Aurora Energy Metals Limited · ASX:1AE
Aurora Energy Metals — Technical Presentation (May 2024)
23 slides from Aurora Energy Metals's technical presentation, May 16, 2024
Slide 1: Aurora Uranium Project May 2024 Scoping Study
Aurora Uranium Project May 2024 Scoping Study 16 May 2024
Slide 2: Disclaimer / Cautionary Statements
Disclaimer / Cautionary Statements This presentation has been prepared by and issued by Aurora Energy Metals Limited, to assist it in informing interested parties about the Company and The Mineral Resources underpinning the production target in the 2024 Scoping Study have been prepared by a competen
Slide 3: Scoping Study Fundamentals
Scoping Study Fundamentals • Progressing at a time when uranium prices are testing long term $90 Base Case – Contract Resin highs NPV8 (pre-tax) US$ 151M (A$ 232M) Source: Trading Economics 14 May 2024 IRR (pre-tax) 25% Payback 4.2 yrs Life of Mine 11 years Average Annual Uranium Produced 1.15 Mlbs
Slide 4: Scoping Study Key Elements
Scoping Study Key Elements • 11-year life of mine - 2 Mtpa ROM at strip ratio (2.1:1) Aurora Uranium Project • Annual production ~1.15 Mlbs uranium • Mine plan with progressive backfilling into open pit void o Minimal project footprint and environmental impact o Initially focus on near-surface, ‘hig
Slide 5: Summary Scoping Metrics
Summary Scoping Metrics Physicals & Op Costs Financials 2024 Scoping Study Units Annual Av LOM Total Contract Resin Mine 2024 Scoping Study Units Treatment Initial Life of Mine – No exploration Years 11 Uranium Price US$/lb U3O8 $90 LOM Strip Ratio W/O 2.1 : 1 Total Waste moved Mt 3.81 43.5 Valuatio
Slide 6: Sensitivity
Sensitivity Base case Contract Resin Treatment and US$90/lb Uranium Price Costs & Recovery Recent forecasts show trend towards upper end Base 2024 Scoping Study Units Case Base Case Pre-tax US$M NPV8 Uranium Price US$/lb U3O8 $85 $90 $95 $105 $125 Valuations and Returns 390 Uranium Price Pre-tax NPV
Slide 7: Mining Study
Mining Study Mine Plan • Scoping-level mining study completed by orelogyTM 3 phases of mining facilitates progressive backfilling waste into mined open pit • Targeting 2 Mtpa ROM at a low average strip ratio of 2.1:1 over 11 years • Phased mining to minimize footprint and environmental impact with m
Slide 8: Transport Study
Transport Study Transport from Oregon mine to Nevada plant site • ~ 8 to 10km (depending on option) • Plan requires 2M tpa to be transported to Nevada • Three assessed options for mined material transportation: o Road – upgraded existing road most of the way (Base Case) o Rope conveyor - essentially
Slide 9: Processing Study
Atmospheric Leach Flowsheet Processing Study • Grade beneficiation demonstrated from scrubbing and wet screening tests, supporting earlier test work • ~25% mass reject (>19mm) with only 10% of U3O8 @ <100ppm o Upgrades mined grade of ~380ppm to leach feed of ~476ppm • Clay and middlings fractions se
Slide 10: Infrastructure
Infrastructure Water • Hydrogeological model completed with ground water target areas identified • Viable access to water confirmed Power • Existing hydro power and substation located close to proposed Aurora plant site McDermitt town • 6km from plant site on US95 highway • Existing airstrip Regiona
Slide 11: Permitting
Permitting General Oregon Process Nevada Process • Proposed Mine Plan a key component of The key permits and agencies for projects regulatory submission to the Oregon on private land in Nevada are as below, Department of Geology and Mineral noting the last three in italics are specifically Industrie
Slide 12: Why is US domestic Uranium production so important?
Why is US domestic Uranium production so important? US domestic production in 2022 was 194,000 lbs. • The US has the world’s largest nuclear power Owners and operators of U.S. civilian nuclear power reactors purchased fleet and is the world’s largest uranium 40.5 million pounds of U3O8e (equivalent)
Slide 13: Upside Opportunities
Upside Opportunities Uranium Recovery • Metallurgical testwork used in the Study is limited to a relatively small number of samples available to date • Opportunities to optimise leach conditions • Further work is ongoing and requires further investigation Molybdenum – Further Investigation • The min
Slide 14: Concluding Remarks
Concluding Remarks US is a Tier 1 Asset Infrastructure Positive Value Jurisdiction Quality Scoping Study The world’s Largest Enables lower 11yr supplier 50Mlb U3O8 largest uranium mineable capital cost for of 1.15Mlb pa resource in consumer, with Measured & development. U3O8 to US Tier 1 aggressive
Slide 15: Additional Slides
Additional Slides AURORAENERGYMETALS.COM 15
Slide 16: Aurora Uranium Project (AUP)
Aurora Uranium Project (AUP) Largest Mineable Measured and Indicated Uranium Resource in the US • Historical McDermitt mining district – excellent infrastructure • Part of McDermitt Caldera hosting 2 major lithium projects and the Aurora uranium project straddling the Oregon-Nevada border • AUP 1970
Slide 17: LOM Production Profile
LOM Production Profile Contract Resin Treatment Start-up Capital US$ M Total Year -5 Year -4 Year -3 Year -2 Year -1 Year 1 Mining 3.9 - - - 1.2 2.7 - Processing & Site Services 102.3 - - - 9.5 90.8 1.9 Tailings (Stage 1) 8.6 - - - - 8.6 - Indirects/Owner's Team/Growth 35.6 - - - 7.1 28.5 - Federal/
Slide 18: LOM Cost Profile
LOM Cost Profile Contract Resin Treatment Operating Costs by Area (US$'000) Annual average LOM Total Year -2 Year -1 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Mining Costs 11,569 128,829 - 6,849 13,694 13,278 13,130 13,223 13,427 13,312 13,136 13,449 12,004 3,026
Slide 19: High Quality Uranium Resource
High Quality Uranium Resource Well understood, well defined Mineral Resource: >600 holes Hole bogged in good grade. Not finished High Grade Core: 18Mt @ 485 ppm U3O8 for 19.2 Mlb U3O81 (1) ASX 23 November 2022 – 34% Increase in Total Uranium Resource to 50.6 Mlbs Maiden Measured Resource Declared at
Slide 20: Low Geological Risk
Low Geological Risk Global resource ~82% Measured and Indicated, High grade core ~99.5% Measured and Indicated1 Free dig Lake Sediments (1) ASX 23 November 2022 – 34% Increase in Total Uranium Resource to 50.6 Mlbs Maiden Measured Resource Declared at Aurora Uranium Deposit. AURORAENERGYMETALS.COM 2
Slide 21: Adjacent Resource Upside
Adjacent Resource Upside Cordex claims on NE boundary over Graben fault (1) ASX 23 November 2022 – 34% Increase in Total Uranium Resource to 50.6 Mlbs Maiden Measured Resource Declared at Aurora Uranium Deposit. AURORAENERGYMETALS.COM 22
Slide 22: Uranium Resource Summary
Uranium Resource Summary1 Meas ured Indic ated Inferred Total U 3O8 Mlb U 3O8 Mlb U 3O8 Mlb U 3O8 Mlb Res ourc e Zone Mt Mt Mt Mt ppm U 3O8 ppm U 3O8 ppm U 3O8 ppm U 3O8 High Grade Zone 1 16.3 487 17.5 1.6 467 1.6 0.1 425 0.1 18 485 19.2 Low Grade Zone 2 43.2 162 15.4 19.8 161 7 26.3 155 9 89.3 160
Slide 23: Peter Lester Non-Executive Chairman Alasdair Cooke
Peter Lester Alasdair Cooke Non-Executive Chairman Non-Executive Director E: info@auroraenergymetals.com Suite 1, 245 Churchill Avenue SUBIACO WA 6008 P: 08 6465 5500 www.auroraenergymetals.com 28
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