2. Amex Resources – Corporate
Amex Resources – Corporate
Additions to the Company;
Chairman – Dr Qin Xiao
Director of Marketing – Yibo Qiu
Non-executive Director – Alan Senior
Chief Operating Officer – Bob Mansfield
Chief Operating Officer Bob Mansfield
Capital Raising - $11.3m raised at $0.95 per share
Funding Activities;
g
Company anticipates responses on indicative term sheets from short
listed debt financiers by the end of November
Resolution 4 – provides flexibility to equity instruments
Chinese bank financing options were examined by the Company
Slide 2
3. Amex Resources – Significant Milestones
Amex Resources – Significant Milestones
Past 12 months:
• Mining Lease Granted (SML60)
I d d t B k bl F ibilit St d
• Independent Bankable Feasibility Study
• Environmental Approvals for Dredging
and Lautoka Port
• Environmental and Performance Bonds
Paid
Fi hi Ri ht C ti D t i d
• Fishing Rights Compensation Determined
and Paid
• Planning Approval for Port Construction Dr Qin and AXZ Country Manager Emori Toloi
on Mba Delta site
• Detailed Engineering Design Awarded
on Mba Delta site
Slide 3
4. Amex Resources – Mba Delta Project Summary
Amex Resources – Mba Delta Project Summary
Simple Dredging Operation in Nearshore Lagoon, Ironsand Layer up to 9m Thick from Surface, Chemical-
Free Magnetic Separation, Barge Transport of Concentrate to Nearby Port Site for Export to China
1. Dredging: 12 million tonnes per year will be
dredged over a 20 year mine life, with barren
sand returned immediately to the seafloor as
h bilit ti O b d 15k b t 5k
rehabilitation. Orebody 15km by up to 5km
2. Production: 750,000 tonnes of ironsand will be
produced annually by screening and magnetic
ti b t d l t
separation on barge-mounted process plant
3. Transport: 2,500 tonnes of concentrate per day
will be barged 30km to Amex Lautoka Port for
hi d t k ili i id l d h d
washing and stockpiling inside enclosed shed
4. Port: Exclusive port facilities of 5.9ha secured
by 45 year lease at Lautoka, Fiji’s largest bulk
dit t E t t Chi b H di
commodity port. Export to China by Handimax
vessel every 3 weeks
5. Future: Port facilities have been designed to readily nallow doubling of export capacity to 1.5mtpa
Slide 4
5. Amex Resources – Mba Delta Project Summary
Amex Resources – Mba Delta Project Summary
LAUTOKA
Fiji’s Second Largest City
Fiji’s Largest Bulk Commodity Port
Slide 5
6. Amex Resources – Mba Delta Project Financials
Amex Resources – Mba Delta Project Financials
BFS Confirms Project Viability, Low Operating Cost, Positive Cash Flow Year 1, Life of Mine 20 Years
• Annual Revenue US$73M
• Annual Operating Cost US$20M
• Annual Operating Cost US$20M
• Free Cash Flow US$36M per year
• Return on Capital 66%
• Return on Capital 66%
• Capital Costs US$80M
• Low Operating Cost US$25 97 per tonne of
• Low Operating Cost US$25.97 per tonne of
magnetite product
• NPV US$387 (base case), US$521 (1.5Mtpa)
Slide 6
7. Amex Resources – Operating Cost Comparison
Amex Resources – Operating Cost Comparison
Amex Mba Delta Operating Cost $41 CIF China
Operating Cost by Source
Operating Cost by Source
Rio Tinto BHPB Vale
Slide 7
9. Amex Resources – Product Offtake & Marketing
Amex Resources – Product Offtake & Marketing
Premium Quality Ironsands Concentrate Produced from Amex’s pilot plant in Fiji averages:
58.5% Fe, 0.65% V2O5 with 6.5% TiO2, 1.4%SiO2, 0.033% P, 0.007% S
China - Ironsands Imports Jan-Jun 2012
700,000
800,000
900,000
(PRC Customs General Administration data)
Tonnes
400,000
500,000
600,000
700,000
100,000
200,000
300,000
-
Indonesia Philippines New Zealand
Lower specification competitor ironsands sold in the Chinese market during the first six months this
year realised US$80.52 – 118.77/t (CIF) from sales of 1.5 million tonnes, shown graphically above
Slide 9
year realised US$80.52 118.77/t (CIF) from sales of 1.5 million tonnes, shown graphically above
10. Amex Resources – Project Implementation
Amex Resources – Project Implementation
Port access road and security fencing construction completed August
Detailed design for port Marine Works due 22 November
30% detailed design review for port Civils due 21 November
Construction of temporary site buildings commenced, completion by year end
Dredge and Floating Concentrator design finalised, draft contracts under review
f ( )
Marine fleet selection (barges, tug, work boat) completed
Slide 10
11. Amex Resources – Tenure and Targets
Amex Resources – Tenure and Targets
INDICATED RESOURCE OUTLINE
Slide 11
12. Disclaimer
Disclaimer
This presentation has been prepared by Amex Resources Ltd (“AXZ”) as a summary of the company’s exploration and
development activities, with particular reference to the Mba Delta Ironsand Project in Fiji.
No Offer of Securities
The presentation is not, and should not, be considered as an offer or invitation to subscribe for, or purchase any securities in AXZ, or as
i d t t k ff i it ti ith t t th iti N t t b ib f iti i AXZ ill b
an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in AXZ will be
entered into on the basis of this presentation.
Forward Looking Statements
g
This presentation contains certain forward looking statements which have not been based solely on historical facts but, rather, on AXZ’s
current expectations about future events and on a number of assumptions which are subject to significant uncertainties and
contingencies many of which are outside the control of AXZ and its directors, officers and advisers.
Reliance on Third Party Information
Due care and attention has been taken in the preparation of this presentation. However, the information contained in this presentation
(other than as specifically stated) has not been independently verified nor has it been audited. Accordingly, the company does not
warrant or represent that the information contained in this presentation is accurate or complete. To the fullest extent permitted by law, no
liability, however arising, will be accepted by AXZ or its directors, officers or advisers, for the fairness, accuracy or completeness of the
information contained in this presentation
Slide 12
