Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Bell Potter Unearthed Natural Resources Conference 2023
27 slides from Arafura Rare Earths's conference presentation, Feb 7, 2023
Slide 1: Bell Potter Unearthed Natural Resources Conference ASX announcement
ASX ANNOUNCEMENT BELL POTTER UNEARTHED NATURAL RESOURCES CONFERENCE 7 February 2023 For personal use only Arafura Rare Earths Limited (ASX:ARU) (“Arafura” or the “Company”) is pleased to attach a copy of its presentation delivered by Chief Financial Officer, Mr Peter Sherrington, at the Bell Potter
Slide 2: Bell Potter Unearthed Natural Resources 2023
7/2/2023 Bell Potter Unearthed Natural For personal use only Resources 2023 February 2023 (ASX:ARU) 1
Slide 3: Disclaimer
7/2/2023 Disclaimer For personal use only This presentation has been prepared by Arafura Rare Earths Limited (Arafura, Arafura Rare Earths or the Company) and is of a summary form only and therefore contains general background information which may not be complete. It should be read in conjunction w
Slide 4: Nolans Project Overview
7/2/2023 Nolans For personal use only Project Overview (ASX:ARU) 3
Slide 5: Nolans Project: Australian based, NdPr focused
7/2/2023 The Nolans Project contains Nolans Project all the Rare Earths but is particularly enriched in the Australian based, NdPr focused and For personal use only ‘Magnet Feed’ Rare Earths aligned with global energy transition NdPr 60 59 Nd Pr NEODYMIUM PRASEODYMIUM The dominant application for Nd
Slide 6: Close to existing key infrastructure
Close to existing key 7/2/2023 infrastructure For personal use only Stuart Highway 10km east Amadeus natural gas pipeline- adjacent to project site Water supply 25km southwest Tailings and process wastes at site Alice Springs railyard, airport and other services 135km south (ASX:ARU) 5
Slide 7: Delivering to an ESG World
7/2/2023 Delivering to an ESG World For personal use only Nolans ore to oxide single site processing solution is strongly aligned with the emerging ESG focus In a changing world a focus on environmental responsibility has become paramount Single site processing provides traceable product and ESG was
Slide 8: Recent A$141m capital raising de-risks the Nolans construction schedule
Recent A$141m capital raising de-risks the Nolans 7/2/2023 construction schedule For personal use only Feb 19 Mid 25 DFS First Ore & Completed Production Mar 20 Mid 20 Aug 21 Nov 22 Jan 23 Mar 23 Apr 23 Mid 23 Early 25 Commencement* Reserve Increase Native Title FEED Hyundai Offtake Long Lead FID* C
Slide 9: NdPr Market & Offtake
7/2/2023 NdPr For personal use only Market & Offtake (ASX:ARU) 8
Slide 10: NdPr Supply Gap
7/2/2023 2/7/2023 Investment in new projects is required to NdPr Supply Gap meet demand requirements For personal use only Significant new production required to be on the trajectory to achieve global net zero by 2050 Security of supply will be challenged, sustained higher NdPr prices will be requir
Slide 11: Offtake & Funding
7/2/2023 Offtake & For personal use only Funding (ASX:ARU) 10
Slide 12: Offtake
7/2/2023 Offtake Arafura is targeting 85% of Planned Production1 as binding offtake (Binding Offtake Target). For personal use only … Offtake Discussion Group Location NdPr Oxide (tpa)2 % of Binding Offtake Target Secured Offtake (binding agreement) Offtake strategy aligned Hyundai & Kia Korea 1,500
Slide 13: Funding Structure
Funding 7/2/2023 2/7/2023 Structure Project Funding MMI Grant For personal use only Debt Requirement MLAs appointed, Societe Generale, NAB & KfW KfW appointed as the Export Credit Agency (ECA) structuring bank Offtake drives the participation of untied ECA funding and creates debt liquidity MLA fina
Slide 14: Key Takeaways
7/2/2023 Key Takeaways Nolans is an advanced Ore to Oxide project of scale to feed For personal use only into a diversified NdPr value chain Cornerstone Binding Offtake Agreement with Hyundai and Kia. Non-binding MoU with GE Renewable Energy to collaborate in establishment of sustainable supply chai
Slide 15: Contact Information
7/2/2023 Contact Information For personal use only Level 6, 432 Murray St, Perth WA 6000 34/119 Reichardt Rd, Winnellie NT 0820 +61 8 6370 2800 arafura@arultd.com www.arultd.com (ASX:ARU) 14
Slide 16: Appendices
7/2/2023 Appendices For personal use only (ASX:ARU) 15
Slide 17: Strong Project Economics
7/2/2023 Strong Project Economics Project Update released in For personal use only Key Project Information Mining and Production Mine Life (years) 38 November 2022 NdPr Oxide (tpa) 4,440 SEG/HRE Oxide (tpa) Phosphoric Acid (tpa 54% P2O5 MGA) 474 144,393 Post-tax NPV8 of A$2.4 Product Pricing US$/kg
Slide 18: NdPr for Magnets Critical Component in Clean Energy Sector
7/2/2023 2/7/2023 NdPr for Magnets Critical Forecast supply gap emerging by 2030 represents in excess of 10 Nolans Projects Component in Clean Energy Sector For personal use only ➔ Wood Mackenzie forecast an Accelerated Energy Transition (AET) 1.5°C scenario (Global net zero by 2050) requires signif
Slide 19: Seeking Offtake & Supply Chain achievement in these ESG credentials
7/2/2023 SEEKING Offtake & Supply Chain ACHIEVEMENT IN THESE ESG CREDENTIALS Mine RE Extraction For personal use only RE Separation Sustainable producer of NdPr to align to Toll (Australia) “Green Procurement” strategy Processing Contract NdPr Oxide Enables access to a sustainable NdPr Metal Convert
Slide 20: Experienced Board
7/2/2023 Experienced Board For personal use only Mark Southey Chris Tonkin Quansheng Zhang Cathy Moises Darryl Cuzzubbo NON-EXECUTIVE CHAIR NON-EXECUTIVE DIRECTOR NOMINEE DIRECTOR NON-EXECUTIVE DIRECTOR NON-EXECUTIVE DIRECTOR Mark Southey has previously held Chris Tonkin has over 35 years’ Quansheng
Slide 21: Experienced Management
7/2/2023 Experienced Management For personal use only Gavin Lockyer Peter Sherrington Stewart Watkins Lloyd Kaiser MANAGING CHIEF FINANCIAL GENERAL MANAGER GENERAL MANAGER DIRECTOR OFFICER PROJECTS SALES & MARKETING Gavin Lockyer’s diverse, global Peter commenced employment Stewart has over 30 years
Slide 22: Our Technical Team
7/2/2023 Our Technical Team For personal use only = Dr Alex Elliot Kelvin Hussey Lourdes Valle Michael Robinson TECHNOLOGY PRINCIPAL PROCESS ENGINEERING ESG MANAGER GEOLOGIST MANAGER MANAGER BSc (Chemistry), BEng BSc (Hons), MAIG FAusIMM (CP), FIEAust, NER BSc (Environmental Science) (Chemical), PhD
Slide 23: Our Project Team
7/2/2023 Our Project Team For personal use only Robert Gerrard Sam Binnie Alvin Chin Graeme Perkins Alex Buchan Bhupesh Kalia DEPUTY PROJECT NPI PROJECT MANAGER PROJECT MANAGER E&I PROJECT MANAGER – COMMERCIAL & PROJECT CONTROLS DIRECTOR HYDROMET PLANT CONTRACTS MANAGER MANAGER BEng (Civil) (Hons),
Slide 24: Long Life Asset
7/2/2023 Long Life Asset RESOURCES TONNES (m) RARE EARTHS TREO % PHOSPHATE P2O5 % NdPr ENRICHMENT % Geology For personal use only Measured 4.9 3.2 13 26.1 Indicated 30 2.7 12 26.4 Inferred 21 2.3 10 26.5 TOTAL 56 2.6 11 26.4 World class strategic As announced on 7 June 2017. 1% TREO cut-off grade. N
Slide 25: Process Flowsheet
7/2/2023 Process Flowsheet For personal use only (ASX:ARU) 24
Slide 26: Technology Program Complete
Technology Program Complete 7/2/2023 For personal use only Flowsheet Pilot PHASE PHASE PHASE PHASE PHASE PHASE 1 2 3 4 5+6 + 7 BENEFICATION PHOSPHATE BULK ACID RARE EARTH RARE EARTH EXTRACTION PRE-LEACH BAKE PROCESSING SEPARATION 5,000kg high- Merchant grade 2,000kg pre-leach 4,100kg rare earth >99.
Slide 27: Waste and Water
7/2/2023 Waste and Water Arafura’s single site processing model provides traceable product and waste management systems which is aligned Approved End to end Management with customers’ ESG expectations. For personal use only Environmental Approval and Project Costing includes all Approved end to end
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