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Anfield Resources Corporate Presentation

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Anfield Resources Corporate Presentation
April 2017
Anfield Resources Inc. is a uranium development and near-term production company that is committed to becoming a top-tier energy-related fuels supplier by creating value through sustainable, efficient growth in its energy metals assets. With the recent acquisition of 24 uranium projects in Wyoming, along with a Resin Processing Agreement, to complement its existing conventional uranium mill and near-term production assets, Anfield is well positioned to benefit from the growing global demand for energy. Anfield is listed on the TSX-Venture Exchange (ARY-V), the OTCQB (ANLDF) and the Frankfurt Stock Exchange (0AD).

Anfield’s team is comprised of a dynamic group of industry professionals whose vast experience in both the resource and finance sectors is complementary to their resourcefulness, creativity, and unrelenting focus on Anfield becoming a leading uranium development and production company.

Anfield’s intent is twofold: 1) to advance its Wyoming properties in order to leverage the Resin Processing Agreement between Anfield and Uranium One; and 2) to restart its Shootaring Canyon Mill in Utah to process nearby uranium resources. As well, the potential development of vanadium assets is being evaluated.

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Anfield Resources Corporate Presentation

  1. 1. A N U P - A N D - C O M I N G E N E R G Y M E TA L S P R O D U C T I O N C O M PA N Y August 2017 “ T h e r i g h t p r o j e c t s i n t h e r i g h t p l a c e a t t h e r i g h t t i m e ”
  2. 2. Safe Harbour All statements, other than statements of historical fact, contained in this presentation constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, and “forward-looking information” under similar Canadian legislation and are based on the reasonable expectations, estimates and projections of the Company as of the date of this presentation. Forward- looking statements and forward-looking information include, without limitation, possible events, trends and opportunities and statements with respect to possible events, trends and opportunities, including with respect to, among other things, the growth of the phosphate market, global market trends, expected industry demands, the Company’s business strategy and investment criteria, the nature of potential business acquisitions, costs and timing of business acquisitions, capital expenditures, successful development of potential acquisitions, currency fluctuations, government regulation and environmental regulation. Generally, forward-looking statements and forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking statements and forward-looking information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the company as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The estimates and assumptions contained in this presentation, which may prove to be incorrect, include, but are not limited to, the various assumptions of the company set forth herein. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements and forward-looking information. Such factors include, but are not limited to fluctuations in the supply and demand for uranium, changes in competitive pressures, including pricing pressures, timing and amount of capital expenditures, changes in capital markets and corresponding effects on the company’s investments, changes in currency and exchange rates, unexpected geological or environmental conditions, changes in and the effects of, government legislation, taxation, controls and regulations and political or economic developments in jurisdictions in which the Company carries on its business or expects to do business, success in retaining or recruiting officers and directors for the future success of the Company’s business, officers and directors allocating their time to other ventures; success in obtaining any required additional financing to make target acquisition or develop an acquired business; employee relations, and risks associated with obtaining any necessary licenses or permits. Many of these uncertainties and contingencies can affect the company’s actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements and forward looking information made by, or on behalf of, the Company. There can be no assurance that forward-looking statements and forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. All of the forward-looking statements and forward-looking information made in this presentation are qualified by these cautionary statements. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward- looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward- looking information. The Company does not undertake to update any forward-looking statements or forward-looking information that are incorporated by reference herein, except in accordance with applicable securities laws. Timelines used in this presentation are for the purpose of aiding management in the planning and implementation of the project, and are not based on a detailed assessment of project requirements. Consequently the timelines are subject to material revision based on when technical reports and/or feasibility studies, if any, are completed. Future phases of the project are contingent upon completion of preceding phases. Nothing in this presentation should be construed as either an offer to sell or a solicitation of an offer to buy or sell shares in any jurisdiction. TECHNICAL DISCLAIMER: This presentation contains references to historical resources. Anfield is not treating the historical estimates as current mineral resources or mineral reserves. A qualified person has not done sufficient work to classify the historical estimates as current mineral resources or mineral reserves. All historical resources referenced in this report, unless otherwise noted, are from technical reports prepared by well-known mineral exploration and mining consulting firms using current CIM standards and terminology. The Company intends to work with the same groups to complete the reports such that they comply with all requirements of NI 43-101. R. Tim Henneberry, P.Geo. (British Columbia) a member of the Anfield Advisory Board, is the Qualified Person who has reviewed and approved the technical content of this presentation. 2
  3. 3. Company snapshot Corporate Information Exchange/Symbol TSX Venture ARY OTCQB ANLDF Frankfurt OAD As of July 2017 Shares Outstanding 164.1 million Fully diluted 270.5 million 52-week range $0.05-$0.31 Recent price $0.06 Market capitalization $9.8 million Major shareholders Management and insiders ~8% U.S. Energy Corporation ~8% Uranium One ~5% 3 2.5M 2.0M 1.5M 1.0M 0.115 0.110 0.100 0.095 0.085 0.080 0.075 0.055 0.080 5000 0.065 ARY.V (Daily) 0.055 (26 Jul) MA (50) 0.065 MA (200) 0.089 VOLUME 5,000 0.070 0.105 0.089 500K Mar JunApr May Jul
  4. 4. Investment Thesis Anfield provides a positive risk/reward balance: Country risk Low as U.S. is a safe jurisdiction Financial risk Low due to low capex and opex for ISR Permitting risk Low because Anfield’s assets are located in mining states, have existing permits, no native issues or environmentally sensitive areas Management/Director risk Low due to experience of mining team Technical risk Low due to Anfield’s portfolio of previously producing mill and mines Commodity risk Uncovered demand high starting in 2017 4
  5. 5. Anfield Strategy Participate in conventional uranium production to leverage larger-scale, longer-term production opportunities in a higher-price uranium environment. Participate in ISR uranium production to leverage near-term production opportunities in a lower-price uranium environment. Create a robust U.S.-based energy company, with significant potential production upside, through both organic growth and asset acquisitions. 5
  6. 6. Anfield: conventional assets Shootaring Canyon Mill (Utah) !  750 tpd conventional uranium mill acquired in 2015 from Uranium One !  One of only three licensed, permitted and constructed uranium mills in existence in the U.S. Velvet-Wood Mine (Utah) !  Mine acquired in 2015 from Uranium One !  4.6Mlbs of M&I uranium resource !  2016 PEA: up to 41% pre-tax IRR Surface stockpiles (Utah) !  Potential source of near-term, low-cost revenue generation 2016 PEA: up to 41% pre-tax IRR Other mines and exploration assets !  Frank M, Findlay Tank !  Henry Mountains Royalties (Utah/Colorado/ South Dakota) !  Four royalties on the projects of three publicly- traded uranium companies Shootaring Canyon Mill 6
  7. 7. Anfield: ISR-amenable assets and toll milling Anfield acquired 24 ISR uranium projects from Uranium One in Wyoming in September 2016 !  US$6.1M, paid over a five-year period Anfield also signed a toll-milling agreement with Uranium One !  Multi-year term during which Uranium One will process up to 500,000 pounds of uranium on behalf of Anfield at its Irigaray processing plant !  Anfield can also buy and borrow uranium from Uranium One in order to fulfill any utility sales contracts it signs Wyoming Map Area Johnson Campbell Douglas Converse Albany Carbon Bairoil Rawlins Fremont Jeffery City Carbon Natrona Gillette GAS HILS HORSE CREEK CLARKSON HILL Casper CROSS ROADS SAND CREEK SOUTH PINE RIDGE PINE RIDGE TAYLOR RANCH RENO CREEK PUMPKIN CREEK NILES RANCH NINE MILE MULE CREEK CENTRAL SHIRLEY BASIN EAST SHIRLEY BASIN WEST CROOKS CREEK WEST BEAVER RIM WEST SWEETWATER SOUTH SWEETWATER STEWART CREEK BULL SPRINGS RED RIM ARH WY Corp. Anfield is not treating the historic uranium estimates as current mineral resources or mineral reserves. A qualified person has not yet done sufficient work to classify the historic estimates as current mineral resources or mineral reserves. The historic estimates referenced herein are from reports prepared by well-known mineral exploration and mining consulting firms using current inferred Mineral Resource CIM standards and terminology. Thus, the Company considers the historic estimates to be reliable. 7
  8. 8. Anfield Strategy in practice Create a robust U.S.-based energy company, with significant production upside, through both organic growth and asset acquisitions !  Two acquisitions, including both internal and external uranium production access Participate in ISR uranium production to leverage near- term production opportunities in a lower-price uranium environment !  Wyoming ISR uranium asset acquisition Participate in conventional uranium production to leverage larger-scale, longerterm production opportunities in a higher price uranium environment !  Utah/Arizona/Colorado Conventional uranium asset acquisition ISR Production assets Exploration assets Conventional production assets 8
  9. 9. M&A activity – a strength Since 2013, Anfield has been conducting M&A activity: Uranium assets acquired in Colorado, Arizona and Utah (2013 and 2014) !  YR, MAG and Alamosa transactions secured uranium assets with past-producing mines Conventional uranium assets acquired from U1 in 2015 !  Mill, mines with resources, surface stockpiles and royalties Non-core breccia pipe asset divested !  50% of Wate breccia pipe project sold to partner Energy Fuels in 2015 Exploration database acquired from US Energy Corporation in 2016 !  Data related to Wyoming, Utah and Colorado Wyoming ISR assets acquired from U1 in 2016 !  36.8Mlbs of historic resource !  Resin Processing Agreement Wate brecciapipe (50%) - 2015 ISR uraniumassets - 2016 Conventionaluranium assets -2015 YR, MAG and Alamosauranium developmentassets – 2013, 2014 Divestitures Acquisitions 9
  10. 10. Anfield: M&I & Inferred uranium resource Anfield Resources Project Measured Indicated Inferred Total Measured & Indicated Tons Grade Pounds Tons Grade Pounds Tons Grade Pounds Tons Grade Pounds Velvet 1 362,600 0.27% 1,966,000 71,200 0.38% 548,000 76,000 0.34% 517,500 433,800 0.29% Wood 1 377,000 0.28% 2,113,000 11,000 0.16% 34,500 377,000 0.28% 2,514,000 Red Rim 2 336,655 0.17% 1,142,449 472,988 0.16% 1,539,447 336,655 0.17% 2,113,000 South Sweetwater 3 166,000 0.07% 217,000 36,000 0.09% 66,200 95,200 0.07% 133,000 202,000 0.07% 1,142,449 Clarkson Hill 4 753,611 0.06% 939,888 283,200 Frank M 5 1,095,000 0.10% 2,210,000 42,000 0.05% 75,000 1,095,000 0.10% Findlay Tank 6 211,000 0.23% 954,000 2,210,000 528,600 2,183,000 1,915,855 6,079,649 1,661,799 4,193,335 2,444,455 8,262,649 Source: 1 Velvet-Wood Mine Uranium Project, Preliminary Economic Assessment, Utah USA, June 15 2016, BRS Inc. 2 Red Rim Project, 43-101 Mineral Resource Report, Wyoming USA, March 31 2017, BRS Inc. 3 South Sweetwater Uranium Project, Sweetwater County, Wyoming USA, 43-101 Mineral Resource Report, December 30 2008, BRS Inc.* 4 Clarkson Hill Uranium Project, 43-101 Mineral Resource Report, Natrona County, Wyoming USA, February 26 2008, BRS Inc.* 5 Frank M Uranium Project, 43-101 Mineral Resource Report, Garfield County, Utah USA, June 10 2008, BRS Inc.* 6 Findlay Tank SE Breccia Pipe Uranium Project, Mohave County, Arizona USA 43-101 Mineral Resource Report, October 2 2008, BRS Inc.* Anfield is not treating the historic estimates for Red Rim, South Sweetwater, Clarkson Hill, Frank M and Findlay Tank as current mineral resources or mineral reserves. A qualified person has not yet done sufficient work to classify the historic estimates as current mineral resources or mineral reserves. The historic estimates referenced herein are from reports prepared by well-known mineral exploration and mining consulting firms using current inferred Mineral Resource CIM standards and terminology. Thus, the Company considers the historic estimates to be reliable. 10
  11. 11. Steps to uranium production Step One Step Three Step Two ISR well field development and satellite plant construction Resin Processing Agreement: up to 500,000 pounds of uranium per year Conventional uranium mill refurbishment and mine licensing, permitting and restart Licensed production capacity: 1,000,000 pounds of uranium per year ISR and conventional uranium production: a combined 1,500,000 pounds of uranium production capacity per year 11
  12. 12. Potential catalysts Resource estimate reports ! Wyoming ISR properties ! Utah/Colorado/Arizona properties Licensing/permitting of Wyoming properties Further asset acquisitions – U.S. ! Both conventional and ISR properties ! Yellowcake inventory Utility Sales Contracts – addition of VP Uranium Sales & Marketing 12
  13. 13. Peer comparison Company Recent share price Market cap (C$MM) M&I resource (Mlbs) Inferred resource (Mlbs) Mkt. cap/ M&I ISR production infrastructure Conventional production infrastructure F/X rate Cameco $12.69 $5,023 902 248 $5.57 Yes Yes NexGen $3.01 $1,018 180 122 $5.66 No No Fission $0.67 $325 81 27 $4.01 No No UEC US$1.69 $299 32 42 $9.34 Yes No $1.28 $US Energy Fuels $2.17 $152 83 51 $1.83 Yes Yes Ur-energy $0.84 $123 22 6 $5.57 Yes No Peninsula AU$0.36 $82 39 72 $2.11 Yes No $1.00 $AU Average $4.87 Anfield $0.06 10 8 4 $1.19 Yes Yes 13
  14. 14. A quick look at nuclear reactors 446 reactors currently operating worldwide 59 reactors currently under construction 7 421 46 538 reactors planned, proposed or ordered 10GWadded in 2015 The highest year-over-year increase in 25 years. Nuclear power growth boosted by worldwide clean energy drive. Global reactor growth 600 500 400 300 200 100 0 Construction Planned Proposed Operable Pipeline Source: WNA 14
  15. 15. China – driver of nuclear growth China currently has 36 operational nuclear reactors with capacity of 33,000 MW China also has 21 reactors under construction (23,000 MW) and 215 reactors planned or proposed (247,000 MW) By 2020, China is expected to have 88,000 MW of capacity either operational or under construction By 2030, China will need 200,000 MW in order to meet its government’s emissions targets !  Will surpass the U.S.A. as having the greatest capacity for generation of nuclear power !  Plans to build 110 reactors by 2030 Moratorium on new coal power plants 15
  16. 16. Growth in uranium demand continues to outpace supply 300 250 200 150 100 50 0 Uranium(MlbU308e) 2025E2023E2021E2019E2017E2015A2013A2011A Existing Production New Production and Expansions Secondary Supply and Inventories BMO Demand Forecast Inc. BIB* Source: BMO Capital Markets. *BIB = Buffer Inventory Build ! Uranium demand in 2016 was not met by primary production supply (i.e. ~180Mlbs versus ~150Mlbs) . ! Secondary supply sources remain, but cannot be sustained as there is a finite amount of product . ! At the current uranium spot price, new mines are not opening as there is no financial incentive to do so as new mines would require a price closer to $60 per pound in order to operate profitably. 16
  17. 17. Utilities will need to return to contracting to secure supply Utility Uranium Requirements (million pounds U3O8 – per UxC Q2’2017) Source: UxC. *Covered does not include inventory build !  Utilities are currently taking advantage of the historically-low uranium spot price by deferring long-term contract negotiations with suppliers !  According to UxC, this may lead to uncovered demand of 25% by 2019, with uncovered contract rising significantly thereafter !  Long-term contract volumes generally reach 200Mlb/ year; however, between 2011 and 2016, contract volumes remained closer to 100Mlb/year !  Long-term contracts which began in the 2006 to 2008 period are now ending !  Utilities will need to begin contracting in 2017/18 in order to meet uncovered demand 17 200 150 100 50 0 2018 2030202620222020 2024 2028 Covered* Uncovered Non-US Utilities Uncovered US Utilities 250
  18. 18. Summary 1 Anfield now has significant exposure to lower- cost, smaller-scale and nearer-term production via its Wyoming ISR uranium asset acquisition 2 Anfield’s ISR properties complement its higher-cost, larger- scale and longer-term conventional uranium assets 3 With uranium supply remaining relatively flat and uranium demand growing worldwide, utilities will soon look to re- engage producers in order to cover their current shortfall of contracted fuel 4 However, limited uranium supply will force prices upward due to increased competition for a limited resource 5 Anfield will benefit from increased uranium supply/demand imbalance as it will facilitate Anfield’s two-pronged production approach 18
  19. 19. Management and Directors !  Corey Dias, CEO and Director former equity research analyst, fund manager and strategy consultant with CIBC, Fortress Investment Group and Monitor Group, respectively; Master of Business Administration (Western University) !  Scott Lumadue, VP Uranium Sales and Marketing 38 years of nuclear-related experience with ConverDyn, Duke Energy, Uranium One and Nuexco !  John Eckersley, VP Legal and Regulatory Affairs U.S.-based attorney with 30 years of experience, including 10 years with publicly-traded companies !  Don Falconer, Director 35 years experience in uranium and nuclear utility sectors in both public and private spheres; senior management and Director positions with numerous uranium companies, including Uranium One, Southern Cross, Energy Fuels, AusAmerican Mining and Ontario Hydro !  Joshua Bleak, Director 4th-generation miner from Arizona with extensive resource development experience in southwestern U.S.A; formerly President of American Energy Fields, a junior uranium company !  Jim Rasmussen, Director 40 years experience as senior geologist; involved in all stages of mining process from exploration to mine development; formerly with Energy Fuels and Uranium One !  Leonard (Toby) Wright, Director 20 years experience as registered geologist and environmental consultant; involved in numerous ISR and conventional uranium projects in the U.S.A.; Master of Geotechnical Engineering (Colorado State) !  Steve Butrenchuk, Director over 40 years experience in mining and mineral exploration, development and operations; has served as a senior officer and Director of several public resource companies and spent 16 years with Cominco in a senior geologist management role. 19
  20. 20. To reach Anfield, please contact us: Anfield Resources Inc. 608-1199 West Pender Street Vancouver, BC V6E 2R1 604-687-0300 info@anfieldresources.com Canada Anfield Resources Inc. 3346 Guadalupe Road Apache Junction, AZ 85120 480-288-6530 info@anfieldresources.com USA

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