Berkeley Energia Limited · ASX:BKY
Berkeley Energia — Investor Presentation (December 2014)
34 slides from Berkeley Energia's investor presentation, Dec 1, 2014
Slide 1: Berkeley Resources Company Presentation December 2014
ASX/AIM:BKY For personal use only www.berkeleyresources.com.au December 20141
Slide 2: Executive Summary
Executive Summary For personal use only • ASX and AIM listed uranium development company focused in Spain • Flagship Salamanca Project advancing towards production PFS confirmed robust, low capex and opex project with significant scale and mine life Average annual production of 2.7 Mlbs U3O8 ove
Slide 3: Salamanca Project
Salamanca Project For personal use only • Comprises Retortillo, Alameda, Zona 7 and Gambuta deposits, plus numerous other Satellite Deposits • Total Resource = 88.2 Mlbs U3O8 @ 472 ppm • PFS evaluated integrated project comprising Retortillo and Alameda only (34.5 Mlbs) • Confirmed robust, low capex
Slide 4: Key Results from Pre-Feasibility Study
Key Results from Pre-Feasibility Study For personal use only 3.3 Mlb per annum (average steady state) Production 2.7 Mlb per annum (average LOM) Minimum 11 years Mine Life Including 7 years steady state operation Operating Cost (C1) US$24.60 per pound (average LOM) US$95.1m upfront Capital Cost US$7
Slide 5: Staged Development
Staged Development For personal use only • Staged development and capital expenditure incorporating two deposits Initial development and production at Retortillo Subsequent development of Alameda in Year 2 Steady state production incorporating both deposits in Year 3 5
Slide 6: Development Approach
Development Approach For personal use only RETORTILLO ALAMEDA • Open pit mining (transfer mining to facilitate continuous rehabilitation) • Heap leaching at each mine using on-off leach pads • Centralised plant at Retortillo (solvent extraction & ammonium diurante precipitation) • At Alameda, ore wi
Slide 7: Mineral Resources – Retortillo & Alameda
Mineral Resources – Retortillo & Alameda For personal use only Retortillo and Alameda Combined Mineral Resource Estimate as at Sept 2013 Reported at a cut-off grade of 200 ppm U3O8 and in accordance with the JORC Code (2004) Tonnage Grade Contained Uranium (million tonnes) (ppm U3O8) (million pounds
Slide 8: Shallow Open Pit Mining
Shallow Open Pit Mining For personal use only • Open pit mining using drill & blast followed by diesel powered truck & shovel operation • Mining schedule averages 5.5 Mt ore per annum combined mine production during steady state • Shallow open pits - max. depths 90m at Retortillo and 135m at Alameda
Slide 9: Heap Leach Processing
Heap Leach Processing Heap leach selected as preferred leaching option due to: For personal use only • High recoveries (85%) • Coarse crush sizes (Retortillo 40mm, Alameda 12mm) • Good leach kinetics • Low acid consumption (~18kg/t) • Ripios backfilled into pits, removing requirement for tailings st
Slide 10: Process Flow Sheet
For personal use only Process Flow Sheet 10
Slide 11: Excellent Infrastructure
Excellent Infrastructure For personal use only • Project is readily accessible from existing public road network • Power supplied from local grid at US$0.10/kWh • Total power requirements low (3.7MW Retortillo; 3.2MW Alameda) • Water available from both adjacent water courses and on-site bores • Pro
Slide 12: Excellent Infrastructure
Excellent Infrastructure For personal use only Access Power Water Site Infrastructure Regional Infrastructure Sulphuric Acid Sources Significant Capex savings 12
Slide 13: Permitting
Permitting Management team with strong track record of successful mine permitting in Spain For personal use only • • Permitting process for uranium mining and processing well understood • Best practice environmental management approach applied Key Permits Required for Development 1. Exploitation Con
Slide 14: Definitive Feasibility Study
Definitive Feasibility Study For personal use only A number of DFS work programs are underway Key areas of focus include: • Resource infill drilling to upgrade portions of the current Retortillo and Alameda MRE’s to the Measured category • Further metallurgical testwork programs, including additiona
Slide 15: Zona 7 – Outstanding Exploration Success
Zona 7 – Outstanding Exploration Success Zona 7 is located within 10km of proposed location of centralised processing plant at Retortillo For personal use only • • Broad spaced drilling along strike of existing resource conducted during 2013 • Thick, high grade mineralisation intersected at shallow
Slide 16: Zona 7 – Substantial Increase to Resource
Zona 7 – Substantial Increase to Resource • Mineral Resource Estimate (‘MRE’) increased to 30.1 Mlbs U3O8 (previously 3.6 Mlbs) For personal use only • Average grade of the MRE increased by 42% to 589 ppm U3O8 • 90% of the MRE within 50 metres of surface • Salamanca Project total resource base incre
Slide 17: Experienced Board and Management
Experienced Board and Management For personal use only Ian Middlemas Chartered Accountant with over 20 years mining industry experience; extensive corporate and Chairman management expertise Leading international geologist whose technical qualifications include an honours degree in Jim Ross Geology
Slide 18: Corporate Overview
Corporate Overview For personal use only CAPITAL STRUCTURE Shares on Issue 180.4m Unlisted Options & Rights 12.4m Market Capitalisation (undiluted @ A$0.28) A$ 50.5m Cash Position (at 30 Sept) A$ 18.3m SUBSTANTIAL SHAREHOLDERS Anglo Pacific 16.8% Hadron 7.9% Resource Capital Fund 7.2% CBA 5.8% Globa
Slide 19: Investment Case
Investment Case For personal use only • Large resource base (88.2Mlbs U3O8 @ 472 ppm) HIGH QUALITY • Significant production scale and mine life, shallow open pit mining ASSET BASE • Excellent infrastructure and ability to heap leach = low capex • PFS considered only Retortillo and Alameda deposits (
Slide 20: Appendix
ASX/AIM:BKY For personal use only www.berkeleyresources.com.au 20
Slide 21: Spain
Spain For personal use only • Historical uranium mining • Operating nuclear fuel fabrication facility • Established nuclear power generation industry • Government support for mining industry • Skilled local workforce • Internationally competitive contractors and suppliers • High quality infrastructu
Slide 22: Total Mineral Resources
Total Mineral Resources Mineral Resource Estimates as at Nov 2014 For personal use only Reported at a cut-off grade of 200 ppm U3O8 Resource Tonnage Grade Contained U3O8 Category (million tonnes) (ppm U3O8) (million pounds) Retortillo Indicated 14.4 378 12.0 Inferred 1.8 359 1.4 Total 16.2 376 13.4
Slide 23: Geology – Retortillo & Alameda
Geology – Retortillo & Alameda For personal use only Retortillo • Vein Type deposits hosted in meta- sedimentary sequences adjacent to granites • Retortillo mineralisation includes vein, stockwork and disseminated mineralisation in joint / fracture fillings associated with brittle deformation Alamed
Slide 24: Grade Tonnage Curves – Retortillo & Alameda
Grade Tonnage Curves – Retortillo & Alameda For personal use only • G-T curves highlight significant impact of cut-off grade (COG) • At 100 ppm U3O8 COG, which approximates the mining COG derived from the PFS pit optimisations, MRE’s for Retortillo and Alameda total 19.4 Mlbs and 25.4 Mlbs U3O8 resp
Slide 25: PFS Capital and Operating Cost Breakdown
PFS Capital and Operating Cost Breakdown For personal use only Retortillo Capex Retortillo Opex – US$29.3/lb 100 90 $8.6m $2.2m $95.1m 80 G&A $18.8m 7% 70 60 Processing $23.4m 44% 50 Mining 40 49% $42.2m 30 20 10 0 Processing Infrastructure Indirects Pre-Strip G&A Total Alameda Capex Alameda Opex –
Slide 26: Permitting
Permitting For personal use only Key Permits Required for Development 1) Exploitation Concession / State Reserve suitable for Exploitation (Mining Licence) 2) Authorisation of the Process Plant as a Radioactive Facility 3) Authorisation for the Exceptional Use of Rural Land for Industrial Purposes S
Slide 27: Permitting Status - Retortillo
Permitting Status - Retortillo For personal use only Exploitation Concession (Mining Licence): Application for Exploitation Concession submitted in Oct 11, together with Environmental Scoping Document (ESD) ESD subjected to consultation period, comments received incorporated into Environmental a
Slide 28: Permitting Status - Retortillo
Permitting Status - Retortillo For personal use only Authorisation of the Process Plant as a Radioactive Facility: Initial Authorisation for the Radioactive Facility documentation submitted in Mar 12 Documentation approved for Public Information in Jul 12 Public Information Period concluded in
Slide 29: Permitting Status - Retortillo
Permitting Status - Retortillo For personal use only Authorisation for the Exception Use of Rural Land for Industrial Purposes: Authorisation for the Use of Rural Land for Industrial Purposes submitted in Mar 12 Documentation approved for Public Information in May 12 Public Information Period
Slide 30: Permitting Status - Alameda
Permitting Status - Alameda For personal use only State Reserve suitable for Exploitation (Mining Licence): Application, together with Environmental Scoping Document (ESD), submitted in Dec 12 Baseline studies updated for inclusion in ESIA Updated ESD (incorporating PFS outputs e.g. reduced fo
Slide 31: Zona 7 – Thick, High Grade Mineralisation at Shallow Depths
Zona 7 – Thick, High Grade Mineralisation at Shallow Depths For personal use only 31
Slide 32: Production Growth Potential – Gambuta
Production Growth Potential – Gambuta For personal use only • Potential to increase production scale or mine life of Salamanca Project, once incorporated • Positive Scoping Study recently completed • Conceptual approach same as for Alameda i.e. open pit, heap leach, remote IX with loaded resin trans
Slide 33: Exploration Upside – Satellite Deposits
Exploration Upside – Satellite Deposits Significant exploration potential: For personal use only • Recent successful exploration drilling at Zona 7 highlights exploration & resource growth potential • Numerous untested or poorly tested radiometric anomalies proximal to Retortillo and Alameda • Explo
Slide 34: Important Notices
Important Notices Disclaimer Notice The material in this presentation (‘material’) is not and does not constitute an offer, invitation or recommendation to subscribe for, or purchase any security in Berkeley Resources Ltd ‘(‘BKY’) nor does it form the For personal use only basis of any contract or c
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