Ardea Resources Ltd. · ASX:ARL
Ardea Resources — Diggers and Dealers Mining Forum 2023
24 slides from Ardea Resources's conference presentation, Aug 9, 2023
Slide 1: Kalgoorlie Nickel Project Goongarrie Hub
Kalgoorlie Nickel Project Goongarrie Hub Diggers and Dealers Mining Forum Presentation 9 August 2023
Slide 2: Disclaimer
Disclaimer Important notice This presentation contains general information only and is, or is based upon, information which has been released to ASX or is contained in the Ardea Resources Limited (Ardea or the Company) prospectus dated 9 November 2016 (including supplementary prospectuses dated 18 N
Slide 3: Ardea Corporate Overview
Ardea Corporate Overview Board Executive Management Team Mathew Longworth Non-Executive Chair Sam Middlemas Company Secretary Andrew Penkethman Managing Director & CEO Rebecca Moylan Chief Financial Officer Ian Buchhorn Executive Director Matt Read Project Director Maree Arnason Non-Executive Direct
Slide 4: Nickel and Cobalt Market – Strong Demand Fundamentals
Nickel and Cobalt Market – Strong Demand Fundamentals • Current producers of nickel will not meet demand forecasts with all known resources needing to be developed to help meet demand • Global cobalt demand is set to double by 2030, driven by battery applications and exacerbated by avoidance of PRC
Slide 5: Kalgoorlie Nickel Project – Globally Significant Nickel & Cobalt Resource
Kalgoorlie Nickel Project – Globally Significant Nickel & Cobalt Resource • The Kalgoorlie Nickel Project (KNP) global Mineral Resource Estimate1 (MRE) is 854Mt at 0.71% Ni and 0.045% Co for 6.1Mt contained nickel and 386kt contained cobalt • The KNP Goongarrie Hub MRE1 now stands at 584Mt at 0.69%
Slide 6: KNP globally strategic significant resource, in the best operating jurisdiction
KNP globally strategic significant resource, in KNP MRE the best operating 6.1Mt jurisdiction in the world nickel & 386kt cobalt KALGOORLIE NICKEL PROJECT GOONGARRIE HUB - 6
Slide 7: KNP Goongarrie Hub Ore Reserve
Highway KNP Goongarrie Hub Ore Reserve1 • 1.36Mt of nickel metal Goongarrie Hill • 99kt of cobalt metal • Resource defined by >5,000 drill holes for Cross Section 666 9600mN >250km of drilling Goongarrie South Big Four / Scotia Dam Siberia North 1. See fullNICKEL tables inPROJECT AppendixGOONGARRIE
Slide 8: KNP Goongarrie Hub – Cross Section through Goongarrie South
KNP Goongarrie Hub – Cross Section through Goongarrie South AGSD0001 Goongarrie South Pamela Jean Deeps 100.80m @ 1.00% Ni, 0.08% Co from 34m Section 666 9600mN 24.84m @ 1.10% Ni, 0.08%Co from 140.2m 10.00m @ 96g/t Sc from 24m 42m @ 0.67% Ni, 0.04% Co from 30m 56m @ 1.29% Ni, 0.14%Co from 104m AGSR0
Slide 9: Kalgoorlie Nickel Project – Goongarrie Hub Mining Study
Kalgoorlie Nickel Project – Goongarrie Hub Mining Study • Goongarrie Hub Ore Reserve1 of 194.1Mt at 0.70% Ni and 0.05% Co for 1.36Mt of nickel and 99,000t of cobalt to sustain greater than 40-year mine life • Production of approximately 30,000t of nickel and 2,000t of cobalt per year for > 40 years
Slide 10: Goongarrie Hub Processing Plant Desirable Flowsheet Proven Technology
Goongarrie South Goongarrie Hub Processing Plant Desirable Flowsheet Proven Technology 3.5Mtpa - 2 x 1.5Mtpa HPAL autoclaves plus 0.5Mtpa AL circuit KALGOORLIE NICKEL PROJECT GOONGARRIE HUB - 10
Slide 11: KNP Goongarrie Hub Updated Ore Reserve & PFS defines +40-year operation
KNP Goongarrie Hub Financials 44,429 Updated Ore Reserve Nickel Revenue A$ M Cobalt Revenue A$ M 7,880 & PFS defines Freight parity A$ M -1,337 Revenue - combined A$ M 52,309 +40-year operation with EBITDA LOM A$ M 34,217 strong financial EBITDA Annual (average) EBITDA margin A$ M % 800 65% metrics1
Slide 12: Goongarrie Hub – Low Cost Mining and Production
Goongarrie Hub – Low Cost Mining and Production Goongarrie Hub C1 cost including Co credit compares very well on the global cost curve KALGOORLIE NICKEL PROJECT GOONGARRIE HUB - 12 Note: based on data from Company filings.
Slide 13: Ardea sign KNP Goongarrie Hub MOU
Ardea sign KNP Goongarrie Hub MOU • Ardea has signed a non-binding MOU to work with a well- regarded and experienced Japanese Consortium comprised of Sumitomo Metal Mining Co., Ltd, Mitsubishi Corporation, and Mitsui & Co., Ltd1 • Ardea and the Consortium are defining a scope of work for the DFS and
Slide 14: Why KNP Goongarrie Hub is a Compelling Investment Opportunity
Why KNP Goongarrie Hub is a Compelling Investment Opportunity Ardea has one of the largest Note: nickel • Contained Ni Metal is reported Total Mineral Resource (M+I+Inf) • See Appendices for References used for Company estimates endowments of listed peers and unrivalled growth potential KALGOORLIE N
Slide 15: ESG credentials strengthened during PFS
ESG credentials strengthened during PFS In-pit tailings KNP – Goongarrie Hub – LCA Climate Change Contribution Analysis disposal minimises environmental footprint and enables mine site rehabilitation, concurrent with steady-state mine operation. Life Cycle Assessment (LCA) is expected to be 11.9 kg
Slide 16: Outstanding Growth Potential Identified During PFS
Outstanding Growth Potential Identified During PFS • Several opportunities exist with substantial benefits to the financial metrics expected and include: Addition of a scandium recovery circuit Optimisation of existing processing circuit Optimisation of the rate of throughput vs residence time
Slide 17: Key Investment Considerations – For a must have nickel-cobalt stock
Key Investment Considerations – For a must have nickel-cobalt stock The KNP is the largest nickel – cobalt resource in Australia and a globally strategic asset owned 100% by Ardea Located in the premier resources operating jurisdiction in the World Goongarrie Hub resources are located on grant
Slide 18: For further information – Andrew Penkethman
For further information Andrew Penkethman Managing Director & CEO +61 8 6244 5136 www.ardearesources.com.au ardea@ardearesources.com.au Visit the Ardea Team at booth #92
Slide 19: Appendices
Appendices Photograph of Esperance Port, WA, courtesy of Southern Ports Authority
Slide 20: Competent Persons
Competent Persons Information in this presentation has been summarised from ARL ASX MRE Announcement 30 July 2023, ARL ASX PFS Announcement 5 July 2023 Ore Reserves and ARL ASX MOU Announcement 5 July 2023. Ardea wishes to clarify that its current Kalgoorlie Nickel Project (KNP) Goongarrie Hub Ore R
Slide 21: KNP Global MRE
KNP Global MRE KNP Global nickel and cobalt Mineral Resources based on a 0.5% Ni cut-off grade Contained Contained KNP Hub Resource Category Size (Tonnes) Ni (%) Co (%) Ni (kt) Co (kt) Goongarrie Hub Measured 18,200,000 0.94 0.085 171 15 Indicated 276,500,000 0.70 0.046 1,923 127 Inferred 289,300,00
Slide 22: KNP Goongarrie Hub MRE
KNP Goongarrie Hub nickel and cobalt Mineral Resources based on a 0.5% Ni cut-off grade KNP Goongarrie Hub Prospect Resource Size Ni Co Contained Metal Estimation Details Category (Mt) (%) (%) Ni (kt) Co (kt) Method Source Year MRE Measured 18 0.94 0.085 171 15 LUC Ardea 2021 Goongarrie Indicated 82
Slide 23: KNP Goongarrie Hub Ore Reserve Summary
KNP Goongarrie Hub Ore Reserve Summary consisting of ore above 0.5% Ni as the feed stock for the KNP Goongarrie Hub processing facility, and ore as Mineralised Neutraliser above 0.5% Nieq and LOI above 25% Ore >= 0.5% Ni Ore > 0.5% NiEq and LOI > 25% Total Ore Ore Reserve Summary Deposit Mt Ni % Co
Slide 24: Desirable Flowsheet Using Proven Technology
Desirable Flowsheet Using Proven Technology MHP Acid Plant Power Plant HPAL SN PN Goethite Grind AL Mineralised Neutraliser Silica-Goethite Bene 3.5Mtpa - 2 x 1.5Mtpa HPAL plus 0.5Mtpa AL KALGOORLIE NICKEL PROJECT GOONGARRIE HUB - 27
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