Lynas Rare Earths Limited · ASX:LYC
Lynas Rare Earths — Investor Presentation (May 2009)
10 slides from Lynas Rare Earths's investor presentation, May 5, 2009
Slide 1: Investor Relations Call Supporting Presentation
For personal use only Investor Relations Call Supporting Presentation 5 May 2009
Slide 2: Disclaimer
Disclaimer For personal use only ► The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about and observe
Slide 3: Introduction of China Nonferrous Metal Mining (Group) Co., Ltd (CNMC)
Introduction of China Nonferrous Metal Mining (Group) Co., Ltd (CNMC). For personal use only Who are CNMC? An international mining company focused on nonferrous metals with both domestic China and overseas resource projects. CNMC activities in resource projects include exploration, design, const
Slide 4: CNMC equity and debt package gives Lynas access to US$366 million
CNMC equity and debt package gives Lynas access to US$366 million (over A$500 million) For personal use only Equity issue to CNMC 700 million shares at A$0.36 to give A$252 million 52.5% above the 30 trading day VWAP CNMC will be the majority shareholder with 51.6% of the shares on issue Debt
Slide 5: This provides full project funding for the phase expansion to 21,000t REO production
This provides full project funding for the phase 2 expansion to 21,000t REO production For personal use only Australian Dollar costs CCY Total Costs Spent post suspension Spend for completion Mt Weld Mining Campaign A$ 20 20 - Mt Weld Concentration Plant A$ 72 24 48 Australian Start Up Costs A$ 28 3
Slide 6: CNMC support the current business model and management team
CNMC support the current business model and management team For personal use only Lynas vision: Be a global leader in Rare Earths for a sustainable future Production system Concentration Plant in Western Australia at Mount Weld Advanced Materials Plant on the East Coast of Malaysia near Kuantan
Slide 7: Heads of Agreement is binding, but subject to approvals which may take 3 to 4 months
Heads of Agreement is binding, but subject to approvals which may take 3 to 4 months For personal use only ► All Australian and Chinese government regulatory approvals including from SASAC, the National Development & Reform Commission (NDRC), the Ministry of Commerce (MOFCOM) and the State Administr
Slide 8: Rare Earths Market Outlook
Rare Earths Market Outlook For personal use only ► Customers reported that few significant purchases of Rare Earths have been made since November 2008 due to inventory destocking ► The Q1 2009 the average quarterly price had dropped to US$9.91. ► However, customers are anticipating inventories will
Slide 9: Concentration Plant Status at Mt Weld
Concentration Plant Status at Mt Weld For personal use only ► Engineering Design completed ► All Approvals in place ► Contract Status on-site Bulk earth works Downer EDI Completed Construction contract Abesque Engineering On hold Steam generation RCR Energy Systems On hold Power station Kalg
Slide 10: Malaysian Advanced Material Plant Status
Malaysian Advanced Material Plant Status For personal use only ► Engineering Design to be completed ► All Approvals in place ► Contract Status on-site Bulk earth works Substantially completed Piling Completed Concreting works On hold Other construction contracts Yet to be let, on hold ► Most