Corporate Presentation
Symposium Forum
November 2013

www.altonamining.com
ACN 090 468 018

altonamining.com

ASX: AOH
FSE...
Disclaimer and JORC Compliance
What You Should Know


Find out more - This presentation is being used as a presenter’s ai...
We Believe in Copper
A sustained step change in copper markets in 2005
Post 2005 price averages: US$7,265 (US$3.30/lb)

$8...
Growing Copper Production and Optionality
Outokumpu Project

Roseby Project

Underground copper-gold mine in Finland

Deve...
Corporate Snapshot
Major Shareholders

Market Status

Australian institutions:

32.0%

ASX (Australia) code:

AOH

Foreign...
Outokumpu Copper Project in Finland

I metre

Massive copper sulphide ore in
development face
altonamining.com

November 2...
Finland is a Leading Mining Destination

Euro zone country with a history of mining and
mining equipment manufacturing, a ...
Mill, Mine and 5 Deposits in Historic Outokumpu
Past or present mine
Resource
Prospect

Keretti mine produced 1Mt
copper a...
Kylylahti Underground Mine

All infrastructure in place
altonamining.com

November 2013

9.
Luikonlahti Mill

altonamining.com

November 2013

10.
Mine and Mill Movie

altonamining.com

November 2013

11.
Robust Quarterly Production Performance
4,000

2.5

3,500

2.3
2.1

3,000
1.9

2,000

1.5

1,500

Tonnes

1.7

1.3

US$ / ...
Altona Among the Best ASX Copper Producers
C1 Cash Cost US$ / lb September Quarter
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50...
Increasing Resources and Reserves

1.60

70000

1.40

60000

1.20

50000

1.00

40000

0.80

30000

0.60

20000

0.40

100...
Kylylahti Mine Open at Depth

Deep drilling underway to expand resources
altonamining.com

November 2013

15.
Outokumpu: Sustainable Growth
PRODUCTION AND GROWING
CASHFLOW

Currently 12 - 13,000tpa Cueq*, 7.6 year
life. Reserve expa...
Roseby Copper Project

Little Eva

Looking north-west
from Green Hills
altonamining.com

November 2013

17.
3 Elements to the Project
Little Eva: A Development Ready Project
Fully permitted with DFS completed on a simple
39,000tpa...
A Strategic Asset

altonamining.com

November 2013

19.
May 2012 Definitive Feasibility Study


Bankable DFS by GR Engineering
Services



Large, simple and well drilled
resour...
DFS Update Pending


DFS costs were top of market
−

−


Mining contractor rates down
from DFS estimates
Engineering mar...
What Next for Little Eva?


Altona needs a partner to
develop Little Eva



Altona pursuing partnering,
sale and corpora...
The Altona Advantage

PRODUCTION & CASHFLOW

De-risked copper-gold-zinc mine and mill
in Finland with strong growth profil...
APPENDICES
2011 was a turbulent year,
2012 will be Altona’s year to shine

Termite mounds watching summer
storms at the Bl...
Little Eva is a Large Deposit



Drilled up to 300m deep (511 drillholes,
76km)



Large bulk IOCG style deposit simila...
Luikonlahti Mill Key Facts
Interior Luikonlahti Mill Hall

Status

91.5% copper recovery.
71.5% gold recovery.

Products

...
Kylylahti Mine Key Facts
Status

600,000tpa, expansion under
consideration

Mine

5.5m x 5.5m decline tunnel,
longhole ope...
Outokumpu Guidance FY2014
Metric

Guidance Range

Ore (tonnes)

570,000 - 625,000

Copper grade (%)

1.50 - 1.65

Copper p...
Altona Overview and Objectives



A profitable 9,000ktpa copper producer at Outokumpu in Finland with
by-product gold, si...
An Experienced Team
Altona Management
Alistair Cowden
Managing Director

Eric Hughes
Chief Financial Officer



Over 30 y...
Top 10 Shareholders (53.6%)
Rank

Shareholder

Country

No. of Shares

%

1

Perpetual Investments

Australia

73,422,491
...
Share Price has Outperformed other ASX Coppers
350
300
250
200
150
100

50
0

Altona

Hillgrove

Ivanhoe

Tiger

OZ Minera...
Roseby Resource Estimates
CONTAINED
METAL

TOTAL
DEPOSIT

Tonnes

Grade

Cu
(%)
COPPER-GOLD DEPOSITS
million

Little Eva
I...
Little Eva Project - Resource and Reserve Estimates
Tonnes
(m)
RESERVES
Proven
Probable
Sub Total
Probable (stockpile)
Tot...
Outokumpu Resource and Reserve Estimates
Deposit
Saramäki
Vuonos
Hautalampi
Riihilahti
Valkeisenranta
Särkiniemi
Sarkalaht...
Telephone: +61 8 9485 2929
Facsimile: +61 8 9486 8700
Email: altona@altonamining.com
www.altonamining.com

altonamining.co...
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Altona Mining Presentation, Investor Roadshow November 2013

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Altona Mining (ASX:AOH) investor presentation at Symposium's Investor Roadshow in Sydney and Melbourne, November 2013. Presentation was given by Altona Mining's Managing Director, Alistair Cowden.

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Altona Mining Presentation, Investor Roadshow November 2013

  1. 1. Corporate Presentation Symposium Forum November 2013 www.altonamining.com ACN 090 468 018 altonamining.com ASX: AOH FSE: A2O November 2013
  2. 2. Disclaimer and JORC Compliance What You Should Know  Find out more - This presentation is being used as a presenter’s aid with 1 information. See Altona’s other periodic and continuous disclosure announcements lodged with the Australian Securities Exchange, which are available at www.asx.com.au or www.altonamining.com, for more information.  Third party information - Altona does not make any representations as to the accuracy or otherwise of third party information, including where projections are given.  Forward-looking statements - Within this presentation there may be certain forward-looking statements, opinions and estimates. These are based on assumptions and contingencies which are subject to change without notice and are not guarantees of future performance. Altona assumes no obligation to update such information.  Taking action - Please undertake your own evaluation of the information in this presentation and contact your professional advisers if you wish to buy or sell Altona shares. Competent Person Statement The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Alistair Cowden BSc (Hons), PhD, MAusIMM, MAIG who is a full time employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Cowden has consented to the inclusion in the report of the matters based on his information in the form and context in which it appears. Copper Equivalence Copper equivalence refers to production only where total revenues are expressed as copper revenues, ie. Revenue ÷copper price. It does not refer to Resources, Reserves or drill results. altonamining.com November 2013 2.
  3. 3. We Believe in Copper A sustained step change in copper markets in 2005 Post 2005 price averages: US$7,265 (US$3.30/lb) $8,811 $7,958 $7,540 $7,126 $6,731 $7,670 $6,952 Today $5,164 $3,684 $2,868 $1,577 $1,558 2001 2002 altonamining.com $1,780 2003 2004 2005 2006 2007 November 2013 2008 2009 2010 2011 2012 2013 YTD 3.
  4. 4. Growing Copper Production and Optionality Outokumpu Project Roseby Project Underground copper-gold mine in Finland Development ready, 40ktpa copper altonamining.com November 2013 4.
  5. 5. Corporate Snapshot Major Shareholders Market Status Australian institutions: 32.0% ASX (Australia) code: AOH Foreign institutions: 20.0% FSE (Frankfurt) code: A2O Share price (12-11-2013): A$0.15 Average daily turnover: 0.5M shares Shares on issue: 532M Market capitalisation: A$80M Debt: US$21M Cash (01-09-2013): A$26M Research coverage: Credit Suisse Board: 8.7% German/Swiss retail: 7.0% Top 20: 57.0% Source: ASX altonamining.com November 2013 5.
  6. 6. Outokumpu Copper Project in Finland I metre Massive copper sulphide ore in development face altonamining.com November 2013 6.
  7. 7. Finland is a Leading Mining Destination Euro zone country with a history of mining and mining equipment manufacturing, a stable tax regime (20.0%) and no royalties. Major miners include Agnico Eagle, Anglo American and First Quantum. altonamining.com November 2013 Altona’s projects are in eastern Finland. Geology is similar to other Archaean and Proterozoic terrains in Australia and Canada. 7.
  8. 8. Mill, Mine and 5 Deposits in Historic Outokumpu Past or present mine Resource Prospect Keretti mine produced 1Mt copper and 1 Moz gold from 1914 to 1989 altonamining.com November 2013 8.
  9. 9. Kylylahti Underground Mine All infrastructure in place altonamining.com November 2013 9.
  10. 10. Luikonlahti Mill altonamining.com November 2013 10.
  11. 11. Mine and Mill Movie altonamining.com November 2013 11.
  12. 12. Robust Quarterly Production Performance 4,000 2.5 3,500 2.3 2.1 3,000 1.9 2,000 1.5 1,500 Tonnes 1.7 1.3 US$ / lb* 2,500 1.1 1,000 0.9 500 0.7 - 0.5 Q3 FY12 Q4 FY12 Q1 FY13 Q2 FY13 By-products as Copper Equivalent Q3 FY13 Copper Q4 FY13 Q1 FY14 C1 Cost 2012/2013 was a ramp up year and EBIT (earnings) were US$18.3 million. * C1 cash cost calculated per Brook Hunt methodology. Cost data during commissioning period not meaningful. altonamining.com November 2013 12.
  13. 13. Altona Among the Best ASX Copper Producers C1 Cash Cost US$ / lb September Quarter 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Altona’s C1 Cash cost calculated as per Brook Hunt methodology. Refer to websites of above companies for their calculation method. Source: September quarterly activities reports of the respective companies, except Hillgrove which is for the quarter ended 31 July. altonamining.com November 2013 13.
  14. 14. Increasing Resources and Reserves 1.60 70000 1.40 60000 1.20 50000 1.00 40000 0.80 30000 0.60 20000 0.40 10000 0.20 0 0.00 Feasibility Study Production depletion altonamining.com June 2012 December 2012 Ore Reserves Cu t November 2013 Copper Grade % 1.80 80000 Copper Tonnes 90000 June 2013 Reserve Grade 14.
  15. 15. Kylylahti Mine Open at Depth Deep drilling underway to expand resources altonamining.com November 2013 15.
  16. 16. Outokumpu: Sustainable Growth PRODUCTION AND GROWING CASHFLOW Currently 12 - 13,000tpa Cueq*, 7.6 year life. Reserve expansion likely, targeting 700,000tpa throughput STRATEGIC ASSET Leverage our mill and competencies in the Nordic region FINANCIALLY STRONG Cash in bank, no net debt and positive cashflow EXPLORATION UPSIDE We control a major historic copper field POTENTIAL FOR COBALTNICKEL REVENUE Storing US$50M of valuable metals in concentrates in dams each year * See Disclaimer. altonamining.com November 2013 16.
  17. 17. Roseby Copper Project Little Eva Looking north-west from Green Hills altonamining.com November 2013 17.
  18. 18. 3 Elements to the Project Little Eva: A Development Ready Project Fully permitted with DFS completed on a simple 39,000tpa copper open pit mine and flotation plant Major Resource Inventory 1.52Mt copper including 0.84Mt copper in deposits within Little Eva Project tenure Exploration • 750km² of exploration tenure prospective for copper, gold and zinc-lead-silver surrounds the Resources. • 800km2 Roseby South JV with Chinalco Yunnan leverages exploration exposure altonamining.com November 2013 18.
  19. 19. A Strategic Asset altonamining.com November 2013 19.
  20. 20. May 2012 Definitive Feasibility Study  Bankable DFS by GR Engineering Services  Large, simple and well drilled resource  Straightforward open pit mining and processing for 11 years  Simple processing route  Quality copper-gold concentrate  Stable, skilled mining jurisdiction  Native title, environmental permits and mining leases all in place  A$252 million NPV  A$320 million capital cost  US$1.70/lb cash cost altonamining.com Ernest Henry Mine Truck November 2013 20.
  21. 21. DFS Update Pending  DFS costs were top of market − −  Mining contractor rates down from DFS estimates Engineering margins down Resource/Reserves − −  Incorporate post DFS drilling at Turkey Creek, Lady Clayre and Ivy Ann Little Eva resource/reserve remodelling Outlook − Lower operating costs − Lower capital costs − Longer mine life (>11 years) altonamining.com November 2013 21.
  22. 22. What Next for Little Eva?  Altona needs a partner to develop Little Eva  Altona pursuing partnering, sale and corporate opportunities that flow from having a large development ready copper asset  China has bought up the Mt Isa area, eg: Shanxi Donghui A$160 million bid for copper miner Inova  Major land positions in Mt Isa A number of Chinese parties and others in the data room altonamining.com November 2013 22.
  23. 23. The Altona Advantage PRODUCTION & CASHFLOW De-risked copper-gold-zinc mine and mill in Finland with strong growth profile COPPER LEVERAGE 1.66Mt (3.7mlbs) copper and 0.76Moz gold in resources STRATEGIC OPTION Little Eva copper-gold deposit nearing decision to build / value realisation STRONG FINANCIALS Cash in bank, no net debt and positive cashflow EXPLORATION UPSIDE We control two major copper fields altonamining.com November 2013 23.
  24. 24. APPENDICES 2011 was a turbulent year, 2012 will be Altona’s year to shine Termite mounds watching summer storms at the Blackard deposit altonamining.com November 2013 24.
  25. 25. Little Eva is a Large Deposit   Drilled up to 300m deep (511 drillholes, 76km)  Large bulk IOCG style deposit similar to Ernest Henry  Strip ratio of 1.8:1 after 15Mt pre-strip  Reserve: 53Mt ore at 0.6% copper, 0.1g/t gold  Additional 6Mt reserves in 3 small satellite pits  15Mt of low grade ore stockpiled and treated at end of mine life  11 year mine life  altonamining.com 1.3km long, 20-370m wide Underground potential November 2013 25.
  26. 26. Luikonlahti Mill Key Facts Interior Luikonlahti Mill Hall Status 91.5% copper recovery. 71.5% gold recovery. Products Copper-gold concentrate Zinc concentrate. Sales Boliden’s Harjavalta smelter 400km by truck, monthly payments. FY2013 sales US$64M. Plant capacity Up to 700,000tpa. Milling cost €15/tonne plus €3/tonne concentrate transport. Cobalt Low-grade cobalt-nickelcopper concentrate in storage dams Pebble mill 1 in action altonamining.com November 2013 26.
  27. 27. Kylylahti Mine Key Facts Status 600,000tpa, expansion under consideration Mine 5.5m x 5.5m decline tunnel, longhole open stopes with cemented waste fill Life of mine average production Copper: Gold: Zinc: Copper equiv: Mining cost €32/tonne including trucking Mine life 7.6 years Reserves 4.2Mt at 1.6% Cu, 0.7g/t Au, 0.6% Zn Resources 7.7Mt at 1.3% Cu, 0.7g/t Au, 0.5% Zn Luikonlahti Mill Interior altonamining.com November 2013 8,000tpa 8,400ozpa 1,600tpa 12,000tpa 27.
  28. 28. Outokumpu Guidance FY2014 Metric Guidance Range Ore (tonnes) 570,000 - 625,000 Copper grade (%) 1.50 - 1.65 Copper production (tonnes) 8,000 - 8,800 Gold production (ounces) 8,400 - 9,200 C1 costs (US$/lb) 1.60 - 1.75  Production guidance increased after excellent first quarter  C1 cash cost guidance falls  Commence paying debt principal in Q3 FY2014  Capital expenditure will reduce significantly in FY2015  8,659 tonnes copper hedged to Q4 FY16 at €5,651/tonne (US$3.46/lb) altonamining.com November 2013 28
  29. 29. Altona Overview and Objectives  A profitable 9,000ktpa copper producer at Outokumpu in Finland with by-product gold, silver and zinc (12-13,000t copper equivalent)  Considering production expansion at Outokumpu dependent on further reserve/resource growth from deep drill program  Completed Definitive Feasibility Study for the Little Eva copper project near Mt Isa, Queensland has NPV of US$250 million  Little Eva could produce 39,000tpa copper and 17,000oz of gold per year over a mine life in excess of 10 years at a C1 cash cost of US $1.73/lb  Pursuing a range of transactions to realise value / develop Roseby, with the overriding objective being to maximise value for its shareholders altonamining.com November 2013 29.
  30. 30. An Experienced Team Altona Management Alistair Cowden Managing Director Eric Hughes Chief Financial Officer  Over 30 years experience as a geologist and mining company executive  Accountant, formerly BHP Billiton   Instrumental in listing Vulcan Resources, Rox Resources, Archaean Gold and Magnetic Minerals 20 years experience in financial management of resources companies  10 years experience as CFO of listed companies Iain Scott Chief Operating Officer Jarmo Vesanto General Manager Finland  Metallurgist, formerly Straits, Renison  Geologist  25 years experience in mining and processing  25 years Outokumpu Oyj in Finland, Canada and Australia  15 years experience at COO and MD levels  6 years as Manager in Finland Altona Board Kevin Maloney  Non-Executive Chairman, founder of The Mac Services. Extensive career in retail banking, finance and resources Paul Hallam  Non-Executive Director, formerly Director of Operations at Fortescue and EGM Development and Projects for Newcrest Peter Ingram  Non-Executive Director , 45 years mining industry experience Steve Scudamore  Non-Executive Director , 28 years as a partner at international accounting and financial services firm KPMG altonamining.com November 2013 30.
  31. 31. Top 10 Shareholders (53.6%) Rank Shareholder Country No. of Shares % 1 Perpetual Investments Australia 73,422,491 13.8% 2 L1 Capital Australia 58,006,278 10.9% 3 German retail clients through Clearstream Luxembourg Germany 38,947,372 7.3% 4 Kevin Maloney (Chairman) Australia 35,348,000 6.6% 5 Thomas Roeggla and clients Monaco 29,626,422 5.6% 6 Colonial First State - Growth Australian Australia 11,200,000 2.1% 7 Matchpoint Investment Management Hong Kong 11,114,261 2.1% 8 Finnish Industry Investment Finland 10,261,300 1.9% 9 Dr Alistair Cowden (MD) Australia 10,010,960 1.9% 10 Pareto Growth Norway 7,399,233 1.4% altonamining.com November 2013 31.
  32. 32. Share Price has Outperformed other ASX Coppers 350 300 250 200 150 100 50 0 Altona Hillgrove Ivanhoe Tiger OZ Minerals All Ordinaries Altona commenced trading on 23 February 2010 altonamining.com November 2013 32.
  33. 33. Roseby Resource Estimates CONTAINED METAL TOTAL DEPOSIT Tonnes Grade Cu (%) COPPER-GOLD DEPOSITS million Little Eva Ivy Ann Lady Clayre Bedford Sub-total Au (g/t) Copper MEASURED Gold I metre tonnes ounces 100.3 0.54 0.09 538,000 271,000 7.5 0.57 0.07 43,000 14.0 0.56 0.20 Tonnes million Grade Cu (%) Au (g/t) 36.3 0.63 0.08 INDICATED Tonne million Grade Cu (%) INFERRED Tonnes Au million (g/t) Grade Cu (%) Au (g/t) 41.4 0.48 0.08 22.6 0.49 0.11 17,000 5.4 0.60 0.08 2.1 0.49 0.06 78,000 85,000 3.6 0.60 0.24 10.4 0.54 0.18 1.7 0.99 0.20 17,000 11,000 1.3 1.04 0.21 0.4 0.83 0.16 123.4 0.55 0.10 675,000 384,000 51.7 0.52 0.09 35.5 0.51 0.13 6.6 0.60 42.7 0.59 18.4 0.65 3.8 0.60 36.3 0.63 0.08 COPPER ONLY DEPOSITS Blackard 76.4 0.62 475,000 Scanlan 22.2 0.65 143,000 Longamundi 10.4 0.66 69,000 10.4 0.66 Legend 17.4 0.54 94,000 17.4 0.54 Great Southern 6.0 0.61 37,000 6.0 0.61 Caroline 3.6 0.53 19,000 3.6 0.53 Charlie Brown 0.7 0.40 3,000 0.7 0.40 136.7 0.61 840,000 84.7 0.59 Sub-total TOTAL 260.1 0.58 0.05 1,515,000 27.0 0.68 27.0 0.68 384,000 25.0 0.64 63.2 0.65 0.05 76.7 0.55 0.06 120.1 0.56 0.04 See ASX release of 26 July 2011, 19 December 2011, 23 April 2012, 3 July 2012 and 22 August 2012 for full details of resource estimation methodology and attributions. Note: All figures may not sum exactly due to rounding. Little Eva is reported above a 0.2% copper lower cut-off grade, all other deposits are above 0.3% copper lower cut-off grade. altonamining.com November 2013 33.
  34. 34. Little Eva Project - Resource and Reserve Estimates Tonnes (m) RESERVES Proven Probable Sub Total Probable (stockpile) Total Mining Inventory Copper (%) Gold (g/t) Contained Copper (t) Contained Gold (oz) 31.2 28.1 59.3 15.3 74.7 1.9 0.64 0.53 0.59 0.18 0.50 0.51 0.08 0.10 0.09 0.06 0.08 0.23 198,000 149,000 347,000 28,000 375,000 10,000 85,000 90,000 174,000 31,000 204,000 14,000 See ASX release of 14 May 2012 for full details of Reserve estimation methodology and attribution and 26 July 2011, 19 December 2011, 23 April 2012 and 22 August 2012 for full details of Resource estimation methodology and attribution. Little Eva Project reserves are drawn from Little Eva, Lady Clayre and Ivy Ann. altonamining.com November 2013 34.
  35. 35. Outokumpu Resource and Reserve Estimates Deposit Saramäki Vuonos Hautalampi Riihilahti Valkeisenranta Särkiniemi Sarkalahti TOTAL Kylylahti RESOURCES Measured Indicated Inferred TOTAL Contained metal (t) RESERVES Proven Probable TOTAL Contained metal (t) Classification Inferred Inferred Measured Indicated Inferred Total Indicated Indicated Indicated Inferred Tonnes (m) Copper (%) Gold (g/t) Zinc (%) Cobalt (%) Nickel (%) 3.40 0.76 1.03 1.23 0.90 3.16 0.14 1.54 0.10 0.19 16.98 0.71 1.76 0.47 0.30 0.30 0.36 1.69 0.29 0.35 0.33 0.93 0.31 0.63 1.33 0.06 0.07 0.10 0.07 0.44 0.09 0.14 0.13 0.11 0.10 0.11 0.04 0.03 0.05 0.15 0.05 0.47 0.42 0.40 0.43 0.16 0.71 0.70 1.02 0.26 Tonnes (m) Copper (%) Gold (g/t) Zinc (%) Cobalt (%) Nickel (%) 1.4 5.4 0.9 7.7 1.22 1.44 0.64 1.31 100,670 0.56 0.72 0.59 0.68 167,850oz 0.55 0.54 0.36 0.52 40,360 0.23 0.25 0.17 0.23 18,000 0.20 0.20 0.25 0.21 15,900 0.6 3.5 4.2 1.51 1.62 1.60 66,700 0.75 0.73 0.73 97,700oz 0.66 0.62 0.63 26,100 0.25 0.27 0.27 11,100 0.15 0.17 0.16 6,900 See ASX release of 29 August 2013 for full details as required by the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code). altonamining.com November 2013 35.
  36. 36. Telephone: +61 8 9485 2929 Facsimile: +61 8 9486 8700 Email: altona@altonamining.com www.altonamining.com altonamining.com November 2013

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