Slide 1: Campoona Graphite – Towards Production
For personal use only ARCHER EXPLORATION LIMITED Campoona Graphite – Towards Production Gerard Anderson Managing Director 1
Slide 2: Disclaimer
For personal use only Disclaimer Competent persons statement The exploration results reported herein, insofar as they relate to mineralisation, are based on information compiled by Mr. Wade Bollenhagen, Exploration Manager of Archer Exploration Limited. Mr. Bollenhagen is a Member of the Australasia
Slide 3: Presentation Outline
For personal use only Presentation Outline • Corporate Overview • Archer Assets • Archer’s Value Proposition • Project Pipeline • Graphite and the Graphite Market • Archer’s Graphite Deposits Campoona Sugarloaf Archer Graphite Summary 3
Slide 4: Corporate Overview
For personal use only Corporate Overview Archer Exploration:AXE ASX Code : AXE 50 45 Shares on Issue 82,142,763 40 Unlisted Options on Issue 6,270,000 35 30 Share price at 29 May 2012 $0.26 25 Projected Cash at 30 June 2012* $13.5 million 20 15 Market Capitalisation 1 June 2012 $21.4 million 10 * Ex
Slide 5: Archer's Value Proposition
For personal use only Archer’s Value Proposition • Primarily focused on graphite. • Plan is to fast track Campoona to development to produce high purity, high value graphite. • Campoona is a substantial graphite deposit with significant upside. • Huge land bank of 918 km2 in graphite “province” with
Slide 6: Archer Graphite
For personal use only Archer Graphite Numerous graphite deposits and prospects in 918km2* tenement package. *Archer has accepted conditions for the grant of ELA148/11 Cleve West 6 Archer has a substantial land position in “graphite province”
Slide 7: What is Graphite?
For personal use only What is Graphite? Graphite is a crystalline allotrope of carbon. Graphite is a non-metallic, Opaque, grey to black mineral with a metallic lustre. Properties of Graphite - Flexible - Soft (Mohs scale 1-2) - Compressible - Malleable Photomicrograph - Growth spirals in graphite c
Slide 8: Growing Market
For personal use only Growing Market Amorphous Graphite Microcrystalline graphite ≈70% of world production and consumption. Graphite content ranges from 15% to 99% C. Widely used in industrial applications for its high melting point, resistance to thermal shock and lubrication. Generally sourced fro
Slide 9: Graphite Size Nomenclature
For personal use only Graphite Size Nomenclature Graphite US Sieve Mesh Microns Millimetres Common Material Classification # Size (µm) (mm) 4 4 4760 4.760 +48 Mesh 8 8 2380 2.380 Extra Large 16 14 1190 1.190 Flake 25 24 707 0.707 Beach sand Larger Flakes 30 28 595 0.595 Table salt 50 48 297 0.297 Su
Slide 10: Graphite Uses
For personal use only Graphite Uses Traditional Uses for Graphite High Tech Uses for Graphite Carbon steel forging Electric motor brushes Graphite crucibles Refractory bricks to line blast furnaces Pencils Valves 10 Dry cell batteries Graphite brake pads
Slide 11: Hi-tech Uses for Graphite/Graphene
For personal use only Hi-tech Uses for Graphite/Graphene Zero EV motor cycles Audi E-Tron Construction of a high temperature PEMFC: Bipolar plate as electrode with in-milled gas channel structure, fabricated from conductive composites (enhanced with graphite, carbon black, carbon fibre, and/or carbo
Slide 12: Graphite Supply Dominated by China
For personal use only Graphite Supply Dominated by China Country Mine Production 2009 Mine Production 2010e Reserves (kt) (kt) (kt) Unites States - - - Brazil 76 76 360 Canada 25 25 (4) China 800 800 55,000 India 130 130 5,200 North Korea 30 30 (4) Madagascar 5 5 940 Mexico 5 5 3,100 Norway 2 2 (4)
Slide 13: Graphite Prices
For personal use only Graphite Prices Graphite Prices Rising on Strong Demand: Graphite is facing increasing demand worldwide from growing traditional uses and rapidly emerging new technological applications. Graphite has a posted price however prices are negotiated between the buyer and seller base
Slide 14: Wildhorse Plain Graphite
For personal use only Wildhorse Plain Graphite Flake graphite recorded in many regional samples – Campoona, Council Pit, Wilklow and Others Literature searches identified several regional graphite occurrences. Historic EM has indicated >40km of potential strike. Large areas not covered by EM. 14
Slide 15: Campoona Graphite EM
For personal use only Campoona Graphite EM • Historic EM flown on 1km centres • August 2011 EM flown on 100m centres • Excellent correlation between data sets • High resolution EM provides opportunity to model EM response with graphite morphology to derive a predictive exploration tool. • EM highlig
Slide 16: Campoona Graphite
For personal use only Campoona Graphite • High grade graphite - 15-50m thick highly conductive graphitic schist within proto-gneiss. • Pinching and swelling evident in 3D. • Drilling intercepts to date: CSRC12_003 24m @ 10.4%C from 49m (incl 10 10mm @ 16 16..7%C) CSRC12_006 21 21mm @ 15 15..0%C from
Slide 17: Campoona Graphite Petrology
For personal use only Campoona Graphite Petrology Drill Hole Depth Flake length Average TGC Range (µm) Length (µm) (%) CSRC12-003 53-54 30-500 200 20.4 CSRC12-004 11-12 30-200 100 0.8 CSRC12-006 49-50 30-250 120 16.0 CSRC12-006 52-53 30-300 185 15.9 CSRC12-007 28-29 30-200 100 0.1 CSRC12-007 72-73 3
Slide 18: Campoona Graphite Concentrate
For personal use only Campoona Graphite Concentrate 18 +150um fraction showing predominantly medium and large flake graphite
Slide 19: Campoona Graphite Concentrate
For personal use only Campoona Graphite Concentrate 19 Predominantly well developed medium flake graphite
Slide 20: First Campoona Metallurgy Results
For personal use only Campoona Graphite First Campoona Metallurgy Results • A composite RC sample from Campoona hole CSRC12_006 produced large, medium and fine flake with most in the medium flake range. • The results are considered a minimum result as the samples received by the laboratory were fine
Slide 21: Campoona Graphite Exploration Targets
For personal use only Campoona Graphite Exploration Targets • Based on drilling to date the Campoona Graphite Project has a Exploration Target* of 6-10Mt grading 11-13%TGC at the Campoona Shaft and Campoona Central areas. • The current resource drilling will solely target the Campoona Shaft area whe
Slide 22: Archer Graphite – Deposit Comparison
For personal use only Archer Graphite – Deposit Comparison Deposit Measured/Indicated/ TGC Grade Inferred Resource (Mt) (%) Emerging Graphite Deposits Uley Main 6.6 8.7 Average Grade (%C) Road Expected Campoona and Sugarloaf Raitajarvi 0.5 10.8 Uley Main Road resource grade range. Raitajarvi Nunasva
Slide 23: Archer Graphite – Valuation
For personal use only Archer Graphite – Valuation th AXE share price (as at 25 May 2012) A$0.26 (1) 12 month price range A$0.110 – A$0.450 Current shares on issue 82.1m Current cash balance(2)(3) A$4.1m, ($13.5m including sale to BHP) Market capitalisation A$21.3m Shares on issue (fully diluted) 88.
Slide 24: Campoona Graphite Key Dates
For personal use only Campoona Graphite Key Dates • Commence Environmental and Community baseline studies July 2012 • Complete JORC Measured and Indicated Resource April 2013 • Commence MLP / MARP Once Resource Completed • Complete FS/BFS* December 2013 * Decision on progression to BFS will be made
Slide 25: Sugarloaf Graphite
For personal use only Sugarloaf Graphite Exploration Target • Sugarloaf has Exploration Target of 40 – 70Mt grading Numerous drill holes drilled to test 10-12% total carbon*. gold-copper soil anomalism recorded significant graphite *The potential quantities and grades presented are conceptual in nat
Slide 26: Archer Graphite – Summary
For personal use only Archer Graphite – Summary • Large prospective land bank with detailed airborne EM survey set for Q3 calendar 2012. • Less that 1% of tenements drilled to date. • Historic graphite prospects many with flake; Grid 2, A405, Mt Shannan, Council Pit, Wilklow, Miltalie, Calkookra, Be