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DGR GLOBAL LIMITED — Investor Presentation 2012
Nov 1, 2012
64771_rns_2012-11-01_a4ef8af6-557a-4548-a7ab-7ea7a29e5d8f.pdf
Investor Presentation
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Building a Resource Factory
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Mining 2012
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Forward Looking Statement
Whil st b ase d on i n ormat on f i f rom sources cons id ere d re li a bl e, DGR Gl o b a l Li m te i d , i ts di rectors, emp oyees l an d consu tants l d o not represent, warrant or guarantee, expressly or impliedly, that the information in this document and presentation is complete or accurate. To the maximum extent permitted by law, DGR Global Limited, disclaims any responsibility to inform any recipient of this document and presentation of any matter that subsequently comes to its notice, which may affect any of the information contained in this document and presentation.
JORC and Competent Person Statement
Information herein relating to Exploration Results is based on information compiled by Nicholas Mather B.Sc (Hons), who is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Mather is employed by DGR Global Limited, as Chief Executive Officer.
Mr Mather has more than five years experience relevant to the style of mineralisation and type of deposit being reported and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves’ (the JORC Code). This report is issued with the prior written consent of the Competent Person as to the form and context in which it appears .
Hydrocarbons
The prospective resource estimates used in this presentation were, where indicated, compiled by MBA Petroleum Consultants, and detailed in the Independent Expert ’ s Report , Replacement Prospectus dated 20 March 2012 for Armour Energy (Chapter 9) . Raymond L Johnson Jr., General Manager Exploration and Production for Armour Energy Ltd, is qualified in accordance with the requirements of ASX listing rule 5.11 and has consented to the use of the resource figures in the form and context in which they appear in this announcement.
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Long term demand outlook still attractive
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Source: Rio Tinto analysis 2012
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Source: Rio Tino analysis 2012 Note: Steel stock refers to the level of cumulative steel consumed within in an economy over a 20 year period.
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Overweight Cash to Drive Resource Equities
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D eman d i n us ra A t li a
1 800,
ASX300 Market Cap Cash
1,600
1,400
1,200
1,000
800
600
Jan/05 Jul/05 Jan/06 Jul/06 Jan/07 Jul/07 Jan/08 Jul/08 Jan/09 Jul/09 Jan/10 Jul/10 Jan/11 Jul/1
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MPS Source: M A R T I N P L A C ~~E S E C U R I T I E S MPS~~ M A R T I N P L A C E S E C U R I T I E S
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Plan for Growth – 5 more in 10 years
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Diversified Global Resource Tar ets
g
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• PROVIDING INVESTORS WITH ACCESS AT THE GROUND FLOOR we generate t h e opportun t es i i
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DIVERSIFIED PORTFOLIO OF RESOURCES gold, silver, copper, nickel, iron ore, titanium, oil & gas
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GLOBAL PRESENCE to risk
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spreading exposure sovereign
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6
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BUILDING A RESOURCE FACTORY
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1. GOOD PEOPLE
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Dedicated, invested staff, think laterally
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Help them get rich
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E conom c uy n y oca commun i b i b l l iti es
2. BIG PROJECTS
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Provincial tenement of national relevance coverage
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Strong commodity market gas/ gold/ iron/copper
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A new approach ‐ new prices, new metallurgy, new exploration models
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– Sca ea l b i ity l
3. STRONG FUNDING
- Experienced sophisticated investors
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At DGR Global
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e ncen v se ur eop e
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DGR Global backs new resource opportunity creators with equity
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Global exploration mandate
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TARGETING BULKS – iron, potash, phosphate, bauxite – new provinces
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• Implementing DGR global expansion strategy
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A Unique Resource Strategy
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We are not just a container for assets.
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We are a factory – we create assets.
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–
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Maintain the emphasis on business generation do it regularly .
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– improve new project generation capability
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Increase the ro ect size steadil – raise the bar. p j y
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Monetise the investments – increase liquidity with asset maturity.
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5 listed assets now – 5 more targeted in 10 years.
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Abundant news flow – increasingly prolific news base
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.
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telling the story
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Fin d h l d l . ing t e peop e – strong incentives an persona opportunities
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WE CREATE ASSETS
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Armour Energy
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ew eg ona as an t
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- Accomplished Board & Management
Armour Energy permit size relative to shale gas basins in Texas
- 100% ownership of one of the largest shale gas acreage positions in Australia – as extensive as the Barnett Shale in Texas
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- Total Prospective Resource estimated 41.3 Tcf gas with 2.2 Billion barrels of associated liquids
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Competitive social & logistic advantages
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Drilling in NT and VIC with significant gas scover es di i
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Strong liquid potential – 20+ bbls per MMcf
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13% of Lakes Oil (ASX:LKO) plus farm‐ in rights provides access to an additional province and market
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- ASX:AJQ
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holds 25% of
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Accomplished Management
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ARMOUR ENERGY CEO, PHIL MCNAMARA
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Mining Engineer with 28 years experience.
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Successfully raised $14m in Armour Energy.
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Former Managing Director of Waratah Coal Galilee Basin Coal Project:
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1.1Bt reserve, $8.5b mine, rail and port project
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– Established $5.5b debt finance facility
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Significant experience and success in o p erational mana g ement, ma j or resource infrastructure project and successful Chinese negotiation experience
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Strong record in landowner negotiations and management
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Extremely active debut
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4 wells, 3 months, 3 discoveries
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Orbis Gold
P rov nc a i i l G o ld St ra egy n ur t i B ki na aso F
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holds 27% of
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Orbis Gold
P rov nc a i i l G o ld St ra egy n ur t i B ki na aso F
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holds 27% of
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SolGold
W or ld Cl ass opper o C G ld T arge s t
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holds 10.9% of
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SolGold O u s an t t di G ld C P t i n cua E d or ng o opper ro ec j
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Navgas
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ome mes s n er our ose
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Navgas – subsidiary of Navaho Gold.
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• Secured 5 tenements in highly sought after region of South Australia.
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• Confirmation of hydrocarbons • Gas flow in previous well.
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• Bitumen rims to sand grains.
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• Large acreage position. • ~50 , 000km2 or 12 million acres.
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• Adelaide Fold Belt & Stuart Shelf.
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• Close to infrastructure. • Moomba‐Adelaide gas pipeline in SE of project area.
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• Moomba‐Port Bonython liquids pipeline in centre of area. holds 29% of
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Navgas
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IronRidge Resources
Developing Large Scale , Bulk Commodity Projects
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holds 56.5% of
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IronRidge Resources N ew Ni c k e l S u p l hid e arge s T t
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AusNiCo
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c e an n
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- Pro osed Taron a tin ac uisition. p g q
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- World’s 14[th] largest tin project with 67 , 000t contained tin .
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- Upside from:
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High grade at depth
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Beneficiation
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Improved recoveries
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Additional discoveries
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Copper silver credits
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- Renewing nickel sulphide targets.
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holds 41.5% of
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FOR THE SCEPTICS
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’ t be Done
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In 2000 the sceptics said “Coal Seam Gas will not be viable in Queensland”.
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Arrow Energy was taken over by Shell for $3.5 billion cash and foreign assets returned as Dart Energy.
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In 1999 the sceptics said “ you could not find , let alone develop , a minerals sands project in the northern Murray Basin”.
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Bemax has now developed its second after taken over
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operation being by Saudi Arabian company Cristal.
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- In 2006 the sceptics said “you will never develop a coal mine in the Galilee Basin”.
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Waratah Coal taken over in 2009 for $130 million and later the subject of .
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an $8.5 billion finance proposal
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Courtesy: Ron Prefontaine 2003
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Contacts
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Nick Mather | CEO [email protected]
Greg Runge | General Manager [email protected] Carlie Rogers | Business Development . com . au crogers@dgrglobal
ASX:DGR | www.dgrglobal.com.au
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Thank You
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