FY12 Budget Book

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ASTRON LIMITED (AU)

SENEGAL MINERAL RESOURCES (SN)

SENEGAL MINERAL SANDS LIMITED (HK)

Disclaimer

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The information presented herein relates to matters that are forward-

looking and contain projections and statements that involve risks and

uncertainties associated with our business activities. Actual future

results could differ materially from these projections. You rely on this

information at your own risk and Senegal Mineral Resources assumes

no duty to update should expectations change.

This document is the property of Senegal Mineral Resources. It is

delivered on the express condition that it is not to be disclosed,

reproduced in whole or in part, or used for any purpose other than

evaluation of Senegal Mineral Resources. No right is granted to

disclose any information contained in this document.

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Senegal Senegal Mineral Resources

Introduction – Senegal Mineral Resources

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• November 2004 : Carnegie Corp. Ltd. acquires exploration permit (740km²)

for HMS in Casamance, Southern Senegal

• May 2006 : Carnegie assigns the Mining Convention to Coast Resources Ltd.

(wholly owned subsidiary of Carnegie) and Astron Ltd. becomes a 50% joint

venture partner

• September 2007 : Coast Resources/Astron JV renew the exploration permit

(550km²)

• December 2008 : Astron acquires Coast Resources and as such 100%

interest

• November 2011 : Astron renew the exploration permit (410km²)

• Completion of requirements for small mining licence application for an

identified Probable Ore Reserve of 4.65Mt with an ore grade of 10.91%HM

using ultimate pit optimisation, comprising Ilmenite, Zircon, Rutile and

Leucoxene.

•

Introduction - Location

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World class Grange Côte Project

(MDL, Australia)

1,330 Mt @ 2% HM

Sud RufisqueAreaIdentified

high grade deposits>1 Mt of

HM contained

Gambian Deposits

(Astron/Carnegie mining JV in 2006-08)

Originally 19 Mt @ 5.2% HM

Senegal Mineral Resources

Reserve 4.65 Mt @ 10.91% HM

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6 km

69 km

Niafarang Project

Introduction - Location

Niafarang Project Consideration

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Illmenite – 38%

Illmenite – 82%

Zircon – 56%

Zircon – 15%

Rutile – 5%

Rutile – 2%

Leucoxene – < 1%

Leucoxene – < 1%

NPV USD92,8 Million

Revenue USD234 Million

EBIT USD162 Million

PV Income USD116 Million

LOM 3 years

Probable Reserve 4.65 Mt

Probable Ore Grade 10.91%

Recovery 528 620 ton

Average price

Illmenite USD274/t

Zircon USD2254/t

Rutile USD1288/t

Leucoxene USD 443/t

Niafarang Project Consideration

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10% Government free shareholding

25% Fully paid shareholding reserved for Senegalese investors

3% Mining royalty

Continued social responsibility program funding

Continued relationship with sustainable development project

Senegal Mineral Resources (SMR) registration imminent - Niafarang Project license holder

Continued exploration covering an area of 410 km²

Geology – Exploration

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TiO2 Fe2O3 SiO2 Al2O3 Cr2O3 ZrO2 P2O5 U 500ppm

Th V2O5 Nb2O5 CaO

% % % % % % % ppm ppm % % %

Zircon 0.72 0.09 32.3 0.02 - 64.5 0.046 105 94 - - 0.03

Rutile 96.3 0.95 0.46 0.24 0.18 0.34 0.053 17 39 0.44 0.416 0.01

Illmenite 58.9 32.8 0.3 - - 0.7 - - - - - -

X-ray Fluorescence Spectrometry(XRF) results

Aero Magnetic and Radiometric data

Auger and hydraulic drilling

Geology – Exploration Program

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Area 1 – Prominent geophysical anomalies, further

extension to Niafarang deposit

Area 2 – Low dune area auger drilling

Area 3 – Low dune area at the Casamance river month

Area 4 – Low lying area auger drilling lines across sand

dunes and geophysical anomalies

Area 5 – Untested area, boat reconnaissance and auger

across low sand dunes

Diebéreng H 4% - L 2%

Kafountine H 14% - L 5%

Abéné H 15% - L 3%

Zircon

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ZIRCON APPLICATIONS

Zirconium

metal

Chemical

purification

Milled

zircon Zirconium

chemicals

Fused

zirconia

Zircon from

chemical

processing

Zirconia Products

Refractories

Ceramic pigments

Glass

Gemstones

Catalysts

Oxygen sensors

Structural ceramics

Electronic ceramics

Zirconium Chemicals

Waterproofing

Inks

Paper products

Protective coatings

Leather tanning

Paint dryers

Deodorants

Toothpaste

Furnace lining

Zirconium Metal

Highly resistant to

corrosion

Reactor tubing

Heat exchangers

Pump casings

Pump impellers

Structural vessels

Surgical tools

Zircon

Ceramics

TV glass

Castings

Refractories

Abrasives

Titanium

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T1O2 APPLICATIONS

Leucoxene Ilmenite Rutile

Titanium slag

Upgraded slag

Synthetic rutile

Titanium metal

Titanium tetra chloride

Titanium Products Titanium Chemicals

Refractories Inks

Pigments Paper

Glass Coatings

Welding rods Paint pigment

Deodorants

Toothpaste

Cosmetics

Plastics

Titanium Metals

Aerospace

Rotors

Impellers

Fasteners

Automotive

Medical

Military

Spectacles

Sports Equipment

Health and Safety - Policy

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Health and Safety is of the highest priority and cannot be

compromised. Our Health and Safety Policy seeks to create a

work environment that is conducive to high levels of safety

performance through demonstrated commitment and safe

behaviour. Our Health and Safety objectives are; prevention

of all accidents, injuries, occupational health risks and illness;

compliance with statutory requirements and industry codes,

all these activities to be conducted with due consideration for

the protection and wellbeing of all our employees, contractors

and visitors.

Environmental - Policy

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Senegal Mineral Resources is committed

to the practice and management of its

business in a manner compatible with the

broader goals of the social, economic and

natural environment and to the integration

of environmental management into all its

activities.

Environmental – Social Responsibility

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Tribal/Cultural/Heritage

Land use

Social environment

Social & professional interaction

Social development Programme

Monthly infrastructure development

Student bursaries

Medical & clinic services

Education and training

• HIV & AIDS

• Substance abuse

• Health & hygiene

• Environmental responsibilities & awareness

Environmental – Sustainable Development

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Senegal Mineral Resources Sustainable Development Legacy

To develop the Fruit Growers Association sourcing and processing fruit from

community farms into an enterprise able to tap into the lucrative global market

as well as supply the local markets

Give more than 3,000 small community farmers market access

Collect 4,000 tons of fruit per year for the juicing line

2,000 tons of fruit per year for the drying programme

The world has reached 7 billion people in November 2011

Community Cooperative

Environmental – Sustainable Development

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New farms Current farms

Cold storage

room

Juice

concentrator

Ripening

room International

market

Local market

Drying

plant

S

M

R

F

U

N

D

S

Grant Funding (community free-hold)

Strategic investors

Logistics and nursery

Grant Funding (community free-hold)

Strategic investors

Off-take partners

Pack House

House hold

Vendor

Concentrate

reduction

Dried fruit

repackaging

Fresh

fruit

Environmental – Sustainable Development

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Using the processing and logistics infrastructure already in place and by adding more products the productive cycle will increase to 9 months per annum

Environmental – Sustainable Development

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Niafarang Project Implementation

Environmental & Social

Approval

July 2013

SML Application

Approved EIS & feasibility

July 2013

SML Approval Process

Negotiate T & C

July to September 2013

SML Award

September 2013

Procurement

Plant & Equipment

September 2013

Establishment

Construction & Commission

December 2013

Commercial Production

Full production

March 2014

Export Product

1st Product to export

March 2014

FY12 Budget Book

THANK YOU

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