Uru Metals Limited · LSE:URU
Uru Metals — Investor Presentation (June 2012)
26 slides from Uru Metals's investor presentation, June 2012
Slide 1: The Southern African Nickel Joint Venture
The Southern African Nickel Joint Venture June, 2012 Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 2: Important Regulatory Notice
Important Regulatory No?ce The summary information contained herein has been provided by URU Metals Limited (“URU Metals” or the “Company”). No representation, express or implied, or warranty as to the accuracy or completeness of the information contained herein is made by any party and nothing cont
Slide 3: Value of the SAN JV to URU Shareholders
Value of the SAN JV to URU Shareholders l Zebediela Nickel Project NI 43-‐101 Preliminary Economic Assessment released on June 7th l Pre-‐tax NPV8 will be over $1 billion l Projected to be a lowest cost quar?le nickel producer l Long mine life with excellent infrastructure in a world-‐class m
Slide 4: SAN JV Ownership
SAN JV Ownership 45% South African Nickel Southern 40% (SAN) African Nickel Joint Venture 15% Umnex Minerals Holdings To Find a CPC Partner Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 5: What the SAN JV Owns
What the SAN JV Owns Umnex Minerals Limpopo (BEE Partner) 26% 74% Zebediela Nickel South African Nickel Project (SAN) Joint Venture 51% Burgersfort* Nickel Project 49% To Find a CPC Partner *Against a further to BSC Resources (Pty) Ltd BEE Partner be determined amount the JV could Ac#vely developing
Slide 6: The Zebediela Project
The Zebediela Project l Located near the pla?num mining town of Mokopane l Easily accessible l Disseminated sulphide nickel project with deposit engineering aspects akin to a porphyry-‐copper mine Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 7: Zebediela Project Location
Zebediela Project Loca?on l Project covers small farms only l Rail to smelter is on the property l 7 km NE of Mokopane l Power line on property l Proximal to the M1 motorway l 16 km from Anglo’s Mogalakwena Mine and immediately adjacent to Ivanplats ! Ac#vely developing an advanced por1olio of
Slide 8: Zebedelia Geology & Resources
Zebedelia Geology & Resources ! Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 9: Drilling Map – Zebediela Project
Drilling Map – Zebediela Project l Indicated Resources l 485.4 Mt @ 0.245% Ni l Inferred Resources l 1,115.1 Mt @ 0.248% Ni l Only indicated resources used in PEA l Room to expand l Very wide hole spacings – 16 total holes at 200 m on 400 m+ spaced lines Ac#vely developing an advanced por1oli
Slide 10: Zebediela - Remarkable Grade Consistency
Zebediela -‐ Remarkable Grade Consistency Red > 0.25% Ni, blue – higher grades 200 m Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 11: Zebediela Phase I Drilling Results
Zebediela Phase I Drilling Results Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 12: Zebedelia Block Model
Zebedelia Block Model 37.5 x 37.5 x 5 m blocks ! Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 13: Zebediela Proposed Mining Method
Zebediela Proposed Mining Method l Open pit mining – 1700 m x 883 m x 250 m l Stripping ra?o of 0.36:1 Top 40-‐50 m oxidized with low Ni, but has magne?te for iron concentrate poten?al l Remarkable grade consistency in all direc?ons, pit bokoms in ‘ore’ l 20 Mtpa mining rate using 26 m3 excavat
Slide 14: Higher Grade Pods within the Pit
Higher Grade Pods within the Pit l Work need to find the ‘starter’ pit l 50 degree pit slopes l Divided into 5 sectors and four depth slices to facilitate mine planning l 15 m bench highs and 12 m berm widths proposed l 182 Mt of oxide rock overburden l 500 Mt ore ! Ac#vely developing an advanc
Slide 15: Nickel Deportment
Nickel Deportment l Ore is comprised of 90% serpen?ne, 5% magne?te, 1.7% magnesite/brucite and 1.8% dolomite l Ni is found in two phases within the non-‐oxidized por?on l 58% is found in sulphide grains – dominantly pentlandite (62% total nickel) and pyrrho?te (0.03%) l Remainder is found in th
Slide 16: Zebedelia Metallurgy
Zebedelia Metallurgy l Met tes?ng shows that 50% of total nickel is recoverable into a 16% Ni concentrate l 60% of the iron is recoverable to a magne?te concentrate using a Low Intensity Magne?c separator with a mass pull of 5% l 5% magne?te in original mill feed l Mill throughput of 3,500 tph l
Slide 17: Zebedelia Proposed Metallurgy Processes
Zebedelia Proposed Metallurgy Processes The processes uses all proven equipment and technologies ! Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 18: Infrastructure
Infrastructure l 6,000 ha area iden?fied for tailings l Water – need 14 Mm3 per year l Biggest risk to the project as cannot be sourced from current local sources l Inves?ga?ng op?ons and registering interest for new water dam projects with local regulators l Power – projected to be 10-‐20% ove
Slide 19: Results of the Zebediela PEA
Results of the Zebediela PEA l 56,600,000 lbs Ni produced per annum for 25 years l CAPEX of $708 million including 8% con?ngency and 5% working capital l $650 million at start-‐up and $58 million sustaining, $8.5 M for Pre-‐Feas l Averages $0.53/lb payable Ni l OPEX $6.65/t mined or $3.35/lb
Slide 20: Financial Projections
Financial Projec?ons Pre-‐Tax Post-‐Tax NPV8 $1,018 M $484 M IRR 25.7% 18.6% Payback 3.8 years 4.7 years l Nickel price of US $8.50/lb Ni l ZAR:USD = 8:1 l Annual cast flow = $203 M pa l No revenue from magne?te concentrate but costs included l 15 Mt of Fe @ $0.05/lb Fe = $1.65 Billion total r
Slide 21: Sensitivities
Sensi?vi?es ! Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets
Slide 22: Zebediela – Milestones
Zebediela – Milestones l Project moving into Pre-‐Feasibility l Mul?-‐phase program totaling $8.3 M over 18-‐24 months l Lis?ng on the Toronto Venture Exchange through CPC process l To be concurrent with financing l Mike Houston, proven mine builder will be the new CEO l Incorpora?on of the
Slide 23: Burgersfort – The Twin Sister?
Burgersfort – The Twin Sister? 900.000000 23 m @ 0.29 % Ni AP-13 AP-10 AP-22 AP-03 AP-05 .! .! .! .! .! 289 m @ 0.33 % Ni 30 m @ 0.24 % Ni 400.000000 1000m 146 m @ 0.30 % Ni N AP-14 AP-12 AP-15 .! .! .! AP-20 AP-21 B -100.000000 .! .! AP-10 .! AP-11 AP-19 AP-13 .! .! .! Mineralized Sill AP-09 AP-17
Slide 24: Value of the SAN JV to URU Shareholders
Value of the SAN JV to URU Shareholders l Zebediela Nickel Project NI 43-‐101 Preliminary Economic Assessment released on June 7th l Pre-‐tax NPV8 will be over $1 billion l Projected to be a lowest cost quar?le nickel producer l Long mine life with excellent infrastructure in a world-‐class m
Slide 25: Company Directory
Company Directory Directors Nominated Advisor Investor Relations Paul Loudon – Non-Executive Chairman Fairfax IS PLC Brand: Mining IR John Lynch – Executive Director 46 Berkeley Square 636 Horton House Mayfair Exchange Flags Registered office London W1J 5AT Liverpool L2 3PF Walkers Chambers United K
Slide 26: Questions
Ques?ons ! Ac#vely developing an advanced por1olio of large-‐scale uranium, nickel and base metal assets