Agrimin Limited · ASX:AMN
Agrimin — Noosa Mining Conference 2023
22 slides from Agrimin's conference presentation, Jul 20, 2023
Slide 1: Developing a Tier 1 SOP asset to sustain global food production
AGRIMIN LIMITED For personal use only Developing a Tier 1 SOP asset to sustain global food production Noosa Mining Conference | July 2023 ASX: AMN
Slide 2: Important notices and disclaimers
Important notices and disclaimers Nature of Document Competent Person Statements This presentation has been prepared as a summary only, and does not contain all information about Agrimin The information in this presentation that relates to Exploration Results for the Mackay Potash Project is based o
Slide 3: Agrimin provides unrivaled exposure to potash
Agrimin provides unrivaled exposure to potash Developing the world’s leading Sulphate of Potash (SOP) asset For personal use only Committed to maximising shareholder value Focused on disciplined development and retaining leverage to record potash prices 100% ownership of a Tier 1 asset in WA Mackay
Slide 4: Project highlights
Project highlights A world-class Project ownership potash project 100% portfolio For personal use only Largest SOP development outside of Africa in WA 450ktpa Lowest global forecast total cash cost US$159/t FOB Outstanding DFS results1 $1bn NPV & 21% IRR (post-tax) Binding offtake for 70% of product
Slide 5: The premium potash fertiliser
The premium potash fertiliser SOP is essential for high value crops and trades at a substantial price premium Sulphate of Potash (SOP) For personal use only Current Price1 • Chloride-free source of potassium and sulphur US$630/t • Essential for high value, chloride intolerant crops such as fruits, v
Slide 6: SOP prices remain at record highs
SOP prices remain at record highs Global prices support new SOP project developments 5 Year SOP Price History2 For personal use only • Current global SOP prices are approximately US$630/t 1400 • Agrimin’s DFS1 was prepared using a long-term flat 1200 SOP price of US$500/t FOB Wyndham 1000 • Supply c
Slide 7: Tier 1 offtake partners
Tier 1 offtake partners Binding long-term offtakes secured for 70% of planned production SOP Demand by Region (% of ~7Mt Global Market)2 For personal use only Agrimin’s Offtake Book1 Europe 17% 115ktpa LatAm & Africa China North 62% 5% Middle America 3% East 150ktpa 50ktpa Southeast China 1% 1% USA
Slide 8: Detailed and differentiated feasibility work
Detailed and differentiated feasibility work Over $50m invested to date For personal use only • Industry's most extensive DFS program completed in July 2020, including: – 2 years of long-term trench pumping at 22 representative sites across Lake Mackay – 1½ year pilot evaporation trial on Lake Macka
Slide 9: Lake Mackay is a Tier 1 potash deposit
Lake Mackay is a Tier 1 potash deposit A unique potash opportunity Ore Reserves for Australian SOP Projects2 For personal use only • 20Mt contained SOP1 = Australia’s largest SOP Ore Reserve and the world’s largest undeveloped 25 potash-bearing salt lake • 2,815mg/L potassium = high-grade Ore Reserv
Slide 10: Large SOP deposits are very rare
Large SOP deposits are very rare • Lake Mackay is a globally Country strategic Forecast asset Primary SOP Production Rates of Projects Being Developed1 Company For personal use only Colluli 472ktpa2 Lake Mackay 450ktpa3 Kumpupintil Lake 407ktpa Lake Sevier 215ktpa2 Lake Way 200ktpa4 Lake Wells 135kt
Slide 11: Industry-leading renewables penetration
Industry-leading renewables penetration Supporting the global transition to net zero emissions Scope 1 and 2 Emissions For personal use only • Site power station has a modelled 84% renewable energy penetration rate Site power station1 • Exceptional wind resource with low seasonal variability defined
Slide 12: Efficient and low-cost salt harvesting
Efficient and low-cost salt harvesting Conventional technology to drive industry-low operating costs For personal use only • Raw potash salts to be fed directly to the processing plant via wet harvesters • Wet harvesters will deliver major cost benefits, including: – Powered by reticulated renewable
Slide 13: Innovative haulage solution
Innovative haulage solution Alliance with proven bulk logistics operator • Mine-to-port haulage to be provided by Newhaul Bulk, a JV between Agrimin and WA trucking specialist1 For personal use only • Haulage JV will deliver major cost savings and reduce risk over the Project’s 40-year life • Newhau
Slide 14: Fully integrated port solution
Fully integrated port solution Mine-to-ship logistics chain to minimise handling For personal use only • Port infrastructure to be built on freehold land strategically located at Wyndham Port • SOP will be transported by a fleet of purpose-built road trains to a dedicated storage facility • SOP will
Slide 15: Next steps
Next steps Environmental approval is on the critical path to development For personal use only • Based on statutory guidelines the indicative timeline for environmental approval is late 2023 • Front End Engineering Design works have advanced with multiple work streams underway • Project financing ac
Slide 16: Working closely with Traditional Owners
For personal use only Working closely with Traditional Owners A project of both local and national significance • Native Title Agreement with the Kiwirrkurra People, the native title holders of the land at the Mackay Potash Project1 • Extremely strong long-term support from Traditional Owners for th
Slide 17: Strong Indigenous engagement
Strong Indigenous For personal use only engagement Creating value for all stakeholders • Agrimin is committed to creating local jobs and delivering sustainable economic opportunities for Traditional Owners • The Project will create approx. 200 full-time jobs and an additional 800 jobs through the re
Slide 18: Corporate snapshot
Corporate snapshot Board of Directors Capital Structure (19 July 2023) Market cap. Share price (ASX: AMN) For personal use only Brad Sampson Richard Seville Mark Savich Alec Pismiris $58m $0.20/share Non-Executive Director Non-Executive Chair CEO & Executive Director Non-Executive Director & Co. Sec
Slide 19: Contact
Contact Office contact: For personal use only 2C Loch Street Nedlands WA 6009, Australia T: +61 8 9389 5363 E: [email protected] ABN 15 122 162 396 Investor relations: Mark Savich Chief Executive Officer T: +61 8 9389 5363 E: [email protected] Media contact: Michael Vaughan Fivemark Partners
Slide 20: Appendix 1. Mineral Resource & Ore Reserve
Appendix 1. Mineral Resource & Ore Reserve Drainable Porosity Mineral Resource Estimate1 (JORC Code 2012) Measured & Indicated Resource Aquifer Inferred Total Mineral Resource Measured Indicated Total Volume (Mm3) For personal use only Zone K (mg/L) SOP (Mt) K (mg/L) SOP (Mt) K (mg/L) SOP (Mt) K (mg
Slide 21: Appendix 2. Information sources – production rates
Appendix 2. Information sources – production rates Company Source Source Date Comments Danakali Ltd (ASX: DNK) ASX announcement titled “FEED Completion” 29 January 2018 Production rate of 472ktpa of SOP is based on Module I development (page 2) plan. Module II is expected to commence in year 6 of th
Slide 22: Appendix 3. Information sources – Ore Reserves
Appendix 3. Information sources – Ore Reserves Project / Company Source Source Date Comments Lake Mackay ASX announcement titled “Agrimin to be the 21 July 2020 Total Ore Reserve of 20.0Mt of SOP comprises 3.7Mt in the Proved World’s Lowest Cost SOP Producer” (page 6) category and 16.3Mt in the Prob