colombian mining conference 2012 nae v12

8/15/2019 Colombian Mining Conference 2012 NAE v12

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NEW AGE EXPLORATION AND

AURORA ENERGY“Emerging Met and Thermal

Coal Company in Colombia”

Colombian Mining Conference 2012

Santa Martha, July 2012

ASX: NAE


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NAE COAL PROJECT PORTFOLIO

United Kingdom

• Lochinvar Coking Coal Project

- 67km2 licence on Scottish / English border granted in June 2012

- 330-410Mt potential coking and PCI coal exploration target

Colombia

• Terranova Coking Coal Project (Central Colombia)

- Concession 887T (3.6Mt hard coking coal JORC resource)

- Adjacent Concessions (30-58Mt hard coking coal exploration target)

- Targeting production in 2014 subject to permitting

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Thermal Coal Projects in world-class Cesar Basin- La Miel Thermal Coal Project (50-200Mt UG export thermal coal exploration target)

- Cesar Thermal Coal Project (200-800Mt UG export thermal coal exploration target)

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COLOMBIAN PROJECTS

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• Entered Colombia March 2011 - Positive experience - Good place to do business

• Excellent resource endowment

• Local Partners “Aurora Energy “ key to our success:

25 years experience operating in Colombia

Leading supplier of mining and mineral processing equipment (“Polminera-Entrelink”) and consulting

services to the Colombian underground coal mining sector

Strong relationships with concession owners

• Building a large coking coal export business in Colombia requires: Mechanisation of underground mines and wash plants

Developing the skills of miners to operate more sophisticated equipment

Improved logistics (road, barging, rail, ports)

Reliable consistent quality coal for export

• 5 coal transactions completed in Colombia during 2011 by NAE-Aurora JV:

2 Thermal Coal acquisitions (3 concessions)

1 Coking Coal agreement to mechanise and expand mining operations (Terranova)

1 Coking Coal application

OUR EXPERIENCE


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OUR STRATEGY

• Exploration and development of our coking and thermal coal projects

• Aiming to transform of the coking coal sector by:

Targeting large production from single mechanized mines, coal washing, improving

quality and reliability standards (no multi seam blending)

Producing coal from underground areas not currently mineable with existingmining methods

• Growing the project pipeline through targeted acquisitions and partnership

arrangements

• A highly skilled local team supported by international technical consultants when

required

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CESAR EXPORT THERMAL COAL PROJECTS

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• Cesar Basin contains multiple economic export quality

seams 2-6m thick with total coal thickness up to 35m

• La Miel Project (GJP-151)

- Exploration target of 50-200Mt UG thermal coal

- Seismic interpretation indicates depth to top

coal seams of 400m – 800m

- Phase One drilling program (3 holes) currently

underway

• Cesar Project (GIK-103 & GHN-121)

- Exploration target of 200-800Mt UG thermal

coal

- Seismic interpretation indicates depth to top

coal seams of 850m – 1,200m

- Depth of target within international mechanized

coal mining experience

Corporate Activity in the Cesar Basin


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LA MIEL PHASE 1 DRILLING

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• Drilling commenced in June 2012

• Phase 1 Budget US$1.6M

• Phase 1 boreholes:

Borehole Est. Completion

BH2 End July

BH1 End September

BH5 End November


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TERRANOVA COKING COAL PROJECT

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Targeting long term production of 0.5Mtpa

commencing in 2014 and mine life >10 years:

• 887T Concession - 3.6Mt JORC Resource

- Positive scoping study completed (Dec 2011)

- Feasibility Study well progressed but on hold until

permitting completed

• FL2 -151 Concession

- 10-18Mt hard coking coal exploration target

- Progressing permitting to commence drilling

• JBI- 11091 Application

- Currently at concession application stage

- 20-40Mt hard coking coal exploration target

Terranova Coking Coal Project

Total JORC Resourc e of 3.6Mt and Conc eptual Explo rat ion Target of 30 – 58Mt of

Hard Coking Coal


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TERRANOVA COKING COAL PROJECT- 887T AGREEMENT

TO MECHANISE AND EXPAND MINING OPERATION

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Medium Volatile Hard Coking Coal (HCC)

Currently producing 25ktpa Medium Volatile HCC

3.6Mt JORC HCC Resource in M3 seam (1.6m -

1.8m thick including 0.2m dirt band)

Additional potential in M2 seam (1.65m including

0.16 dirt band)

Dips


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PLANNED CONTINUOUS MINER OPERATIONS -

TERRANOVA

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Lochinvar Coking Coal Project, UK


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FOR FURTHER INFORMATION PLEASE CONTACT:

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Image: M3 Hard Coking Coal Seam, Terranova. Seam height approx. 1.6m

Aurora Energy SA

Telephone: 57 1 5401700

Email: [email protected]

New Age Exploration

Telephone: 61 3 9614 0600

Email: [email protected]

colombian mining conference 2012 nae v12

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