Investor Presentation | Diggers & Dealers Mining Forum 2017
Scoping study indicates a compelling investment case...
➤ Study confirmed globally significant scale and compelling
financial metrics
Parameter
Scoping Study Material Assumptions and Outcomes
➤ Targeted SOP production of 370,000tpa over a 20 year life
➤ Development capex of US$259 million, includes US$105
million of indirects and contingency
Potassium Recovery
SOP Production Rate
➤ Total FOB cash cost of US$256/t, provides an excellent
operating margin at current prices of US$500/t
➤ Pre-Feasibility Study in progress
Investor Presentation | Diggers & Dealers Mining Forum 2017
agrimin
Unit
Value
Development Period
months
24
Operating Life
years
20
Brine Extracted Over Operational Life
GL
1,330
Annual Brine Extraction Rate
GL
66.5
Potassium Concentration
mg/L
3,603
%
69.3
tpa
370,000
Average Total Cash Cost
US$/t FOB
256
Average All-In Sustaining Cash Cost (Exc. Royalties)
US$/t FOB
277
Development Capital Cost (Inc. Contingency of US$52m)
US$m
259
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1.
2.
3.
Development capital cost includes working capital, EPCM, owner's costs and a 25% contingency applied to all line items
Average total cash cost is on a free-on-board (FOB) basis, including mine gate costs, transportation and ship loading costs
Average total cash cost is based on drying, compacting and glazing all SOP production
4.
5.
Average all-in sustaining cash cost does not include royalties as no income projections have been disclosed
Potassium recovery is the estimated overall recovery rate achieved through the ponds and process plant
6.
USD/AUD exchange rate of 0.75 has been used to convert Australian dollar amounts to US dollars
7.
8.
Potassium content can be converted to SOP using a conversion factor of 2.23 (i.e. SOP contains 44.87% Potassium)
Cost estimates have a ±35% level of accuracy
9.
Information that relates to the Scoping Study has been extracted from the Company's ASX Release entitled Positive Scoping
Study for the Mackay SOP Project released on 23 August 2016
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