Elevate Uranium Ltd · ASX:EL8
Elevate Uranium — Marenica Energy — Melbourne Resource Roundup 2010
21 slides from Elevate Uranium's conference presentation, September 2010
Slide 1: Marenica Uranium Project
Marenica Marenica EnergyUranium LimitedProject September 2010 Melbourne Resource Roundup 2010
Slide 2: Disclaimer and Competent Person's statement
Disclaimer and Competent Person’s statement Disclaimer This presentation has been prepared by Marenica Energy Limited (MEY) for general information purposes only. The presentation is not and should not be considered as an offer or invitation to subscribe for or purchase any securities in MEY, or as
Slide 3: Marenica Uranium Project - Right Time, Location and Project
Marenica Uranium Project - Right Time, Time Location and Project Uranium – Attractive Industry Dynamics ¾ 2015 Spot price predicted to move to US $60-70. ¾ Growth from China, India, Russia, Korea and Japan. ¾ Production not keeping up with forecasts . Namibia - Premier Uranium Mining District ¾ Mode
Slide 4: Company Snapshot
Company Snapshot Capital Structure Shareholder Profile Minorites <3%, 75.53% Share price - A$ 0.08 AREVA, 10.45% O di Ordinary Shares Sh - 455M Options - 54M Fully Diluted - 509M BTV Mining Malacca, 3.63% NEFCO , 6.04% Topp 20 - 67% Nom, 4.35% Market Capitalisation (U)- A$36M Exchanges Debt - nil •A
Slide 5: Directors and Management
Directors and Management - Strong technical background John A Young - Chief Executive Officer,Geologist - geologist l i t with ith + 20 years experience i andd hhas worked k d on a wide id variety i t off mineral i l andd resource projects. j t - served in senior management and operational positions
Slide 6: Location - Namibia
Location - Namibia Trekkopje Mine Areva Atlantic Ocean Swakopmund Walvis Bay J. MARENICA E N E RGYumiteo Valencia Project Forsys Metals ~ Etango Project Bannerman Rossing Mine Rio Tinto Rossing South Project - Extract Mine - Paladin @ Kilometers Tumas Project Deep Yellow Langer Heinrich | /
Slide 7: Overview
Overview Scoping Successful metallurgical test work U3O8 JORC ~ 85Mlbs 16 new targets Targets MA5/MA7 confirm further resource extensions AREVA owns a strategic t t i 10.4% interest 7
Slide 8: Geology and Mineralisation
Geology and Mineralisation Large palaeo- channel system Uranium sourcedd from f Ch Channel l Granites to the east Bedrock Calcrete/sed hosted deposit Flat lying Two styles of secondary mineralisation Carnotite 10 Kms dominant min 8
Slide 9: Exploration History
Exploration History Goldfields of SA 1976-1982 • 2222 RAB holes for 32 000 32,000m MEY 2006-2009 • 1573 RC holes for 48,200m • Gamma-probing of Goldfields drill- holes (~14,000m) • Diamond Drilling for Metallurgical •Goldfields Drill-hole samples •MEL Drill-hole 2007-2008 9 •MEL Drill-hole 2009
Slide 10: Resource Status
Resource Status MEY 2010 • Updated resource (SRK Consulting) •Indicated Area • 226.6 Mt @ 173ppm 85Mlbs U3O8 • Includes 30.6Mt @ 175ppm for an Indicated 12 Mlbs U3O8 • And 196MT@169 ppm for an inferred 73Mlb U3O8 73Mlbs • Metallurgical Testwork 9Potential to increase resource beyond 100 million poun
Slide 11: Mining Optimisation – Preliminary
Mining Optimisation – Preliminary Bulk Mining - Heap leaching (50ppm COG) O production Ore d ti 180 Mt Grade 138 ppm Waste movement 438 Mt Strip ratio 2.4 Contained U3O8 55 Mlb Recovered U3O8 43 Mlb Selective mining - Tank leach (80ppm COG) Ore production 83 Mt Grade 195 ppm Waste movement 326 Mt St
Slide 12: Metallurgy ANSTO June 2010
Marenica Metallurgy ANSTO June 2010 9 U upgrade by scrubbing and sizing, 9 90% of uranium into a mass pull of 37% 9 Easily processed – carnotite mineralogy 9 No significant milling required 9 Leaches effectivelyy in carbonate solution,, 9 Recoveries up to ~ 95% 9 Tank leach scenario ~ 88% recovery 9
Slide 13: Preliminary Results – Scoping Work
Preliminary Results – Scoping Work 9 Resource to reserve potential ~ 55-60Mlbs 9Average grade 140ppm 9 Positive economics for large Heap Leach 9ON/Off Leach Pads 9 Bulk Mining methods for 10Mtpa (base case) 9 Mine life up to 18 years 9Assumed Metallurgical recoveries 78% 9 Alkaline leach followed by
Slide 14: Prefeasibility Level test work
Prefeasibility Level test work Metallurgical Optimisation ¾Agglomeration and % upgrade ¾Leach characteristics ¾Reagent and water consumption Mi i Optimisation Mining O ti i ti ¾Review Miningg costs ¾New Mining Model →$$ New $$ Economic Model 14
Slide 15: Road to production
Road to production 2009 Drilling ¾Establishment of resources 2014 Production ¾Preliminary metallurgy 2010 Scoping study ¾Ore sampling ¾Lab tests Tank L vs Heap L 2013/14 Construction C t ti ¾Positive Economic model Uranium ¾First column tests Prices & Demand 2011 Feasibility studies ¾Resource to Res
Slide 16: Marenica exploration 2010
Marenica exploration 2010 16 16
Slide 17: Marenica exploration 2010
Marenica exploration 2010 MA1 MA2 5 Kms 9 EM Targets MA1 and MA2 in the western Marenica paleochannel 9 RC drilling planned 17
Slide 18: Target MA3 - Geluk
Marenica Target MA3 - Geluk 18 18
Slide 19: Exploration Success at MA5
Exploration Success at MA5 19 19
Slide 20: Target MA7
Marenica Target MA7 • Major channel hosts Spitzkopje deposit – 12Mlbs and tributary to Trekkopje • Track-etch Radon Survey • RC Drilling 2008 – 600m • Air-core drilling 2010 – 50 to 100m 9 6.4m @ 232ppm U3O8 (MAC347) 9 6.5m @ 119ppm U3O8 (MAC395) 9 7.0m @ 177ppm U3O8 (MAC388) • Ground EM survey and
Slide 21: Marenica Project – The Next 12 Months
Marenica Project – The Next 12 Months • Continue to expand resource base + 100Mlbs • Optimisation study is underway on the Marenica Deposit • Advance Regional drilling on emerging Targets MA1 to MA7 • Continue to focus on signing a Strategic Partner • Continuing evaluation of corporate and project o