Latrobe Magnesium Limited · ASX:LMG
Latrobe Magnesium — Investor Presentation (December 2015)
20 slides from Latrobe Magnesium's investor presentation, Dec 8, 2015
Slide 1: Community Briefing Presentation
For personal use only Latrobe Magnes um Community Briefing Presentation 8 December 2015 David Paterson ASX: CEO LMG
Slide 2: Presentation contents
Latrobe Presentation contents Magnes um For personal use only 1. Project summary 2. Magnesium – its market & developments 3. LMG process 4. LMG site 5. Community impacts 6. Timelines and milestones 7. Corporate overview 2
Slide 3: Project summary
Latrobe 1. Project summary Magnes um Magnesium is a growth metal, with aluminium For personal use only & magnesium sheet in cars lowering CO2 emissions March 2016 complete feasibility study, financing arrangements & begin ordering the plant Third quarter 2017 – become Australia’s only magnesiu
Slide 4: Magnesium production
Latrobe 2. Magnesium production Magnes um For personal use only Primary magnesium metal production • 2000 210,300 tonnes • 2013 770,000 tonnes • 2014 869,000 tonnes • 2024 projected production 1,700,000 tonnes Annual growth 6-7% Above estimates assumes average Mg in cars grow from 3.1kg to 6.0kg. If
Slide 5: Magnesium uses
Latrobe 2. Magnesium uses Magnes um For personal use only % • Aluminium alloy 34 • Die casting for automobiles 26 • Steel desulphurization 18 • Titanium sponge 17 • Other die casting 5 ----- 100 === New uses – planes (FAA approved 3/2015), trains, magnesium sheet & consumer products (laptops, mobile
Slide 6: Magnesium & cars
Latrobe 2. Magnesium & cars Magnes um For personal use only 6
Slide 7: Magnesium & emissions
Latrobe 2. Magnesium & emissions Magnes um USA EPA Targets 2012 2015 2025 For personal use only 2012 to 2025 mpg mpg mpg Increase % Compact car (Honda Fit) 30 35 46 53 Midsize car (Ford Fusion) 25 25 42 68 Full Size car (Chrysler 300) 21 23 35 66 Pick up truck (Ford F150) 17 21 25 47 Penalty current
Slide 8: Magnesium developments
2. Magnesium developments Latrobe Magnes um For personal use only 2015 FORD F150 All Aluminium Body (1-6% Mg) 8
Slide 9: Magnesium developments
Latrobe 2. Magnesium developments Magnes um For personal use only 1. New Aluminium Sheet application Ford F150 • 750,000 sales - Mg usage increase to 15kg - weight reduction 320kg (17%) with 13% emission saving Ford Fusion • 250,000 sales – Mg usage increase to 16 kg from 2.3kg – weight reduction 35
Slide 10: Magnesium developments
Latrobe 2. Magnesium developments Magnes um For personal use only 3. New Processes – Germany • TeMaKplus project – developed processing technologies for industrial scale production of magnesium sheet & strip materials to produce parts at competitive cost to aluminium & steel • 11 major industrial co
Slide 11: LMG process
Latrobe 3. LMG process Magnes um For personal use only Unique & proprietary process • Combination of its unique patented hydromet process with the proven thermal reduction process in operation since 1941 • Hydromet process uses standard industrial reagents & equipment to remove impurities from the b
Slide 12: LMG process
Latrobe 3. LMG process Magnes um For personal use only 12
Slide 13: LMG Process: China Sample
3. LMG Process: China Sample Latrobe Magnes um For personal use only Supplementary Magnesium crown cementitious material 13
Slide 14: LMG Site
Latrobe 4. LMG Site Magnes um For personal use only Swop Line from Yallourn Swop Line from Hazelwood Natural Gas Pipeline Proposed Slurry Pipeline 320 Tramway Site 14
Slide 15: LMG Site Tramway Site Building
Latrobe 4. LMG Site Magnes um For personal use only 15 320 Tramway Site Building
Slide 16: LMG Plant Layout
Latrobe 4. LMG Plant Layout Magnes um For personal use only 16
Slide 17: Community Impacts
Latrobe 5. Community Impacts Magnes um Jobs For personal use only • Initial employment 5kt plant 57 direct jobs • 40kt plant – 800 jobs (direct/indirect) Support of local supply chain • approx $90m spent annually • some $135m capital invested Support development of local infrastructure and pro
Slide 18: Timelines/Milestones
Latrobe 6. Timelines/Milestones Magnes um For personal use only Key Dates • Feb 2016 complete vertical retort test work • Mar 2016 conclude MOU with major customers & suppliers • Mar 2016 complete feasibility study, financing arrangements & start ordering equipment • Jul 2016 commence installing equ
Slide 19: Corporate Overview
Latrobe 7. Corporate Overview Magnes um Directors and Staff For personal use only Jock Murray Non exec chairman David Paterson Director & CEO Kevin Torpey Director & mining consultant John Lee Non exec director Philip Bruce Non exec director Jim Siemon Project director David Wandmaker
Slide 20: Disclaimer
Latrobe Disclaimer Magnes um For personal use only • This presentation may contain forward looking statements that are subject to risk factors associated with the magnesium business. • It is believed that the expectations reflected in these statements are reasonable but they may be affected by a var
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