Slide 1: Balama Graphite and Vanadium project
Syrah Resources Limited Image: Core from Ativa Zone being logged at Balama Balama Graphite and Vanadium project A rare multi-generational opportunity for sustainable development.Image: Core from Ativa Zone being logged at Balama
Slide 2: Overview – Syrah Resources
1 Overview – Syrah resources Australian Stock Exchange listed, foreign investment participation permitted Head office based in Melbourne Market capitalisation (undiluted) of A$584 million 25/3/14 162,385,614 shares on issue $37m cash on hand at 31 December 2013 Directors’ direct and indirect i
Slide 3: Board of Directors and Management Team
2 Board of Directors and Management Team Tom Eadie Twenty years experience within the junior resources sector and at technical to executive levels with major mining cos Past board member of Royalco Resources Ltd, the AusIMM and the Australian Mineral Industry Research Association Non-Executive C
Slide 4: Syrah Project Locations
3 Syrah Project Locations Uganda Kenya Rwanda Democratic Republic Burundi Tanzania of the Congo Wembere Tanzania HM Shikula Nachingwea Sasare Malawi Balama Angola Lunga Mavuzi Zambia Sena Zimbabwe Namibia Ngamiland Mozambique Madagascar Botswana Swaziland Lesotho South Africa
Slide 5: The Project
The Project
Slide 6: The Balama Resource: Incredibly Large & Versatile
5 The Balama Resource: Incredibly Large & Versatile Inferred Resource 1.15 billion tonnes @ 10.2% TGC and 0.23% V2O5 High grade zones 382 million tonnes @ 17.0% graphite & 0.43% V2O5 (includes Mepiche, Ativa and Mualia Zones) Mt Nassilala Continuous Graphite Exposure 5
Slide 7: Resources Update
6 Resources Update Balama Project contains over 1.15Bt of graphite resource at 10.2% TGC(1) and 0.23% V2O5 Contained graphite of the Balama Project of 117Mt – Exceeds the rest of the world’s reserves of graphite(2) Considered one of the larger vanadium deposits globally with contained vanadium
Slide 8: Exploration/Development History
7 Exploration/Development History November 2011 January 2013 June 2013 3Q 4Q 2013 Acquisition of Southeast Africa Maiden Balama Balama Scoping Mining License granted exploration portfolio— West Resource Study completed Pre-construction activities underway General including the Balama Project W
Slide 9: Economic Assessment Results
8 Economic Assessment Results The Economic Assessment study, undertaken by Snowden Mining Industry Consultants, has delivered and confirmed an exceptionally robust financial outlook for the Balama project, based upon 1,200,000tpa process plant throughput − Low capital cost of US$87 million (graphi
Slide 10: Metallurgy – Graphite
9 Metallurgy – Graphite Metallurgical test work has ORE been conducted on graphite by Mintek (South Africa) and Crushing GZRINM (China) HPGR Simple graphite metallurgy via flotation achieved high grade Flotation concentrate (96-98% TGC) and high recovery (>92%) ROD Mill WHIMS Low levels of ash
Slide 11: Metallurgy – Vanadium work progressing well
10 Metallurgy – Vanadium work progressing well Vanadium CONC Scoping study commissioned, due Q2 2014 (V205>2.5%) Metallurgical test work ( concentration and V2O5 Agglomeration chemical processing) has been conducted by GZRINM Soda Bake Initial test work indicates that high grade concentrate can
Slide 12: Our Vision of the Next Months to Production
11 Our Vision of the Next 15 Months to Production Q4 2013 Q2 2014 Q1 2015 Feasibility study released with Construction Begins Commissioning from Feasibility exceptionally robust numbers, Equipment ordered December 2014 with a a simple plant with Earthworks and infrastructure completed by Decem
Slide 13: Key Infrastructure
12 Key Infrastructure Pemba Port Road: Pemba to Balama Chipembe Dam Power Lines near Balama Located within close proximity of deep water port facilities at Pemba (~240km) − Existing capacity confirmed by CFM with planned new port providing opportunity to grow Main road connects Project to Pemba
Slide 14: Community Development
13 Community Development Infrastructure − Water bores drilled for use in neighbouring villages − 4 new bores planned for 2014 in the local villages located at the Primary Schools Strong supporter of local economies − Large employer of local labour and developing training programmes to develop a
Slide 15: Market Analysis
Market Analysis
Slide 16: Natural Graphite Consumption by Sectors 2011
15 Natural Graphite Consumption by Sectors 2011 Others 7% Batteries 8% Refractories, Foundries, Crucible Lubricants 37% 8% Parts and Components 11% Metallurgy 29% Source: Industrial Minerals Graphite Report 2012.
Slide 17: Graphite Market
16 Graphite Market New Markets for Graphite Estimations for Graphite Market Li-ion Batteries (EV, HEV, PHEV) Average 3.3% per year growth by 2016 Fuel Cells Average 8.8% per year growth for Batteries Expandable graphite Additional 1.4 million tonnes demand by 2020 Pebble Bed nuclear re
Slide 18: Demand Forecasts
17 Demand Forecasts Global Graphite Demand (k tonnes) 1,300 3,000,000 1,200 2.5Mtpa+ 1,100 2,500,000 1,000 900 800 2,000,000 700 600 Up to 1.5Mtpa 1,500,000 500 400 300 1,000,000 200 100 0 500,000 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2011E 1994 1995 1996 1997 1998 1999 2000 2001 20
Slide 19: Alternative Markets
18 Alternative Markets Graphite Market Carbon Market Natural Graphite Petroleum Coke Synthetic Graphite Green Petroleum Coke Calcined Petroleum Coke Needle coke/Anode Grade Petroleum Coke US$13 billion Market US$24 billion Market Synthetic Natural Graphite Graphite Others 8% Product Annu
Slide 20: Opportunities for Mozambique Value Add
19 Opportunities for Mozambique Value Add Opportunities for Syrah Upgrade to battery grade graphite Smelt / upgrade vanadium concentrate to high grade V2O5 Opportunities for Others Brake linings Lubricants Refractory bricks Battery manufacturing
Slide 21: Vanadium Consumption
20 Vanadium Consumption 2012 (85,000 tonnes) Energy Storage 1% Stainless Steel Cast Iron Chemicals 1% V Metal 2% 3% 0% Super Alloys/Titanium Alloys 3% Special Steel HSLA Steel 30% 60%
Slide 22: Vanadium Production
21 Vanadium Production Global Vanadium Production in 2012 Other Countries 3.2% Russia China 25.4% 36.5% South Africa 34.9% Source: Merchant Research and Consulting.
Slide 23: Global Vanadium Supply and Demand Forecast
22 Global Vanadium Supply and Demand Forecast 140,000 120,000 Tonnes Vanadium (Metric) 100,000 80,000 60,000 40,000 20,000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Consumption Production Tight vanadium supply/demand balance forecast over the next five
Slide 24: Mozambique - Mining for a sustainable future. Thank you.
23 Mozambique - Mining for a sustainable future Thank you.