Presentation on the Razorback IRon project for Royal's 2012 Annual General Meetinr

1. AGM
27th November, 2012
2012

2. DISCLAIMER AND COMPETENT PERSON’S STATEMENT
This presentation has been prepared by Royal Resources Limited (ABN 34 108 102 432) (“Royal”) based on information available to it. No
representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions
and conclusions contained in this presentation. To the maximum extent permitted by law, none of Royal, its related bodies corporate, its or
their directors, employees or agents, advisers, nor any other person accepts any liability for any loss arising from the use of or reliance on this
presentation or anything contained in, omitted from or otherwise arising in connection with it, including, without limitation, any liability arising
from fault or negligence on the part of Royal, its related bodies corporate or its or their directors, employees or agents.
The details contained in this report that pertain to ore and mineralisation is based upon information compiled by Mr Marcus Flis, a full-time
employee of the Company. Mr Flis is a Fellow of the Australasian Institute of Mining and Metallurgy (AUSIMM) 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 December 2004 edition of the “Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves” (JORC Code). Mr Flis consents to the inclusion in this report of the matters based upon his information in the
form and context in which it appears.
The distribution of this document in jurisdictions outside Australia may be restricted by law and you should observe any such restrictions.
This presentation is not an offer, invitation, solicitation or recommendation to invest in Royal and neither this document nor anything in it
shall form the basis of any contract or commitment. The information in this presentation does not take into account the investment objectives,
financial situation and particular needs of investors and does not constitute investment, legal, tax or other advice. Before making an
investment in Royal an investor should consider whether such an investment is appropriate to their particular investment objectives , financial
situation and particular needs and consult a financial adviser if necessary. This presentation does not purport to constitute all of the
information that a potential investor may require in making an investment decision. Investments are subject to investment risk, including
possible delays in repayment and loss of income or principal invested. Royal does not guarantee the performance of the investment referred to
in this presentation, the repayment of any capital invested or any particular rate of return.
Nothing in this presentation is a promise or representation as to the future. Statements or assumptions in this presentation as to future
matters may prove to be incorrect and differences may be material. Royal does not make any representation or warranty as to the accuracy of
such statements or assumptions.
You acknowledge that circumstances may change and the contents of this presentation may become outdated as a result. Royal accepts no
obligation to correct or update the information or opinions in this presentation. Opinions expressed are subject to change without notice.
2012 By accepting this document, you agree to be bound by the above limitations.
Slide 2

3. OUTLINE
Corporate
Projects Update
Outlook
2012
Slide 3

4. CAPITAL STRUCTURE & SHARE HOLDINGS
Rank Name % Issued Shares c306 million
1 LODESTONE EQUITIES LIMITED 19.51
2 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED 12.71
Share Price $0.075
3 RAGGED RANGE MINING PTY LTD & ASSOCIATES 7.26
4 CITICORP NOMINEES PTY LIMITED 4.49
Market Capitalisation c$25 million
5 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED - A/C 3 3.28
6 MR RICK WAYNE CRABB 1.47
Cash c$6 million
7 NORILSK NICKEL AUSTRALIA PTY LTD 1.36
8 JP MORGAN NOMINEES AUSTRALIA LIMITED <CASH INCOME A/C> 1.18
9 MR FRANK DEMARTE 0.88
10 FORSYTH BARR CUSTODIANS LTD <FORSYTH BARR LTD-NOMINEE A/C> 0.88
11 THUNDELARRA EXPLORATION LTD 0.86
12 UOB KAY HIAN PRIVATE LIMITED <CLIENTS A/C> 0.72
13 MR CHING WOO GOH 0.72
14 WESTESSA HOLDINGS PTY LTD 0.66
15 MR ROSS SPENCER 0.64
16 RENIQUE HOLDINGS PTY LTD <RANDALL SUPER FUND A/C> 0.56
17 MR MARCUS FLIS 0.55
18 MR EDWIN L DAVIES + MRS SUSAN L DAVIES <L & S DAVIES SUPER FUND> 0.53
19 BNP PARIBAS NOMS PTY LTD <DRP> 0.51
20 MR WILLIAM JANSEN + MRS MARILYN GAIL JANSEN <W & M G JANSEN S/F> 0.49
Totals: Top 20 holders of ORDINARY SHARES (198852427 shares) 59.24
Total Remaining Holders Balance (136800603 shares)
2012 40.76
Slide 4

5. ROYAL’S 12 MONTH SHARE PRICE PERFORMANCE & LIQUIDITY
2012
Slide 5

6. CORPORATE
Lodestone Equities Limited bought out the SinTang Development Pte Ltd
block of Royal shares and has become a significant shareholder in Royal
A capital raising of approx. $3.7 Million was undertaken at a 14%
premium to the market share price at the time. The placement was made
to Lodestone
Mr Brian Richardson resigned as a Non-executive Director
Mr Tony Heslop was appointed Company Secretary
A strategic decision was made to completely exit the Pilbara
2012 Launch of the company’s newsletter, “Razorback”
Slide 6

7. ANOTHER WAY TO COMMUNICATE WITH SHAREHOLDERS!
2012
Slide 7

8. OUTLINE
Corporate
Projects Update
Outlook
2012
Slide 8

9. PROJECTS UPDATE
2012
Slide 9

10. NON CORE PROJECTS
Royal exited the Pilbara on the basis of the stranded nature of the
prospects and the lack of size potential
The Warriedar Iron and Gold JVs were exited for a total consideration of
$8 million, alleviating the need for capital raising during the year
Successfully finalised the disposal of the bulk of our US uranium assets to
TSX listed Aldershot Resources Ltd
Buyers are being sought for the Fields Find and Water Tank tenements in
WA, with only minor field work been undertaken during the year
Drilling on our NT uranium tenements did not return any significant
2012 results with work now being curtailed going into the wet season
Slide 10

11. RED DRAGON VENTURE – FOUR AREAS ESTABLISHED & TWO AREAS EXPLORED
Razorback 
Iron Peak 
Iron Back Hill 
Interzone 
Dragon’s Head
Manunda
2012
Slide 11

12. RED DRAGON VENTURE: 3 Billion tonnes in total resources
In two years, Royal has
grown the total resource to
3 Bt, the second largest
resource in Australia and
the largest outside WA
Three deposits have been
defined
Total costs in defining
those Resources is less
than $0.009/t
Sufficient resources now
2012 exist for a PFS on two
separate projects Slide 12

13. RAZORBACK PREMIUM IRON PROJECT : 1.8 Billion tonnes of resources
Current Inferred and Indicated Resources at the Razorback Deposit stand at:
JORC Resource Million
Fe% SiO2% Al2O3% P%
Classification Tonnes
Inferred 621 19.9 45.6 7.40 0.24
Indicated 1193 21.5 43.3 7.07 0.20
Total 1815 21 44.1 7.2 0.22
Importantly, the indicative product grade is a premium grade concentrate*:
Premium Product Yield% Fe% SiO2% Al2O3% TiO2% V2O5% P% S%
Magnetite 16.3 68.3 3.80 0.43 0.098 0.017 0.013 0.003
with the potential to increase yield to c22% by recovering a haematite concentrate*:
LG Product Yield% Fe% SiO2% Al2O3% TiO2% V2O5% P% S%
Haematite 5.8 58.5 11.78 0.97 0.702 0.019 0.102 0.015
2012 * Indicative grades only. Final product specification will depend on the final adopted flow sheet and project economics Slide 13

14. RAZORBACK PREMIUM IRON PROJECT: Pre-Feasibility Study near completion*
Completed To be done
Pit optimisation with annual Risk analysis
mining schedule
Financial Model
Beneficiation plant – flow sheet
Train load-out and transport to Pt
Pirie
Slurry pipeline options
Ship loading options Getting the PFS in on time is nice,
Water options Getting it right is essential!
Power draw & options
Full equipment list
2012 CAPEX estimates
*Results of the PFS are due for release on its completion; currently planned for the end of 2012
OPEX estimates Slide 14

15. RAZORBACK PREMIUM IRON PROJECT : Preliminary open pit design
2012
Slide 15

16. RAZORBACK PREMIUM IRON PROJECT : Beneficiation plant layout
2012
Slide 16

17. RAZORBACK PREMIUM IRON PROJECT : Train load out option
2012
Slide 17

18. RAZORBACK PREMIUM IRON PROJECT : Transport options
2012
Slide 18

19. RAZORBACK PREMIUM IRON PROJECT : Native Title
An exploration Native Title Mining Agreement is in place
A mining Native Title Mining Agreement has begun to be negotiated in
preparation for a Mining Licence Proposal application
A compensation package for the mining NTMA is likely to include
(based on peer packages):
• A monetary per tonne exported amount
• A commitment to employ aborigines
• Education and vocational training scholarships
• Cultural enhancement programmes
2012
Slide 19

20. RAZORBACK PREMIUM IRON PROJECT : Scoping Study Financials
Over 800Mt of higher cost iron ore needs to drop
out of the seaborn iron market before affecting the
RPIP product – RPIP is robust*
Range of RPIP CFR OPEX
*
RPIP
2012 * Based on preliminary assessment; to be finalised
CFR: Cost & Freight
Source: Credit Suisse, Metalytics, Aug ‘12 Source: Brook Hunt, BREE, Credit Suisse, Aug ‘12
Slide 20

21. OUTLINE
Corporate
Projects Update
Outlook
2012
Slide 21

22. RAZORBACK PREMIUM IRON PROJECT : Next steps
2012 2013 2014 2015 2016
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Drilling to define min 1Bt
Pre Feasibility Study (PFS)
PFS Optimisation
Feasibility Study Funding
Feasibility Study
Permitting & Native Title
Project Financing
Board Approval
Design & Procurement
Construction & Commissioning
Razorback Start-up
2012
Slide 22

23. A MOUNTAIN OF IRON
2012
Slide 23