GRANGE RESOURCES LIMITED. — AGM Information 2013

May 7, 2013

==> picture [315 x 61] intentionally omitted <==

==> picture [720 x 143] intentionally omitted <==

Annual General Meeting 8 May 2013

8 May 2013 – AGM

Slide 2

STRONG Safety Culture

Most EXPERIENCED magnetite producer

LONG LIFE producer of PREMIUM iron ore pellets

STRONG balance sheet

Advanced GROWTH Project

Established STRONG DIVIDEND pay-out

FOCUSED

* - Based on current iron ore prices and market conditions

8 May 2013 – AGM

Slide 3

1. Focus on accessing high grade ore through continued investment in mine development

2. Take advantage of iron ore market prices

3. Drive C1 costs lower

8 May 2013 – AGM

Slide 4

• Negative sentiment on bulk resources

• Small and mid cap miners hit very hard

==> picture [551 x 251] intentionally omitted <==

----- Start of picture text -----

Iron Ore Peer Comparison
----- End of picture text -----

8 May 2013 – AGM

Slide 5

• Our fundamentals are very sound

• We are taking action:

8 May 2013 – AGM

Slide 6

Ordinary shares on issue	7 May 2013	1,156m
Share Price	7 May 2013	$0.16
Market Capitalization	7 May 2013	$185.0m
Cash, Term Deposits & Trade Receivables	31 March 2013	$164.3m

==> picture [288 x 193] intentionally omitted <==

----- Start of picture text -----

Free float
Free Float
40.41%
PML
RGL Group
46.41%
RGL GroupPML
5.36%
7.82%
JiangsuJiangsu
ShagangShagang
----- End of picture text -----

8 May 2013 – AGM

Slide 7

==> picture [99 x 61] intentionally omitted <==

Lower

==> picture [320 x 218] intentionally omitted <==

----- Start of picture text -----

~67% Fe
Direct Shipping Lump
~63% Fe
----- End of picture text -----

Iron Ore Pellet ~65.5% Fe ~US$145/t[1] FOB Tasmania

==> picture [95 x 58] intentionally omitted <==

Higher

Price

8 May 2013 – AGM

Slide 8

Australia’s Most Experienced Magnetite Producer

==> picture [205 x 185] intentionally omitted <==

==> picture [202 x 182] intentionally omitted <==

Quality assets in Tasmania and Western Australia.

8 May 2013 – AGM

Slide 9

==> picture [318 x 176] intentionally omitted <==

8 May 2013 – AGM

Slide 10

==> picture [301 x 167] intentionally omitted <==

8 May 2013 – AGM

Slide 11

Last LTI: July 2010 1,000 days LTI free achieved on 19 April 2013

Our focus on safety will continue to be unrelenting

8 May 2013 – AGM

Slide 12

• Revenues from mining operations of $331.3 million (down 19% from $410.4m)

• Net profit after tax of $35.9 million (down 83% from $216.6m)

• Net cash inflows from operating activities of $131.9 million (down 37% from 210.4m)

• Cash and term deposits of $174.9 million as at 31 December 2012

• No net debt and reduced gearing levels with borrowings of $22.9 million

• Final dividend of 1.0 cents per share (unfranked) declared

8 May 2013 – AGM

Slide 13

		Q1 2013	2012	2011	2013 Priorities Focus on accessing high grade ore Continued investment in mine development
Total Mined (‘000 BCM)		4,860	14,638	15,628
Total Ore (‘000 BCM)		349	1,774	1,693
Concentrate Produced (‘000 t)		453	2,123	2,019
Weight Recovery (%)		31.9%	35.9%	36.4%
Pellets Produced (‘000 t)		443	2,005	1,978

We have managed through a difficult 2012 with discipline, focus and efficiency

8 May 2013 – AGM

Slide 14

2013 Priorities

		Q1 2013	2012	2011
Tonnes Sold (‘000)		388	2,369	1,773
Realised Selling Price (US$/t)		$144.71	$145.71	$214.28
Average Exchange Rate (A$:US$1)		1.036	1.036	1.038
Realised Selling Price (A$/t)		$139.70	$139.86	$202.17
Dividend per share (cents per share)			2.0	5.0

8 May 2013 – AGM

Slide 15

• Completed a definitive feasibility study in April 2012 which improved the projects

• Initial capital expenditure estimated at A $2.885 billion (including EPCM; owners’

• Operating costs estimated at A$58.5 per tonne of premium quality concentrate

• Submission by EPC contract tenders for major construction works by interested

8 May 2013 – AGM

Slide 16

• Continue search for new equity partner to take a strategic share of the

• Significantly reduce expenditure for 2013 to approx. $2.5 million (GRR Share)

Timely decisions have been made in relation to the Southdown Project

8 May 2013 – AGM

Slide 17

 Broaden customer base to take advantage of market opportunities

• Drive operating costs down further and regain access to high grade ore

• Continue to invest in process infrastructure

• Maintain regular dividend

• Target growth opportunities to complement existing business

8 May 2013 – AGM

Slide 18

Primary Contact:

Richard Mehan

8 May 2013 – AGM

Slide 19