Volt Resources Ltd · ASX:VRC
Volt Resources — Investor Presentation (October 2017)
19 slides from Volt Resources's investor presentation, October 2017
Slide 1: Fast-tracking a globally significant graphite project
Fast-tracking a globally significant graphite project Investor Presentation Trevor Matthews | Chief Executive Officer October 2017
Slide 2: Disclaimer
Disclaimer The information contained in this confidential document (“Presentation”) has been prepared by Volt Resources Limited (the “Company”). It has not been fully verified and is subject to material updating, revision and further amendment. While the information contained herein has been prepare
Slide 3: Corporate Snapshot
Corporate Snapshot 12 Month Share Price Performance and Volume 12 Month Share Price Performance and Volume 60,000 60,000 0.10 0.10 Capital Structure 0.08 0.08 Shares on Issue 976,784,189 40,000 40,000 ('000) Listed Options 236,314,931 Volume ('000) 0.06 0.06 Price ($) Price ($) Volume 0.04 20,000 0.
Slide 4: Investment Highlights
Investment Highlights GLOBALLY SIGNIFICANT RESOURCE ▪ Flagship Bunyu Project has the largest JORC Mineral Resource in Tanzania ▪ 461Mt at 4.9% Total Graphite Carbon (TGC) ▪ Within the highly endowed East Africa graphite belt in Tanzania ▪ Only 140km by sealed road from the Port of Mtwara NEAR-TERM P
Slide 5: Bunyu Graphite Project – VRC 100%
Bunyu Graphite Project – VRC 100% Volt aiming to be one of the top three global suppliers of natural graphite by 2020 ▪ Flake distribution skewed towards jumbo, large and medium size ▪ Largest ore reserve amongst ASX listed peers of 127 Mt @ 4.4% TGC ▪ Largest mineral resource in Tanzania of 461Mt @
Slide 6: Strategic Location & Excellent Infrastructure
Strategic Location & Excellent Infrastructure ▪ Located in south-east Tanzania 140km from Mtwara Port in the highly endowed East African graphite belt ▪ Sealed road from Project to the deep water port at Mtwara ▪ Safe to export graphite product ▪ Port land available for product storage ▪ Support of
Slide 7: Development Timeline
Development Timeline CY2017 CY2018 CY2019 CY2020 Q4 H1 H2 H1 H2 H1 H2 Stage 1 DFS Commences Stage 1 DFS Completion Plant Construction Stage 1 Commissioning and Ramp-Up Stage 2 FID Based on Offtakes and Financial Close Stage 2 Development Stage 2 Commissioning and Ramp-Up 7
Slide 8: Fast-Tracking Stage 1 Production
Fast-Tracking Stage 1 Production ▪ Mine plan based on a near surface zone with low strip ratio ▪ Open pit with depth of 100m, simple mining using conventional drill and blast, load and haul method ▪ Initial +5 year LOM with plans to expand to a multi-decade LOM via Stage 2 Development ▪ First cash-f
Slide 9: Stage 2 Development Strategy
Stage 2 Development Strategy ▪ Expand capacity in tandem with anticipated increase in graphite demand ▪ Enlarged facility planned for completion by 2020 ▪ PFS based on 170,000tpa of graphite products with very strong economics ▪ PFS economics - 1.4 year payback, post tax NPV of US$890m, average annu
Slide 10: Robust Project Economics
Robust Project Economics PFS Base case price and production assumptions resulted in an attractive 87% IRR and pre-tax NPV of US$1.31B (based on ore material from Measured, Indicated and Inferred Mineral Resource categories) Key Financial Measure Units Result IRR – Before Tax (%, real) 86.9% IRR – Af
Slide 11: Stage 1 Indicative Offtake Agreements
Stage 1 Indicative Offtake Agreements Confirmed Off-take Agreements ▪ Nanographene: US-based graphene producer, fixed price binding 5 year offtake agreement signed. ▪ Flake graphite product offtake ▪ 1,000tpa (average) ▪ NGI’s Brooklyn-based plant commissioned and fully operational. Supply agreement
Slide 12: Graphite Market Outlook
Graphite Market Outlook NATU RA L F LA KE CONCENTRATE DEMA ND What is Flake Graphite? FForecast OR SPHERI CAinL/EX PAflake NDA B LE GRAdemand PHI TE for growth natural concentrate spherical and expandable PRODU CTI ON graphite ▪ The most sought-after graphite in the industry, distinguished (tonnes)
Slide 13: Bunyu has Exceptional Product Characteristics
Bunyu has Exceptional Product Characteristics ▪ Jumbo, large and medium flake size suitable for expandable, battery anode and graphene application ▪ Excellent metallurgy confirmed by Independent German metallurgical lab ▪ Good product quality with no deleterious elements or quartz veins within graph
Slide 14: Graphite Peer Comparison
Graphite Peer Comparison Largest Ore Reserve 2nd Largest Mineral Resource Probable Proved Measured Indicated Inferred GPX GPX KNL KNL BKT MNS MNS SYR VRC VRC SYR 0 20 40 60 80 100 120 140 0 200 400 600 800 1,000 1,200 (Mt) (Mt) 14
Slide 15: Tanzanian Jurisdiction Overview
Tanzanian Jurisdiction Overview VRC Board has significant experience managing operations within Tanzania: ▪ Chairman Asimwe Kabunga is a Tanzanian-born Australian entrepreneur who has over 19 years technical and commercial experience in Tanzania, the United States and Australia. ▪ Non Executive Dire
Slide 16: Tanzanian Jurisdiction Overview
Tanzanian Jurisdiction Overview ▪ Tanzanian Government appointed mining minister Ms Angellah Kairuki on October 9, 2017 ▪ Separated mines and energy into different portfolios creating a single ministry focussed on mining ▪ Improving relations with investors is one of the Tanzanian Government’s top p
Slide 17: Near-Term Value Catalysts
Near-Term Value Catalysts ▪ Clear pathway to become a near-term graphite producer and globally significant supplier of natural flake graphite ▪ Discussions advancing well with a number of potential strategic partners for the development of Stage 1 production operations ▪ Targeting Stage 1 production
Slide 18: PFS Demonstrated Project Economics
Appendix 1 PFS Demonstrated Project Economics ▪ PFS concluded Bunyu project is financially attractive Parameter Units Metric to progress – US$1.3B pre-tax NPV and 1.4 year IRR - before tax (%, real) 86.9% Payback IRR - after tax (%, real) 66.5% NPV @ 10.0% - before tax (US$ M, real) 1,310 ▪ Average
Slide 19: Strategic Location & Excellent Infrastructure
Appendix 2 Strategic Location & Excellent Infrastructure 19
Volt Resources — Investor Presentation (October 2017) on 6ix