Bannerman Energy Ltd · ASX:BMN
Bannerman Energy — Bannerman Resources — Australian Uranium Conference 2012
29 slides from Bannerman Energy's conference presentation, Jul 19, 2012
Slide 1: Corporate Update - Australian Uranium Conference
For personal use only Corporate Update Australian Uranium Conference Fremantle, Western Australia 19 July 2012
Slide 2: Technical Disclosures and Forward-Looking Disclaimers
Technical Disclosures and Forward-Looking Disclaimers For personal use only This presentation should be read in conjunction with the release by Bannerman Resources Limited dated 10 April 2012 and entitled “Bannerman Reports Positive DFS Results and Milestone Agreement with Namibian State-Owned Minin
Slide 3: Contents
Contents For personal use only 1. Investment Rationale 2. Recent Developments 3. Etango Uranium Project 4. Upside Opportunities 5. 2012 Action Plan 6. Summary Resource definition (core) drilling at the Etango site. 3
Slide 4: Upward Uranium Price Trend
1. Investment Rationale Upward Uranium Price Trend For personal use only Etango breakeven point (~US$61/lb) Price source: Ux Consulting. 4 Etango RC drilling
Slide 5: Demand - Strong New Reactor Build Outlook
1. Investment Rationale Demand - Strong New Reactor Build Outlook For personal use only # reactors 220 433 reactors operating 200 Proposed in 30 countries, 180 Planned 63 under construction, 160 Under Construction 489 planned and proposed. 140 Operating Reactors China has stated its intention to 120
Slide 6: Supply - Development Incentive Pricing
1. Investment Rationale Supply - Development Incentive Pricing For personal use only 6
Slide 7: Erongo Uranium Province, Namibia
1. Investment Rationale Erongo Uranium Province, Namibia Extensive uranium inventory and nearby infrastructure For personal use only 7
Slide 8: Erongo Region
1. Investment Rationale Erongo Region Trade hub of Namibia For personal use only 8
Slide 9: Recent Developments: Etango Definitive Feasibility Study
2. Recent Developments Recent Developments For personal use only Etango Uranium Project Definitive Feasibility Study (DFS) Completed on time and within budget. Demonstrates Etango to be a viable global top 10 pure uranium project. 80% conversion of M&I Resources to Ore Reserves (119Mlbs U3O8)
Slide 10: Partnership with Namibian State-Owned Mining Company
2. Recent Developments Recent Developments For personal use only Partnership with Namibian State-Owned Mining Company Conditional binding Term Sheet. Initial 5% interest and an additional 5% option in the Etango Project, based on market value. Initial 5% delivers Bannerman Continues to build
Slide 11: Etango Site Layout
3. Etango Uranium Project Etango Site Layout N For personal use only Key Features 16 year mine life & extension opportunities. Produce 6-9 Mlbs U3O8 per year. Ore Reserve 119 Mlbs U3O8 Capex US$870 million. Opex 1st five years US$41/lb U3O8. Licence boundary 32% operating margin at curre
Slide 12: Global Top 10 Uranium Project
For personal use only 12 0 50 100 150 200 250 300 350 McCarthur River Reflects 100% of projects. 335 Cameco/Areva Husab 320 Extract/CGNPC Source: Bannerman & Versant Partners, March 2012 Ranger/Jabiluka 246 ERA Cigar Lake 209 Cameco/Areva Inkai 135 Cameco/Kazatomprom Langer Heinrich 134 Paladin Glob
Slide 13: Bulk Open Pit Mining Operation
3. Etango Uranium Project Bulk Open Pit Mining Operation For personal use only Years 1-5 mining fleet: 1.2 billion • 32 haul trucks tonnes (ore and • 15 drills • 6 excavators waste) mined • 6 graders over 16 years • 6 bulldozers 6km 1km YEAR 16 13
Slide 14: Conventional On-Off Heap Leach Operation
3. Etango Uranium Project Conventional On-Off Heap Leach Operation For personal use only 14
Slide 15: Resource Expansion Potential
4. Upside Opportunities Resource Expansion Potential For personal use only Dec 2011 15
Slide 16: Increased Resource Utilisation
4. Upside Opportunities Increased Resource Utilisation For personal use only Hyena Deposit (Inferred resource) Ondjamba Deposit (Inferred resource) Etango Deposit Resource zones outside pit design Open at depth 1km Total U3O8 Mineral Resource comprises 149Mlbs M&I and 64Mlbs Inferred 16
Slide 17: Resource Expansion Potential
4. Upside Opportunities Resource Expansion Potential 5km For personal use only N Etango Project Area Existing Etango resource (149Mlbs M&I and 64Mlbs Inferred) Etango West Target (blue) Etango Deeps Target (red) Etango South Target (green) Ompo Already drilled (yellow) Additional target (green) Fi
Slide 18: 2012 Action Plan
5. Action Plan 2012 Action Plan To position Etango to capture value from rising uranium prices For personal use only Prudent cash management. Finalise and complete the Epangelo transaction. Step up engagement with potential development partners. Pursue Etango licencing. 18
Slide 19: Positioned for investment re-rating
6. Summary Positioned for investment re-rating US$5.00 For personal use only US$4.50 Listed uranium companies - Enterprise values (US$) $4.40 per attributable U3O8 resource pound US$4.00 US$3.50 Bannerman at US$0.20/lb US$3.00 US$2.50 $2.35 US$2.00 US$1.50 US$1.00 $0.80 $0.45 $0.40 US$0.50 - Explora
Slide 20: Bannerman in Summary
6. Summary Bannerman in Summary For personal use only Completed DFS. Premier uranium location - Namibia. Scale – annual production and mine life. Technical simplicity. Resource expansion potential. Environmental approval received. Substantial investment leverage to positive uranium fun
Slide 21: Scale, Simplicity, Substance
www.bannermanresources.com Scale, Simplicity, Substance For personal use only
Slide 22: Corporate Snapshot
APPENDIX Corporate Snapshot As at July 17, 2012 For personal use only Share price A$0.12 Shares - currently on issue 302M Shares - fully diluted (for options, rights, existing convertible note & contingent issues) 355 M Market capitalisation (undiluted) A$36M / US$37M Average daily traded volume in
Slide 23: Namibia: Premier uranium mining jurisdiction
APPENDIX Namibia Premier uranium mining jurisdiction For personal use only Stable democratic government. Etango Uranium 5th largest uranium producing Project Swakopmund Windhoek country – ambitions to grow. Walvis Bay Political and social support of uranium mining. 35 years of uranium mining
Slide 24: Making a Real Difference
APPENDIX Making a Real Difference For personal use only Radiation safety initiatives, Support of the Erongo Co-sponsor of the annual Early Learner Assistance Program including the first Radiation in local schools Development Foundation Hospitality Association of Namibia Management Plan conference En
Slide 25: Etango Project Mineral Resource and Ore Reserve Estimates
APPENDIX Etango Project Mineral Resource and Ore Reserve Estimates For personal use only Category Tonnes Grade Contained U3O8 (Mt) (ppm U3O8) (Mlbs) Measured 62.7 205 28.3 Indicated 273.5 200 120.4 Measured & Indicated Resource 336.2 201 148.8 Inferred (Etango) 45.7 202 20.3 80% conversion Inferred
Slide 26: DFS Highlights
APPENDIX DFS Highlights For personal use only Mine life Minimum 16 years with defined extension opportunities Mining & processing Conventional open pit mining; three-stage crushing; heap leaching, SX Waste/ore strip ratio 3.3 : 1 Plant throughput 20 million tonnes of ore per year Production (annual)
Slide 27: Conventional Process Flowsheet
APPENDIX Conventional Process Flowsheet For personal use only 27
Slide 28: Etango – DFS Pre-Production Capital Costs
APPENDIX Etango – DFS Pre-Production Capital Costs For personal use only US$ DFS Pre-Production Capital Cost Estimate (April 2012) million Mining – fleet, establishment & pre-stripping 127 Process plant 354 Site infrastructure 91 External infrastructure (power, water, rail, road and port) 47 EPCM co
Slide 29: Etango – DFS Cash Operating Costs
APPENDIX Etango – DFS Cash Operating Costs For personal use only First 5 Life-of- DFS Cash Operating Cost Estimate (April 2012) Years Mine Mining: - US$/tonne mined 1.72 1.97 - US$/tonne ore 7.87 8.55 Processing (US$/tonne ore): Consumables, labour, maintenance & other 3.37 3.41 Sulphuric acid 1.78
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