Vrx Silica Ltd. · ASX:VRX
Vrx Silica — Shareholder Meeting (November 2024)
29 slides from Vrx Silica's shareholder meeting presentation, Nov 29, 2024
Slide 1: Silica Sand: Essential to World Growth – AGM November 2024
VRX SILICA For personal use only Silica Sand Essential to World Growth AGM November 2024
Slide 2: Important Information – Disclaimer
Important Information Disclaimer This document has been prepared by VRX Silica Limited. The information contained in this document is for information purposes only and has been prepared for use in conjunction with a verbal For personal use only presentation and should be read in that context. The in
Slide 3: Silica Sand: The Second-most Consumed Material on Earth
Silica Sand: The Second-most Consumed Material on Earth For personal use only 3
Slide 4: The world is facing a global sand supply crisis
For personal use only The world is facing a global sand supply crisis 4
Slide 5: World Class Silica Sand Projects
World Class Silica Sand Projects Project development pipeline to ensure disciplined, staged development of world- For personal use only class assets ❑ Five very large scale, high grade and low impurity silica sand projects each project capable of independent operation to supply processed material to
Slide 6: Market Outlook
Market Outlook Asian glass making production increasing 5-6% per year (~8 - 10Mtpa Growth) VRX Target Market - Float, Container, Solar Panel, and; For personal use only Metal Casting/Foundry for Automobile Parts Glassmaking silica sand demand by region* Market in Growth in Use Spec 4% Asia Asia 5% F
Slide 7: WA Leading Silica Sand Projects
WA Leading Silica Sand Projects Arrowsmith North (100%) • High-grade with exceptional financial metrics For personal use only • Close proximity to port and rail infrastructure • Glass making and foundry products • Potential +100 year mine life: - JORC Proved and Probable Reserve of - 221Mt @ 99.5% S
Slide 8: Exploration: Arrowsmith North Silica Sand Project
Exploration Arrowsmith North Silica Sand Project For personal use only Project Site Vegetation Kwongan Heath Loose sand/shallow root systems suitable for VDT 8
Slide 9: Arrowsmith North
Arrowsmith North Near-term development opportunity for a world-class silica sand project ❑ Production expected to commence 8-12 months following final environmental approvals For personal use only ❑ 221Mt Ore Reserve @99.5% SiO2 (100-year production) (See Reserve Table) ❑ Grade controlled Proved Ore
Slide 10: Updated BFS (March 2024)
Updated BFS (March 2024) Arrowsmith North Updated BFS Results For personal use only ❑ Demonstrates robust financial metrics for a World-class silica sand project ❑ 221Mt Ore Reserve @99.5% SiO2 (100-year production) ❑ Ungeared NPV10 of $167m based on 25 years mining of a +100 year Resource ❑ Proved
Slide 11: Environmental and Mining Approvals
Environmental and Mining Approvals ❑ Confirmation by Commonwealth Department of Agriculture, Water and the Environment of For personal use only accredited State assessment under the EPBC Act ❑ State Department of Water and Environmental Regulation and Environmental Protection Authority (EPA) require
Slide 12: Responsible Mining – the VRX Way
Responsible Mining – the VRX Way A made-for-purpose mining method designed around continuous rehabilitation For personal use only ❑ VRX has developed a unique and progressive mining method for its silica sand projects ❑ The Vegetation Direct Transfer (VDT) method provides a rapid and comprehensive r
Slide 13: Environmental Approvals: Changes to Proposal
Environmental Approvals: Changes to Proposal Original Revised ❑ Approved amendments since For personal use only referral ❑ Mine development envelopes reduced from >1,000ha to 353ha ❑ Clearing reduced from 412.2ha to 299.1ha ❑ Relocation of infrastructure to within the mine area ❑ Redesign of access
Slide 14: Environmental Approvals: Terrestrial Fauna
Environmental Approvals: Terrestrial Fauna Carnaby’s Cockatoo (Endangered) For personal use only ❑ Clearing 299.1 ha of foraging habitat. Avoided roosts or breeding sites ❑ Extent of clearing reduced significantly from original Proposal ❑ Impact is 0.5% of foraging habitat within 12 km, Cumulative <
Slide 15: Environmental Approvals: Social Surroundings
Environmental Approvals: Social Surroundings ❑ Entire site has been surveyed for Aboriginal Heritage – no sites found within For personal use only current Development Envelope ❑ One registered Aboriginal Heritage site near the Proposal – Development Envelope amended to avoid boundary ❑ Arrowsmith La
Slide 16: Environmental Approvals: Offset Sites
Environmental Approvals: Offset Sites ❑ Offsets proposed to counterbalance the For personal use only medium-term loss of 299.1 ha of Carnaby’s Cockatoo (CC) foraging habitat ❑ Two vegetated lots proposed ❑ Contain 958.2 ha of Excellent quality CC foraging habitat ❑ Area to be revegetated within prev
Slide 17: Environmental Approvals: Avoidance and Minimisation of Impacts
Environmental Approvals: Avoidance and Minimisation of Impacts ❑ Reduce Development Envelopes from to avoid Priority Flora and Aboriginal Heritage site For personal use only ❑ Reduced impact to Carnaby’s Cockatoo foraging habitat ❑ “Gold Standard” VDT rehabilitation method proposed – slow, progressi
Slide 18: Environmental Approvals: Priority Flora
Environmental Approvals: Priority Flora ❑ 7 species recorded within Development Envelope, of For personal use only which 5 will have >5% local records disturbed ❑ Development Envelope revised to keep impacts to local records <21% ❑ Proposal impacts to regional records all <6.1% ❑ Cumulative losses o
Slide 19: Muchea Silica Sand Project Site
Muchea Silica Sand Project Site For personal use only Vegetation: Banksia Woodland Low grasses and sedges suitable for VDT VRX Silica 19
Slide 20: Muchea
Muchea Large scale, world class high-grade and low impurity silica sand project For personal use only ❑Production to follow Arrowsmith North subject to EPA approval ❑Utilise VDT and duplicate plant ❑Access to established infrastructure ❑Underutilised railway connects to Kwinana (100km) ❑Grid power ❑
Slide 21: Muchea: Downstream processing capabilities
Muchea Downstream processing capabilities For personal use only ❑Critical Minerals Prospectus – VRX Muchea project is included in the 2024 Critical Minerals Prospectus published by Austrade (now online) ❑Raw material for premium ultra-clear cover glass production for solar panels ❑Potential for prod
Slide 22: Processing Flowsheet
Processing Flowsheet Simplified wet processing, multiple products, no dust, 2mtpa processing plant at each site For personal use only Processing Plant Design ▪ Arrowsmith North, Arrowsmith Central and Muchea to each have 2 Mtpa processing capacity ▪ No toxic reagents required 22
Slide 23: Processing Plant Design
For personal use only Processing Plant Design No dust No toxic chemicals
Slide 24: Sustainability, Environment, Social and Governance (ESG)
Sustainability, Environment, Social and Governance (ESG) For personal use only VRX is delivering on its ESG responsibilities aligned to the UN’s Sustainable Development Goals CLEAN ENERGY ECONOMIC INDUSTRY SUSTAINABLE RESPONSIBLE CLIMATE REHABILITATION GROWTH INNOVATION COMMUNITIES PRODUCTION ACTION
Slide 25: Corporate Summary
Corporate Summary Capital Structure For personal use only Share Price A$0.054* Ordinary Shares on Issue 628 million Options on Issue 92 million Market Capitalisation A$34 million* Cash A$1.8 million** Debt Nil Enterprise Value A$32.2 million Shareholders Board and Management 12% Top 20 Total 33% * C
Slide 26: Our Team
Our Team Board Executive For personal use only Person Role Experience Person Role Experience Governance: over 30 years’ Production: 15 years’ experience Paul experience in investment, equity General Chairman markets and managing public Ryan Baxter in mining and construction with Boyatzis Manager 10
Slide 27: Right Time, Right Place
Right Time, Right Place Opportunity for WA to capture its economic advantages of abundant silica sand and domestic gas reserves to build world-class glass manufacturing and For personal use only downstream processing industries ❑ Very long life, high-grade silica sand supply with combined 1.4 billio
Slide 28: Thank you
For personal use only Thank you Bruce Maluish Managing Director Ground Floor, 52 Kings Park Road West Perth WA 6005 Phone: 08 9226 3780 Email: info@vrxsilica.com.au
Slide 29: Silica Sand Resources and Reserves
Silica Sand Resources and Reserves Mineral Resources - as at 30/06/2024 Ore Reserves - as at 30/06/2024 For personal use only SiO₂ Al₂O₃ TiO₂ LOI SiO2 Al2O3 Fe2O3 TiO2 LOI Project Classification Mt Fe₂O₃ % Project Classification Product Mt % % % % % % % % % Indicated 29 99.6 0.1 0.03 0.1 0.2 F80 10.