Parkway Corporate Limited · ASX:PWN
Parkway Corporate — Potash West NL — Investor Presentation (January 2013)
20 slides from Parkway Corporate's investor presentation, Jan 21, 2013
Slide 1: A World Class Product from a World Class Asset
Disclaimer Disclaimer For personal use only This document has been prepared by Potash West NL (“Potash” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect
Slide 2: Disclaimer
Disclaimer For personal use only This document has been prepared by Potash West NL (“Potash” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those se
Slide 3: Company Snapshot
Company Snapshot Snapshot Capital Structure For personal use only ASX Code: PWN Elsinore Energy 15% 12.5m ADR OTC-QX Code: PWNNY Contingent Entitlement 18% 15m Share Price: (As at 10 January 2013) AU$0.28 Shares Market Cap: AU$23m Other shares 67% 56.4m Shares on Issue: 84m TOTAL 100% 83.9m 12 Month
Slide 4: Investment Case
Investment Case For personal use only • Potash West is creating an opportunity in the global fertiliser industry, by: • Making fertiliser products from one of the worlds largest glauconite deposits Greensand Glauconite Potash and other products 4
Slide 5: Fertiliser Business
Fertiliser Business For personal use only • Three elements are needed in 10s and 100s of kg per hectare: • N, Nitrogen • P, Phosphorous • K, Potassium • Not interchangeable ACN 147 346 334 Image (Above): Effect on wheat crops • Different crops = different ratios • Fertiliser blenders mix products fo
Slide 6: Potash Usage Rates
Potash Usage Rates For personal use only Kg KCl per hectare Bananas Sugar Cane Tomatoes ACN 147 346 334 Oil Palm Corn Wheat Rice Soybeans 0 500 1000 1500 2000 2500 3000 Image (Above): Effect of K on rice 6
Slide 7: Population Dynamics
Population Dynamics For personal use only 10 0.45 Population (Billions) LHS 9 0.4 Arable Land per person (hectares) RHS 8 0.35 7 0.3 6 0.25 5 0.2 4 0.15 3 2 0.1 1 0.05 0 0 1960 1970 1980 1990 2000 2010 2020 F 2030 F 2040 F 2050 F 7
Slide 8: Potash Market
Potash Market For personal use only Price of Potash 1000 900 KCl US$/t, FOB Vancouver 800 700 600 500 400 300 200 100 0 8
Slide 9: Market Opportunities
Market Opportunities For personal use only • Australia consumes ~ half a million tpa potash, all imported • WA and QLD 40% each. WA prefers K2SO4 (price premium) • There is no potash production in Australia, • Project located within Australia’s largest potash consuming area • Established domestic in
Slide 10: Project Location
Project Location For personal use only • +2900 km2 of prospective area • ~150km of strike • ~+20km width • Many intersections +20m • Great infrastructure • Close to local markets • Close to rail and export ports 10
Slide 11: Aggressive Work Programme
Aggressive Aggressive Work Work Programme Programme For personal use only 100% • IPO 90% • Stratigraphic drilling 80% Extraction (%) 70% • process testwork 60% K, % extraction… 50% • Resource targets identified 40% 30% • Flowsheet identified 20% • JORC resource 10% 0% • Scoping study res
Slide 12: Results to Date, Drilling
Results to Date, Drilling For personal use only • Target areas identified from stratigraphic drilling, throughout Dandaragan Trough • Most areas fit geological model, shown below • Initial JORC resource of 122 Mt @ 4.6%K2O announced, 11 October 2012 12
Slide 13: Dinner Hill
Dinner Hill For personal use only • Total Resource 244 Mt @ 3.0%K2O (October 2012) • Including 122 Mt @ 4.6%K2O Within less than 20% of Dinner Hill target area 13
Slide 14: Flow Sheet
Flow Sheet For personal use only Chemical Greensands ore Glauconite plant Concentrate Bulldozer mining, pumping Primary Leaching Crystallisation Primary Upgrade Plant Co-Product Co-Product Separation Recovery Leach residue Aluminium, Potash Iron & products Phosphate Tails back Co-products to pit 14
Slide 15: Scoping Study Parameters
Scoping Study Parameters For personal use only • Mining Rate 2.4 Mtpa • Suite of products: • 85,000 tpa SOP • 195,000 tpa KMS • 220,000 tpa Iron oxide • 900,000 tpa Aluminium Sulphate • 310,000 tpa phosphate • SOP and Phosphate consumed locally • Balance exported 15
Slide 16: Scoping Study Results
Scoping Study Results For personal use only 2.4 mtpa 4.0 mtpa NPV10 $m 808 1,163 Capital Costs, $m 650 880 Opex, $/tonne of product 77 72 Revenue, $/tonne of product 205 184 IRR % 21.0 20.7 Mine Life +60 years 39 years 16
Slide 17: Medium Term Work Plan
Medium Aggressive termWork PlanProgramme For personal use only ACTIVITY COMPLETION Scoping study results Dec 2012 Pre Feasibility study Q4 2014 Feasibility Study Q1 2015 Financing Q3 2015 Construction Q1 2017 Commissioning Late 2017 Full Scale production Mid 2018 17
Slide 18: Value Proposition, Potash Explorers
Value Proposition, Potash Explorers For personal use only Company Projects Location Status Market Cap Western Potash (TSX: WPX) 2 MOP Canada 1 Expl C$94M 1 Resource Sirius Minerals (AIM: SXX) 3 MOP 1 MOP/SOP UK, Australia, USA Resource 1.35 Bt@ 25.6 % K2SO4 ₤386M Verde Potash (TSX V: NPK) Green Slat
Slide 19: Investment Highlights
Investment Highlights For personal use only • Exposure to the booming fertiliser business • Tight capital structure • The company has a skilled & experienced management team • High extraction possible with simple technology • Favourable process economics • Techniques applicable to other deposits, •
Slide 20: Questions?
For personal use only Questions? 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
Potash West NL — Investor Presentation (January 2013) on 6ix