Aura Energy Ltd · ASX:AEE
Aura Energy — Non-Deal Roadshow (January 2014)
27 slides from Aura Energy's roadshow presentation, January 2014
Slide 1: Aura Energy Limited – Developing High Margin Uranium Projects
Aura Energy Limited – ASX: AEE Developing High Margin Uranium Projects • Focussed on Low Cost Long Life Uranium Assets • Strategic World Class Asset in Sweden • Beneficiation Breakthrough - Early Cashflow Project in Mauritania • Project cost focus NOT uranium price focus January 2014
Slide 2: Disclaimer & Competent Persons Statement
Disclaimer & Competent Persons Statement This presentation has been prepared to provide information on Aura Energy Limited’s projects. It is not intended as an offer, invitation solicitation or recommendation with respect to the purchase or sale of any securities. This presentation should not be rel
Slide 3: Aura Energy Summary
Aura Energy Summary • Aura has established a significant uranium resource base • Häggån $13.50/lb cash costs incl credits - Scoping Study • C1 costs $25-35/lb assuming zero credits • Reguibat beneficiation increases grade to 2500ppm • Aura’s immediate focus to target early Reguibat cashflow • Comple
Slide 4: Two Exceptional Uranium Development Projects
Two Exceptional Uranium Development Projects Häggån – Sweden (100%) Reguibat – Mauritania (100%) 803 Mlbs U3O8 Inferred Resource • 49 Mlbs U3O8 Inferred Resource 2nd largest U resource globally • Surface mining to 3-4m thick Large scale open pit mining • Beneficiation upgrade 5-9 times Bio Heap Leac
Slide 5: Reguibat Project – Moving Aura to Cashflow
Reguibat Project – Moving Aura to Cashflow • Shallow easily mined 49 Mlb calcrete uranium resource • Beneficiation results in; – 70 Mt @ 335ppm transforming to 15Mt @ ~2500ppm – Significant reduction in process plant footprint – Capital and operating costs greatly reduced • Testwork confirmed upgrad
Slide 6: Drilling confirmed additional 1.8km2 of mineralisation
Drilling confirmed additional 1.8km2 of mineralisation Drilling confirmed additional 0.6km2 of Open to south & north mineralisation 11.4km2 of anomalies not drill tested Drilling confirmed additional 1.0km2 of mineralisation
Slide 7: Shallow Trenching Reveals Mineralisation
Shallow Trenching Reveals Mineralisation Free dig truck and shovel mining High grade areas identified for starter pits Uranium Mineralisation - Carnotite 7
Slide 8: Reguibat Exploration
Reguibat Exploration 8
Slide 9: Reguibat Beneficiation & Leach Results
Reguibat Beneficiation & Leach Results Reguibat beneficiation; • Removed of 83% mass whilst retaining 90% of the uranium • Average beneficiated grade of 1771 ppm U3O8 - 9 samples • 1/3 samples returned grades of between 2700 to 3400 U3O8 • The upgrade factor was 5 to 9 times The first leach tests pr
Slide 10: Implications for Reguibat Project
Implications for Reguibat Project The Reguibat project concept; • High volume shallow mining potentially using scrapers • Approx 200 tph (1.5-2.0 Mtpa) • Small relocatable beneficiation plant • Small central leach facility ~ 50-60 tph • Produce 1.0-1.3 Mlbs U3O8 per year • Maintain smallest possible
Slide 11: Reguibat Work Programme
Reguibat Work Programme • Ongoing beneficiation testwork • Scoping Study Completion - H1 2014 • Commence Feasibility Studies – H2 2014 • Commence permitting process 11
Slide 12: Häggån Project – Long Life, High Margin U3O8
Häggån Project – Long Life, High Margin U₃₃O₈₈ Strategic European based uranium deposit - 2nd largest globally 803Mlbs U₃₃O₈₈ in Inferred Resources Completed Independent Scoping Study Flat lying resource amenable to large scale, open pit mining Bio heap leaching provides exceptionally low processing
Slide 13: Häggån - Excellent Project Location
Häggån - Excellent Project Location Häggån has abundant power & water with good rail, air and road links Häggån is located in the Berg Commune, a large rural community Häggån landscape is largely forest and swamp Berg Commune population is 7,500 Employment important factor for region and families 13
Slide 14: Häggån Exploration
Häggån Exploration Pyrite 14 Black Schist with Quartz
Slide 15: Thick, sheet-like deposit provides large resource
Thick, Sheet-like Deposit Provides Large Resource Thick, sheet-like deposit provides large resource multiple stacked thrust sheets – upside volumes large Similar geology to non-deformed Alum Shale in the south of Sweden good mining characteristics similar geology to non-deformed Alum Shale in the so
Slide 16: Häggån - By-Product Credits
Häggån - By-Product Credits Giant multi-metal deposit: U3O8 (100ppm Tonnes U3O8 Mo V Ni Zn Cut-off) (Bt) (ppm) (ppm) (ppm) (ppm) (ppm) Inferred 2.35 155 207 1,519 316 431 Uranium U₃₃O₈₈ 803 Mlbs Nickel – 1,640 Mlbs Zinc – 2,230 Mlbs Molybdenum 1,070 Mlbs Other recovered metals equate to ~ 300Mlbs U₃
Slide 17: Bio Heap Leaching Provides Relatively Low Capex
Bio Heap Leaching Provides Relatively Low Capex Bacterial leaching provides significant project benefits Unique material with pyrite and no calcite – perfect for bugs Leaching process uses natural bacteria found in the ore Up to 85% uranium extraction confirmed over bench tests, 0.5mtr & 2.0mtr colu
Slide 18: Large Scale Crib Test On-Site, Local Conditions
Large Scale Crib Test On-Site, Local Conditions March 2005. 2m x 2m x 8m High (Heap Height) GTK crib test at Outokumpu town 18 Source GTK
Slide 19: Häggån – Low cost, Low risk, Mining Project
Häggån – Low cost, Low risk, Mining Project APPROX Independent Studies: MTPA CAPEX* U3O8 Mo Ni Pit shell contains >741 Mt $m Mlbs Mlbs Mlbs 30 Mtpa, 25 yr life 3.5 150 1.0 0.4 1.7 7.8Mlbs U3O8 pa 5 190 1.4 0.6 2.4 Low mining costs - strip ratio of 0.75:1 7.5 250 2.1 1.0 3.6 Operating cost$13.50/lb.
Slide 20: World’s Lowest Cost Producer At 30 Mtpa Scale
World’s Lowest Cost Producer At 30 Mtpa Scale Independent Studies: pit shell contains >741 Mt 30 Mtpa, 25 yr life 7.8Mlbs U3O8 pa low mining costs - strip ratio of 0.75:1 Operating cost$13/lb incl by product credits Scoping study CAPEX approx $550m Smaller scales to be considered (This compares esta
Slide 21: Häggån Work Programme
Häggån Work Programme Phase 1 (10-12 Months) Optimisation column leach tests - determine large scale test conditions Conduct environmental baseline studies Progress permitting and community programs Phase 2 (12 Months) Large scale crib test - extraction parameters for feasibility studies Upgrade por
Slide 22: Sweden – a top mining destination
Sweden – a top mining destination Nuclear power provides 50% of national electricity Nuclear reactors Low corporate tax rate (22%) & in Europe royalties Strong mining History & culture Europe’s largest copper & iron ore producer Europe needs long term uranium supply 22
Slide 23: Lake Maitland deal as a valuation for Reguibat
Lake Maitland deal as a valuation for Reguibat • Toro Energy purchased Mega's Lake Maitland deposit in August 2013 • Toro paid $37 million in an all scrip deal • Lake Maitland 28.7Mt @ 376ppm U3O8 (24Mlbs) • This equates to A$1.54/lb. • Aura has 66 Mt @ 334ppm U3O8 at Reguibat - similar grade, but t
Slide 24: Corporate Snapshot
Corporate Snapshot Share price: 4.4c (21/1/14) Market capitalisation: A$8.1M Cash position: $1.3 M (31/9/13) Shares: 183 million Code: AEE (ASX) Board Peter Reeve Non-Executive Chairman Bob Beeson Managing Director Brett Fraser Non-Executive Board Member Jules Perkins Non-Executive Board Member
Slide 25: Aura Energy - Summary
Aura Energy - Summary Aura committed to progressing project developments High margin projects imply significant value Positioned well for development and uranium price recovery Immediate focus to progress Reguibat studies – near term cash flow Reguibat’s beneficiation attributes a game changer on ec
Slide 26: Häggån Resource Statement
Häggån Resource Statement Category Cutoff Size U3O8 Mo V Ni Zn U3O8 ppm U3O8 Bt ppm ppm ppm ppm ppm Inferred 100 2.35 155 207 1,519 316 431 Competent Persons for Häggån Resource Mr. Simon Gatehouse takes responsibility for estimation of uranium and associated metals in the Häggån Resource. This work
Slide 27: Reguibat Resource Statement
Reguibat Resource Statement Category Lower Cutoff Tonnes Grade Contained U308 ppm U3O8 Mt ppm U3O8 Mlb Inferred 100 66.0 334 49.0 Competent Persons for Reguibat Resource The Competent Person for the Reguibat Resource estimation and classification is Mr Oliver Mapeto from Coffey Mining. The Competent