Metro Mining Limited · ASX:MMI
Metro Mining — 121 Mining Investment Hong Kong 2016
16 slides from Metro Mining's conference presentation, Oct 20, 2016
Slide 1: 121 Mining Investment – Hong Kong
For personal use only 121 Mining Investment – Hong Kong ASX : MMI| October 2016
Slide 2: Compelling Investment Proposition
Compelling Investment Proposition For personal use only Positive fundamentals for bauxite Simple DSO project, well located in Cape York’s world class bauxite province Production expected 2018 Low CAPEX, high margins, excellent economics Binding Offtake with Xinfa Group signed - 7Mt* over 4 year term
Slide 3: Achievements Over Past 12 Months
Achievements Over Past 12 Months For personal use only Metro has been Rapidly Advancing Bauxite Hills 1 5 Off-take MOU with Xinfa Transhipment Solution 2 6 DFS for 2Mtpa* Strategic Stake in Gulf Secured 3 7 Native Title & Land Access EIS Submitted 4 8 PFS for 4Mtpa** Greenstone Financi
Slide 4: Strategic Financing with Greenstone Resources
Strategic Financing with Greenstone Resources For personal use only Cornerstone Equity Investment at Significant Premium to Market Specialist metals & mining private equity fund Established by former senior JP Morgan and Xstrata executives in 2013 About Significant in-house technical expertise
Slide 5: A Proven Team
A Proven Team For personal use only Metro’s Board & Management Team have Successfully Developed & Operated over 30 Projects Globally Key Team Members Stephen Everett Chemical engineer with over 40 years experience in resources and construction Chairman Formerly Chairman of BeMaX Resources Over
Slide 6: Bauxite is the Primary Ore of Aluminium
Bauxite is the Primary Ore of Aluminium Key Ingredient for Manufacturing Aluminium For personal use only 4-6 tonnes 2 tonnes 1 tonne bauxite = alumina = aluminium Key Bauxite Value Drivers Metro Mining Ltd Grade Alumina content ranges from 30% - 65% and silica ranges from 2% - 30% Alumina 50-54 % Si
Slide 7: China Seaborne Market Driving Demand
China Seaborne Market Driving Demand For personal use only Structural Change due to Coastal Refining and Declining Reserves (<10 Years) Driving Strong Chinese Demand for Imported Bauxite China Bauxite Demand (by 2015 Capacity Mtpa) China Bauxite Imports (Mt) ~7% CAGR for next 15 years 147 Inner Mong
Slide 8: Location Provides Brand & Value Driver
Location Provides Brand & Value Driver For personal use only Located 95km North of Weipa with ready access via the Skardon River Weipa is a world renowned and high quality bauxite province Adjacent to historic kaolin mining operation Compact site, undemanding terrain, easy access to ocean for
Slide 9: Operational Simplicity
Operational Simplicity For personal use only Conventional Mining and Transportation Techniques clear vegetation & remove overburden return overburden & replace topsoil - then revegetate Mining strip mine bauxite Overburden (~0.5m) DSO Bauxite Horizon (~1.75m) Ironstone Mottled Zone Haul ore 5-10km t
Slide 10: Transhipment Solution
Transhipment Solution For personal use only Barging and Transhipment Solution to be Provided by Proven Operator Barge Loading Facility (BLF) Adequate water at low tide & accessible from tenements Tugs & ‘Dumb’ Barges Barge capacity of 2,500t - 3,800t depending on tide Key Points TSA previously pro
Slide 11: Increased Production Scenario
Increased Production Scenario For personal use only Significant Scale Benefits Confirmed by PFS* Detailed PFS completed by MEC Mining Key Results Based on DFS for 2Mtpa completed Nov 2015 Steady State Production 4Mtpa 4Mtpa steady state LOM Production 49.1Mt 2Mtpa for years 1 and 2 Mine Life
Slide 12: Signed Off-Take Agreement
Signed Off-Take Agreement For personal use only Binding Bauxite Off-Take Agreement with China Xinfa Group* Xinfa is one China’s largest integrated aluminium companies Four year fixed annual contract tonnage for a total of 7 million tonnes CIF pricing determined subject to agreed percentage of
Slide 13: Strategic Stake in Gulf
Strategic Stake in Gulf For personal use only 39% Stake In Neighbour Provides Multiple Benefits Key Points Off-market takeover offer closed June 2016. Metro is Gulf’s largest shareholder with 39% stake. Gulf has similar reserves & resources to Metro and access to some legacy infrastructure ass
Slide 14: Metro Share Price
Metro Share Price For personal use only Current Share Price Provides Second-floor Entry with Significant Upside 0.160 Ownership in Gulf Near Term Share Price Targets increased to 39% 0.140 $5.6m Equity Raising 0.120 at $0.08/share Greenstone 0.100 Funding at $0.085/share Increased Production Moly la
Slide 15: Corporate & Contact Details
CORPORATE & CONTACT DETAILS For personal use only Attractive Fundamentals, High Quality Project with Proven Team focused on Delivering Shareholder Value KEY CONTACT DETAILS Simon Finnis Chief Executive Officer Metro Mining Limited Email: [email protected] Tel: +61 7 3009 8005 Mob: +61 418 6
Slide 16: Disclaimer
For personal use only Disclaimer Statements and material contained in this Presentation, particularly those regarding possible or assumed future performance, production levels or rates, commodity prices, resources or potential growth of Metro Mining Limited, industry growth or other trend projection