Aguia Resources Limited · ASX:AGR
Aguia Resources — Sydney Mining Club (May 2012)
20 slides from Aguia Resources's conference presentation, May 3, 2012
Slide 1: Emerging Brazilian Phosphate and Potash Developer
EMERGING BRAZILIAN PHOSPHATE AND POTASH DEVELOPER For personal use only SYDNEY MINING CLUB 3rd MAY 2012 AGUIA Resources Limited ASXRESOURCES AGUIA Code: AGR LIMITED 1
Slide 2: Disclaimer
DISCLAIMER For personal use only This document has been prepared as a summary only, and does not contain all information about the Company’s assets and liabilities, financial position and performance, profits and losses, prospects and the rights and liabilities attaching to the Company’s securities.
Slide 3: The Land of Global Sport
THE LAND OF GLOBAL SPORT For personal use only
Slide 4: The Land of Global Agriculture
THE LAND OF GLOBAL AGRICULTURE For personal use only EXPORTS PRODUCER • SOYA • SOYA • COFFEE • COFFEE • SUGAR • SUGAR • BEEF • BEEF • CHICKEN • CHICKEN • TOBACCO • TOBACCO • ETHANOL • ETHANOL • ORANGE JUICE • ORANGE JUICE BRAZIL BRAZIL #1 World #1,2 & 3 World • BEANS Exporter Producer • CORN Brazili
Slide 5: Why Fertiliser in Brazil?
WHY FERTILISER IN BRAZIL? For personal use only BRAZIL IS AN AGRICULTURAL POWERHOUSE AGRICULTURE NEEDS FERTILISERS FERTILISERS ARE MADE FROM MINED RESOURCES: PHOSPHATE ROCK = PHOSPHORUS POTASH MINERALS = POTASSIUM
Slide 6: Brazil – The Opportunity
BRAZIL – THE OPPORTUNITY For personal use only PHOSPHATE Third largest global agricultural exporter World’s fastest growing major fertiliser market Brazil is heavily reliant on fertiliser imports Imports 46% Domestic Production Government targeting self sufficiency within 10 54% years Good
Slide 7: The Opportunity – Cost Advantage for Domestic Producers
THE OPPORTUNITY – COST ADVANTAGE FOR DOMESTIC PRODUCERS For personal use only Suppliers of Phosphate Rock to Brazil Most imported rock to Brazil is from North Africa with typical logistics costs of between $30 - $40/t The Bayovar mine in Peru (Vale) has higher logistics costs, but low mining cos
Slide 8: The Opportunity – Customers, Markets
THE OPPORTUNITY – CUSTOMERS, MARKETS For personal use only
Slide 9: Phosphate Projects: Right Location, Right Market
PHOSPHATE PROJECTS RIGHT LOCATION, RIGHT MARKET For personal use only ■ Must have key parameters ✔ Location and Infrastructure ✔ Mineralogy = beneficiation ✔ Markets ■ Initial resource targets¹ of 20-60Mt ■ To sustain 10-20 year life, producing initial 500 ktpa of concentrated rock ■ Longer term + 2
Slide 10: Brazil – Phosphate Carbonatite Mines
BRAZIL – PHOSPHATE CARBONATITE MINES For personal use only Company Project Reserve Grade Concentrate Grade Prod. (Mt) P2O5 (%) P2O5 (%) Capacity (ktpa) (A) (B) (C) (D) Vale Tapira 1,309 7.69 35.5 2,030 Copebrás/ Anglo Ouvidor 257 7.63 38 1,300 Vale Araxá 89 11.12 35/33 910 Vale Catalao 224 8.96 36/3
Slide 11: Igneous vs. Sedimentary Host Rocks
IGNEOUS VS. SEDIMENTARY HOST ROCKS KEY CONSIDERATIONS For personal use only Igneous Rock Sedimentary Rock Grade of Rock 4-15% P₂O₅ 10-30% P₂O₅ Beneficiation Higher recovery % more than 85% Lower recovery % between 75 (and can be > 90%) to 85% Concentrate grade 35-41% P₂O₅ Average grade of 29% P₂O₅ B
Slide 12: Rio Grande do Sul Projects
RIO GRANDE DO SUL PROJECTS NEW PHOSPHATE PROVINCE For personal use only THE PROJECTS Two projects under evaluation: Três Estradas – new discovery, 2011 Joca Tavares – rock chips to 11% P2O5, TRES ESTRADAS NEW DISCOVERY 8 additional targets - 30,186 hectares The three southern States consum
Slide 13: Tres Estradas Drilling Program and Results
TRES ESTRADAS DRILLING PROGRAM AND RESULTS For personal use only Drilling spaced over 1 kilometre on 200 metre line spacing. Initial oxide results from surface include: 27.00 metres @ 17.75% P2O5 includes 12.30 metres @ 24.60% P2O5 34.00 metres @ 10.91% P2O5 includes 18.85 metres @ 15.58% P2
Slide 14: Tres Estradas – Drill Section
TRES ESTRADAS – DRILL SECTION For personal use only High Grade Oxide Zone Primary Zone
Slide 15: Tres Estradas – Upside
TRES ESTRADAS – UPSIDE LARGE RESOURCE POTENTIAL For personal use only Application lodged over southern extension for potential 2.4 kilometre strike length. DRILLING DISCOVERY 1 KM NEW APPLICATION UNTESTED EXTENSION TOTAL POTENTIAL 2.4 km
Slide 16: Excellent Infrastructure Access to Markets
EXCELLENT INFRASTRUCTURE ACCESS TO MARKETS For personal use only Well developed local infrastructure with good road, rail, power, port and services. Railway within the project that goes north and south to SSP plants in Brazil and southwest to Argentina and Uruguay. RIO GRANDE Franchise owner i
Slide 17: Atlantic Potash Project Highlights
ATLANTIC POTASH PROJECT HIGHLIGHTS For personal use only ATLANTIC POTASH PROJECT Project adjacent to Brazil’s only operating potash mine – Taquari-Vassouras underground sylvinite Large land holding, ~ 200,000 hectares Analyzed data from > 300 petroleum exploration and production wells, + 32,00
Slide 18: The Team & Capital Structure
THE TEAM & CAPITAL STRUCTURE For personal use only Directors Phosphate & Potash Experts Graham Ascough - Non-Executive Chairman – Over 21 years management and exploration experience evaluating Alfredo Nunes - Exploration Manager - Phosphate resource projects globally, including Falconbridge and on-g
Slide 19: Peer Comparison
PEER COMPARISON For personal use only Global Phosphate Market Cap Company Code Location Status Resource Grade P₂O₅ Diluted (A$M) (mt) (%) MBAC Fertiliser Corp MBC:TSX Brazil $314 Developer 192 7.22 Stonegate Agricom Ltd ST:TSX Peru $99 Developer 446 10.51 Arianne Resources DAN:TSX Canada $96 Develop
Slide 20: Enquiries
For personal use only ENQUIRIES: SIMON TAYLOR – Managing Director & CEO Telephone: +61 2 9210 1332 staylor@aguiaresources.com.au www.aguiaresources.com.au ASX Code: AGR