Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Arafura Resources — Investor Presentation (March 2008)
25 slides from Arafura Rare Earths's investor presentation, Mar 18, 2008
Slide 1: Arafura Resources Limited - Nolans Project
For personal use only ARAFURA RESOURCES LIMITED NOLANS PROJECT Alistair Stephens, Managing Director March 2008
Slide 2: Important Notice
Arafura Resources Ltd For personal use only Important Notice This presentation contains certain statements which may constitute "forward-looking statements". Such statements are only predictions and are subject to inherent risks and uncertainties which could cause actual values, results, performance
Slide 3: Topics
Topics For personal use only This is just about Nolans 1. What are Rare Earths? 2. Overview of the production flowsheet 3. Nolans mine site & project activities 4. Timeline 5. Our achievements Slide 3
Slide 4: Rare Earths - metals for the future
Rare Earths - metals for the future For personal use only ©Arafura Resources Ltd
Slide 5: Rare Earths – The vitamin of energy
Rare Earths – The vitamin of energy For personal use only Slide 5
Slide 6: Rare Earths - our lifestyle needs
Rare Earths - our lifestyle needs For personal use only Slide 6
Slide 7: Nolans Project Flowsheet
Nolans Project Flowsheet RARE proce EARTH 2SSING Rare Earth Concentrate Uranium Oxide proce Phosphoric Acid Calcium Chloride Residue (By-Product) e7
Slide 8: Nolans Production
Nolans Production For personal use only Production per Current price Total revenue annum (tonnes) ($US) US$ million Rare earths 20,000 *15,000/tonne 300 Phosphoric acid 150,000 1,000/tonne 150 Calcium chloride 400,000 100/tonne 40 Uranium 150 75/lb 25 Total revenue US$515 Total Revenue at USD:AUD 0.
Slide 9: Nolans Project
Nolans Project For personal use only Location Project overview Mine Layout Heavy Media Separation Transport options Transport method Mine infrastructure Project benefits Community Slide 9
Slide 10: Nolans Location
Nolans Location For personal use only 135 km north of Alice Springs 5km to gas line 10km to Stuart Highway 15km to Aileron Roadhouse 60 km to rail line 1200 km to Darwin Slide 10
Slide 11: Project Overview
Project Overview For personal use only • Small open pit mine • +20 year mine life • 18.6Mt ore body to date, (3.1% rare earths, 14% phosphate, .02% uranium) • Leasehold pastoral property (Aileron Station) • Traditional land of the Anmatjere people Slide 11
Slide 12: Mine Site Location
Mine Site Location For personal use only Slide 12
Slide 13: Basic mining issues
Basic mining issues For personal use only • Mining 1.7M tpa for about 800,000 tpa ore • Conventional drill & blast open cut operation using excavator & truck • Crush, screen, wash ore (by heavy media separation) • Transport about 500,000 tpa concentrated ore using truck & rail • Power & water demand
Slide 14: Mine Site Layout
For personal use only Mine Site Layout Slide 14
Slide 15: Heavy Media Separation
Heavy Media Separation For personal use only • A method of separating waste from mined ore • Material is crushed to -6mm and screened • The -6mm material is then treated through a heavy media • Waste is trucked to stockpiles • Concentrated ore is dried for transport • Demonstration plant results to
Slide 16: Transport Route Options
Transport Route Options For personal use only Slide 16
Slide 17: Transport option - kibbles
Transport option - kibbles For personal use only
Slide 18: Mining Infrastructure
Mining Infrastructure For personal use only Capital estimate ∼ $75m ± 30% on pre-feasibility assumptions • Mine offices, change rooms, laundry, camp for 50-60 • Workshops, vehicle wash bay, product storage • Mining fleet – assuming campaign mining eg: 6 months • Crushing, screening and beneficiation
Slide 19: Local benefits of the Project
Local benefits of the Project For personal use only • 50 to 60 jobs with priority to locals • Opportunities for Anmatjerre people • Service and supply contracts in Central Australia • Community benefits fund ¾ Indigenous economic benefit ¾ Health, education, communications ¾ Water & power synergies
Slide 20: Community Relations
Community Relations For personal use only • Located on Aileron Station • Anmatjere country • Near Aileron & Alyuen communities • Committed to open & informed consultation process for all stakeholders • Looking at Community Benefits possibilities Helping in education, supporting the local community
Slide 21: Resource drilling & HMS - 2008
Resource drilling & HMS - 2008 For personal use only Resource drilling program at Nolans is + 90% complete • Assaying in progress – results due July to September • Stage 1 Demonstration Heavy Media Separation Plant • Bulk sampling is complete • Stage A – Crushing, screening & HMS completed • Stage B
Slide 22: To do in 2008
To do in 2008 For personal use only Mine Site – Mine NOI submitted to NT Government – Environmental studies for mine approval Stage 1 – HMS phase (a) complete with HMS plant optimisation in progress Stage 2 - Demonstration Chemical plant at ANSTO (multiple phases) – Site selection for process plant
Slide 23: Project Timeline
Project Timeline For personal use only Project Schedule Activity 2008 2009 2010 2011 2012 2013 Submit NOI Mine Studies for Mine approval Mine approval Demonstration Plant Studies Definitive Feasibility Study Process Plant Site Selection Studies & Process Plant NOI + Approval Procurement & Constructi
Slide 24: Arafura’s Achievements
Arafura’s Achievements For personal use only Project pre-feasibility study valuation NPV AUD$1.1B Additional mineralisation identified – more resources to be assessed Heavy media separation very successful as a low cost upgrade method HMS product in transit to ANSTO demonstration plant ANSTO demonst
Slide 25: Arafura Resources Limited - Nolans Project
For personal use only ARAFURA RESOURCES LIMITED NOLANS PROJECT Alistair Stephens, Managing Director March 2008
Arafura Resources — Investor Presentation (March 2008) on 6ix