Stanmore Resources Ltd · ASX:SMR
Stanmore Resources — Stanmore Coal — Shareholder Meeting (November 2010)
22 slides from Stanmore Resources's shareholder meeting presentation, Nov 22, 2010
Slide 1: Annual General Meeting Presentation
For personal use only A Annual lGGenerall M Meeting ti Presentation P t ti 22 November 2010 October 2010
Slide 2: Important notice
Important notice For personal use only This document has been prepared by Stanmore Coal Limited (“Stanmore Coal”) for the purpose of providing a company and technical overview to interested analysts/investors. None of Stanmore Coal, nor any of its related bodies corporate, their respective directors
Slide 3: 2010 Annual General Meeting - Chairman
2010 Annual General Meeting For personal use only Neville Sneddon Chairman 3
Slide 4: Introduction
Introduction For personal use only • Board B d – Neville Sneddon – Chairman – Nick Jorss – Managing Director – Andrew d Martin – Director – Stephen Bizzell – Director – Viv Forbes – Director • Management – Duncan Cornish – CFO/Company Secretary – V h Wi Vaughan Wishart h – Operations O i Manager – T
Slide 5: 2010 Highlights
2010 Highlights For personal use only • Successful S f l IPO IPO, raising i i $6m $6 – Best performing IPO in 2009 CY by share price gain – Ahead of Prospectus estimates for initial projects – Focused on becoming a significant coal producer with first coal production targeted by 2015 • Recent $25.7m
Slide 6: Exposed to high growth markets
Exposed to high growth markets For personal use only • Strong outlook for our key markets – Metallurgical coal will see strong demand within Asia increasing its share of seaborne trade from 63% in 2008 to 72% in 2025. Global demand is expect to increase by > 8% from 2008 – 2012.1 – Thermall coall ou
Slide 7: 2010 Annual General Meeting - Managing Director
2010 Annual General Meeting For personal use only Nick Jorss Managing Director 7
Slide 8: Stanmore Coal Highlights
Stanmore Coal Highlights For personal use only • Pure play coal company focused on world class coal regions – Portfolio of coking, thermal and PCI coal targets within seven project areas (all 100% owned) totaling 1,080km2 in the Bowen and Surat Basins in Queensland, Australia – 318Mt of JORC Inferre
Slide 9: Strong performance – One year return
Strong performance – One year return For personal use only 700% Capital raising 600% Initial Inferred Resource1 at MR Inferred 500% The Range Resource2 Emerald One year return desktop MLA 400% study for TR Concept study 300% for The Range Upgrade at 200% The Range Drilling Upgrade at recommences The
Slide 10: Significant resource upgrades
Significant resource upgrades For personal use only • More than 400% increase over original IPO target at The Range Inferred Resources (mt) 250 – 3 phases of drilling completed costing approximately $1.1m 200 150 • 99mt at Mackenzie River Thermal Coking 100 with a further exploration t target t off
Slide 11: Prime locations
Prime locations For personal use only • Prime Coal Areas – Six projects in the Bowen Basin – One project in the Surat Basin which hosts export quality thermal coal with applications under consideration for a Mining Lease and Environmental Authority – A number of other Bowen Basin EPCs under applicat
Slide 12: Mackenzie River Project - Bowen Basin (100% owned)
Mackenzie River Project ‐ Bowen Basin (100% owned) For personal use only • Open Pit Coking Coal – 99Mt JORC Inferred Resource – Exploration target1 of an additional 70 to 80Mt – Located on existing railway line to coal ports at Gladstone – 25km of strike (Burngrove Formation) – Adjacent to Aquila Re
Slide 13: Mackenzie River - Coking Coal
Mackenzie River ‐ Coking Coal For personal use only • Aquarius q Seam – Average coal thickness 2.2m (max Aquarius Washability (Fl 1.50 adb) 3.4m) Coking Properties – Coal depth: 19m – 100m (cut off) CSN ((ave)) 60 6.0 – Dips at 2°to west CSN (max) 8.0 – Good coking properties Energy – Exploring a tw
Slide 14: The Range Project – Surat Basin (100% owned)
The Range Project – Surat Basin (100% owned) For personal use only • Export Quality Thermal Coal – Application submitted for Mining Lease and Environmental Approvals – 219Mt JORC Inferred Resource – Open pit mine planned producing 5Mtpa of high energy thermal from Q1 2015 – Conceptual Mining Study c
Slide 15: The Range Project – Export Thermal Coal
The Range Project – Export Thermal Coal For personal use only • Key Coal Parameters Product 10% ash 12% ash – Average total coal thickness Quality option option 6.1m ((max 9.0m)) (adb) – Coal depth: 9m – 100m; and Energy continues at depth kcal/kg 6,470 6,280 – Dips at 1° 1 to west Btu/lb 11,650 11,
Slide 16: Key Project Summary (all 100% owned)
Key Project Summary (all 100% owned) For personal use only P j t Project B i Basin Mi i M Mining Method th d T Target tCCoall Si Size Railil Li R Linkk to Coal Port Mackenzie Bowen Open p Pit Cokingg 99Mt JORC Inferred 9 River Resource2 plus 70 –80Mt Initial Exploration Target1. The Range Surat Open
Slide 17: Bowen Basin projects
Bowen Basin projects For personal use only 17
Slide 18: Funding options
Funding options For personal use only Project j Funding di Required i d Funding di Options O i The Range $300 ‐ $500m with major • Sale of minority funding required from interest 2013 • Farm out • Cash on hand • Contract mining • Project finance • Equity raising • Pre‐payment of customer contracts M
Slide 19: Key milestones – next months
Key milestones – next 12 months For personal use only Q1 2011 Q2 2011 Q3 2011 Q4 2011 2015 • Resource • Conceptual • Scout drilling • Pre-feasibility • First coal upgrade mining study Belview study at The production M k Mackenzie i M k Mackenziei • Scout drilling R Range f from both b th Th The Rive
Slide 20: ASX Listed Comparables – Coal Sector
ASX Listed Comparables – Coal Sector For personal use only Market Capitalisation (A$m) 4,500 4,000 Producers Explorer / Developers The path for value 3 500 3,500 creation as Stanmore Coal moves through 3,000 project development 2,500 t towards d production d ti iis 2,000 well established 1,500 1,000
Slide 21: Summary
Summary For personal use only • Pure play coal company focused on world class coal regions • Current JORC Inferred Resource of 318Mt of coking and export thermal coal with an additional 290 – 370Mt of exploration target1 upside defined to date • Strongg Board and management g team experienced p in c
Slide 22: Annual General Meeting Presentation
For personal use only A Annual lGGenerall M Meeting ti Presentation P t ti 22 November 2010 October 2010