Slide 1: Alkane Resources Ltd
For personal use only www.alkane.com.au
Slide 2: Alkane Resources Ltd – Multi Commodity Developer
Alkane Resources Ltd Multi Commodity Developer For personal use only Focussed in the Central West NSW Two major projects through subsidiaries Australian Strategic Materials Ltd (ASM) • Dubbo Project Technology metals Tomingley Gold Operations Pty Ltd (TGO) • Tomingley gold production Cash flow gener
Slide 3: Tomingley Gold Operations
Tomingley Gold Operations For personal use only • Resource – 579,000oz of gold (22 Sept 2016) • Reserve – 253,000oz (22 Sept 2016) • Mine method – open cut W1, W3, C1 & C2 • Underground feasibility in progress • Mine Life – 4.5 years inclusive of undergound • Processing plant standard CIL 1.0Mtpa th
Slide 4: Megatrends – Driving the next cycle
Megatrends – Driving the next cycle For personal use only Internet of Transportation Things Clean Sustainability Energy Ageing Population Technology drivers • Faster • Smaller • Stronger • Lighter Urbanisation • Cleaner • Safer © 2017 Alkane Resources Ltd 4
Slide 5: Collection of Big Data by Sensors & Actuators
Collection of Big Data by Sensors & Actuators “Australian Strategic Materials & Alkane For personal use only can supply up to 19 critical elements” Connecting people and processes ubiquitously for Smart Systems and IoT © 2017 Alkane Resources Ltd Gold Silver Tantalum 5
Slide 6: Emissions minimisation
Emissions minimisation Zero or Low CO2 Emissions For personal use only Clean Power Energy • Wind • Solar • Nuclear • Wave • Thermoelectric Storage • Large capacity batteries • Ferroelectric • Solid oxide fuel cells • Portable batteries • Piezoelectrics © 2017 Alkane Resources Ltd 6
Slide 7: Rare earth permanent magnets
Rare earth permanent magnets For personal use only Global wind capacity to nearly double in next five years (2015-2020) In 2015 – 433GW (84,868t REE) In 2020 – 792GW (155,232t REE) Dubbo Project can support 1.4GW output • 196kg REE used per MW power in wind turbine NdFeB permanent magnets • Niobium
Slide 8: Rare earths in auto transport
Rare earths in auto transport For personal use only HYBRID NIMH BATTERY GLASS & MIRRORS LCD SCREEN HEADLIGHT GLASS • Lanthanum • Cerium • Europium • Neodymium • Neodymium • Yttrium • Cerium More than 100 magnet motors in one car* • Cerium 25+ ELECTRIC MOTORS ELECTRIC MOTORS * Source: Adamas Research
Slide 9: Nuclear power demand still growing
Nuclear power demand still growing 449 Operating nuclear plants For personal use only 60 Undergoing construction 170 Planned in China by 2050 Zirconium clads nuclear fuel rods Hafnium is used in nuclear control rods Zirconium niobium alloys © 2017 Alkane Resources Ltd 9
Slide 10: Next gen transport applications
Next gen transport applications • Zirconium & hafnium in jet engines – super alloys For personal use only • Niobium & hafnium in rocket nozzles – super alloys • Hafnium for thermoelectric applications – electricity generation • Hafnium in special space batteries Transportation • Heat shields © 2017
Slide 11: Hafnium – next gen memory
Hafnium – next gen memory For personal use only Permanent Memory Ferroelectric micro-processing using HfO2 • Ultra-fast, low-power, non-volatile successor to flash memory (atomic layer deposition) • HfO2 already used in electronics and compatible with silicon fabrication techniques • k-gate chips, f
Slide 12: Dubbo Project
Dubbo Project 400km northwest of Sydney For personal use only • • 25km from Dubbo city (pop~45,000) • Dubbo infrastructure – roads, rail, power, gas, light engineering, people • Large polymetallic resource - zirconium, hafnium, niobium (tantalum), yttrium and rare earths • Defined resource supports
Slide 13: Separation Process
Separation Process Process of sulphuric acid leach and solvent extraction separation For personal use only and chemical refining proved and products distributed to customers for evaluation and qualification © 2017 Alkane Resources Ltd 13
Slide 14: Product Output
Product Output For personal use only 6,664 tpa Rare earth chemical concentrate 95% REO (REO units) DP Process Plant 16,374 tpa Zirconium as ZBC (carbonate) & zirconia 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)
Slide 15: Rare Earth Output
Rare Earth Output For personal use only DP REE SX Toll treatment – off site Rare Earth Concentrates La2O3 1,441 tpa La / Ce CeO2 2,367 tpa 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 22t
Slide 16: Marketing and Off-take
Marketing and Off-take Minchem – World wide zirconium product & For personal use only marketing/sales agreement. Treibacher Industrie AG - JV to produce & market ferro- niobium Vietnam Rare Earth (VRE) – LOI for the production and marketing of separated rare earth products, and down stream value add
Slide 17: Modular Design – lowers risks
Modular Design – lowers risks For personal use only Construction 2017 - 2019 Estimated cost US$480M --------------------- Construction 2022 - 2023 Estimated cost US$360M --------------------- Estimated total Cost US$840M Detail in ASX release 28 October 2016 © 2017 Alkane Resources Ltd 17
Slide 18: Diversified products – lowers risks
Diversified products – lowers risks Dubbo Project - product revenue split For personal use only Niobium 17% Magnet metals: Praseodymium, Neodymium, Dysprosium, Terbium, Samarium 25% Hafnium 10% Other rare earths, including Yttrium 5% Zirconium 42% *Stage 1 revenue US$200 - 220M Opex US$120 – 130M *e
Slide 19: Dubbo – leading the next cycle
Dubbo – leading the next cycle TGO continues to generate positive cash flow – strong recovery in production and For personal use only reduction in costs following rain impacted first half (FY17) DUBBO PROJECT IS CONSTRUCTION READY • Water and power supply arrangements well advanced • Progressing cus
Slide 20: 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
Slide 21: DP Resources and Reserves
DP Resources and Reserves For personal use only Dubbo 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 0.14 0.75 The
Slide 22: TGO Resources and Reserves
TGO Resources and Reserves TOMINGLEY GOLD PROJECT MINERAL RESOURCES (as at 30 June 2016) MEASURED INDICATED INFERRED TOTAL For personal use only Total Gold DEPOSIT Tonnage Grade Tonnage Grade Tonnage Grade Tonnage Grade (Kt) (g/t Au) (Kt) (g/t Au) (Kt) (g/t Au) (Kt) (g/t Au) (Koz) Open Pittable Reso