Greenx Metals Limited · ASX:GRX
Greenx Metals — Prairie Downs Metals — ASX: PDZ Minesite Investor Forum, London, March 2014
26 slides from Greenx Metals's conference presentation, Mar 11, 2014
Slide 1: Lublin Coal Project Presentation
ABN 23 008 677 852 LUBLIN COAL PROJECT PRESENTATION March 2014 - ASX: PDZ Minesite Investor Forum, London, 11 March 2014
Slide 2: Lublin Coal Project
Lublin Coal Project Prairie Downs Metals Limited (ASX:PDZ) is an ASX listed company developing the Lublin Coal Project in Poland’s world class Lublin Coal basin Large scale, high quality coal resource with semi- Lublin Coal Project Map soft coking/premium thermal potential - Inferred Coal Resource
Slide 3: Poland: A favorable investment jurisdiction
Poland: A favorable investment jurisdiction Poland is a safe, low risk mining jurisdiction with an excellent fiscal regime… Belchatow Power Station (4,440MW), Poland One of the most attractive fiscal regimes globally for coal 19% corporate tax rate No Requirement for Government Participation 4PLN/
Slide 4: The emergence of the Lublin Coal Basin
The emergence of the Lublin Coal Basin Initial drilling in the 1950's across the basin in search of gas reserves Discovered massive coal resources Government then drilled hundreds of boreholes between 1960-1980's State owned company Bogdanka commenced production in 1982 Bogdanka has been s
Slide 5: Polish Coal: A tale of two different coal basins
Polish Coal: A tale of two different coal basins With the Upper Silesian Basin in decline, the Lublin Coal Basin is set to become the pre-eminent coal basin in Europe given favourable geology and mining conditions… Silesian Basin Lublin Basin Size * 5,400km2 Size 9,100 km2 Years in Production 250 Ye
Slide 6: Bogdanka at a Glance
Bogdanka at a Glance Privatised by way of an IPO on Warsaw Stock Exchange in 2009 Current enterprise value in excess of USD1.6Bn with a 4% dividend yield in 2013 EBITDA margin of 39% (H1 2013) Produced 8.4mt thermal coal in 2013 expanding to 12mtpa by 2015 Bogdanka Coal Mine Lowest operati
Slide 7: Lublin Basin: First Quartile Operating Costs
Lublin Basin: First Quartile Operating Costs Q2 2013 Unit Mining Cash Costs (Source: Company Filings, 3.15 PLN/USD, Lower Operating costs are 0.74 EUR/USD) primarily a function of favourable geology Geology and mining conditions ideal for modern longwall plow operations Caterpillar longwall pl
Slide 8: Prairie Downs Lublin Coal Project
Prairie Downs Lublin Coal Project Dominant Basin Position 1.6 Billion tonne Inferred JORC Compliant Coal Resource Estimate 1 680 million tonnes (inferred) found within three high quality coal seams 1 Total resource located within 20 potentially economic coal seams 391 Seam 379 Seam 382 Seam
Slide 9: Favourable Geology
Favourable Geology 3271 million tonne Inferred JORC Compliant Coal Resource in the one thick, contiguous and high quality 391 coal seam… Note: 391 seam isopachs based on historical core and geophysical logs 1 JORC (Inferred), refer to maiden coal resource ASX announcement released on 14 February 201
Slide 10: Metallurgical & Thermal Potential
Metallurgical & Thermal Potential Initial testing has indicated that the Lublin Coal Project potentially hosts metallurgical coal which compares very well with current semi-soft benchmark coals… 391 Coal Seam Quality & Comparisons Prairie Downs Typical Semi-Soft Coking Typical Thermal 391 Seam* Hunt
Slide 11: Export & Domestic Infrastructure
Export & Domestic Infrastructure Rail, Port and Power infrastructure are all in place in Poland for new developments to supply both export and domestic European markets… Underutilised Coal Export Ports Poland was the world’s 2nd largest coal exporter during the 1980’s, exporting 45mtpa Capesize
Slide 12: Competitive Freight Advantage
Competitive Freight Advantage Lublin Coal Project’s location and access to infrastructure gives it a distinct advantage to capture key regional markets for both metallurgical and thermal coals… Excellent Seaborne European Market Penetration Ability to penetrate all key European markets with access
Slide 13: Exploration Program
Exploration Program Scoping Study being completed by Wardell Armstrong to: - Outline production profile and schedule - Provide detailed mine plan and process flow sheet - Estimate capital and operating costs Core drilling program currently being completed to: - Validate historical drilling - Upd
Slide 14: Building a world class team in Poland
Building a world class team in Poland Page 14
Slide 15: Experience Board and Management
Experience Board and Management Strong board & management with proven development experience… Highly respected, London based, mining engineer and investment banker Eight years’ experience in underground longwall coal mining operations with BHP Billiton; Holds an Australian Ben Stoikovich (NSW) u
Slide 16: Polish Executive Team
Polish Executive Team Respected and established Polish team… Geologist with over 30 years experience and a proven ability in the identification, exploration and appraisal of international Janusz Jakimowicz resource projects. Held positions at Ashton Mining, BHP Billiton and Striker Resources (Nort
Slide 17: Corporate Structure
Corporate Structure PRAIRIE DOWNS METALS LTD (ASX: PDZ) As at 10 March 2014 Current Issued Capital 132.3m Fully Diluted 158.9m Market Capitalisation (Undiluted @ A$0.32) A$42.3 million Cash at 31 January 2014 A$5.2 million Listed Securities Held* A$14.0 million Enterprise Value A$23.1 million Top 20
Slide 18: Significant Re-rating Potential
Significant Re-rating Potential…. Near term news flow and milestones…. Q1 2014 Results from coal quality and coal washability testing Q1 2014 Results from marketing study Q2 2014 JORC Resource estimate upgrade Q2 2014 Publication of Scoping Study Q3 2014 Commence Pre-Feasibility Study H2
Slide 19: Additional Slides
ADDITIONAL SLIDES Europe’s next www.prairiedownsmetals.com.au
Slide 20: Lublin Coking Coal Potential
Lublin Coking Coal Potential Strong long term demand growth for Seaborne Metallurgical Coal Demand – 2013 & Growth to 2035 coking coal expected in India, Brazil, Germany and Ukraine Greater Europe (EU inc Turkey) consumes over 70mt of metallurgical coal per year Poland is Europe’s largest prod
Slide 21: Thermal Coal – Fundamental to Europe's Energy Matrix
Thermal Coal – Fundamental to Europe’s Energy Matrix During 2012, Europe1 consumed over 770mt of coal for power generation, of which 265mt was thermal coal. Thermal coal imports amounted to 172mt, accounting for 22% of globally traded thermal coal… European Thermal Coal Imports & Production by Count
Slide 22: Europe – Declining Domestic Coal Production
Europe – Declining Domestic Coal Production Europe’s hard coal production continues to decline as viable coal resources deplete European Hard Coal1 Production (million tonnes) 400 Rest of EU 365mt (total) 350 Czech Republic 295mt Germany 300 United Kingdom 250 227mt Poland 200 189mt 155mt 150 127mt
Slide 23: Increasing Reliance on Imported Thermal Coal
Increasing Reliance on Imported Thermal Coal Imports from Russia, Colombia, the US and others are fundamental for European thermal coal supply… USA Russia Export to EU (2012) 35.8mt Export to EU (2012) 60.3mt % Total of EU Imports 19% % Total of EU Imports 33% Calorific Value (Kcal/kg) 6,676 Calorif
Slide 24: Global Coal Producer Comparables
Global Coal Producer Comparables Page 24
Slide 25: Disclaimer
Disclaimer Important Information This presentation has been prepared as a summary only, and does not contain all information about Prairie Downs Metals Limited’s (“Prairie”) assets and liabilities, financial position and performance, profits and losses, prospects, and the rights and liabilities atta
Slide 26: Prairie Downs Metals Limited
Prairie Downs Metals Limited Head Office London Office Poland Office Level 9, BGC Centre Unit 1C, Princes House PD CO Sp z o.o. 28 The Esplanade 38 Jermyn Street Rondo ONZ 1, Floor 5A PERTH WA 6000 LONDON, SW1Y 6DN 00-124 WARSAW AUSTRALIA UNITED KINGDOM POLAND P: +61 8 9322 6322 P: +44 207 478 3900
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