Northern Minerals Limited · ASX:NTU
Northern Minerals — Investor Presentation (February 2013)
19 slides from Northern Minerals's investor presentation, Feb 1, 2013
Slide 1: $58m Funding to Completion of Feasibility Study
For personal use only $58m Funding to Completion of Feasibility Study 1 February 2013 George Bauk Managing Director/CEO
Slide 2: Important Notice
Important Notice For personal use only This presentation has been prepared by Northern Minerals Limited (“Northern Minerals” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or inv
Slide 3: $58 million funding Transaction Summary
$58 million funding Transaction Summary For personal use only The funding package comprises four components: 1. Sale of a 16% stake in the Browns Range project to Australia Conglin International Investment Group Pty Ltd to raise $26 million, with an offtake agreement for an additional 20% of Browns
Slide 4: Application of Funds
Application of Funds For personal use only • The funds will be used to take the company to a feasibility study by the end of 2014. The funds will be used for: • Drilling and assaying to reach the company’s stated target of 22,000 to 29,000 tonnes TREO* • Resource, geotechnical, hydrogeological, mine
Slide 5: Timetable of Funding Activities
Timetable of Funding Activities For personal use only Funding under this agreement will be received on the following basis:- • 20 Feb 2013 - $3.76m placement • April 2013 - $26.5m from rights issue • 30 Sept 2013 - $1m from instalment from sale of gold project • 30 Oct 2013 - $5m from instalment pay
Slide 6: Investment Highlights
Investment Highlights For personal use only High Value Heavy Rare Earths • Distribution of Rare Earths – 84% • Dominance of Dysprosium and Yttrium • Initial Resource - 1.44Mt @ 0.73% TREO, inc.640ppm Dy2O3 & 4153ppm Y2O3, 84% HREO, 10,500t TREO • Exploration upside at Browns Range – 2,000km2 Low Cap
Slide 7: Capital Structure
Capital Structure For personal use only ASX Code NTU Ordinary Shares 246.6M* Unlisted Options and Performance Rights Various prices and expiry dates 18.5M# Trading Summary Market Capitalisation (in AUD) $43.2M (as at 29 January 2013 @ $0.175) 52 week trading range (in AUD) $0.16-$0.57 Major Sharehol
Slide 8: The NTU Sustainable Competitive Advantage
The NTU Sustainable Competitive Advantage For personal use only Point of difference “Heavies” Exploration Success Coupled with a low capital/ operating cost Browns Range Project Based on Wolverine JORC compliant resource estimate Wolverine: Mt Weld Project Initial Resource - 1.44Mt @ 0.73% TREO, inc
Slide 9: Browns Range Dome
Browns Range Dome For personal use only • Northern Minerals 100% ownership and marketing rights (excluding Toro JV) • Entered into JV with Toro Energy on 7 tenements in NT to earn up to 80% by completed FS • Total Land Holding – 2,000km2 • Significant new HRE discoveries in 2009 - 2012 • Focus to da
Slide 10: Wolverine Resource
Wolverine Resource For personal use only Category Mt TREO Dy2O3 Y2O3 HREO TREO % ppm ppm % Tonnes Indicated 0.90 0.82 728 4,739 89 7,400 Inferred 0.54 0.57 495 3,185 81 3,100 Total1 1.44 0.73 640 4,153 84 10,500 1 Rounding may cause some computational discrepancies Average U3O8 of 26ppm and average
Slide 11: Wolverine Resource Extension
Wolverine Resource Extension For personal use only Extensions below 150m • 2013 exploration program targeting extension of existing resource below 150m and down to 350m Deeper target to 350m • Additional drilling to target wider higher grade central zone of the deposit below 350m • Assist with the p
Slide 12: Browns Range - Gambit West
Browns Range - Gambit West For personal use only • New discovery located approximately 200m west of central Gambit prospect • Results include 32m @ 1.73%, 20m @ 2.36% and 13m @ 1.72% TREO • High-grade HRE mineralisation with true widths of up to 20m and open along strike and at depth • Follow-up dri
Slide 13: John Galt HRE Project
John Galt HRE Project For personal use only • Rock chip samples up to 42% TREO with approximately 95% Heavy REO • Preliminary metallurgical tests indicate excellent recovery rates (>90%) with potential for concentrate grades >40% • High grade mineralisation in talus (scree) material – hard-rock sour
Slide 14: Simplified Process Flowsheet
Simplified Process Flowsheet For personal use only Rare Earth Browns Upstream Range and Mid–Stream HRE Project Supply Simplified Chain Process and Process Flowsheet MINING BENEFICIATION HYDROMETALLURGY Mixed Rare Earth Oxide Target >92% TREO Mineral Concentrate Crushing Sulphation Bake 30% TREO Grin
Slide 15: Metallurgical Flowsheet Development
Metallurgical Flowsheet Development For personal use only Beneficiation Process Stage 1 - Flotation Confirm and optimise Variability test other Produce bulk sample for & Magnetic flowsheet on Wolverine PQ Stage 1 – Phase 4 prospects against base core samples Hydrometallurgical test work Separation f
Slide 16: Rare Earths Market and Off-take
Rare Earths Market and Off-take For personal use only • Sustained Demand, Browns Range Limited Supply maintaining its position as a premier HRE Global REE Projects, In-situ Value (January 2013) project worldwide Northern Minerals - Browns Range (Australia) • MOU signed with significant Jiangxi Ionic
Slide 17: Stakeholder Engagement
Stakeholder Engagement For personal use only • Stakeholder Traditional Owners and Local Communities Engagement • Employed 6 people from Ringer Soak/Halls Creek in 2012 • Cultural Awareness Workshops completed, on-site workshop scheduled in Q2 2013 • Initiated Native Title discussions with the Jaru p
Slide 18: Environmental Studies and EIS
Environmental Studies and EIS For personal use only A number of environmental surveys have been completed and others planned for 2013: • Baseline flora and fauna studies • Groundwater and surface water studies • Baseline soil survey and waste rock geochemical characterisation • Baseline air quality
Slide 19: In Summary
In Summary For personal use only Fully Funded to Feasibility Study • $58m raised through o 16% sale of Browns Range o Sale of gold tenements o Placement o Rights issue fully underwritten • 2013-2014 plan focused on o Increasing JORC compliant resource at Browns Range o Completion of feasibility stud
Northern Minerals — Investor Presentation (February 2013) on 6ix