Slide 1: Uranium explorer with a disruptive beneficiation process
Uranium explorer with a disruptive beneficiation process November 2018
Slide 2: Disclaimer & Important Information
Disclaimer & Important Information Disclaimer This presentation has been prepared by Marenica Energy Limited (Marenica). This document does not constitute or contain an offer, invitation, solicitation or recommendation with respect to the purchase or sale of any securities in Marenica. This document
Slide 3: Corporate Snapshot
Corporate Snapshot Experienced Board & Management Capital Structure Chairman Andrew Bantock ASX Code MEY +30 years experience as Chairman, Director, CEO and CFO roles Share Price (13 November 2018) $0.080 Managing Murray Hill Director +30 years experience in mining industry, particular focus on meta
Slide 4: Investment Highlights
Investment Highlights Uranium exploration company with considerable leverage to the coming uranium bull market: Exploration • Portfolio of Namibian uranium projects • Large tenement position in low risk jurisdiction • Inferred uranium resource of 61 Mlbs • U-pgradeTM beneficiation process expected t
Slide 5: Marenica Development Focus – Namibia, World-Class Uranium Location
Marenica Development Focus – Namibia, World-Class Uranium Location • Located in world-class uranium province with established uranium mining industry • Marenica Uranium Project – 61 Mlb resource • Mile 72 – advanced exploration project • Numerous exploration applications (EPL’s) lodged • Marenica wi
Slide 6: Marenica's Uranium Project – Large Resource Base
Marenica’s Uranium Project – Large Resource Base • Simple geology and metallurgy – Uranium in calcrete (similar to Paladin’s Langer Heinrich, Orano’s Trekkopje and Deep Yellow’s Tumas) • Located 60 km from the world-class Rossing Project – excellent infrastructure • Large-scale uranium deposit at su
Slide 7: Tumas East Extension
Tumas East Extension • EPL’s adjoin Deep Yellow’s (DYL) Tumas tenement • DYL successful drilling results only 200 m from MEY tenement application • Tumas channel likely to extend into MEY tenement applications • Drilling program to begin immediately following granting of tenement 7
Slide 8: About U-pgrade
About U-pgradeTM What is U-pgradeTM • Patented beneficiation process 100% owned by Marenica • Developed in collaboration with CSIRO • Process that rejects >95% of mass prior to leach Significant Cost Savings • Potential to reduce CAPEX and OPEX by ~50% compared with conventional processes • OPEX pre
Slide 9: Commercialisation of U-pgrade
Commercialisation of U-pgradeTM Commercialisation pathway includes applying U-pgradeTM to: • Material benefits already demonstrated at Marenica Uranium Project Marenica’s uranium • Targeting additional uranium projects that align with U-pgradeTM portfolio • Creates further exploration opportunities
Slide 10: Positive Uranium Outlook
Positive Uranium Outlook 71 165 315 40% Nuclear reactors Further nuclear Further nuclear Est. global demand under construction reactors planned reactors proposed growth by 2025 Nuclear energy current and predicted usage China in more detail Source: BMI Research, Graphic by Bloomberg Newsweek, Chart
Slide 11: Positive Uranium Outlook
Positive Uranium Outlook • China and rest of world are building nuclear reactors - fuelling demand for uranium • Big producers have cut back approximately 20% of supply • 90% of uranium bought by utilities is on contract • Cost of nuclear power is insensitive to uranium price: supply certainty is mo
Slide 12: What could happen to MEY price in a uranium bull market?
What could happen to MEY price in a uranium bull market? MEY’s EV was $140M during last uranium supply shortage Now entering a new uranium supply shortage. What will the impact be on MEY’s EV? Source: Cameco, UxC, BMO Research, May 2018 12
Slide 13: Valuation Compared to Peers
Valuation Compared to Peers Ratio of Resource Size to Market Cap (Mlbs/$M) 1,000 1.3 MARKET CAP ($M) 100 1.3 0.7 4.7 2.3 10 9.7 1 1 2 3 4 5 6 7 8 PDN DYL TOE BMN VMY MEY MEY has largest Resource to Market Cap ratio compared to its peers … 13
Slide 14: Investment Rationale
Investment Rationale • Large uranium resource in historic uranium mining country of Namibia, low risk jurisdiction • Ongoing acquisition of additional uranium projects in Namibia • Disruptive high value add process • Diversified investment – uranium projects, tenement applications and patented proce
Slide 15: Thank you
Thank you Contact details: Murray Hill murray.hill@marenicaenergy.com.au +61 8 6555 1816 15
Slide 16: Appendix: Marenica Uranium Project Resource
Appendix: Marenica Uranium Project Resource Marenica Uranium Project Total Mineral Resources as at 30 June 2018 (at a 50ppm U3O8 cut-off grade) Tonnes U3O8 Grade U3O8 Resource Category (millions) (ppm) Mlbs Marenica Indicated 26.5 110 6.4 Inferred 249.6 92 50.9 Total 276.1 94 57.3 MA7 Inferred 22.8
Slide 17: Nuclear Power – Efficient, Low CO2 Emissions
Nuclear Power – Efficient, Low CO2 Emissions Highly efficient Low CO2 Emissions Source: IAEA Low cost of energy Source: IAEA 17