Slide 1: A Globally Significant Australian Graphite Project
Renascor Resources Limited ASX code: RNU For personal use only A Globally Significant Australian Graphite Project Investor Presentation 8 May 2018
Slide 2: Important notices
Important notices For personal use only Forward Looking Statements This Presentation may include statements that could be deemed “forward-looking” statements. Although Renascor Resources Limited (the “Company”) believes the expectations expressed in such forward-looking statements are based on reaso
Slide 3: What sets us apart?
What sets us apart? For personal use only Siviour is unique as a Tier-1 graphite development in Australia PFS confirms robust economics Lowest quartile OPEX: US$335* per tonne NPV10 (after-tax): US$500m* Staged development option: start-up capex of US$29m* High-quality graphite product Favourable fl
Slide 4: Why graphite in Australia?
Why graphite in Australia? For personal use only China dominates current supply, but market is restricted and unstable Increased domestic demand Graphite is becoming strategically important mineral due in large part to rising demand in lithium ion batteries Supply limitations Issues of product consi
Slide 5: Why graphite in Australia? East Africa supply
Why graphite in Australia? For personal use only New potential supply has been dominated by large developments in East Africa, where sovereign risk issues must be overcome Renascor Resources 5
Slide 6: Renascor offers secure supply from Australia
Why graphite in Australia? For personal use only Renascor offers secure supply from Australia Low sovereign risk jurisdiction Secure, established regulatory framework increasingly important in graphite supply chain Established infrastructure Lower capital and operating costs and increased certainty
Slide 7: Siviour – South Australia
Siviour – South Australia For personal use only Located centrally in an historical graphite corridor Siviour graphite deposit, showing location Renascor Resources 7
Slide 8: Siviour – Optimal location for development and production
Siviour – South Australia For personal use only Optimal location for development and production Favourable jurisdiction South Australia Supportive government Port, Road, Power, Water Established ports Highway - 10km Power - on main grid Water for Stage-1 development Established workforce Whyalla (23
Slide 9: Globally competitive project economics
Globally competitive project economics For personal use only Prefeasibility study results … Annual production 142,000t (first ten years) High NPV NPV10 (after tax) US$500m Plant throughput 1,650,000tpa IRR (after tax) 62% Low cost of Average feed grade production 9.1% TGC (first ten years) Cash cost
Slide 10: Globally competitive project economics vs other developments
Globally competitive project economics For personal use only . . . compare favourably to other graphite developments globally* *Source: Renascor data based on Siviour Prefeasibility Study. See Renascor ASX announcement dated 14 March 2018. Other company data based on publicly available company repor
Slide 11: Project economics -- OPEX
Project economics -- OPEX For personal use only Siviour’s flat laying orientation underpins a low cost of production … Renascor Resources 11
Slide 12: Project economics -- OPEX
Project economics -- OPEX For personal use only Siviour’s flat laying orientation underpins a low cost of production … Renascor Resources 12
Slide 13: Project economics -- OPEX
Project economics -- OPEX For personal use only Siviour’s flat laying orientation underpins a low cost of production* … Parameter US$/t Mining $83 Processing US$159 General and administration US$13 Product logistics US$80 Total US$335 * Data based on Siviour Prefeasibility Study. See Renascor ASX an
Slide 14: Project economics -- OPEX among the lowest globally
Project economics -- OPEX For personal use only . . . that is among the lowest of global graphite developments* *Source: Renascor data based on Siviour Prefeasibility Study. See Renascor ASX announcement dated 14 March2018. Other company data based on publicly available company reports (as of March
Slide 15: Low start-up CAPEX option
Low start-up CAPEX option For personal use only Staged-development offers low initial CAPEX pathway to production Leverages off Competitive small- Development of infrastructure scale operation customer base advantages of coastal Initial mining in Establishment of customer Australian location high-gr
Slide 16: Low start-up CAPEX option
Low start-up CAPEX option For personal use only Staged-development offers low CAPEX pathway to large-scale production Two-stage development Immediate Parameter Stage-one Stage-two large-scale (years 1 to 3) (year 4 to 30) development 156,000t 142,000t Annual production 22,800t (years 4 to 13) (first
Slide 17: The Siviour graphite deposit
The Siviour graphite deposit For personal use only Siviour has rapidly transitioned from discovery to development Acquisition: Renascor has an option (subject to shareholder approval) to acquire 100% of company holding Siviour by issuing 189.6m shares in Renascor Maiden Ore Reserve (Mar 18): 45.2mT
Slide 18: The Siviour graphite deposit
The Siviour graphite deposit For personal use only The Siviour Mineral Resource is already large and remains open along- strike at shallow depths Resource Mineralisation Contained TGC category (Mt) graphite (Mt) Indicated 51.8 8.1% 4.2 Inferred 21.8 7.6% 2.2 Total 80.6 7.9% 6.4 Reserve Contained Ore
Slide 19: Siviour – large scale graphite deposit
Siviour – large scale graphite deposit For personal use only Siviour is the largest graphite deposit in Australia … Source: Company reports on economic studies of flake graphite projects as of October 2017 Renascor Resources 19
Slide 20: Siviour – large scale graphite deposit
Siviour – large scale graphite deposit For personal use only … and among the largest reported graphite deposits in the world … Source: Company reports as of March 2018 Renascor Resources 20
Slide 21: Siviour – large scale graphite deposit
Siviour – large scale graphite deposit For personal use only … and offers ample scope to expand Conductivity image from AEM survey Renascor Resources 21
Slide 22: Siviour – metallurgy
Siviour – metallurgy For personal use only Initial metallurgical testing has established Siviour as unique in Australia … Particle size Annual Flake category Purity (C) Distribution production Microns (μm) Mesh (#) Jumbo >300 +48 94% 6% 8,520 Large 180 to 300 -48 to +80 96% 20% 28,400 Medium 150 to
Slide 23: Siviour – metallurgy
Siviour – metallurgy For personal use only … offering potential to produce concentrates competitive with largest graphite resources in the world … Renascor Resources 23
Slide 24: Siviour – metallurgy
Siviour – metallurgy For personal use only … with conventional (non-chemical, non-thermal) flowsheet Renascor Resources 24
Slide 25: Siviour – downstream processing potential
Siviour – downstream processing potential For personal use only Siviour is well-positioned to produce premium-priced, valued-added graphite products Ultra high purity 99.99% spherical graphite suitable for use in lithium-ion battery anodes Located proximate to modern industrial zones Siviour’s South
Slide 26: Siviour – Spherical scoping study results
Siviour – Spherical scoping study results For personal use only Consolidated findings Spherical Graphite (graphite concentrates Scoping Study Parameter and spherical graphite (stand-alone) scoping study) Estimated values Annual production of 30,000t spherical graphite Average spherical graphite cash
Slide 27: Cobalt prospects
Cobalt prospects For personal use only Project portfolio includes pipeline of cobalt prospects in emerging cobalt district 193.3Mt @ 120 ppm Co Havilah (ASX:HAV) 54.9Mt @ 910 ppm Co Cobalt Blue (ASX:COB) Market capitalization: $114M 5.8Mt @ 1,400 ppm Co Havilah (ASX:HAV) Source: ASX company announce
Slide 28: Cobalt prospects – Bulloo Creek
Cobalt prospects – Bulloo Creek For personal use only Two Renascor RC drill sections testing soil gold anomaly returned strongly elevated cobalt Extensive (3km) magnetic trend coincident with strong, coherent cobalt soil anomaly Renascor Resources 28
Slide 29: Cobalt prospects – Shorts Dam
Cobalt prospects – Shorts Dam For personal use only Sampling and mapping has defined Southern drill section intersected extensive area of elevated copper significant cobalt and copper and cobalt (15m @ 0.14% Co, 690 ppm Cu from 19m) Renascor Resources 29
Slide 30: Renascor market information
Renascor market information For personal use only ASX code RNU Shares currently on issue ~913m* Ausmin consideration 189.6m** Options ~129.76m*** Cash (7 May 18) ~$8.2m**** Share price (7 May 18) $0.031 12 month range $0.015-$0.051 Market cap (7 May 18) $28.3m* Top 20 (7 May 18) 39% Board shareholdi
Slide 31: Forward Plan
Forward Plan For personal use only Renascor Resources 31
Slide 32: Conclusions
Conclusions For personal use only Siviour is a Tier-1 graphite project Globally competitive project economics Large-scale, low cost Low CAPEX start-up option High quality graphite concentrates Secure supply from Australia Renascor Resources 32
Slide 33: For further information
` For personal use only For further information: David Christensen Mobile: +61 429 643 770 david.christensen@renascor.com.au www.renascor.com.au ASX: RNU Renascor Resources 33