represents a new sustainable, clean source of heavy rare earths. The Pilot Plant Project incorporates a beneficiation plant and hydrometallurgical circuit, producing heavy rare earth carbonate . All nameplate offtake for the Pilot Plant Project has been committed t
Slide 26: Product separation
Product separation Strong support received from the Federal & WA Government for downstream processing within the state ASX:NTU << AUSTRALIAN DYSPROSIUM >> 26
Slide 27: Mineral Resources
1 – Rounding may cause some computational discrepancies (TREO (metal) tonnes estimated from Mt x TREO%) Mineral resources as per NTU announcement 28 September 2018. Mineral Resources 27
Slide 28: Ore Reserves
TREO TREO Dy2O3 Dy2O3 Tb4O7 Tb4O7 Y2O3 Y2O3 Deposit Class Mt kg/t kg kg/t kg kg/t kg Kg/t kg OPEN PIT Wolverine Probable 0.72 6.17 4,458,000 0.55 400,000 0.08 57,000 3.6 2,598,000 Area 5 Probable 0.47 2.24 1,048,000 0.14 65,000 0.02 10,000 0.99 463,000 UNDERGROUND Wolverine Probable 2.1 8 16,833,000
Slide 29: Pilot Plant
Annual REO contained in mixed RE production carbonate (000s kg) Lanthanum 5.8 Cerium 15.2 Product specification available for REC Praseodymium 2.8 Neodymium 10.6 REC samples validated by several downstream separators Samarium Europium 11.4 2.4 REC suitable for solvent extraction separation Gadoliniu
Slide 30: A nine year $200m journey
A nine year $200m journey ASX:NTU << AUSTRALIAN DYSPROSIUM >> 30
Slide 31: NTU Board
NTU Board Colin McCavana - Non-executive Chairman (appointed 2006) CM Mr McCavana has more than 35 years of management experience worldwide in the earthworks, construction and mining industries. George Bauk - Managing Director / CEO (appointed 2010) GB George is an experienced executive, with 30 yea
Slide 32: ASX:NTU Australian Dysprosium
ASX:NTU << AUSTRALIAN DYSPROSIUM >> 32