Hastings Technology Metals Limited · ASX:HAS
Hastings Technology Metals — Hastings Rare Metals — Investor Presentation (November 2011)
33 slides from Hastings Technology Metals's investor presentation, Nov 15, 2011
Slide 1: ASX cover letter: Investor Presentation November 2011
For personal use only 15 November 2011 The Manager Company Announcements Office Australian Securities Exchange 4th Floor, 20 Bridge Street SYDNEY NSW 2000 INVESTOR PRESENTATION – NOVEMBER 2011 Attached please find an Investor Presentation which provides an update on the Company’s projects. Hastings
Slide 2: Investor Presentation: Building a Significant Rare Earths Company
For personal use only Investor Presentation Building a Significant Rare Earths Company November 2011
Slide 3: Disclaimer
Private and confidential All currency amounts are in AUD$ unless stated otherwise. Important Information For personal use only Disclaimer This presentation has been prepared by Hastings Rare Metals Limited (“Company”). It does not purport to contain all the information that a prospective investor ma
Slide 4: Overview: Two Rare Earth Projects in WA
Private and confidential Hastings Overview For personal use only Two Rare Earth Projects in WA Hastings Project 100% Hastings Project (WA) contains one of Australia’s largest Heavy Rare Earth resources, including significant Dysprosium and Yttrium, with Niobium and Hastings Zirconium 2011 drilli
Slide 5: Board & Advisers
Private and confidential Board Members Board & Advisers For personal use only David Nolan (Chairman) Mr Nolan is a corporate lawyer with over 13 years experience advising on corporate acquisitions, capital raisings and financing for mining companies. Mr Nolan leads the Sydney corporate advisory prac
Slide 6: A Highly Experienced Project Team
Private and confidential Hastings Project For personal use only A Highly Experienced Project Team Steve Mackowski (Technical Director) Mr Mackowski joined Hastings after serving at rare earths company Arafura Resources Ltd as General Manager Project Development & Technology. Mr Mackowski is a qualif
Slide 7: Capital Structure
Private and confidential Capital Structure For personal use only ASX Code - HAS Trading Summary Ordinary Shares 71 million Market Capitalisation (A$) $15m Unlisted Options 15m at 40 cents (as at October 2011 at 16 cents) Unlisted Options 37m at 25 cents 13c to 42c Cash as at 30/09/11 $820,000 52-wee
Slide 8: Rare Earths and Rare Metals
Private and confidential Rare Earths and Rare Metals For personal use only 7
Slide 9: Value Drivers
Private and confidential Value Drivers For personal use only Hastings mix HREE (Dysprosium and Yttrium) at Hastings and LREE (Neodymium) at Yangibana. These are classified as “critical” rare earths by the US Department of Energy (December 2010) Dysprosium has been highlighted as being among the hi
Slide 10: Implications of Substitution and Recycling on Future Growth
Private and confidential Implications of Substitution and Recycling on Future Growth For personal use only Light Rare Earths Uses Ce La Market Direction Industrial Commodities Current high prices will drive Glass polishing substitution. Proposed high La Cerium Crude Oil cracking volumes of new capac
Slide 11: Heavy Rare Earths in Serious Undersupply
Private and confidential Heavy Rare Earths in Serious Undersupply For personal use only Critical Supply Matrix (US Department of Energy, December 2010) Hastings REE mix Hastings projects include significant resources of Dysprosium and Yttrium and Yangibana contains Neodymium, three of the critical
Slide 12: Rare Earths Supply and Demand
Private and confidential Rare Earths Supply and Demand For personal use only LREO moving to over- supply HREO / CREO moving to shortage 11
Slide 13: Rare Earth Price History
Private and confidential Rare Earth Price History For personal use only 4000 COMPARISON OF SELECTED REO PRICES 3500 Rare Earth Price in US$/kg FOB China Multiple 3000 price increase Oxide of 2009* 2010* Jun-11* Sep-11* 2009-2011 2500 US$ Kg cerium Critical Light 14 87 317 262 12.9 x Neodymium 2000 l
Slide 14: Competitive Advantage
Private and confidential Hastings Project For personal use only Competitive Advantage JORC Compliant - Long term operations 85% Heavy Rare Earths as a percentage of TREO Indicated JORC resource of >30 years operations at 1m tonnes per annum – potential to expand Historic pilot plant operatio
Slide 15: HREO Ratio - A Clear Advantage
Private and confidential Hastings Project For personal use only HREO Ratio - A Clear Advantage HREO:TREO (%) 100 90 80 70 60 % 50 40 30 20 10 0 ¹ Nechalacho HREO/TREO % 14
Slide 16: Value Distribution
Private and confidential Hastings Project For personal use only Value Distribution HASTINGS NORRA KARR STRANGE LK NECHALACHO DUBBO (HAS) (TSM) (QRM) (AVL) (ALK) $/kg China In Situ In Situ In Situ In Situ In Situ Oxides fob* % Dist $/kg % Dist $/kg % Dist $/kg % Dist $/kg % Dist $/kg Lanthanum 105 1.
Slide 17: Advanced REE projects, sorted by contained tonnes of HREO
Private and confidential Hastings Project For personal use only Advanced REE projects, sorted by contained tonnes of HREO Positioning Deposit Company Status Con'd t Resource % % HREO:TREO HREO mt TREO HREO % Nechalacho AVL I/I 661,518 315.01 1.36 0.21 15.4 Kvanefjeld GGG I/I 548,400 457.00 1.07 0.12
Slide 18: Path Forward
Private and confidential Hastings Project For personal use only Path Forward Validation and Verification of previous metallurgy Scoping Study to confirm economics Optimisation of product suite Pilot plant Bankable Feasibility study 17
Slide 19: Previous Exploration
Private and confidential Hastings Project For personal use only Previous Exploration Early exploration for uranium highlighted radiometric anomalies. UNOCAL (previously parent co of Molycorp) (1982-85) carried out exploration including detailed mapping, sampling, trenching and 19 drillholes. D
Slide 20: Resources
Private and confidential Hastings Project For personal use only Resources In 2011 Hastings drilled 51 reverse circulation holes (7443m) and 8 diamond drill tails (HQ3) (739m). This tested the central 1.8km of strike to a maximum depth of 290m. This enabled a detailed interpretation and resourc
Slide 21: Significant Potential to Increase Resource
Private and confidential Hastings Project For personal use only Significant Potential to Increase Resource Current Indicated resources confined to central 1.9km of sub-cropping mineralisation Inferred Resources at depth below Indicated Resources and around the northern fold closure Southern Ex
Slide 22: Resources
Private and confidential Hastings Project For personal use only Resources Indicated and Inferred Resources extend to the base of the south – plunging syncline at the north end and to a maximum depth of around 400m Mineralisation remains open at depth down to the base of the syncline Mineralisa
Slide 23: Rare Earth Distribution
Private and confidential Hastings Project For personal use only Rare Earth Distribution La₂O₅ Ce₂O₅ Pr₂O₅ Nd₂O₅ Sm₂O₅ Eu₂O₅ Gd₂O₅ Tb₂O₅ Dy₂O₅ Ho₂O₅ Er₂O₅ Tm₂O₅ Yb₂O₅ Lu₂O₅ Y₂O₃ Grade 34 127 19 73 46 3 75 24 186 43 173 22 139 18 1120 ppm Critical Rare Earths (US Department of Energy December 2010) Di
Slide 24: Lynas Project: Rare Earth Distribution
Private and confidential Lynas Project For personal use only Rare Earth Distribution La₂O₅ Ce₂O₅ Pr₂O₅ Nd₂O₅ Sm₂O₅ Eu₂O₅ Gd₂O₅ Tb₂O₅ Dy₂O₅ Ho₂O₅ Er₂O₅ Tm₂O₅ Yb₂O₅ Lu₂O₅ Y₂O₃ Grade 20655 37859 4309 14985 1839 359 0 55 100 0 0 0 0 0 0 ppm Source: (Lynas Corporation website) Distribution of REOs by Vol
Slide 25: Processing Testwork
Private and confidential Hastings Project For personal use only Processing Testwork West Coast Holdings (WCH) undertook significant amounts of processing test work in the 1980s culminating in the establishment of a pilot plant at the Warren Springs laboratory in UK. 100 tonnes of oxidised minera
Slide 26: Schedule
Private and confidential Hastings Project For personal use only Schedule Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 HY1 14 HY2 14 Metallurgy Validation & Verification Optimisation Pilot Plant – D & C Pilot Plant Trials Resource Scoping study Transfer PPs to ML JORC reserves drilling Envir
Slide 27: News Flow
Private and confidential Hastings Project For personal use only News Flow Next 6 months Results of scoping study indicating economics of Hastings Project Validation and Verification of historical data Road Map to Pre-Feasibility Study Begin Process Optimisation Program Completion of Stage
Slide 28: Yangibana Project: History
Private and confidential Yangibana Project For personal use only History Known mineralisation is associated with long linear, narrow ironstone outcrops Early exploration based on elevated radio metrics assessed the ironstones for uranium, but also base metals Rock chips returned elevated rare
Slide 29: Yangibana Project: Previous Exploration
Private and confidential Yangibana Project For personal use only Previous Exploration RC DRILLING RESULTS INCLUDED Prospect m %TREO Yangibana North 7 2.21 8 2.78 4 1.83 6 2.40 Gossan 3 2.12 The Lion's Ear 4 1.80 4 2.05 4 2.73 3 1.78 4 1.77 Hook South 2 1.65 Kane's Gossan 8 1.43 5 1.18 Yangibana 2 1.
Slide 30: Yangibana Project: Proposed Exploration
Private and confidential Yangibana Project For personal use only Proposed Exploration The obvious initial target is to pattern drill the exposed ironstone outcrops and the intervening ground along strike, with only 2.2km of the main mineralised zone tested to date. This zone has a strike length of
Slide 31: Summary
Private and confidential Summary For personal use only Prospectivity An Australian rare earths company with potential to supply the world with critical metals. Two potentially world class projects targeting the extremely high value rare metals in critical short supply. Hastings Project – a sub
Slide 32: Market Comparisons
Private and confidential Market Comparisons Significant upside at current levels For personal use only $1.9 billion 600 500 400 Pre- Producer Developer/Feasibility Stage JORC Resource Exploration 300 200 100 0 Lynas Alkane Avalon Great Rare GGG Tasman Hastings Northern Peak (ASX) (ASX) (TSX) Western
Slide 33: Contact Details
Contact Details For personal use only Contact Details Steve Mackowski David Nolan Technical Director Chairman T: +61 2 9078 7660 T: +61 2 9078 7660 F: +61 2 9078 7661 F: +61 2 9078 7661 E: smackowski@hastingsraremetals.com E: dnolan@hastingsraremetals.com Level 9, 50 Margaret Street, Sydney NSW 2000
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