Earths Energy Ltd · ASX:EE1
Earths Energy — Cradle Resources — Africa Down Under Conference 2013
14 slides from Earths Energy's conference presentation, August 2013
Slide 1: Panda Hill Niobium Project, Tanzania
Panda Hill Niobium Project Tanzania Africa Down Under Presentation August 2013
Slide 2: What is Niobium?
What is Niobium? Niobium (Nb) is a ductile transition metal which is used mainly in high strength, low alloy steels (HSLA) Niobium Properties: • Strengthens steel and lightens • Corrosive resistant properties • High temperature tolerance Main growth industries : • Automotive • Construction • Gas pip
Slide 3: Niobium Demand
Niobium Demand • Solid demand growth is expected over the next ten years • Growth will be due to: • General growth in steel volumes • Increased Nb concentration in steels Source: Roskill World Steel Association • 20% of steel produced in developed countries is HSLA; compared to only 10% in developin
Slide 4: Niobium Supply
Niobium Supply • Three existing producers (CBMM, IAMGOLD, Anglo American) • No new producers since 1976 (although market has grown substantially) • No greenfields supply under construction; no new projects with demonstrated feasibility • Undeveloped Niobium deposits are characterised by low grade, d
Slide 5: The Opportunity
The Opportunity Panda Hill compares favourably to IAMGOLD’s Niobec mine (an existing Niobium producer): • Niobec – 46 Mt at 0.53% Nb2O5 – underground (mineable) • Panda Hill – 56 Mt at 0.50% Nb2O5 – open pit • Panda Hill – targeting first 10 years at 0.7% Nb2O5 • Lower mining costs at Panda Hill due
Slide 6: Project Management Team
Project Management Team • Grant Davey Managing Director • Russell Bradford Project Study Consultant • Keith Bowes Project Director • Neil Inwood Resource Geologist • Nick Castleden Exploration Geologist • Craig Burton Corporate and Strategy A strong, capable team with the right experience to drive t
Slide 7: Panda Hill Niobium Project
Panda Hill Niobium Project • Located in Mbeya region, Tanzania • Excellent local infrastructure (grid power, roads, rail) • 160 holes drilled from 1950 – 1990s Panda Hill, Mbeya 7
Slide 8: Coffey JORC Inferred Resource 2012
Coffey JORC Inferred Resource 2012 Lower Cut-off Tonnage Grade Nb2O5 Content (KT) Nb2O5 % (Mt) (Nb2O5 %) 0 76.0 0.43 327 0.2 71.6 0.45 322 0.3 56.0 0.50 280 0.4 37.9 0.58 220 0.6 12.7 0.77 98 0.7 6.9 0.87 60 Note: Figures have been rounded. Ordinary kriged estimate using 2m down hole composites. Cof
Slide 9: Conceptual Cross Section
Conceptual Cross Section High grade niobium (coarse pyrochlore) ~~. Flow Banding —. Fault [| Pre-Cambrian gneiss [| Catbonatite Current JORC ~ fe] Tuff and agglomerate Resource Area Panda Hill [_] soi Songwe River { Niobium Bearing LL Carbonatite * a te, Aro
Slide 10: Scoping Study
Scoping Study Commenced a scoping study July 2013 • 2 Mtpa operation • Confirmatory and extensional drilling • Metallurgical test work (SGS Lakefield) • Capital and operating costs estimates (Lycopodium) • Social and environmental plan • Resource update and mining study (targeting first 10 years at
Slide 11: Extraction Process
Extraction Process Well known, simple extraction process: • Two stage flotation to produce a concentrate (~55% Nb2O5) • Then a converter (mini-roaster) to produce FeNb (~66% Nb) • The above process is used by all existing Niobium producers • FeNb is marketed directly to steel mills as a direct feed
Slide 12: Cradle's Competitive Advantage
Cradle’s Competitive Advantage • Niobium is listed as a “strategic” and “critical” metal due to its lack of substitutes and limited availability • Only 3 Niobium producers worldwide, all highly profitable – customers looking for diversification • No greenfield Niobium projects are under construction
Slide 13: Disclaimer and Competent Person
Disclaimer and Competent Person The summary information contained herein has been provided by Cradle Resources (“Cradle” or the “Company”). No representation, express or implied, or warranty as to the accuracy or completeness of the information contained herein is made by any party and nothing conta
Slide 14: For additional information contact
For additional information contact: Grant Davey Managing Director admin@cradleresources.com.au +61 8 9389 2000