Australian Pacific Coal Limited · ASX:AQC
Australian Pacific Coal — Shareholder Meeting (November 2018)
22 slides from Australian Pacific Coal's shareholder meeting presentation, Nov 29, 2018
Slide 1: Annual General Meeting Managing Director Presentation
For personal use only ANNUAL GENERAL MEETING AUSTRALIAN PACIFIC COAL 29 November LIMITED (ASX:AQC) 2018 MANAGING DIRECTOR PRESENTATION
Slide 2: Disclaimer
Disclaimer For personal use only This presentation and all attachments and appendices (‘the presentation’) has been prepared by the management of Australian Pacific Coal Limited (‘Australian Pacific Coal’ or ‘the Company’) as an overview for investors and potential investors and is not intended to,
Slide 3: Competent Persons Statement
Competent Persons Statement For personal use only Marketable Reserves Note The Dartbrook Marketable Coal Reserve of 370Mt is derived from a run of mine Coal Reserve of 470 Mt estimated in accordance with JORC 2012 with a predicted overall yield of 78%. The 370Mt Marketable Coal Reserve is included i
Slide 4: Company Overview
Company Overview For personal use only Australian Pacific Coal (ASX:AQC) owns coal assets in Queensland and New South Wales, with the key asset being the Dartbrook Dartbrook Coal Resource1 (Mt) Coal Mine (Dartbrook) located in the well renowned Hunter Valley of New South Wales. The acquisition of
Slide 5: Year in Review
YEAR IN REVIEW For personal use only FEB 2018 - submitted and progressed environmental documentation to support an application to modify the Dartbrook consent, which: – adds a further 5 years for all mining approvals (to Dec 2027) – in addition to the existing mining approvals, provides an additio
Slide 6: Corporate timeline – Dartbrook Mine
Corporate timeline – Dartbrook Mine For personal use only JUN 2017 Coal MAY 2017 MILESTONES Resource Complete Upgrade to Dartbrook 2.5 Bt MAR 2019 2019 Acquisition Target Development completion of to first coal DEC 2015 MAY 2016 MAR 2018 SNR JV Deal Dartbrook Tag-along Open Cut PFS & Acquisition (Ma
Slide 7: Acquisition timing & positive price outlook
Acquisition timing & positive price outlook Thermal coal – 2001 to present For personal use only Price recovery over past 2 years, in part due to limited capacity for material supply side response Market for high quality export thermal coal appears stable over the medium term 220 Spot Newcastle
Slide 8: Dartbrook: Hunter Valley Location
Dartbrook: Hunter Valley Location For personal use only Dartbrook is located in the upper Hunter Valley in New South Wales, Australia. Muswellbrook is the closest major town, approximately 10 km to the southeast. The town of Aberdeen lies approximately 4.5 km northeast of Dartbrook. Dartbrook is
Slide 9: Development & Operational History
Development & Operational History Longwall development and mining For personal use only Mining lease and Under former ownership, the mine produced 30 Mt development ROM coal from 1996 – 2006, initially from the Wynn Development consent seam and then the Kayuga seam commenced 1991 1994 On complet
Slide 10: Investment Highlights
Investment Highlights For personal use only Size and quality of Coal Resource 2,534 Mt and Open Cut Coal Reserve1 370 Mt 1 the Dartbrook Mine Well understood geology and mining conditions, similar to neighbouring mines Prior ~12 year operating history with high quality thermal coal exports to
Slide 11: Coal Resource & Reserves
Coal Resource & Reserves Substantial under-developed asset For personal use only Coal Resource1 of 2,534 Mt based on an extensive database of +1,100 boreholes drilled since 1970s Coal Reserve1 of 370 Mt based on an open cut mine plan with an average strip ratio of 4.2 to 1 (bcm waste to ROM tonn
Slide 12: Existing Infrastructure & Land Ownership
Existing Infrastructure & Land Ownership Substantial historical capital invested For personal use only CHPP has been well maintained and is in good condition since Dartbrook was placed on care and maintenance in 2006. Surface infrastructure includes power, water and office facilities. Existing
Slide 13: Pre-Feasibility Study Completed
Pre-Feasibility Study Completed Dartbrook Open Cut Project 1 Study Snapshot Unit Owner Contractor For personal use only Operator Case The Open Cut Prefeasibility Study (OC PFS), Case completed by AQC in March 20181, confirms the technical and financial capability as a nominally 10 Mtpa run of mine
Slide 14: Stable, Low Cost of Production
Stable, Low Cost of Production Dartbrook Open Cut Project For personal use only Production profile shows ramp-up Annual Production and ROM Strip Ratio (Life of Mine) achieved by year 4 of coal mining 50,000 10.0x ROM coal production sustained around 45,000 9.0x Strip Ratio (waste bcm / ROM t) 10
Slide 15: High Quality Thermal Coal
High Quality Thermal Coal Dartbrook Open Cut Project For personal use only The Dartbrook Mine can produce two high As Received Basis Dartbrook Dartbrook energy coal products: (unless stated Premium Product Standard Product ‒ “Premium” thermal coal (~12% ash) otherwise) ‒ “Standard” thermal Coal (~
Slide 16: Transaction Update: Joint Venture with Stella Natural Resources
Transaction Update Joint Venture with Stella Natural Resources For personal use only On 6 August 2018, AQC announced it had signed Coal Handling Plant a binding agreement to partner with Stella Natural Resources (SNR) as equal-share participants in the Dartbrook Joint Venture to recommence sustain
Slide 17: Transaction Update (continued)
Transaction Update (continued) Joint Venture with Stella Natural Resources For personal use only Completion process update Impact on AQC cash commitments Documentation required for FIRB and NSW State As part of the binding agreement, on an from 1 Government approval submitted, confirmation Decem
Slide 18: Exploration & Environment
Exploration & Environment Engaging with local stakeholders For personal use only Exploration Activities The drilling program was completed in October 2018 including the installation of 13 groundwater monitoring bores and the sealing and rehabilitation of a number of historic exploration boreholes.
Slide 19: Modification Update
Modification 7 Update Dartbrook approvals For personal use only Current mining approval until Dec 2022 for longwall mining, including utilisation of the Hunter Tunnel, CHPP and associated infrastructure Modification 7 (MOD 7) provides AQC with an additional mining option for recommencement of op
Slide 20: Next Months: Transition from development to operations
NEXT 12 MONTHS Transition from development to operations For personal use only Close out transaction with SNR, including receipt of necessary approvals and fully committed funding for development of Dartbrook Execute the implementation strategy to deliver first coal from Dartbrook in a safe, eff
Slide 21: Company Contact Information
Company Contact Information For personal use only ASX code: AQC Board of Directors: Head Office: John Robinson Chairman Level 36, 71 Eagle Street and CEO Brisbane QLD 4000 Shane Stone Non-Executive Director Bruce Munro Non-Executive Phone: +61 7 3221 0679 Director Fax: +61 7 3229 9323 Website: www.a
Slide 22: For personal use only
For personal use only 22
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