White Energy Company Limited · ASX:WEC
White Energy — Investor Presentation (November 2012)
38 slides from White Energy's investor presentation, November 2012
Slide 1: Company Presentation November 2012
Company Presentation November 2012
Slide 2: Forward Looking Statements
Forward Looking Statements Except for the historical information contained herein, the matters discussed in this presentation contain forward- looking statements, including statements, containing the words “planned”, “expects”, “believes”, “strategy”, “opportunity”, “anticipates”, and similar words.
Slide 3: Contents
Contents Company Overview Upgrading Coal Fines using BCB Technology Upgrading Sub-Bituminous Coal using BCB Technology Research & Development - Cessnock Demonstration Plant South Australian Coal Limited Page 33
Slide 4: White Energy
White Energy A diversified coal company listed on the ASX with significant global growth prospects White Energy is the exclusive worldwide licensee of a patented technology which upgrades high moisture low value sub-bituminous and lignite coals through a low cost process of dehydration and compact
Slide 5: Platform for Growth
Platform for Growth White Energy is organised around two distinct – but related – business divisions Coal Technology Coal Mining Briquette Bituminous Upgrade South Australian Other mining Coal Fines Sub-bituminous coal Coal assets (thermal, coking South North Other Australia Indonesia North America
Slide 6: Target Milestones for the Year Ahead
Target Milestones for the Year Ahead The Company has identified a number of key areas of focus for Financial Year 2012/2013 South Africa Australia North America Indonesia China Key • Black River • Lake Phillipson • Buckskin • Tri Mitra Bayany • In commercial Partners / • Cessnock • Peabody Energy di
Slide 7: Board and Management
Board and Management A highly regarded board and management team with an industry wide reputation for delivery and execution of major coal projects 5 of the ex-Felix Resources board members and management team were appointed in 2010 following the South Australia Coal takeover White Energy’s coal
Slide 8: White Energy's Coal Upgrading Technology
White Energy’s Coal Upgrading Technology The BCB technology has been developed over 20 years, by a consortia led Exhaust by the CSIRO Five Production Stages 1. Coal preparation Seperating Cyclone 2. Coal drying Bag House 3. Solids separation 4. Briquetting Dried Coal & Dust 5. Cooling / conditioning
Slide 9: Contents
Contents Company Overview Upgrading Coal Fines using BCB Technology Upgrading Sub-Bituminous Coal using BCB Technology Research & Development - Cessnock Demonstration Plant South Australian Coal Limited Page 99
Slide 10: Coal Fines - A Major Environmental Liability
Coal Fines - A Major Environmental Liability Coal fines represent a major environmental liability for coal producers and also carry a significant ongoing maintenance cost Billions of tonnes of coal fines are stored in slurry ponds around the world New arising fines continue to be generated at co
Slide 11: Application of the BCB Technology to Coal Fines
Application of the BCB Technology to Coal Fines White Energy is able to leverage its patented and scalable technologies to beneficiate coal fines and create a high-valued saleable product that can enhance a mine’s revenues and significantly reduce its overall costs Collect the waste & Dewater and cl
Slide 12: The Coal Fines Opportunity for White Energy
The Coal Fines Opportunity for White Energy White Energy has identified a number of commercial opportunities associated with the deployment of the BCB technology to the briquetting of coal fines South Africa currently represents White Energy’s most significant short-term opportunity for the recove
Slide 13: The Coal Fines Opportunity for White Energy (cont)
The Coal Fines Opportunity for White Energy (cont) White Energy’s unique BCB technology sets it apart from other competitors in South Africa who are currently active in the coal fines upgrading space The BCB technology produces an upgraded coal briquette without the need to use a binding agent, wh
Slide 14: The Coal Fines Beneficiation and Upgrading Process
The Coal Fines Beneficiation and Upgrading Process 2 - Reclaiming the coal fines from ponds 1 - A coal fines slurry pond 5 - Upgraded coal fines briquettes 3 - Beneficiation/screening phase 4 - BCB Briquetting phase Page14 14
Slide 15: Contents
Contents Company Overview Upgrading Coal Fines using BCB Technology Upgrading Sub-Bituminous Coal using BCB Technology Research & Development - Cessnock Demonstration Plant South Australian Coal Limited Page15 15
Slide 16: The Need for Cleaner Coal
The Need for Cleaner Coal A major portion of remaining world coal reserves are low rank. The current and future dependence on coal will require technologies that can reduce emissions and mitigate the negative effects of coal use Global coal deposits by location and type, Total Coal Reserves % of Low
Slide 17: Value Proposition – Upgrading Sub Bituminous Coals
Value Proposition – Upgrading Sub Bituminous Coals White Energy’s commercial proposition is simple – access low cost / low rank coals and upgrade the coal to more valuable and higher energy briquettes Product Upgrade Historical Price Arbitrage Historical Indonesian Coal Prices (US$/ton) 2008 - 2012
Slide 18: Opportunity: Briquetting Sub-Bituminous Coals
Opportunity: Briquetting Sub-Bituminous Coals White Energy upgraded coal results in improved energy content, lower emissions and enhanced transportation efficiencies when compared to lower rank feedstock coals Benefits of White Energy upgraded coal compared to typical Sub-Bituminous feedstock coal H
Slide 19: White Energy Upgraded Coal vs Sub-Bituminous Coal
White Energy Upgraded Coal vs Sub-Bituminous Coal Significantly, the White Energy process leads to lower emissions during transportation and at the point of combustion % Difference in Pollutants Emitted by White Net % Reduction in Actual Reduction in Energy Upgraded Coal versus PRB Coal Pollutants1
Slide 20: White Energy Upgraded Coal vs Bituminous Coal
White Energy Upgraded Coal vs Bituminous Coal Upgraded sub-bituminous coal has an improved pollution profile as it maintains the positive environmental attributes of the feedstock coal Superior environmental performance as compared to typical Australian bituminous coal Significant reduction in SOx a
Slide 21: Tabang – The World's First Commercial Scale Coal Upgrading Plant
Tabang – The World’s First Commercial Scale Coal Upgrading Plant Utilising White Energy’s design and project management skills, construction of the world’s first 1 Mtpa coal upgrading plant was completed in early 2009 Located in East Kalimantan, Indonesia Well positioned to take advantage of key
Slide 22: Tabang – The World's First Commercial Scale Coal Upgrading Plant (cont)
Tabang – The World’s First Commercial Scale Coal Upgrading Plant (cont) The upgrading of sub-bituminous coals through the reduction of moisture has been the goal of sub-bituminous coal producers and users for many years 10 Megawatt Coal-fired Power Station - Tabang 1 Mtpa Coal Upgrading Plant - Taba
Slide 23: Update on KSC's Tabang Operation
Update on KSC’s Tabang Operation At the time of suspension of operations at Tabang in November 2011, the various plant modification works being undertaken at site were around 95% complete Coal Drying • extension of the coal drying column was completed during the June 2011 plant shutdown • based on o
Slide 24: Update on KSC's Tabang Operation (cont)
Update on KSC’s Tabang Operation (cont) An extension of the coal drying column was successfully completed during the June 2011 plant shutdown, and target moisture reductions were being achieved BEFORE AFTER Prior to June 2011 Drying Column Extension Post June 2011 Drying Column Extension Page24 24
Slide 25: Update on KSC's Tabang Operation (cont)
Update on KSC’s Tabang Operation (cont) Two additional dust collection baghouses were installed at site, and were awaiting final tie-in to the main plant at the time operations were suspended Page25 25
Slide 26: Update on KSC's Tabang Operation (cont)
Update on KSC’s Tabang Operation (cont) The briquette cooling tower was relocated away from the main plant, in order to facilitate more effective cooling of the upgraded coal briquettes. Final tie-in to the main plant was scheduled to occur in November 2011 when operations were suspended Page26 26
Slide 27: Update on KSC's Tabang Operation (cont)
Update on KSC’s Tabang Operation (cont) Approximately 400 metres of additional product conveyors were installed at site, together with a much larger covered stockpile area Page27 27
Slide 28: Update on KSC's Tabang Operation (cont)
Update on KSC’s Tabang Operation (cont) Key milestones at Tabang included the successful stockpiling of 15,000 tonnes of briquetted coal for over 6 months without any moisture re-absorption Page28 28
Slide 29: Update on KSC's Legal Dispute
Update on KSC’s Legal Dispute The shareholders of KSC remain in dispute over matters relating to the Tabang coal upgrading plant • Legal proceedings commenced in December 2011 in the High Court of the Republic of Singapore by a subsidiary of the White Energy, BCBC Singapore Pte Ltd (BCBCS), against
Slide 30: Contents
Contents Company Overview Upgrading Coal Fines using BCB Technology Upgrading Sub-Bituminous Coal using BCB Technology Research & Development - Cessnock Demonstration Plant South Australian Coal Limited Page30 30
Slide 31: Research & Development - Cessnock
Research & Development - Cessnock The Cessnock Production Plant continues to provide a ‘centre of excellence’, used to test coal samples sourced from coal producers around the world Demonstration Plant, Cessnock – used to process larger-scale coal samples A new generation briquetting machine, toge
Slide 32: Research & Development – Cessnock (continued)
Research & Development – Cessnock (continued) Momentum at the Cessnock Demonstration Plant continues to be maintained A number of recent Demonstration Plant runs on South African and Australian reclaimed coal fines and Pilot Plant test work on a range of coals has been conducted Results of test
Slide 33: Contents
Contents Company Overview Upgrading Coal Fines using BCB Technology Upgrading Sub-Bituminous Coal using BCB Technology Research & Development - Cessnock Demonstration Plant South Australian Coal Limited Page33 33
Slide 34: South Australian Coal Limited
South Australian Coal Limited The SACL takeover in 2010 provided the foundations for White Energy to be a diversified company A large deposit of sub-bituminous coal - EL4534 Exploration asset 1.1 billion tonnes of JORC resources as at 31 Dec 2011 Industry leading Board and management team expe
Slide 35: South Australian Coal Limited – EL4534
South Australian Coal Limited – EL4534 Following completion of the drilling program at EL4534, mine planning is currently underway in respect of two selected mine sites within the deposit Page35 35
Slide 36: Potential Uses of the Lake Phillipson Deposit
Potential Uses of the Lake Phillipson Deposit Lake Phillipson Coal Deposit Gawler Craton Sell high Develop Upgrade coal via Identify new coal moisture coal minerals and BCB Technology technologies domestically base metals South Australia As an owner of a coal Olympic Dam and The high moistur
Slide 37: Competent Person Statement
Competent Person Statement South Australian Coal Limited The information in this presentation, which relates to Exploration Results, Mineral Resources or Ore Reserves at EL4534, for coal, is based on information compiled by Jonathan Barber, who is a member of the Australasian Institute of Mining and
Slide 38: Maritime Trade Towers Level 20, 201 Kent Street Sydney, NSW 2000
Maritime Trade Towers Level 20, 201 Kent Street Sydney, NSW 2000 Telephone: +61 2 9959 0000 Facsimile: + 61 2 9959 0099 Email: info@whiteenergyco.com ABN 62 071 527 083
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