Northern Minerals Limited · ASX:NTU
Northern Minerals — TLEM Conference (November 2018)
31 slides from Northern Minerals's conference presentation, Nov 13, 2018
Slide 1: Australia's Heavy Rare Earths Producer
Australia’s Heavy Rare Earths Producer November 2018 Presented by George Bauk 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Northern Minerals Limited (“Northern Minerals” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to thos
Slide 3: Browns Range, East Kimberley, WA
Browns Range East Kimberley, WA A local partner NTU has partnered with the Wunan Foundation for delivery of a Training 2 Work program Strategic offtake access Export via Darwin or Wyndham ports to China Commitment to local Working with local Ringer Soak community for employment opportunities ASX:NTU
Slide 4: Value proposition
Value proposition Globally significant Enhancement initiatives Browns Range is the only non- Several projects underway, including Chinese producer of dysprosium ore sorting, to increase value EV growth & military use Exploration upside A key ingredient in permanent New discoveries at Dazzler & Icema
Slide 5: Corporate leadership
Corporate leadership Our people embody the Northern Minerals SPIRIT, a culture of continually striving to deliver exceptional outcomes, leadership and improvements. George Bauk, MD/CEO Robin Wilson, Expl. Mgr MD Since 2010, George has lead the team EM Original Browns Range discoverer, from initial d
Slide 6: Operational leadership
Operational leadership Our team of operational specialists have years of experience in the production of rare earths. Having experts in their fields allows us to maximise value for shareholders. Robin Jones, COO Eben Van Rooyen – Eng. Mgr COO Driven Browns Range to be the EM Charged with building Br
Slide 7: Browns Range Project
Browns Range Project In October 2018, less than 18 months after Board approval, Northern Minerals became the only non-Chinese producer of dysprosium with the commissioning of the three-year Pilot Plant Project, aimed at assessing the technical and economic feasibility of the full-scale operation. $6
Slide 8: Dy – critical to the EV evolution
Dy – critical to the EV evolution With each electric vehicle using just over 100g of dysprosium, demand is expected to increase to over 3,500tpa by 2030. W ith over 98% of Dy BAR WOUND WIRE production from China, there is strong interest in the US and globally for new, sustainable sources of supply.
Slide 9: Strategically and politically critical
Strategically and politically critical “This executive order will prioritize reducing the nation’s vulnerability to disruptions in our supply of critical “Saudi Arabia minerals safely and has oil, but China responsibility for the has rare earths” benefit of the American Chinese Premier, Deng people,
Slide 10: The competition is unsustainable
The competition is unsustainable China dominates global supply including unsustainable supply, not green not clean. • 98% of world’s heavy rare earths produced by China; • Many operations are in situ leach operations, which are dirty and environmentally dangerous; • Leaching affects the groundwater
Slide 11: Australian Dysprosium
Australian Dysprosium Browns Range represents a new sustainable, clean source of heavy rare earths. The Pilot Plant Project incorporates a beneficiation plant and hydrometallurgical circuit, producing heavy rare earth carbonate. All nameplate offtake for the Pilot Plant Project has been committed to
Slide 12: Filling the supply gap
Filling the supply gap Chinese illegal production is expected to continue falling as the Government cracks down. Even with efficiencies in electric motors, the supply/demand gap is expected to continue widening. Browns Range Full-scale potential Browns Range PP production ASX:NTU << AUSTRALIAN DYSPR
Slide 13: Browns Range flowsheet
Rare Earth Magnetic Dryer Kiln Carbonate Separation Water Leach Precipitation Browns Range flowsheet Xenotime Concentrate Stockpile Rare Earth Carbonate Bagging Crushed Ore Stockpile Tails Crusher Ball Mill Flotation CCD Purification ASX:NTU << AUSTRALIAN DYSPROSIUM >> 13
Slide 14: Staged development plan
Staged development plan Test Pilot Plant Mine xenotime ore Produce mixed RE carbonate Export to offtake customers Refine Project 02 Validate & refine flowsheet Implement ore sorting Improve xenotime conc. grade Investigate plant efficiencies Develop Full Project 03 Economies of scale New customer ba
Slide 15: First production
First production On 5 October 2018, just 18 months after the Board approved the project, the Company produced first heavy rare earth carbonate through the hydrometallurgical circuit. 15
Slide 16: Ore sorting – a game changer
Ore sorting – a game changer Following successful trials, the Company is investigating the use of ore sorting technology to reduce the volume of non-mineralized material being processed, therefore allowing more product to be produced. 90 2.2x 40 Head grade improvement Mass reduction Trials indicate
Slide 17: Blue sky potential
Blue sky potential The Browns Range dome is a massive geological feature covering 1,500km 2 and stretching 60km x 30km most of which hasn’t been effectively explored New discoveries 20+ year life target High-grade discoveries made in Focus on growing mine life from 2018 at Dazzler and Iceman 11 year
Slide 18: Dazzler discovery
Dazzler discovery Width From To Estimated pXRF Hole ID TREO % (m)* (m) (m) grade BRDR0008 3 33 36 0.34 0.5% BRDR0008 3 41 44 0.20 BRDR0009 3 107 110 0.22 BRDR0009 4 112 116 0.33 BRDR0010 18 25 43 9.10 8% BRDR0010 17 53 70 0.30 BRDR0011 16 34 50 0.35 0.8% Incl 9 41 50 0.54 BRDR0011 8 62 70 0.26 BRDR0
Slide 19: Corporate overview
Corporate overview Northern Minerals (NTU) Share Price $0.14 9 8 $0.12 Share Price (A$/share) 7 $0.10 6 Volume (m) $0.08 5 $0.06 4 3 $0.04 2 $0.02 1 $- - 09-Nov-17 09-Feb-18 09-May-18 09-Aug-18 09-Nov-18 ASX:NTU << AUSTRALIAN DYSPROSIUM >> 19
Slide 20: In conclusion
In conclusion First rare earth carbonate production in October 2018, following mechanical completion Three year project to demonstrate and assess economic and technical feasibility of larger operation Ore sorting studies indicate potential for doubling of mill head grade Potential for additional pro
Slide 21: Thank you
Thank you Contacts George Bauk, Managing Director & CEO gbauk@northernminerals.com.au Mark Tory, Chief Financial Officer & Company Secretary mtory@northernminerals.com.au Northern Minerals Andrew Rowell, Investor Relations Director, Cannings Purple Level 1, 675 Murray Street West Perth, arowell@cann
Slide 22: Appendices
APPENDICES ASX:NTU << AUSTRALIAN DYSPROSIUM >> 22
Slide 23: Boulder Ridge – Beyond Browns Range
JOHN GALT Beyond Browns Range Rock chip samples from the Boulder Ridge project confirm high-grade Heavy Rare Earths (HRE) Best results exceed 12% TREO, including up to 1.15% Dysprosium, with a dominance of HRE – up to 99%. Reinforces significant growth potential in Browns Range and Tanami regions. B
Slide 24: Iceman discovery
Iceman discovery Width From Estimated Hole ID To (m) % TREO (m)* (m) pXRF grade BRIR0001 No significant results BRIR0002 11 13 24 4.83 4% BRIR0002 2 37 39 0.16 BRIR0003 8 27 35 0.37 0.6% BRIR0004 7 26 33 1.20 3% BRIR0005 No significant results BRIR0006 1 16 17 1.28 BRIR0007 7 42 49 1.73 1% BRIR0008
Slide 25: Product separation
Product separation Strong support received from the Federal & WA Government for downstream processing within the state ASX:NTU << AUSTRALIAN DYSPROSIUM >> 25
Slide 26: Mineral Resources
1 – Rounding may cause some computational discrepancies (TREO (metal) tonnes estimated from Mt x TREO%) Mineral resources as per NTU announcement 28 September 2018. Mineral Resources 26
Slide 27: Ore Reserves
TREO TREO Dy2O3 Dy2O3 Tb4O7 Tb4O7 Y2O3 Y2O3 Deposit Class Mt kg/t kg kg/t kg kg/t kg Kg/t kg OPEN PIT Wolverine Probable 0.72 6.17 4,458,000 0.55 400,000 0.08 57,000 3.6 2,598,000 Area 5 Probable 0.47 2.24 1,048,000 0.14 65,000 0.02 10,000 0.99 463,000 UNDERGROUND Wolverine Probable 2.1 8 16,833,000
Slide 28: Product specification available for REC
Product specification available for REC REC samples validated by several downstream separators REC suitable for solvent extraction separation Low thorium and uranium levels First shipment planned for September quarter Figures may not add due to rounding TREO = Total Rare Earth Oxides- Total of Dy2O3
Slide 29: An eight year $190m journey
An eight year $190m journey ASX:NTU << AUSTRALIAN DYSPROSIUM >> 29
Slide 30: NTU Board
NTU Board Colin McCavana - Non-executive Chairman (appointed 2006) 01 Mr McCavana has more than 35 years of management experience worldwide in the earthworks, construction and mining industries. George Bauk - Managing Director / CEO (appointed 2010) 02 George is an experienced executive, with over 2
Slide 31: ASX:NTU << AUSTRALIAN DYSPROSIUM >>
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