Grange Resources Limited · ASX:GRR

Grange Resources — Shareholder Meeting (May 2014)

17 slides from Grange Resources's shareholder meeting presentation, May 7, 2014

  1. Slide 1: Australia's most experienced magnetite producer – Annual General Meeting

    For personal use only Australia’s most experienced magnetite producer Annual General Meeting Wayne Bould, Managing Director 7 May 2014

  2. Slide 2: Disclaimer

    Disclaimer For personal use only The material in this presentation (“material”) is not and does not constitute an offer, invitation or recommendation to subscribe for, or purchase, any security in Grange Resources Limited (“GRR”) nor does it form the basis of any contract or commitment. GRR makes no

  3. Slide 3: Company Highlights

    Company Highlights For personal use only  Most EXPERIENCED magnetite producer Over 45 years of operational experience at Savage River  STRONG Safety Culture Over 1,380 days LTI free  LONG LIFE producer of PREMIUM iron ore pellets High quality ore reserves (52% DTR) producing 65.5% Fe BF pellets S

  4. Slide 4: Company Snapshot

    Company Snapshot For personal use only Capital Structure (A$) Share Price and Volume Ordinary Shares on issue 6 May 2014 1,157m Share Price 6 May 2014 $0.245 Market Capitalisation 6 May 2014 $283m Cash and Term Deposits 31 March 2014 $146m Current Ownership Structure Research Coverage  JP Morgan 

  5. Slide 5: 2013 – A Transitional Year

    2013 – A Transitional Year BACK TO THE BASICS For personal use only  Exceptional safety record continued  No Lost Time Injuries  Successfully delivered mine re-development strategies  Re-established access to higher grade ore ahead of schedule in September 2013  Strong focus on reducing operati

  6. Slide 6: 2013 - Results Overview

    2013 - Results Overview For personal use only  Revenues from mining operations of $281.1 million (down 15% from $331.3 million)  Sales volumes down 20% to 1.9 million tonnes of iron ore products  Average realised price down 2% to US$141.43 per tonne but offset by an 8% reduction in the average AU

  7. Slide 7: 2014 - Continuing to Focus on the Basics

    2014 - Continuing to Focus on the Basics For personal use only  Our fundamentals are very sound  Experienced magnetite producer with a long life project close to the Asian market  Producer of a high quality iron ore product (65.5% Fe) that receives a premium price over lump and fines  Strong bal

  8. Slide 8: 2014 - Year To Date Highlights

    2014 - Year To Date Highlights For personal use only STAYING WITH THE BASICS  Exceptional safety record continues  Over 1,380 days Lost Time Injury Free  Successfully completed an expanded annual common equipment shutdown  Completed additional preparatory work for AG Mill replacement  Minimised

  9. Slide 9: 2014 - Year To Date Highlights

    2014 - Year To Date Highlights For personal use only  Maintained access to high grade ore through continued investment in mine development  Weight recovery averaged 50% during the March 2014 quarter, an increase of approximately 56% from the March 2013 quarter  Pellet production of 504,170 for th

  10. Slide 10: 2014 - Year To Date Highlights

    2014 - Year To Date Highlights For personal use only  Taking advantage of iron ore market prices  March 2014 quarter average product price of US$138.82 per tonne (FOB Port Latta)  Continue to attract a quality premium for high grade, lower impurity iron ore products  Continual downward pressure

  11. Slide 11: Assets Strategy

    Assets Strategy For personal use only Australia’s Most Experienced Magnetite Producer Savage River (100%) Southdown Project (70%) Focusing on Reassessing the the fundamentals project concept Quality assets in Tasmania and Western Australia. 7 May 2014 – Annual General Meeting Slide 11

  12. Slide 12: Savage River LOM Strategies: Grow Reserves & Develop Multiple Mining Locations

    Savage River LOM Strategies Grow Reserves & Develop Multiple Mining Locations For personal use only North Pit South Deposit  High quality, long life resources  Defined reserve  Supporting operations to 2030 and beyond  Supporting LOM tailings infrastructure development Centre Pit South Long Plai

  13. Slide 13: Savage River LOM Strategies: Developing Multiple Mining Locations

    Savage River LOM Strategies Developing Multiple Mining Locations North Pit Production Stripping For personal use only  Ore supply for 2014 North Pit Mine Development  East wall cut-back Reducing risk associated with a single pit operation South Deposit Mine Development  Ore supply for 2014/15  P

  14. Slide 14: Savage River LOM Strategies: Value Adding Downstream Infrastructure

    Savage River LOM Strategies Value Adding Downstream Infrastructure For personal use only Concentrator Pipeline Pellet Plant & Port - Autogenous milling and magnetic - 85km pipeline connecting Savage River - Four furnace lines capable of producing separation process to Port Latta 2.4mtpa of iron ore

  15. Slide 15: Southdown Project Strategy

    Southdown Project Strategy For personal use only  Continue the search for a new equity partner to take a strategic share of the Company’s interest  Maintain reduced project expenditure during 2014  Maintain all tenements, permits and project assets in good order  Conduct internal review of defin

  16. Slide 16: Grange – "Basics" Strategies Recapped

    Grange – “Basics” Strategies Recapped For personal use only  Broaden customer base to take advantage of market opportunities and to diversify geographic customer risk  Drive operating costs down further and maintain access to high grade ore  Continue investment in mine development - progress next

  17. Slide 17: Primary Contact

    Primary Contact For personal use only Primary Contact: Wayne Bould Managing Director +61 3 6430 0222 managingdirector@grangeresources.com.au Notes: - A lower cut-off grade of 15% DTR was used in the calculation of both the Mineral Resources and Ore Reserves - A detailed statement of Mineral Resource

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