Alphamin Resources Corp. · TSXV:AFM
Alphamin Resources — Q4 2020 Earnings Presentation
19 slides from Alphamin Resources's earnings presentation, Mar 25, 2021
Slide 1: Investor Presentation – Quarter ended December 2020
Investor Presentation Quarter ended December 2020 25 March 2021
Slide 2: Disclaimer
Disclaimer This Investor Presentation (the “Presentation") was prepared as a quarterly performance update and a summary overview only of the current affairs of Alphamin Resources Corp. (”Alphamin" or the “Company") and was not prepared for the purpose of assisting prospective investors in making a d
Slide 3: Disclaimer
Disclaimer Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those express
Slide 4: Disclaimer – Use of Non-IFRS Financial Performance Measures
Disclaimer USE OF NON-IFRS FINANCIAL PERFORMANCE MEASURES This Presentation refers to the following non-IFRS financial performance measures: Earnings before interest, taxes, depreciation and amortization (“EBITDA”) and All-In Sustaining Cost (“AISC”). These measures are not recognized under IFRS as
Slide 5: Conference Call Agenda and Speakers
Conference Call Agenda and Speakers AGENDA SPEAKERS ▪ Corporate Overview ▪ Value Proposition Maritz Smith CEO ▪ Operational Performance and Outlook ▪ Financial Performance and the Balance Sheet Trevor Faber ▪ Operational Outlook F2021 COO ▪ Exploration Update ▪ The Tin Market and Share Price Perform
Slide 6: Corporate Overview
Corporate Overview Corporate Overview Market Statistics at 25 March 2021 ▪ Bisie tin mine located in the resource rich Democratic Republic of Congo (DRC) Share Price C$0,58 (Up 49% from end 2020) ▪ Lowest quartile cost producer of 4% of the world’s mined tin(5) Market C$687m (US$545m) Capitalization
Slide 7: Value Proposition
Value Proposition ▪ Exponential value increase from exposure to the tin price Exposure to ▪ Tin benefits from green technologies and growth in the electronics industry Growing Tin ▪ Sustained higher tin price required to incentivize additional supply in response to Market demand growth ▪ Produces 4%
Slide 8: Operational Performance and Outlook
Operational Performance and Outlook Ore Processed Plant Feed Grade 120 5.0 100 4.0 (‘000 tons) 80 3.0 %Sn 60 2.0 40 20 1.0 - - Planned Actual Plant Recoveries Tin Produced 76 3,500 74 3,000 72 2,500 70 tons 2,000 % 68 66 1,500 64 1,000 62 500 60 - Note: NI 43-101 technical report – F2020 parameters
Slide 9: Financial Performance and Balance Sheet
Financial Performance and Balance Sheet EBITDA (US$’000) AISC vs Tin Price (US$/t) 19,000 20,000 17,000 15,000 15,000 13,000 10,000 11,000 5,000 9,000 - 7,000 Q1 2020 Q2 2020 Q3 2020 Q4 2020 5,000 Q1 2020 Q2 2020 Q3 2020 Q4 2020 AISC Tin Price Tin Sales (Sn tons) Working Capital and Net Debt 5,000.0
Slide 10: Operational Outlook – F2021
Operational Outlook – F2021 ▪ Q1 2021 contained Tin sales of ~3,200t (catch-up of weather-related delays in Q4 2020) ▪ Approximately 12,000t contained tin production (H1 ~5,500t; H2 ~6,500t) ▪ H2 2021 Tin Production target from: ▪ Fine Tin Recovery Plant commissioning expected in June 2021 ▪ Plant t
Slide 11: Exploration Update – Becoming one of the World’s Largest Tin Producers
Exploration Update – Becoming one of the World’s Largest Tin Producers Alphamin 2021 Exploration Plan Progress – Q1 2021 Objectives Drilling: 1. Mpama South: Maximise size / grade of maiden Resource by end of 2021 ✓ Phenomenal visible tin intercepts with assays pending Key 2. Mpama North: Drill furt
Slide 12: Mpama South – Potential lookalike to current producing orebody
Mpama South – Potential lookalike to current producing orebody Objective 1: Mpama South Maiden Mineral Resource (750m from process plant) 1. Main Zone: similarities to Mpama North’s high grade shoot emerging 2. Footwall Zone: newly discovered and visible highly mineralised zone (assays pending) 3. M
Slide 13: Mpama South – Potential lookalike to current producing orebody
Mpama South – Potential lookalike to current producing orebody Objective 1: Extent of 3-Phase Maiden drilling plans (By August ’21) 13
Slide 14: Mpama North – Current producing orebody
Mpama North – Current producing orebody– Drilling for strike and dip extensions Objective 2: Prove extents of the high grade Mpama North orebody 1. Grow existing mine resources: 7,500m of strike and dip drilling planned in 2021 on an already operating mine 2. With high grades: the final northern dri
Slide 15: Bisie Ridge all within Alphamin’s Mineral Licences
Two highly prospective drill targets on an already bountiful 13km of Bisie Ridge all within Alphamin’s Mineral Licences Objective 3: Discover a further Orebody in close proximity Mpama North / South Blueprint ✓ Intersection of an altered lithological horizon with structures tapping western granites
Slide 16: The Tin Market
The Tin Market Tin Market is Entering a Growth Period Supported by Applications in New Technologies(2) kt USD/t Metals Most Impacted by New Tech(1) Deficit Post 2025 550 35,000 Tin Consumption (3-4% CAGR from 2025 forecast by ITA, RHS) 500 30,000 Lithium ITA Incentive Price Required to Fill Supply G
Slide 17: Tin and Share Price Performance
Tin and Share Price Performance A Pure Tin Play ✓ Tin price increase over graphed period = 54% ✓ Share price increase over graphed period = 217% Sources: www.lme.com and Money.tmx.com 17
Slide 18: Summary
Summary ▪ A lowest quartile cost producer of 4% of the world’s mined tin(1) ▪ Balance sheet strength and strong cash flow generation allows for: ▪ Further debt reductions; and ▪ Growth initiatives ▪ Path to production increases by H2 2021 ▪ Drilling campaigns targeting resource extensions ▪ Consider
Slide 19: Thank You Q&A
Thank You Q&A Alphamin Resources Suite 1, Perrieri Office Suites C2-302, Level 3, Office Block C La Croisette, Grand Baie, 30517 Mauritius 19