Alkane Resources Ltd · ASX:ALK

Alkane Resources — 12th International Rare Earth Conference 2016

17 slides from Alkane Resources's conference presentation, Nov 10, 2016

  1. Slide 1: Securing Funding for a Rare Earth Project - the Polymetallic Advantage

    For personal use only “Securing Funding for a Rare Earth Project - the Polymetallic Advantage” 12th International Rare Earth Conference Hong Kong 8-10 November 2016

  2. Slide 2: Key Drivers for Evaluation & Development

    Key Drivers for Evaluation & Development For personal use only  GEOLOGY: The ore mineralogy and host rock composition. Distribution of ore minerals – dispersed, layered or patchy  METALLURGY: Can the ore minerals be concentrated; degree of liberation from host. Ease of dissolution, recovery and fo

  3. Slide 3: REE deposit examples

    REE deposit examples For personal use only The major deposits – alkaline intrusive complexes and rarely volcanic sequences. All have variable mineralogy and uranium and thorium content. Are found in many world wide locations. Baogang – China Iron ore – light REE – producing Ganzhou RE + - China HREE

  4. Slide 4: At Current REE Prices

    At Current REE Prices For personal use only Both China internal and China FOB prices have remained flat or continued to drift slightly lower since mid 2015 Baogang – China Iron ore – not economic at present. LREE producing Ganzhou RE + - China HREE producing Most Chinese REE producers report break e

  5. Slide 5: The Example - Dubbo Zirconia Project

    The Example - Dubbo Zirconia Project For personal use only LOCATION: 400km northwest of Sydney within a region that has substantial infrastructure – roads, rail, power, gas, light engineering, people (~100,000), being a large agricultural and mining area GEOLOGY: 2000- 2001 A very large polymetallic

  6. Slide 6: The Example - Dubbo Zirconia Project

    The Example - Dubbo Zirconia Project For personal use only OFFTAKE: Agreements with Treibacher Industrie AG for all niobium output; Siemens for several rare earths, zirconium, hafnium and niobium. Marketing and Sales Agreement with Minchem Ltd for all zirconium output. Multiple other agreements at v

  7. Slide 7: Process Flowsheet

    Process Flowsheet For personal use only The process is a whole of ore sulphuric acid leach, followed by solvent extraction separation and chemical refining to produce products. It is a combination of several well known individual process components, developed over 15 years. © 2016 Alkane Resources L

  8. Slide 8: Product Output

    Product Output For personal use only 6,667 tpa Rare earth chemical concentrate 95% REO DZP Process Plant (REO units) 16,374 tpa Zirconia and zirconium chemicals 99% ZrO2 (ZrO2 units) 50 tpa Hafnium as HfO2 concentrate HfO2 conc * (Hf units) 1,967 tpa Niobium as ferro-niobium 65% Nb (Nb units) * Star

  9. Slide 9: Rare Earth Output

    Rare Earth Output For personal use only DZP REE SX Toll treatment – off site Rare Earth Concentrates La2O3 1,441tpa La / Ce CeO2 2,367tpa Pr6O11 237tpa Pr / Nd Nd2O3 921tpa Sm2O3 112tpa Sm / Eu / Gd Eu2O3 3tpa Gd2O3 107tpa Tb / Dy / Ho / Er / Tb4O7 14tpa Tm / Yb / Lu Dy2O3 122tpa Y (2/3N) Ho2O3 22tp

  10. Slide 10: DZP Financial Summary

    DZP Financial Summary For personal use only Front End Engineering Design (FEED) completed August 2015 on 1Mtpa ore processed Capex US$0.93B / US$80M contingency Revenue US$430 - $470Mpa DZP REVENUE SPLIT Opex US$220 - 230Mpa Pr-Nd, Nb, 14.4% EBITDA US$235 - $275Mpa 19.8% 20 year NPV US$1.1B (8%) Hf,

  11. Slide 11: Modularised Development Concept

    Modularised Development Concept For personal use only Consequent on a review of engineering and capital cost following the FEED study, a Progressive modularised development and construction concept is being investigated build concept Key outcomes to date have shown that the 1Mtpa plant can be divide

  12. Slide 12: Modularised Development Concept

    Modularised Development Concept For personal use only Construction 2017 - 2019 Estimated cost US$480M --------------------- Construction 2022 - 2023 Estimated cost US$360M --------------------- Estimated cost US$840M © 2016 Alkane Resources Ltd 12

  13. Slide 13: Key Applications

    Key Applications For personal use only  ZIRCONIUM: Auto catalysts for emissions minimization; thermal barrier coatings for turbines (jet and industrial); ceramics; special alloys/glass; paint drying; paper coating; jewelry  HAFNIUM: Turbine super alloys (jet and industrial); special ceramics; k-ga

  14. Slide 14: The Polymetallic Advantage?

    The Polymetallic Advantage ? For personal use only Advantages Disadvantages Market diversity Process complexity Revenue diversity Higher capex Revenue stability Market complexity Spreading of risk Investor understanding Future proofing Benchmarking (technology changes) Advantages >> disadvantages wi

  15. Slide 15: Disclaimer

    Disclaimer For personal use only This presentation contains certain forward looking statements and forecasts, including possible or assumed reserves and resources, production levels and rates, costs, prices, future performance or potential growth of Alkane Resources Ltd, industry growth or other tre

  16. Slide 16: Thank you

    For personal use only © Thank you

  17. Slide 17: DZP Resources and Reserves

    DZP Resources and Reserves For personal use only Dubbo Zirconia Project – Mineral Resources Toongi Tonnage ZrO2 HfO2 Nb2O5 Ta2O5 Y2O3 REO Deposit (Mt) (%) (%) (%) (%) (%) (%) Measured 35.70 1.96 0.04 0.46 0.03 0.14 0.75 Inferred 37.50 1.96 0.04 0.46 0.03 0.14 0.75 Total 73.20 1.96 0.04 0.46 0.03 0.1

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