Greenx Metals Limited · ASX:GRX
Greenx Metals — Prairie Downs Metals — 2013 Coaltrans Poland
28 slides from Greenx Metals's conference presentation, March 2013
Slide 1: Lublin Basin - Europe's Next Strategic Source of Thermal Coal
ABN 23 008 677 852 ASX: PDZ Lublin Basin - Europe's Next Strategic Source of Thermal Coal 2013 Coaltrans Poland Presentation March 2013
Slide 2: Key Topics
Key Topics The Future of European Coal A true need for a strategic, secure and European source of Supply coal supply Lublin – The Future for Polish Coal Massive, largely untapped, high productivity potential Exports Prairie’s Development Plan for the Straightforward, methodical and proven resource L
Slide 3: Coal Fired Power Generation Will Continue
Coal Fired Power Generation Will Continue ~250 Million tonnes per annum of hard coal burnt in European Union… Annual coal burn in Europe is increasing Cheaper than natural gas Significant coal generation capacity build still occurring EU Coal Supply Breakdown Coal Production Coal Imports Sou
Slide 4: EU Based Production Decreasing
EU Based Production Decreasing Decreasing trend in historic coal basins – both hard coal and lignite… 1,200 Rest of EU United Kingdom Poland Germany 1,000 Czech Republic Bulgaria Production 000's Tonnes 800 600 400 200 - 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
Slide 5: Imports will Dominate Future Supply
Imports will Dominate Future Supply Import demand by European generators to be driven by mine closures and new build generation… 2020+ Current 130+ Mtpa 180+ Mtpa Current Imports Driven by generation build-out & mine closures But… Source: Various, Comapny Estimates 5
Slide 6: Global Coal Fired Build-Out Continues
Global Coal Fired Build-Out Continues 255+ GW of coal Fired capacity being built in high growth economies e.g. China, India etc… 120 GW China 100 GW India 35 GW Other Asia Will require significant amounts of imported coal supply Source: Arsh Coal 2012 6
Slide 7: Seaborne Supply More Competitive
Seaborne Supply More Competitive Traditional sources of European imports to be directed towards higher growth regions… Increased demand for Russian Exports by Japan, South Korea etc No significant demand change into Asia for US Thermal Exports from Gulf and North East Ports Colombian exports to have
Slide 8: Strategic Alternative – Poland
Strategic Alternative – Poland New European Coal Supply is required as a strategic alternative… Long, Coal mining and Export History Poland is well located for supply into Europe Secure European Union based coal supply 8
Slide 9: Competitive Cost Advantage
Competitive Cost Advantage Significant competitive advantage into European generators… FOB Costs Mine Gate Costs Imported Coal Seaborne Freight Import Discharge Port-Power Plant Rail & Port Rail Supply Chain Costs Power Plant Delivered Royalties Cost Lublin Coal Lublin Mine Gate Mine-Power Costs Pla
Slide 10: Key Topics
Key Topics The Future of European Coal A true need for a strategic, secure and European source of Supply coal supply Lublin Coal Basin – The Future for Massive, largely untapped, high productivity potential Polish Coal Exports Prairie’s Development Plan for the Straightforward, methodical and proven
Slide 11: Lublin Coal Basin
Lublin Coal Basin Large Coal Basin with production from only one mining complex… Discovered during drilling campaigns in the 1960’s and explored extensively throughout the 1970’s and 1980’s First mining began in the 1980’s and has continued successfully through to today Successful deployment of
Slide 12: Massive Coal Resource Base
Massive Coal Resource Base Untapped, 1.6 Billion tonne inferred strategic resource of high quality thermal coal… Maiden Coal Resource defined from over 200 core holes with cut-off seam thickness of 1.0 meters, a 20 meter buffer zone between the Jurassic and over 20 coal seams modeled Current pla
Slide 13: Significant Large Scale Potential
Significant Large Scale Potential 680 Million tonnes of the current inferred Coal Resource is contained within 3 high quality coal seams… 391 Seam 379 Seam 382 Seam 327 Million tonnes 190 Million tonnes 163 Million tonnes 8.4% Ash 14.1% Ash 13.3% Ash 6,894 kcal/kg 6,307 kcal/kg 6,352 kcal/kg Large
Slide 14: High Quality, Low Ash Raw Coal
High Quality, Low Ash Raw Coal High quality thermal coal potential from low inherent ash coal qualities… 1,576Mt 12.2% Ash Favoured by power generators as lower cost on the boilers Other 896Mt Seams 13.0% Potential minimal processing required 382 Seam 163Mt 13.3% Higher expected yields 379 190
Slide 15: Benchmark Quality Thermal Coals
Benchmark Quality Thermal Coals Lublin Coal Basin has the potential for production of import benchmark thermal coals… Coal Seam/Benchmark Comparison Calorific Value (kcal/kg, GAD) Ash (%) Sulphur (%) API 2/CIF ARA Typical Specification 6,700 11.0-15.0 <1.00 Seam 391 (Unwashed) 6,894 8.4 1.16 Seam 39
Slide 16: High Productivity Region
High Productivity Region Simple geology lends itself to high productivity longwalls 16
Slide 17: Proven Extraction Methods
Proven Extraction Methods World record setting plow technology deployed in the Lublin Coal Basin… Recommended technology for seam heights of <2.3 meters as compared to a traditional shearer longwall The basin has displayed the potential to be an ideal poster child for longwall plows with a world
Slide 18: Key Topics
Key Topics The Future of European Coal A true need for a strategic, secure and European source of Supply coal supply Lublin Coal Basin – The Future for Massive, largely untapped, high productivity potential Polish Coal Exports Prairie’s Development Plan for the Straightforward, methodical and proven
Slide 19: Pathway to Production
Pathway to Production 2013 - 2015 Technical Studies & Resource Definition & Bankable Feasibility & Construction & Mine License Environmental Studies Funding Commissioning Application Commence and complete a 7 PQ sized core hole drilling program over our exploration concessions Enhance our understa
Slide 20: Pathway to Production
Pathway to Production 2013 - 2015 Technical Studies & Resource Definition & Bankable Feasibility & Construction & Mine License Environmental Studies Funding Commissioning Application Complete a scoping study which conceptualises the different alternatives for a new mine development in the Lublin coa
Slide 21: Pathway to Production
Pathway to Production 2015 - 2016 Technical Studies & Resource Definition & Bankable Feasibility & Construction & Mine License Environmental Studies Funding Commissioning Application Complete full bankable feasibility studies to provide enough detail to allow project financing through the global c
Slide 22: Pathway to Production
Pathway to Production 2016 + Technical Studies & Resource Definition & Bankable Feasibility & Construction & Mine License Environmental Studies Funding Commissioning Application Board approval to commence construction Site preparation, civil works, foundations, etc Shaft sinking, surface facil
Slide 23: Resource Funding Options
Resource Funding Options Australian capital markets have a long and extensive history of providing funds to undeveloped resource projects across the globe… Fortescue Metals Group raised over zł 1,200 million (US$ 378 million) as part of its financing package for its undeveloped iron ore project
Slide 24: Board of Directors
Board of Directors Strong board with proven development experience in the small-cap resources sector… Highly respected resource executive with extensive finance, commercial and capital markets experience Ian Middlemas Chairman Current Chairman of Papillon Resources Limited, Equatorial Resources
Slide 25: Executive Team
Executive Team An experienced and Polish based management team… Geologist with over 30 years experience and a proven ability in the identification, exploration and appraisal of new resource projects Janusz Jakimowicz Group Executive Instrumental in identifying, negotiating and applying for the c
Slide 26: Summery
Summery The Future of European Coal A true need for a strategic, secure and European source of Supply coal supply Lublin Coal Basin – The Future for Massive, largely untapped, high productivity potential Polish Coal Exports Prairie’s Development Plan for the Straightforward, methodical and proven re
Slide 27: Disclaimer
Disclaimer Disclaimer Notice This presentation has been prepared as a summary only, and does not contain all information about Prairie Downs Metals Limited’s assets and liabilities, financial position and performance, profits and losses, prospects, and the rights and liabilities attaching to Prairie
Slide 28: Contact Details
Contact Details Australia Poland Prairie Downs Metals Limited PD Co Sp. z o.o. Level 9, The BGC Centre Rondo ONZ 1 28 The Esplanade Floor 5A Perth, WA, 6000 00-124 Warsaw t: +61 8 9322 6322 London f: +61 8 9322 6558 Unit 3C 38 Jermyn Street E: info@pdz.com.au London SW1Y 6DN w: www.pdz.com.au 28