ASTRON LIMITED (AU) SENEGAL MINERAL RESOURCES (SN)

Transcription

1 ASTRON LIMITED (AU) SENEGAL MINERAL RESOURCES (SN) SENEGAL MINERAL SANDS LIMITED (HK) FY12 Budget Book 1

2 Disclaimer The information presented herein relates to matters that are forwardlooking and contain projections and statements that involve risks and uncertainties associated with our business activities. Actual future results could differ materially from these projections. You rely on this information at your own risk and Senegal Mineral Resources assumes no duty to update should expectations change. This document is the property of Senegal Mineral Resources. It is delivered on the express condition that it is not to be disclosed, reproduced in whole or in part, or used for any purpose other than evaluation of Senegal Mineral Resources. No right is granted to disclose any information contained in this document. 2

3 Senegal Senegal Mineral Resources 3

4 Introduction Senegal Mineral Resources November 2004 : Carnegie Corp. Ltd. acquires exploration permit (740km²) for HMS in Casamance, Southern Senegal May 2006 : Carnegie assigns the Mining Convention to Coast Resources Ltd. (wholly owned subsidiary of Carnegie) and Astron Ltd. becomes a 50% joint venture partner September 2007 : Coast Resources/Astron JV renew the exploration permit (550km²) December 2008 : Astron acquires Coast Resources and as such 100% interest November 2011 : Astron renew the exploration permit (410km²) Completion of requirements for small mining licence application for an identified Probable Ore Reserve of 4.65Mt with an ore grade of 10.91%HM using ultimate pit optimisation, comprising Ilmenite, Zircon, Rutile and Leucoxene. 4

5 Introduction - Location World class Grange Côte Project (MDL, Australia) 1,330 2% HM Sud RufisqueAreaIdentified high grade deposits>1 Mt of HM contained Gambian Deposits (Astron/Carnegie mining JV in ) Originally % HM Senegal Mineral Resources Reserve % HM 5

6 Introduction - Location 6 km Niafarang Project 69 km 6

7 Niafarang Project Consideration NPV Revenue EBIT PV Income USD92,8 Million USD234 Million USD162 Million USD116 Million LOM 3 years Probable Reserve 4.65 Mt Probable Ore Grade 10.91% Recovery ton Rutile 5% Leucoxene < 1% Rutile 2% Leucoxene < 1% Illmenite 38% Zircon 15% Zircon 56% Illmenite 82% Average price Illmenite USD274/t Zircon USD2254/t Rutile USD1288/t Leucoxene USD 443/t 7

8 Niafarang Project Consideration 10% Government free shareholding 25% Fully paid shareholding reserved for Senegalese investors 3% Mining royalty Continued social responsibility program funding Continued relationship with sustainable development project Senegal Mineral Resources (SMR) registration imminent - Niafarang Project license holder Continued exploration covering an area of 410 km² 8

9 Geology Exploration Auger and hydraulic drilling Aero Magnetic and Radiometric data X-ray Fluorescence Spectrometry(XRF) results TiO2 Fe2O3 SiO2 Al2O3 Cr2O3 ZrO2 P2O5 U 500ppm Th V2O5 Nb2O5 CaO % % % % % % % ppm ppm % % % Zircon Rutile Illmenite

10 Geology Exploration Program Area 1 Prominent geophysical anomalies, further extension to Niafarang deposit Area 2 Low dune area auger drilling Area 3 Low dune area at the Casamance river month Abéné H 15% - L 3% Kafountine H 14% - L 5% Area 4 Low lying area auger drilling lines across sand dunes and geophysical anomalies Area 5 Untested area, boat reconnaissance and auger across low sand dunes Diebéreng H 4% - L 2% 10

11 Zircon ZIRCON APPLICATIONS Fused zirconia Zirconium chemicals Zirconium metal Milled zircon Chemical purification Zircon from chemical processing Zirconia Products Refractories Ceramic pigments Glass Gemstones Catalysts Oxygen sensors Structural ceramics Electronic ceramics Zirconium Chemicals Waterproofing Inks Paper products Protective coatings Leather tanning Paint dryers Deodorants Toothpaste Furnace lining Zirconium Metal Highly resistant to corrosion Reactor tubing Heat exchangers Pump casings Pump impellers Structural vessels Surgical tools Zircon Ceramics TV glass Castings Refractories Abrasives 11

12 Titanium T1O2 APPLICATIONS Ilmenite Leucoxene Rutile Titanium slag Synthetic rutile Titanium tetra chloride Upgraded slag Titanium metal Titanium Products Refractories Pigments Glass Welding rods Titanium Chemicals Inks Paper Coatings Paint pigment Deodorants Toothpaste Cosmetics Plastics Titanium Metals Aerospace Rotors Impellers Fasteners Automotive Medical Military Spectacles Sports Equipment 12

13 Health and Safety - Policy Health and Safety is of the highest priority and cannot be compromised. Our Health and Safety Policy seeks to create a work environment that is conducive to high levels of safety performance through demonstrated commitment and safe behaviour. Our Health and Safety objectives are; prevention of all accidents, injuries, occupational health risks and illness; compliance with statutory requirements and industry codes, all these activities to be conducted with due consideration for the protection and wellbeing of all our employees, contractors and visitors. 13

14 Environmental - Policy Senegal Mineral Resources is committed to the practice and management of its business in a manner compatible with the broader goals of the social, economic and natural environment and to the integration of environmental management into all its activities. 14

15 Environmental Social Responsibility Tribal/Cultural/Heritage Land use Social environment Social & professional interaction Social development Programme Monthly infrastructure development Student bursaries Medical & clinic services Education and training HIV & AIDS Substance abuse Health & hygiene Environmental responsibilities & awareness 15

16 Environmental Sustainable Development Senegal Mineral Resources Sustainable Development Legacy To develop the Fruit Growers Association sourcing and processing fruit from community farms into an enterprise able to tap into the lucrative global market as well as supply the local markets Give more than 3,000 small community farmers market access Collect 4,000 tons of fruit per year for the juicing line 2,000 tons of fruit per year for the drying programme The world has reached 7 billion people in November

17 Environmental Sustainable Development Community Cooperative S M R Grant Funding (community free-hold) Strategic investors Current farms New farms Logistics and nursery F U N D S Grant Funding (community free-hold) Strategic investors Off-take partners Fresh fruit Cold storage room Pack House Drying plant Ripening room Juice concentrator International market Local market Concentrate reduction Dried fruit repackaging House hold Vendor 17

18 Environmental Sustainable Development Using the processing and logistics infrastructure already in place and by adding more products the productive cycle will increase to 9 months per annum 18

19 Environmental Sustainable Development 19

20 Niafarang Project Implementation Environmental & Social SML Application Approval July 2013 Approved EIS & feasibility July 2013 Negotiate T & C July to September 2013 SML Approval Process SML Award Procurement September 2013 Plant Establishment & Equipment September 2013 Construction Commercial & Commission Production December 2013 Full production Export Product March st Product to export March

21 THANK YOU FY12 Budget Book 21