Grange Resources Limited · ASX:GRR
Grange Resources — Diggers & Dealers 2009
25 slides from Grange Resources's conference presentation, Aug 4, 2009
Slide 1: Grange Resources – Australia's leading magnetite producer
Grange Resources – Australia’s leading magnetite producer For personal use only Grange Resources Limited (GRR) Level 11, 200 St Georges Terrace Diggers & Dealers Perth, WA 6000, Australia 4 August 2009 Phone + 61 8 9321 1118 Fax + 61 8 9321 1523 www.grangeresources.com.au Russell Clark Managing Dire
Slide 2: Disclaimer
Disclaimer For personal use only • The material in this presentation (“material”) ( material ) is not and does not constitute an offer, invitation or recommendation to subscribe for, or purchase, any security in Grange Resources Limited (“GRR”) nor does it form the basis of any contract or commitmen
Slide 3: Projects - Savage River
Projects - Savage River For personal use only 3
Slide 4: Grange Savage River Operations - 2009
Projects - Savage River For personal use only 4 Grange Savage River Operations - 2009
Slide 5: Iron Ore Value
Iron Ore Value For personal use only • Direct Reduction Pellet ~70% Fe 40% • Blast Furnace Pellet e & prrice ~67% Fe Qualitty • Direct Shipping Lump ~63% Fe Value • Magnetite Concentrate • Direct Shipping Fines ~58% 58% F Fe
Slide 6: For personal use only
For personal use only 6
Slide 7: Grange – Australia's leading magnetite producer
Grange – Australia’s leading magnetite producer For personal use only • Australia’s largest iron ore pellet producer • Solid customer base • Long life assets • Producer and projects • Low sovereign risk • Extensive magnetite g technical and operational p expertise p 7
Slide 8: Australia's leading magnetite producer
Australia’s leading magnetite producer For personal use only Ownership Operations Customers Production Profile Southdown S thd Project Savage River Mine 8
Slide 9: Grange Resources - Ownership
Grange Resources - Ownership For personal use only Other existing Grange shareholders Stemcor 23.0% 7.7% 8 3% 8.3% 47.2% 13 8% 13.8% Shagang RGL Pacific Minerals 9
Slide 10: Savage River Mine & Pellet Plant
Savage River Mine & Pellet Plant For personal use only Port Latta – Pellet Plant producing 2.4Mtpa of pellets Slurry Pipeline to Port Latta (83km) Savage River – open pit mine and concentrator t t producing d i 2.5Mtpa of concentrate 10
Slide 11: Projects - Savage River
Projects - Savage River For personal use only 11
Slide 12: Projects - Savage River
Projects - Savage River For personal use only 12
Slide 13: Projects - Savage River
Projects - Savage River For personal use only 13
Slide 14: Customers – Solid and long term
Customers – Solid and long g term For personal use only Agreements g ee e ts a are e in p place ace for o bot both Savage Sa age River e aand d Southdown production at benchmark prices or better. • China’s largest private steel mill, 22 Mtpa of pig iron • Grange’s largest shareholder • Savage River
Slide 15: Key Performance Indicators
Key Performance Indicators P fit bl even during Profitable d i economically i ll hard h d times ti For personal use only FY09 – Guidance G id FY09 Est. Est Total volume mined (‘000 bcm) 17,700 Total ore mined (‘000 bcm) 980 Concentrate produced (‘000 tonnes) 2,290 Pellets produced (‘000 tonnes) 2,16
Slide 16: Growth - Southdown
Growth - Southdown For personal use only Pellet Plant producing 4. 6.8Mtpa direct reduction and blast furnace pellets 3. Co 3 Concentrate ce a e shipped s pped 2. to100km 100k slurry l pipeline Albany Port i li 1. 6.6Mtpa mining and concentrating operations for 30 years 16
Slide 17: For personal use only
For personal use only 17
Slide 18: Southdown Infrastructure – Port of Albany
Southdown Infrastructure – Port of Albany For personal use only 18
Slide 19: Grange Resources – production growth prospects
Grange Resources – production growth prospects For personal use only kt Southdown Savage River 19
Slide 20: Resources and Reserves
Resources and Reserves Supporting Long Mine Lives For personal use only Grange has 774Mt of attributable Mineral Resources and 396Mt of attributable O Reserves. Ore R Mineral Resources (inclusive of reserves) Ore Reserves Tonnes Grade Tonnes Grade ((Mt)) ((%DTR)) ((Mt)) ((%DTR)) Savage River 4 Savag
Slide 21: Grange Resources - Summary
Grange g Resources - Summary y For personal use only • Australia's leading magnetite producer • Australians largest iron ore pellet producer • Hi h grade High d quality lit products d t • Consistent cash margins • S lid customer Solid t andd revenue base b • Long life assets • L Low sovereign i risk
Slide 22: Grange … Australia's leading magnetite producer
For personal use only Grange …… Australia’s leading magnetite producer 22
Slide 23: Competent Person Statement
Competent p Person Statement For personal use only • Southdown Project • The information in this presentation which relates to the Mineral Resources of the Southdown Project is based on information compiled by James Farrell who is a full-time employee of Golder Associates Pty Ltd and a Member of the
Slide 24: Appendix A – Southdown Project
Appendix pp A – Southdown Project j For personal use only In situ Mineral Resource Estimate Classification Measured Resources Indicated Resources Inferred Resources Total Resources Tonnes (Mt) 219.7 210.3 224.4 654.4 DTC wt% 37.4 38.9 33.4 36.5 DTC Fe% 69.2 69.3 69.1 69.2 DTC SiO2% 1.72 1.94 2.07 1.
Slide 25: Appendix B – Savage River
Appendix pp B – Savage g River For personal use only Mineral Resource and Ore Reserve Estimates Mineral Resource Tonnes (Mt) Grade (%DTR) Ore Reserve Tonnes (Mt) Grade (%DTR) Measured 88.01 52.7 Proved 52.39 49.6 Indicated 135.96 51.7 Probable 72.00 48.9 Inferred 92.22 47.2 Total 124.40 49.2 Total 3