Arafura Rare Earths Limited · ASX:ARU
Arafura Rare Earths — Arafura Resources — 2012 GMUSG & SACOME Mining & Resources Conference & Trade Expo
17 slides from Arafura Rare Earths's conference presentation, Aug 29, 2012
Slide 1: 2012 GMUSG & SACOME Mining & Resources Conference & Trade Expo
For personal use only 2012 GMUSG & SACOME Mining & Resources Chris Tonkin Conference & Trade Expo Chief Executive Officer 29 August 2012
Slide 2: Disclaimer
Disclaimer Important Notice For personal use only This presentation contains certain statements which may constitute “forward-looking statements”. Such statements are only expectations or beliefs and are subject to inherent risks and uncertainties which could cause actual values, results or performa
Slide 3: Today's Agenda
Today’s Agenda For personal use only Introduction to Arafura The Nolans Rare Earths Project Recent Achievements Nolans Project – Resource and Processing Next Steps Summary Page 3
Slide 4: An Emerging Rare Earths Producer
An Emerging Rare Earths Producer For personal use only Arafura Resources is an ASX Code ARU emerging rare earths Shares on offer 396 million Options 11.5 million producer with an advanced Market cap at 18.0c $71.2 million development project 1-year range 15.5 - 76.0 cents Cash at 30/6/12 $19.5 milli
Slide 5: Nolans Rare Earths Project
Nolans Rare Earths Project For personal use only The Nolans Project is one Ore of the most advanced rare earths development Mineral Concentrate projects in the world Rare Earth The recent Project Update Intermediates (Carbonate) established a Base Case of: Rare Earth Oxides Mine and concentrator 20,
Slide 6: Key Features of the Project
Key Features of the Project For personal use only Nolans Bore is one of the world’s largest rare earths deposits – JORC-compliant Resource recently expanded to 1.22 million tonnes REOs Low resource risk Extensive testwork completed and the process flowsheet developed over 7 years Robust economics: F
Slide 7: Rare Earth Applications
Rare Earth Applications For personal use only Arafura REO product samples REO Market Segments by Application (2011) Page 7
Slide 8: World Scale, Strategically Significant Resource
World Scale, Strategically Significant Resource For personal use only RARE TONNES TONNES TONNES TONNES RESOURCES EARTHS (million) REO P2O5 U3O8 REO % Measured 4.3 3.3 144,000 572,000 1,120 Indicated 21 2.6 563,000 2,610,000 4,090 Inferred 22 2.4 511,000 2,220,000 3,610 TOTAL 47 2.6 1,217,000 5,410,0
Slide 9: Project Achievements
Project Achievements For personal use only Whyalla selected for Rare Earths Complex Definition of a major Rare Earths resource at Nolans Bore Process proven from mine to separated final products Experienced management team focused on finalising key technical and planning work streams Rare Earth Oxid
Slide 10: Recent Achievements – 2012
Recent Achievements – 2012 For personal use only Board and Management changes Focus on cost containment Major resource expansion Share Purchase Plan raised $8.2 million Strategic MOU with Korean multinational Separated REO products for customer assessment ECE agreement to inject $9.9 million Definit
Slide 11: Why did we produce a Project Update?
Why did we produce a Project Update? For personal use only Feasibility study is well advanced Necessary to define a Project Base Case for shareholders and investors To establish that Arafura is on track with all aspects of the Project To demonstrate Project scale and longevity To reinforce the prosp
Slide 12: Nolans Project Processing Flow Diagram
Nolans Project Processing Flow Diagram For personal use only Page 12
Slide 13: Proposed Processing Complex Site Layout
Proposed Processing Complex Site Layout For personal use only Steelworks Rare Earths 1 kilometre Complex Rail Loop Evaporation Ponds Page 13
Slide 14: Cost Breakdown
Cost Breakdown For personal use only Forecast Capital expenditure Forecast Operating expenditure Transport and Logistics Transport and 12% Logistics Nolans Bore Nolans Bore 13% 18% 19% Whyalla Whyalla 68% 70% $1.9 billion $411 million per annum (over 3 years) Page 14
Slide 15: Next Steps – 2012/13
Next Steps – 2012/13 For personal use only Technology Engineering Other Declaration of Ore Final Mine Plan EGM for ECE investment Reserves Mine and Concentrator Short term funding Demonstration Plant Engineering EIS submissions Integrated Pilot Plant Transport and logistics Sales and supply contract
Slide 16: Summary
Summary For personal use only On track to be one of the world’s largest rare earth producers and one of very few new supply sources this decade Uniquely advanced Australian-based project with de-risked path to production and commercialisation Robust project economics Low risk, world-scale resource a
Slide 17: Thank You
Thank You For personal use only Chris Tonkin, Chief Executive Officer 29 August 2012 www.arafuraresources.com.au
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