Diatreme Resources Limited · ASX:DRX
Diatreme Resources — AusIMM Resourceful FNQ 2022
27 slides from Diatreme Resources's conference presentation, May 19, 2022
Slide 1: Delivering Critical High Purity Silica
FNQ Delivering Critical High Purity Silica For personal use only AUSIMM - RESOURCEFUL FNQ 2022 – 18 & 19 MAY, CAIRNS * E x p ect e d P r o d u ct – M e t a l l u r g ic a l R e s u l t f r o m P r o c es s P l a n t S i m u l a t i o n
Slide 2: Acknowledgement
Acknowledgement Diatreme Resources For personal use only Diatreme acknowledges the Indigenous custodians of ASX:DRX the land on which we meet today, and pays respect to Elders past, present and emerging. I extend that respect to all Aboriginal and Torres Strait Islander people here today. Diatreme g
Slide 3: Important Information
Diatreme Resources Important Information For personal use only ASX Announcements This presentation contains certain forward-looking statements and forecasts which include This presentation should also be read in conjunction with the DRX Annual Report for 2022 without limitation, expectations regardi
Slide 4: Company Profile
Diatreme Resources Diatreme Company Profile For personal use only ASX:DRX Diatreme Board Chairman Wayne Swan Directors Michael Chapman Greg Starr William Wang DRX Management CEO - Neil McIntyre CFO - Tuan Do COO - Peter Brown Sustainability (HSEC) - Linda Kingston Engineering Project Manager - Phil
Slide 5: Targeting Long Life Sustainable Operations
Diatreme Resources Targeting Long Life Sustainable Operations For personal use only ▪ Multiphase high purity sand dunes located 20-50km northeast of Hope Vale in FNQ, extend inland for 10-15km ASX:DRX ▪ Cape Bedford→Cape Flattery land position (500km2), adjoins the world’s largest high purity silica
Slide 6: Volume, Scale & Expansion
*GSSP+NRP Diatreme Resources Volume, Scale & Expansion production forecasts subject to further resource definition, and advancement through government permitting and For personal use only approvals ▪ GSSP delivers initial personnel training, technical expertise, process refinement, revenues and ESG
Slide 7: Premium Silica Resources
Diatreme Resources Premium Silica Resources For personal use only Selective Avoiding high Improved Rehabilitation ASX:DRX targeting and value resource - to DRX-ESG, exploration environmental reserve EA planning areas conversion Compliance 2020 2020 2021 2021 2022 2022 Silica Project Mineral Silica G
Slide 8: Galalar Silica Sand Project
Diatreme Resources Galalar Silica Sand Project For personal use only Cooktown ASX:DRX Nob Point NPBR GSSP CFP GSSP Slide | 8 View North - GSSP Dune and Cape Flattery (CFP)
Slide 9: Mine Reserves
Diatreme Resources Mine Reserves For personal use only Mine ASX:DRX Reserve 32.5Mt Silica sand >98.50% SiO2 grade High Purity Silica Product* Silica sand Slide | 9 *Expected Product – metallurgical results from process plant simulation
Slide 10: Pre-Feasibility Study Metrics
Pre-Feasibility Study Metrics Diatreme Resources For personal use only ASX:DRX Annual ore feed Annual production Silica price Annual gross revenue Gross revenue 950,000tpa 1,320,000tpa US$59/t* A$80m x 23.5 years A$2.5b Project life * The price assumption is for a ‘low iron’ silica sand product suit
Slide 11: Mining and Infrastructure
Diatreme Resources Mining and Infrastructure For personal use only ▪ Topsoil and vegetation stockpile in advance of each mine ASX:DRX panels (6-12month feed), delivers low exposure footprint ▪ 1.65Mtpa mined above water table, delivered to slurry line feed to processing ▪ Progressively re-form dunes
Slide 12: Processing
Diatreme Resources Processing ▪ Uncomplicated screening, gravity For personal use only antirationing and classifying ASX:DRX ▪ WHIMS (magnets) remove final Iron particles (5% of mass, 10-15ppm Fe2O3 reduction) ▪ Product slurry pumped to 50-60Kt GSSP – Year 15 stockpile ▪ Damp sand product conveyed a
Slide 13: Northern Resource Project
Diatreme Resources Northern Resource Project ▪ 124Mt resource is the start, next steps are to grow the resource, infill and For personal use only upgrade resource category ASX:DRX ▪ Preliminary metallurgy - 99.9% SiO2 and 100-120ppm Fe2O3 product ▪ Amenable to conventional processing technologies, d
Slide 14: Transshipment and Port Facilities
Diatreme Resources Transshipment and Port Facilities For personal use only 25 years Nob Point Barge Ramp and Hope Vale ASX:DRX Community Boat Ramp delivering a multipurpose-low impact facility 2 years Proposed Nob Point Barge Moorings* possibly extending Cape Ramp Flattery Port (CFP), delivering a s
Slide 15: Silica Market
Diatreme Resources Silica Market For personal use only ▪ Wogen Ltd and other specialist market consultants to Diatreme have completed extensive market investigations ASX:DRX and engagement with various potential offtake partners ▪ The indicative price range (PFS) for delivery into China was variable
Slide 16: Aboriginal Community at the Forefront
Diatreme Resources Aboriginal Community at the Forefront Diatremes approaches in Hope Vale For personal use only ▪ Recognise that we are on Aboriginal land and prioritise Community Engagement ASX:DRX ▪ Committed to Indigenous business participation ▪ Respecting cultural heritage, customs and obligat
Slide 17: Development Benefits
Diatreme Resources Development Benefits ▪ Hope Vale is the base of operations For personal use only ▪ Mining Project Agreements* deliver an integrated Equity - Royalty – Business benefit to ASX:DRX clan groups and the broader community ▪ GSSP delivers an estimated $800M, distributed into the local a
Slide 18: Environment, Social & Governance (ESG)
Diatreme Resources Environment, Social & Governance (ESG) For personal use only ASX:DRX Slide | 18
Slide 19: Business Value Drivers
Diatreme Resources Business Value Drivers For personal use only ▪ Environmental and Social license to operate ASX:DRX ▪ Single high purity silica product ▪ Consistent delivery into silica market deficit (undersupply) ▪ Low capex start-up, high NPV, rapid payback operations ▪ Lowering operating unit
Slide 20: Downstream Innovation and Technology
Diatreme Resources Downstream Innovation and Technology ▪ Australia’s 2022 Critical Minerals Strategy (2022) and EU, identify the For personal use only importance of Silica in the rapid transition to lower Global Carbon emissions ASX:DRX ▪ Diatreme is assessing potential beneficiation to produce ult
Slide 21: Contributing to Cleaner Energy
Diatreme Resources Contributing to Cleaner Energy For personal use only ▪ GSSP alone will produce 31Mt of high quality silica over LOM, used to produce over 3.2B solar panels ASX:DRX producing “cleaner energy” well beyond Project Life ▪ Based on estimated energy generation over life of panels, this
Slide 22: Project Delivery Timeline
Diatreme Resources Project Delivery Timeline Today GSSP & NRP Summary Timeline* 2022-2023 For personal use only Q1 Q2 Q3 Q4 Q1 2023 ASX:DRX Planning / Mining Project Agreement MPA Completion Community Consultation EIS submission/ Public Notices GSSP Marketing Offtake Port Review Permitting Public Me
Slide 23: Contact Details
For personal use only CONTACT DETAILS Office: Unit 8, 61 Holdsworth Street Coorparoo, QLD, 4151 P: 07 3397 2222 E: manager@diatreme.com.au W: www.diatreme.com.au
Slide 24: Appendix
For personal use only APPENDIX
Slide 25: Integrated Sustainability
Diatreme Resources Diatreme Integrated Sustainability Business Delivery For personal use only ASX:DRX Secure Jurisdiction, Proving multiple long Utilising and Low CAPEX, low Uncomplicated mining, Attracting investor Innovation delivering including a life projects, with low upgrading product payback,
Slide 26: Resource and Reserve Statements
Diatreme Resources Resource and Reserve Statements For personal use only ASX:DRX JORC Resource Silica sand Silica sand Cut-off SiO2 (%) SiO2 % Fe2O3 % TiO2 % LOI % Al2O3 % Density (t/m3) Category (Mt) (Mm3) Galalar Silica Sand Project Measured 43.12 26.95 98.5 99.21 0.09 0.11 0.16 0.13 1.6 Indicated
Slide 27: Competent Person's Statement
Diatreme Resources Competent Person’s Statement For personal use only Statement in accordance with the Australasian code for reporting of exploration results, mineral resources and ore reserves (the JORC code) ASX:DRX Mineral Resources Exploration Results and Exploration Targets The information in t