Grange Resources Limited · ASX:GRR
Grange Resources — BBY Conference 2009
22 slides from Grange Resources's conference presentation, May 29, 2009
Slide 1: Grange Resources – Australia's leading magnetite producer
Grange Resources – Australia’s leading magnetite producer For personal use only Grange Resources Limited (GRR) Level 11, 200 St Georges Terrace BBY Conference Perth, WA 6000, Australia 28 May 2009 Phone + 61 8 9321 1118 Fax + 61 8 9321 1523 www.grangeresources.com.au Russell Clark Managing Director
Slide 2: Disclaimer
Disclaimer For personal use only • The material in this presentation (“material”) is not and does not constitute an offer, invitation or recommendation to subscribe for, or purchase, any security in Grange Resources Limited (“GRR”) nor does it form the basis of any contract or commitment. GRR makes
Slide 3: Projects - Savage River
Projects - Savage River For personal use only 3
Slide 4: Grange has changed!
Grange has changed! For personal use only • Australia's leading magnetite producer • Australians largest iron ore pellet producer • Solid customer base • Long life assets • Producer and projects • Low sovereign risk • Extensive magnetite technical and operational expertise 4
Slide 5: Australia's leading magnetite producer
Australia’s leading magnetite producer For personal use only Ownership Operations Customers Production Profile Bukit Ibam Southdown Project Savage River Mine 5
Slide 6: Grange Resources - Ownership
Grange Resources - Ownership For personal use only Other existing Grange shareholders Stemcor 23.0% 7.7% Aim to become 8.3% ASX 200 listed 47.2% 13.8% Shagang RGL Pacific Minerals 6
Slide 7: Savage River Mine & Pellet Plant
Savage River Mine & Pellet Plant For personal use only Port Latta – Pellet Plant producing 2.4Mtpa of pellets Slurry Pipeline to Port Latta (83km) Savage River – open pit mine and concentrator producing 2.5Mtpa of concentrate 7
Slide 8: Projects - Savage River
Projects - Savage River For personal use only 8
Slide 9: Projects - Savage River
Projects - Savage River For personal use only 9
Slide 10: Projects - Savage River
Projects - Savage River For personal use only 10
Slide 11: Customers - Solid and long term
Customers - Solid and long term For personal use only • Shagang ¾ China's largest private steel mill, 22mt p/a ¾ Grange’s largest shareholder ¾ Savage River LOM contracts 1.3 mt pellet until 2012 2.1 mt pellet until 2023 ¾ Southdown LOM contracts 56% of all production ¾ Benchmark price • Bluescope 8
Slide 12: Savage River operations - 2008
Savage River operations - 2008 For personal use only Concentrate A record 2.49 million tonnes Production Pellet Production A record 2.38 million tonnes Revenue A record A$256m Mining Fleet New truck and shovel fleet Maintenance facility Built “in pit” for mobile fleet maintenance 12
Slide 13: Savage River operations – March Quarter
Savage River operations – March Quarter For personal use only 2009 March Quarter 2008 March Quarter BCM mined 4,883,000 3,594,000 Ore BCM mined 237,000 175,000 Concentrate produced 514,000 573,000 Pellets produced 462,000 602,000 Pellets shipped 650,000 529,000 Pellet stockpile 105,000 213,000 Conce
Slide 14: Growth - Southdown
Growth - Southdown For personal use only Pellet Plant producing 4. 6.8Mtpa direct reduction and blast furnace pellets 3. Concentrate shipped 2. 100km slurry pipeline to Albany Port 1. 6.6Mtpa mining and concentrating operations for 30 years 14
Slide 15: For personal use only
For personal use only 15
Slide 16: Southdown Infrastructure – Port of Albany
Southdown Infrastructure – Port of Albany For personal use only 16
Slide 17: Grange Resources – production growth prospects
Grange Resources – production growth prospects For personal use only kt Southdown Savage River 17
Slide 18: Grange Resources - Summary
Grange Resources - Summary For personal use only • Australia's leading magnetite producer • Australians largest iron ore pellet producer • High grade quality products • Consistent cash margins • Solid customer and revenue base • Long life assets • Low sovereign risk • Extensive magnetite technical a
Slide 19: Grange has changed……
For personal use only Grange has changed…… Australia’s leading magnetite producer 19
Slide 20: For personal use only
For personal use only
Slide 21: Jiangsu Shagang
Jiangsu Shagang Ownership Private, Assets A$20 Billion For personal use only Location Jiangsu province, China Heavy plate, hot strip coil, stainless hot rolled plate, cold Products rolled plate, high-speed wire rod, rebar coil and special steel bar Production Over 23 Mtpa of pig iron, 27 Mtpa of ste
Slide 22: Shagang's Investment in Grange
Shagang’s Investment in Grange • Significant increase to iron ore resources/reserves in Australia For personal use only • Combining Operations with Development project • Southdown Project– 7Mt per annum, high grade pellets, long life • Safe location, minimal sovereign risk • Leveraging off Savage Ri