Iluka Resources Limited · ASX:ILU
Iluka Resources — TZMI virtual congress 2021
26 slides from Iluka Resources's conference presentation, Nov 10, 2021
Slide 1: Iluka: Disciplined and Proactive
1 Iluka: Disciplined and Proactive TZMI virtual congress 2021 Matthew Blackwell, Head of Major Projects and Marketing
Slide 2: Disclaimer and compliance statement
Disclaimer and compliance statement 2 This presentation has been prepared by Iluka Resources Limited (Iluka). By accessing this presentation you acknowledge that you have read and understood the following statement. This document provides an indicative outlook for the Iluka business in the 2021 fina
Slide 3: 2021 – Industry challenges continue
2021 – Industry challenges continue 3 A combination of both existing and emerging challenges continue to impact our industry • Covid pandemic • Logistics challenges • Climate change and severe weather • Escalating sovereign risks • Declining grades at existing mines • New projects delayed
Slide 4: Iluka's commitment to sustainability
Iluka’s commitment to sustainability 4 Key pillars of Iluka’s sustainability approach 1.7 TRIFR 43% Health and safety (H1 2020: 3.2) female representation Executive and Board (Total Recordable Injury Frequency Rate) Our people Our communities Environmental stewardship 26% Zero Indigenous employment
Slide 5: Jacinth-Ambrosia - hybrid power evolution
Jacinth-Ambrosia - hybrid power evolution Iluka commissioned its first solar farm at Jacinth-Ambrosia in Q3 2021 with the plant expected to produce power from Q4 2021. The project is now being used as a template for future developments across Iluka’s sites 3.5MW 1460MW hours Forecast production for
Slide 6: Operational settings
Operational settings Cataby / South West Jacinth-Ambrosia / Mid West Eneabba Sierra Leone Large chloride ilmenite rich mine, Jacinth-Ambrosia is one of the world’s Processing and sale of monazite World’s largest rutile mine, operating since commissioned in 2019. Ilmenite feeds largest zircon mines,
Slide 7: Mineral sands markets
» —_— Pa "fi LF P uJ wot Mineral sands markets
Slide 8: Zircon: Key Features
Zircon 8 Key Features Iluka annual zircon production • Q3 21 YTD sales 266kt (Q3 20 YTD: 142kt) Zircon (kt) 400 Result – Q3 sales of 89kt (+40% YoY) after Q2 sales of 91kt 300 Average 314kt • Demand in key markets reflecting a return to pre-pandemic production levels 200 • Q3 21 YTD weighted average
Slide 9: Zircon market – long term market outlook
Zircon market – long term market outlook 9 kt Zircon supply by U+Th levels 1,600 Decreasing supply of low uranium and thorium (U+Th) zircon 1,400 • Natural zircon contains uranium (U) and thorium (T) in varying quantities 1,200 • China’s strict enforcement of radiation limits is impacting some suppl
Slide 10: High-grade titanium feedstocks: Key Features
High-grade titanium feedstocks 10 Key Features • Q3 21 YTD sales 410kt (Q3 20 YTD: 209kt) Rutile net realised FOB price US$/t Result – Q3 sales of 129kt after Q2 sales of 152kt • Demand in all regions outpacing supply US$/t 1600 • Q3 21 rutile price up 1.5% to US$1,242/t1 Pricing • Pigment pricing m
Slide 11: High-grade titanium feedstock - long term market outlook
High-grade titanium feedstock - long term market outlook 11 Key Features High grade feedstocks essential to pigment and welding industries Inputs required and waste produced per tonne of titanium • Used to increase capacity utilisation of pigment plants and is an essential input to the pigment for v
Slide 12: Rare earths markets
Rare earths markets 12
Slide 13: Rare earths – increasing global demand
Rare earths – increasing global demand 13 By volume Battery alloys By value Battery Alloys Catalysts Catalysts 2019 rare earth use Ceramics, pigments, glazes Ceramics, pigments, glazes • By volume permanent magnets accounted for nearly 40% of global consumption in 2019 Glass Glass Permanent Metals,
Slide 14: Rare earths – global magnet supply chain
Rare earths – global magnet supply chain 14 MAGNET IN COMPONENTS EXPLORATION, RE ORE PRODUCTION OF NdFeB MAGNET AND FINAL OXIDE METALS DEVELOPMENT, PRODUCTION PRODUCT BENEFICIATION SEPARATION MINING CHINA CHINA CHINA CHINA CHINA CHINA AUSTRALIA MALAYSIA MALAYSIA VIETNAM JAPAN JAPAN USA AUSTRALIA EST
Slide 15: Projects
Projects Eucla Basin, South Australia
Slide 16: Project pipeline
Project pipeline 16 The company develops and progressively gates projects towards execution subject to: improving confidence and satisfaction with the risk-return attributes; continued strategic alignment; and sequencing to take advantage of economic and market outlook ASSESS SELECT DEVELOP EXECUTE
Slide 17: Rare earths
Rare earths
Slide 18: Superior rare earth feedstock
Superior rare earth feedstock 18 Iluka’s Eneabba project in Western Australia, is the world’s highest grade operational rare earths deposit and is capable of providing direct feed to a rare earths refinery • Monazite is a natural mineral sand product and a low cost output from Iluka’s current operat
Slide 19: Eneabba development – A phased approach
Eneabba development – A phased approach CRACKING & Eneabba Phase 3 EXPLORATION, CONCENTRATING LEACHING - METALLISATION COMPONENT DEVELOPMENT, SEPARATION & MANUFACTURING A fully integrated rare earths MINING FINISHING refinery INDIVIDUAL RARE EARTH ORE MONAZITE PERMANENT ✓ Domestic production of rare
Slide 20: Diversified supply of rare earths
Diversified supply of rare earths 20 Iluka’s Australian refinery would eliminate the need to send concentrate elsewhere for final processing, streamlining the supply of these critical minerals • Continued government support for Iluka’s mineral supply and downstream processing capabilities • Process
Slide 21: Mineral sands
Mineral sands Cataby, Western Australia
Slide 22: Synthetic Rutile Kiln (SR1) restart, Western Australia – execute decision
Synthetic Rutile Kiln 1 (SR1) restart, Western Australia – execute decision 22 A capital efficient, incremental synthetic rutile production response, to deliver increased high grade titanium dioxide feedstock in supply constrained market Project overview Parameters • SR1 kiln is located at Capel, We
Slide 23: Balranald, New South Wales – definitive feasibility study decision
Balranald, New South Wales – definitive feasibility study decision 23 Third technology trial completed and confirmed effectiveness of the underground mining method; definitive feasibility study (DFS) approved Project overview DFS parameters and basis of design West Balranald is a rutile-rich deposit
Slide 24: Wimmera, Victoria – move to larger-scale piloting
Wimmera, Victoria – move to larger-scale piloting 24 Wimmera is a large-scale deposit with the potential to produce ceramic-grade zircon and rare earth products. Project work is focussed on finding a processing solution to remove impurities from the zircon Project overview The Wimmera project involv
Slide 25: Iluka – disciplined and proactive
Iluka – disciplined and proactive 25 Iluka has remained focused and steadfast throughout this challenging environment: • Prioritising the health and well being of our employees • Matching production to genuine demand in 2020 and ramping up assets to meet increasing demand through 2021 • Continuing t
Slide 26: Jacinth-Ambrosia, South Australia
Jacinth-Ambrosia, South Australia