Slide 1: Australia on the 'New Age Metal' map: Dubbo Zirconia Project
For personal use only Australia on the 'New Age Metal’ map: Dubbo Zirconia Project
Slide 2: Corporate Snapshot
Corporate Snapshot For personal use only 6% 412.6 Million Shares 23% A$100M Market Cap • 19 September 2014 A$20M Cash/Investments 37% 11% • 30 June 2014 A$ 0 Debt A$0.20/$0.59 23% • 12 Month Low/High Hedge Funds Retail & others ALK (ASX) ANKLY (OTCQX) Directors & Management Foreign Institution Domes
Slide 3: For personal use only
For personal use only © 2014 Alkane Resources Ltd 3
Slide 4: Central West NSW
Central West NSW For personal use only Peak Hill Gold Mine 1996 - 2005 Tomingley Gold Operations Production commenced 2014 – cash flow Dubbo Zirconia Project Pre-construction Active in region for more than 20 years Successful ongoing exploration program World-class strategic development © 2014 Alkan
Slide 5: What are "New Age" Metals?
What are “New Age” Metals? For personal use only Rare metals, rare earths, specialty metals, critical metals, boutique metals ……….. ?? … all New Age Metals They are not rare but usually require specialised recovery techniques Markets are often limited But they are critical to modern industrial appli
Slide 6: The periodic table
The periodic table For personal use only © 2014 Alkane Resources Ltd 6
Slide 7: Where do they come from
Where do they come from For personal use only © 2014 Alkane Resources Ltd 7
Slide 8: Rare earth Industry
Rare earth Industry For personal use only REE Demand 2016 by Application • US$3-5B Global market Other Catalysts • 115,000t Annual Consumption 2013 8% 18% • 5-10% Annual growth estimates Ceramics REE Demand 2013 by Country 5% Glass 6% Phosphors Other 5% US 6% 14% Japan 15% China Polishing 65% 12% Ma
Slide 9: Rare earths are everywhere...
Rare earths are everywhere... For personal use only Health Energy efficient lighting Auto - emissions Renewable energy Electronics Smart technologies Renewable Smart © 2014 Alkane Resources Ltd 9 energy technologies
Slide 10: Zirconium Industry
Zirconium Industry For personal use only Zircon Demand by End Use (2013 ~ 1 million tonnes) Other 3% Foundry 12% Ceramics 47% Chemicals 21% Refractory 17% • Global market US$2-3B • 2014 consumer zircon inventories running down • Market expected to stabilise through 2015 - 2016 • CAGR anticipated at
Slide 11: Zirconium improving health
Zirconium improving health For personal use only Emissions minimisation Replaces teeth Replaces lead in fillings paint © 2014 Alkane Resources Ltd 11
Slide 12: Niobium Industry
Niobium Industry For personal use only 90% of Nb used in standard grade ferroniobium for the production of high strength low alloy (HSLA) steels. World production estimated at 80,000t Nb in 2012. CBMM in Brazil accounts for 85%. Global market US$3-4B. Price stability since 2008, including GFC. CAGR
Slide 13: Niobium strengthening steel
Niobium strengthening steel For personal use only Bridges Auto Pipelines © 2014 Alkane Resources Ltd 13
Slide 14: Dubbo Zirconia Project
Dubbo Zirconia Project For personal use only 25km south of Dubbo Mine life 70 years+ Products include: • Zirconium • Niobium • Rare metals/earths © 2014 Alkane Resources Ltd 14
Slide 15: Discovery and Development
Discovery and Development For personal use only Recognition Exploration Resource Process • 1960’s • Drill holes 1990 • 1999-2002 Development • Initial drilling • Preliminary • Mini pilot plant • Metallurgy 2006 1983 for Cu-Au metallurgical - present work • Feasibility study Demonstration EIS Offtake
Slide 16: Geology and Resources
Geology and Resources For personal use only Trachyte lava or sub-volcanic intrusive Largely homogeneous ore body Ore mineralogy: • eudialyte (“like” Zr silicate +Y and HRE) • natroniobite (Nb-Ta) • bastnaesite (LRE) All readily soluble in sulphuric acid forms basis of recovery process © 2014 Alkane
Slide 17: Process Flowsheet
Process Flowsheet For personal use only © 2014 Alkane Resources Ltd 17
Slide 18: Demonstration Pilot Plant
Demonstration Pilot Plant For personal use only DPP Filtration, PLS, SX, Zr & Nb Zirconium refining & recovery precipitation Reverse osmosis & water Y and HREE refining & recovery recycle © 2014 Alkane Resources Ltd 18
Slide 19: Estimated Product Output @ 1Mtpa
Estimated Product Output @ 1Mtpa For personal use only 100% 5% 1,309t 90% 95% yttrium, 20% 4,665t 30% dysprosium, terbium 80% 28.5% of revenue 70% 8% 1,967t 60% 90% neodymium, 24% praseodymium 50% 21.6% of revenue 40% 15,827t 16% 30% 67% 20% 31% 10% 0% Production 23,768t Revenue A$450 - 500Mpa* ZrO
Slide 20: Funding Strategy
Funding Strategy For personal use only Government Commercial Bank Equity Capital Sale of Project Level Assistance Programs Debt Markets (ALK) • ECA Style Funding • Minority • Advisors: Credit • Advisors: Credit • Lead coordinator: Interest(s)~15% Suisse & SMBC Suisse & Petra Sumitomo Mitsui • Sale A
Slide 21: Timetable
Timetable For personal use only Estimates of times are indicative only and are subject to change. Alkane reserves the right to vary the timetable without notice. © 2014 Alkane Resources Ltd 21
Slide 22: Australia on the "New Age" Metal Map
Australia on the “New Age” Metal Map For personal use only The DZP will be the first production in Australia of: Downstream zirconium products Niobium products Refined rare earth chemical concentrates Significant heavy rare earth products The Project will be a significant alternate supplier to Chine
Slide 23: Thank You
Thank You For personal use only Richard Karn, Gold Report 22 April 2014 © 2014 Alkane Resources Ltd 23
Slide 24: Disclaimer
Disclaimer For personal use only This presentation contains certain forward looking statements and forecasts, including possible or assumed reserves and resources, production levels and rates, costs, prices, future performance or potential growth of Alkane Resources Ltd, industry growth or other tre
Slide 25: Resources and Reserves
Resources and Reserves For personal use only Dubbo Zirconia Project – Mineral Resources Toongi Tonnage ZrO2 HfO2 Nb2O5 Ta2O5 Y2O3 REO Deposit (Mt) (%) (%) (%) (%) (%) (%) Measured 35.70 1.96 0.04 0.46 0.03 0.14 0.75 Inferred 37.50 1.96 0.04 0.46 0.03 0.14 0.75 Total 73.20 1.96 0.04 0.46 0.03 0.14 0.