Corporate Presentation November 2019 l DISCLAIMER This - - PowerPoint PPT Presentation

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Corporate Presentation

November 2019

DISCLAIMER

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This presentation is made on behalf of Alba Mineral Resources PLC (“the Company”). This presentation does not constitute an admission document relating to the Company nor does it constitute or form part of any offer or invitation to purchase or subscribe for, or any solicitation of any such offer to purchase or subscribe for, any securities in the Company. No reliance may be placed by any person for any purpose whatsoever on the information or

• pinions contained in this presentation or on the completeness, accuracy or fairness thereof. No representation or warranty, express or implied, is given

by or on behalf of the Company, its directors, officers or employees or any other person as to the accuracy or completeness of the information or

• pinions contained in this presentation, and no liability is accepted for any such information or opinions (including in the case of negligence, but

excluding any liability for fraud). This presentation does not constitute a recommendation regarding any decision to sell or buy securities in the Company. If any person is in doubt as to the contents of this presentation, or wishes to obtain advice as to the investment merits of the Company’s securities, he should seek independent advice from a person who is an authorised financial services provider. This presentation is not for distribution in, nor does it constitute an offer of securities for sale in, any jurisdiction where such distribution or offer is unlawful. The distribution of this presentation in some jurisdictions may be restricted by law and persons into whose possession this document comes should inform themselves about and observe any such restrictions. All statements (other than statements of historical fact) included within this presentation, including without limitation, the strategies, plans, expectations and objectives of the Company, and the markets and economies in which it operates, are forward-looking statements. A variety of factors could cause the actual results and circumstances to differ materially from the anticipated results or other expectations expressed in the forward-looking statements. These statements are illustrative only and do not amount to any representation that they will be achieved as they involved risks and uncertainties and relate to events and depend upon circumstances which may or may not occur in the future and there can be no guarantee of future performance. Forward-looking statements may also include (but are not limited to) reserve and resource estimates and targets and production rates which involve an assessment, based on certain estimates and assumptions, by the operators of projects in which the Company has invested (together “investee companies”). The total amount, rate or timing of actual future production may vary from estimates, projections and targets. Those forward-looking statements have not been independently verified by the Company. Competent Person’s Statement (Mining): The information contained in this presentation in relation to the Company’s mining projects has been reviewed and approved by Howard Baker, Technical Director of Alba Mineral Resources Plc. Mr Baker is a Chartered Professional Fellow of the Australasian Institute of Mining and Metallurgy (Membership Number 224239) and a Competent Person as defined by the rules of International Reporting Codes that are aligned with CRIRSCO. Mr Baker has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration targets, Exploration Results, Mineral Resources and Ore Reserves’, also known as the JORC Code. The JORC code is a national reporting organisation that is aligned with CRIRSCO. Competent Person’s Statement (Oil & Gas): The technical information contained in this presentation in relation to the Company’s oil & gas investments has been reviewed and approved by Feroz Sultan (BSc (Hons) Geology, MSc, Petroleum and Structural Geology, Karachi and MSc Petroleum Geology, Imperial College London), a petroleum geologist with over 45 years' experience in the management, exploration, development and production

• f oil and gas.

ALBA OVERVIEW

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 A diversified portfolio of mining assets and oil & gas investments  With high-grade, near-term production potential

Market AIM Share Price 0.19p

(at 31/10/19)

Symbol ALBA Market Cap £6.7mil

 Operating in stable jurisdictions

OVERVIEW

ALBA’S BOARD AND MANAGEMENT

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George Frangeskides Executive Chairman Over 25 years’ experience in natural resources, corporate advisory & legal sectors in the UK, Europe, Africa and Australia Mike Nott Non-Executive Director Geologist and mining engineer with over 40 years’ experience Manuel Lamboley Non-Executive Director Over 30 years' experience in international broking and investment banking Howard Baker Technical Director (Mining) Geologist with over 20 years’ experience, including with Rio Tinto, BHP Billiton, Iluka Resources, WMC and Anaconda Nickel Feroz Sultan Technical Director (Oil & Gas) Petroleum geologist with over 40 years of diverse experience, and has managed both onshore and

• ffshore oil and gas field developments

Sarah Potter Head of Finance Chartered Accountant with over 10 years’ experience in industry, including with Jaguar Land Rover, CBRE and Anglo American (Tarmac)

OVERVIEW

ALBA INVESTMENT CASE

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 Alba is targeting near-term production opportunities to generate significant revenues:

• at Horse Hill, where:
• commercial production is slated for end 2019
• continuous test production has been in place since July 2018, with over 70,000 barrels produced
• a second well is now being drilled – for a significant ramp-up in production
• planning permission is now in place for 25 years of production
• Alba will share in ongoing net production revenues following start of commercial production
• Alba not currently contributing to expenditure –cash can now be focused on key mining assets
• and at Clogau, where:
• Alba aims to restart production at the previously producing Clogau gold mine within 2-3 years
• a current gold price of ~$1500 – plus a significant premium for Welsh/Clogau gold – underpins

the economic case to restart production  Alba is focused on a key group of high-grade mining assets in sought-after commodities:

• at Thule Black Sands (ilmenite) – JORC Resource, with a major mining group (Rio Tinto)

focusing on the region

• at Amitsoq (graphite) – world-class grades, and a significant proportion of higher-value flake

graphite

• at Clogau (gold) – restarting mine production, while exploring a hugely prospective gold belt

 Alba’s management team has over 180 years of combined industry experience  This presentation focuses on Alba’s key assets: Clogau, Amitsoq, Thule Black Sands and Horse Hill

OVERVIEW

CLOGAU GOLD MINE

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 80,000 troy ounces were produced from Clogau historically.  The mine closed in 1998, when the gold price was only $300/oz (the gold price is now $1500/oz) (background, specimen of gold from Clogau)  Clogau has provided the gold for several generations of Royal wedding rings  Clogau gold attracts a significant premium above normal gold spot prices (background, the wedding ring of Meghan, Duchess of Sussex, made from gold from the Clogau-St. David’s Mine)

UK ASSETS

CLOGAU: MINE REHABILITATION

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Extensive rehabilitation works have been completed in the mine…

…including an entirely new roof section for the Lower Adit …and the installation of 60m of ladderways between the Upper and Lower Adits

UK ASSETS

CLOGAU: UNDERGROUND EXPLORATION

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 Several tonnes of mined and unprocessed material have been collected, with tens of tonnes still to be collected (images left and centre, above)  The plan involves drilling up to 1,000m from the existing underground development, at various locations along the Tyn Y Cornel and Llechfraith levels (above, right)

UK ASSETS

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CLOGAU: REGIONAL-SCALE EXPLORATION

And with gold-in-soil average grades for these new anomalies exceeding those for the historic mines An unprecedented 12-month regional soil sampling campaign, with gold mineralisation now confirmed across ~9 km

UK ASSETS

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CLOGAU: TEN NEW GOLD ANOMALIES

The yellow areas below represent new anomalies (with no historic mining) and the red areas represent historic mining areas The largest new anomaly (areas 1+10 combined) has a strike extent

• f 2km (4x longer than the strike extent of the historic Clogau mine)

UK ASSETS

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CLOGAU MINE: SURFACE DRILLING

Potential

• re

shoots are shown in dark yellow within the inset cross-section (left),

• nly 200-300m of drilling

required here A high priority for drilling will be to target extensions to the Llechfraith mine (see below)

Plans are also being finalised (see right) for drilling down into the underground workings. 22 drill holes are planned here for Spring 2020 (~5000m of drilling)

UK ASSETS

HORSE HILL OIL FIELD

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• Alba

has an 11.765% Interest in Horse Hill (PEDLs 137 & 246)

• Horse

Hill Well (HH-1) drilled in 2014 and flow tested in 2016

• Extended

Well Test (“EWT”)

• ngoing

since July 2018

• More than 70,000 barrels

produced to date

• Single HH-1 well “sees”

connected Portland oil in place (“OIP”)

• f

~7-11 million barrels¹

• HH-2/2z

well currently being drilled

Note 1: Estimated OIP hydrocarbon volumes should not be construed as recoverable resources or reserves and also should not be construed in any way to reflect potential producibility of hydrocarbons from the formations evaluated.

UK ASSETS

HORSE HILL OIL FIELD

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• Extends over 2000 acres
• Two discoveries: Collendean Farm-1 (Esso, 1964) & Horse Hill-1 (HHDL, 2014)
• Portland Sandstone Estimated P50 Stock Tank Oil in Place (“STOIP”) is 32 Million Stock

Tank Barrels (“MMSTB”) (Xodus CPR, Feb 2017)¹

• Estimated Unconventional STOIP Kimmeridge Limestones and Shales: 10 Billion

Barrels (Schlumberger, Aug 2015)¹ Horse Hill Oil Field

Note 1: Estimated OIP hydrocarbon volumes should not be construed as recoverable resources or reserves and also should not be construed in any way to reflect potential producibility of hydrocarbons from the formations evaluated.

UK ASSETS

HORSE HILL: LONG-TERM PRODUCTION

• Portland declared commercially viable (Oct 2018)
• Continuous Portland oil flow: 220 barrels of oil per day (“bopd”)

(April 2019)²

• Total extended well test (“EWT”) production figures (Oct 2019)
• 71,368 barrels (“bbl”) aggregate Kimmeridge/Portland production
• Kimmeridge KL3/KL4: one single oil pool of 358 ft in vertical extent
• Average daily rates of up to 307 bbl of oil per day recorded

following the resumption of production in Sep 2019²

• EWTs ongoing since July 2018 (15 months)
• Planning approval (Sep 2019): covers 25 years of production up to 3,500

bopd from six wells, including the existing Horse Hill-1 (“HH-1”) and the forthcoming HH-2/2z horizontal well²

• Targeting transition from EWT production into permanent commercial

production by the end of 2019

615m (Portland) 2,704 m total well depth 840m (KL4) 900m (KL3)

HH-1

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0m (surface)

Note 2: There can be no guarantee that forecast, targeted or calculated rates of production or oil recoveries will be achieved. Actual rates of production and recoveries will depend upon actual reservoir performance over time.

UK ASSETS

HORSE HILL: NEW HH-2/2z WELL

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• Drilling operations commenced Sep 2019
• HH-2 to be drilled to ~3,000 ft, then moving to HH-2z horizontal section of ~3,200

ft within Portland Sandstone reservoir's most productive zone¹

• Operator targeting volumes significantly higher than forecast of 362 bopd³ from a

fully optimised vertical Portland discovery well

Courtesy of UKOG (Presentation Nov 2018) Note 1: Estimated OIP hydrocarbon volumes should not be construed as recoverable resources or reserves and also should not be construed in any way to reflect potential producibility of hydrocarbons from the formations evaluated. Note 3: Forecast potential HH-1 vertical rate per HHDL’s consultants Xodus Group ("Xodus") being that, subject to successful well optimisation, HH-1 Portland vertical the well is capable of achieving 24/7 pumped rate of 362 bopd.

UK ASSETS

THULE BLACK SANDS (“TBS”)

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• High-grade

ilmenite (mineral sands) on the coastline of north- west Greenland

• Primary source of titanium dioxide
• Very

high Total Heavy Mineral (“THM”) content: 46.7% average

• Very high in-situ ilmenite content:

10% average

• Maiden JORC Resource of 19MT@

43.6% THM with in-situ ilmenite grade of 8.9%

• Contained Ilmenite of 1.7 MT (Life
• f Mine > 12 years for a 1.5 mtpa
• peration)
• On

same mineralised coast as Bluejay’s Dundas Project (117Mt @ 6.1% ilmenite)

Alba Licence MEL 2017/29 (blue)

High-Grade Active Beach Mineralisation

GREENLAND ASSETS

TBS: ILMENITE AND GREENLAND FACTS

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“Global TiO2 Market expected to reach $28.5 billion by 2025” Grand View Research Nov 2017

Pigments Principal feedstock for pigment production for paints, coatings & plastics Plastic Titanium Used as an alloy in aerospace & military applications Industrial Other Uses Inks & cosmetics Fibres & rubber Food & pharma Cosmetics Pharmaceuticals

• Ilmenite (FeTiO3): an iron titanium dioxide
• Titanium dioxide (TiO2): the principal feedstock for pigment production
• GREENLAND
• Supportive authorities committed

to resource extraction

• Established local mining

economy: logistics, training, services

• World-class deposits

GREENLAND ASSETS

Raised Terrace Mineralisation on Alba’s Licence

TBS: INFRASTRUCTURE

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• Existing local infrastructure
• Qaanaaq: workforce & logistics
• Deep-water port
• Thule Air Base & Qaanaaq Airport

TBS Project location

Qaanaaq – Population >600 Qaanaaq Airport Thule Airbase

GREENLAND ASSETS

TBS: MAIDEN RESOURCE ESTIMATION

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• 10km total mineralised strike length confirmed by 2018 drilling (above left, showing drilled and

modelled zones)

• Three tonnes of bulk samples taken (samples above right) and Year 1 environmental baseline

studies completed

• Mineral Resource Estimate Released (by IHC Robbins) of 19.0 Million Tonnes Inferred @ 43.6%

THM, with an in-situ Ilmenite grade of 8.9% for contained ilmenite of 1.7 Million Tonnes

• Equates to a mine life of > 12 years for a 1.5 mtpa operation
• Ilmenite ranges from 45.6% to 47.4% TiO2 with very low contaminant levels

GREENLAND ASSETS

TBS: NEXT STEPS

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High-Grade Raised Terrace Mineralisation

• Increase resources by drilling through permafrost and extension

drilling

• Sample and drill near-offshore mineralisation
• Complete second year of environmental baseline studies
• Commission Pre-Feasibility Study

s

GREENLAND ASSETS

AMITSOQ: HIGH-GRADE GRAPHITE

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GREENLAND ASSETS

 An exceptionally high-grade graphite deposit & former mine (Amitsoq) and new graphite discovery (Kalaaq) (licence map below left; with channel sampling shown below right)  Amitsoq has higher average graphite grades than any advanced graphite project recognised globally (see bar chart below right) (Industrial Minerals, August 2015, adapted)

(% graphite) 15 30

AMITSOQ

AMITSOQ: HIGH-GRADE FLAKE GRAPHITE

 Two distinct graphite deposits with the world’s highest average graphite grades (Amitsoq: 28.7%, Kalaaq: 25.6%)  The Amitsoq Mine operated until the 1920s – graphite layers can be traced over ~1 km, with average grades of ~28% TGC  The Kalaaq Graphite Discovery - graphite layers can be traced over ~0.5 km, with average grades of ~25% TGC  Airborne EM and magnetic survey identified several new faults, numerous anomalies and potential strike length of 12km  Phase 1 metallurgical testwork has confirmed saleable concentrate at high recoveries (+99%)  Phase 2 testwork has confirmed high-grade (97.3%) refined product with 36% of the flake graphite consisting of higher-value Large-Jumbo-Super Jumbo flake  Existing infrastructure and ice-free waters year-round  Next steps: Resource drilling and Scoping level Mining Study,

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GREENLAND ASSETS

Background photo – exposed graphite at Amitsoq

GRAPHITE: IN DEMAND

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GREENLAND ASSETS

 Not all forms of graphite are made equal…

• Two main forms: natural and synthetic
• Three main types of natural graphite: flake, amorphous and vein
• Flake size is important: “Super Jumbo” (+500µm) down to Small (-150µm)
• Jumbo (+300µm) and Large (+180µm) flake have industrial uses (eg steel making and castings)
• Medium (+150µm) and Small flake used for battery grade applications
• Battery grade graphite is micronized to <30 micron prior to shaping and purification

 Graphite demand and price growth increasingly comes from the battery sector

• Global graphite market: electrodes (30%), refractories (18%), recarburising (12%), batteries (10%)
• Batteries forecast to account for 26% of global demand by 2029
• Battery demand is forecast to be 2mtpa by 2028 and 13mtpa by 2040 (Benchmark Minerals)
• Higher prices are paid for larger flake as well as battery grade product:
• Small flake: US$400/t, Large: US$1000/t, Jumbo: US$1400/t, Super Jumbo: US$2000/t
• Battery grade: spherical (uncoated): US$3000-4000/t; spherical (coated): +US$7000/t

(Market and pricing data, Roskill, various sources, Sep/Oct 2019)

ALBA: KEY VALUE DRIVERS

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Near-term (0-12 months) growth to be driven by:  Drilling (Clogau Gold Mine)  Drilling Maiden JORC Resource (Amitsoq)  Increasing JORC Resource (TBS)  Joint Venture/Divestment Programme  Commencement of Commercial Production (Horse Hill)  Production Revenues (Horse Hill) Medium-term (12-36 months) growth to be driven by:  Production Revenues (Horse Hill)  Commencement of Commercial Production (Clogau)  Progressing to PFS (Amitsoq and TBS)  Offtake Partners (Amitsoq and TBS)

CONTACT DETAILS

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Alba Mineral Resources plc George Frangeskides, Executive Chairman Tel: +44 (0) 20 3907 4297 Email: info@albamineralresources.com Web: www.albamineralresources.com @AlbaMinerals Yellow Jersey (Public Relations) Tel: +44 (0)20 3004 9512 Email: alba@yellowjerseypr.com First Equity Limited (Broker) Jason Robertson Tel: +44 (0)20 7374 2212 Email: jasonrobertson@firstequitylimited.com