Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Arafura Resources — Shareholder Meeting (November 2014)
18 slides from Arafura Rare Earths's shareholder meeting presentation, Nov 20, 2014
Slide 1: Annual General Meeting Presentation
For personal use only ANNUAL GENERAL MEETING PRESENTATION November 2014 Arafura Resources Limited (ASX: ARU)
Slide 2: Disclaimer
DISCLAIMER For personal use only Important Notice This presentation contains certain statements which may constitute “forward-looking statements.” Such statements are only expectations or beliefs and are subject to inherent risks and uncertainties which could cause actual values, results or performa
Slide 3: Agenda
AGENDA For personal use only 1. Chairman’s Address 2. Formal Business 3. Managing Director’s Report 4. Shareholder Questions Arafura Resources Limited (ASX: ARU) 3
Slide 4: Mr Ian Kowalick, Chairman
For personal use only Mr Ian Kowalick Chairman Arafura Resources Limited (ASX: ARU) 4
Slide 5: Formal Business
For personal use only Formal Business Arafura Resources Limited (ASX: ARU) 5
Slide 6: Resolutions
RESOLUTIONS For personal use only Accounts and Reports – To receive and consider the consolidated financial statements of the Company and its controlled entities for the year ended 30 June 2014 and the reports of the Directors and auditors for the financial year ended 30 June 2014. Resolution 1 Remu
Slide 7: End of Formal Business
For personal use only End of Formal Business Arafura Resources Limited (ASX: ARU) 7
Slide 8: Mr Gavin Lockyer, Managing Director
For personal use only Mr Gavin Lockyer Managing Director Arafura Resources Limited (ASX: ARU) 8
Slide 9: 2014 Key Highlights
2014 KEY HIGHLIGHTS For personal use only Strategic Appointment of Chinese RE producer subsidiary (SKN) to assist Nolans Project Validation of ARU’s beneficiation flowsheet Optimise RE extraction flowsheet Nolans Rare Earth Project OPEX down by 24% since 2013 Securing life of operation water rights
Slide 10: Nolans Development Report
NOLANS DEVELOPMENT REPORT For personal use only Released in September 2014 Detailed description of ARU’s plans to develop the Nolans Rare Earth Project 120+ fully referenced pages of ARU’s extensive development program to date (foundation of a technical data room for DFS due diligence) Highlights th
Slide 11: The Growth Is in Magnets
THE GROWTH IS IN MAGNETS For personal use only 12% Magnets MAGNET LEVERAGE 8% Metal Global demand for RE Other Batteries Alloys magnets forecast to CAGR Ceramics grow at 10% p.a. Catalysts between 2014 and Polishing 4% 2020 Phosphors Glass 0% 0 10,000 20,000 30,000 Market Size in 2013 (tonnes) Arafu
Slide 12: Growth Drivers for NdFeB Magnets
GROWTH DRIVERS FOR NdFeB MAGNETS For personal use only 170,000 t Inverter air conditioner Brakes, relays, switches, wave guides, etc Wind power generators Hybrid and electric drive MAGNET LEVERAGE motors Sensors Torque coupled drives MRI Green energy 110,000 t Magnetic separators technology to Other
Slide 13: NdPr Supply Shortfall Is Here and Now
NdPr SUPPLY SHORTFALL IS HERE AND NOW For personal use only NdPr Oxide Supply & Demand ROW Supply China Supply Global demand NdPr Oxide in Magnets 60,000 MAGNET LEVERAGE 50,000 ARU set to supply 5,500 tonnes of 40,000 NdPr Oxide p.a. – over 10% of global Tonnes 30,000 demand in 2019 20,000 10,000 0
Slide 14: Product Quality Is the Foundation
PRODUCT QUALITY IS THE FOUNDATION For personal use only MAGNET LEVERAGE Nolans has the highest magnet leverage of any RE project globally – NdPr is 26.5% of RE mix Successful production of >99% pure NdPr Oxide from Nolans ore Pre-production quality confirmed by potential customers as within specific
Slide 15: Nolans Commercial Appeal
NOLANS COMMERCIAL APPEAL For personal use only Nolans is one of only a handful of RE projects forecast to attract strategic supporters because**: Attribute Arafura Feasibility complete by end of 2015 Located in a jurisdiction with low geopolitical risk Long-life, low-risk resource with planned o
Slide 16: 2014-15 Feasibility
2014-15 FEASIBILITY For personal use only Key Activities Ore pilot program Beneficiation Variability tests of ore types Flowsheet definition SAPL/DSP validation final phase Extraction Novel China-based testwork Flowsheet definition Offshore locations shortlisted Separation RE Separation site selecti
Slide 17: Focused Strategy
FOCUSED STRATEGY For personal use only Process validation under the technical guidance of an existing RE producer and marketer to minimise design and start-up risks Process validation phase Supply agreements with key end users and trading partners EIS addresses all impact aspects for the Nolans Site
Slide 18: Thank You
For personal use only THANK YOU Questions? Arafura Resources Limited (ASX: ARU)
Arafura Resources — Shareholder Meeting (November 2014) on 6ix