Andromeda Metals Limited · ASX:ADN
Andromeda Metals — NWR Small Cap Resources Conference 2020
12 slides from Andromeda Metals's conference presentation, May 7, 2020
Slide 1: Developing a World-Class Halloysite-Kaolin Project
Andromeda Developing a World-Class Halloysite-Kaolin Project James Marsh, Managing Director NWR Small Cap Resources Presentation th May 7 2020 ASX:ADN www.andromet.com.au
Slide 2: Andromeda Corporate Overview
Andromeda Corporate Overview Capital Structure (as at 30th April 2020) ➢ Market Capitalisation $72.7M ➢ Cash $3.09M ➢ Debt $0M ➢ Enterprise Value $69.6M ➢ 1,483,662,408 fully paid ordinary shares Options • 661,874,332 listed ($0.012 & expiry 30 Nov 2020) • 20,000,000 unlisted ($0.012 & expiry 15 Nov
Slide 3: Company Overview
Company Overview Our Vision To be a world leading producer of halloysite-kaolin, and a specialist nanotechnology company • Primary Focus - developing the Poochera Project core asset in South Australia into a world-class halloysite-kaolin mining operation ➢ Also upgrading the historic Mt Hope halloys
Slide 4: Poochera – World Class Opportunity
Poochera –World Class Opportunity Primary Project Focus - Halloysite-Kaolin Project ▪ Carey’s Well is one of the world’s largest halloysite-kaolin Resources(1) ▪ Located close to essential infrastructure ▪ Updated Scoping Study improved already very robust Project economics(2) ▪ High grade halloysit
Slide 5: Defined Resource
Defined Resource The Poochera resource is a naturally occurring hybrid blend of halloysite tubes and kaolinite plates Current Pre-Feasibility Study JORC 2012 Resource Estimate for Carey’s Well ▪ Over 20Mt of “bright white” kaolinised granite ▪ High halloysite component of 9.7Mt Future Opportunities
Slide 6: The Halloysite-Kaolin Market
The Halloysite-Kaolin Market Mature Established Market ▪ Ceramics (high-quality porcelain) – Offtake LOI’s signed for a total of almost 1 million tpa in 3 product forms • Fully refined product value approx. AU$700/t (used in Scoping Study) Emerging Market ▪ Halloysite Nanotube Technologies – Existin
Slide 7: Operational Strategy
Operational Strategy Short Term – early cash flow ▪ Based on Carey’s Well Resource ▪ Direct Shipping Ore (DSO) to Toll Wet-Refining ▪ Wet Refining Toll Process (China/Japan) – premium product Medium Term – 18 months from start of operations ▪ Wet Process at Mine Site – 50% waste sand removal ▪ Poten
Slide 8: Updated Scoping Study Highlights
Updated Scoping Study Highlights • Initial mine life of 15 years at 500ktpa • Early shallow open-cut mining to ship DSO for toll wet-refining in China • Wet-processing on site during the second year of operation to give a ‘Concentrate’ • LOM projected cashflow A$1.05B • LOM Revenue A$2.38B • Net Pre
Slide 9: The Halloysite Nanotube Potential
The Halloysite Nanotube Potential Emerging and Existing Applications ➢ Hydrogen Storage and Transport – Grant funded research in progress ➢ Batteries and Super-Capacitors – Excellent results obtained and additional grant funding applied for ➢ Water Purification – Excellent results obtained and addit
Slide 10: What's Next?
What’s Next? • Pre-feasibility study to be released – by the end of May 2020 • Mining lease approvals – commencing June 2020 • Upgrade Mt Hope resource – 2020 • Define a halloysite-kaolin resource at Condooringie – 2020 • Progress halloysite nanotube application research – ongoing • Secure an HPA al
Slide 11: In Summary
In Summary ▪ Andromeda has one of the world’s largest resources of halloysite-kaolin ▪ This is a high value industrial mineral ▪ Global demand is increasing*and production is decreasing ▪ Low capex project with a short timeline to operation ▪ Simple business model with low impact mining ▪ Andromeda
Slide 12: Thank You
Cautionary Statements The Scoping Study referred to in this announcement has been undertaken to determine the potential viability of a direct shipping and dry-processing operation to produce high-quality halloysite-kaolin product at Poochera in South Australia that will provide Andromeda Metals with
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