Aberdeen International Inc. · TSX:AAB
Aberdeen International — Investor Presentation (February 2016)
25 slides from Aberdeen International's investor presentation, February 2016
Slide 1: Exclusive Private Mining Investments, Equity Expertise
February 2016 4 46 Li Pd 78 6.94 Pt 106.42 195.08 EXCLUSIVE PRIVATE MINING INVESTMENTS EQUITY EXPERTISE TSX:AAB OTCPS:AABVF
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains "forward looking information" within the meaning of applicable Canadian securities legislation. Forward looking information includes, without limitation, statements regarding progress in development of mineral properties, future production and sales vo
Slide 3: A Plan For Success
A Plan For Success Principal Investment Portfolio Management Growth and Advisory Aberdeen has streamlined its holdings Aberdeen is a leader in mining and now provides shareholders with investing and is using this expertise access to investments in two to provide portfolio advice and exclusive, premi
Slide 4: Building for the Future
Building for the Future In 2015, Aberdeen announced three important transactions: The closing of the $28 million acquisition of a South African based platinum group metals producer with Pala investments to create African Thunder Platinum The creation of Ore Acquisition Partners with Landmark Partner
Slide 5: Principal Investments
Principal Investments Aberdeen has two exclusive mining projects African Thunder Platinum and Diablillos Lithium. Investment in these exclusive projects has allowed Aberdeen to: Enter projects on the ground level or to inexpensively invest in assets with significant turnaround potential Take on
Slide 6: Mining for a Green Future
Mining for a Green Future Platinum Group Metals and Lithium are both important strategic metals with compelling environmental benefits Platinum Group Metals Lithium Platinum and Palladium are critical in Lithium Ion batteries have become the their use as autocatalyst in both diesel industry standard
Slide 7: Platinum Group Metals
Platinum Group Metals 2015 Worldwide Platinum Usage Platinum is a silvery white metal and is the most scarce mineral of the PGM group but it is the most Industrial 22% widely used. This is the reason Platinum is Autocatalysts 44% considered the most precious of metals. Platinum Jewellery is used as
Slide 8: Platinum/Palladium Demand
Platinum/Palladium Demand Demand Platinum Forecast Supply and Demand Slowed in short-term due to slow down 8,000 in global growth, but with the VW 6,000 000 oz 4,000 scandal we expect more focus on 2,000 emissions standards - (2,000) Supply Rebounding slightly from lost production Surplus/Defeci
Slide 9: African Thunder Platinum
African Thunder Platinum A Platinum Group Metals (PGM) Producer in South Africa African Thunder Platinum or ATP is a private company that Aberdeen founded with partner Pala Investments in late South Africa Location: (Bushveld Complex – 2014 – each hold 47%. ATP holds two Eastern Limb) strategic low-
Slide 10: African Thunder Platinum
African Thunder Platinum ATP 2015 Milestones: Underground mining ramp-up continues at Smokey Hills PGM Mine after first concentrate shipped in April 2015 60,000 tpm UG2 ore mill commissioned in March 2015 (excess capacity for growth) Plans in place to update the Feasibility Study on the Kalpat
Slide 11: PGM Cost Curve – Well Positioned
PGM Cost Curve – Well Positioned Smokey Hills (Estimated 60,000 oz/yr, $725/oz) Kalplats (Estimated 100,000 oz/yr, $600/oz) Spot PGM basket (Oct 13 2105) TSX:AAB 11
Slide 12: Lithium
Lithium Worldwide Lithium Usage Lithium is the lightest of all solid elements and the first element in the alkali metals Aluminium Other group. Production 2% 6% Metalurgical Powders Properties: Glass and Ceramics 10% 32% Silvery white, soft and reacts Chemical and Pharmaceutic als immediately with
Slide 13: Demand Driven By Technology
Demand Driven By Technology Between 2003 and 2007 the battery Li-ion Battery Demand industry doubled its consumption of 140,000 lithium carbonate due to the increase 120,000 50,000 tonnes in mobile phones, laptops and 100,000 estimated for the assorted electronic devices. for the EV car LiCo Tonnage
Slide 14: Diablillos Lithium Project
Diablillos Lithium Project A near-term lithium project in South America. A Lithium brine project situated in Salar de Diablillos, Location: Argentina, South mining friendly Salta Province America The Diablillos Project currently owns >90% of the Salar and controls 100% Commodity: Lithium, Potash
Slide 15: Diablillos Lithium Project
Diablillos Lithium Project Historic 2.8 Mt lithium carbonate equivalent from an in-situ inferred brine resource of 4.9 Mt lithium carbonate equivalent Favorable Historical Preliminary Economics: Production of 15,000 tonnes lithium carbonate per year and approximately 51,000 tonnes of potash pe
Slide 16: Lithium Cost Curve
Lithium Cost Curve Estimated Diablillos Cash Cost Source: Roskill Estimates 2014 Canada Lithium no longer in production. Galaxy operations no longer include mining and purchase concentrates TSX:AAB 16
Slide 17: Portfolio Management
Portfolio Management Aberdeen has been selected by Landmark Partners, a U.S. based investment manager, to advise on and manage the Ore Acquisition Partners LP. As part of this arrangement Aberdeen will be receiving: Received approximately $8.1 million in cash + proceeds of the sale of 325,000 shar
Slide 18: A Team with Experience
A Team with Experience Aberdeen has built its company with strong management who have a depth of experience in the resource sector and a proven track record at building companies from the seed level through to highly successful exits. Management Board of Directors David Stein, CFA, MSc. Stan Bharti,
Slide 19: A Proven Track Record in Creating Value
A Proven Track Record in Creating Value 2009 Return $11.20 mm $56.0 mm Premier Royalties 5.0x $6.25 mm $17.50 mm Avion Gold 2.8x $13.61 mm $25.0 mm Sulliden Gold 1.9x $6.97 mm $16.0 mm Crocodile Gold 2.3x $1.81 mm $8.50 mm Allana Potash 4.7x $2.81 mm $9.0 mm Belo Sun 3.2x 2014 Investment Return TSX:
Slide 20: What’s Next?
What’s Next? Private Equity Investments Unlock Value at African Thunder Platinum and Diablillos Lithium Use both companies as a platform for mid-tier low-cost production in their sectors Go-public event within 12-24 months Corporate Growth Deliver value to shareholders with lower net overhea
Slide 21: Corporate Structure
Corporate Structure TSX: AAB Major Shareholders Shares Issued & • Management & Insiders 24% 96.7 million Outstanding • Canadian High Net Worth Options 3.46 million Investors 16% Warrants ($0.30) 10.0 million • Lloyd Miller (Family Office) 10% • Sulliden Mining 5% Fully Diluted 110.16 million • Inves
Slide 22: TSX:AAB OTCPS:AABVF
David Stein Rob Hopkins President & CEO Manager, Investor Relations 416-861-5812 416-861-5899 dstein@aberdeeninternational.ca info@aberdeeninternational.ca Follow us: www.aberdeeninternational.ca TSX:AAB OTCPS:AABVF
Slide 23: Appendix 1: Historic Mineral Resource Details
Appendix 1: Historic Mineral Resource Details Table 1 - Brine Resource Estimate, Diablillos Lithium-Potash Project, Salta, Argentina as of March 29, 201l Aquifer Recoverable Specific S. G. Concentration Recoverable Recoverable Recoverable Recoverable Brine Yield Tonnage LCE PE BAE Volume (1000m3) (%
Slide 24: Appendix 2: Preliminary Economic Assessment
Appendix 2: Preliminary Economic Assessment Production Case: 15,000 tpa LC 25,000 tpa LC NPV at 8% discount rate $561 million $964 million IRR 34% 36% Total Initial Capital Costs $144 million $220 million Operating Costs per tonne LC* $1,519 $1,486 Operating Costs per tonne LC with potash and ($703)
Slide 25: Appendix 2: Preliminary Economic Assessment
Appendix 2: Preliminary Economic Assessment The Company notes that this does not include an analysis of after tax economics. Generally speaking, applicable taxes for mining in the Puna region of Salta, Argentina are subject to a federal income tax rate of 35% and export duties, or retentions, of 5%
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