Northern Minerals Limited · ASX:NTU
Northern Minerals — RIU Explorers Conference 2018
36 slides from Northern Minerals's conference presentation, Feb 21, 2018
Slide 1: Delivering critical technology metals to the EV evolution
Delivering critical technology metals to the For personal use only EV evolution On track for mid-year project completion February 2018
Slide 2: Disclaimer
Disclaimer For personal use only 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 invitatio
Slide 3: Four stage approach to full value capture
For personal use only Four stage approach to full value capture Stage 1 Stage 2 Stage 3 Stage 4 TEST PILOT PLANT REFINE PROJECT BUILD FULL SCALE DOWNSTREAM • 10% of full scale capacity • Reduce mining cost - • 585,000tpa operation • Downstream separation • Production – July 2018 modify mining method
Slide 4: Electric Vehicles – Not just a lithium story!
Electric Vehicles – Not just a lithium story! For personal use only Li Lithium Al Aluminium Co Cobalt Mg Magnesium Cu Copper C Graphite Ni Nickel Dysprosium Dy Fe Mn Mo V Neodymium Nd
Slide 5: Dysprosium
Dysprosium For personal use only 66 99% Dy Production from China Lighter & More Efficient 162.5 20m 100g 2,000tpa Forecast EV Dysprosium per EV demand for Government sales by 2025 electric vehicle Dy by 2025 mandated change
Slide 6: Rare earth distribution comparison: Browns Range vs Lynas Mt Weld
Northern Minerals Lynas Browns Range Mt Weld For personal use only Rare earth distribution 1 Rare earth oxide composition 2 1 Based on Wolverine Mineral Resource 2 Source: Lynas Corporation website
Slide 7: Browns Range - Filling the Dysprosium supply gap
Browns Range - Filling the Dysprosium supply gap For personal use only Browns Range More than one Browns Range required to fill the supply gap Dysprosium Production forecast Browns Range Dysprosium forecast* Forecast Dysprosium demand Source: Adamus Intelligence, Northern Minerals
Slide 8: HRE – sustainable pricing
HRE – sustainable pricing Dysprosium Oxide 99%min China US$/kg For personal use only 400 350 Increased demand from new EV sales coupled with crackdown 300 Dy US$/kg 250 200 on illegal mining in China will positively impact prices 150 Terbium Oxide 99.9%min China US$/kg 900 800 700 Tb US$/kg 600 500
Slide 9: Constructing a new industry
Constructing a new industry For personal use only Pilot Plant Site May 2017 September 2017 June 2017 December 2017
Slide 10: For personal use only
In 2017, Northern Minerals completed stacking of raw product ready for processing For personal use only In 2018, we will commence a new supply of heavy rare earths to the global market
Slide 11: Enhancement projects underway
For personal use only Enhancement projects underway Mining Processing Plant Schedule Financing 205,000t ore mined at Wolverine and Gambit West; Sales Agreement Steeper walls employed, resulting in more ore and less Community waste; Funding secured to investigate this and other project Feasibility en
Slide 12: Pilot Plant Flowsheet
For personal use only Pilot Plant Flowsheet Mining Processing Plant Schedule Financing Sales Agreement Community Components and equipment unloaded in Darwin Feasibility Project Component: Contractor: Modular processing plant Sinosteel MECC Annual Production: Capital Cost: 60,000tpa (based on 10 A$39
Slide 13: Project development schedule
Project development schedule For personal use only Mining Apr ‘17 Jun ‘17 Sep ‘17 Dec ‘17 Mar ‘18 Jun ‘18 Processing Plant Final Investment Decision Schedule Mining completed, ore stockpiled Financing Fabrication 98% Plant modules complete in China transported to Australia Sales Agreement Commenceme
Slide 14: Financing
Financing $10 million Sales Agreement For personal use only Prepayment** $24.5 million R&D Financing Facility - Mining Available $11 million Processing Plant Sinosteel Deferred $3 million Lind Financing Payment* Facility*** - available Schedule Financing $11 million Lind Financing $13.5 million Faci
Slide 15: Secure sales agreement
For personal use only Secure sales agreement Mining 100% of Browns Range Pilot Plant production to be purchased by Lianyugang Zeyu New Materials Direct shipping Processing Plant Sales Co Ltd (JFMAG), a 51% route from Wyndham or owned subsidiary of Guangdong Darwin to Schedule Rare Earths Group. Lian
Slide 16: Training-to-Work Facility
For personal use only Training-to-Work Facility Mining Processing Plant Schedule Financing Sales Agreement Community Feasibility • Northern Minerals has partnered with The Wunan Foundation for the establishment of an $8.1 million indigenous training-to-work facility at Browns Range. • The Federal Go
Slide 17: Full scale feasibility
Full scale feasibility • The three-year pilot project has been designed to assess the technical and For personal use only Mining economic feasibility of the proposed full-scale development. • Key aspects of assessment during the Pilot Plant phase: Processing Plant Mining and ore variability; Schedul
Slide 18: Blue Sky potential
Blue Sky potential The Browns Range dome is a massive For personal use only geological feature covering 1,500km2 and stretching 60km x 30km most of which hasn’t been effectively explored JORC Resource supporting an 11 year full scale operation ICEMAN Exploration target to add additional 9 years of J
Slide 19: Beyond Browns Range
For personal use only Beyond Browns Range Rock chip samples up to 42% TREO with approximately 95% Heavy REO Rock chip samples from the Boulder Ridge project confirm high-grade Heavy Rare Earths (HRE) Preliminary metallurgical tests indicate excellent recovery rates (>90%) Best results exceed 12% TRE
Slide 20: Key Personnel and Partners
Key Personnel and Partners For personal use only Key Site Personnel: Eben Van Rooyen – Resident Manager Tony Hadley – General Manager George Bauk Managing Robin Jones Director/CEO Chief Operating Officer Bin Cai Executive Officer Mark Tory Robin Wilson Chief Financial Exploration Officer Manager
Slide 21: Key Highlights
For personal use only Key Highlights
Slide 22: 2018 – Delivering on potential
2018 – Delivering on potential For personal use only
Slide 23: Corporate Overview
Corporate Overview For personal use only Northern Minerals Share Price Performance 0.16 9.00 0.14 8.00 Share Price (A$/share) 0.12 7.00 6.00 Volume (m) 0.10 5.00 0.08 4.00 0.06 3.00 0.04 2.00 0.02 1.00 0.00 0.00
Slide 24: Delivering critical technology metals to the EV evolution
For personal use only Delivering critical technology metals to the EV evolution
Slide 25: Appendices
For personal use only Appendices
Slide 26: Heavy rare earths crucial to growth of electric vehicle sector
Heavy rare earths crucial to growth of electric vehicle sector For personal use only NdDyFeB permanent magnets used by major electric vehicle (EV) manufacturers require Dysprosium and Terbium as key additives for high performance Changing policy settings by European governments and future developmen
Slide 27: Browns Range – An Eight Year Journey
Browns Range – An Eight Year Journey For personal use only
Slide 28: Global EV growth drivers
Global EV growth drivers For personal use only Battery technology Regulatory support for eliminating range technology lower emission vehicles Consumer demand EVs approaching price reaches inflection point parity with combustion vehicles
Slide 29: EV acceptance reached inflection point in 2017
EV acceptance reached inflection point in 2017 For personal use only
Slide 30: Chinese carmakers to dominate EV production
Chinese carmakers to dominate EV production For personal use only
Slide 31: Mineral Resources
Mineral Resources For personal use only 1 – Rounding may cause some computational discrepancies (TREO (metal) tonnes estimated from Mt x TREO%) Mineral resources as per NTU announcement 2 March 2015 in relation to increased reserves.
Slide 32: Ore Reserves
Ore Reserves For personal use only Ore reserves as per NTU announcement 2 March 2015 in relation to increased reserves.
Slide 33: Pilot plant: targeted production
Pilot plant: targeted production For personal use only Mixed RE carbonate (REC) produced 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 q
Slide 34: NTU Board
NTU Board Colin McCavana - Non-executive Chairman (appointed 2006) For personal use only 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) George is an experienced execut
Slide 35: Executive Team
Executive Team For personal use only 5 years 5 years 12 years 1 year 2 months Mark Tory Robin Jones Robin Wilson Eben Van Rooyen Tony Hadley Chief Financial Officer Chief Operating Officer Exploration Manager Resident Manager General Manager Mark is a Chartered Robin has more than 20 Robin has held
Slide 36: The Northern Minerals SPIRIT
For personal use only The Northern Minerals SPIRIT