SLIDE 1
Application for a Conditional Use Permit to mine Primary Kaolin McDuffie County, GA
SLIDE 2 Kaolin (or China clay) mining is one of Georgia’s
Primary industries; representing up to $1 billion per year in revenue in mostly rural communities
Source: Georgia Mining Association Georgia accounted for 94% of the U.S. production in 2010 with 5.9 million tons; 2.72M tons was exported nationwide and only 310,000 tons was imported.
SLIDE 3
- Paper coatings- 58%
- Refractory products- 12%
- Catalysts, fiberglass, paint & rubber- 4% each
Large volumes (82% of Sales)
- Brick, chemicals, fine china, porcelain,
pottery, animal feed, sanitary ware, tile, filler & extender for adhesives, cosmetics, fertilizers, pharmaceuticals, and plastics- small % each
Remainder of the market is small but diverse
Source: USGS 2010
Difference between Primary & Secondary kaolin
SLIDE 4
- Predecessor companies did
considerable drilling & analysis to find primary kaolin resources
- Purchased the CUP parcels
between 2000 and 2006; spent $1.98M
- Dearing Plant constructed in 2009
to produce specialty kaolin products
- In market development phase;
now generating growth in our business:
Kaolin sales for the last
three years are: 2009: $108,808 2010: $505,345 2011: (July 31st) $455,219
Bulk Loading
SLIDE 5
APM Economic Impact 2009-July 31, 2011
Total spent- $3,357,636 (not including payroll) State of Georgia Spending- $2,572,330 Central Savannah River Area (CSRA) Spending-
$1,995,918
Direct McDuffie County Spending- $655,000 Total Georgia Payroll- $594,940 Payroll McDuffie County- $152,000 YTD spending in the CSRA is ~$250,000 (excluding
payroll)
$25,000 per year in Property and Equipment Valorem
Taxes in McDuffie County
SLIDE 6
Projected to add a second shift at plant with 4
full time positions- $160,000 payroll increase/year
Adding a 2nd shift would double operating
expenditures to ~$1,000,000/year
~$500,000 in capital spending is planned at our
Dearing plant as our product line & sales increase
SLIDE 7
Limited product potential at Tudor Rd. Cofer properties offer unique clay
characteristics
Cofer kaolin offers potential for
expansion of the product line & growth
Economic benefit to McDuffie County
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Lucky Strike Mine, Hancock County
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Large wooded area Large wooded area ~80 acre buffer area 287 acres to be used only for haul road Initial area to be disturbed
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SLIDE 19
333 APM owned acres
189 acres available for mining 144 acres (buffer) excluded from all activities
(43%)
Small impact areas, about 30 acres permitted at
any time done in small ~5 acre cells
Wisham Parcel (287 acres) included only for
future transport to the bypass (un-owned & no access)
Mine reclamation will be ongoing
SLIDE 20
Limited off-site trucking, only 7 days per
quarter, not to exceed 28 days per year
APM will consult with the County School
District to ensure trucks will not be hauling when buses are picking up or dropping off students on Margaret’s or Moose Club Roads
No mining activities or hauling on weekends or
holidays
SLIDE 21
Site Studies done to support the application:
Feasibility study to run a pipeline from the site to the
plant in Dearing ~6.5 miles = $1.75 million
Traffic study to haul south on Margaret’s Rd., west on
Moose Club Rd., and south on US 278 = No LOS
Threatened & Endangered Species studies = No affects Wetland & Cultural Resource Surveys = No wetland
impacts proposed and future Resource Surveys will be done if anything significant is found
Determined Public Water Service Areas = Public water
is available surrounding the entire site
SLIDE 22 APM is committed to minimizing the impact of the
proposed development on our neighbors
Upon receipt of CUP, APM proposes to form a
Community Liaison Committee
Interactive process to address any issues and
concerns of the surrounding community
- Propose to meet quarterly
Suggest it be composed of 5 members:
3 Community representatives 1 County representative 1 APM representative
SLIDE 23
Stantec Engineering did a detailed traffic study based on data collected on May 12, 2011 to measure the impact of our proposal, what they found was:
~6,000 daily vehicle trips on Augusta Highway at
Moose Club
442 daily trips on Margaret’s Road ~1,100 daily trips along Moose Club Road (between
US 278 and Margaret’s)
APM’s impact - 95 round trips per day assuming five
days per quarter
SLIDE 24
Our proposed annual impact on
traffic volume:
Margaret's Rd.- 3.2% Moose Club Rd.- 1.3% Augusta Highway- 0.002%
SLIDE 25
Existing conditions With project traffic in 2012 & 2030
SLIDE 26 APM is a growing company, adding value to
McDuffie’s Natural Resources
Our plan minimizes off-site impacts and takes
- ur neighbor’s concerns into consideration
APM has spent $3.36M growing the McDuffie
County business since 2009 and has plans for expansion if the Cofer clays can be permitted