Minbos Resources Limited · ASX:MNB
Minbos Resources — Merger or Acquisition (March 2015)
21 slides from Minbos Resources's merger presentation, March 2015
Slide 1: Proposed Merger of High Value Phosphate Opportunity
PROPOSED MERGER OF HIGH VALUE PHOSPHATE OPPORTUNITY March 2015
Slide 2: Disclaimer – Competent Person
Disclaimer Competent Person The information in this presentation that relates to the Exploration Results and Phosphate Resources, Production Targets and Cost Estimation was extracted from Minbos’s ASX announcement dated 6 June 2012, 16 October 2013 and 5 December 2013 respectively entitled “Cacata P
Slide 3: Disclaimer
Disclaimer DISCLAIMER The Company has prepared this document based on information available to it at the time of preparation, from sources believed to be reliable and subject to the qualifications in this document. To the maximum extent permitted by law, the Company and it of affiliates, related bod
Slide 4: Key Drivers
Key Drivers Merged • Merger to combine Minbos’ resource development expertise Management and Mitrelli’s in country infrastructure experience. World Growth • Phosphate demand is underpinned by population growth and Sector driven by food production efficiencies. Atlantic • Large markets in US and Euro
Slide 5: Proposed 100% Ownership Consolidation
Proposed 100% Ownership Consolidation 50% Petril Projects 100% Minbos would acquire Petril’s 50% interest in Mongo Tando the Cabinda Joint venture in exchange for 50% Limited BVI of the ordinary shares in Minbos. The merger would combine Minbos’s fund Mongo Tando Ltda raising capacity and resour
Slide 6: Phosphate Demand Outpaces Population Growth
Phosphate Demand Outpaces Population Growth “Global phosphate consumption is forecast to grow by 45% by 2030” “7.5% decrease in a average P2O5 concentrate grade from 1990-2011.”
Slide 7: High Value Core Projects and Exploration Upside
High Value Core Projects and Exploration Upside Global Resource Angola 391.3Mt at 9.2% P2O5 being a mixture of low grade high tonnage deposits and high grade low tonnage deposits. Potential High Grade Starter Pit at Cacata Chivovo High grade starter pit >26% P2O5 6.5mT @ 20.5% Readily benefici
Slide 8: Cacata Studies Completed
Cacata Studies Completed • Drilling • Tailings • Geology & • Transport Mining & Shipping • Testwork • Markets • Product • Processing Testing
Slide 9: Value Add Opportunities
Value Add Opportunities High grade starter pit with contract mining and transport Technical Simplify the flowsheet in the early years Utilize Existing Ports Proposed Merger Corporate Strategic Stakeholders Fiscal Terms and Conditions Commercial Offtake Agreements
Slide 10: Cacata Long Section – Shallow Ore, High Grade
Cacata Long Section – Shallow Ore, High Grade
Slide 11: Simplify Flowsheet for Cacata
In Pit Simplify Flowsheet for Cacata High Grade Starter Pit At Port
Slide 12: Multiple Deepwater Port Options
Multiple Deepwater Port Options Caio Port Located in Cabinda 110km by road from Cacata 12.5m depth ideally suited to phosphate vessel size. Available 2017 for bulk commodities Pointe Noire Located in Republic of Congo 90km by road from Cacata Established port with capacity to ship early pr
Slide 13: Cost Structure Potential
Cost Structure Potential Cacata Desktop 2012 Assumptions Potential • 1-2 years DSO grades Resource M&I 15Mt@24% • 10 year flotation ore • 7 years scrub and screen ore • 6 years of flotation ore • Support up to 1.2Mtpa ROM • 0.2-0.8Mtpa DSO startup then Production 0.8Mtpa • 0.8Mtpa beneficiated produ
Slide 14: Indicative Fiscal Conditions
Indicative Fiscal Conditions Corporate Tax 25% Royalty 5% Customs duties exemption available for defined equipment list Depreciation up to 33% Investment Income Tax, dividends 10%, interest 15% Mining rights can be pledged as credit security Engagement with the Negotiation Committee for
Slide 15: Advantages of Proposed Merger
Advantages of Proposed Merger 50% Petril Projects 100% 100% asset ownership more attractive to market. Single vehicle to simplify equity and debt Mongo Tando funding. Limited BVI One decision making entity rather than three will speed up the development timeframe. Present a single face to ke
Slide 16: Premium Product confirmed by CRU
Premium Product confirmed by CRU “The key conclusion of the analysis is that Cacata phosphate rock is likely to trade at approximately 9% premium to Moroccan benchmark price. … (this assumes no discounting is used to ease in market penetration, no account for freight differentials.)” CRU October 201
Slide 17: Angola - Growing and Mining Friendly
Angola - Growing and Mining Friendly Africa’s largest oil producer and third largest producer of diamonds. China’s largest oil supplier. Current projects include $10bn LNG plant led by Chevron and $1.2 billion urea and ammonia plant led by Mitsubishi. Fastest growing economy in Africa. Infra
Slide 18: Current Management Team
Current Management Team Partner at Steinepreis Paganin (a Perth based corporate law firm) since July 2005. Peter Wall Has a wide range of experience in all forms of commercial and corporate law, with (Chairman) a particular focus on resources (hard rock and oil/gas), equity capital markets and merge
Slide 19: Pro-Forma Capital Structure
Pro-Forma Capital Structure Millions Current Shares on Issue 1,189.1 Placement(estimated 15%) 178.3 Sofosa Shares to be Issued 237.8 Merger Shares to be Issued* 1605.2 Pro-Forma Post Merger Shares 3210.4 Diluted Market Capitalisation at 0.5cps $16.1m Out of money options December 2016 exercisable 1.
Slide 20: News and Activities
News and Activities Appointment of CEO Convertible Note Conversion/Repayment Appointment of Key Management Cabinda License renewal Angolan Partner Secured Rationalize Project Ownership Started Divestment of DRC Interests Started Bulk Sample and Pilot Studies to confirm star
Slide 21: Contact Details
Contact Details Australia: 245 Churchill Avenue Subiaco WA 6008 Australia Phone: +61 8 6270 4610 Email: info@minbos.com Webiste: www.minbos.com
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