Latrobe Magnesium Limited · ASX:LMG
Latrobe Magnesium — Shareholder Meeting (November 2013)
11 slides from Latrobe Magnesium's shareholder meeting presentation, Nov 27, 2013
Slide 1: Annual General Meeting Presentation November 2013
For personal use only Latrobe Magnes um Annual General Meeting Presentation November 2013 David Paterson ASX: Chairman LMG
Slide 2: Presentation agenda
Latrobe Presentation Magnes um For personal use only 1. 2013 year highlights 2. LMG current activities 3. LMG process 4. Magnesium market 5. Timelines and milestones 6. Financial overview 2
Slide 3: 2013 year highlights: Milestones
Latrobe 1. 2013 year highlights Magnes um Milestones For personal use only • Strong results achieved in the cementitious material • Automation of the thermal reduction process • Completion of the adjustment study • Decision to commence a concept study with RWE Power and the removal of up to 80% of t
Slide 4: LMG current activities
Latrobe 2. LMG current activities Magnes um For personal use only Current Activities: • Finalizing the Latrobe Valley fly ash agreement. • Producing a bulk sample to process through commercial retorts in China. • Preparing a concept study for RWE Power • Completing a detailed assessment of the cemen
Slide 5: LMG process
3. LMG process Latrobe Magnes um For personal use only 82% of fly ash waste converted into: % • Magnesium 10 • Cementitious Material 65 • Char 7 ---- 82 ---- In excess of 20 tonnes of carbon credits created per tonne of Mg. 5
Slide 6: LMG process
Latrobe 3. LMG process Magnes um For personal use only 6
Slide 7: Magnesium market: uses
Latrobe 4. Magnesium market Magnes um For personal use only Magnesium uses % • Steel desulphurization 25 • Alloy in aluminium can production 45 • Motor car parts for strength & 30 weight savings ----- 100 === New uses – planes and trains and consumer products (laptops, mobile phones etc) 7
Slide 8: Magnesium market: Trends
Latrobe 4. Magnesium market Magnes um For personal use only Trends • Market is still growing at approx 7% • Magnesium price is lower by some 10% which reflect the removal of the Chinese export tax of 10% • China produces in the order of 83% of the market and exports in excess 250,000 tonnes to the A
Slide 9: Timelines & milestones: Key Dates
Latrobe 5. Timelines & milestones Magnes um For personal use only Key Dates • Feb 2014 results of the RWE concept study. • Feb 2014 results of the Chinese bulk sample. • Feb 2014 finalize agreement for fly ash • Mar 2014 receive results from the cementitious analyses. • Sep 2014 complete bankable fe
Slide 10: Financial overview
Latrobe 6. Financial overview Magnes um For personal use only 5,000 40,000 Financial Parameters tonnes tonnes A$/tonne A$/tonne Magnesium revenue 4,182 4,182 Net Cash operating costs (3,514) (2,438) -------- -------- Operating surplus 669 1,745 ==== ==== Capex A$45M A$280M NPV at 12% discount factor
Slide 11: Disclaimer
Latrobe Disclaimer Magnes um For personal use only • This presentation may contain forward looking statements that are subject to risk factors associated with the magnesium business. • It is believed that the expectations reflected in these statements are reasonable but they may be affected by a var
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