Peninsula Energy Limited · ASX:PEN
Peninsula Energy — Mining Indaba Conference 2014
39 slides from Peninsula Energy's conference presentation, Feb 5, 2014
Slide 1: Company Presentation - Mining Indaba Conference
For personal use only 5 February 2014 Companies Announcement Office Via Electronic Lodgement COMPANY PRESENTATION Please find attached a copy of the presentation made by Peninsula Energy Limited's Executive Chairman, Mr John (Gus) Simpson at the 2014 Mining Indaba Conference in Cape Town, South Afri
Slide 2: Indaba Presentation
For personal use only Indaba Presentation February 2014 Karoo, South Africa 50.1Mlb U3O8 JORC Compliant Resource 1
Slide 3: Disclaimer & Competent Person
Disclaimer & Competent Person For personal use only This presentation is provided on the basis that the Company nor its representatives make any warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the Presentation and nothing containe
Slide 4: Regional Overview
REGIONAL OVERVIEW For personal use only SW Karoo Basin covers ~100,000km2 Uranium is present in the form of fluvially-deposited, sandstone-hosted formations within the main Karoo Basin of South Africa SW Karoo Basin explored extensively by numerous local and multi-national companies during the 1970’
Slide 5: Uranium Deposition
For personal use only URANIUM DEPOSITION
Slide 6: Peninsula Holdings
PENINSULA HOLDINGS For personal use only Dominant land position 7,800 km2 Prospecting Rights 320 km2 Freehold land covering known mineralisation Project covers most of the main recognised mineralised channels: •Ryst Kuil •Riet Kuil •Tanqua •Loxton
Slide 7: Regional Support Infrastructure
REGIONAL SUPPORT INFRASTUCTURE For personal use only • The proposed location of the Central Processing Site is approximately 30 km’s from: – The town of Beaufort West pop. 30,000 with established housing and supporting infrastructure – Eskom power line and main substation – The main N1 Highway from
Slide 8: Regional Infrastructure
REGIONAL INFRASTRUCTURE For personal use only Transnet Railway Line N1 Highway Eskom Power Line Central Processing Plant (CPP) CPP proposed location is on Peninsula owned airport land CPP is approximately 30km’s from: • Town of Beaufort West CPP • Pop: 30,000 • N1 Highway Cape Town to Johannesburg •
Slide 9: Eskom Power Close to Project Site
ESKOM POWER CLOSE TO PROJECT SITE For personal use only
Slide 10: Karoo Projects Status
KAROO PROJECTS STATUS For personal use only • Scoping Study completed September 2013 • Positive results trigger Pre-Feasibility Study (PFS) • PFS initiated December 2013: - metallurgical test work underway on Ryst Kuil ore samples - PFS completion Q2/3 2014 • Mining Licence Application initiated: -
Slide 11: Karoo JORC Resource
KAROO JORC RESOURCE For personal use only Classification eU3O8 (ppm) Tonnes eU3O8 eU3O8 eU3O8 CUT-OFF (ppm) (lbs) (t) Indicated 600 6,992,741 1,019 15,705,995 7,124 Inferred 600 14,791,640 1,054 34,375,003 15,593 Total 600 21,784,381 1,043 50,080,999 22,717 Block model OK model JORC 2012 compliant O
Slide 12: Scoping Study Cost Results
SCOPING STUDY COST RESULTS For personal use only @ 3.0 m lbs per annum (Unescalated; 2013$) USD / lb (USD'm) Production Rate (m'lbs per annum) 3.0 Open Cut Mining $10.08 $30 Underground Mining $6.39 $19 Mine Technical & Support $1.50 $4 Processing $15.92 $48 Indirect Costs $0.22 $1 Production Operat
Slide 13: Basis of Scoping Study
BASIS OF SCOPING STUDY For personal use only Inputs to the Scoping Study and outputs from it have been applied to a preliminary financial model. Ore Reserves are yet to be determined and accordingly Peninsula makes no claim as to economic viability or project value in this presentation and release.
Slide 14: Optimisation Potential
OPTIMISATION POTENTIAL For personal use only Radiometric Ore Sorting: Processing Cost vs % ROM Ore Rejected 1.10 Relative Processing Cost per lb 1.00 0.90 0.80 0.70 0.60 0.50 0% 10% 20% 30% 40% 50% 60% % ROM Ore Rejected No Ore Sorting With Radiometic Sorting 1) % ROM ore rejected based on testwork
Slide 15: Historical Overview
HISTORICAL OVERVIEW For personal use only High grade open pit opportunities High grade underground opportunities 14
Slide 16: Database
DATABASE For personal use only Extensive drilling database Numerous drilling and engineering studies conducted by: Esso Union Carbide JCI Uramin Areva Anglo American Tasman Pacific Currently 9,329 drill holes (>642,000m of drilling and probing information) Tracking down a further 2,000+ historic dri
Slide 17: Peninsula Confirmation Activity
PENINSULA CONFIRMATION ACTIVITY For personal use only • 892 (21,852m) exploration RC, RC twin, DH twin completed • >600 (14,986m) historic holes re-probed for QAQC and JORC resource estimate • Completed airborne radiometric survey • Project mapping • Database compilation and validation • JORC resour
Slide 18: Exploration Team
EXPLORATION TEAM For personal use only SENIOR EXPLORATION TEAM Glenn Black: COO, CEO South Africa Senior management engineer; 30 years experience with De Beers in mine construction and operations in Africa Alf Gillman, Technical Director PEN UNatal (Pmb), UWA, member of original Esso Exploration tea
Slide 19: Database
DATABASE For personal use only Advanced geological modeling Enhanced continuity apparent from 3D modelling Identification of mineralised trends Geology no longer constrained by farm boundaries
Slide 20: Karoo Paleochannels
For personal use only KAROO PALEOCHANNELS
Slide 21: Exploration Target
EXPLORATION TARGET For personal use only Exploration Target Exploration Tonnes Grade U3O8 Areas (M) (ppmU3O8) (Mlbs) Range From To From To From To Total 126 133 900 1200 250 350 Please note that in accordance with Clause 17 of the JORC (2012) Code, the potential quantity and grade of the ”Exploratio
Slide 22: Exploration Target
EXPLORATION TARGET For personal use only Basis of the Exploration Target The Exploration Target is based on a combination of Exploration Results and on proposed exploration programs. Exploration Results Approximately 10,000 historic holes, of which 7,163 have been relogged, together with 1,245 newly
Slide 23: Exploration Target
EXPLORATION TARGET For personal use only This resource tonnage is distributed over a cumulative strike length of 23km representing approximately 0.75Mtonnes/km. The Exploration Target is based on a combination of: • the total cumulative prospective strike length of the undrilled sections of the chan
Slide 24: Ryst Kuil Project Area
RYST KUIL PROJECT AREA For personal use only Project boundaries Ryst Kuil Central Example of interrogation and modeling of dataset Ryst Kuil Full Channel Extent 23
Slide 25: Ryst Kuil Database
RYST KUIL DATABASE For personal use only BokVlei No data ~12Mlbs @ 0.1% DePannen No data HanneKuil West HanneKuil East Karee Poort No data Rystkuil
Slide 26: Ryst Kuil Trial Mining 1979
RYST KUIL TRIAL MINING 1979 For personal use only 25
Slide 27: Ryst Kuil Trial Mining Area
RYST KUIL TRIAL MINING AREA For personal use only 1979 2012 26
Slide 28: Ryst Kuil Trial Mining Area
RYST KUIL TRIAL MINING AREA For personal use only 1979 2012 27
Slide 29: Ryst Kuil Trial Mining Area
RYST KUIL TRIAL MINING AREA For personal use only 1979 2012 Chris Cameron (facing camera) the geologist who discovered Ryst Kuil 28
Slide 30: Ryst Kuil Trial Mining
RYST KUIL TRIAL MINING For personal use only Plan view 100m 162 bulk samples at 25t each (4,050t)
Slide 31: Ryst Kuil Trial Mine Area
RYST KUIL TRIAL MINE AREA For personal use only Underground face mapping/sampling
Slide 32: Ryst Kuil Trial Mining Area
RYST KUIL TRIAL MINING AREA For personal use only continuous ore exposed in stope raise 2 west wall 3 2 >3,000ppm 1,500-3,000ppm 500-1,500ppm m 1 0 Underground face mapping/sampling
Slide 33: Ryst Kuil Exploration Model
RYIT KUIL EXPLORATION MODEL For personal use only Ryst Kuil Central Plan view 6km E-W extent
Slide 34: Exploration Success
EXPLORATION SUCCESS For personal use only Ryst Kuil Central M+Ind 33
Slide 35: Ryst Kuil Project Area
REIT KUIL PROJECT AREA For personal use only 1979 2012 34
Slide 36: Western Sector Project Area
WESTERN SECTOR PROJECT AREA For personal use only Western Sector - Tanqua Modelling and targeting of entire strike length C B A
Slide 37: Exploration Success
EXPLORATION SUCCESS For personal use only Western Sector - Tanqua Modelling and targeting of entire strike length Tanqua Channel Extent Longitudinal Section
Slide 38: Western Project Area Prospectivity
WESTERN PROJECT AREA PROSPECTIVITY For personal use only Regional continuity of host sandstones Major thicknesses of sandstones preserved along Tanqua trend Tanqua generally higher average grade (>1,400ppm) Teekloof sandstones on Tanqua Trend
Slide 39: Karoo Summary
KAROO SUMMARY For personal use only • 50mlbs U3O8 @ 1040 ppm • Significant potential for further exploration success • Positive Scoping Study completed September 2013 • PFS initiated December 2013: - DFS completion targeting Q3 2015 • Mining Licence Application initiated • Targeting Development 2017