Astron Limited · ASX:ATR
Astron — Investor Presentation (October 2024)
29 slides from Astron's investor presentation, Oct 17, 2024
Slide 1: The Global Benchmark
For personal use only The Global Benchmark For the new generation of rare earths and mineral sands projects 1 NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES 15 October 2024
Slide 2: Disclaimer
Disclaimer CAUTIONARY STATEMENT COMPETENT PERSONS STATEMENT This presentation has been prepared by Astron Corporation Limited (Astron or the “Company”). The information The information in this report that relates to the MIN5532 Mineral Resource estimate is based on information and contained in this
Slide 3: Significant milestones achieved over the last 12 months with FID anticipated in FY2025
The Global Benchmark Significant milestones achieved over the last 12 months with FID anticipated in FY2025 Achievements – last 12 months For personal use only Globally significant resource in a Tier-1, Victorian Government Work Plan submitted, approval stable, jurisdiction Approvals expected in Q
Slide 4: Astron Corporation Limited
Astron Corporation Limited Establishing a world scale critical minerals producer Astron and its Global Partners Yingkou Mineral Separation Plant Focus For personal use only (Astron) • Our focus is delivering shareholder value through the commercialisation of the Donald Rare Earth and Mineral Sands P
Slide 5: Donald Project: Advancing Towards FID
Donald Project: Advancing Towards FID A globally significant critical minerals operation on the cusp of operations Project Highlights Project Location For personal use only • Robust financial metrics with multi-phased development approach, overall project forecast post-tax NPV8 of $2.2B over 58 year
Slide 6: Overview of Strategic Partnership with Energy Fuels Inc
Overview of Strategic Partnership with Energy Fuels Inc A joint venture that brings the Donald Project to life Transaction Highlights Transaction Structure For personal use only • Establishes an ethical, auditable Western-based rare earths value chain from mine to oxide • Aligns the Donald Project w
Slide 7: About Our Partner
About Our Partner Energy Fuels is a complementary partner who shares our values and vision for growth EFR - A United States Critical Minerals Company White Mesa Mill, UT For personal use only • White Mesa Mill in Utah is the only existing facility in North • A leading US producer of critical mineral
Slide 8: Extensive Evaluation & De-risking
Extensive Evaluation & De-risking Project significantly de-risked through extensive test work demonstrating high mineral recoveries Geology Mining Processing For personal use only MRE Update Drilling program, 2022 Excavation of Bulk Sample Test-pit, 2018 Rare earth Flotation pilot plant, Nagrom, WA,
Slide 9: The Next Mineral Sands Development
The Next Mineral Sands Development Donald is the most advanced rare earths project on eastern seaboard Environmental For personal use only Effects Cultural Secondary Statement Heritage Export Permits Granted 2008 Mining Management Licence On-going Licence Plan Approved 2013 Scheduled H2 2024 Updatin
Slide 10: Experienced Team To Deliver
Experienced Team To Deliver Board, management and project team with strong project delivery experience George Lloyd Tiger Brown Chairman Managing Director For personal use only George has 40 years resource industry technical, corporate finance, Tiger joined Astron in 2018, holding various business d
Slide 11: Environmental, Social and Governance
Environmental, Social and Governance Astron is committed to successful rehabilitation of mined land Environment The Typical Mineral Sands Mine Lifecycle For personal use only • Progressive rehabilitation back to original landform • Detailed mine plan enables preservation of native flora and fauna, a
Slide 12: Project Timeline
Project Timeline The project has a dedicated and achievable timeline to first production and positive cash flows 2024 2025 2026 2027 For personal use only Activity Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Project Financing (Debt) Negotiations On-Min Approvals Review Off-Min Approvals Earthworks Final
Slide 13: Transaction Overview
For personal use only Transaction Overview 13 NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES
Slide 14: Offer Terms & Timetable
Offer Terms & Timetable • An Equity Raising of up to $13.0 million (the ‘Equity Raising’) comprising: − Up to $3.0 million Institutional Placement (‘Placement’) via single tranche placement utilising the Company’s existing placement capacity under ASX Listing Rule 7.1. The Company reserves the right
Slide 15: Key Milestones
Key Milestones Astron’s key milestones & catalyst in the lead up to final investment decision Complete Project Financing For personal use only Project • JV Agreement became effective on 26 September 2024 Funding • Finalise HMC offtake arrangements • Negotiate and finalise project debt financing – so
Slide 16: Uses of Funds
Uses of Funds Clear path to FID and construction commencement in 2025 For personal use only Use of funds ($m) Low High • Strategic capital raising to optimise corporate and capital structure of the Company in preparation for Redomicile of the Company’s parent entity from Hong Kong to $1.8 $1.8 FID a
Slide 17: Pro Forma Capital Structure
Pro Forma Capital Structure Total shares and CDIs on issue following the transaction will be approximately 205.7 million • The table below illustrates the impact of the Entitlement Offer on the capital structure of the Company: For personal use only Description Number1 Existing shares and CDIs on is
Slide 18: Pro Forma Statement of Financial Position
Pro Forma Statement of Financial Position 30 June 2024 Receipt from Conversion of Conversion of Completion of Net Proceeds from Pro Forma Notes Audited property settlement Convertible Note Director Loans Energy Fuels JV Capital Raising1 Unaudited Assets Current Assets Cash and cash equivalents 5 2,7
Slide 19: Pro Forma Statement of Financial Position (notes)
Pro Forma Statement of Financial Position Notes 1. The receipt from property settlement relates to the receipt of RMB7.5 million in July 2024 from the sale of property that were surplus to foreseeable operational requirements to the Bayuquan Government For personal use only 2. Completion of the join
Slide 20: Key Risks
For personal use only Key Risks 20 NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES
Slide 21: Key Risks
Key Risks There are inherent risks associated with investing in a mining company INTRODUCTION New CDIs offered under the Entitlement Offer are considered speculative because of the inherent risks associated with a b) General market risks in relation to products minerals exploration and development c
Slide 22: Key Risks (cont'd)
Key Risks (cont’d) There are inherent risks associated with investing in a mining company RISKS ASSOCIATED WITH THE COMPANY'S BUSINESS/ASSETS (CONT’D) Environmental hazards may exist on Astron properties which are currently unknown and which could have been caused by previous owners or operators. It
Slide 23: Key Risks (cont'd)
Key Risks (cont’d) There are inherent risks associated with investing in a mining company RISKS ASSOCIATED WITH THE COMPANY'S BUSINESS/ASSETS (CONT’D) r) IT system risk & cyber and data risks n) Constraints on company growth Astron relies on software and telecommunication systems in its business ope
Slide 24: Key Risks (cont'd)
Key Risks (cont’d) There are inherent risks associated with investing in a mining company RISKS ASSOCIATED WITH THE COMPANY'S BUSINESS/ASSETS (CONT’D) v) Development risk GENERAL RISKS For personal use only Development of the Donald Project is contingent upon the Company and its partners unanimously
Slide 25: Foreign Selling Restrictions
For personal use only Foreign Selling Restrictions 25 NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES
Slide 26: Foreign Selling Restrictions
Foreign Selling Restrictions The Entitlement Offer is subject to foreign selling restrictions INTERNATIONAL OFFER RESTRICTIONS China This document does not constitute an offer of new CDIs (“New CDIs”) of the Company in any jurisdiction in which it Neither this document nor any other document relatin
Slide 27: Further Information
Further Information For personal use only Tiger Brown Managing Director Tel: +61 3 5385 7088 Email: contact@astronlimited.com Joshua Theunissen Company Secretary Tel: +61 3 5385 7088 Email: contact@astronlimited.com 27 NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES
Slide 28: Appendix: Donald Project – Ore Reserve Statement
Appendix: Donald Project – Ore Reserve Statement MIN5532 RL2002 outside of MIN5532 The Ore Reserve has been classified as Proven Ore Reserves, based on Measured Mineral The Ore Reserve has been classified as Proven Ore Reserves, based on Measured Mineral Resources and Probable Ore Reserves, based on
Slide 29: Appendix: Donald Project – Mineral Resource Statement
Appendix: Donald Project – Mineral Resource Statement Mineral Resource above a 1% total HM cut-off Mineral Resource where VHM data is available reported above a cut-off of 1% total HM % of total HM Tonnes Total HM Slimes Oversize Tonnes HM Slimes Oversize Rutile/ Classification Classification Zircon