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GRANGE RESOURCES LIMITED. Investor Presentation 2012

Feb 22, 2012

65014_rns_2012-02-22_bdd4fc1d-0ed1-43b4-ba22-4d5803b5b5b8.pdf

Investor Presentation

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Russell Clark

February 2012

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February 2012

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February 2012

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20% - 50% Lump and Pellets

50% - 80% Sinter

New products from new producers:

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Contaminants are rising

Molten slag out

Molten iron out

February 2012

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x 2

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Lower

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~67% Fe
Direct Shipping Lump
~63% Fe
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Iron Ore Pellet ~65.5% Fe

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Higher

Price

February 2012

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Ordinary shares on issue 16 February 2012 1,154m Last share price 16 February 2012 $0.60 33.9% 46.78% Market capitalization 16 February 2012 $657m 7.83% Cash & Receivables 31 December 2011 $226.7m 11.49% Research Bell Potter (target $0.91) Patersons (target $0.81) Citi (target $0.70) Petra Capital (target $1.06) JP Morgan (target $0.95) RBS (target $0.67) Macquarie (target $0.95) RBS Morgans (target $0.82) Merrill Lynch (target $0.90) UBS (target $0.82)

February 2012

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Australia’s Leading Magnetite Producer

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Quality assets in Tasmania and Western Australia.

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Production and Costs
December Quarter
2011
Production and Costs
September Quarter
2011
Total BCM Mined 4,240,390 3,184,680
Total Ore BCM 531,189 402,846
Weight Recovery (% DTR) 41.70 34.5
Concentrate Produced(t) 612,189 556,122
Pellets Produced (t) 632,143 506,143
Direct Operating Cost A$/tonne
Pellet Produced
89.65 127.72

February 2012

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700,000
650,000
600,000
550,000
500,000
450,000
400,000
350,000
300,000
Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11
Tonnes
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180
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40
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0
Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11
C1 Unit cost per tonne of pellets produced $/t
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bigger than Savage River

February 2012

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3 Kilometres
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1.22 billion tonnes @ 34.1%DTR

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As at December 2011 As at February 2012 Tonnes Grade Tonnes Grade (Mt) wt% DTR (Mt) wt% DTR Measured 407 37.1 423 37.6 Indicated 40.2 40.7 87.4 38.4 Inferred 250.8 32.5 710.6 31.5 Total 698 35.7 1,221 34.1

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Collie Coal
Pipeline Route
Fired Power
Proposed 330Kv Transmission Line
Existing 132Kv Transmission Line
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1 South West Interconnected System
(Western Australia)
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P Mine environmental permit

P

Port permits Water permit

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Granted November 2009, amendment required in 2011 for 10mtpa Granted November 2010 Desalination permit targeted Q1 2012

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Timetable

2011 2012 2013 2014 2014 2015
Pre-
feasibility
Definitive
Feasibility
Financing
Construction
Production

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Primary contacts:

Russell Clark

[email protected]

Tarryn Truscott [email protected]

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Southdown Project

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February 2012

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