Alphamin Resources Corp. · TSXV:AFM
Alphamin Resources — Investor Presentation (November 2022)
26 slides from Alphamin Resources's investor presentation, Nov 16, 2022
Slide 1: Investor Presentation
TSXV：AFM JSE Altx：APH INVESTOR PRESENTATION 16 November 2022
Slide 2: Disclaimer
DISCLAIMER This Investor Presentation (the “Presentation") was prepared as a summary overview only of the current affairs of Alphamin Resources Corp. (”Alphamin" or the “Company") and was not prepared for the purpose of assisting prospective investors in making a decision to invest in Alphamin. Alph
Slide 3: Disclaimer
DISCLAIMER Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those express
Slide 4: Disclaimer – Use of non-IFRS financial performance measures
DISCLAIMER USE OF NON-IFRS FINANCIAL PERFORMANCE MEASURES This Presentation refers to the following non-IFRS financial performance measures: Earnings before interest, taxes, depreciation and amortization (“EBITDA”), All-In Sustaining Cost (“AISC”), Net Debt and Net Cash. These measures are not recog
Slide 5: Corporate Overview
CORPORATE OVERVIEW Company overview Market Statistics at 15 November 2022 Bisie tin mine located in the resource rich Democratic Republic of Congo Share price C$0,80 (DRC) Market capitalization C$1bn (US$0,8bn) Currently producing 4% of the world’s mined tin² Shares outstanding 1,3bn Low-cost
Slide 6: Key Milestones Achieved
KEY MILESTONES ACHIEVED Exploration to production in less than 6 years – now targeting production expansion and resource extensions YTD Q3 EBITDA 2021 EBITDA US$195m US$200m Production of Secured project Commercial Production 12ktpa Sn Anchor investors finance and production of 11kt Sn annualised Pr
Slide 7: Value Proposition
VALUE PROPOSITION ▪ The mineral most impacted by new technology1 Pure Tin Play ▪ The forgotten critical mineral2 ▪ New supply unlikely to meet demand growth ▪ Produces 12,000tpa Sn, 4% of the world’s mined tin3 – second largest outside China and Indonesia Established high-margin tin ▪ High-grade, lo
Slide 8: Our 3-Year Goal
OUR 3-YEAR GOAL WHAT ARE WE AIMING FOR? Gearing 1. Mpama North the cornerstone Operational excellence and continuous • Limited debt improvements • Unutilised Gearingdebt capacity Steady 12ktpa tin; Competitive AISC/t • Cash reserves Cash flow generation Balanced stakeholder distribution So
Slide 9: Financial and Operating Performance
FINANCIAL AND OPERATING PERFORMANCE1 Contained Tin Produced and Sold EBITDA (US$’000) and Tin Price (US$/t) 3,500 100,000 3,000 40,000 80,000 2,500 30,000 2,000 60,000 Tonnes US$’000 US$/t 1,500 40,000 20,000 1,000 20,000 10,000 500 0 0 0 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q3 2021 Q4 2021 Q1 20
Slide 10: Mpama South – Next Step to Realising Growth
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Updated Mineral Resource and Preliminary Economic Assessment¹ Current mineral resource estimate for Mpama South – 31 May 2022 Tonnes (m) Sn% Sn tonnes Classification Indicated 0.84 2.53 21 400 Inferred 4.99 2.50 124 750 Preliminary economic assessment – su
Slide 11: Mpama South – Development Progress
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Development Progress In-fill drilling completed awaiting assays – resource update expected January 2023 Long lead time orders placed and manufacturing in progress ~90% of items ordered and prices fixed Processing plant engineering and design well a
Slide 12: Mpama South – Surface Bulk Earthworks
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Surface Bulk Earthworks ©Alphamin 2022 12
Slide 13: Mpama South – Crusher Area Platform
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Current view of the crusher area platform ©Alphamin 2022 13
Slide 14: Mpama South – Connecting with Mpama North
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Connecting with Mpama North PEA Expectations Current Layout Underground (looking East) N Measured & Indicated Inferred Sn % 6.0 Underground development on level 8 and 9 from MN to MS in progress Resources (Mt) 2.5 Grade (SN%) 2.0 4.0 1.5 Portal geotech
Slide 15: Mpama South – Processing Plant
MPAMA SOUTH – NEXT STEP TO REALISING GROWTH Processing Plant – minor design changes and improvements compared to current plant • Conveyor optimisation at crushers • Jig pre screen • Larger crusher screen • Extra shaking tables and MGS’s • Wider conveyors • Larger dryer building & reconfigured ©Alpha
Slide 16: Updated Resources and Life of Mine Plan
UPDATED RESOURCES AND LIFE OF MINE PLAN Mpama North’s mineable tin replenished from exploration drilling Mpama South’s increased resource remains open-ended Resources – Mpama North Mine Life of mine scheduled tin – Mpama North Mine Contained tin in Resources (kt) Contained tin in LoM Plan (kt) 167.3
Slide 17: High Impact Exploration
HIGH IMPACT EXPLORATION Added 175,000t contained tin during the last 18 months 6.0 Global tin resources (CRIRSCO compliant)¹ Mpama North 5.5 5.5 5.0 5.0 Mpama North 4.5 4.5 Alphamin Combined2 4.0 Grade % tin (kt) 4.0 Alphamin Combined 3.5 3.5 Tin Grade % = contained Mpama South Mpama South 3.0 San R
Slide 18: High Impact Exploration
HIGH IMPACT EXPLORATION Drilling on the ridge accelerated. Exploration to take a back-seat in 2023. The target: Mineralisation A Heli-lift in Action New exploration base on the Ridge First helicopter rig drillhole ©Alphamin 2022 18
Slide 19: The Tin Market
THE TIN MARKET Tin market fundamentals setting the scene for the next bull market Supply/demand fundamentals will prevail in the medium term ▪ The short term is exposed to sentiment and manipulation of a small market Looking through a 5-year window, Alphamin sees a constrained supply landscape a
Slide 20: The Tin Market – Supply Landscape
THE TIN MARKET Supply Landscape The Global Cost Curve vs Tin Prices drive the supply landscape (1) Information from the International Tin Association Tin Industry Review 2022 ©Alphamin 2022 20
Slide 21: The Tin Market – Major Producing Regions Under Pressure
THE TIN MARKET Supply Landscape Major producing regions under pressure World mined tin production (300kt)¹ Four countries produce 73% of global tin concentrate1: 350 300 - China’s mined tin output flat last 10 years. Struggle for stability1 250 - Indonesian on-shore mining declining and export restr
Slide 22: The Tin Market – New Tin Projects Years Away
THE TIN MARKET Supply Landscape New Tin Projects years away from production ▪ Project economics drive project fundability and development. Investors require acceptable risk-adjusted returns. ▪ Tin price sentiment and expectations drive project economics ▪ Tin market volatility and recent price decli
Slide 23: The Tin Market – Demand Landscape
THE TIN MARKET Demand Landscape Metals most impacted by The expected technology supercycle for tin – headwinds turning direction new technologies2 ▪ Miniaturisation almost neutralized additional tin in electronics solder over the last 10 years1 Tin ▪ BUT miniaturization is fading - electronics solde
Slide 24: Tin – The Forgotten Critical Mineral
TIN – THE FORGOTTEN CRITICAL MINERAL What does it all mean? Price decline driven by weak macroeconomics, China’s zero-Covid drive and speculators taking advantage of a small market Global GDP growth under pressure – but not forever When China sneezes, commodities catch a cold. China seems to be
Slide 25: Our Social License to Operate
OUR SOCIAL LICENSE TO OPERATE Investing in our communities Reach Area of influence – Social Commitment Register in terms of the Mining Code • Social Commitment Register - 28 villages - 7,658 households (average size ~6 people) - 45,921 people • Additional community impact and projects via the Lowa A
Slide 26: Thank You
TSXV：AFM JSE Altx：APH THANK YOU Questions?
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