Westwater Resources, Inc. · AMEX:WWR
Westwater Resources — Uranium Resources — Merger or Acquisition (June 2015)
28 slides from Westwater Resources's merger presentation, Jun 4, 2015
Slide 1: Merger of Uranium Resources, Inc. & Anatolia Energy Limited
Merger of uranium resources, INC (Nasdaq:urre) & Anatolia energy Limited (asx:aek) Joint webcast & conference call – June 3/4, 2015 Creating a new uranium company aiming for a fast-track to high margin uranium production Christopher M. Jones President and Chief Executive Officer Uranium Resources, I
Slide 2: Cautionary statement
Cautionary statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “expects,” “estimates,” “projects,
Slide 3: Competent persons statements
Competent persons statements For Anatolia Information in this presentation which relates to Anatolia’s Mineral Resources and Exploration Results is based on information compiled by Mr Dmitry Pertel and Mr Robert Annett, who are Members of the Australian Institute of Geosciences (“AIG”). Mr Pertel is
Slide 4: Cautionary note regarding references to resources and reserves
Cautionary note regarding references to resources and reserves The Company discloses mineral resources, including inferred resources, pursuant to the Canadian Institute of Mining, Metallurgy and Petroleum Standards (CIM Standards) for reporting mineral resources and reserves, and Canadian National I
Slide 5: Transaction highlights
Transaction highlights Creation of a leading, international uranium developer with high-quality ISR and conventional uranium projects Potential for near-term production from the high-grade, and low-cost Temrezli ISR Project in Turkey Substantial development synergies identified, with potential to pr
Slide 6: Transaction summary
Transaction summary Structure Acquisition of Anatolia Energy Limited (“Anatolia”) by Uranium Resources, Inc. (“URI”) pursuant to a Scheme of Arrangement, with separate schemes for Anatolia shares, options and performance shares URI to apply for quotation on the ASX, with Anatolia shareholders provid
Slide 7: Benefits for all shareholders
benefits for all shareholders Potential Benefits delivered to Anatolia Shareholders Potential Benefits delivered to URI Shareholders Very significant increase in average daily trading liquidity Potential to reduce the upfront capital cost of developing the Temrezli Project through anticipated synerg
Slide 8: Benefits for all shareholders
benefits for all shareholders Potential Benefits to be Enjoyed by All Shareholders Strong potential synergies between Anatolia’s Temrezli Project and URI’s idle Rosita processing facility, and the value-add that URI’s experienced technical personnel can provide will deliver real value to all shareho
Slide 9: Attractive offer price
Attractive offer price The offer from Uranium Resources provides Anatolia shareholders with a strong premium to Anatolia’s trading price 9 Source: IRESS VWAP’s of each of Uranium Resources and Anatolia calculated as of each company’s last trade on June 2, 2015 (in the case of Uranium Resources) and
Slide 10: A strongly supported offer
A Strongly supported offer The merger is strongly supported by the Boards of each of Anatolia and URI, and major shareholders of both companies ^ Subject to there being no superior proposal, and subject to the Independent Expert opining that the Schemes are in the best interests of Anatolia sharehol
Slide 11: Post-deal capitalisation
Post-deal capitalisation 11 (in US$) Post Transaction URI URI Share Price (June 2, 2015) (1) $1.22 Current URI Shares O/S 29,777,989 Shares to be issued to Anatolia shareholders 20,377,872 URI Shares O/S post-transaction 50,155,861 Basic Market Cap $61,190,150 Cash and Liquid Investments(2) $10,519,
Slide 12: Geographically diversified, identical ISR technology, CAPEX synergies
12 Geographically Diversified Identical ISR technology in both Texas and Turkey Attractive CAPEX Synergies Geographical diversification
Slide 13: Merged entity project pipeline
merged entity project pipeline 13 Uranium Resources expects to dismantle and ship the Rosita processing plant equipment, which is currently on standby, to the Temrezli Project for synergistic savings. Roca Honda is pending divestment, subject to execution of definitive documentation, as announced in
Slide 14: Outstanding leadership
Outstanding leadership Christopher M. Jones, President, CEO and Director Joined in March 2013; more than 30 years of industry experience; licensed Professional Engineer (US and Canada) B.S. in Mining Engineering from South Dakota School of Mines and an MBA from Colorado State University Jeffrey L. V
Slide 15: Strong Board governance
Strong Board governance Terence J. Cryan Chairman Managing Director at Concert Energy Partners, a New York private equity and investment advisory firm. Chairman of the Board of Ocean Power Technologies, Inc., and he is a Board Leadership Fellow of the National Association of Corporate Directors. For
Slide 16: Temrezli Project: High grade, low cost ISR project
Temrezli Project 16 High Grade, Low Cost ISR Project Nearing development decision Pre-Feasibility completed February 2015 PFS Development Case: Average annual production of 800,000 pounds of uranium over 12 years Average cash operating costs of $16.89/ lb U3O8 JORC & Canadian NI 43-101 M&I resources
Slide 17: Temrezli Project: Robust financial returns
Temrezli Project 17 Robust Financial Returns Life of mine 12 years Annual Production (avg.) 0.8 Mlb U308 Upfront Capital Cost $41.0M Cash Operating Cost $16.89/lb Pre-Tax NPV (8%) $191.1M Free Cash Flow $345.5M Internal Rate of Return 65% Key financial metrics based on the Development Case as presen
Slide 18: Development synergies
Development synergies URI’s Rosita processing plant capable of producing 800,000lb U308 per annum Capital equipment at Rosita that is currently idle may be shipped to Turkey for the Temrezli development, providing potential for material capital cost savings for up to US$8 million Rosita was designed
Slide 19: Why Turkey
Why turkey 19 Energy Independence a High Priority Turkish Government supports the Temrezli Project Temrezli is Turkey’s only advanced uranium asset Temrezli’s Operation License granted in October 2013 Long mining history (nickel, gold, boron, chromium, coal, copper, etc) Transparent mining code Turk
Slide 20: Mid-term ISR potential of Texas
Mid term isr potential of texas Acquired ISR projects in South Texas, enhancing mid-term path to production Located near URI’s processing plants on standby for restart Prospective roll-front mineralization in sandstones amenable to in-situ recovery Completed Phase One exploration drilling1 at Butler
Slide 21: Creating value from long-term assets
Creating value from long-term assets LOI with Energy Fuels:1 Divesting Sections 8 and 17 and the Endy Claims at Roca Honda Consideration from Energy Fuels US$2.5M cash, US$375,000 value in Energy Fuels stock, 4% gross royalty on portions of Peninsula Energy’s Lance uranium ISR project under construc
Slide 22: Relative value
Relative value 22 (US$ in millions, except per share numbers) Market Cap M&I lbs (MM) Inferred lbs (MM) Price Total EV Stage Location Uranium Energy $2.97 $273 $257 32.4 43.3 ISR Producer, Conventional Projects U.S., Paraguay Energy Fuels (PF Uranerz) $4.54 $204 $228 91.1 31.8 Producer (ISR, Convent
Slide 23: Temrezli PFS roadmap to production
Temrezli pfs roadmap to production 23 2015 2016 PFS Completed – Feb 2015 Detailed Engineering & Well Field Design Plant Optimisation Assessment Environmental and Social Impact Assessment Permitting Project Finance & Hedging Plant Construction & Well Field Development Plant Commissioning & Uranium Pr
Slide 24: Appendices
24 Appendices
Slide 25: Temrezli PFS operating costs
Temrezli PFS Operating costs Achievement of the forecast operating costs would make Anatolia one of the lowest cost uranium producers globally Low cost structure underpins strong cashflow, even during times of depressed uranium prices Favorable project characteristics driving Temrezli low cost Shall
Slide 26: Temrezli PFS capital costs
Temrezli PFS capital costs 26 Capital Costs (US$M) EPCM & owner costs 5.0 Infrastructure 3.4 Central processing plant 14.3 Evaporation ponds 4.0 Well fields and Header houses 10.0 Capital cost contingency 4.3 Total Initial Capex $41.0 Sustaining Capital over Life of Mine $90.1 First uranium producti
Slide 27: Pro-forma reserves and resources
Pro-forma Reserves and resources 27 In Place Reserves in South Texas1,2 (at 31 Dec 2014) Property Short Tons Grade (% U3O8 ) In-Place Pounds Recovery Method Kingsville Dome 35,000 0.07 50,000 ISR Rosita 384,000 0.08 624,000 ISR Total 419,000 0.08 674,000 Footnotes to the Reserves table: The Company
Slide 28: Contacts
contacts 28 For more information, contact: www.uraniumresources.com www.anatoliaenergy.com.au Christopher Jones President and CEO Uranium Resources, Inc. Tel: 303-531-0470 Paul Cronin Managing Director Anatolia Energy Limited Phone: +44 7912 351 031 (UK) Phone: +61 428 638 201 (Australia) Email: pau
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