Slide 1: Quarterly Results Webcast Presentation
For personal use only 6 August 2018 Companies Announcement Office Via Electronic Lodgement PENINSULA ENERGY LIMITED QUARTERLY RESULTS WEBCAST PRESENTATION Peninsula Energy Limited (Peninsula) advises that it held an investor update webcast on 3 August 2018 including the attached presentation to cove
Slide 2: June 2018 Quarter Results
June 2018 Quarter Results For personal use only Webcast │ 3 August 2018 ASX:PEN
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: Agenda
Agenda For personal use only • Highlights of the Quarter 1. Corporate Overview 2. Quarterly Activity Summary 3. Lance Results and Activities 4. Quarterly Costs & Cash Flow Analysis 5. Karoo Update 6. Uranium Market 7. Investment Highlights Cultural Awareness Sign at Mine Gate Mr Wayne Heili – Managi
Slide 5: Corporate Overview
Corporate Overview Capital Structure Share Price & Volume History Ticker: ASX:PEN For personal use only Shares on issue* 234m Share price (1-Aug-18) A$0.330 Price (A$/share) Volume (m) 0.50 7.5 Market capitalisation (1-Aug-18) A$77m 7.0 0.45 6.5 Enterprise Value (1-Aug-18) A$83m 0.40 6.0 5.5 Availab
Slide 6: Quarterly Activity Summary
Quarterly Activity Summary • Corporate For personal use only • Convertible note debt partly repaid and extended by 2 years • Existing Top 20 shareholder acquired US$3.85m of Con Note debt • Global X ETF exit facilitated • Sales & Marketing • No sales were scheduled to be made in the quarter • Lance
Slide 7: Lance - Steady Production Results
Lance - Steady Production Results • June Quarter production higher than guidance For personal use only • 38,001 lbs produced in the quarter • 43,553 lbs dried & drummed in the quarter • Production in Mine Unit 1 significantly cutback to preserve more “pounds in the ground” for Low pH operations • Re
Slide 8: Unlocking the Full Potential of Lance
Unlocking the Full Potential of Lance • Low pH ISR transformation initiative is being actively advanced For personal use only Potential to transform the performance and cost profile High Potential Permit to Mine amendment request submitted & under review Permit and licence amendments expected
Slide 9: Why Change Now?
Why Change Now? • All 1st quartile uranium operations globally are in-situ recovery (ISR) For personal use only facilities that utilize a low pH lixiviant • Low pH ISR leads the way U3O8 Price (US$/lb) Low pH ISR Production All other operations 90 80 70 60 50 40 30 20 10 0 0 20 40 60 80 100 120 140
Slide 10: Quarterly Cost Performance
Quarterly Cost Performance For personal use only • Spending discipline continues Payments for: Actual Actual Actual Actual F'cast (US#039;000) Sep Qtr CY17 Dec Qtr CY17 Mar Qtr CY18 Jun Qtr CY18 Sep Qtr CY18 Exploration & Evaluation 270 185 169 197 500 Development & PPE 1,106 537 786 491 350 Production
Slide 11: Robust Financial Position
Robust Financial Position Available Cash(1) Balances and Movement For personal use only • US$3.8m VAT remittance made in June quarter (part of March quarter contract sale) • No sales proceeds received during the quarter • On 20 April, 2-year extension and re-structure of Con Note signed with RCF and
Slide 12: Karoo Projects – South Africa
Karoo Projects – South Africa • All development and progression activities suspended For personal use only Divestment No satisfactory offers made to Peninsula during sale process Status Reflects market view of hard rock uranium assets today Retention Fully explored by Peninsula Option Cost o
Slide 13: Uranium Market Overview
Uranium Market Overview For personal use only • Uranium Market Insight • Uranium sold in spot & term deals • Spot market supply depth is being tested • Term market remains quiet • Both markets are well below industry’s average cost of production • Spot price rising on increased buying by Producers a
Slide 14: Market Rebalancing is Occurring Now
Market Rebalancing is Occurring Now For personal use only Supply: Global Supply Declining • 2018 Production estimated at 135M pounds • 2018 Demand estimated at 192M pounds • Inventories are unwinding Demand: The need for carbon- free nuclear power remains strong • Demand forecasts continue to show g
Slide 15: Nuclear Fuel Geopolitical Themes
Nuclear Fuel Geopolitical Themes For personal use only • Increasing Political Activity Involving Nuclear Fuel Trade 1. Section 232 of the US Trade Expansion Act Petition • US Dept. of Commerce (DOC) commenced investigation on 18 July 2018 • DOC has 9 months to complete investigation and make any rec
Slide 16: Peninsula Energy's Defining Strengths
Peninsula Energy’s Defining Strengths For personal use only World Class • Experienced technical, financial and commercial team Management • Building for the future today Large Scale • Long-life Lance Project in USA Project • The Lance Project contains resources of 53.5M lbs of U3O8¹ Scalable • Lance
Slide 17: Questions & Answers
For personal use only Questions & Answers 16
Slide 18: Contact Details
For personal use only Contact Details REGISTERED OFFICE Unit 32/33, Level 3, 22 Railway Road Subiaco, Western Australia 6008 Australia www.pel.net.au info@pel.net.au FURTHER INFORMATION Wayne Heili Managing Director +61 8 9380 9920 17
Slide 19: Appendix - Lance JORC Resource
Appendix 1 - Lance JORC Resource For personal use only Tonnes Classification U3O8(kg) Grade (ppm U3O8) U3O8(lbs) (million) Measured 3.7 2.0 489 4.3 Indicated 10.0 5.1 466 12.7 Inferred 37 17.5 463 36.5 Total 50.7 24.6 473 53.5 ¹JORC Table 1 included in an announcement to the ASX released on 27th Mar