Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Arafura Resources — TREM Conference 2010
11 slides from Arafura Rare Earths's conference presentation, Mar 18, 2010
Slide 1: Considerations for Imports into the USA
For personal use only TREM Conference Considerations for Imports into the USA Washington DC, USA March 2010 Dr Steve Ward Managing Director & CEO
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 predictions and are subject to inherent risks and uncertainties which could cause actual values, results, performance achievemen
Slide 3: Rare Earths: demand growth, constrained supply
Rare Earths: demand growth, constrained supply For personal use only Suppliers are forecast to struggle to meet demand even after new projects are taken into consideration. There are few new projects likely to come into production.
Slide 4: USA demand and position in Industry Supply Chain
USA demand and position in Industry Supply Chain For personal use only Issues for consideration: • Future Demand – Identify needs as well as possible • Market growth in each end use application • Longevity of each end use application – will there be technology advancements that will not require Rare
Slide 5: Supply side considerations
Supply side considerations For personal use only • Rare Earth projects have a long development timeline: 10 to 15 years • Difficult to bring Rare Earth projects into production: • Each ore body is different and requires development of unique technology for processing • Very capital intense • There a
Slide 6: Comparison of Rare Earths projects
Comparison of Rare Earths projects For personal use only 50,000 North American 45,000 Kvanefjeld Non‐North American 40,000 Information sourced from individual company presentations, and media and Maximum Annual Production (tonnes REO) 35,000 stock exchange releases. Information on Bear Lodge schemat
Slide 7: Summary of supply side considerations
Summary of supply side considerations For personal use only • Demand will outstrip supply • There are few supply opportunities this decade • China is likely to continue to limit exports • Small number of domestic USA supply options • USA will need to continue to import and rebalance supply
Slide 8: USA strategic materials: what works already?
USA strategic materials: what works already? For personal use only • Impractical for any country to be self sufficient in all strategic materials • What works already for the USA in terms of strategic materials imports can be a model for Rare Earths • Suggest titanium metal is a good example. Titani
Slide 9: Assessing future suppliers
Assessing future suppliers For personal use only Points of differentiation to consider: • Located in a country with well established trade relations with the USA • Sovereign risk, political stability and regulatory environment • Scale of ore body and very long life production capability • Technology
Slide 10: The role of the USA in future supplies
The role of the USA in future supplies For personal use only • Technical & financial assistance to promote potential sources in USA‐friendly and politically stable locations • Establishment of internationally recognized standards for Rare Earths • Once manufacturing capabilities are re‐established,
Slide 11: The case for imports: a summary
The case for imports: a summary For personal use only • The USA will need to continue to import Rare Earths • Rebalancing of supply will be necessary • There will be few new supply sources this decade. Ensure future production is not already committed • Successful imports of strategic materials can