Parkway Corporate Limited · ASX:PWN

Parkway Corporate — Potash West NL — Investor Presentation (August 2014)

24 slides from Parkway Corporate's investor presentation, Aug 18, 2014

  1. Slide 1: World Class Fertiliser Products from World Class Assets

    For personal use only WORLD CLASS FERTILISER PRODUCTS FROM WORLD CLASS ASSETS PRESENTATION August 2014

  2. Slide 2: Disclaimer

    This presentation is for information purposes only. Neither this presentation nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This presentation may not be distributed in any jurisd

  3. Slide 3: Resource information and Competent Persons statements

    Information in the presentation that relates to the Mineral Resource estimate for Dinner Hill is fully described in the ASX release of 11 October 2012. Information relating to the Dinner Hill Extended Exploration Target was released to the ASX on 07 May 2013. Information relating to the phosphate Mi

  4. Slide 4: Agenda

    Agenda For personal use only • Company Snapshot • Fertiliser Overview • South Harz Project, Germany • Dandaragan Trough Project, Western Australia • Phosphate • K-Max • Value Proposition 4

  5. Slide 5: Corporate Snapshot

    CORPORATE SNAPSHOT For personal use only ASX CODE PWN SHARE PRICE – 4 AUG 2014 AU$0.04 MARKET CAP. AU$5.7M SHARES ON ISSUE (1) 138 M 12 MONTH RANGE 4c – 28c TOP 20 SHAREHOLDERS 48% MGMT AND DIRECTORS 25% (1) Plus 36M partly paid and 13M options, fully diluted =187 M shares BOARD Adrian Griffin – Cha

  6. Slide 6: Investment Case

    INVESTMENT CASE  Creating opportunities in the global fertiliser industry: For personal use only  Exploring a brown-fields potash project in Germany  Long established potash field with established infrastructure  Close to existing producers and end-users  Significant near-term exploration poten

  7. Slide 7: Fertiliser Business

    FERTILISER BUSINESS  3 Fertiliser bulk commodities, For personal use only  N, Nitrogen, promotes green growth  P, Phosphorous, promotes plants yield potential  K, Potassium, enables plants to take up nutrients from soil and air  3 Minors, Ca, S and Mg  Most soils deficient in NPK  Not interch

  8. Slide 8: Fertiliser Business

    FERTILISER BUSINESS  Forecast value of US$172B in 2015, For personal use only  Fertiliser wholesalers mix products for region, from bulk raw materials:  Nitrogen (109 Mtpa, N): from air, gas and coal  Urea  Ammonia Nitrate  Phosphates (41Mtpa, P): mined from rock phosphate deposits  Superphos

  9. Slide 9: Global food production challenge quote

    For personal use only “The challenge is clear. With nearly 1 billion people already suffering from hunger and malnutrition in some of the fastest growing areas of the world, the challenge of doubling food production by 2050 will become more difficult as key resources become increasingly scarce and a

  10. Slide 10: East Exploration

    EAST EXPLORATION For personal use only  Earning 55% interest in a JV in Germany  Counterparty, private interests  Close to existing producers  Expenditure $350,000, to:  Apply for 2 licences, 450km2  Review available geological data  Gain 55% of project  Working with Ercosplan, world renowne

  11. Slide 11: Potash Mines in Germany

    For personal use only POTASH MINES IN GERMANY  Germany has a long history of potash mining  Extensive deposits, in Zechstein beds laid down in Permian Period  4th largest producer in world  Western Europe is a net importer of potash  Extensive expertise exists within Germany  Established infra

  12. Slide 12: Küllstedt and Gräfentonna Applications

    KÜLLSTEDT AND GRÄFENTONNA APPLICATIONS  Within South Harz region, For personal use only which has produced 100m tonnes of potash  Several mines in production up till 1990s, German reunification. Low potash prices caused closures KÜLLSTEDT  450 sq km of application  Extensive drilling  Close to

  13. Slide 13: Küllstedt Application

    KÜLLSTEDT APPLICATION  Küllstedt, target for first evaluation. For personal use only  Ercosplan to review all data on application area  Several drillholes intersecting potash, over large area of licence, suggests large tonneage potential.  First targets 200 to 500m to top of potash.  Expected c

  14. Slide 14: Dandaragan Project Location

    DANDARAGAN PROJECT LOCATION For personal use only  +2,000 km2 of prospective area  ~150km of strike  ~+20km width  Many intersections +40m  Great infrastructure  Rail  Power  Gas  Water  Close to local markets, WA and SE Asia  Similar mining activity already in region  Close to export po

  15. Slide 15: Exploration

    EXPLORATION  Focus on Northern area, 409 For personal use only holes drilled, 159 on Dinner Hill  Numerous intersections of high grades close to the surface  Dambadjie, +60m of high grade  Dinner Hill, first resource, phosphate closer to surface 15

  16. Slide 16: K-Max Phosphate

    For personal use only 16 K-MAX PHOSPHATE

  17. Slide 17: Dinner Hill Exploration Target

    DINNER HILL EXPLORATION TARGET For personal use only  Exploration target of 1 to 1.5Bt of greensand @ 4.0 to 4.8% K2O.  Includes 300-600Mt of phosphate mineralisation at a grade of between 1.5% and 3% P2O5. The exploration target has been derived from the exploration already undertaken by the Com

  18. Slide 18: Scoping Study Results - Phosphate

    SCOPING STUDY RESULTS - PHOSPHATE For personal use only THROUGHPUT 3.8 mtpa NPV8 AU$M (1) 331 CAPITAL COSTS, AU$M 144 OPEX, AU$/tonne of PRODUCT 241 REVENUE , AU$/tonne of PRODUCT 383 IRR% (1) 29.5 MINE LIFE +20 YEARS EBITDA (1), AU$M pa 48 (1) Ungeared, pre-tax 18

  19. Slide 19: K-Max Study Results

    K-MAX STUDY RESULTS For personal use only THROUGHPUT 2.4 mtpa NPV10 $m 808 Capital Costs, $m 650 Opex, $/tonne of feed 55 ($71/t of product) Revenue, $/tonne of feed 150 Alum 40%, Potash 30%, ($210/tonne of product) Phosphate 25%, Iron 5% IRR % 21 Mine Life +60 years Free Cash Flow, AU$M, pa 228 19

  20. Slide 20: Dinner Hill Development Timelines

    Dinner Hill Development Timelines For personal use only 2014 2015 2016 2017 2018 2019 2020 2021 2022 Phosphate Project Feasibility Study Construction Operation K-Max Project Pilot Plant Prefeasibility Study Feasibility Study Construction Operation 20

  21. Slide 21: Corporate Structure

    Corporate Structure Potash West NL For personal use only 100% 100% 100% PWN Development Dinner Hill Mining K-Max Company Pty Ltd Company Pty Ltd Technology Pty Ltd •Overseas assets of group •Potash, Phosphate and by-products •Licences in Dandaragan Trough rights in EL 3987, Western Australia • Proce

  22. Slide 22: Market Cap. of Fertiliser Explorers and Developers

    MARKET CAP. OF FERTILISER EXPLORERS AND DEVELOPERS For personal use only Market Cap, $M As at 12 Aug 2014 22

  23. Slide 23: Investment Highlights

    INVESTMENT HIGHLIGHTS  Exposure to the growing fertiliser business For personal use only  Regions are major importer  German Potash, exploration upside  Long production history  Extensive database available, quality partners  Dandaragan Trough  Strategic location  Low risk start up with phos

  24. Slide 24: Questions?

    QUESTIONS? For personal use only Patrick McManus Unit 3 Managing Director 23 Belgravia Street Mobile +61 (0) 408 956 798 Belmont WA 6104 patrick.mcmanus@potashwest.com.au PO Box 588 Adrian Griffin Belmont WA 6984 Chairman Mobile +61 (0) 418 927 658 Phone +61 (0) 8 9479 5386 adrian.griffin@potashwest

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