Boss Energy Limited · ASX:BOE
Boss Energy — Diggers & Dealers 2022
24 slides from Boss Energy's conference presentation, Aug 3, 2022
Slide 1: Australia's Next Uranium Producer
For personal use only AUSTRALIA’S NEXT URANIUM PRODUCER DIGGERS & DEALERS 3 AUGUST 2022
Slide 2: Disclaimer and Important Notices
DISCLAIMER AND IMPORTANT NOTICES For personal use only IMPORTANT: You must read the following before continuing. makes no representation or warranty, express or implied, in relation to, and no responsibility or liability (whether for negligence, under statute or otherwise) is or will be accepted by
Slide 3: Vulnerable Uranium Supply
VULNERABLE URANIUM SUPPLY For personal use only Production in 2022 is vulnerable to sanctions, shipping disruptions and supply chain risk Global Uranium Production in 2021 Kazakhstan 45% (Uranium production exported out of Russian ports) Namibia 12% (Captive supply – 2 operating mines are majority o
Slide 4: Compelling Market Fundamentals
COMPELLING MARKET FUNDAMENTALS For personal use only Re-start projects are required to be online by 2023-2024 to fill a looming supply shortage World Nuclear Association - Reference (Base) Scenario1 120 100 Re-starts required 80 Uranium (kt) 60 40 20 0 2017 2018 2019 2020 2021 2022 2023 2024 2025 20
Slide 5: Uranium Price History
Low uranium URANIUM PRICE HISTORY prices have curtailed supply. For personal use only Contract prices Increased activity in the spot market has led to a rapid increase in spot price $160 must rise to incentivise re-start 2005: production to meet $140 Major Mine known demand Flood (Cigar Lake) Contra
Slide 6: The Opportunity for Boss – Investment Highlights
THE OPPORTUNITY FOR BOSS – INVESTMENT HIGHTLIGHTS For personal use only Fully funded to become Australia’s next Uranium producer, with a global first mover advantage • Technically proven, low-cost re-start operation in the uranium friendly jurisdiction of South Australia • Well positioned to take ad
Slide 7: Corporate Overview
CORPORATE OVERVIEW For personal use only Fully funded to become Australia’s next Uranium producer, with a global first mover advantage BOARD OF DIRECTORS KEY MANAGEMENT & CONSULTANTS Non-Executive Chairman Peter O’Connor Chief Financial Officer Andre Potgieter Managing Director & CEO Duncan Craib St
Slide 8: Honeymoon Uranium Project
For personal use only HONEYMOON URANIUM PROJECT AUSTRALIA’S NEXT URANIUM PRODUCER BOSS ENERGY 8 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 8
Slide 9: Production
PRODUCTION HONEYMOON MINE SITE WATER WELL For personal use only TREATMENT FIELDS Sunk Infrastructure Cost of $170M PLANT ION EXCHANGE DRYING CIRCUIT BOSS ENERGY | AUSTRALIA’S NEXT CLEAN ENERGY PRODUCER 9
Slide 10: Ramp-up of Key Construction & Development Works
RAMP-UP OF KEY CONSTRUCTION & DEVELOPMENT WORKS For personal use only Advancing early works activities ✓ All major long-lead tenders have been issued and are under evaluation ✓ Orders for key critical equipment items have been placed ✓ SMP contractors mobilised to site for the piping and electrical
Slide 11: In-Situ Recovery ESG Benefits
IN-SITU RECOVERY ESG BENEFITS For personal use only ISR is a proven cost effective and environmentally encouraged extraction process • ISR accounts for ~ 60% global uranium mined, and is used in Australia, Kazakhstan, USA • The ISR process involves the installation of multiple wells in a specific pa
Slide 12: JORC Resources ~71.6Mlb U3O8
JORC RESOURCES ~ 71.6Mlb U3O8 For personal use only • 71.6Mlb U3O8 JORC Resource1 at an average grade of 620ppm U3O8 • The Honeymoon Re-start Area (HRA) contains 36Mlb U3O8 • ML 6109 sits on top of the HRA • Shallow mineralisation at 90 - 120m depth • A further 36Mlbs sits outside the HRA on 2 satel
Slide 13: Financial Highlights
FINANCIAL HIGHLIGHTS For personal use only Honeymoon’s low cost of production delivers robust financial returns, excludes held physical uranium KEY STUDY OUTCOMES FINANCIALS US$1.28B US$25.62/lb Physical Summary REVENUE AISC Life of Mine Years 11 U3O8 Production Mlb 21.81 Financial Summary NPV 8%, P
Slide 14: Significant Upside Potential
SIGNIFICANT UPSIDE POTENTIAL For personal use only Substantial scope to add significant value and mine life beyond initial EFS mine plan Highly attractive to ESG funds – cleanest mining Potential to technique increase production Lower cost of rate and/or capital Leverage to Uranium optimise price co
Slide 15: Boss Energy's ESG Focus
For personal use only Boss Energy’s ESG Focus Instilling ESG values not only creates economic value, but long-term value for society by addressing its needs and challenges • Business Ethics & Corporate Governance • Climate change and decarbonisation • Health and Safety • Community Relationships • En
Slide 16: First Mover Advantages
FIRST MOVER ADVANTAGES For personal use only Well positioned to deliver on project outcomes to meet growing market demand Completed FEED – in line with Feasibility Study expectations Secure long-lead time items – all major long-lead tenders have been issued and are under evaluation Restart developme
Slide 17: Appendix
For personal use only APPENDIX BOSS ENERGY 17 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 17
Slide 18: Boss Energy - Board of Directors
BOSS ENERGY - BOARD OF DIRECTORS For personal use only Highly credentialed team with a proven track record in the uranium industry Peter O’Connor Duncan Craib Jan Honeyman Bryn Jones Wyatt Buck Non-Executive Chairman Managing Director & CEO Non-Executive Director Non-Executive Director Non-Executive
Slide 19: Boss Energy – Operating Team
BOSS ENERGY – OPERATING TEAM For personal use only Highly credentialed team with a proven track record in the uranium industry Sashi Davies Jon Owen Andre Potgieter Ben Jeuken Merrill Ford Jason Cherry Strategic & Marketing Project Manager Chief Financial Officer GM Wellfield and Resources NIMCIX Io
Slide 20: Key Milestones Achieved
KEY MILESTONES ACHIEVED For personal use only Track record of achieving key milestones Milestone Date Status Acquisition of Honeymoon Uranium Project - global Resources of 16.6Mlb U3O8 Dec 2015 Scoping study confirming low capital requirements and operating costs for Honeymoon re-start Sept 2016 PFS
Slide 21: 1.25Mlb U3O8 Strategic Physical Inventory
1.25Mlb U3O8 STRATEGIC PHYSICAL INVENTORY For personal use only Boss’ investment in strategic uranium inventory complements the Honeymoon Project Boss paid US$30.15/lb for inventory in March 2021. At 1 August 2022, spot price of $44.25/lb equates US$23.1M book profit. OPTIMISE OFFTAKE STRENGTHEN ALI
Slide 22: Significant Upside Potential
SIGNIFICANT UPSIDE POTENTIAL For personal use only Substantial scope to add significant value and mine life beyond initial EFS mine plan Current mine plan represents a base case to fast-track production, utilizing only ~50% of JORC resources OPPORTUNITY DESCRIPTION • The EFS is based on 36Mlb of Hon
Slide 23: Compelling Uranium Market Fundamentals
COMPELLING URANIUM MARKET FUNDAMENTALS For personal use only Multiple macroeconomic factors converging in support of a sustainable near term price recovery The uranium recovery Net zero carbon Energy Independence Lack of >US$80/lb is underway emissions alternatives incentive price Government policie
Slide 24: Honeymoon Restart Project
For personal use only HONEYMOON RESTART PROJECT KEEP UP TO DATE WITH US: www.bossenergy.com @Boss_Energy BOSS ENERGY 24 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 24