Vrx Silica Ltd. · ASX:VRX
Vrx Silica — Investor Presentation (March 2024)
27 slides from Vrx Silica's investor presentation, Mar 28, 2024
Slide 1: Silica Sand - Essential to World Growth
VRXSILICA For personal use only Silica Sand - Essential to World Growth Singapore March 2024
Slide 2: Important Information
Important Information Disclaimer This document has been prepared by VRX Silica Limited. The information contained in this document is for information purposes only and has been prepared for use in conjunction with a verbal For personal use only presentation and should be read in that context. The in
Slide 3: Humans consume nearly 50 billion tons of sand every year
For personal use only “Humans are estimated to consume nearly 50 billion tons of sand every year” World Construction Aggregates 2016 “Sand is the main material that modern cities are made of ” Vince Beiser The World in a Grain 2018
Slide 4: Investment Highlights
Investment Highlights WA-based, pure-play silica sand company with advanced silica sand projects For personal use only ❑ 100% owner of five high value silica sand projects in Western Australia - Tier 1 mining region ❑ 100+ year life of mine across contiguous sand deposits with significant high-grade
Slide 5: Corporate Summary
Corporate Summary Capital Structure For personal use only Share Price 8.3 cps * Ordinary Shares on Issue 583 million Options on Issue 58.7 million Market Capitalisation A$48.4 million* Cash A$2.3 million** Debt Nil Enterprise Value A$46.1million Shareholders Board and Management 12% Top 20 Total 33%
Slide 6: Our Team
Our Team Board Executive For personal use only Person Role Experience Person Role Experience Governance: over 30 years’ Production: 15 years’ experience Paul experience in investment, equity General Chairman markets and managing public Ryan Baxter in mining and construction with Boyatzis Manager 10
Slide 7: Silica Sand: The Second-Most Consumed Material on Earth
Silica Sand: The Second-Most Consumed Material on Earth For personal use only 7
Slide 8: The world is facing a global sand crisis
The world is facing a global sand crisis For personal use only 8
Slide 9: Market Outlook
Market Outlook Asian glass making production increasing 5-6% per year (~8 - 10Mtpa Growth) VRX Target Market - Float, Container, Solar Panel, and; For personal use only Metal Casting/Foundry for Automobile Parts Glassmaking silica sand demand by region* Market in Growth in Use Spec 4% Asia Asia 5% F
Slide 10: Australian Production
Australian Production Potential silica sand mining sector in Australia For personal use only 10
Slide 11: World Class Silica Sand Projects
World Class Silica Sand Projects Project development pipeline to ensure disciplined, staged development of world- For personal use only class assets ❑ Five very large scale, high grade and low impurity silica sand projects, with each project capable of independent operation to supply processed mater
Slide 12: WA Leading Silica Sand Projects
WA Leading Silica Sand Projects Arrowsmith North (100%) • High-grade with exceptional financial metrics For personal use only • Close proximity to port and rail infrastructure • Glass making and foundry products • Potential +100 year mine life: - JORC Proved and Probable Reserve of - 221Mt @ 99.5% S
Slide 13: Portfolio Highlights
Portfolio Highlights WA-based, pure-play silica sand company with advanced silica sand projects For personal use only 100+ year production life: ❑ Multi-decade-scale contiguous sand deposits with significant high-grade Resources ❑ Most-advanced non-private silica sand projects in Australia ❑ Mining
Slide 14: Arrowsmith North
Arrowsmith North Near-term development opportunity for a world-class silica sand project ❑Production to commence 6-8 months following final environmental approvals, For personal use only expected mid 2024 ❑221Mt Ore Reserve @99.5% SiO2 (100-year production) (see Appendix) ❑Grade controlled Proved Or
Slide 15: Arrowsmith North – Updated BFS
Arrowsmith North – Updated BFS Updated BFS Results (6 March 2024) For personal use only ❑Updated BFS demonstrates robust financial metrics for a World-class silica sand project 221Mt Ore Reserve @99.5% SiO2 (100-year production) ❑Ungeared NPV10 of $167m based on 25 years mining of a +100 year Resour
Slide 16: Responsible Mining – the VRX Way
Responsible Mining – the VRX Way A made-for-purpose mining method designed around continuous rehabilitation For personal use only ❑VRX has developed a unique and progressive mining method for its silica sand projects ❑The Vegetation Direct Transfer (VDT) method provides a rapid and comprehensive reg
Slide 17: Exploration
For personal use only Exploration 17
Slide 18: Arrowsmith North Environmental and Mining Approvals
Arrowsmith North Environmental and Mining Approvals ❑ Confirmation by Commonwealth Department of Agriculture, Water and the Environment of accredited For personal use only State approval under the EPBC Act ❑ State Department of Water and Environmental Regulation and Environmental Protection Authorit
Slide 19: Muchea
Muchea Large scale, world class high-grade and low impurity silica sand project For personal use only ❑Production to follow Arrowsmith North subject to EPA approval ❑Utilise VDT and duplicate plant ❑Access to established infrastructure ❑Underutilised railway connects to Kwinana (100km) ❑Grid power ❑
Slide 20: VRX Silica
For personal use only VRX Silica 20
Slide 21: Processing Flowsheet
Processing Flowsheet Simplified wet processing, multiple products, no dust, 2mtpa processing plant at each site For personal use only Processing Plant Design ▪ Arrowsmith North, Arrowsmith Central and Muchea to each have 2 Mtpa processing capacity ▪ No toxic reagents required 21
Slide 22: Processing Plant Design
For personal use only Processing Plant Design No dust No toxic chemicals
Slide 23: Sustainability, Environment, Social and Governance (ESG)
Sustainability, Environment, Social and Governance (ESG) For personal use only VRX is delivering on its ESG responsibilities aligned to the UN’s Sustainable Development Goals CLEAN ENERGY ECONOMIC INDUSTRY SUSTAINABLE RESPONSIBLE CLIMATE REHABILITATION GROWTH INNOVATION COMMUNITIES PRODUCTION ACTION
Slide 24: Other Initiatives
Other Initiatives VRX is investigating potential downstream products and cost saving initiatives For personal use only ❑Critical Minerals Prospectus – Muchea and Arrowsmith North included in the 2023 Critical Minerals Prospectus published by Austrade ❑IAF Grant - VRX has received a grant from the St
Slide 25: Right Time, Right Place
Right Time, Right Place Opportunity for WA to capture its economic advantages of abundant silica sand and domestic gas reserves to build world-class glass manufacturing and For personal use only downstream processing industries ❑ Very long life, high-grade silica sand supply with combined 1.4 billio
Slide 26: Appendix – Silica Sand Resources and Reserves
Appendix – Silica Sand Resources and Reserves Ore Reserves - as at 30/06/2023 For personal use only Mineral Resources - as at 30/06/2023 SiO2 Al2O3 Fe2O3 TiO2 LOI Project Classification Product Mt % % % % % SiO₂ Al₂O₃ TiO₂ LOI Project Classification Mt Fe₂O₃ % F80 10.2 % % % % 99.9 0.02 0.008 0.03 0
Slide 27: Thank you
For personal use only Thank you Bruce Maluish Managing Director Ground Floor, 52 Kings Park Road West Perth WA 6005 Phone: 08 9226 3780 Email: info@vrxsilica.com.au