Australian Silica Quartz Group Limited · ASX:ASQ

Australian Silica Quartz — Bauxite Resources — China Mining 2013

20 slides from Australian Silica Quartz's conference presentation, Nov 5, 2013

  1. Slide 1: Gearing up for growth – China Mining 2013

    “Gearing up for growth” CHINA MINING 2013 Conference Presentation 2-5 November 2013 Peter Canterbury CEO Bauxite Resources Ltd 1

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements These materials include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, or other similar w

  3. Slide 3: BRL - Compelling Investment Case

    BRL - Compelling Investment Case - Right Timeframe for Right Project  Market - Bauxite Commodity  Location – Largest Bauxite/Alumina producing region in world with existing infrastructure and close to mining centre of excellence  Product – Gibbsite with low reactive silica  Company – Large tenem

  4. Slide 4: Bauxite – New Demand driven out of China

    Bauxite – New Demand driven out of China Construction driven CRU expects primary aluminium consumption to increase by 6.4% pa between 2012 and 2022 and aluminium consumption per capita is set to rise modestly 1.3% pa over the same period. Beyond 2022, China is on track to achieve the highest alumini

  5. Slide 5: Supply not keeping up with Demand - Why

    Supply not keeping up with Demand - Why Lack of investment in Bauxite/Alumina outside China Uncertainty in development in India and Indonesia Third party bauxite demand and supply, 2000 to 2035 180.0 Supply gap* Possible Probable Committed 160.0 Operating Closed Demand 140.0 Production (m tpy) 120

  6. Slide 6: Where will the demand for Bauxite be sourced from?

    Where will the demand for Bauxite be sourced from? Indonesian export bans – What will happen? Australia the key due to logistics “China is expected to source a greater proportion of its bauxite requirements from Australia and West Africa over the next decade” Chinese bauxite imports in 2012 and 20

  7. Slide 7: Australia is the Logical Supply Source

    Australia is the Logical Supply Source 7

  8. Slide 8: Bauxite/Alumina/Aluminium – Market Dynamics

    Bauxite/Alumina/Aluminium – Market Dynamics  Smelters globally are now concerned about securing long term supplies of bauxite and alumina  BRL’s WA Bauxite is a significant source to satisfying the demand for seaborne bauxite trade  Low Capital Cost to establish due to existing infrastructure Bau

  9. Slide 9: Why Darling Range Bauxite?

    Why Darling Range Bauxite? Western Australia largest bauxite producing region in the world Weipa exports  Tenure dominated by large, private ~10Mtpa Gove land holdings (farms) with Weipa 12% supportive community 25%  Unlike other Australian projects BRL bauxite deposits have excellent access to ex

  10. Slide 10: Why BRL's WA Bauxite?

    Why BRL’s WA Bauxite?  World’s largest producing area for bauxite  Darling Range bauxite already supports 4 large alumina refineries – 2 in lowest quartile. Why?  Gibbsite – Low temperature digestion or sweetener to high temp digestion  Low reactive silica ~ 2% (total silica Fortuna & Felicitas

  11. Slide 11: Company Profile

    Company Profile Stock Code: BAU Ordinary Shares 232m Market Cap $28.2m (30/09/13) ROB NASH Bank Debt $0 Current cash $43.7m (30/09/13) PETER CANTERBURY Resource 327.2 Mt bauxite Chair Rob Nash LUKE ATKINS CEO Peter Canterbury Major Shareholders % JOHN SIBLY HD Mining & Inv PL 8.4% Yankuang Res PL 8.

  12. Slide 12: Established Joint Ventures

    Established Joint Ventures  Bauxite Alumina Joint Venture (BAJV) with Yankuang Resources (YK)  Bauxite and Alumina rights only  YK to fund 70% of all bauxite exploration costs for 70% bauxite resource  New Chairman of Yankuang Group visited facilities in Sept 2013 and impressed at results to dat

  13. Slide 13: BRL Darling Range Resources Location & Distribution

    BRL Darling Range Resources Location & Distribution • Tenements close to existing Bauxite Resource Tenement infrastructure, roads and rail Ownership Holdings • With direct access to bulk Solely BRL 39.5Mt 2,017km2 handling ports • Established export routes Joint Venture 259Mt 14,016km2 with Bauxite

  14. Slide 14: Resources Summary

    Resources Summary Resource Size Al2O3 Available Al2O3 Reactive SiO2 Al2O3 avail:SiO2 Depth of Summary reactive overburden Max Bauxite Bulk Density Mt % % % (m) Thickness (m) BRL 100% Fortuna 39.5 37.3 28.8 1.6 18 2 13 2.17 BRL 100% Sub total 39.5 37.3 28.8 1.6 JV with Bauxite Alumina JV (Yankuang Gr

  15. Slide 15: BRL & Partners Resource Growth

    BRL & Partners Resource Growth 350 Measured 300 Indicated Inferred 250 200 150 100 50 0 Current joint bauxite resource of 327.2 million tonnes BRL Trial Mining 2009/10 15

  16. Slide 16: Bauxite Quality – Refining efficiency is the key

    Bauxite Quality – Refining efficiency is the key  Current Fortuna/Felicitas combined resource is suitable for low temperature digestion without any beneficiation  Total Alumina 39% (~30% Available alumina @ 148C Estimated 32-33% at 250C)  Reactive Silica 1.9%  Gibbsite  Mine planning optimisati

  17. Slide 17: Upside Potential of BRL

    Upside Potential of BRL  Unexplored area  Northern Darling Range – HD Mining JV land areas north of Felicitas as well as further land within the Felicitas and Fortuna areas  Eastern Darling Range – current drilling programmes planned for Williams/Narrogin areas held by BRL100% and HD Mining JV so

  18. Slide 18: Northern Darling Range

    NORTHERN DARLING RANGE  Existing resource of 258.2Mt (Felicitas & Fortuna)  Further resource upside supported by:  regional surface sampling  historic drilling  low rainfall  favourable topography  BRL has tenement holding of 2,017 km2  Small number of large properties (farms) BRL Trial Mini

  19. Slide 19: Eastern Darling Range

    EASTERN DARLING RANGE  Existing resource of 15Mt 300,000 mE 400,000 mE 500,000 mE (Ceres) 6,600,000 mN  Further resource upside supported by:  regional surface sampling  historic drilling 6,500,000 mN Ceres 15Mt  low rainfall  favourabe topography  BRL has tenement holding of 1,494 km2 6,400,

  20. Slide 20: BRL – Gearing Up for Growth

    BRL – Gearing Up for Growth  Demand for bauxite from Australia  Large resource of efficient bauxite  Infrastructure – Use of existing infrastructure means low capital entry with near term potential  Location – Largest Bauxite/Alumina producing region in world with existing infrastructure and clo

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