Astron Limited · ASX:ATR
Astron — 13th Annual Mineral Sands Conference 2013
24 slides from Astron's conference presentation, Mar 13, 2013
Slide 1: Astron Corporation Limited - Donald Mineral Sands Project
For personal use only Astron Corporation Limited Donald Mineral Sands Project March 2013 Simon Peters, Development Manager ASX Code: ATR 1
Slide 2: Disclaimer, Forward Looking Statements and Competent Person's Statement
Disclaimer, Forward Looking Statements and Competent Person’s Statement For personal use only This presentation has been prepared by Astron Corporation Limited (the “Company or Astron”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company
Slide 3: Presentation Agenda
Presentation Agenda For personal use only Introducing Astron Donald Mineral Sands Project, Murray Basin, Australia Project Fit & Market Dynamics Conclusion 3
Slide 4: Introducing Astron
For personal use only Introducing Astron 4
Slide 5: History
For personal use only History 5
Slide 6: A Corporate Snapshot
A Corporate Snapshot For personal use only Listed on ASX Dedicated focus Tier 1 Donald Near-term since 1983 – on mineral Project in production holding company sands mining Murray Basin, project in ‘Astron and processing Australia Niafarang, Corporation Senegal Limited’ domiciled in HK Approx. ~$115m
Slide 7: Location of Operations
Location of Operations For personal use only 7
Slide 8: Astron Corporation Limited - Overview
Astron Corporation Limited - Overview For personal use only Share Price Performance Financials A$ ‘000 1.60 3,000 ASX Code ATR 1.50 1.40 2,500 1.30 Market Cap A$134m 2,000 1.20 1.10 1,500 Ordinary Shares 122m 1.00 0.90 1,000 0.80 Enterprise Value A$19m 500 0.70 0.60 0 Net Asset Value A$198m Trading
Slide 9: Donald Mineral Sands Project
For personal use only Donald Mineral Sands Project 9
Slide 10: Donald Mineral Sands Project
Donald Mineral Sands Project For personal use only One of the Next largest Generation undeveloped Tier 1 deposits in resource the world 4 billion JORC reserve tonnes of of 150mt resource at 4.8% THM Stage 1 to World class produce location – 950ktpa of Murray Basin HMC; 30 year mine life Close to Sta
Slide 11: World Class Location
World Class Location For personal use only Intergenerational resource sits within 300km from port Road and water networks in place 300km to ports 70km to rail hub Skilled workforce 50km from regional city of Horsham 11
Slide 12: Astron Tenements
Astron Tenements For personal use only 5595 sq. km licenses Held by subsidiaries Donald Mineral Sands & Sovereign Gold Donald & Jackson two of the largest WIM type deposits in the region Known extensions of WIM deposits Historically identified strandline HM mineralisation
Slide 13: WIM Style Deposits - Geology
WIM Style Deposits - Geology For personal use only Geology Hosts Massive multi commodity Resource Large, lobate, sheet-like Laterally extensive individual heavy mineral lenses separated by barren sand Relatively uniform grade over large areas 13
Slide 14: WIM Style Deposits - Opportunities
WIM Style Deposits - Opportunities For personal use only Next Generation Product Supply • Large ore tonnages • Good grade • Favourable assemblage • High-quality Ti content • Rare Earth Credits provide multiple opportunities $1,400 Rutile Value of titanium feedstock products $1,200 Synthetic • High z
Slide 15: Resource Geology
Resource Geology For personal use only • 4,039Mt @ 4.8% HM Measured + Indicated + Inferred Mineral Resource * • 461Mt @ 5.9% HM Proved + Probable Ore Reserve** • Includes 150mt @ 5.8% HM Proved Ore Reserve * ASX announcement dated 1 December 2011 ** ASX announcement dated 15 June 2012 AVERAGE GRADE
Slide 16: Previous Challenges now overcome
Previous Challenges now overcome For personal use only Secured long term Developed process high security water flow with adequate supply recoveries based on proven technologies Developed Hot Value Adds – Zircon Wash Monazites and process to decrease Tertiary Zircon impurities of Fe U Products & Th 1
Slide 17: Project Fit & Dynamics
For personal use only Project Fit & Dynamics 17
Slide 18: Peer Comparison - Highly Competitive
Peer Comparison – Highly Competitive For personal use only EV / Zircon Eq ($A/t) 4.50 Revenue / Cost (times) Mineral Commodities 13.4 Diatreme Resources 12.6 4.00 Gunson Resources 8.1 Miatilda Zircon 32.2 3.50 Image Resources 70.2 3.00 Pathfinder Minerals 1.6 Sheffield Resources 4.7 2.50 World Titan
Slide 19: Donald's Position & Fit
Donald’s Position & Fit For personal use only Comments Major Suppliers Major • 8% world supply of Zircon and 4% of Ti02 TiO2 units (6.5Mt) Zircon (1.5Mt) India Others • 80% of revenue from high Iluka QIT (Rio 80%) 2% 13% Kenmare 2% 9% Iluka value materials (Zircon and 3% QIT (Rio 80%) BeMax 4% 39% R
Slide 20: Market Dynamics
Market Dynamics For personal use only Short Term Long Term • Outlook for pricing has deteriorated • Producer inventories have increased • Producers managing production to limited further inventory build • Outlook for Ti02 is better than zircon • Downstream inventories remain low
Slide 21: Market Dynamics
Market Dynamics For personal use only Short Term Long Term • Fundamentals underlying strong zircon demand growth expectations, in particular in China, remain intact • Global zircon production will decline unless new resources are brought on stream • Titanium markets to grow 40-50% by 2020 • Growth t
Slide 22: Conclusion
For personal use only Conclusion 22
Slide 23: The Astron Value Proposition
The Astron Value Proposition For personal use only Extensive history Massive resource Well advanced in Chinese base path to marketplace – production 25 year record Major Permits in place with Active mineral Robust long term Understand key sands import and product demand requirements of trading busin
Slide 24: For further information please contact
For further information please contact For personal use only Simon Peters Development Manager Email: simon.peters@donaldmineralsands.com.au Tel: +61 4 08502248 Website: www.astronlimited.com 24